STAND. COM. REP. NO. 3002

Honolulu, Hawaii

RE: S.B. No. 2599

S.D. 2

Honorable Ronald D. Kouchi

President of the Senate

Thirty-Third State Legislature

Regular Session of 2026

State of Hawaii

Sir:

Your Committee on Ways and Means, to which was referred S.B. No. 2599, S.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO DEVELOPMENT,"

begs leave to report as follows:

The purpose and intent of this measure is to facilitate the development of various areas in the State.

Specifically, this measure:

(1) Renames the Stadium Development District as the Halawa Community Development District, makes corresponding amendments, and appropriates funds for the district;

(2) Requires the Stadium Authority to submit a district land use and project readiness report for the district; and

(3) Establishes the Banyan Drive Community Development District and Banyan Drive community development district special fund, and appropriates funds for the district; and

(4) Requires the Hawaii Community Development Corporation to plan for complete communities when including housing in a district or community.

Your Committee received written comments in support of this measure from the Stadium Authority.

Your Committee received written comments in opposition to this measure from Kupuna for the Moopuna.

Your Committee received written comments on this measure from the Department of the Attorney General, Office of Hawaiian Affairs, Hawaii Community Development Authority, and one individual.

Your Committee finds that clarifying the roles of the Stadium Authority and the Hawaii Community Development Authority while establishing clear milestones in the development process will help to increase government efficiency and accelerate project timelines.

Having received prior concurrence from the previous subject‑matter Committee Chair, your Committee has amended this measure by:

(1) Deleting Part II of the measure, specifically the provisions establishing the Banyan Drive Community Development District and Banyan Drive development district special fund;

(2) Correcting references to the Halawa Community Development District;

(3) Making the release of Stadium Development District project funds contingent upon the Legislature officially approving the Stadium Authority's district land use and project readiness report and the Hawaii Community Development Authority's infrastructure financing plan;

(4) Streamlining the development process by shifting the responsibility for district infrastructure financing directly to the Hawaii Community Development Authority and removing various reporting steps;

(5) Requiring the Stadium Authority to hire an independent stadium construction expert with proven on-site stadium construction experience to oversee the stadium development project;

(6) Requiring the Stadium Authority to finalize and submit to the President of the Senate and Speaker of the House of Representatives an organizational chart and organizational matrix; and

(7) Changing the amount appropriated to an unspecified sum, to facilitate further discussion on the measure.

As affirmed by the record of votes of the members of your Committee on Ways and Means that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 2599, S.D. 1, as amended herein, and recommends that it pass Third Reading in the form attached hereto as S.B. No. 2599, S.D. 2.

Respectfully submitted on behalf of the members of the Committee on Ways and Means,

________________________________

DONOVAN M. DELA CRUZ, Chair