RELATING TO REGIONAL SHORELINE MITIGATION DISTRICTS.

SB2401

THE SENATE

S.B. NO.

2401

THIRTY-THIRD LEGISLATURE, 2026

STATE OF HAWAII

A BILL FOR AN ACT

relating
to regional shoreline mitigation districts
.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

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SECTION 1.
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The legislature finds that accelerating
coastal erosion, wave run-up, and chronic loss of shoreline lands threaten
thousands of shoreline properties throughout the State.
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Many property owners experience repeated damage
from ocean forces that exceed the capacity of individual parcel-level
responses.
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Because erosion processes
operate on a regional scale, effective mitigation requires property owners
along a shared stretch of shoreline, where erosion on one property can affect
neighboring properties, to work together under a coordinated regional plan.

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The legislature further finds that
the office of planning and sustainable development currently coordinates
planning between state, county, and federal agencies and addresses and
coordinates sea level rise adaptation strategies for state facilities.
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Therefore, the office of planning and
sustainable development is well-equipped to undertake regional coastal erosion
planning for shoreline properties.

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Regional coordination will enable
property owners to collectively plan, design, fund, and implement projects,
which may include both emergency erosion mitigation structures and long-term
engineered solutions such as groins, beach nourishment, dune restoration, or
other measures suited to the sediment dynamics of the region.

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The legislature additionally finds
that a statewide framework is necessary to:

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(1)
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Authorize the
creation of regional shoreline mitigation plans for shoreline properties;

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(2)
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Provide a clear
planning and approval process for regional mitigation plans;

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(3)
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Ensure
coordination among the office of planning and sustainable development,
department of land and natural resources, and county planning departments; and

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(4)
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Facilitate
property owners' collective financing of regional projects using assessment
districts, community facilities districts, tax increment financing, bonds, and
other financing tools.

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Accordingly, the purpose of this Act
is to:

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(1)
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Establish a process,
led by the office of planning and sustainable development, for the creation of
regional shoreline mitigation districts to facilitate regional coordination by
shoreline property owners to address coastal erosion;

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(2)
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Require the preparation of a regional coastal
erosion and sediment management plan for each regional shoreline mitigation
district;

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(3)
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Establish procedures for the review of state
and county permits associated with regional shoreline mitigation districts;

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(4)
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Establish as a policy under the coastal zone
management program the support and integration of regional coastline erosion
and sediment management planning; and

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(2)
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Make
appropriations and establish one temporary full‑time equivalent (1.0 FTE)
position to implement regional shoreline mitigation districts.

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SECTION 2.
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The Hawaii Revised Statutes is amended by
adding a new chapter to be appropriately designated and to read as follows:

"
Chapter

REGIONAL SHORELINE MITIGATION DISTRICTS

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-1
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Definitions.
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For the purposes
of this chapter:

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"Emergency erosion mitigation
structure" means a physical barrier, geotextile system, or other
engineered measure constructed to prevent or reduce coastal erosion damage to
an existing private structure or use.
�

"Emergency erosion mitigation structure" includes sandbags,
geotextile tubes, gabions, riprap, or similar systems, whether temporary or
semi‑permanent.

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"Functionally connected
sediment cell or littoral subcell" means a shoreline reach in which sediment
transport processes operate as a unified system in such a manner that erosion
or shoreline modification within one portion measurably influences conditions
elsewhere within the reach.

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"Office" means the office of
planning and sustainable development.

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"Regional coastal erosion and
sediment management plan" or "regional plan" means a plan
prepared under this chapter for the coordinated mitigation of coastal erosion,
sediment transport impacts, and shoreline hazards affecting shoreline
properties.

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"Regional shoreline mitigation
district" means a designated coastal area, comprised primarily of
shoreline properties located within the same functionally connected sediment
cell or littoral subcell, established under this chapter to plan, finance, and
implement regional coastal erosion and sediment management projects.

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-2
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Office;
lead agency.
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The office shall serve
as the lead agency for regional shoreline mitigation districts and regional
coastal erosion and sediment management plans.
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The office shall:

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(1)
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Identify potential
regional shoreline mitigation districts based primarily on clusters of
shoreline parcels;

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(2)
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Coordinate interagency
review among the department of land and natural resources, county planning
departments, and relevant federal agencies, including the United States Army
Corps of Engineers if federal authorization, permitting, technical review,
approval, or funding may be required;

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(3)
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Facilitate
participation by shoreline property owners; and

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(4)
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Receive,
coordinate review of, evaluate, and approve regional coastal erosion and
sediment management plans prepared and funded by property owners within a regional
shoreline mitigation district.

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-3
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Establishment of regional shoreline mitigation districts.
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(a)
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A
regional shoreline mitigation district may be recognized and approved by the office
upon a petition by:

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(1)
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A majority of
shoreline property owners within the proposed region; or

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(2)
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A county, in
coordination with shoreline property owners.

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(b)
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District boundaries shall be based on functionally connected sediment
cell or littoral subcell, and shall include a substantial proportion of
shoreline parcels affected by shared coastal erosion conditions.

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-4
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Regional coastal erosion and sediment management plans.
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(a)
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Each
regional shoreline mitigation district shall have a regional coastal erosion
and sediment management plan that shall be:

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(1)
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Prepared by
shoreline property owners within the district; and

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(2)
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Submitted to the office
for review and approval.

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(b)
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A regional coastal erosion and sediment management plan shall include:

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(1)
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A c
haracterization
of sediment transport and erosion conditions within the regional shoreline
mitigation district;

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(2)
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An assessment of
structural risks to shoreline properties within the regional shoreline
mitigation district;

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(3)
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An analysis of
allowable emergency erosion mitigation structures and criteria for their use;

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(4)
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A list of long-term
erosion mitigation solutions appropriate to the regional shoreline mitigation
district, which may include dune enhancement, beach nourishment, living
shoreline projects, or structural measures such as rock groins;

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(5)
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An analysis of
financing options for property owners;

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(6)
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A proposed
implementation schedule for emergency and long-term erosion mitigation structures;
and

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(7)
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The i
dentification
of any federal authorizations, permits, or approvals required to implement the
regional coastal erosion and sediment management plan, including consultation
with the United States Army Corps of Engineers if projects may affect navigable
waters, shorelines, or federally regulated waters.

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(c)
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A regional coastal erosion and sediment management plan prepared for a
regional shoreline mitigation district shall be submitted to the office for
review.
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The office shall coordinate its review
of the regional coastal erosion and sediment management plan with the
department of land and natural resources, applicable county agencies, and
relevant federal agencies, including the United States Army Corps of Engineers,
if federal authorization, permitting, technical review, approval, or funding
may be required.

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(d)
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The
office may approve a regional coastal erosion and sediment management plan upon
a determination that the plan:

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(1)
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Satisfies the
requirements of subsection (b);

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(2)
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Is consistent with
applicable state and county land use policies; and

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(3)
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Provides a
coordinated, regionally appropriate approach to addressing coastal erosion and
sediment management affecting shoreline properties.

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Upon approval of a regional coastal
erosion and sediment management plan pursuant to this subsection, the approved
plan shall establish the governing standards, criteria, and authorized measures
for shoreline erosion mitigation within the regional shoreline mitigation
district.

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(e)
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If an environmental review pursuant to chapter 343 shall be required for
a regional coastal erosion and sediment management plan prepared under this
section, the environmental review may be conducted on a programmatic basis.
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The office shall serve as the accepting
authority for any programmatic environmental assessment or environmental impact
statement prepared for a regional coastal erosion and sediment management plan.

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(f)
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If a final environmental assessment with a finding of no significant
impact or an environmental impact statement is accepted pursuant to subsection
(e), subsequent actions, projects, and permits that are consistent with the
approved regional coastal erosion and sediment management plan and that fall
within the scope of the environmental review shall be deemed to have satisfied
the requirements of chapter 343, and no additional environmental assessment or
environmental impact statement shall be required for those actions, projects,
or permits unless the approving agency determines that the proposed action
falls outside of the environmental review conducted under chapter 343.

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Financing mechanisms.
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To
implement a regional coastal erosion and sediment management plan, the
following financing tools may be considered for the benefit of shoreline
property owners:

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(1)
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Special assessment
districts;

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(2)
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Community
facilities districts;

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(3)
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Tax increment
financing;

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(4)
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The issuance of
bonds by the county at the request of private property owners; and

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(5)
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Any other
available public or private financing tool.

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-6
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Effect of approved regional coastal erosion and sediment management plan
on permit decisions.
(a)
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County
agencies and the board of land and natural resources shall review any permit
and approval applications required to implement shoreline erosion mitigation
actions within a regional shoreline mitigation district for consistency with
the applicable approved regional coastal erosion and sediment management plan.

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(b)
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Where a proposed permit or approval application is consistent with an
approved regional coastal erosion and sediment management plan and an
application has been deemed complete, the county and state permit applications
shall be limited in review and disposition to:

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(1)
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Verifying that all
required application materials have been submitted;

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(2)
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Verifying
consistency with the approved regional coastal erosion and sediment management
plan; and

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(3)
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Imposing
conditions reasonably necessary to implement the approved regional coastal
erosion and sediment management plan and to address site-specific impacts.

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Review of permits implementing an
approved regional coastal erosion and sediment management plan shall not
reconsider issues resolved during regional coastal erosion and sediment
management plan approval, including the appropriateness, location, or type of
erosion mitigation measures authorized by the regional coastal erosion and
sediment management plan.

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(c)
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Nothing in this section shall be construed to limit the authority of the
board of land and natural resources or a county agency to impose conditions or
deny a permit or approval where necessary to protect public trust resources,
natural shoreline processes, or public access based on site-specific impacts
not previously evaluated during regional coastal erosion and sediment
management plan approval."

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SECTION
3
.
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Section 183C-6,
Hawaii Revised Statutes, is amended to read as follows:

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"
�183C-6
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Permits and site plan approvals.
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(a)
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The department shall regulate
land use in the conservation district by the issuance of permits.

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(b)
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The department shall render a decision on a completed application for a
permit within one hundred eighty days of its acceptance by the department.
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If within one hundred eighty days after
acceptance of a completed application for a permit, the department shall fail
to give notice, hold a hearing, and render a decision, the owner may
automatically put the owner's land to the use or uses requested in the owner's
application.
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When an environmental
impact statement is required pursuant to chapter 343, or when a contested case
hearing is requested pursuant to chapter 91, the one hundred eighty days shall
be extended an additional ninety days beyond the time necessary to complete the
requirements of chapter 343 or chapter 91.
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Any request for additional extensions by the applicant shall be subject
to the approval of the board.

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(c)
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The department shall hold a public hearing in every case involving the
proposed use of land for commercial purposes, at which hearing interested
persons shall be afforded a reasonable opportunity to be heard.
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Public notice of the time and place of the
hearing shall be given at least once statewide and in the county in which the
property is located.
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The notice shall be
given not less than twenty days prior to the date set for the hearing.
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The hearing shall be held in the county in
which the land is located and may be delegated to an agent or representative of
the board as may otherwise be provided by law and in accordance with rules
adopted by the board.
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For the purposes
of its public hearing or hearings, the department shall have the power to
summon witnesses, administer oaths, and require the giving of testimony.
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As used in this subsection, the term
"commercial purposes" shall not include the use of land for utility
purposes.

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(d)
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The department shall regulate the construction, reconstruction,
demolition, or alteration of any structure, building, or facility by the
issuance of site plan approvals.

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(e)
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Any permit for the reconstruction, restoration, repair, or use of any
Hawaiian fishpond exempted from the requirements of chapter 343 under section
183B-2 shall provide for compliance with the conditions of section 183B-2.

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(f)
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Where a proposed permit or approval
application is consistent with an approved regional coastal erosion and
sediment management plan and an application has been deemed complete, review
and disposition of the proposed permit or site plan approval application shall
be limited to:

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(1)
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Verifying that
all required application materials have been submitted;

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(2)
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Verifying
consistency with the approved regional coastal erosion and sediment management
plan; and

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(3)
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Imposing
conditions reasonably necessary to implement the approved regional coastal
erosion and sediment management plan and to address site-specific impacts.

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Review of permit or site plan
approval applications that implement an approved regional coastal erosion and
sediment management plan shall not reconsider issues resolved during regional
coastal erosion and sediment management plan approval, including the
appropriateness, location, or type of erosion mitigation measures authorized by
the regional coastal erosion and sediment management plan.

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(g)
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Nothing in this section shall be construed to
limit the authority of the department to impose conditions or deny a permit
where necessary to protect public trust resources, natural shoreline processes,
or public access based on site‑specific impacts not previously evaluated
during the regional coastal erosion and sediment management plan approval.
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The department shall consult with the office
of planning and sustainable development and the applicable county regarding
implementation of an approved regional coastal erosion and sediment management
plan when evaluating a permit application under this chapter.
"

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SECTION
4
.
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Section 205A-2,
Hawaii Revised Statutes, is amended by amending subsection (c) to read as
follows:

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"(c)
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Policies.

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(1)
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Recreational
resources;

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(A)
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Improve
coordination and funding of coastal recreational planning and management; and

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(B)
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Provide adequate,
accessible, and diverse recreational opportunities in the coastal zone
management area by:

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(i)
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Protecting coastal
resources uniquely suited for recreational activities that cannot be provided
in other areas;

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(ii)
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Requiring
restoration of coastal resources that have significant recreational and
ecosystem value, including but not limited to coral reefs, surfing sites,
fishponds, sand beaches, and coastal dunes, when these resources will be
unavoidably damaged by development; or requiring monetary compensation to the
State for recreation when restoration is not feasible or desirable;

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(iii)
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Providing and
managing adequate public access, consistent with conservation of natural
resources, to and along shorelines with recreational value;

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(iv)
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Providing an
adequate supply of shoreline parks and other recreational facilities suitable
for public recreation;

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(v)
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Ensuring public recreational
uses of county, state, and federally owned or controlled shoreline lands and
waters having recreational value consistent with public safety standards and
conservation of natural resources;

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(vi)
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Adopting water
quality standards and regulating point and nonpoint sources of pollution to
protect, and where feasible, restore the recreational value of coastal waters;

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(vii)
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Developing new
shoreline recreational opportunities, where appropriate, such as artificial
lagoons, artificial beaches, and artificial reefs for surfing and fishing; and

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(viii)
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Encouraging
reasonable dedication of shoreline areas with recreational value for public use
as part of discretionary approvals or permits by the land use commission, board
of land and natural resources, and county authorities; and crediting that
dedication against the requirements of section 46-6;

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(2)
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Historic
resources;

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(A)
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Identify and
analyze significant archaeological resources;

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(B)
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Maximize
information retention through preservation of remains and artifacts or salvage
operations; and

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(C)
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Support state
goals for protection, restoration, interpretation, and display of historic
resources;

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(3)
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Scenic and open
space resources;

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(A)
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Identify valued
scenic resources in the coastal zone management area;

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(B)
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Ensure that new
developments are compatible with their visual environment by designing and
locating those developments to minimize the alteration of natural landforms and
existing public views to and along the shoreline;

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(C)
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Preserve,
maintain, and, where desirable, improve and restore shoreline open space and
scenic resources; and

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(D)
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Encourage those
developments that are not coastal dependent to locate in inland areas;

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(4)
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Coastal
ecosystems;

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(A)
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Exercise an
overall conservation ethic, and practice stewardship in the protection, use,
and development of marine and coastal resources;

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(B)
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Improve the
technical basis for natural resource management;

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(C)
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Preserve
valuable coastal ecosystems of significant biological or economic importance,
including reefs, beaches, and dunes;

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(D)
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Minimize
disruption or degradation of coastal water ecosystems by effective regulation
of stream diversions, channelization, and similar land and water uses,
recognizing competing water needs; and

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(E)
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Promote
water quantity and quality planning and management practices that reflect the
tolerance of fresh water and marine ecosystems and maintain and enhance water
quality through the development and implementation of point and nonpoint source
water pollution control measures;

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(5)
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Economic uses;

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(A)
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Concentrate
coastal dependent development in appropriate areas;

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(B)
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Ensure
that coastal dependent development and coastal related development are located,
designed, and constructed to minimize exposure to coastal hazards and adverse
social,
visual, and environmental impacts in the coastal zone management area; and

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(C)
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Direct
the location and expansion of coastal development to areas designated and used
for that development and permit reasonable long-term growth at those areas, and
permit coastal development outside of designated areas when:

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(i)
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Use of designated
locations is not feasible;

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(ii)
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Adverse environmental effects and risks from coastal hazards are
minimized; and

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(iii)
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The development is
important to the State's economy;

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(6)
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Coastal hazards;

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(A)
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Develop and
communicate adequate information about the risks of coastal hazards;

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(B)
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Control
development, including planning and zoning control, in areas subject to coastal
hazards;

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(C)
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Ensure that
developments comply with requirements of the National Flood Insurance Program; [
and
]

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(D)
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Prevent coastal
flooding from inland projects;
and

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(E)
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Support
and integrate regional coastal erosion and sediment management planning for the
protection of shoreline properties into county special management area planning
and permitting processes, to the extent feasible and consistent with this
chapter;

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(7)
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Managing
development;

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(A)
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Use, implement,
and enforce existing law effectively to the maximum extent possible in managing
present and future coastal zone development;

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(B)
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Facilitate timely
processing of applications for development permits and resolve overlapping or
conflicting permit requirements; and

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(C)
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Communicate the
potential short and long-term impacts of proposed significant coastal
developments early in their life cycle and in terms understandable to the
public to facilitate public participation in the planning and review process;

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(8)
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Public
participation;

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(A)
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Promote public
involvement in coastal zone management processes;

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(B)
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Disseminate
information on coastal management issues by means of educational materials,
published reports, staff contact, and public workshops for persons and
organizations concerned with coastal issues, developments, and government
activities; and

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(C)
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Organize
workshops, policy dialogues, and site‑specific mediations to respond to
coastal issues and conflicts;

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(9)
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Beach protection;

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(A)
�
Locate new
structures inland from the shoreline setback to conserve open space, minimize
interference with natural shoreline processes, and minimize loss of
improvements due to erosion;

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(B)
�
Prohibit
construction of private shoreline hardening structures, including seawalls and
revetments, at sites having sand beaches and at sites where shoreline hardening
structures interfere with existing recreational and waterline activities;

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(C)
�
Minimize the
construction of public shoreline hardening structures, including seawalls and
revetments, at sites having sand beaches and at sites where shoreline hardening
structures interfere with existing recreational and waterline activities;

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(D)
�
Minimize grading
of and damage to coastal dunes;

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(E)
�
Prohibit
private property owners from creating a public nuisance by inducing or
cultivating the private property owner's vegetation in a beach transit
corridor; and

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(F)
�
Prohibit
private property owners from creating a public nuisance by allowing the private
property owner's unmaintained vegetation to interfere or encroach upon a beach
transit corridor; and

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(10)
�
Marine and coastal
resources;

���������
(A)
�
Ensure that the
use and development of marine and coastal resources are ecologically and
environmentally sound and economically beneficial;

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(B)
�
Coordinate the
management of marine and coastal resources and activities to improve
effectiveness and efficiency;

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(C)
�
Assert and
articulate the interests of the State as a partner with federal agencies in the
sound management of ocean resources within the United States exclusive economic
zone;

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(D)
�
Promote research,
study, and understanding of ocean and coastal processes, impacts of climate
change and sea level rise, marine life, and other ocean resources to acquire
and inventory information necessary to understand how coastal development
activities relate to and impact ocean and coastal resources; and

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(E)
�
Encourage research
and development of new, innovative technologies for exploring, using, or
protecting marine and coastal resources."

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SECTION 5.
�
There is appropriated out of the general
revenues of the State of Hawaii the sum of $
����������
or so much thereof as may be
necessary for fiscal year 2026-2027 for the purposes of this Act, including:

����
(1)
�
Facilitating the
identification and establishment of regional shoreline mitigation districts;

����
(2)
�
Coordinating
interagency review of regional coastal erosion and sediment management plans
with the department of land and natural resources, county agencies, and
relevant federal agencies, including the United States Army Corps of Engineers;

����
(3)
�
Reviewing,
evaluating, and approving regional coastal erosion and sediment management
plans; and

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(4)
�
Providing
technical assistance, guidance, and coordination to support the implementation
of approved regional coastal erosion and sediment management plans.

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The sum appropriated shall be
expended by the office of planning and sustainable development for the purposes
of this Act.

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SECTION 6.
�
There is appropriated out of the general
revenues of the State of Hawaii the sum of $
����������
or so much thereof as may be
necessary for fiscal year 2026-2027 to hire one full-time equivalent (1.0 FTE)
temporary planning analyst to carry out the purposes of this Act; provided that
this position shall be exempt from chapter 76, Hawaii Revised Statutes.

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The sum appropriated shall be
expended by the office of planning and sustainable development for the purposes
of this Act.

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SECTION 7.
�
Statutory material to be repealed is
bracketed and stricken.
�
New statutory
material is underscored.

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SECTION 8.
�
This Act shall take effect on January 1, 2027;
provided that sections 5 and 6 shall take effect on July 1, 2026.

INTRODUCED BY:

_____________________________

Report Title:

OPSD; Regional
Shoreline Mitigation Districts; Coastal Erosion; Plans; Permits; Appropriations

Description:

Authorizes the Office of Planning and Sustainable
Development to approve the establishment of regional shoreline mitigation
districts to facilitate regional coordination by shoreline property owners to
address coastal erosion.
�
Requires the preparation
of a regional coastal erosion and sediment management plan for each regional
shoreline mitigation district.
�
Establishes
procedures for the review of state and county permits associated with regional
shoreline mitigation districts.
�

Establishes the support and integration of regional coastline erosion
and sediment management planning as a policy under the coastal zone management
program.
�
Appropriates moneys and
establishes 1.0 FTE temporary position.

The summary description
of legislation appearing on this page is for informational purposes only and is
not legislation or evidence of legislative intent.