HB2199.DOC

SECTION 1. The Hawaii Revised Statutes is amended by adding a new chapter to be appropriately designated and to read as follows:

"Chapter

Transit oriented development infrastructure authority

§ -1 Definitions. As used in this chapter, unless the context otherwise requires:

"Authority" means the transit oriented development infrastructure authority established by section -2.

"Corridor" means any state property within one-quarter mile from any rail station construction that is part of the high-capacity transit corridor project in the city and county of Honolulu.

"Department" means the department of business, economic development, and tourism.

§ -2 Transit oriented development infrastructure authority; established. (a) There is established the transit oriented development infrastructure authority to oversee and manage the development of infrastructure at transit-oriented development locations that are owned by the State. The authority shall be placed within the department of business, economic development, and tourism for administrative purposes.

(b) The authority shall consist of the following members:

(1) The director of finance or the director's designee;

(2) The director of transportation or the director's designee;

(3) The director of the office of planning or the director's designee;

(4) A cultural specialist;

(5) An at-large member nominated by the senate president;

(6) An at-large member nominated by the speaker of the house; and

(7) The director of planning and permitting of the city and county of Honolulu or the director's designee, who shall serve in an ex officio, nonvoting capacity.

All members except the director of finance, director of transportation, director of the office of planning, and county director of planning and permitting or their designees shall be appointed by the governor pursuant to section 26-34. The two at-large members nominated by the senate president and speaker of the house shall each be appointed by the governor from a list of three nominees submitted for each position by the nominating authority specified in this subsection.

In the event of a vacancy, a member shall be appointed to fill the vacancy, in the same manner as the original appointment, within thirty days of the vacancy or within ten days of the senate's rejection, on advice and consent, of a previous appointment to fill that vacancy, as applicable.

The terms of the director of finance, director of transportation, director of the office of planning, and county director of planning and permitting, or their respective designees, shall run concurrently with each official's term of office. The terms of the appointed voting members shall be for four years, commencing on July 1 and expiring on June 30. The governor shall provide for staggered terms of the initially appointed voting members so that the initial term of one member selected by lot shall be for two years, the initial term of one member selected by lot shall be for three years, and the initial term of the remaining member shall be for four years.

The governor may remove or suspend for cause any member after due notice and public hearing.

Notwithstanding section 92-15 to the contrary, a majority of all eligible voting members as specified in this subsection shall constitute a quorum to do business, and the concurrence of a majority of all eligible voting members as specified in this subsection shall be necessary to make any action of the authority valid. All members shall continue in office until their respective successors have been appointed and qualified. Except as herein provided, no member appointed under this subsection shall be an officer or employee of the State or its political subdivisions.

(d) The members of the authority appointed under subsection (b) shall serve without compensation, but each shall be reimbursed for expenses, including travel expenses, incurred in the performance of their duties.

§ -3 Transit oriented development infrastructure authority; jurisdiction established. The jurisdiction of the authority shall include all infrastructure development along the corridor, which includes all state property within one-quarter mile from any rail station constructed as part of the high-capacity transit corridor project in the city and county of Honolulu. Any state development along the corridor shall require a memorandum of understanding from the authority.

§ -4 Transit oriented development infrastructure authority; duties; policies. (a) The authority shall facilitate, oversee, and manage the development of all infrastructure on property belonging to the State within the corridor; provided that development is carried out in accordance with any county transit oriented development plans for lands surrounding the corridor.

(b) With the approval of the governor, and in accordance with state law governing lands owned by the department of Hawaiian home lands, the authority, upon the concurrence of a majority of its voting members, may modify and make changes to a transit oriented development plan with respect to the corridor to respond to changing conditions; provided that prior to amending a transit oriented development plan, the authority shall conduct a public hearing to inform the public of the proposed changes and receive public input.

(c) The authority may engage in planning, design, and construction activities within and outside the corridor; provided that activities outside the corridor shall relate to infrastructure development.

(d) The authority may undertake studies or coordinate activities in conjunction with the county and appropriate state agencies and may address facility systems, industrial relocation, and other activities necessary for infrastructure development in accordance with this section.

(e) In addition to any other duties that the authority may have pursuant to this chapter, the authority, when facilitating the development of infrastructure, shall:

(1) Preserve and protect Hawaiian archaeological, historic, and cultural sites;

(2) Preserve endangered species of flora and fauna to the extent feasible; and

(3) Coordinate infrastructure development with and, to the extent possible, complement existing county and state policies and plans affecting the corridor.

§ -5 Transit oriented development infrastructure authority special fund. (a) There is established in the state treasury the transit oriented development infrastructure authority special fund, into which shall be deposited:

(1) per cent of transient accommodations tax revenues collected by the department of taxation under section 237D-6.5, for the taxation district in which the high-capacity transit corridor project is located;

(2) Appropriations by the legislature; and

(3) Gifts, donations, and grants from public agencies and private persons.

All interest earned or accrued on moneys deposited in the fund shall become part of the fund. The fund shall be administered by the department; provided that the department may contract with a public or private agency to provide the day-to-day management of the fund.

(b) Moneys in the special fund shall be used only for the purposes of this chapter, including administrative, personnel, and operational costs of the authority.

§ -6 Rules. The authority shall adopt rules in accordance with chapter 91 to carry out the purposes of this chapter."

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 2016-2017 to be deposited into the transit oriented development infrastructure authority special fund.

SECTION 3. There is appropriated out of the transit oriented development infrastructure authority special fund the sum of $ or so much thereof as may be necessary for fiscal year 2016-2017 for the purposes of this Act.

The sum appropriated shall be expended by the department of business, economic development, and tourism for the purposes of this Act.

SECTION 4. This Act shall not be applied so as to impair any contract existing as of the effective date of this Act in a manner violative of either the Hawaii State Constitution or Article I, section 10, of the United States Constitution.

SECTION 5. This Act shall take effect on July 1, 2016.

INTRODUCED BY:	_____________________________

HOUSE OF REPRESENTATIVES	H.B. NO.	2199
TWENTY-EIGHTH LEGISLATURE, 2016
STATE OF HAWAII