Report Title:

Counties; Disposition of Real Property

Description:

Allows each county to grant, sell or otherwise dispose of easements for chilled water and seawater distribution systems for renewable energy seawater air conditioning district cooling systems by negotiation without public auction.

HOUSE OF REPRESENTATIVES

H.B. NO.

2617

TWENTY-THIRD LEGISLATURE, 2006

 

STATE OF HAWAII

 


 

A BILL FOR AN ACT

 

relating to the disposition of real property.

 

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

SECTION 1. The legislature finds that seawater air conditioning district cooling systems provide many public benefits including the:

(1) Large-scale use of an abundant, indigenous renewable energy resource, namely deep, cold seawater;

(2) Reduction of air conditioning energy use by seventy-five per cent or more;

(3) Reduction of imported fossil fuels;

(4) Reduction of the air and water pollution that is associated with the use of fossil fuels in the generation of electricity;

(5) Reduction of potable water use and of sewage that will result from the elimination of cooling towers; and

(6) Stimulation of economic development during the construction and operation of the seawater air conditioning system.

It also helps state and county governments, as well as the federal government, reach energy policy goals and mandates.

Currently, easements that are required for chilled water and seawater distribution systems for seawater air conditioning district cooling systems can only be obtained by public auction. Seawater air conditioning developers must conduct extensive and costly preliminary work to identify, evaluate, and obtain easements for chilled water and seawater distribution systems. It would be beneficial for them to have a more expeditious and cost-effective way to obtain a necessary easement.

In 2002, the legislature authorized the board of land and natural resources to lease public land to renewable energy producers through direct negotiation that previously could only be leased through public auction. This was in response to the fact that potential lease applicants were reluctant to expend their resources on a costly process that did not necessarily result in a lease, and the legislature wanted to encourage the development of renewable energy products to reduce the State's dependency on fossil fuels.

Accordingly, the legislature finds that a seawater air conditioning system developer should be allowed to obtain an easement without public auction.

The purpose of this Act is to allow each county to grant, sell or otherwise dispose of easements for chilled water and seawater distribution systems for renewable energy seawater air conditioning district cooling systems by negotiation without public auction.

SECTION 2. Section 46-66, Hawaii Revised Statutes, is amended to read as follows:

"[[]§46-66[]] Disposition of real property. Notwithstanding any other law to the contrary, each county, subject to the approval of the council, may grant, sell or otherwise dispose of any easement, including easements over, under, through and across land bordering the ocean, at public auction; provided that any easement for any governmental or public utility purpose or for chilled water and seawater distribution systems for renewable energy seawater air conditioning district cooling systems may be granted, sold or otherwise disposed of by negotiation without public auction."

SECTION 3. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.

SECTION 4. This Act shall take effect upon its approval.

INTRODUCED BY:

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