STAND. COM. REP. NO. 2977

                                   Honolulu, Hawaii
                                                     , 2000

                                   RE:  H.B. No. 2753
                                        H.D. 2
                                        S.D. 1




Honorable Norman Mizuguchi
President of the Senate
Twentieth State Legislature
Regular Session of 2000
State of Hawaii

Sir:

     Your Committee on Economic Development, to which was
referred H.B. No. 2753, H.D. 2, entitled: 

     "A BILL FOR AN ACT RELATING TO OCEAN RECREATION,"

begs leave to report as follows:

     The purposes of this measure are to:

     (1)  Impose a two-year moratorium on the issuance of new
          permits for commercial marine mammal watching tours off
          the Waianae Coast;

     (2)  Direct the Department of Land and Natural Resources to
          determine the maximum number of commercial permits that
          should be authorized in the future and study the
          feasibility of issuing permits for specific rather than
          unspecified ocean recreation activities;

     (3)  Require a $1 fee for each paying passenger of mammal
          watching tours to fund the study; and

     (4)  Submit findings and recommendations to the legislature
          prior to the 2001 regular session.

     Testimony in favor of this measure was submitted by the
Department of Land and Natural Resources, Oceanwide Science
Institute, and four individuals.  The Activity Owners Association
of Hawaii, Inc., Beyond the Reef, Ltd., Body Glove Cruises,

 
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                                   STAND. COM. REP. NO. 2977
                                   Page 2


Frogman, Napali Catamarans, McBoat, Kaua`i Sea Tours, Maui
Classic Charters, Inc., A Na Pali Eco Adventure, Inc., and
Captain Sundown's NaPali Sailing Adventures, submitted testimony
in support of the measure if the $1 fee is deleted.  The Small
Business Regulatory Review Board testified in opposition.  The
Environmental Center, University of Hawai`i at Manoa and one
individual submitted comments.

     Your Committee finds that this is a proactive measure, which
seeks a temporary "time out" from any increased activity to
determine and establish a balance of needs among the marine
mammals, those who fish, and the businesses that provide tours of
the area.

     Your Committee has amended this measure to:

     (1)  Expand the area under consideration to the Waianae
          coastline from Kaena Point to Ewa;

     (2)  Limit existing, outstanding permits to ten;

     (3)  Add the feasibility of permits for thrill craft to the
          study;

     (4)  Delete the $1 charge; and

     (5)  Change the reporting date to the 2002 legislative
          session.

     As affirmed by the record of votes of the members of your
Committee on Economic Development that is attached to this
report, your Committee is in accord with the intent and purpose
of H.B. No. 2753, H.D. 2, as amended herein, and recommends that
it pass Second Reading in the form attached hereto as
H.B. No. 2753, H.D. 2, S.D. 1, and be referred to the Committee
on Ways and Means.

                                   Respectfully submitted on
                                   behalf of the members of the
                                   Committee on Economic
                                   Development,



                                   ______________________________
                                   LORRAINE R. INOUYE, Chair

 
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