STAND. COM. REP. NO. 881

Honolulu, Hawaii

RE: S.B. No. 287

S.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Thirty-Second State Legislature

Regular Session of 2023

State of Hawaii

Sir:

Your Committees on Commerce and Consumer Protection and Ways and Means, to which was referred S.B. No. 287, S.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO AGRICULTURAL DISTRICTS,"

beg leave to report as follows:

The purpose and intent of this measure is, for condominium property regimes located within agricultural districts, to authorize counties to require its approval of the subdivision of land greater than ten acres prior to the effective date of the condominium property regime.

Your Committees received testimony in support of this measure from the Department of Agriculture, Office of Planning and Sustainable Development, and Department of Planning and Permitting of the City and County of Honolulu. Your Committees received testimony in opposition to this measure from one individual. Your Committees received comments on this measure from the Department of the Attorney General.

Your Committees find that condominium property regimes are a specific form of property ownership that entitles the unit owner to a dwelling unit and a percentage of undivided interest in the common elements. However, the proliferation of condominium property regimes has also raised concerns regarding the effect on increasing agricultural land values and the amount of agricultural production occurring on condominium property regime developments. This measure broadens the role of the counties to enforce county zoning laws and address concerns of condominium property regime activity on agricultural lands.

Your Committees also note the testimony of the Department of the Attorney General regarding the usage of the term "subdivision" in this measure, which is commonly used to refer to a specific county process that involves the division of a single parcel of land into two or more parcels. A county subdivision is a lengthy process that involves specific design requirements and a county-approval process. Establishment of a condominium property regime is a process separate from the county subdivision process, as a condominium property regime involves the division of ownership over land into multiple units. As condominium property regimes do not require county approval, the usage of the term "subdivision" may be unclear. Your Committees therefore find this concern merits further consideration, should this measure continue through the legislative process.

As affirmed by the records of votes of the members of your Committees on Commerce and Consumer Protection and Ways and Means that are attached to this report, your Committees are in accord with the intent and purpose of S.B. No. 287, S.D. 1, and recommend that it pass Third Reading.

Respectfully submitted on behalf of the members of the Committees on Commerce and Consumer Protection and Ways and Means,

________________________________ DONOVAN M. DELA CRUZ, Chair

________________________________ JARRETT KEOHOKALOLE, Chair