Honorable Robert Bunda

President of the Senate

Twenty-Third State Legislature

Regular Session of 2005

State of Hawaii

Sir:

Your Committee on Water, Land, and Agriculture, to which was referred S.C.R. No. 134 entitled:

begs leave to report as follows:

The purpose of this measure is to authorize the lease of submerged lands at Keehi small boat harbor for redevelopment, management, and operation by Honolulu Marine, Inc. for a commercial ship repair facility.

The Department of Land and Natural Resources, the Hawaii Community Development Authority, the Hawaii Boaters Political Action Association, Paradise Cruise, Ltd., and one individual submitted testimony in support of this measure. One individual submitted testimony in opposition to this measure.

Honolulu Marine, Inc. is a private company that operates a commercial marine railway and ship repair facility on the ewa boundary of Kewalo Basin. The land that Honolulu Marine currently occupies is owned by the State, and it has been targeted for redevelopment. Thus, Honolulu Marine has been notified that it must vacate the premises.

An area located adjacent to the Keehi small boat harbor has been identified as a good location for Honolulu Marine to relocate, and once established, Honolulu Marine will have the ability to perform ship repairs on shore, on the drydock, and in the water.

Pursuant to section 171-53(c), Hawaii Revised Statutes, the Board of Land and Natural Resources is authorized to lease the necessary lands to any private entity upon the prior approval of the Governor and prior authorization of the Legislature by concurrent resolution. Accordingly, this measure authorizes the Board of Land and Natural Resources to lease the fast and submerged lands at Keehi small boat harbor to Honolulu Marine for redevelopment, management, and operation of a commercial ship repair facility.

Your Committee has amended this measure by:

As affirmed by the record of votes of the members of your Committee on Water, Land, and Agriculture that is attached to this report, your Committee concurs with the intent and purpose of S.C.R. No. 134, as amended herein, and recommends that it be referred to the Committee on Ways and Means, in the form attached hereto as S.C.R. No. 134, S.D. 1.