Honorable Robert Bunda

President of the Senate

Twenty-Third State Legislature

Regular Session of 2006

State of Hawaii

Sir:

Your Committee on Judiciary and Hawaiian Affairs, to which was referred S.B. No. 3191, S.D. 1, entitled:

begs leave to report as follows:

The purpose of this measure is to prohibit the taking by eminent domain and subsequent transferring of private property to a private entity that had expressed an interest in purchasing the property for development or commercial purposes or any other private use.

Your Committee received testimony in support of this measure from the Honolulu Department of Planning and Permitting, the Hawaii Association of Realtors, the Small Landowners of Oahu & Small Landowners Association of Hawaii, the Hawaii Farm Bureau, and one individual. Testimony in opposition was received from the County of Hawaii. Comments were received from the University of Hawaii Environmental Center.

This measure amends the condemnation law to prohibit taking and transferring property to another private entity that had previously expressed an interest in purchasing the property for development or commercial purposes or any other private use.

Your Committee finds that in the wake of a recent United States Supreme Court decision in Kelo v. New London, 125 S.Ct. 2655 (2005), there has been a growing concern that the need for urban renewal or economic development may be cited as justification for allowing the government to condemn private property for the benefit of another private entity but not clearly for a public use. This measure narrows the scope of that taking to address concerns that public use should not include commercial development or any other private purpose, except for public utilities, irrigation systems, affordable housing and community development, and development tracts, all of which have a significant connection to public use.

As affirmed by the record of votes of the members of your Committee on Judiciary and Hawaiian Affairs that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 3191, S.D. 1, and recommends that it pass Third Reading.