STAND. COM. REP. NO. 461

Honolulu, Hawaii

RE: S.B. No. 411

S.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Thirty-Third State Legislature

Regular Session of 2025

State of Hawaii

Sir:

Your Committees on Government Operations and Water and Land, to which was referred S.B. No. 411 entitled:

"A BILL FOR AN ACT RELATING TO CAPITAL IMPROVEMENT PROJECTS AT STATE SMALL BOAT HARBORS AND STATE PARKS,"

beg leave to report as follows:

The purpose and intent of this measure is to:

(1) Allow the Department of Land and Natural Resources to engage in capital improvement project work at state small boat harbors and state parks without prior approval from the Legislature and Governor for existing facilities; and

(2) Require annual reports to the Legislature.

Your Committees received testimony in support of this measure from the Department of Land and Natural Resources; Hawaiʻi Fishermen's Alliance for Conservation and Tradition, Inc.; Ocean Tourism Coalition; Calypso Charters; Activities & Attractions Association of Hawaii, Inc.; and five individuals.

Your Committees received testimony in opposition to this measure from the Department of Budget and Finance.

Your Committees received comments on this measure from the Department of the Attorney General.

Your Committees find that the existing process for appropriating funds for the maintenance and repair of state small boat harbors and state parks is too time consuming, often leading to wear becoming extremely damaging before repairs can be made. The delay in the necessary repairs increases the costs of the repairs and leaves the public with limited access to vital hubs of recreation and tourism. This measure addresses this issue by allowing the Department of Land and Natural Resources to engage in capital improvement project work on these sites for existing facilities without prior approval from the Legislature and Governor.

Your Committees have amended this measure by:

(1) Inserting an effective date of July 1, 2050, to encourage further discussion; and

(2) Making a technical, nonsubstantive amendment for the purposes of clarity and consistency.

Your Committees note the concerns expressed by the Department of Budget and Finance and the Department of the Attorney General that this measure may be subject to challenge under the Hawaii State Constitution, as it provides for the expenditure of public moneys without an appropriation made by law. Your Committees find that this issue raises concerns that merit further consideration and respectfully request that subsequent Committees to which this measure is referred examine the matter.

As affirmed by the records of votes of the members of your Committees on Government Operations and Water and Land that are attached to this report, your Committees are in accord with the intent and purpose of S.B. No. 411, as amended herein, and recommend that it pass Second Reading in the form attached hereto as S.B. No. 411, S.D. 1, and be referred to your Committee on Ways and Means.

Respectfully submitted on behalf of the members of the Committees on Government Operations and Water and Land,

________________________________ LORRAINE R. INOUYE, Chair

________________________________ ANGUS L.K. MCKELVEY, Chair