H.C.R. NO.











WHEREAS, the State can expect a continued increase in demand for quality moorage space in both public small boat harbors and private marinas throughout the State; and

WHEREAS, although the State has continued to encourage development of marina facilities by the private sector to help meet the demand for berthing space over the last twenty years, only Ko Olina Marina has been completed and placed in operation, due to denial of permit applications or prolonged delays in obtaining necessary permits, litigation, and loss of capital financing; and

WHEREAS, the majority of state boat harbors were constructed prior to 1980; and

WHEREAS, the majority of berthing facilities within Keehi small boat harbor were constructed more than twenty years ago and are now approaching the end of their useful life, including those which suffered structural stress during Hurricane Iniki in 1992, and they now require major repairs or replacement; and

WHEREAS, the additional berthing that will be provided by the recently constructed new state boat harbor at Kawaihae, and the proposed improvements to Maalaea Boat Harbor, are not expected to be completed for several years, and then will meet only local demands for mooring space; and

WHEREAS, based on the report entitled, "Documentation of Facilities for the Boating Program Transfer to the Department of Land and Natural Resources - Master Plans Phase: Boating CIP Projects," by R. M. Towill, Inc., completed in June 1995, and subsequent condition surveys, an investment of about $35,000,000 will be necessary over the next several years for replacement of existing deteriorated boat slips, utilities, and infrastructure, construction of additional boat slips, and other improvements to maximize the amount of berthing available at Keehi small boat harbor; and

WHEREAS, funding in this amount for boating facility improvements exceeds the capability of present state resources, given the present financial condition of the State; and

WHEREAS, the Department of Land and Natural Resources is actively exploring alternative means of improving and redeveloping state boating facilities without reliance on state resources, including participation by the private sector; and

WHEREAS, the Department of Land and Natural Resources previously received an unsolicited proposal for the redevelopment, management, and operation of state boat harbors by a private marina management firm through a long-term lease agreement, and other marina management and development firms have also expressed interest in leasing Keehi and other state small boat harbor facilities; and

WHEREAS, a lease of the fast and submerged lands within Keehi small boat harbor will be "as is" and will provide an additional source of revenue to the State; and

WHEREAS, lease specifications would follow the general guidelines of the master plan for Keehi small boat harbor and design guidelines for various types of uses including landscaping, open space, utilities, mooring facilities, barrier-free access, and other standard lease requirements; and

WHEREAS, the Board of Land and Natural Resources is already authorized to lease the fast lands of boating facilities under the provisions of chapter 171 and section 200-2.5, Hawaii Revised Statutes, and to enter into agreements with private entities for the management of boating facilities pursuant to Act 90, Session Laws of Hawaii 2001, and only the prior approval of the Governor and prior authorization of the Legislature by concurrent resolution pursuant to section 171-53(c), Hawaii Revised Statutes, are required to include the submerged lands of Keehi small boat harbor in a lease to a private entity; and

WHEREAS, the Legislature desires to enable the Board of Land and Natural Resources to lease certain submerged lands within Keehi small boat harbor to the private sector for redevelopment, management, and operation; and

WHEREAS, in order to process the above-described leases, all appropriate authorizations are required; now, therefore,

BE IT RESOLVED by the House of Representatives of the Twenty-first Legislature of the State of Hawaii, Regular Session of 2002, the Senate concurring, that the Board of Land and Natural Resources is hereby authorized to lease to qualified private entities both fast and submerged lands at Keehi small boat harbor for redevelopment, management, and operation of marina and yacht club facilities pursuant to sections 171-53 and 200-2.5, Hawaii Revised Statutes; and

BE IT FURTHER RESOLVED that this Concurrent Resolution does not impute or imply legislative approval of the decisions that must be independently made by the Board of Land and Natural Resources in approving the issuance of any lease, nor imply any intent to include under this Concurrent Resolution any other fast and submerged land leases; and

BE IT FURTHER RESOLVED that prior to executing any lease, the Board of Land and Natural Resources must independently conclude that any lease issued as a result of the authorization granted by this Concurrent Resolution will be economically feasible and in compliance with Act 90, Session Laws of Hawaii 2001, and otherwise will be in the best interest of the State, the harbor users, and the general public; and

BE IT FURTHER RESOLVED that certified copies of this Concurrent Resolution be transmitted to the Governor and the Chairperson of the Board of Land and Natural Resources.






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