STAND. COM. REP. NO. 2890

Honolulu, Hawaii

RE:    H.B. No. 2059

       H.D. 2

       S.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Twenty-Eighth State Legislature

Regular Session of 2016

State of Hawaii

Sir:

     Your Committee on Water, Land, and Agriculture, to which was referred H.B. No. 2059, H.D. 2, entitled:

"A BILL FOR AN ACT RELATING TO THE ISSUANCE OF SPECIAL PURPOSE REVENUE BONDS FOR KEHALANI OFFSITE RETENTION BASIN,"

begs leave to report as follows:

     The purpose and intent of this measure is to authorize the issuance of special purpose revenue bonds to provide financing to assist RCFC Kehalani, LLC, with Kehalani Offsite Retention Basin improvement work.

     Your Committee received testimony in support of this measure from the Department of Land and Natural Resources.  Your Committee received comments on this measure from the Department of Budget and Finance.

     Your Committee finds that the Kehalani Offsite Retention Basin (Basin) is located in central Maui and serves as a storm retention basin for the Kehalani Subdivision and mauka offsite flows.  Construction began on the Basin in 2003 and is still not complete.  The Basin is classified as a high hazard structure due to its location and, if it were to fail, would cause probable loss of human life.  Your Committee therefore finds that the issuance of special purpose revenue bonds under this measure is in the interest of public health, safety, and welfare.

     Your Committee has amended this measure by:

     (1)  Reinserting the special purpose revenue bond amount of $5,570,250; and

     (2)  Inserting an effective date of July 1, 2016.

     As affirmed by the record of votes of the members of your Committee on Water, Land, and Agriculture that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 2059, H.D. 2, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 2059, H.D. 2, S.D. 1, and be referred to your Committee on Ways and Means.

Respectfully submitted on behalf of the members of the Committee on Water, Land, and Agriculture,

________________________________

MIKE GABBARD, Chair