Impounded Vessels

Expedites the disposal of impounded vessels in a commercial
harbor with an appraised value at $125 per foot of the overall
length, but not to exceed $5,000.  Allows owner or operator of
vessel to pay for alternate appraisal.

HOUSE OF REPRESENTATIVES                H.B. NO.1273       
TWENTIETH LEGISLATURE, 1999                                
STATE OF HAWAII                                            

                   A  BILL  FOR  AN  ACT



 1      SECTION 1.  Section 266-27, Hawaii Revised Statutes, is
 2 amended by amending subsections (d) and (e) to read as follows:
 3      "(d)  Custody of an impounded vessel shall be returned to
 4 the person entitled to possession upon payment to the department
 5 of all fees and costs due, and fines levied by a court.  In
 6 addition, the department, within seventy-two hours of
 7 impoundment, shall send by certified mail, return receipt
 8 requested, a notice of impoundment to the registered owner or
 9 operator of any impounded vessel.  The owner or operator of an
10 impounded vessel shall have ten days after receipt of notice of
11 impoundment of the vessel to request in writing an administrative
12 hearing.  This administrative hearing is solely for the purpose
13 of allowing the owner or operator of an impounded vessel to
14 contest the basis given by the department for the impoundment of
15 the vessel[.] and the appraised value of the vessel.  The owner
16 or operator may submit an appraisal of the value of the vessel by
17 an alternate apraiser; provided that the cost of the alternate
18 appraiser shall be at the expense of that owner or operator.  The
19 administrative hearing must be held within five days of the 

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                                     H.B. NO.1273       

 1 department's receipt of the written request, excluding Saturdays,
 2 Sundays, and holidays designated under section 8-1.  The
 3 department shall adopt rules pursuant to chapter 91 to implement
 4 the requirement for this post-seizure administrative hearing
 5 process.
 6      (e)  Any unauthorized vessel in a commercial harbor that is
 7 impounded under this section, [which] and remains unclaimed by
 8 the person entitled to possession, the registered owner, or a
 9 lien holder for more than thirty days, may be sold by the
10 department at public auction.  Where no bid is received, or if
11 the appraised value of the vessel, as determined by an
12 independent appraiser with at least five years of experience in
13 marine surveying, is valued at $125 per foot of the overall
14 length, but not to exceed $5,000, the vessel may be sold [by
15 negotiation], disposed of [as junk], or donated to any
16 governmental agency.  In any disposal of vessel action, the
17 disposal process shall be pursuant to chapter 103D."
18      SECTION 2.  Statutory material to be repealed is bracketed.
19 New statutory material is underscored.
20      SECTION 3.  This Act shall take effect upon its approval.
22                           INTRODUCED BY:  _______________________