Bill Text: HI SB3122 | 2014 | Regular Session | Amended

Hawaii Senate Bill 3122 (Prior Session Legislation)

Bill Title: Hawaii Community Development Authority; Residential Development

Spectrum: Partisan Bill (Democrat 12-0)

Status: (Engrossed - Dead) 2014-04-25 - Conference committee meeting to reconvene on 04-25-14 4:45pm in conference room 312. [SB3122 Detail]

Download: Hawaii-2014-SB3122-Amended.html

THE SENATE	S.B. NO.	3122
TWENTY-SEVENTH LEGISLATURE, 2014		S.D. 2
STATE OF HAWAII		H.D. 2

A BILL FOR AN ACT

RELATING TO HAWAII COMMUNITY DEVELOPMENT AUTHORITY.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

SECTION 1. The purpose of this Act is to enhance the revenue generating capacity of three parcels of land that were transferred to the office of Hawaiian affairs by Act 15, Session Laws of Hawaii 2012 (Act 15). To accomplish this purpose, this Act raises the building height limit for two of the three parcels to four hundred feet and lifts the current restriction against residential development in Kakaako makai, to which the parcels are subject, to allow residential development by the office of Hawaiian affairs itself or by third parties to which the office of Hawaiian affairs conveys the parcels.

The office of Hawaiian affairs was established under article XII, section 5, of the Hawaii State Constitution to "hold title to all the real and personal property now or hereafter set aside or conveyed to it which shall be held in trust for native Hawaiians and Hawaiians." Its board of trustees is authorized by article XII, section 6, of the State Constitution "to manage and administer the proceeds from the sale or other disposition of the lands... and income derived from whatever sources for native Hawaiians and Hawaiians, including all income and proceeds from that pro rata portion of the trust referred to in section 4 of this article [i.e., the public land trust] for native Hawaiians..." That section also authorized the board to "exercise control over real ... property ... transferred to the board for native Hawaiians and Hawaiians."

In section 1 of Act 15, the legislature found that one of that Act's purposes was to:

effectively and responsibly fulfill the constitutional obligation to native Hawaiians under article XII, sections 4 and 6, of the State Constitution between November 7, 1978, up to and including June 30, 2012, by ... providing additional resources to the office [of Hawaiian affairs] in the form of fee simple title to certain parcels of land ....

In the same section of Act 15, the legislature declared that the "[c]onveyance of the fee simple interest to the lands ... will allow the State to effectively and responsibly meet [those] constitutional obligations to native Hawaiians."

Further, section 2 of Act 15 stated, "the fee simple interest to [nine] parcels of land [including lots 1 and 9 of File Plan 2471 and the parcel identified by TMK (1) 2-1-15-61, was] conveyed to the office of Hawaiian affairs as grantee, as of July 1, 2012, as is, where is..." In the same section of Act 15, however, the legislature specifically directed that, "[t]he [nine parcels] are and shall remain (even after conveyance to the office) under the jurisdiction and authority of the Hawaii community development authority with respect to zoning, land use conditions and all other matters over which the authority has jurisdiction and authority to act," and "shall be subject to all laws, except sections 206E-8, 206E-10, 206E-34, Hawaii Revised Statutes, and as otherwise provided in this Act..."

Particularly pertinent to the purpose of Act 15, in section 6, the legislature further declared that "[t]he [p]roperties conveyed by this Act shall be deemed income and proceeds from the public land trust, as if the [p]roperties had been paid out of the income and proceeds from the public land trust pursuant to article XII, section 6 of the State Constitution."

Relying on its board of trustees' authority to "exercise control" over lands that the office of Hawaiian affairs holds in trust for native Hawaiians, and to "manage and administer" the income and proceeds from the public land trust lands it receives, the office of Hawaiian affairs has asked the legislature to enact this Act to allow the office of Hawaiian affairs to maximize the income or proceeds that three of the parcels of land conveyed by Act 15 could generate for the purposes of bettering the conditions of native Hawaiians, by allowing the parcels to be developed for residential use.

The legislature finds that the on-going transformation of Kakaako into a place where the people of Honolulu can live, work, and play should increase the revenue generating potential of the land conveyed to the office of Hawaiian affairs by Act 15 and concomitantly increase the number of programs and kinds of services that the office of Hawaiian affairs was created and is able to provide for native Hawaiians. The legislature further finds that even more revenue could be generated to provide programs and services to better the conditions of native Hawaiians, if the office of Hawaiian affairs were permitted to develop some or all of the parcels it received under Act 15 for residential use.

The legislature agrees that the residential development restriction to which all of the parcels transferred to the office of Hawaiian affairs by Act 15 were and continue to be subject should be lifted to the extent necessary to allow the office of Hawaiian affairs to realize the maximum income or proceeds that lots 1 and 9 of File Plan 2471, and the parcel identified by TMK (1) 2-1-15-61 could generate, if they were developed for residential use.

Finally, the legislature finds that inasmuch as this Act furthers one of the principle purposes for which the office of Hawaiian affairs was established as a state agency, its provisions should be deemed consistent with and not violative of article XI, section 5, of the State Constitution.

SECTION 2. Chapter 206E, Hawaii Revised Statutes, is amended by adding three new sections to part II to be appropriately designated and to read as follows:

"§206E-A Limited residential development in Kakaako; public hearing prerequisite; height limit; association fee. (a) The authority may approve any plan or proposal for any residential development in Kakaako on any parcels identified as tax map key (1) 2-1-15-61 and Lots 1 and 9 of File Plan 2471 filed at the bureau of conveyances on February 23, 2010; provided that the authorization for residential development pursuant to this section shall apply to each of these land areas even in the event that a parcel's official tax map key number changes; provided further that approval may be granted only after the applicant seeking approval conducts a public hearing held in accordance with subsection (b), notwithstanding hearing procedures under chapter 91.

(b) Prior to submission to the authority of any plan or proposal for any residential development pursuant to this section, the applicant seeking approval shall hold a public hearing after notice is published, in accordance with section 1‑28.5, at least thirty days prior to the hearing. The notice shall include:

(1) The date, time, and place of the hearing;

(2) A statement of the topic of the hearing; and

(3) A description of where, when, and how the residential development proposal may be viewed by the public.

All interested persons may submit data or opinions, orally or in writing, in conjunction with the hearing.

(c) Prior to submitting to the authority for approval any plan or proposal for residential development pursuant to this section, the applicant for approval shall fully consider all written and oral submissions allowed pursuant to subsection (b) with regard to the proposed residential development.

(d) Prior to approving any plan or proposal for residential development pursuant to this section, the authority shall hold a public hearing in accordance with subsection (b).

(e) Prior to approving any plan or proposal for residential development pursuant to this section, the authority shall fully consider all written and oral submissions received at the public hearings held by the applicant and the authority.

(f) Any other law to the contrary notwithstanding, the building height limit shall be four hundred feet for residential development pursuant to this section on the parcels identified by tax map key (1) 2-1-15-61 and Lot 1 of File Plan 2471 filed at the bureau of conveyances on February 23, 2010.

§206E-B Kakaako makai association fee. The authority shall determine a Kakaako makai association fee to be collected from all residential developments in Kakaako on lands identified in section 206E-A(a); provided that the fee shall be collected from residential owners.

§206E-C Kakaako makai special account. Kakaako makai association fees collected pursuant to section 206E-B shall be deposited into a special account in the Hawaii community development revolving fund established in section 206E-16. Moneys from the special account shall be used to fund various services and projects, including but not limited to maintenance, improvements, free public parking for park users, public beach access, security, and parks and open spaces, for the Kakaako community development district makai of Ala Moana boulevard and between Kewalo basin and the foreign trade zone. Disbursements from the special account shall be made in accordance with procedures adopted by the authority and approved by the director of finance."

SECTION 3. Section 206E-12, Hawaii Revised Statutes, is amended to read as follows:

"§206E-12 Dedication for public facilities as condition to development. The authority shall establish rules requiring dedication for public facilities of land or facilities, or cash payments in lieu thereof, by developers as a condition of developing real property pursuant to the community development plan. Where state and county public facilities dedication laws, ordinances, or rules differ, the provision for greater dedication shall prevail.

This section shall not apply to lands identified in section 206E-A(a)."

SECTION 4. Section 206E-31.5, Hawaii Revised Statutes, is amended to read as follows:

"[[]§206E-31.5[]] Prohibitions. Anything contained in this chapter to the contrary notwithstanding[,] and except as provided in section 206E-A, the authority is prohibited from:

(1) Selling or otherwise assigning the fee simple interest in any lands in the Kakaako community development district to which the authority in its corporate capacity holds title, except with respect to:

(A) Utility easements;

(B) Remnants as defined in section 171-52;

(D) Private entities for purposes of any easement, roadway, or infrastructure improvements; or

(2) Approving any plan or proposal for any residential development in that portion of the Kakaako community development district makai of Ala Moana boulevard and between Kewalo basin and the foreign trade zone."

SECTION 5. In codifying the new sections added by section 2 of this Act, the revisor of statutes shall substitute appropriate section numbers for the letters used in designating the new sections in this Act.

SECTION 6. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.

SECTION 7. This Act shall take effect on July 1, 2050.

Report Title:

Hawaii Community Development Authority; Residential Development

Description:

Authorizes residential development by OHA on specified parcels in Kakaako Makai subject to public hearing, HCDA approval, and association fees to fund services and projects. Exempts development from public facilities dedication requirement. Effective July 1, 2050. (SB3122 HD2)

The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.