Bill Text: HI SB1530 | 2011 | Regular Session | Introduced
Bill Title: BLNR; Public Lands; Lease Extension; Development Agreement
Spectrum: Partisan Bill (Democrat 2-0)
Status: (Passed) 2011-07-12 - (H) Act 219, on 7/11/2011 (Gov. Msg. No. 1323). [SB1530 Detail]
Download: Hawaii-2011-SB1530-Introduced.html
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THE SENATE |
S.B. NO. |
1530 |
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TWENTY-SIXTH LEGISLATURE, 2011 |
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STATE OF HAWAII |
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A BILL FOR AN ACT
relating to public lands.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
SECTION 1. Chapter 171, Hawaii Revised Statutes, is amended by adding a new section to be appropriately designated and to read as follows:
"§171- Commercial, hotel, resort, or industrial leases; extension of term. (a) Notwithstanding section 171-36, the board may extend the rental period of a lease of public lands for commercial, hotel, resort, or industrial use upon the approval by the board of a development agreement proposed by the lessee or lessee and developer to make substantial improvements to the demised premises.
(b) Prior to entering into a development agreement, the lessee or lessee and developer shall submit to the board the plans and specifications for the total development being proposed. The board shall review the plans and specifications and determine:
(1) Whether the development proposed in the development agreement is of sufficient worth and value to justify the extension of the lease;
(2) The estimated period of time to complete the improvements and expected date of completion of the improvements; and
(3) The minimum revised annual rent based on the fair market value of the lands to be developed, as determined by an appraiser for the board, and percentage rent where gross receipts exceed a specified amount.
No lease extension shall be approved until the board and the lessee or lessee and developer mutually agree to the terms and conditions of the development agreement.
(c) No construction shall commence until the lessee or lessee and developer have filed with the board a sufficient bond conditioned upon the full and faithful performance of all the terms and conditions of the development agreement.
(d) Any extension of a lease pursuant to this section shall be based upon the substantial improvements to be made and shall be for a period not longer than fifty-five years.
(e) As used in this section "substantial improvements" means any renovation, rehabilitation, reconstruction, or construction of the demised premises, including minimum requirements for off-site and on-site improvements, the cost of which equals or exceeds fifty per cent of the market value of the demised premises, that the lessee or lessee and developer shall install, construct, and complete by the date of completion of the total development."
SECTION 2. New statutory material is underscored.
SECTION 3. This Act shall take effect upon its approval and shall be repealed on December 31, 2015.
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INTRODUCED BY: |
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Report Title:
BLNR; Public Lands; Lease Extension; Development Agreement
Description:
Authorizes BLNR to extend leases of public lands for commercial, hotel, resort, or industrial use upon approval of a proposed development agreement to make substantial improvements to the premises.
The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.
