Honorable Robert Bunda

President of the Senate

Twenty-Second State Legislature

Regular Session of 2003

State of Hawaii

Sir:

Your Committee on Judiciary and Hawaiian Affairs, to which was referred S.B. No. 610 entitled:

begs leave to report as follows:

The purpose of this measure is to replace the Hawaiian Home Lands Trust Individual Claims Review Panel (panel) with a special master for purposes of resolving Hawaiian home lands claims.

Testimony in support of this measure was received from the Department of Hawaiian Home Lands (DHHL), Office of Hawaiian Affairs (OHA), Ka Lahui Hawaii, Hawaiian home lands claimants, and one individual. Testimony in opposition was received from the Association of Hawaiian Civic Clubs and Davis Levin Livingston Grande.

Your Committee has examined the issue of just and expedient compensation for damages suffered by Hawaiian home lands claimants who received a recommended settlement from the Hawaiian home lands trust individual claims review panel (panel) before its dissolution on December 31, 1999, as provided in section 674-4, Hawaii Revised Statutes (HRS), but received no moneys because no legislative appropriation was enacted to pay the claims, as provided in section 674-14, HRS. Your Committee seeks an equitable and expedient compensation process that would award compensation to the claimants with as little bureaucratic complexity as possible.

Your Committee considered another measure to reactivate the panel, but that measure drew overwhelming opposition predominantly due to a reluctance to restart a tired and ineffective process.

Your Committee finds that the appointment of one person with the authority, subject to legislative appropriation of settlement moneys, to resolve all pending unsettled claims under a streamlined process, could enormously expedite settlements while protecting the rights of all parties. Your Committee envisions that person to expeditiously review the claims, review past settled claims by the now defunct Hawaiian home lands trust individual claims review panel to formulate a methodology for determining each individual settlement amount, and offer a fair amount in settlement to each claimant. The agreed amount would then be submitted to the Legislature for an appropriation in the 2004 regular session, with a preliminary report by December 5, 2003. Because state moneys are being used, the Legislature must maintain oversight of any settlement by, in effect, approving the settlement.

Your Committee passes this measure, as amended, with the intent of allowing the interested parties more time for discussion, including the DHHL and representatives for individual claimants.

Your Committee has amended this measure by deleting the reference to a governor-appointed special master and substituting a court-appointed special master and specifying the procedures for appointment, the duties of the special master, and repealing obsolete sections pertaining to the Hawaiian home lands trust individual claims review panel.

As affirmed by the record of votes of the members of your Committee on Judiciary and Hawaiian Affairs that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 610, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 610, S.D. 1, and be referred to the Committee on Ways and Means.