S.B. NO.














relating to airfields.





     SECTION 1.  The legislature finds that Kawaihapai Airfield, also known as Dillingham Airfield, has been a vital economic and tourism contributor to the economy of Oahu's north shore.  In 2019, the airfield had 33,805 aircraft operations, more than Kapalua, Lanai, and Kalaupapa regional airports combined.  The legislature further finds that the small business tenants at Kawaihapai Airfield generate over $12,000,000 in yearly revenues and employ over one hundred and thirty people, which include flight instructors, pilots, aircraft maintenance personnel, tour operators, office staff, and more.

     The legislature also finds that Kawaihapai Airfield is recognized around the world as a premier recreational skydiving and gliding destination.  For example, the Travel Channel listed Kawaihapai Airfield as one of the best places in the world to skydive.  The travel website TripAdvisor recognized Paradise Air Hang Gliding, a tenant at Kawaihapai Airfield, as one of the top ten per cent of attractions worldwide.

     The legislature finds that the department of transportation leases Kawaihapai Airfield from the United States Department of the Army.  The department of transportation has announced that it plans to exercise the early termination provision of its lease agreement with the U.S. Army as of June 30, 2021, despite the fact that the current lease runs until July 5, 2024.

     The purpose of this Act is to authorize the department of business, economic development, and tourism to be the lessee of Kawaihapai Airfield.

     SECTION 2.  Section 201B-3, Hawaii Revised Statutes, is amended by amending subsection (a) to read as follows:

     "(a)  Except as otherwise limited by this chapter, the authority may:

     (1)  Sue and be sued;

     (2)  Have a seal and alter the same at pleasure;

     (3)  Through its president and chief executive officer, make and execute contracts and all other instruments necessary or convenient for the exercise of its powers and functions under this chapter; provided that the authority may enter into contracts and agreements for a period of up to five years, subject to the availability of funds; and provided further that the authority may enter into agreements for the use of the convention center facility for a period of up to ten years;

     (4)  Make and alter bylaws for its organization and internal management;

     (5)  Unless otherwise provided in this chapter, adopt rules in accordance with chapter 91 with respect to its projects, operations, properties, and facilities;

     (6)  Through its president and chief executive officer, represent the authority in communications with the governor and the legislature;

     (7)  Through its president and chief executive officer, provide for the appointment of officers, agents, a sports coordinator, and employees, subject to the approval of the board, prescribing their duties and qualifications, and fixing their salaries, without regard to chapters 76 and 78, if there is no anticipated revenue shortfall in the tourism special fund and funds have been appropriated by the legislature and allotted as provided by law;

     (8)  Through its president and chief executive officer, purchase supplies, equipment, or furniture;

     (9)  Through its president and chief executive officer, allocate the space or spaces that are to be occupied by the authority and appropriate staff;

    (10)  Through its president and chief executive officer, engage the services of qualified persons to implement the State's tourism marketing plan or portions thereof as determined by the authority;

    (11)  Through its president and chief executive officer, engage the services of consultants on a contractual basis for rendering professional and technical assistance and advice;

    (12)  Procure insurance against any loss in connection with its property and other assets and operations in amounts and from insurers as it deems desirable;

    (13)  Contract for or accept revenues, compensation, proceeds, and gifts or grants in any form from any public agency or any other source;

    (14)  Develop, coordinate, and implement state policies and directions for tourism and related activities taking into account the economic, social, and physical impacts of tourism on the State, Hawaii's natural environment, and areas frequented by visitors;

    (15)  Have a permanent, strong focus on Hawaii brand management;

    (16)  Conduct market development-related research as necessary;

    (17)  Coordinate all agencies and advise the private sector in the development of tourism-related activities and resources;

    (18)  Work to eliminate or reduce barriers to travel to provide a positive and competitive business environment, including coordinating with the department of transportation on issues affecting airlines and air route development;

    (19)  Market and promote sports-related activities and events;

    (20)  Coordinate the development of new products with the counties and other persons in the public sector and private sector, including the development of sports, culture, health and wellness, education, technology, agriculture, and nature tourism;

    (21)  Establish a public information and educational program to inform the public of tourism and tourism-related problems;

    (22)  Encourage the development of tourism educational, training, and career counseling programs;

    (23)  Establish a program to monitor, investigate, and respond to complaints about problems resulting directly or indirectly from the tourism industry and taking appropriate action as necessary;

    (24)  Develop and implement emergency measures to respond to any adverse effects on the tourism industry, pursuant to section 201B-9;

    (25)  Set and collect rents, fees, charges, or other payments for the lease, use, occupancy, or disposition of the convention center facility without regard to chapter 91;

    (26)  Notwithstanding chapter 171, acquire, lease as lessee or lessor, own, rent, hold, and dispose of the convention center facility in the exercise of its powers and the performance of its duties under this chapter; [and]

    (27)  Acquire by purchase, lease, or otherwise, and develop, construct, operate, own, manage, repair, reconstruct, enlarge, or otherwise effectuate, either directly or through developers, a convention center facility[.]; and

    (28)  Maintain, operate, regulate, and protect airports, air navigation facilities, buildings, and other facilities to provide for the servicing of aircraft."

     SECTION 3.  The department of transportation shall take all action necessary to effectuate the transfer of the lease for the Kawaihapai Airfield to the department of business, economic development, and tourism.

     SECTION 4.  Statutory material to be repealed is bracketed and stricken.  New statutory material is underscored.

     SECTION 5.  This Act shall take effect upon its approval.






Report Title:

Department of Transportation; Lease; United States Army; Department of Business, Economic Development, and Tourism; Kawaihapai Airfield; Dillingham Airfield



Authorizes the department of business, economic development, and tourism to maintain airfields.  Requires the department of transportation to transfer the lease of Kawaihapai Airfield to the department of business, economic development, and tourism.




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