STAND. COM. REP. NO. 3667

Honolulu, Hawaii

RE: H.B. No. 1820

H.D. 1

S.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Thirtieth State Legislature

Regular Session of 2020

State of Hawaii

Sir:

Your Committee on Energy, Economic Development, and Tourism, to which was referred H.B. No. 1820, H.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO THE HAWAII COMMUNITY DEVELOPMENT AUTHORITY,"

begs leave to report as follows:

The purpose and intent of this measure is to amend the nominating authority of the representatives of the Heeia Community Development District, Kalaeloa Community Development District, and Kakaako Community Development District that serve on the Hawaii Community Development Authority.

Your Committee received no testimony for this measure.

Your Committee finds that the Hawaii Community Development Authority is the state agency with jurisdiction over all community development districts in the State. Your Committee further finds that under existing law, the nominating authority for community development district representatives on the Hawaii Community Development Authority is vested in the county councils. This allowed county council members who are not representatives of certain community development districts to have authority to influence the removal and selection of members of the Hawaii Community Development Authority Board. Your Committee believes that as the community development districts are under the direction of the Hawaii Community Development Authority, a state agency, the authority to nominate members to the board should be assigned to state representatives. This measure will authorize the appropriate state representatives to nominate board members, who will in turn represent each community development district, to the Hawaii Community Development Authority Board.

Your Committee also finds that Act 268, Session Laws of Hawaii 2019, established the Stadium Development District and transferred the duties and powers of the Stadium Authority regarding the development of the Stadium Development District to the Hawaii Community Development Authority. Your Committee believes that there are certain responsibilities and duties that should remain under the jurisdiction of the Stadium Authority.

Accordingly, your Committee has amended this measure by:

(1) Providing that the Hawaii Community Development Authority shall not have jurisdiction over the development of lands under the jurisdiction of the Stadium Authority, unless authorized by the Stadium Authority;

(2) Repealing statutory provisions relating to the Stadium Development District;

(3) Amending Act 268, Session Laws of Hawaii 2019 (Act 268), by:

(A) Making the Stadium Authority, rather than the Hawaii Community Development District Authority, responsible for expending the general funds and general obligation bond proceeds appropriated by Act 268; and

(B) Authorizing the Stadium Authority, rather than the Hawaii Community Development Authority, to issue the revenue bonds authorized by Act 268, and providing for the deposited of the revenue bond proceeds into an unspecified fund, rather than the Hawaii community development revolving fund;

(4) Making this measure effective upon its approval; and

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

As affirmed by the record of votes of the members of your Committee on Energy, Economic Development, and Tourism that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 1820, H.D. 1, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 1820, 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 Committee on Energy, Economic Development, and Tourism,

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GLENN WAKAI, Chair