STAND. COM. REP. NO. 104

Honolulu, Hawaii

, 2025

RE: H.B. No. 879

H.D. 1

Honorable Nadine K. Nakamura

Speaker, House of Representatives

Thirty-Third State Legislature

Regular Session of 2025

State of Hawaii

Madame:

Your Committee on Energy & Environmental Protection, to which was referred H.B. No. 879 entitled:

"A BILL FOR AN ACT RELATING TO CESSPOOL CONVERSIONS,"

begs leave to report as follows:

The purpose of this measure is to:

(1) Increase the maximum grant amount for the Cesspool Compliance Pilot Grant Project from $20,000 to $30,000;

(2) Establish positions within the Department of Health for the Cesspool Compliant Pilot Grant Project; and

(3) Appropriate funds.

Your Committee received testimony in support of this measure from the Department of Hawaiian Home Lands; Department of Health; Environmental Caucus of the Democratic Party of Hawaiʻi; Public Access to SunScreens Coalition; Hawaiʻi Reef and Ocean Coalition; Hawaiʻi Association of REALTORS; Coral Reef Alliance; Hawaiʻi Wai Ola; WAI: Wastewater Alternatives & Innovations; and four individuals.

Your Committee finds that all cesspools in the State are required to be upgraded or converted to an approved wastewater system or connected to a sewage system by 2050. Your Committee further finds that although Act 153, Session Laws of Hawaii 2022, established a Cesspool Compliance Pilot Grant Project to assist certain low- and moderate-income property owners with the cost of upgrading or converting cesspools, the maximum grant amount may be insufficient to cover all upgrade or conversion costs. Your Committee believes that increasing the maximum grant amount, as proposed by this measure, will ensure the State meets its goal of upgrading or converting all cesspools by 2050.

Your Committee has amended this measure by:

(1) Clarifying that the owner or lessee shall provide receipts of payment made to wastewater and plumbing supply companies to satisfy certain requirements for grant awards;

(2) Changing the maximum grant amount for the Cesspool Compliance Pilot Grant Project to an unspecified amount;

(3) Removing the appropriation establishing a position within the Department of Health;

(4) Changing the appropriation to fund the Cesspool Compliance Pilot Grant Project to an unspecified amount;

(5) Changing the effective date to July 1, 3000, to encourage further discussion; and

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

Your Committee respectfully requests your Committee on Finance, should it deliberate on this measure, to consider the appropriation amount of $5,000,000 to fund the Cesspool Compliance Pilot Grant Project.

As affirmed by the record of votes of the members of your Committee on Energy & Environmental Protection that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 879, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 879, H.D. 1, and be referred to your Committee on Water & Land.

Respectfully submitted on behalf of the members of the Committee on Energy & Environmental Protection,

____________________________

NICOLE E. LOWEN, Chair