STAND. COM. REP. NO. 607

Honolulu, Hawaii

, 2025

RE: H.B. No. 661

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 H.B. No. 661 entitled:

"A BILL FOR AN ACT RELATING TO ENVIRONMENTAL REVIEW,"

beg leave to report as follows:

The purpose of this measure is to permit, except in certain circumstances, a previously authorized activity challenged as being subject to environmental review to continue while the applicable agency conducts an environmental assessment, prepares an environmental impact statement, or determines whether the activity is exempt.

Your Committees received testimony in support of this measure from the Department of Land and Natural Resources; Office of Planning and Sustainable Development; Ocean Tourism Coalition; Holo Holo Charters; Captain Andy's Sailing Adventures; Fair Wind Cruises; Kona Sunrise Charters; Kaʻanapali Beach Resort Association; Sailing Maui Inc.; Sea Paradise Scuba Inc.; Sea Quest Hawaii; Sail Maui; Body Glove Hawaii; Calypso Charters; OUTRIGGER Kaʻanapali Beach Resort; Teralani Sailing; OUTRIGGER Hospitality Group; Absolute Charters Inc.; Maui Hotel and Lodging Association; Jack's Diving Locker; Maui Brewing Co.; Blue Dolphin Charters, Ltd.; Maui Chamber of Commerce; Explore Kauai Scuba, LLC; Sailing Shipps LTD; Activities & Attractions Association of Hawaii, Inc.; and numerous individuals. Your Committees received testimony in opposition to this measure from the Office of Hawaiian Affairs; Earthjustice; Sierra Club of Hawaiʻi; Green Party of Hawaiʻi; Free Access Coalition; Kupuna for the Moopuna; League of Women Voters of Hawaii; and numerous individuals. Your Committees received comments on this measure from one individual.

Your Committees find that recent court decisions have broadened the types of actions that necessitate environmental review. Your Committees further find that this expansion subjects law-abiding operations, including commercial boating and recreational activities, to environmental review, causing disruptions to many businesses. This measure addresses this issue by allowing, except in certain circumstances, a previously authorized activity to continue while the applicable agency or applicant conducts an environmental assessment, prepares an environmental impact statement, or determines whether the activity is exempt.

Your Committees have amended this measure by:

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

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

Your Committees note that there are still significant issues with this measure as written and that continued collaboration with various stakeholders will be necessary to make amendments to this measure as it moves forward.

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 H.B. No. 661, as amended herein, and recommend that it pass Second Reading in the form attached hereto as H.B. No. 661, 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