Provides for interim revenues for fiscal year 2002-2003 of $17,000,000.

A BILL FOR AN ACT

SECTION 1. The legislature finds that the injustice and wrongfulness of historical events surrounding Hawaii remain deeply felt by native Hawaiians, the original sovereign people of the State, as well as other members of the public. The legislature recognizes that there has always been broad support among all the people of Hawaii that the State should effect a lasting reconciliation with native Hawaiians which gives proper acknowledgment to past events, reaffirms the State's special trust relationship with the native Hawaiian people, and moves Hawaii forward on these issues.

The legislature further finds that throughout its history, the people of Hawaii have, through public acts of legislation, constitutional enactment, and other means, made substantial progress toward permanent reconciliation and fulfullment of its trust relationship to native Hawaiians. The constitutional creation of the office of Hawaiian affairs and the allocation of funding out of the public land trust established by section 5(f) of the Admission Act are prime examples of achievement in this area. A purpose of this Act is to renew the momentum created by these public acts, through executive and legislative action in conjunction with the people of Hawaii, toward a comprehensive, just, and lasting resolution.

The legislature finds that there are many complex issues and substantial ambiguities requiring resolution which surround the management and disposition of public trust lands and the proceeds and income therefrom relating to the State's trust obligations to native Hawaiians. These existing or foreseeable controversies notwithstanding, the legislature finds that the recent result of Office of Hawaiian Affairs v. State of Hawaii, 96 Haw. 388, 31 P.3d 901 (2001), compels it to give immediate effect to the purposes of article XII, sections 4 and 6, of the state constitution, so that it may continue to implement the State's trust relationship to native Hawaiians through the office of Hawaiian affairs. The legislature further recognizes and affirms the reasoning of the Hawaii supreme court that the State's obligation to native Hawaiians is firmly established in the state constitution, and that it is incumbent upon the legislature to enact legislation that gives effect to the right of native Hawaiians to benefit from the ceded lands trust.

The legislature finds that it remains in the public interest that existing ambiguities related to this matter be clarified and controversies resolved, and that legislative intent relating to the State's formal trust obligations to native Hawaiians be reaffirmed. The legislature further considers it imperative that the office of Hawaiian affairs be immediately assured an adequate level of funding to accomplish its mission under the law. The legislature has previously addressed the issue of providing interim revenues to the office of Hawaiian affairs on a limited basis in Act 329, Session Laws of Hawaii 1997.

The legislature finds that it is in the public interest that continued efforts to resolve the relevant issues, including reinstating a funding mechanism for the office of Hawaiian affairs clearly within and under the control of the executive and legislative branches of the state government, are essentially political questions with the spirit of the supreme court of Hawaii's opinion in Trustees of the Office of Hawaiian Affairs v. Yamasaki, 69 Haw. 154, 737 P.2d 446 (1987) and Office of Hawaiian Affairs v. State of Hawaii, 96 Haw. 388, 31 P.3d 901 (2001).

The specific purpose of this Act is to address the findings above and implement the public interests stated within by providing interim measures to ensure that adequate income and proceeds from a pro rata portion of the public trust continue to be available to the office of Hawaiian affairs for the betterment of native Hawaiians, taking such other actions as are necessary to effectuate fully the legislature's intent.

SECTION 2. Section 10-13.3, Hawaii Revised Statutes, is amended to read as follows:

"[[]§10-13.3[]] Interim revenue. Notwithstanding the definition of revenue contained in this chapter and the provisions of section 10-13.5, and notwithstanding any claimed invalidity of Act 304, Session Laws of Hawaii 1990, the income and proceeds from the pro rata portion of the public land trust under article XII, section 6 of the state constitution for expenditure by the office of Hawaiian affairs for the betterment of the conditions of native Hawaiians for [each of] fiscal year [1997-1998 and fiscal year 1998-1999 shall be $15,100,000.] 2002-2003 shall be $17,000,000."

SECTION 3. There is appropriated out of the general revenues of the State of Hawaii the sum of $17,000,000, or so much thereof as may be necessary for fiscal year 2002-2003, for the betterment of the conditions of native Hawaiians as provided for in this Act.

SECTION 4. The sum appropriated shall be expended by the office of Hawaiian affairs for the purposes of this Act.

SECTION 5. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.

SECTION 6. This Act shall take effect on July 1, 2002.