STAND. COM. REP. NO. 1150

Honolulu, Hawaii

RE:    H.B. No. 1469

       H.D. 1

       S.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Twenty-Ninth State Legislature

Regular Session of 2017

State of Hawaii

Sir:

     Your Committees on Economic Development, Tourism, and Technology and Water and Land, to which was referred H.B. No. 1469, H.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO PUBLIC LANDS,"

beg leave to report as follows:

     The purpose and intent of this measure is to authorize the Legislature to designate areas of commercial, industrial, resort, and hotel parcels in need of revitalization and to establish guidelines and planning committees for the redevelopment of those parcels.

     Your Committees received testimony in support of this measure from Hawaii LECET; Hawaii Electric Light Company; KIAA; HPM Building Supply; Big Island Toyota, Inc./De Luz Chevrolet; and eight individuals.  Your Committees received testimony in opposition to this measure from the Office of Hawaiian Affairs, Hawaii Advocates for Consumer Rights, Life of the Land, Common Cause Hawaii, Sierra Club of Hawaii, and ten individuals.  Your Committees received comments on this measure from the Department of Land and Natural Resources, Department of Budget and Finance, Hawaii Tourism Authority, County of Hawaii Planning Department, and one individual.

     Your Committees find that among the classes of public lands managed by the Department of Land and Natural Resources are commercial, industrial, hotel, and resort lands.  However, due to restrictions imposed by various land management policies, there is little incentive for lessees of various parcels to make improvements to the leased parcels.  Your Committees further find that identifying areas in need of improvement and establishing guidelines for revitalization could help create revenue-generating potential and economic development for various land parcels.

     Your Committees note that H.B. No. 1310, H.D. 1, Regular Session of 2017, establishes the Waiakea Peninsula Redevelopment District, and is dependent on the passage of this measure.  Your Committees conclude that the language of H.B. No. 1310, H.D. 1, should be added to this measure for efficiency purposes of consistency and clarity.

     Your Committees have amended this measure by:

     (1)  Removing section 4, which would have required every lease issued by the Board of Land and Natural Resources to contain the exact commencement and termination dates for the lease, and the term and type of notice required to exercise any renewal option;

     (2)  Removing section 5, which would have amended restrictions on renewal of lease terms for public lands, expanded the types of leases to which the restrictions apply, and allowed indefinite extensions of lease terms for certain lands;

     (3)  Inserting the contents of H.B. No. 1310, H.D. 1, which:

          (A)  Establishes the Waiakea Peninsula Redevelopment District;

          (B)  Creates the Waiakea Peninsula Redevelopment District Planning Committee; and

          (C)  Establishes the Waiakea Peninsula Redevelopment District Revolving Fund; and

     (4)  Making technical, nonsubstantive amendments for the purposes of clarity and consistency.

     As affirmed by the records of votes of the members of your Committees on Economic Development, Tourism, and Technology and Water and Land that are attached to this report, your Committees are in accord with the intent and purpose of H.B. No. 1469, H.D. 1, as amended herein, and recommend that it pass Second Reading in the form attached hereto as H.B. No. 1469, H.D. 1, S.D. 1, and be referred to your Committee on Ways and Means.

Respectfully submitted on behalf of the members of the Committees on Economic Development, Tourism, and Technology and Water and Land,

________________________________ KARL RHOADS, Chair

________________________________ GLENN WAKAI, Chair