STAND

STAND. COM. REP. NO. 980-04

Honolulu, Hawaii

, 2004

RE: S.B. No. 3062

S.D. 1

H.D. 1

Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-Second State Legislature

Regular Session of 2004

State of Hawaii

Sir:

Your Committee on Water, Land Use, and Hawaiian Affairs, to which was referred S.B. No. 3062, S.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO IMPACT FEES,"

begs leave to report as follows:

The purpose of this bill is to clarify that schools and transportation infrastructure are types of public facilities for which impact fees are to be expended.

The Department of Education and two members of the Maui County Council testified in support of this bill. The City and County of Honolulu Department of Planning and Permitting and Department of Transportation supported the intent of this measure and . The Land Use Research Foundation of Hawaii provided comments.

Your Committee has amended this bill by:

(1) Inserting provisions that clarify county authority to assess impact fees for state highway improvements;

(2) Establishing the Highway Development Special Fund to receive county impact fees and to be expended for state highway improvements;

(3) Clarifying that collection and expenditure of fees should be used for the benefit of the development for which the fees were assessed;

(4) Changing the effective date to be effective upon approval, and making the portion of the bill that authorizes counties to assess impact fees for state highway projects retroactive to October 1, 2002; and

(5) Making technical, nonsubstantive amendments for clarity and style.

As affirmed by the record of votes of the members of your Committee on Water, Land Use, and Hawaiian Affairs that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 3062, S.D. 1, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 3062, S.D. 1, H.D. 1, and be referred to the Committee on Finance.

Respectfully submitted on behalf of the members of the Committee on Water, Land Use, and Hawaiian Affairs,

		____________________________ EZRA R. KANOHO, Chair