STAND

STAND. COM. REP. NO. 1423

Honolulu, Hawaii

, 2005

RE: H.C.R. No. 200

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 Committee on Water, Land, & Ocean Resources, to which was referred H.C.R. No. 200 entitled:

"HOUSE CONCURRENT RESOLUTION REQUESTING AN AUDIT OF THE DEPARTMENT OF LAND AND NATURAL RESOURCES AND ITS BOARD,"

begs leave to report as follows:

The purpose of this concurrent resolution is to address concerns regarding the performance and management of the Department of Land and Natural Resources (DLNR) and the Board of Directors of DLNR (BLNR) by requesting the Auditor to conduct an audit of DLNR and BLNR that addresses, at a minimum, certain concerns and issues with the two entities.

Windward Ahupua'a Alliance, Life of the Land, Oahu Council of Hawaiian Civic Clubs, Annette's Adventures, Halemua a Kuali'i, Hanalei Watershed Hui, and numerous concerned individuals supported this concurrent resolution. A concerned individual opposed this measure. DLNR, Office of Hawaiian Affairs, The Nature Conservancy of Hawaii, and several concerned individuals offered comments.

Upon careful consideration, your Committee has amended this measure by:

(1) Removing BLNR from the purview of the audit;

(2) Including an analysis of optimal funding levels and potential funding sources for DLNR in the audit;

(3) Specifying that the Auditor include positive findings in its report including, but not limited to, efforts which are being systematically exerted within DLNR to address areas requiring improvement, as well as the degree of positive compliance with significant policies and practices;

(4) Adding to those requested to cooperate with the Auditor conservation experts and stakeholders, and organizations and individuals, in addition to agencies, that may be able to provide long-term perspectives on the sustainability of the State's limited resources;

(5) Requiring that the audit address the mission and operations of DLNR with respect to plans and programs to sustain its trust responsibilities;

(6) Clarifying that the audit address programs and agreements that DLNR initiates or maintains with other federal, state, and county agencies also charged with sustaining the State's natural resources;

(7) Clarifying the Legislature's concerns which generated this request for a management audit in addition to a financial audit; and

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

As affirmed by the record of votes of the members of your Committee on Water, Land, & Ocean Resources that is attached to this report, your Committee concurs with the intent and purpose of H.C.R. No. 200, as amended herein, and recommends that it be referred to the Committee on Finance in the form attached hereto as H.C.R. No. 200, H.D. 1.

Respectfully submitted on behalf of the members of the Committee on Water, Land, & Ocean Resources,

		____________________________ EZRA R. KANOHO, Chair