THE SENATE	S.B. NO.	2847
TWENTY-FIFTH LEGISLATURE, 2010
STATE OF HAWAII

A BILL FOR AN ACT

relating to hawaii community development authority.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

     SECTION 1.  The legislature finds that the John A. Burns School of Medicine, located within the Kakaako community development district, is a lessee of the Hawaii community development authority.  One of the provisions of the lease requires the lessee to pay, in addition to a ground lease rental, a pro rata share of the common area maintenance, a part of which includes the maintenance and upkeep of the Kakaako waterfront park.  Essentially, one public agency is charging another public agency to assist in the maintenance of a public facility.  Rather than this circuitous funding route, the legislature finds that it makes more sense for the legislature to provide for the cost of maintaining the Kakaako waterfront park directly through state revenues.

     Accordingly, the purpose of this Act is to prohibit the Hawaii community development authority from imposing any pro rata assessment on another public agency for the maintenance of common areas that may be subject to a direct legislative appropriation.

     SECTION 2.  Section 206E-31.5, Hawaii Revised Statutes, is amended to read as follows:

     "[[]§206E-31.5[]]  Prohibitions.  Anything contained in this chapter to the contrary notwithstanding, the authority is prohibited from:

     (1)  Selling or otherwise assigning the fee simple interest in any lands in the Kakaako community development district to which the authority in its corporate capacity holds title, except with respect to:

         (A)  Utility easements;

         (B)  Remnants as defined in section 171-52;

         (C)  Grants to any state or county department or agency; or

          (D)  Private entities for purposes of any easement, roadway, or infrastructure improvements; [or]

     (2)  Approving any plan or proposal for any residential development in that portion of the Kakaako community development district makai of Ala Moana boulevard and between Kewalo basin and the foreign trade zone[.]; or

(3) Requiring any lessee or tenant in the Kakaako community development district that is a public agency and a recipient of legislative appropriations to pay for any pro rata or fair share assessment or other charge for the maintenance of common areas within the Kakaako community development district that may otherwise be the subject of a direct legislative appropriation."

     SECTION 3.  This Act does not affect rights and duties that matured, penalties that were incurred, and proceedings that were begun before its effective date.

     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:

_____________________________

Report Title:

Hawaii Community Development Authority; Kakaako Community Development District; Common Area Maintenance

Description:

Prohibits HCDA from charging other public agencies, as tenants or lessees, for common area maintenance charges for costs that may be the subject of direct legislative appropriations.

The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.