STAND. COM. REP. NO. 598

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 Water & Land, to which was referred H.B. No. 879, H.D. 1, 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; and

(2) Appropriate funds for the Cesspool Compliance Pilot Grant Project.

Your Committee received testimony in support of this measure from the Department of Hawaiian Home Lands; Department of Health; Hawai‘i Reef and Ocean Coalition; Hawai‘i Association of REALTORS; WAI: Wastewater Alternatives & Innovations; and three individuals.

Your Committee finds that all cesspools in the State must be upgraded or converted to a wastewater system by 2050. Your Committee further finds that while grants to assist low- and moderate-income property owners in their cesspool upgrades or conversions were authorized by Act 153, Session Laws of Hawaii 2022, these grants may not be sufficient to cover the full cost of an upgrade or conversion. Your Committee believes that authorizing additional funds and increasing the maximum amount of the grant allowed will enable the State to reach its policy goals and better protect the State's waters.

Your Committee respectfully requests your Committee on Finance, should it deliberate on this measure, to consider making the program a loan program, rather than a grant program, and to consider establishing need-based qualifications for applicants.

As affirmed by the record of votes of the members of your Committee on Water & Land that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 879, H.D. 1, and recommends that it be referred to your Committee on Finance.

Respectfully submitted on behalf of the members of the Committee on Water & Land,

____________________________

MARK J. HASHEM, Chair