SB2423.DOC

SECTION 1. At present, section 514B-140, Hawaii Revised Statutes, gives apartment owners broad authority to install solar energy devices for their personal use, to reduce Hawaii's dependence on fossil fuels. Nevertheless, the law does not give boards of directors the same authority on behalf of their associations, even though associations can also benefit from installing solar energy or wind energy devices on the common elements for the same purpose. Some companies are now proposing to lease areas of the common elements from associations to install solar energy or wind energy devices, thereby reducing the association's energy costs and dependence on fossil fuels.

The purpose of this Act is to amend sections 514A-13.4 and 514B-140, Hawaii Revised Statutes, to specifically provide boards of directors with the same authority that owners now have to install or allow the installation of solar energy or wind energy devices on the common elements, under appropriate circumstances, to further reduce Hawaii's dependence on energy generated from fossil fuels.

SECTION 2. Section 514A-13.4, Hawaii Revised Statutes, is amended to read as follows:

"[[]§514A-13.4[]] Telecommunications equipment[.] and renewable energy devices. (a) Notwithstanding any other provisions to the contrary in this chapter, in the declaration of any project, or in the bylaws of any association:

(1) The board of directors of an association shall have the authority to install or cause the installation of antennas, conduits, chases, cables, wires, and other television signal distribution and telecommunications equipment upon the common elements of the project; provided that the same shall not be installed upon any limited common element without the consent of the owner or owners of the apartment or apartments for the use of which the limited common element is reserved; and

(2) The installation of antennas, conduits, chases, cables, wires, and other television signal distribution and telecommunications equipment upon the common elements by the board shall not be deemed to alter, impair, or diminish the common interest, elements, and easements appurtenant to each apartment or to be a structural alteration or addition to any building different in any material respect from the plans of the project filed in accordance with section 514A-12; provided that no such installation shall directly affect any nonconsenting apartment owner.

(b) Notwithstanding any other provision to the contrary in this chapter, in the declaration of any project or in the bylaws of any association:

(1) The board shall be authorized to abandon or change the use of any television signal distribution and telecommunications equipment due to technological or economic obsolescence or to provide an equivalent function by different means or methods; and

(2) The abandonment or change of use of any television signal distribution or telecommunications equipment by the board due to technological or economic obsolescence or to provide an equivalent function by different means or methods shall not be deemed to alter, impair, or diminish the common interest, elements, and easements appurtenant to each apartment or to be a structural alteration or addition to any building different in any material respect from the plans of the project filed in accordance with section 514A-12.

(c) Notwithstanding any other provisions to the contrary in this chapter, in the declaration of any project, or in the bylaws of any association:

(1) The board of directors of an association shall have the authority to install or cause the installation of solar energy devices and wind energy devices on the common elements of the project, including leasing or licensing the common elements for the installations; provided that the same shall not be installed upon any limited common element without the consent of the owner or owners of the unit or units for the use of which the limited common element is reserved; and

(2) The installation of solar energy devices and wind energy devices on the common elements of the project by the board shall not be deemed to alter, impair, or diminish the common interest, common elements, and easements appurtenant to each unit, or to be a structural alteration or addition to any building constituting a material change in the plans of the project filed in accordance with sections 514A-12; provided that no such installation shall directly affect any nonconsenting unit owner.

[~~(c)~~] As used in this section:

"Directly affect" means the installation of television signal distribution and telecommunications equipment, solar energy devices, or wind energy devices in a manner which would specially, personally, and adversely affect an apartment owner in a manner not common to the apartment owners as a whole.

"Solar energy device" means any new identifiable facility, equipment, apparatus, or the like which makes use of solar energy for heating, cooling, or reducing the use of other types of energy dependent upon fossil fuel for its generation; provided that if the equipment sold cannot be used as a solar device without its incorporation with other equipment, it shall be installed in place and be ready to be made operational in order to qualify as a "solar energy device"; provided further that "solar energy device" shall not include skylights or windows.

"Television signal distribution" and "telecommunications equipment" shall be construed in their broadest possible senses in order to encompass all present and future forms of communications technology.

"Wind energy device" means any new identifiable facility, equipment, apparatus, or the like which makes use of wind energy for producing electricity or reducing the use of other types of energy that are dependent upon fossil fuel for generation; provided that if the facility, equipment, apparatus, or the like cannot be used as a wind energy device without its incorporation with other equipment, it shall be installed in place and be ready to be made operational in order to qualify as a wind energy device."

SECTION 3. Section 514B-140, Hawaii Revised Statutes, is amended by amending subsection (d) to read as follows:

"(d) Notwithstanding any other provisions to the contrary in this chapter or in any declaration or bylaws:

(1) Regarding the installment of telecommunications equipment:

(A) The board shall have the authority to install or cause the installation of antennas, conduits, chases, cables, wires, and other television signal distribution and telecommunications equipment upon the common elements of the project; provided that the same shall not be installed upon any limited common element without the consent of the owner or owners of the unit or units for the use of which the limited common element is reserved; and

(B) The installation of antennas, conduits, chases, cables, wires, and other television signal distribution and telecommunications equipment upon the common elements by the board shall not be deemed to alter, impair, or diminish the common interest, common elements, and easements appurtenant to each unit, or to be a structural alteration or addition to any building constituting a material change in the plans of the project filed in accordance with sections 514B‑33 and 514B‑34; provided that no such installation shall directly affect any nonconsenting unit owner; [~~and~~]

(2) Regarding the abandonment of telecommunications equipment:

(A) The board shall be authorized to abandon or change the use of any television signal distribution and telecommunications equipment due to technological or economic obsolescence or to provide an equivalent function by different means or methods; and

(B) The abandonment or change of use of any television signal distribution or telecommunications equipment by the board due to technological or economic obsolescence or to provide an equivalent function by different means or methods shall not be deemed to alter, impair, or diminish the common interest, common elements, and easements appurtenant to each unit or to be a structural alteration or addition to any building constituting a material change in the plans of the project filed in accordance with sections 514B‑33 and 514B‑34[.]; and

(3) Regarding the installation of solar energy devices and wind energy devices:

(A) The board shall have the authority to install or cause the installation of solar energy devices and wind energy devices on the common elements of the project, including leasing or licensing the common elements for the installations; provided that the same shall not be installed upon any limited common element without the consent of the owner or owners of the unit or units for the use of which the limited common element is reserved; and

(B) The installation of solar energy devices and wind energy devices on the common elements of the project by the board shall not be deemed to alter, impair, or diminish the common interest, common elements, and easements appurtenant to each unit, or to be a structural alteration or addition to any building constituting a material change in the plans of the project filed in accordance with sections 514B-33 and 514B-34; provided that no such installation shall directly affect any nonconsenting unit owner.

As used in this subsection:

"Directly affect" means the installation of television signal distribution and telecommunications equipment, solar energy devices, or wind energy devices in a manner which would specially, personally, and adversely affect a unit owner in a manner not common to the unit owners as a whole.

"Solar energy device" means the same as in subsection (c).

SECTION 4. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.

SECTION 5. This Act shall take effect upon its approval.

INTRODUCED BY:	_____________________________

THE SENATE	S.B. NO.	2423
TWENTY-FIFTH LEGISLATURE, 2010
STATE OF HAWAII