Bill Text: HI SB644 | 2010 | Regular Session | Introduced
Bill Title: Land Use; Rural Lands; Transfer of Development Rights Program
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced - Dead) 2009-05-11 - Carried over to 2010 Regular Session. [SB644 Detail]
Download: Hawaii-2010-SB644-Introduced.html
Report Title:
Land Use; Rural Lands; Transfer of Development Rights Program
Description:
Establishes a state transfer of development rights program to preserve rural lands.
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THE SENATE |
S.B. NO. |
644 |
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TWENTY-FIFTH LEGISLATURE, 2009 |
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STATE OF HAWAII |
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A BILL FOR AN ACT
Relating to land use.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
SECTION 1. The legislature finds that Hawaii is experiencing the rapid loss of its rural lands. Rural lands not only provide a livelihood for those engaged in agriculture and ranching, but also provide scenic, historical, recreational, cultural, natural, and archaeological resources that residents and visitors depend upon.
The legislature further finds that it is important to promote the protection of rural landscapes throughout Hawaii. This can be accomplished by establishing a state transfer of development rights program to complement and work in conjunction with transfer of development rights systems established by the counties under part IX, chapter 46, Hawaii Revised Statutes. Simply, transfer of development rights programs allow landowners to sever development rights from properties in government-designated low-density areas and sell them to purchasers who wish to increase the density of development in areas that the government has designated as higher-density. The state transfer of development rights program would supplement existing incentives and programs that are designed to preserve low-density lands, such as tax credits for landowners or moneys for the purchase of conservation easements.
The legislature further finds that transfer of development rights programs have existed for over a decade and have been successfully implemented in other states, including Maryland, New Jersey, Colorado, and Washington. The program would allow the State and the counties to join efforts to preserve rural lands and valuable resources for future generations.
The purpose of this Act is to establish a state transfer of development rights program to preserve rural lands in the State.
SECTION 2. Chapter 205, Hawaii Revised Statutes, is amended by adding a new part to be appropriately designated and to read as follows:
"Part . TRANSFER OF DEVELOPMENT
RIGHTS RPOGRAM
§205-A Purpose. The purpose of this part is to establish a state transfer of development rights or credits program, including the establishment of a transfer of development rights bank, which shall empower the State to purchase and sell development credits and to permit the use of development credits for development on state lands as appropriate. The State has a substantial interest in planned development and the preservation of agricultural, rural, and open lands. The establishment of a statewide transfer of development rights program serves the public interest by enabling development credits from rural lands to be used to promote the development of new communities consistent with county land use plans and to enhance community development in existing communities.
§205-B Definitions. As used in this chapter, unless the context requires otherwise:
"Commission" means the land use commission.
"Conservation easement" shall have the same meaning as in section 198-1.
"Development rights" shall have the same meaning as in section 46-162.
"Receiving district" shall have the same meaning as in section 46-162.
"Receiving parcel" means a parcel of land in a receiving district that acquires development rights by means of a transfer of development rights, allowing the owner of the parcel to add the development rights to those already existing for the parcel or receive other benefits instead of using the additional development rights.
"Sending district" shall have the same meaning as in section 46-162.
"Sending parcel" means a parcel of land in the sending district from which the parcel owner conveys development rights of the parcel.
"Transfer of development rights" shall have the same meaning as in section 46-162.
"Transferable development credit" means a transferable development right created pursuant to this part or pursuant to a county ordinance establishing a county transfer of development rights program.
"Transferee" means a person or legal entity that owns property in a receiving district and purchases development rights.
§205-C Establishment of Hawaii transfer of development rights program. (a) The Hawaii transfer of development rights program is established. The land use commission shall administer the state transfer of development rights program.
(b) The commission shall adopt rules pursuant to chapter 91 to establish the framework, policies, and standards for the state program for the transfer of rights from sending parcels to receiving parcels owned by the State, including but not limited to the determination or valuation of development rights, the issuance of transferable development rights certificates or credits, the process and instruments of transfer, and the use of transferable development rights or credits at a receiving parcel under state jurisdiction. The commission shall consult with the transfer of development rights executive board established under section 205-F in the adoption of rules under this section.
§205-D Identification of sending and receiving districts. (a) Each county shall identify in the appropriate county general plan or county development or community plans the land areas within the county's jurisdiction to be designated as sending and receiving districts for transfer of development rights. The county shall adopt policies and standards pursuant to section 46-163 for the administration of a county transfer of development rights program, to include the purchase or transfer of development rights. The county shall consult with the commission and other state agencies for the purposes of this section.
(b) The commission shall consult with other state departments, the office of Hawaiian affairs, and the counties to identify and designate state lands that are appropriate for designation as receiving districts or receiving parcels for the transfer of development rights. If a county has not established a county transfer of development rights program the commission shall consult with the county to ensure that the State's program plans are consistent with the county's plans for development.
§205-E Right to transfer development rights. (a) Each transferor shall have the right to sever all or a portion of the rights to develop from a parcel in a sending district and to sell, trade, or barter all or a portion of those rights to a transferee or the transferable development rights bank consistent with the purposes of this part.
(b) All rights transferred under this part are extinguished upon transfer.
§205-F Hawaii transferable development rights bank, established; executive board, established; Hawaii transfer of development rights special fund, established. (a) There is established in the state executive branch a public body corporate and politic to be known as the Hawaii transfer of development rights bank. The bank shall facilitate the effectiveness of the state transfer of development rights program through the purchase and sale of development rights and conservation easements. The bank shall have the power to:
(1) Purchase and sell or convey development rights;
(2) Hold certificates of transferable development credits issued by a county transfer of development rights program;
(3) Recommend locations to a state agency for which the State should acquire development rights by condemnation;
(4) Hold indefinitely any development rights if possessed for conservation or other purposes;
(5) Receive donations of development rights from any person or entity; and
(6) Receive proceeds from the sale of development rights, grants, donations, or funds from any other source.
(b) The transfer of development rights bank shall be governed by an executive board consisting of five ex officio voting members, or their designees, as follows: the executive officer of the commission, who shall serve as chairperson, the chairpersons of the boards of agriculture and land and natural resources, the director of the department of commerce and consumer affairs, and the director of the office of planning; and four ex officio nonvoting members, consisting of the director of each county planning department, or the director's designee.
(c) The commission shall administer the transfer of development rights bank and execute purchases of development rights and conservation easements and sales of development rights in a timely manner consistent with the policies established by the executive board. The commission’s responsibilities shall include:
(1) Managing the Hawaii transfer of development rights bank special fund;
(2) Authorizing and monitoring expenditures;
(3) Keeping records of the dates, amounts, and locations of development rights purchases, sales, and conservation easement purchases;
(4) Executing development rights purchases, sales, and conservation easements;
(5) Establishing and maintaining a registry of transferable development credits issued and held by the bank; and
(6) Providing annual summary reports of the transfer of development rights bank activity for the bank's executive board and the legislature.
(d) The executive board shall also advise the commission on other aspects of the transfer of development rights program to ensure its effectiveness in achieving the program's goals statewide.
(e) There is created in the state treasury the Hawaii transfer of development rights bank special fund, into which shall be deposited:
(1) All proceeds from the sale of transferable development rights or credits;
(2) All revenues from any taxes or fees, which are enacted to provide a funding source for the purchase of transferable development rights;
(3) Funds from county, federal, or private funding sources and other state funding sources, including grants from the land conservation fund pursuant to section 173A-9; and
(4) Appropriations made by the legislature to the fund.
Moneys in the Hawaii transfer of development rights bank special fund shall be used to purchase the development rights of qualified sending parcels or the conservation easement of a parcel that qualifies as a sending parcel. All unexpended and unencumbered moneys remaining in the Hawaii transfer of development rights bank special fund at the close of each fiscal year shall be retained in the special fund. All interest earned on the deposit of moneys in the fund shall become a part of the fund. Appropriations or authorizations from the fund shall be expended by the commission. The executive officer of the commission shall prepare and submit an annual report to the executive board, the governor, and the legislature on the use of the Hawaii transfer of development rights bank special fund. The report shall describe expenditures made from the fund."
SECTION 3. In codifying the section added by section 2 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 4. This Act shall take effect upon its approval.
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INTRODUCED BY: |
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