HOUSE OF REPRESENTATIVES	H.C.R. NO.	296
TWENTY-FOURTH LEGISLATURE, 2008
STATE OF HAWAII

HOUSE CONCURRENT

RESOLUTION

REQUESTING THE AUDITOR TO CONDUCT A FINANCIAL AND MANAGEMENT AUDIT OF THE NATURAL ENERGY LABORATORY OF HAWAII AUTHORITY's DEEP SEAWATER PUMPING SYSTEM.

     WHEREAS, the Natural Energy Laboratory of Hawaii Authority (NELHA) was created with the intent to facilitate research and development of natural energy resources and ocean-related research; and

     WHEREAS, NELHA is in the unique position, not just in the State of Hawaii, but in the world, to develop and produce three very basic needs:  food, energy, and healthcare; and

     WHEREAS, the State has invested nearly $70,000,000 into NELHA infrastructure over a period of more than 30 years; and

     WHEREAS, NELHA pumps deep, cold, and pure seawater from waters 2000-feet deep off the coast of the island of Hawaii for use by its commercial tenants, and for energy production and air conditioning; and

     WHEREAS, currently, more than 90 percent of the approximately 14,500 gallons of this seawater is used by its aquaculture tenants each minute; and

     WHEREAS, the rate structure for pumped seawater should be reasonably set; now, therefore,

     BE IT RESOLVED by the House of Representatives of the Twenty-fourth Legislature of the State of Hawaii, Regular Session of 2008, the Senate concurring, that the Auditor is requested to conduct a financial and management audit of the deep seawater pumping system operated by NELHA, with the goal of evaluating the rate structure for pumped seawater and, if necessary, determining a reasonable rate structure; and

     BE IT FURTHER RESOLVED that the Auditor is requested to submit a report of any findings and recommendations to the Legislature no later than 20 days prior to the convening of the Regular Session of 2009; and

     BE IT FURTHER RESOLVED that NELHA is requested to freeze the rate that it charges for pumped seawater at the level in effect on the enrollment date of this concurrent resolution, until the Auditor completes the audit, at which time it is requested to implement the rate structure recommended by the Auditor; and

     BE IT FURTHER RESOLVED that certified copies of this Concurrent Resolution be transmitted to the Governor, President of the Senate, Speaker of the House of Representatives, Department of Agriculture, Natural Energy Laboratory of Hawaii Authority, and the Hawaii Aquaculture Association.

OFFERED BY:

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Report Title: 

NELHA; Deep Seawater Pumping System