STAND. COM. REP. NO.  1743

Honolulu, Hawaii

                , 2011

RE:   S.C.R. No. 85

      S.D. 1

Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-Sixth State Legislature

Regular Session of 2011

State of Hawaii

Sir:

     Your Committee on Energy & Environmental Protection, to which was referred S.C.R. No. 85, S.D. 1, entitled:

"SENATE CONCURRENT RESOLUTION REQUESTING THE AUDITOR TO CONDUCT AN AUDIT RELATING TO GEOTHERMAL RESOURCES,"

begs leave to report as follows:

     The purpose and intent of this measure is to request the Auditor of the State of Hawaii to conduct an audit of the State's program of geothermal leasing and royalty payments made to Puna Geothermal Venture, including any consideration of the role of the Board of Land and Natural Resources and the Department of Business, Economic Development, and Tourism, and any other matters the Auditor deems relevant to the audit to ensure that the development of geothermal resources proceeds fairly, legally, and ethically.  The results of this audit, including findings and recommendations, are to be reported to the Legislature no later than twenty days before the convening of the Regular Session of 2012.

     Your Committee received testimony in opposition from Puna Geothermal Venture.  Your Committee received written comments from the Department of Land and Natural Resources.

     Your Committee recommends that this measure pass without amendments.

     As affirmed by the record of votes of the members of your Committee on Energy & Environmental Protection that is attached to this report, your Committee concurs with the intent and purpose of S.C.R. No. 85, S.D. 1, and recommends that it be referred to the Committee on Finance.

Respectfully submitted on behalf of the members of the Committee on Energy & Environmental Protection,

____________________________

DENNY COFFMAN, Chair