HB1983

PART I

SECTION 1. The legislature finds that the State's natural resources are critical to its economic stability, energy security, climate resilience, public health, safety, and cultural continuity. The legislature further finds that planning for the availability of water supplies, the siting of renewable energy infrastructure, accurate wildfire and landslide risk assessment, and response procedures designed for drought and contamination emergencies are among the fiduciary acts performed by the State in the best interests of the public. The legislature believes that such planning and procedure is best made when high-quality, site-specific surface and subsurface data are considered, including information on stratigraphy, permeability, groundwater levels, temperature gradients, gas composition, and other geological conditions.

The legislature further finds that the public trust doctrine dictates that the State must protect and manage public natural resources, including water, land, and forests, for present and future generations while also providing for their "highest economic social benefits", necessitating the need to balance various, competing interests. Existing statutory and regulatory frameworks governing wells and mining were designed to manage the long-term production and viability of the State's water and mineral resources. However, these frameworks were implemented without consideration of the need to treat investigations conducted for the purpose of collecting scientific data that defines observable subsurface conditions differently from commercial developments. Consequently, these statutory and regulatory frameworks hinder scientific investigation that produces findings often needed by regulatory agencies to identify and guide their management of those resources.

The legislature also finds that regulatory frameworks governing water and mineral resources do not preclude non‑extractive scientific research that is necessary to identify and understand the State's natural resources. Furthermore, the State's environmental review framework authorizes agencies, subject to review of the environmental advisory council, to exempt actions that individually and cumulatively will, in all probability, have minimal or no consequential effects on the environment from the environmental review process.

The legislature additionally finds that the university of Hawaii and other research institutions based in the State use non-destructive analytical field processes in the normal course of their work. Those processes may include the use of temporary, small‑diameter boreholes used for the purpose of collecting scientific data that defines observable subsurface conditions. These activities are primarily non-commercial in nature and are not intended to support ongoing water or geothermal production. Boreholes used for these purposes are designed to be sealed or otherwise decommissioned after data gathering is complete in a manner that protects post-study groundwater and surface environments.

The legislature additionally finds that without regulatory clarification, temporary boreholes used for collecting scientific data that defines observable subsurface conditions may be subjected to the same administrative scrutiny as commercial exploration for water production wells or mining operations that regularly require environmental assessments or impact statements. As a result, time-sensitive geological subsurface characterization activities that produce useful scientific data are often delayed, which increases costs and often discourages data collection altogether.

Accordingly, the purpose of this part is to:

(1) Authorize geological subsurface characterization activities conducted by a public research institution under certain conditions;

(2) Clarify that boreholes or test holes drilled for the purposes of geological subsurface characterization are distinct from water well exploration and geothermal or mineral exploration and are therefore exempt from the requirements of chapter 174C, Hawaii Revised Statutes;

(3) Require the department of business, economic development, and tourism, to designate the Hawaii groundwater and geothermal resources center of the university of Hawaii, or a successor entity, as the repository for data collected from any geological subsurface characterization activity;

(4) Require the department of Hawaiian home lands to designate a repository or be the repository for any data collected from geological subsurface characterization activities conducted on lands it holds in trust;

(5) Require the department of land and natural resources to amend its exemption list to be consistent with administrative rules adopted by the department, clarifying that certain geological subsurface characterization activities shall be exempt from the environmental review process or shall only require an exemption notice;

(6) Require the university of Hawaii to amend its exemption list to specify that certain geological subsurface characterization activities shall be exempt from the environmental review process or shall only require an exemption notice;

(7) Require the department of health to amend its rules related to hazardous waste and hazardous waste management for consistency with Title 40, Code of Federal Regulations, Part 261, to clarify that certain waste products generated by geological subsurface characterization activity are exempt from hazardous waste management requirements; and

(8) Require that the first site where a borehole or test hole is drilled shall be located on land owned by the department of Hawaiian home lands.

SECTION 2. The Hawaii Revised Statutes is amended by adding a new chapter to be appropriately designated and to read as follows:

"Chapter

GEOLOGICAL SUBSURFACE CHARACTERIZATION

§ -1 Purpose; applicability. (a) The purpose of this chapter is to clarify that any temporary geological subsurface characterization activity, including a borehole or test bore drilling activity:

(1) Shall not be treated as mining operations or geothermal resources exploration or development under chapter 182, when conducted for scientific data gathering purposes;

(2) Shall not be treated as wells for the purposes of well construction and pump installation permitting under part VII of chapter 174C; provided that the geological subsurface characterization activity is conducted pursuant to section -3; and

(3) May qualify as de minimis or otherwise exempt actions under chapter 343; provided that the geologic subsurface characterization activity does not violate any rule adopted under chapter 343.

(b) Nothing in this chapter shall be construed to exempt a person from obtaining a permit or approval required by law, including but not limited to conservation district use permits under chapter 183C, shoreline or special management area permits under chapter 205A, or county ordinance.

(c) This chapter shall apply to any geological subsurface characterization activity conducted by or under the direction of a public research institution on:

(1) State lands, including public lands, forest reserves, lands in the conservation district, and other lands under the jurisdiction of the department of land and natural resources and department of Hawaiian home lands;

(2) Lands under the jurisdiction of other state or county agencies; and

(3) Private parcels; provided that the owner of the parcel has provided written permission to the public research institution.

(d) Except as explicitly provided in this chapter, nothing in this chapter shall be construed to:

(1) Limit public trust water resources under article XI of the Hawaii State Constitution or chapter 174C;

(2) Alter the jurisdiction of the department of health over underground injection well control, hazardous waste management, or drinking water protection; or

(3) Diminish protections for any Native Hawaiian traditional and customary practice, historic property, or cultural resource, including protections provided by article XII, section 7, of the Hawaii State Constitution, and chapter 6E.

§ -2 Definitions. For the purposes of this chapter:

"Borehole" means a temporary, artificial excavation, opening, or cored hole in the ground that is drilled, driven, or otherwise constructed solely for the purpose of geological subsurface characterization activities that is:

(1) Not equipped with permanent pumps or production equipment other than temporary or low-capacity equipment used for testing or sampling; and

(2) Abandoned, sealed, or converted to a monitoring or production well.

"Department" means the department of business, economic development, and tourism.

"Geological subsurface characterization activity" means any planned, temporary program of field activities executed or advised by a public research institution undertaken to collect scientific, engineering, or environmental data about subsurface geologic, hydrologic, geochemical, geophysical, geothermal, or related geological conditions, in compliance with section -3. "Geological subsurface characterization activity" includes but is not limited to:

(1) Reflection seismology, refraction seismology, multichannel analysis of surfaces waves, electrical resistivity tomography, induced polarization, ground‑penetrating radar, magnetotellurics, magnetic surveys, gravity surveys, and ground and airborne gamma spectrometry;

(2) Drilling, coring, or advancing small-diameter temporary boreholes;

(3) Collection of rock, soil, groundwater, gas, and temperature measurements and samples;

(4) Downhole logging, tracer testing, hydraulic or thermal response testing, and other measurements;

(5) Preparation, storage, and transmission of resulting data and samples; provided that the activity is not primarily intended to produce water, minerals, geothermal, heat, or other subsurface resources for sale, commercial use, or continuous operational use;

(6) Any extraction or injection that is limited in duration, volume, and pressure as reasonably necessary for data collection and testing; and

(7) Any activity necessary to seal or decommission a borehole.

"Groundwater" means any water found beneath the surface of the earth, whether in perched supply, dike confined, flowing, or percolating in underground channels or streams, under artesian pressure or not, or otherwise.

"Hazardous waste" means any material designated under Title 40, Code of Federal Regulations, Part 261.

"Injection well" means a well into which the subsurface disposal of a fluid or fluids occurs or is intended to occur by means of injection.

"Investigative-derived waste" means drill cuttings, drilling muds and fluids, purge water, development water, used tracers, and other materials generated during geological subsurface characterization borehole drilling, testing, sampling, and decommissioning.

"Non-commercial purpose" means an activity that is not conducted for the primary purpose of generating profit from the sale or use of water, geothermal heat, minerals, or other subsurface resources. "Non-commercial purpose" includes the receipt of or compliance with grants, contracts, research funding, or cost‑sharing arrangements with private entities.

"Public research institution" means a regionally accredited university or college in the State, a state or federal research agency, or their contractors or subgrantees acting under written direction and control of the institution or agency.

"Scientific data-gathering" means the systematic process of collecting, measuring, and recording information, including observations, measurements, or existing records, using established methods to answer research questions, test hypotheses, and draw valid, reliable conclusions to ensure accuracy and integrity for analysis and informed decision‑making.

"Test bore" or "test boring" means any excavation or drilled hole whose purpose is the immediate determination of subsurface geologic, hydrologic, geochemical, geophysical, or geothermal conditions. "Test bore" or "test boring" includes borings for foundation, underground storage tanks, and environmental monitoring under the purview of other government agencies and hazardous waste remediation that is not intended for the purpose of conversion to a production well.

"Well" has the same meaning as defined in section 174C-3.

§ -3 Geological subsurface characterization activity; authorized; requirements. (a) A public research institution may conduct geological subsurface characterization activities.

(b) Any borehole or test bore drilled for the purposes of a geological subsurface characterization activity shall:

(1) Be designed, constructed, and decommissioned in accordance with rules adopted by the department and best management practices, including appropriate casing, cementing, blowout prevention, and sealing;

(2) Avoid direct hydraulic connection between distinct aquifers or between contaminated and uncontaminated zones, to the extent practicable; and

(3) Be sealed or otherwise decommissioned not more than years from the date that drilling is completed; provided that the department may grant an extension for the purpose of ongoing data gathering;

provided further that any activities or extension of those activities conducted on lands held in trust by the department of Hawaiian home lands shall require approval from the department of Hawaiian home lands.

(c) Any pumping, flowing, or injection to or from a borehole drilled for a geological subsurface characterization activity shall:

(1) Be limited to the minimum volumes and durations reasonably necessary to perform hydraulic, thermal, or tracer testing or to collect representative samples;

(2) Not provide a continuous supply of groundwater or geothermal fluids for off-site use; and

(3) Not measurably and adversely affect any existing legal use of water or protected resources.

(d) A public research institution conducting geological subsurface characterization activity shall ensure that:

(1) The geological subsurface characterization activity shall not harm known cultural sites or burials or impede any Native Hawaiian traditional or customary practice;

(2) The geological subsurface characterization activity shall not pose any significant risk of groundwater contamination, subsidence, or induced hazards; and

(3) The geological subsurface characterization activity shall be in compliance with any applicable state and federal requirements relating to endangered species, historic preservation, and cultural resources.

§ -4 Investigative-derived waste; hazardous waste; management. (a) Investigative-derived waste generated by geological subsurface characterization activity shall be managed in accordance with Title 40, Code of Federal Regulations, Part 261; provided that investigative-derived waste that does not constitute hazardous waste, including drill cuttings and fluids, or are excluded from hazardous waste management under Title 40, Code of Federal Regulations, Section 261.4(b), shall not be managed in accordance with Title 40, Code of Federal Regulations, Part 261, solely because the investigative-derived waste was generated by a geological subsurface characterization activity.

(b) The department, in consultation with the department of health, may, by rule or guidance, specify a presumptive non‑hazardous management option for common categories of investigative-derived wasted, including:

(1) On-site or nearby land application of clean cuttings;

(2) Contained storage and evaporation of non-hazardous fluids; and

(3) Disposal at permitted solid waste facilities.

§ -5 Registration; proposal; requirements. (a) Notwithstanding sections 174C‑83 and 174C‑84, a public research institution shall register any geological subsurface characterization activity with the department.

(b) Before drilling a borehole for any geological subsurface characterization activity a public research institution shall submit to the department a geological subsurface characterization activity proposal and register the proposed project with the department. A geological subsurface characterization activity proposal shall include, at minimum, the:

(1) Project name;

(2) Contact information, including a telephone number, mailing address, and email address of the project manager;

(3) Proposed location or locations, including the tax map key or keys of the location or locations;

(4) Anticipated geological subsurface characterization activities, testing types, durations, and maximum pumping or injection rates;

(5) Proposed timeline for drilling, testing, and decommissioning;

(6) Proposed measures to prevent cross-contamination and protect groundwater; and

(7) A declaration of non-commercial purpose and intended data products.

(c) In addition to the requirements under subsections (a) and (b), a public research institution shall also register with the department of Hawaiian home lands and submit to the department of Hawaiian home lands the proposal required by subsection (b) if the proposed project is located on lands that the department of Hawaiian home lands holds in trust.

(d) The department or department of Hawaiian home lands, where applicable, may reject or condition a geological subsurface characterization activity proposal; provided that the department or department of Hawaiian home lands determines that the:

(1) Geological subsurface characterization activity proposal does not meet the requirements of subsection (b);

(2) Proposed geological subsurface characterization activity poses an unreasonable risk to groundwater resources, public trust purposes, or an existing legal use of water; or

(3) A borehole to be drilled for the geological subsurface characterization activity will be:

(A) Used to supply water or geothermal fluids for ongoing operational use beyond testing;

(B) Equipped with permanent pumping or production equipment; and

(C) Maintained beyond the time limit established under section -3 without decommissioning or conversion to a monitoring or production well.

(e) If the department or department of Hawaiian home lands, where applicable, does not reject a geological subsurface characterization activity proposal within forty‑five days from the receipt of the proposal, the public research institution conducting the geological subsurface characterization may proceed with the project.

§ -6 Reports; data collection and sharing; required. (a) A public research institution conducting geological subsurface characterization activity shall submit a report to the department for each borehole drilled for the purposes of geological subsurface characterization activity. The report shall include the final location, depth, basic construction details, and decommissioning status of each borehole; provided that the borehole has been converted to a well.

(b) A public research institution conducting any geological subsurface characterization activity on state lands or with funding provided by the State shall, within days after completion of data analysis, submit a report to a repository designated by the department detailing:

(1) Borehole locations, depths, and basic construction details;

(2) Stratigraphic and lithologic descriptions;

(3) Groundwater, temperature, and geophysical logs, as applicable; and

(4) Other non-proprietary data the department may require by rule;

(c) A public research institution shall submit the reports required under subsections (a) and (b) to the department of Hawaiian home lands or a depository designated by the department of Hawaiian home lands if the activity is conducted on lands that the department of Hawaiian home lands holds in trust.

(d) The department, in consultation with the department of land and natural resources, department of Hawaiian home lands, and other involved agencies may authorize reasonable protections for information a state or county agency deems culturally sensitive or site-specific data, including generalizing public location data for these sites, consistent with public trust and public interest considerations.

§ -7 Rules. The department, in consultation with the department of land and natural resources, department of health, and university of Hawaii shall adopt rules pursuant to chapter 91 for the purposes of this section, including:

(1) Technical standards for geological subsurface characterization activities, including borehole diameter, depth, design, construction, and decommissioning;

(2) Registration procedures, forms, and timelines;

(3) Standards determining whether a borehole drilled for geological subsurface characterization activities becomes a well that requires a permit pursuant to chapter 174C;

(4) Requirements for monitoring and reporting, including completion reports under section -6; and

(5) Enforcement mechanisms, including orders to cease operations, undertake corrective actions, or seal boreholes."

SECTION 3. Section 182-1, Hawaii Revised Statutes, is amended by amending the definition of "mining operations" to read as follows:

""Mining operations" means the process of excavation, extraction, and removal of minerals, and the [~~exploration or~~] development of any and all geothermal resources, from the ground, design engineering, other engineering, erection of transportation facilities and port facilities, erection of necessary plants, other necessary operations or development approved by the board preceding or connected with the actual extraction of minerals and the exploration or development of geothermal resources. "Mining operations" does not include a geological subsurface characterization activity as that term is defined in section -2."

SECTION 4. The department of business, economic development, and tourism and the department of Hawaiian home lands, where applicable, shall designate the Hawaii groundwater and geothermal resources center, or a successor entity, as the repository for data collected from any geological subsurface characterization activity to support planning for water resources, geothermal potential, hazard mitigation, and other public purposes; provided that the department of Hawaiian home lands shall be the repository for any data collected from geological subsurface characterization activities on lands it holds in trust.

SECTION 5. (a) The department of land and natural resources shall amend its exemption list to be consistent with rules adopted by the department and include geological subsurface characterization activities in part one of its exemption list where appropriate, specifying that certain geological subsurface characterization activities shall be exempt from the environmental review process.

(b) The department of land and natural resources shall amend its exemption list to be consistent with rules adopted by the department and include geological subsurface characterization activities in part two of its exemption list where appropriate, specifying that certain geological subsurface characterization activities shall only require the preparation and submission of an exemption notice.

SECTION 6. (a) The university of Hawaii shall amend its exemption list to include geological subsurface characterization activities in part one of its exemption list where appropriate, clarifying that certain geological subsurface characterization activities shall be exempt from the environmental review process.

(b) The university of Hawaii shall amend its exemption list to include geological subsurface characterization activities in part two of its exemption list where appropriate, specifying that certain geological subsurface characterization activities shall only require the preparation and submission of an exemption notice.

SECTION 7. The department of health shall amend its administrative rules relating to hazardous waste, hazardous waste management, and underground injection control for consistency with Title 40, Code of Federal Regulations, Part 261, to clarify that certain investigative-derived waste products generated by geological subsurface characterization activity are exempt from hazardous waste management requirements.

SECTION 8. There is appropriated out of the general revenues of the State of Hawaii the sum of $6,000,000 or so much thereof as may be necessary for fiscal year 2026-2027 to fund two drilling projects for the purposes of geological subsurface characterization; provided that the first site where a borehole or test hole is drilled shall be on land owned by the department of Hawaiian home lands.

The sum appropriated shall be expended by the Hawaii groundwater and geothermal resources center for the purposes of this Act.

PART II

SECTION 9. The legislature finds that the State's unique geographic location and marine resources provide exceptional opportunities for advancing ocean and earth science research and technology development.

The legislature further finds that the Hawaii groundwater and geothermal resources center, a research unit dedicated to providing historical and newly developed information relating to groundwater and geothermal resources, was founded in 2014 within the school of ocean and earth science and technology of the university of Hawaii at Manoa. The legislature believes that codifying the research center into statute will enhance the State's capacity to address critical challenges and contribute to the economic development and environmental sustainability of the State.

The legislature also finds that the Hawaii groundwater and geothermal resources center possesses the requisite knowledge and expertise to serve as the lead state agency to manage, direct, and guide geological subsurface characterization activities in the State.

The legislature additionally finds that the map of subsurface resources, inventoried in accordance with geological subsurface characterization activities, will expand gradually over time. Furthermore, such exploration of the State's subsurface resources should occur only when specified by appropriation, contract, or other form of funding. Site locations should be determined in accordance with the funder's specified geographic coordinate area of interest, project complexity, and the Hawaii groundwater and geothermal resources center's operational requirements.

Accordingly, the purpose of this part is to codify the establishment of the Hawaii groundwater and geothermal resources center within the school of ocean and earth science and technology of the university of Hawaii at Manoa.

SECTION 10. Chapter 304A, Hawaii Revised Statutes, is amended by adding a new section to part IV to be appropriately designated and to read as follows:

"§304A- Hawaii groundwater and geothermal resources center; structure; function. (a) There is established within the school of ocean and earth science and technology at the university of Hawaii at Manoa the Hawaii groundwater and geothermal resources center.

(b) The Hawaii groundwater and geothermal resources center shall:

(1) Advance the State's understanding of its geological subsurface characteristics through the collection, interpretation, and publication of new data, which shall improve knowledge of the State's:

(A) Groundwater, geothermal, and carbon storage resources, and;

(B) Volcanic history and hazards;

(2) Establish an information platform and central hub from which the Hawaii groundwater and geothermal resources center shall disseminate data and information related to the State's geological subsurface characterization activities with respect to the natural resources described in subsection (b)(1);

(3) Encourage research and innovation locally and globally in geological subsurface characterization activities; and

(4) Build a local workforce of professionals with expertise in the State's subsurface geology, resources, and geological subsurface research methods, including geophysics and drilling.

(1) Accept gifts, grants, and donations;

(2) Enter into contracts and agreements necessary to carry out its functions; and

(3) Employ staff as needed.

(d) The Hawaii groundwater and geothermal resources center shall submit an annual report of its activities pursuant to this section and findings and recommendations, including any proposed legislation, to the legislature no later than twenty days prior to the convening of each regular session."

SECTION 11. There is appropriated out of the general revenues of the State of Hawaii the sum of $ or so much thereof as may be necessary for fiscal year 2026-2027 for the establishment of the Hawaii groundwater and geothermal resources center within the school of ocean and earth science and technology of the university of Hawaii at Manoa.

The sum appropriated shall be expended by the university of Hawaii for the purposes of this Act.

PART III

SECTION 12. If any provision of this Act, or the application thereof to any person or circumstance, is held invalid, the invalidity does not affect other provisions or applications of the Act that can be given effect without the invalid provision or application, and to this end the provisions of this Act are severable.

SECTION 13. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.

SECTION 14. This Act shall take effect on July 1, 2026.

INTRODUCED BY:	_____________________________

HOUSE OF REPRESENTATIVES	H.B. NO.	1983
THIRTY-THIRD LEGISLATURE, 2026
STATE OF HAWAII