STAND. COM. REP. NO. 1397

Honolulu, Hawaii

, 2025

RE: S.B. No. 1602

S.D. 1

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. 1602, S.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO THE KEAUHOU AQUIFER SYSTEM,"

beg leave to report as follows:

The purpose of this measure is to:

(1) Establish the Keauhou Aquifer System Monitoring Pilot Program; and

(2) Appropriate funds to the Department of Land and Natural Resources to install two monitoring wells in the Keauhou Aquifer System.

Your Committees received testimony in support of this measure from the Department of Land and Natural Resources; Hawaii Housing Finance and Development Corporation; Natural Energy Laboratory of Hawaii Authority; Kona Community Development Plan Action Committee; Kona-Kohala Chamber of Commerce; Chamber of Commerce of Hawaii; and two individuals.

Your Committees find that the Keauhou Aquifer System, a vital water source that sustains local communities, faces issues related to increased water demand and overuse. Your Committees further find that these issues necessitate further monitoring of the Keauhou Aquifer System and additional testing to ensure safe water quality.

Your Committees have amended this measure by:

(1) Amending the Keauhou Aquifer System Monitoring Pilot Project by:

(A) Clarifying that the Commission on Water Resource Management may work with other agencies;

(B) Clarifying that the Commission will conduct water salinity tests and include water salinity analysis in reports to the Legislature;

(C) Adding additional responsibilities related to monitoring, public outreach, and planning; and

(D) Requiring the Department of Land and Natural Resources to determine whether to continue, expand, or end the Keauhou Aquifer System Monitoring Pilot Project based on its assessment of the Pilot Project;

(2) Adding an appropriation of an unspecified sum for the Keauhou Aquifer System Monitoring Pilot Project;

(3) Changing the appropriation for the installation of two monitoring wells to be for only fiscal year 2025-2026;

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

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

Your Committees respectfully request your Committee on Finance, should it deliberate on this measure, to consider the appropriation amounts of:

(1) $200,000 for the Keauhou Aquifer System Monitoring Pilot Project; and

(2) $4,000,000 for the installation of two monitoring wells in the Keauhou Aquifer System.

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. 1602, S.D. 1, as amended herein, and recommend that it pass Second Reading in the form attached hereto as S.B. No. 1602, S.D. 1, H.D. 1, and be referred to your Committee on Finance.

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