RESOLUTION

WHEREAS, in the mid-1970s, the Board of Land and Natural Resources and the Department of Transportation (DOT) determined that our state's commercial fishing industry was ailing and in need of assistance; and

WHEREAS, over the next several decades as the commercial fishing industry in Hawaii continued to struggle, the State of Hawaii through various programs and grants attempted to assist the industry and help plan its long term rebuilding through loans and grants; and

WHEREAS, during that period of rapid and dramatic changes in the short- and long-term plans for the Honolulu waterfront, the Legislature requested DOT to recognize the accrued rights and interests of existing long-time lessees and permittees in the planned improvement and development of Honolulu Harbor and, except for cause, to take no action to displace them until such time as the Legislature had the opportunity to consider possible solutions to their concerns (Act 328, Session Laws of Hawaii 1997 (Act 328)); and

WHEREAS, Act 328 also required DOT to submit a report to the 1998 Legislature that included a list of these lessees and permittees, their facility and space requirements, and recommendations on how they might be accommodated; and

WHEREAS, in 1998, however, DOT only identified one lessee, failed to address the Legislature's broader concerns, and submitted no further information; and

WHEREAS, by that time, the economy of Hawaii had stagnated and the attention of the Legislature was focused on broader economic recovery issues, and neither the Legislature nor DOT has since reexamined the health of the local commercial fishing industry; and

WHEREAS, on August 7, 2005, the owners of a local commercial fishing company widely recognized as industry leaders paid for a full-page newspaper statement that brought attention to the plight of the local commercial fishing industry and DOT's inadequate response to the Legislature's inquiry under Act 328; and

WHEREAS, after many years of neglect by the State, the majority of owners and employees of Hawaii's commercial fishing industry are no longer from Hawaii or native Hawaiian, and Hawaii is in danger of becoming dependent on foreign owners and workers; and

WHEREAS, hampered by increasing federal and state regulations, local commercial fishers are losing their place in the industry to foreign and out-of-state commercial fishers who do not follow the same regulations and restrictions, who are increasing their dominance, and who pose a threat to the economy and cultural well being of our state; and

WHEREAS, increased reliance on foreign and out-of-state commercial fishers can lead to the depletion of fishing stock and displacement of local control over the State's food supply; and

WHEREAS, it is in the state's public interest to help secure a locally owned, commercially viable fishing industry to prevent reliance on producers and suppliers who have no economic, social, or cultural ties, or sense of responsibility to the people of Hawaii; and

WHEREAS, over the last three decades, the State has attempted to level the playing field in the commercial fishing industry by sponsoring grants and low-interest loans to Hawaii-based commercial fishers for, among other things, commercial boat construction, with the intent to assist local commercial fishers in staying "on the cutting edge" in terms of economic and industry developments; and

WHEREAS, these programs, although well-intentioned, have been mismanaged and the purpose of the loans has ultimately been defeated, due in part to the lack of adequate funding, the untimely payment of funding, and inadequate monitoring of payment; and

WHEREAS, settlement negotiations to recover $1.1 million in principal and a significant but unspecified amount in interest for the nine delinquent boat loans that remain outstanding are currently underway, keeping those commercial fishers in debt; now, therefore,

BE IT RESOLVED by the House of Representatives of the Twenty-third Legislature of the State of Hawaii, Regular Session of 2006, the Senate concurring, that the Department of Business, Economic Development, and Tourism is urged to amicably resolve the outstanding debts and delinquencies of those indebted to the State as a result of loans to build, repair, purchase, renovate, or maintain a vessel under state commercial boat loan programs; and

BE IT FURTHER RESOLVED that the Department of Transportation is also urged to amicably resolve the outstanding debts and delinquencies currently owed by local commercial fishing boat operators to the State of Hawaii for delinquent mooring and docking fees; and

BE IT FURTHER RESOLVED that certified copies of this Concurrent Resolution be transmitted to the Director of Business, Economic Development, and Tourism, and Director of Transportation.

Report Title:

State commercial boat loan program; Mooring Fees; Assistance