Honorable Robert Bunda

President of the Senate

Twenty-First State Legislature

Regular Session of 2002

State of Hawaii

Sir:

Your Committees on Water, Land, Energy and Environment and Tourism and Intergovernmental Affairs, to which was referred H.B. No. 2002 entitled:

beg leave to report as follows:

The purpose of this measure is to authorize the Department of Land and Natural Resources to issue new leases to the existing lessees of certain properties at Wailua, Lihue, Kauai.

Testimony in support of this measure was received from Kauai Beachfront Hotel, LLC. The Department of Land and Natural Resources (DLNR) testified in opposition.

Your Committees have heard that DLNR and the lessees are currently in discussions to resolve the disposition of the leases in question, and that a proposed resolution will be submitted to the Board of Land and Natural Resources in April.

Your Committees understand that this measure may be unnecessary at that point, but will allow it to proceed in the event legislation is required.

As affirmed by the records of votes of the members of your Committees on Water, Land, Energy and Environment and Tourism and Intergovernmental Affairs that are attached to this report, your Committees are in accord with the intent and purpose of H.B. No. 2002, and recommend that it pass Second Reading and be referred to the Committee on Ways and Means.