HB1269

SECTION 1. The legislature finds that the State's agricultural and rural areas have significant economic and open space value to Hawaii's residents and visitors. However, the state land use system does not currently promote rural and agricultural land use patterns and development practices that protect the character and historic form of Hawaii's rural communities, rural areas, and its open space and agricultural lands.

The state rural land use district offers an important tool for accommodating appropriately scaled village centers, non-agricultural rural uses, the siting of agricultural support activities, and the buffering of agricultural and conservation district lands from urban land uses. With less than one per cent of all lands in the State classified in the rural land use district, the rural district is an underutilized tool in the statewide land use management system.

The purpose of this Act is to clarify the intent and policies for the rural district as necessary to ensure that both the rural and agricultural districts function appropriately. The legislature believes these amendments will create a more viable rural district that can absorb development pressures currently directed at the agricultural district, threatening agricultural viability by increasing agricultural land values and nuisance complaints for agricultural producers.

SECTION 2. Chapter 205, Hawaii Revised Statutes, is amended by adding a new section to be appropriately designated and to read as follows:

"§205- Density bonuses for certain parcels. (a) Each county may permit additional density for lots of record existing as of January 1, 2007, for which the underlying county zoning in effect on January 1, 2007, would permit more dwelling units than is allowable under the maximum density thresholds for the rural and agricultural land use districts, subject to the limitations of this section. For the purposes of this section only, "lots of record existing as of January 1, 2007," shall include properties with subdivision applications that have been accepted as a complete filing by the county on or before January 1, 2007. The additional density shall be no more than the difference between the number of dwelling units allowed by the underlying zoning of the lot in effect as of January 1, 2007 and the maximum density allowed for the applicable rural or agricultural district. In adopting ordinances to implement this section, the county may institute a cap on the total number of additional dwelling units or density allowed.

(b) Use of the additional density may be restricted to a property or project which promotes clustering or the dedication of open space or working landscapes, as determined by the county."

SECTION 3. Section 205-2, Hawaii Revised Statutes, is amended by amending subsections (a), (b), and (c) to read as follows:

"§205-2 Districting and classification of lands. (a) There shall be four major land use districts in which all lands in the State shall be placed: urban, rural, agricultural, and conservation. The land use commission shall group contiguous land areas suitable for inclusion in one of these four major districts. The districts shall be distinguished by their level and intensity of development, their predominant character of uses and physical landscapes, and natural resources. The commission shall set standards for determining the boundaries of each district, provided that:

(1) In the establishment of boundaries of urban districts, those lands that are now in urban use and a sufficient reserve area for foreseeable urban growth shall be included;

(2) In the establishment of boundaries for rural districts, areas of land composed primarily of small farms mixed with very low density residential lots, which may be shown by a minimum density of not more than one house per one-half acre and a minimum lot size of not less than one-half acre shall be included, except as herein provided, and areas of land suitable for agriculture and other uses requiring limited physical infrastructure development and services, including low density residential uses, outdoor recreational uses, and passive open space uses which may also serve as a buffer to productive agricultural land or conservation resource areas, shall be included. The rural district may also include compact, small mixed use rural towns and service centers;

(3) In the establishment of the boundaries of agricultural districts, the greatest possible protection shall be given to those lands with a high capacity for intensive cultivation; and

(4) In the establishment of the boundaries of conservation districts, the "forest and water reserve zones" provided in Act 234, section 2, Session Laws of Hawaii 1957, are renamed "conservation districts" and, effective as of July 11, 1961, the boundaries of the forest and water reserve zones theretofore established pursuant to Act 234, section 2, Session Laws of Hawaii 1957, shall constitute the boundaries of the conservation districts; provided that thereafter the power to determine the boundaries of the conservation districts shall be in the commission.

In establishing the boundaries of the districts in each county, the commission shall give consideration to the [~~master plan or~~] general plan [of] or community and development plans adopted by the county.

(b) Urban districts shall include activities or uses as provided by ordinances or [~~regulations~~] rules of the county within which the urban district is situated.

(c) Rural districts shall include activities or uses as characterized by low density residential lots of not more than one dwelling house per one-half acre, except as provided by county ordinance pursuant to section 46-4(c), in areas where "city-like" concentration of people, structures, streets, and urban level of services are absent, and where small farms are intermixed with low density residential lots except that within a subdivision, as defined in section 484-1, the commission for good cause may allow one lot of less than one-half acre, but not less than 18,500 square feet, or an equivalent residential density, within a rural subdivision and permit the construction of one dwelling on such lot, provided that all other dwellings in the subdivision shall have a minimum lot size of one-half acre or 21,780 square feet. Such petition for variance may be processed under the special permit procedure. These districts may include contiguous areas which are not suited to low density residential lots or small farms by reason of topography, soils, and other related characteristics. Rural districts shall also include golf courses, golf driving ranges, and golf-related facilities.

The rural district may also be characterized by a regional land use pattern of farmland, contiguous open space and natural areas, mixed-use rural towns or rural service centers, low-density residential settlements, and outdoor recreational areas. Rural district lands may serve to spatially separate urban settlements from agricultural, preservation, or conservation landscapes to protect these resources and to mitigate land use conflicts and nuisances. The rural district may also include contiguous areas that are not suited to physical development because of topography, soils, unique conservation values, or other related characteristics.

Uses and physical development in the rural district should be of appropriate scale and density to rural character and form with a level of physical infrastructure and services lower than in urban areas."

SECTION 4. Section 205-5, Hawaii Revised Statutes, is amended to read as follows:

"§205-5 [~~Zoning.~~] Conformance of county land use policies, ordinances, and rules with this chapter. (a) County land use plans, zoning, and development standards adopted by ordinances or rules shall be consistent with and implement the objectives and district policies and standards contained in this chapter. Except as [~~herein~~] provided[,] in this chapter, the powers granted to counties under section 46-4 shall govern the zoning within the urban, rural, and agricultural districts[~~, other than in conservation districts~~]. Conservation districts shall be governed by the department of land and natural resources pursuant to chapter 183C.

(b) Within agricultural districts, uses compatible to the activities described in section 205‑2 as determined by the commission shall be permitted; provided that accessory agricultural uses and services described in sections 205‑2 and 205‑4.5 may be further defined by each county by zoning ordinance. Each county shall adopt ordinances setting forth procedures and requirements, including provisions for enforcement, penalties, and administrative oversight, for the review and permitting of agricultural tourism uses and activities as an accessory use on a working farm, or farming operation as defined in section 165‑2; provided that agricultural tourism activities shall not be permissible in the absence of a bona fide farming operation. Ordinances shall include but not be limited to:

(1) Requirements for access to a farm, including road width, road surface, and parking;

(2) Requirements and restrictions for accessory facilities connected with the farming operation, including gift shops and restaurants; provided that overnight accommodations shall not be permitted;

(3) Activities that may be offered by the farming operation for visitors;

(4) Days and hours of operation; and

(5) Automatic termination of the accessory use upon the cessation of the farming operation.

Each county may require an environmental assessment under chapter 343 as a condition to any agricultural tourism use and activity. Other uses may be allowed by special permits issued pursuant to this chapter. The minimum lot size in agricultural districts shall be determined by each county by zoning ordinance, subdivision ordinance, or other lawful means; provided that the minimum lot size for any agricultural use shall not be less than one acre, except as provided herein. If the county finds that unreasonable economic hardship to the owner or lessee of land cannot otherwise be prevented or where land utilization is improved, the county may allow lot sizes of less than the minimum lot size as specified by law for lots created by a consolidation of existing lots within an agricultural district and the resubdivision thereof; provided that the consolidation and resubdivision do not result in an increase in the number of lots over the number existing prior to consolidation; and provided further that in no event shall a lot which is equal to or exceeds the minimum lot size of one acre be less than that minimum after the consolidation and resubdivision action. The county may also allow lot sizes of less than the minimum lot size as specified by law for lots created or used for plantation community subdivisions as defined in section 205-4.5(a)(12), for public, private, and quasi-public utility purposes, and for lots resulting from the subdivision of abandoned roadways and railroad easements.

(c) Unless authorized by special permit issued pursuant to this chapter, only the following uses shall be permitted within rural districts:

(1) Low density residential uses;

(2) Agricultural uses;

(3) Golf courses, golf driving ranges, and golf-related facilities; and

(4) Public, quasi-public, and public utility facilities.

In addition, the minimum lot size for any low density residential use shall be one-half acre and there shall be but one dwelling house per one-half acre, except as provided for in section 205-2.

(d) Each county may adopt ordinances and rules for the rural district that define allowable uses, standards for physical development and infrastructure, and rural design guidelines as needed, to govern land use and development in rural service centers and the rural district as a whole. Uses in the rural district may include a range of uses that support rural economic activities, rural settlements, and open space uses, such as agriculture or ranching, agricultural support services and processing, low-density residential uses, cottage or craft industries, commercial businesses and establishments providing goods and services compatible with rural character and scale, outdoor recreational uses including golf courses and golf course facilities, forestry, public and quasi-public utilities, passive open space, and conservation areas. Exclusive agricultural use zoning may be a permissible use in the rural district.

A rural village or service center shall be physically compact with a well-defined edge, characterized by a core area having a mix of residential uses, public and commercial services, and economic activities. Physical development within a rural village or service center should be compatible with the scale, historic character, and physical form of existing rural centers, as determined by the county.

(e) Each county may consider progressive practices, including zoning or other land use mechanisms, that promote the clustering of dwelling units and the preservation of working lands and open space on lands situated in the rural land use district; provided that the overall dwelling unit density of the gross project area shall not exceed one dwelling unit per one half acre, except within designated rural villages or service centers where higher densities are allowed."

SECTION 5. Section 205-6, Hawaii Revised Statutes, is amended by amending subsections (a) and (b) to read as follows:

"(a) Subject to this section, the county planning commission may [~~permit certain unusual and reasonable~~] allow by special permit uses within the agricultural and rural_ [~~districts~~] district other than those for which the district is classified. Any person who desires to use the person's land within an agricultural or rural district other than for an agricultural or rural use, as the case may be, may petition the planning commission of the county within which the person's land is located for permission to use the person's land in the manner desired. Each county may establish the appropriate fee for processing the special permit petition. Copies of the special permit petition shall be forwarded to the land use commission, the office of planning, and the department of agriculture for their review and comment.

(b) The planning commission, upon consultation with the central coordinating agency, except in counties where the planning commission is advisory only in which case the central coordinating agency, shall establish by rule [~~or regulation~~], the time within which the hearing and action on the petition for a special permit shall occur. The county planning commission shall notify the land use commission, the department of agriculture, the office of planning, and such persons and agencies that may have an interest in the subject matter of the time and place of the hearing."

SECTION 6. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.

SECTION 7. This Act shall take effect upon its approval.

INTRODUCED BY:

_____________________________

BY REQUEST

HOUSE OF REPRESENTATIVES	H.B. NO.	1269
TWENTY-FOURTH LEGISLATURE, 2007
STATE OF HAWAII