STAND. COM. REP. NO. 227

Honolulu, Hawaii

RE: S.B. No. 1423

S.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Thirty-First State Legislature

Regular Session of 2021

State of Hawaii

Sir:

Your Committees on Water and Land and Energy, Economic Development, and Tourism, to which was referred S.B. No. 1423 entitled:

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

beg leave to report as follows:

The purpose and intent of this measure is to provide the necessary powers, appropriations, and guidance to ensure optimal development of the Stadium Development District as intended by Act 268, Session Laws of Hawaii 2019 (Act 268), which established the Stadium Development District. Specifically, this measure:

(1) Establishes the stadium development district special fund;

(2) Revises the general development guidance policies for the Stadium Development District and clarifies the respective roles of the Stadium Authority and Hawaii Community Development Authority (HCDA) in the development of the Stadium Development District;

(3) Broadens the powers and duties of the Stadium Authority, including authorizing the Stadium Authority to acquire and hold title to real property;

(4) Exempts the lands to which the Stadium Authority holds title from the definition of "public lands";

(5) Authorizes HCDA, with approval from the Governor, to delegate implementation of capital improvement projects to other state agencies, under certain conditions;

(6) Broadens the representation of the Stadium Authority by adding two members to its membership; and

(7) Makes the financial disclosures of members of the Stadium Authority public records pursuant to section 84‑17(d), Hawaii Revised Statutes.

Your Committees received testimony in support of this measure from the Department of Accounting and General Services, Aloha Stadium Authority, University of Hawai‘i System, American Council of Engineering Companies of Hawaii, Hawai‘i Lodging & Tourism Association, Building Industry Association of Hawaii, and one individual. Your Committees received comments on this measure from the Department of Budget and Finance, Hawaii Community Development Authority, and League of Women Voters of Hawaii.

Your Committees find that the intent of Act 268 is to ensure the optimal development of the Stadium Development District for the enjoyment of Hawaii's residents and visitors. According to testimony received by your Committees, the establishment of the Stadium Development District special fund is a critical first step in the process to develop the area, make maximum use of the land, and accrue a plethora of benefits for the community. Your Committees further find that this measure will provide flexibility to the Stadium Authority to enable it to undertake redevelopment of the stadium area more efficiently.

Your Committees have amended this measure by 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 Water and Land and Energy, Economic Development, and Tourism that are attached to this report, your Committees are in accord with the intent and purpose of S.B. No. 1423, as amended herein, and recommend that it pass Second Reading in the form attached hereto as S.B. No. 1423, S.D. 1, and be referred to your Committee on Ways and Means.

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

________________________________ GLENN WAKAI, Chair

________________________________ LORRAINE R. INOUYE, Chair