STAND. COM. REP. NO. 1164

Honolulu, Hawaii

, 2025

RE: H.B. No. 661

H.D. 2

Honorable Nadine K. Nakamura

Speaker, House of Representatives

Thirty-Third State Legislature

Regular Session of 2025

State of Hawaii

Madame:

Your Committee on Judiciary & Hawaiian Affairs, to which was referred H.B. No. 661, H.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO ENVIRONMENTAL REVIEW,"

begs leave to report as follows:

The purpose of this measure is to permit, except in certain circumstances, a previously authorized activity challenged as being subject to environmental review to continue while the applicable agency or applicant conducts an environmental assessment, prepares an environmental impact statement, or determines whether the activity is exempt.

Your Committee received testimony in support of this measure from the Department of Land and Natural Resources; Office of Planning and Sustainable Development; Calypso Charters; Activities and Attractions Association of Hawaii; The Westin Maui Resort & Spa; Maui Hotel & Lodging Association; Sail Maui; Teralani Sailing Adventures; Sheraton Maui Resort & Spa; Kāʻanapali Beach Resort Association; Quicksilver Charters, LLC; Three's Bar & Grill; Holo Holo Charters, Inc.; OUTRIGGER Kāʻanapali Beach Resort; Sea Sports Distributors; Island Dream Productions; OUTRIGGER Hospitality Group; Kaʻanapali Kai Charters; The Ritz-Carlton Maui, Kapalua; Hawaii Longline Association; Sailing Maui Inc.; Hana Hou Hospitality Restaurants; Sailing Shipps Ltd; Pacific Jet Sports; Hi-Tech Surf Sports; Cafe Jai, LLC; 3two3 Promotions; Island Scuba Inc.; Schooner Creek Boat Works; Aqualani, Trilogy Excursions; Hawaii Goes Fishing; Hawaii Seafood Council; Exclusive Limo Maui; Captain Andy's Sailing Inc; Ocean Tourism Coalition; Fair Wind Cruises; Kona Sunrise Charters; Maui Chamber of Commerce; Native Hawaiian Gathering Rights Association; and numerous individuals.

Your Committee received testimony in opposition to this measure from the Hawaiʻi Reef and Ocean Coalition; Climate Protectors Hawaiʻi; Environmental Caucus of the Democratic Party of Hawaiʻi; League of Women Voters of Hawaii; Sierra Club of Hawaiʻi; Nā Pāpaʻi Wāwae ʻUlaʻula; Free Access Coalition; Green Party of Hawaiʻi; Country Talk Story; Kihei Community Association; Big Island Reef Keepers Hui; Moana Ohana; ʻIlioʻulaokalani Coalition; Sierra Club, Maui Group; Pōʻai Wai Ola; Northwestern Hawaiian Islands Hui; Nā Kiaʻi Kai; Koʻolaupoko Hawaiian Civic Club; Conservation Council for Hawaiʻi; Heʻeia National Estuarine Research Reserve; Kuaʻāina Ulu ʻAuamo; Native Hawaiian Legal Corporation; For the Fishes; Kūmano I Ke Ala; Earthjustice; The Moanalua Gardens Foundation; Center for Biological Diversity; Hawaii Island Aha Moku; Friends of Hanauma Bay; and numerous individuals.

Your Committee received comments on this measure from two individuals.

Your Committee finds that the environmental review process under chapter 343, Hawaii Revised Statutes, was designed to evaluate the potential environmental impact of certain actions. Your Committee further finds that recent court decisions have broadened the definition of an environmental "action", extending the definition to long-standing, historically permitted activities in certain state-managed areas. Your Committee recognizes that the expansion of this definition negatively impacts law-abiding operations, such as commercial boating and recreational activities that are already regulated under strict administrative rules. This measure addresses this issue by permitting, except in certain circumstances, a previously authorized activity challenged as being subject to environmental review to continue while the applicable agency or applicant conducts an environmental assessment, prepares an environmental impact statement, or determines whether the activity is exempt.

Your Committee has amended this measure by:

(1) Narrowing which activities are authorized to continue while the agency or applicant conducts an environmental assessment, prepares an environmental impact statement, or determines whether the activity is exempt; and

(2) 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 Judiciary & Hawaiian Affairs that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 661, H.D. 1, as amended herein, and recommends that it pass Third Reading in the form attached hereto as H.B. No. 661, H.D. 2.

Respectfully submitted on behalf of the members of the Committee on Judiciary & Hawaiian Affairs,

____________________________

DAVID A. TARNAS, Chair