STAND. COM. REP. NO. 1086-24

Honolulu, Hawaii

, 2024

RE: S.B. No. 3157

S.D. 2

H.D. 1

Honorable Scott K. Saiki

Speaker, House of Representatives

Thirty-Second State Legislature

Regular Session of 2024

State of Hawaii

Sir:

Your Committee on Water & Land, to which was referred S.B. No. 3157, S.D. 2, entitled:

"A BILL FOR AN ACT RELATING TO DIRECT NEGOTIATION FOR PUBLIC LAND LEASES,"

begs leave to report as follows:

The purpose of this measure is to authorize the use of direct negotiation to dispose of public land leases for agricultural, commercial, industrial, resort, and hotel purposes.

Your Committee received testimony in support of this measure from the Department of Land and Natural Resources and two individuals. Your Committee received testimony in opposition to this measure from the League of Women Voters of Hawaii; Unite Here Local 5; Hawaiʻi Farmers Union United; and one individual. Your Committee received comments on this measure from one member of the Hawaiʻi County Council.

Your Committee finds that authorizing the Department of Land and Natural Resources to directly negotiate with a potential lessee that has a specific, identified project provides the Board and Department of Land and Natural Resources the opportunity to more effectively review the project to ensure compliance with environmental impact laws and conformity with public trust obligations.

Your Committee has amended this measure by:

(1) Removing the proposed requirement that only public lands that do not qualify for disposition under section 171-59(a), Hawaii Revised Statutes, are eligible for disposition by direct negotiation;

(2) Removing agriculture, hotel, and resort uses from eligibility for disposition by direct negotiation;

(3) Restricting the eligibility for disposition by direct negotiation for commercial and industrial uses to only parcels of five acres or less;

(4) Requiring the Board of Land and Natural Resources to hold at least two public hearings before it can approve the disposition;

(5) Repealing it in five years;

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

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

As affirmed by the record of votes of the members of your Committee on Water & Land that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 3157, S.D. 2, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 3157, S.D. 2, H.D. 1, and be referred to your Committee on Judiciary & Hawaiian Affairs.

Respectfully submitted on behalf of the members of the Committee on Water & Land,

____________________________

LINDA ICHIYAMA, Chair