S.B. NO.



S.D. 1
















SECTION 1. Chapter 46, Hawaii Revised Statutes, is amended by adding a new part to be appropriately designated and to read as follows:

"Part . planning districts

46-A Findings and purpose. The legislature finds that successful planning for growth requires reducing sprawl and creating more compact urban developments in existing and new communities that offer a high quality of life for a broad range of household types. Further, well-designed and well-integrated higher-density development can significantly reduce dependency on cars. Benefits are even greater when jobs and retail are incorporated with the housing. Mixed-use neighborhoods make it easier for people to park their car in one place and accomplish several tasks, which not only reduces the number of car trips required but also reduces overall parking needs for the community and our carbon imprint. The purpose of this part is to facilitate commercial and residential development of an exceptional level of quality on land adjacent to public transportation stations and centers by creating a "fast track" process and reduced up-front costs that will in turn act as catalytic projects for neighborhood reinvestment.

46-B Definitions. As used in this part, unless otherwise indicated by the context:

"Action" or "action taken" means approval, approval with modification, or disapproval.

"Application" means the preliminary plans and specifications for an exceptional planning project and includes materials, such as plans, information, or specifications, submitted to a planning agency at the request of the agency. A planning agency may adopt rules pursuant to chapter 91 to further specify materials that shall be deemed part of an application for purposes of this part.

"Exceptional planning project" or "project" means a project, as defined by the county, that is located wholly within a planning district and responds to transit ridership goals.

"Legislative body" means the legislative body of the county to which a qualified developer submits an application or final plans and specifications for an exceptional planning project.

"Planning agency" or "agency" means the planning agency of a county to which a qualified developer submits an application for an exceptional planning project.

"Program" means a transit or main-street redevelopment program established pursuant to section 46-H, as made applicable to a county through adoption by that county.

"Qualified developer" means a person, corporation, organization, partnership, association, or other legal entity that is:

(1) Licensed to do business in the State; and

(2) Bonded and in good standing in an amount to be determined by the respective legislative body of each county.

46-C Planning districts. There are established planning districts that shall consist of:

(1) An area within a one-half-mile radius from a county-designated rail transit station or as designated by the county to achieve density and ridership goals;

(2) An area within a one-quarter-mile radius from a county-designated bus transit station or center or as designated by the county to achieve density and ridership goals;

(3) The area between the two county-designated rail transit stations located nearest to the Honolulu International Airport or as designated by the county to achieve density and ridership goals; or

(4) A main-street redevelopment project suitable for development by community financed projects or business improvement districts.

The land use commission shall classify or reclassify all planning districts as an urban district under section 205-2.

46-D Exceptional planning projects; application by developer; review. (a) A qualified developer may submit to the planning agency an application for approval of an exceptional planning project within a planning district. An application, excluding an application for a main-street redevelopment project, shall include a transit ridership study that shall demonstrate the need for development to achieve desired goals for transit ridership and overall land use density. Upon receipt of the application, the planning agency shall review the application and secure any additional information that the agency deems necessary for the purpose of taking action. The planning agency shall take action within forty-five days of receipt of the application; provided that the time to take action may be extended up to ten days for good cause. Within the additional ten days, the planning agency shall notify the developer of the action taken.

(b) The planning agency shall forward the application with its action to the legislative body. The legislative body shall have forty-five days from the date of receipt of the planning agency's actions to approve, approve with conditions, or disapprove the application by resolution. If on the forty-sixth day the legislative body has not taken action on the application, it shall be deemed to have been approved.

46-E Indemnity. No action shall be prosecuted or maintained against any county, its officials, or employees on account of actions taken by them in reviewing, approving, modifying, or disapproving the application or plans and specifications of an exceptional planning project.

46-F State incentives; exemptions. Exceptional planning projects approved by the legislative body shall receive the following incentives:

(1) Exemption from all state fees associated with land development, including highway access fees;

(2) Exemption from school impact fees; and

(3) Exemption from section 343-5(a)(1), as it relates to the use of state or county lands.

46-G County incentives; exemptions. Exceptional planning projects approved by the legislative body shall receive exemptions from the zone change process, compliance with zoning standards, and impact fees pursuant to section 264-123. Additionally, the counties shall adopt any other incentives it deems appropriate to be granted to exceptional planning projects.

46-H Transit or main-street redevelopment program. (a) Any county with a planning district may establish transit or main-street redevelopment program. The program shall include community-based planning for transit or main-street redevelopment, strategies for infrastructure upgrades to support development and redevelopment, and minimum urban design and site plan guidelines.

(b) In developing its program, the county shall consider establishing or may establish minimum eligibility criteria for exceptional planning projects, including but not limited to:

(1) Minimum and maximum project sizes;

(2) Requiring a mix of commercial and residential uses;

(3) Establishing workforce and affordable housing requirements;

(4) Proposing parking ratios below any existing required ratio and a maximum cap on the total number of parking spaces, proposing a centralized public or private parking structure, or proposing a transportation plan with innovative parking solutions;

(5) Creating street level activities, such as retail and public gathering areas, including early evening hour activities; and

(6) Providing community benefits including off-site open space, on-site social services space, and major off-site infrastructure upgrades.

(c) Any county participating in the program shall adopt ordinances, rules, or regulations as necessary for the purposes of this section.

46-I Adoption of rules. A planning agency may adopt rules pursuant to chapter 91 that are necessary to effectuate the purposes of this part."

SECTION 2. In codifying the new sections added by section 1 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 3. This Act shall take effect on July 1, 2020.



Report Title:

Hawaii Community Development Authority; State-wide Planning



Establishes planning districts and creates a process for developers to apply for residential and commercial exceptional planning projects. Establishes the transit or main-street redevelopment program. Authorizes state and county incentives for exceptional planning projects. (SD1)




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