STAND. COM. REP. NO. 1398

Honolulu, Hawaii

, 2025

RE: S.B. No. 1074

S.D. 2

H.D. 1

Honorable Nadine K. Nakamura

Speaker, House of Representatives

Thirty-Third State Legislature

Regular Session of 2025

State of Hawaii

Madame:

Your Committees on Energy & Environmental Protection and Water & Land, to which was referred S.B. No. 1074, S.D. 2, entitled:

"A BILL FOR AN ACT RELATING TO ENVIRONMENTAL IMPACT STATEMENTS,"

beg leave to report as follows:

The purpose of this measure is to allow:

(1) A previously authorized or permitted activity or operation to continue operation for a period of one year while the appropriate agency determines whether the activity or operation is subject to or exempt from the environmental review process; and

(2) A person with oversight of a previously authorized or permitted activity or operation to renew the appropriate permits while under the environmental review process.

Your Committees received testimony in support of this measure from the Department of Land and Natural Resources; Office of Planning and Sustainable Development; Teralani Sailing Adventures; NOKANET Consulting; Ocean Tourism Coalition; Activities and Attractions Association of Hawaii; Sailing Shipps LTD. dba Gemini Charters; Maui Hotel and Lodging Association; The Westin Maui Resort & Spa; Maui Chamber of Commerce; Kaanapali Golf Courses; Absolute Charters dba Kainani Sails; Maui Classic Charters; Explore Kauai Scuba; Jack's Diving Locker; Absolute Charters, Inc.; Lahaina Divers; Blue Dolphin Charters, Ltd.; Maui Brewing Co; The Ritz-Carlton Maui, Kapalua; Meili Vodka; Outfitters Kauai Ltd; Island Scuba Inc.; Schooner Creek Boat Works; Critical Ocean Rescue Education Hawaii; Resting Beach Face LLC; Holokai Catamaran; Islands Beach Activities, Inc.; Fun Charters Inc.; Sheraton Maui Resort & Spa; RED Hospitality and Leisure Hawaii, LLC; Outrigger Hospitality Group; Maitaʻi Catamaran Corporation; Sailing Shipps; Sailing Maui Inc.; Exclusive Limo Maui; Island Dream Productions; Sea Maui; Gone Surfing Hawaii; Kaʻanapali Kai Charters; Three's Bar & Grill; Na Pali Experience; 3two3 Promotions; Anela Kai Catamarans, Inc.; Hi-Tech Surf Sports; Banyan Tree Divers Maui; Splashers Ocean Adventures DBA Kona Snorkel Trips; Extended Horizons; Captain Andy's Sailing; Maui Snorkeling; Kamoana Incorporated; Trilogy Excursions; Aloha Blue Charters; Aqua Adventures; Holo Holo Charters, Inc.; Irish on maui; Tech Partners Hawaii; Outrigger Kāʻanapali Beach Resort; and numerous individuals.

Your Committees received testimony in opposition to this measure from the Office of Hawaiian Affairs; ʻĪlioʻulaokalani Coalition; Earthjustice; Clean The Pacific; Recycle Hawaii; Northwestern Hawaiian Islands Hui; Sierra Club of Hawaiʻi; For the Fishes; Rights of Nature Hawaiʻi; Hawaiʻi Reef and Ocean Coalition; Climate Protectors Hawaiʻi; Friends of Hanauma Bay; League of Women Voters of Hawaii; Friends of Pebble Beach, South Kona, HI; Environmental Caucus of the Democratic Party of Hawaiʻi; Kihei Community Association (KCA); Big Island Reef Keepers Hui; Earthjustice; Pōʻai Wai Ola; Nā Kiaʻi Kai; Native Hawaii Legal Corporation; Free Access Coalition; Surfrider Foundation, Hawaiʻi Region; KuaʻĀina Ulu ʻAuamo; Kupuna for the Moopuna; Green Party of Hawaiʻi; Kūmano I Ke Ala; Koʻolaupoko Hawaiian Civic Club; Legacy Reef Foundation; and numerous individuals.

Your Committees find that recent court decisions have broadened the kind of activities that are subject to environmental review, potentially forcing long-standing commercial activities to cease operation while the environmental review is conducted. While your Committees recognize that certain activities should be authorized to continue operations pending environmental review, this authorization should be more narrowly applied.

Accordingly, your Committees have amended this measure by:

(1) Allowing only those activities or operations that are permitted or authorized under chapter 200, Hawaii Revised Statutes, and renewed within twelve months preceding the initiation of proceedings to determine whether the activities or operations are subject to environmental review to continue operation for one year pending the determination and any necessary environmental review and allowing persons with oversight of these activities or operations to renew permits;

(2) Adding a sunset date of June 30, 2027;

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

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

As affirmed by the records of votes of the members of your Committees on Energy & Environmental Protection and Water & Land that are attached to this report, your Committees are in accord with the intent and purpose of S.B. No. 1074, S.D. 2, as amended herein, and recommend that it pass Second Reading in the form attached hereto as S.B. No. 1074, S.D. 2, H.D. 1, and be referred to your Committee on Judiciary & Hawaiian Affairs.

Respectfully submitted on behalf of the members of the Committees on Energy & Environmental Protection and Water & Land,

____________________________ MARK J. HASHEM, Chair

____________________________ NICOLE E. LOWEN, Chair