STAND. COM. REP. NO. 1379-04
Honolulu, Hawaii
, 2004
RE: S.C.R. No. 9
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.C.R. No. 9, S.D. 1, entitled:
"SENATE CONCURRENT RESOLUTION SUBMITTING TO THE LEGISLATURE OF THE STATE OF HAWAII FOR REVIEW OF ACTION TAKEN BY THE BOARD OF LAND AND NATURAL RESOURCES ON LAND EXCHANGES,"
begs leave to report as follows:
The purpose of this concurrent resolution is to submit to the Legislature for review of action taken by the Board of Land and Natural Resources (BLNR) regarding a land exchange involving 226.545 acres of state lands in Kapalua, Maui (Maui Lands), for three parcels in Waikele, Oahu, to be acquired by Maui Land & Pineapple Company, Inc. (ML&P) for purposes of the exchange transaction.
Your Committee held a hearing on this measure and proposed H.R. No. 157, H.D. 1. Both measures were heard together. Unlike this measure, the proposed H.D. 1 disapproved of the exchange transaction. The Department of Land and Natural Resources (DLNR) and ML&P testified in support of this measure and in opposition to the proposed H.D. 1. DLNR and ML&P represented to your Committee:
(1) The makai parcel (Tax Map Key: (2) 4-3-01: 05) of the Maui Lands is intended for open space, park- and recreational-type uses (Makai Parcel);
(2) ML&P does not intend to construct residential dwellings on the mauka parcels (Tax Map Key: (2) 4-3-01: 06, 07, and 08 (Mauka Parcels);
(3) ML&P and DLNR have agreed that use restrictions to reflect these uses should encumber the Maui Lands; and
(4) If ML&P desires to remove the use restrictions, pursuant to section 171-63, HRS, BLNR may amend or waive the conditions restricting the use of the Maui Lands in a deed or grant only upon the condition that the grantee pay to the State the difference between the fair market value of the land based upon its restricted use and the fair market value with the restrictive condition amended or waived.
Relying on these representation and the imposition of other conditions, your Committee accordingly amended the proposed H.D. 1 and approved of the exchange transaction.
After careful consideration, with the intent that the public reap the greatest value for the Maui Lands including the enhanced value that will result from the approval of the land use district boundary amendment petition now pending before the Land Use Commission for the Maui Lands, your Committee has amended this concurrent resolution by:
(1) Incorporating the representations of DLNR and ML&P into this measure;
(2) Making the approval subject to the use restrictions and requiring the restrictions to be incorporated in the exchange deed;
(3) Providing that BLNR may amend or waive the use restrictions only if ML&P pays the State the difference between the fair market value of the land based upon its restricted use and the fair market value of the land with the restrictive conditions amended or waived;
(4) Requesting DLNR to notify the Senate President and the Speaker of the House of Representatives of any request by ML&P to amend or waive the restrictions and to provide pertinent details including appraisal values and payment adjustments;
(5) Providing for the transmittal of this measure to the BLNR and ML&P; and
(6) Making technical, nonsubstantive amendments for clarity, style, and consistency.
It is the understanding of your Committee that the present appraised value of the Maui Lands, notwithstanding the use restrictions agreed to by ML&P, is still effective and agreeable to ML&P.
Members of your Committee expressed grave disappointment that the Maui Lands were not exchanged for private lands on Maui. The gain of the State in acquiring private lands on Oahu was at the expense of Maui residents losing unique lands. Members of your Committee expressed reservations regarding DLNR's efforts in searching Maui for suitable private lands, particularly upon learning that ML&P does not presently own the Mill Town Center parcels, but will acquire them for purposes of the exchange transaction.
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 concurs with the intent and purpose of S.C.R. No. 9, S.D. 1, as amended herein, and recommends its adoption in the form attached hereto as S.C.R. No. 9, S.D. 1, H.D. 1.
Respectfully submitted on behalf of the members of the Committee on Water, Land Use, and Hawaiian Affairs,
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____________________________ EZRA R. KANOHO, Chair |
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