STAND. COM. REP. NO. 1279-20

Honolulu, Hawaii

, 2020

RE: S.B. No. 2940

S.D. 2

H.D. 2

Honorable Scott K. Saiki

Speaker, House of Representatives

Thirtieth State Legislature

Regular Session of 2020

State of Hawaii

Sir:

Your Committee on Finance, to which was referred S.B. No. 2940, S.D. 2, H.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO THE STADIUM DEVELOPMENT DISTRICT,"

begs leave to report as follows:

The purpose of this measure is to support redevelopment of the Stadium Development District by:

(1) Establishing the Stadium Development Special Fund;

(2) Establishing general development guidance policies governing the Stadium Authority's actions in the Stadium Development District;

(3) Requiring the Stadium Authority to submit annual comprehensive status reports to the Legislature on the progress of development within the Stadium Development District;

(4) Adding definitions of "district" and "stadium development district" to chapter 109, Hawaii Revised Statutes (HRS);

(5) Expanding the Stadium Authority's powers and duties to include developing the stadium, stadium-related facilities, and real property held by the Stadium Authority, and acquiring and holding title to real property;

(6) Authorizing the Stadium Authority to hire more than one deputy manager;

(7) Exempting lands to which the Stadium Authority holds title from the definition of "public lands" and returning any excess land not used for the stadium to the public land trust administered by the Department of Land and Natural Resources;

(8) Requiring the Stadium Authority to obtain legislative approval of the sale or gift of lands to which the Stadium Authority holds title;

(9) Broadening the representation of the Stadium Authority by adding two members to consist of one resident each for the areas broadly encompassing: Aiea and Halawa; and Foster Village, Crosspointe, and Alii Plantation;

(10) Transferring the authority to issue leases of lands within the Stadium Development District from the Hawaii Community Development Authority (HCDA) to the Stadium Authority;

(11) Authorizing the Stadium Authority, with approval from the Governor, to delegate to other state agencies the implementation of capital improvement projects under certain conditions;

(12) Repealing part IX of chapter 206E, HRS, relating to the Stadium Development District;

(13) Transferring expending agency authority from HCDA to the Stadium Authority for the expenditure of general fund appropriations and revenue bond and general obligation bond proceeds provided in Act 268, Session Laws of Hawaii 2019; and

(14) Appropriating general funds for fiscal year 2020-2021 for the Stadium Authority.

Your Committee received testimony in support of this measure from the Stadium Authority and Hawaii Community Development Authority. Your Committee received comments on this measure from the Department of Budget and Finance; Department of Accounting and General Services; Office of Planning; and PVT Land Company, Ltd.

Your Committee has amended this measure by:

(1) Allowing the deposit of proceeds from general obligation bonds and reimbursable general obligation bonds for the Stadium Authority into the Stadium Development Special Fund;

(2) Specifying that Stadium Development Special Fund expenses are to be used for the development and operations of the stadium property related to repairs to the existing stadium and the development and operations of the stadium property, including contractual payments;

(3) Specifying on-site repairs in the planning, design, and construction activities of the Stadium Authority;

(4) Broadening the Stadium Authority's power and duties to include redeveloping the Stadium, including repairs;

(5) Making the financial disclosures of members of the Stadium Authority public records pursuant to section 84-17(d), HRS;

(6) Deleting the general fund appropriation for fiscal year 2020-2021 for the Stadium Authority;

(7) Changing the effective date to upon approval; and

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

As affirmed by the record of votes of the members of your Committee on Finance that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 2940, S.D. 2, H.D. 1, as amended herein, and recommends that it pass Third Reading in the form attached hereto as S.B. No. 2940, S.D. 2, H.D. 2.

Respectfully submitted on behalf of the members of the Committee on Finance,

____________________________

SYLVIA LUKE, Chair