OVERVIEW
The state is offering to settle claims to OHA’s share of public land trust revenuesfrom November 7, 1978 to July 1, 2012. Since 1978, OHA has made claims for payments for public land trust income and proceeds and has filed several lawsuits. The lawsuits have been dismissed on the grounds that it is a political question and up to the legislature to determine the appropriate amount of any settlement of the claims.
The State and OHA have agreed that $200 million represents a reasonable compromise of the disputed claims. The settlement is subject to legislative approval.
The Proposed Settlement
The State has offered ten parcels of land in Kakaako Makai in its proposed settlement, including Fisherman’s Wharf (see attachments for exact parcels). The approximate value of the parcels is $198.5 million. All parcels are currently zoned for mixed use or commercial purposes. The lands would be conveyed “as is” and “where is” and are subject to a due diligence investigation by OHA. OHA can walk away from the settlement prior to legislative approval. The Hawaii Community Development Authority will continue to be the agency in charge of zoning and land use issues for the land.
The State is not giving up any mineral, surface or ground water rights. All current leases are still valid and will pass to OHA. Once those leases expire, OHA will decide how to proceed. A parcel by parcel breakdown of the land and the leases can be found at oha.org/kakaako (PDF)
This proposed settlement has no effect on future public land claims and future revenues owed OHA from the public land trust.
What’s Next?
- OHA will be holding a series of community meetings on the proposed settlement agreement. A current list of meetings can be found here (at oha.org/kakaako).
- OHA will do a due diligence investigation on the parcels involved to make sure the settlement makes sense for OHA. This involves making sure there are no legal barriers to the proposed transaction and investigating environmental and other issues.
- The legislature must give its final approval to the proposed settlement.
The Legal Basis
The proposed settlement will resolve any and all claims relating to OHA’s share of public land trust revenues from November 7, 1978 to July 1, 2012.
Under Article XII of the State Constitution, certain lands transferred by the United States to the State of Hawaii as part of the Admission Act are held by the state as a public trust for Native Hawaiians and the general public. A portion of the proceeds derived from these public lands lands are to be used by OHA to better the conditions of Native Hawaiians.For more information or to submit comments, E-mail kakaako.comments@oha.org.