STAND. COM. REP. NO.  571-16


Honolulu, Hawaii

                , 2016


RE:   H.B. No. 2678

      H.D. 1




Honorable Joseph M. Souki

Speaker, House of Representatives

Twenty-Eighth State Legislature

Regular Session of 2016

State of Hawaii




     Your Committee on Water & Land, to which was referred H.B. No. 2678 entitled:




begs leave to report as follows:


     The purpose of this measure is to:


     (1)  Authorize the Director of Finance to issue General Obligation bonds to the counties for infrastructure construction related to urban renewal projects;


     (2)  Allow each county to create one local redevelopment agency for each county redevelopment project;


     (3)  Repeal the specific naming requirement for local redevelopment agencies;


     (4)  Require all five members of each local redevelopment agency to reside in the area where the redevelopment project is located, as defined by the county via resolution; and


     (5)  Designate redevelopment projects carried out by the local redevelopment agencies as public works.

     The Land Use Research Foundation of Hawaii and Hawaii Construction Alliance provided testimony in support of this measure.  The Department of Budget and Finance, Chamber of Commerce Hawaii, and Building Industry Association of Hawaii provided comments on this measure.


     Your Committee has amended this measure by:


     (1)  Changing the appointment process for local redevelopment agencies by having the mayor appoint three members and the council chair two, both subject to approval of the council;


     (2)  Changing the effective date to July 1, 2050, to encourage further discussion; and


     (3)  Making technical, nonsubstantive amendments for clarity, consistency, and style.


     As affirmed by the record of votes of the members of your Committee on Water & Land that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 2678, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 2678, H.D. 1, and be referred to your Committee on Finance.



Respectfully submitted on behalf of the members of the Committee on Water & Land,