STAND

 

STAND. COM. REP. 3039

Honolulu, Hawaii

, 2004

RE: H.B. No. 1560

H.D. 1

 

 

Honorable Robert Bunda

President of the Senate

Twenty-Second State Legislature

Regular Session of 2004

State of Hawaii

Sir:

Your Committees on Water, Land, and Agriculture and Transportation, Military Affairs, and Government Operations, to which was referred H.B. No. 1560, H.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO DISPOSITION OF VESSELS BY THE DEPARTMENT OF LAND AND NATURAL RESOURCES,"

beg leave to report as follows:

The purpose of this measure is to require the Department of Land and Natural Resources to give a vessel owner notice and opportunity to be heard regarding the basis for impounding the vessel and raises the appraised value of an impounded vessel that does not need an auction to less than $5,000.

Testimony in support of this measure was submitted by the Department of Land and Natural Resources.

Your Committees find that there are several problems associated with the disposition of abandoned, derelict, and unauthorized vessels. First, there are many administrative costs associated with disposing abandoned, derelict, or unauthorized vessels at public auction. Many times, the money recovered from the auctioned vessels do not even cover the cost for the auction and operational costs to impound, transport, and store the vessel.

Second, there are no provisions to require administrative hearings for registered or recorded owners of impounded abandoned or derelict vessels. There are provisions for administrative hearings for registered or recorded owners of vessels impounded for unauthorized moorings.

Your Committees believe that this measure is necessary to raise the appraised value of an impounded vessel that does not require a public auction from $250 to $5,000. This increase helps to provide a cost efficient process for disposing impounded vessels. However, your Committees also believe that although the disposition process may be expedited, an administrative hearing process for impounded abandoned and derelict vessels will help to protect registered and recorded owners' due process rights prior to disposition of the vessels.

As affirmed by the records of votes of the members of your Committees on Water, Land, and Agriculture and Transportation, Military Affairs, and Government Operations that are attached to this report, your Committees are in accord with the intent and purpose of H.B. No. 1560, H.D. 1, and recommend that it pass Second Reading and be referred to the Committee on Ways and Means.

Respectfully submitted on behalf of the members of the Committees on Water, Land, and Agriculture and Transportation, Military Affairs, and Government Operations,

____________________________ CAL KAWAMOTO, Chair		____________________________ LORRAINE R. INOUYE, Chair