STAND

STAND. COM. REP. NO. 470

Honolulu, Hawaii

, 2005

RE: H.B. No. 85

H.D. 1

Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-Third State Legislature

Regular Session of 2005

State of Hawaii

Sir:

Your Committees on Transportation and Water, Land, & Ocean Resources, to which was referred H.B. No. 85 entitled:

"A BILL FOR AN ACT RELATING TO HARBORS,"

beg leave to report as follows:

The purpose of this bill is to protect Honolulu Harbor for strictly maritime use by:

(1) Removing Piers 1 and 2 of Honolulu Harbor from the Kakaako Community Development District; and

(2) Granting jurisdiction and administrative authority over Piers 1 and 2 to the Department of Transportation (DOT).

Matson Navigation Company, Young Brothers Limited, Maritime Consultants of the Pacific, and The Chamber of Commerce of Hawaii testified in support of this measure. ILWU, Local 142 supported the intent of the measure with amendments. The Department of Business, Economic Development, and Tourism and Hawaii Community Development Authority (HCDA) testified in opposition to this bill. DOT commented on this measure.

Hawaii is dependent upon its harbors for the movement of cargo between islands and the rest of the world. Honolulu Harbor serves as the main lifeline of cargo and commerce for the State of Hawaii. Your Committee finds that cargo shipping space in Honolulu Harbor is at a premium and that the area that encompasses Piers 1 and 2 will reach their maximum cargo capacity by the summer of 2005. New harbor space needs to be found and the present cargo space needs to be conserved.

Your Committees find that Hawaii's economic sustainability is dependent upon the effectiveness and efficiency of its harbors system and that by transferring jurisdiction of Piers 1 and 2 from HCDA to DOT, the efficacy of this system can be better managed.

Your Committees respectfully request DOT to review its master plan for Honolulu Harbor and determine if the available space in Honolulu Harbor is being used in the most efficient manner. Specifically, DOT should look at:

(1) Whether the United States Coast Guard (Coast Guard) needs the amount of land it currently uses on Sand Island;

(2) Whether the space currently occupied by the Coast Guard can be used for cargo facilities; and

(3) Whether it is necessary for the harbor space near Fort Armstrong to be used to dock cable layers.

After careful consideration, your Committees have amended this measure by:

(1) Clarifying that contiguous areas of Piers 1 and 2 used for "manifested cargo", rather than just "cargo" shall be excluded from the Kakaako Community Development District;

(2) Clarifying that contiguous backup fast lands of Piers 1 and 2 used for "manifested cargo", rather than just "cargo", shall be placed under the jurisdiction of DOT; and

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

As affirmed by the records of votes of the members of your Committees on Transportation and Water, Land, & Ocean Resources that are attached to this report, your Committees are in accord with the intent and purpose of H.B. No. 85, as amended herein, and recommend that it pass Second Reading in the form attached hereto as H.B. No. 85, H.D. 1, and be referred to the Committee on Finance.

Respectfully submitted on behalf of the members of the Committees on Transportation and Water, Land, & Ocean Resources,

____________________________ EZRA R. KANOHO, Chair		____________________________ JOSEPH M. SOUKI, Chair