Honorable Robert Bunda

President of the Senate

Twenty-First State Legislature

Regular Session of 2001

State of Hawaii

Sir:

Your Committee on Water, Land, Energy and Environment, to which was referred S.B. No. 1163 entitled:

begs leave to report as follows:

The purpose of this measure is to change the effective date of existing uses of water under the water code from July 1, 1987, to the effective date of designation.

Your Committee received testimony in support of this measure from the Department of Land and Natural Resources, City and County of Honolulu Board of Water Supply, the Kauai County Department of Water, the Hawaii and Maui County Departments of Water Supply, Alexander & Baldwin, Inc., Land Use Research Foundation of Hawaii, Hawaii Leeward Planning Conference, and The Nature Conservancy of Hawaii. The Office of Hawaiian Affairs, Hawaii's Thousand Friends, and one individual submitted testimony in opposition.

Your Committee finds that, as the result of interpretation of current law, the Commission on Water Resource Management is required to use July 1, 1987, as the determining date for existing water uses in the designation of a water management area. This raises problems for the Commission, as it does not have reliable information on water usage in 1987 for many areas.

While your Committee understands the dilemma this poses for the Commission, members have raised concerns regarding the impact of this measure. In particular, it appears unclear what the actual effect might be when uses of water change, i.e., increase, during the potentially lengthy period required for designation of a water management area. Your Committee asks the Commission to keep the Legislature informed of these impacts as new water management area designations are approved.

Members also wish to make it clear that this measure does not affect the public trust doctrine, which applies to all waters of the State. Under Article XI, Section 7 of the State Constitution, the State has an obligation to protect, control, and regulate the use of Hawaii's water resources for the benefit of its people. Examples of public trust uses include stream restoration, native Hawaiian traditional and customary uses, and domestic uses. As such, these uses will continue to receive special consideration over off-stream private uses, and will not be impacted by the proposed amendments in this measure.

As affirmed by the record of votes of the members of your Committee on Water, Land, Energy and Environment that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 1163 and recommends that it pass Second Reading and be placed on the calendar for Third Reading.