HONOLULU

June 20, 2003

STATEMENT OF OBJECTIONS TO SENATE BILL NO. 1661

Honorable Members

Twenty-Second Legislature

State of Hawaii

Pursuant to Section 16 of Article III of the Constitution of the State of Hawaii, I am returning herewith, without my approval, Senate Bill No. 1661, entitled "A Bill for an Act Relating to the Housing and Community Development Corporation of Hawaii."

The purpose of this bill is to require the Housing and Community Development Corporation of Hawaii (HCDCH) to complete construction of the Villages of Kapolei by June 30, 2011, and to to collaborate and coordinate with the State Department of Transportation (DOT) and the City and County of Honolulu (City) in implementing the recommendations of the private traffic study for the Villages of Kapolei prepared by Walkable Communities, Inc.

This bill is objectionable because it requires the HCDCH to complete the construction of the Villages of Kapolei by a specific date without consideration of factors beyond the HCDCH's control that could make it impossible to comply with the law. For example, the HCDCH has little or no control over fluctuating real estate market conditions and the City's ability to complete water and sewer infrastructure.

This bill further requires the HCDCH to collaborate and coordinate with the City and the DOT to implement the recommendations of the traffic study. However, some recommendations may negatively impact the larger Kapolei region or the Ewa Transportation Master Plan and jeopardize the dedication of the roadway infrastructure to the City.

Even without this bill, completion of the Villages of Kapolei remains one of the HCDCH's top priorities. Approximately 2,600 housing units, three schools -- the Kapolei Elementary, Middle, and High Schools -- and the Kapolei Recreation Center have been built. The remainder will be completed as soon as practicable, consistent with community concerns and financial and engineering realities.

For the foregoing reasons, I am returning Senate Bill No. 1661 without my approval.