SB2782 HD1.DOC

PART I

SECTION 1. The legislature finds that immediate action is needed to secure Hawaii's water supply. Hotter, drier conditions and damaged watershed forests are escalating the costs and conflicts over water.

While climate change is a problem on a global scale, simple, local actions can safeguard Hawaii's declining water sources. Through Act 152, Session Laws of Hawaii 2000, the legislature recognized that fresh water is not an infinite resource and its high quality, quantity, and sustainability depend upon forested watersheds. Without vegetation, most of our islands' rainfall would quickly run off into the ocean and be unusable. Instead, forests break the impact of heavy rains, reducing flooding and erosion and siltation of reefs and fisheries.

Protecting forest watersheds is the most cost effective and efficient way to absorb rainwater and replenish ground water. Watersheds also reduce impacts from climate change by absorbing greenhouse gases, a component of the Hawaii Clean Energy Initiative to help the State reach its policy targets to reduce greenhouse gas emissions to 1990 levels by year 2020, enacted by the legislature by way of Act 234, Session Laws of Hawaii 2007. Additionally, forests sustain irreplaceable cultural and natural values.

Half of Hawaii's forests have already been lost. Alien species, such as feral pigs and goats trample and devour vegetation, leaving bare ground or openings for alien plants that consume more water and increase runoff. The gradual invasion of alien plants into native forests may have already reduced the estimated groundwater recharge by up to ten per cent in certain aquifers. For example, in East Hawaii, invasive plants have already reduced estimated groundwater recharge by eighty-five million gallons a day. Controlling these and other threats requires a large-scale effort to protect these irreplaceable natural assets.

Governor Neil Abercrombie's "A New Day in Hawaii" plan calls for the stewardship of the natural resources that our survival, economy, and quality of life depend on. Priority actions of the plan include managing invasive species, increasing Hawaii's ability to withstand impacts from climate change, and restoring capabilities of the department of land and natural resources by finding additional sources of funding. The Abercrombie Administration's New Day status report also tasks the department of land and natural resources with ensuring that mauka watersheds are fully functioning so fresh water resources can be utilized and enjoyed by the people of Hawaii in perpetuity. To implement these central goals of the Abercrombie administration, the department of land and natural resources released "The Rain Follows the Forest – a plan to protect Hawaii's Source of Water".

"The Rain Follows the Forest" identifies priority watersheds and outlines on-the-ground actions and projects required to protect and sustain Hawaii's critical water sources. The forests and their ability to capture water depend on the protection provided by the actions listed in this plan. To be successful, these actions must occur on a large scale across ownership boundaries, through agreements and leveraged funds provided by the statewide watershed partnerships. Currently, only ten per cent (approximately ninety thousand acres) of the priority watershed areas are protected. This level of management has taken forty years to achieve. The department of land and natural resources' goal is to double the amount of protected watershed areas in just ten years. This will require approximately $5,000,000 per year, and create over one hundred fifty local jobs.

The legislature further finds and declares that the State needs to direct revenues towards new priorities and move immediately to fund the protection of these watersheds and implement this comprehensive plan to ensure the availability and affordability of fresh water. Watershed protection and restoration must be funded commensurate with its essential role. Hawaii's leaders must come together and incorporate funding policies within the State's overall financial plan to reverse the grave decline of the islands' life-giving forests in order to sustain and enrich current and future generations.

The purpose of this part is to provide funds to the department of land and natural resources for the immediate protection of priority watershed forests to replenish Hawaii's water supplies and provide many other fundamental benefits to Hawaii's environmental health.

SECTION 2. There is appropriated out of the general revenues of the State of Hawaii the sum of $ or so much thereof as may be necessary for fiscal year 2012-2013 to be expended on projects undertaken in accordance with watershed management plans, including but not limited to invasive species removal, construction and ongoing maintenance of fences, control of other forest threats, and restoration; provided that any new fences constructed shall be on state land only and funds used for maintenance of fences shall be for fences on state lands only. Private land owners shall reimburse the department of land and natural resources for any funds appropriated to the watershed management plans that are used for private lands.

The sum appropriated shall be expended by the department of land and natural resources for the purposes of this part.

PART II

SECTION 3. The purpose of this part is to statutorily establish the division of aquatic resources under the department of land and natural resources.

SECTION 4. Section 26-38, Hawaii Revised Statutes, is amended to read as follows:

"§26-38 Powers and duties of heads of departments. Except as otherwise provided by this chapter, every power and duty conferred by law and required to be performed by any officer, board, department, bureau, commission, administrative agency, or instrumentality of the State existing immediately prior to November 25, 1959, shall hereafter be exercised and performed by the head of the respective department established by this chapter, whether the head of the department be a single executive, board, or commission.

Except as otherwise provided by this chapter, the head of a department may assign any function vested in [~~his~~] the department to any subordinate officer or employee as [he] the head of the department deems desirable.

With the approval of the governor, the head of a department may establish or abolish within [~~his~~] the department any division or other administrative unit to achieve economy and efficiency and in accord with sound administrative principles and practices and procedures[.]; provided that the chairperson of the board of land and natural resources shall not use this authority to abolish or consolidate the division of aquatic resources established under section 187A-4.

The head of each department may prescribe regulations for the administration of his department, for the conduct of its employees, for the performance of its business, and for the custody, use, and preservation of records, equipment, and other property pertaining thereto; provided that the regulations shall not be inconsistent with the requirements of chapters 76, 91, and 92, or rules promulgated by the governor, or other laws of the State."

SECTION 5. Section 187A-4, Hawaii Revised Statutes, is amended to read as follows:

"§187A-4 [~~Administrator.~~ ~~The board shall appoint an administrator~~] Division of aquatic resources; administrator. (a) There shall be a division of aquatic resources [~~who~~] under the department. The division shall have charge, direction, and control of all matters relating to aquatic resources management, conservation, and development [~~activities~~] under this title, and such other matters relating to aquatic resources as the board may direct[.]; except that:

(1) The enforcement of laws and rules regulating aquatic resources shall be the responsibility of the conservation and resources enforcement program established pursuant to chapter 199 instead of the division, unless otherwise directed by the board; and

(2) For the purpose of achieving efficiency, the board may provide administrative services for the division of aquatic resources through another division or unit of the department.

(b) The division of aquatic resources shall not be placed organizationally under any other division or unit of the department, except the board and office of the chairperson.

The division of aquatic resources shall not have primary responsibility for a matter unrelated directly and substantially to aquatic resources management, development, or conservation.

(c) The division of aquatic resources shall be headed by an administrator, who shall be trained and educated in natural resource management."

PART III

SECTION 6. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.

SECTION 7. This Act shall take effect on July 1, 2012.

THE SENATE	S.B. NO.	2782
TWENTY-SIXTH LEGISLATURE, 2012		S.D. 2
STATE OF HAWAII		H.D. 1