HELP SAVE CPRs IN HAWAII (Stop Senate Bill 2524)

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URGENT: PLEASE SIGN THIS PETITION (AND LEAVE A COMMENT) OPPOSING HAWAII SENATE BILL 2524, which would effectively prevent condominium property regimes (“CPRs”) throughout Hawaii by forcing  landowners to comply with county subdivision or equivalent requirements. 

WE STRONGLY OPPOSE SB2524 FOR THE FOLLOWING REASONS:

1. ILLOGICAL AND UNENFORCEABLE: SB2524 is based on a FUNDAMENTAL MISUNDERSTANDING OF THE LAW. Condominium Property Regimes (“CPRs”) are NOT SUBDIVISIONS because they do NOT create SEPARATE PARCELS. As such, CPRs NEVER CHANGE a property’s land-use, zoning, building density, permitting, building codes, community plans, island plans or urban growth boundaries. A CPR is a FORM OF OWNERSHIP (like tenants in common) and NOT a “process of development.” CPRs are NOT the problem, and county-specific land-use issues can only be addressed at the COUNTY LEVEL.

 2. SMALL-SCALE PROJECTS MUST BE EXEMPTED: Small scale projects must be exempted from this legislation. For example MAUI COUNTY’S ZONING, BUILDING, AND DEVELOPMENT CODES ALREADY FULLY ADDRESS THE INTENT OF SB2524. Maui County codes clearly stipulate that each agriculturally zoned parcel, REGARDLESS OF SIZE, may qualify for permits to build NO MORE THAN TWO (2) FARM DWELLINGS after implementation of a farm plan. Furthermore, the COUNTY OF MAUI ALREADY REQUIRES INFRASTRUCTURE IMPROVEMENTS for ALL parcels, regardless of zoning, with more than 3-dwellings. As such, the issues of agricultural use, infrastructure improvements, over-development of agricultural lands, and County participation in the CPR process are already thoroughly addressed by the County of Maui. If other counties, such as the City and County of Honolulu, wish to “participate in the CPR process” their mayors/county council members MUST do so by STRENGTHENING AND ENFORCING THEIR COUNTY’S LAND-USE CODES.

 3. FAILS TO ADDRESS STATED PURPOSE AND FAR EXCEEDS ITS SCOPE: The preamble states: “The purpose of this Act is to provide an option for county participation in the approval of MAJOR condominium property regimes” (emphasis added). As drafted, the bill does NOT define or even reference MAJOR condominium property regimes, and instead recklessly applies “county subdivision requirements” to ALL CPRs, regardless of the number of units. Furthermore the introduction states: “the legislature finds that there is a need to revise laws related to agricultural property regimes,” but as written the bill APPLIES TO ALL CPRs and does NOTHING to protect agriculture. Finally, the bill perpetuates the erroneous belief that the CPR process can be used to “circumvent county subdivision requirements,” and fails to address property overdevelopment and lack of infrastructure, which are exclusively COUNTY ZONING/ENFORCEMENT ISSUES.

 4. DAMAGES THE LOCAL ECONOMY, ELIMINATES JOBS, AND REDUCES TAX REVENUES: This Bill would have an extremely negative impact on our State economy in the form of reduced real estate sales, less affordable housing, millions of dollars in lost real property tax revenues from the separate tax assessment of CPR units, lost State income/GET/TAT tax revenue from the sale and rental of CPR units, and far reaching negative impacts on the entire real estate industry and local residents.

 5. CREATES AN UNFUNDED COUNTY MANDATE: The proposed legislation would create an unfunded mandate, putting an overwhelming burden on already overworked and under-staffed county planning departments, as well as the State of Hawaii Real Estate Branch, who will be tasked with interpreting, implementing, and enforcing the new law.

 6. UNNECESSARY AND UNFAIR: The proposed Bill unfairly targets the CPR process, which is already authorized and highly regulated under Chapter 514-B of the Hawaii Revised Statues for ALL parcels. Strengthening State/county zoning ordinances, building codes, development standards, and enforcement of these rules are the only appropriate solutions for protecting land use, zoning, density, permitting/building codes, community plans, island plans, and urban growth boundaries, NOT further additions to the complex statewide CPR registration process already in place.

 7. ELIMINATES AFFORDABLE HOUSING: We are experiencing an affordable housing crisis in Hawaii. This Bill will effectively wipe out one of the only means of creating new affordable housing for working class residents, farmers, and local families.

8. DISCRIMINATORY AND UNLAWFUL: SB2524 is discriminatory in that the Bill would disproportionately affect agricultural landowners (especially small private landowners, farmers, and families) and borders on a “regulatory taking” because it unreasonably prevents private property owners from making economically viable use of their land, which could result in litigation against the State for just compensation.

FOR THE REASONS LISTED ABOVE, WE DEMAND THAT SB2524 BE VETOED



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