THE SENATE	S.B. NO.	2379
TWENTY-SIXTH LEGISLATURE, 2012
STATE OF HAWAII

A BILL FOR AN ACT

relating to concessions on public property.

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

     SECTION 1.  Chapter 102, Hawaii Revised Statutes, is amended by adding a new section to be appropriately designated and to read as follows:

     "§102-   Lease renewals. (a)  Any concession leased, let, licensed, rented out, or otherwise disposed of either by contract, lease, license, permit, or any other arrangement, may, at the end of the initial term, be negotiated and renewed for an additional term without the issuance of a public notice for bid; provided that the renewed term shall not exceed sixty-five years."

     SECTION 2.  Section 102-2, Hawaii Revised Statutes, is amended by amending subsection (a) to read as follows:

     "(a)  Except as otherwise specifically provided by law, no concession or concession space shall be leased, let, licensed, rented out, or otherwise disposed of either by contract, lease, license, permit or any other arrangement, except under contract let after public notice for sealed bids in the manner provided by law; provided that the duration of the grant of the concession or concession space shall be related to the investment required but in no event to exceed [fifteen years;] sixty-five years; provided further that and subject to approval by county council resolution, the [fifteen-year] sixty-five year limit shall not apply to nonprofit corporations organized pursuant to chapter 414D."

     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  Statutory material to be repealed is bracketed and stricken.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:

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Report Title:

Concessions on Public Property

Description:

Increases the terms for contracts for concessions to sixty-five years.  Allows contracts for concessions, at the end of the initial term, to be negotiated and renewed for an additional term without the issuance of a public notice for bid; provided that the renewed term shall not exceed sixty-five years.

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