STAND. COM. REP. NO.  536-10

Honolulu, Hawaii

                , 2010

RE:   H.B. No. 2918

      H.D. 1

Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-Fifth State Legislature

Regular Session of 2010

State of Hawaii

Sir:

     Your Committees on Water, Land, & Ocean Resources and Housing, to which was referred H.B. No. 2918 entitled:

"A BILL FOR AN ACT RELATING TO KAKAAKO COMMUNITY DEVELOPMENT DISTRICT,"

beg leave to report as follows:

     The purpose of this bill is to help facilitate construction in the Kakaako Community Development District by authorizing the Hawaii Community Development Authority to enter into development agreements.

     The Land Use Research Foundation of Hawaii, Kamehameha Schools, and Group 70 International testified in support of this bill.  Marshall Realty, Inc., and several concerned individuals opposed this measure.  The Hawaii Community Development Authority provided comments.

     Your Committees acknowledge the concerns raised regarding the adequacy of the reserved housing requirements with respect to development agreements and believe that this issue merits further discussion.

     Your Committees have amended this bill by:

     (1)  Specifying a reserved housing requirement for all development agreements;

     (2)  Removing language stating that development agreements shall provide that all development rights in the development agreement shall be deemed vested upon the execution of the development agreement;

     (3)  Specifying that the development agreement shall control in the event of a conflict between the development agreement and the approved master plan;

     (4)  Removing language that provided that development agreements are subject only to those laws, regulations, and ordinances in effect at the time of the original development agreement, and are not subject to subsequent laws, regulations, or ordinances;

     (5)  Removing language that made the provisions of this bill applicable retroactively; and

     (6)  Making technical, nonsubstantive amendments for clarity, consistency, and style.

     As affirmed by the records of votes of the members of your Committees on Water, Land, & Ocean Resources and Housing that are attached to this report, your Committees are in accord with the intent and purpose of H.B. No. 2918, as amended herein, and recommend that it pass Second Reading in the form attached hereto as H.B. No. 2918, H.D. 1, and be placed on the calendar for Third Reading.

Respectfully submitted on behalf of the members of the Committees on Water, Land, & Ocean Resources and Housing,

____________________________ RIDA CABANILLA, Chair

____________________________ KEN ITO, Chair