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SB3004
THE SENATE
S.B. NO.
3004
THIRTY-THIRD LEGISLATURE, 2026
STATE OF HAWAII
A BILL FOR AN ACT
relating
to state water code penalties
.
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 in 1987, the state
water code was adopted to protect the precious water resources of the
State.
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To better enable the department
of land and natural resources and commission on water resource management to
carry out that mission, the legislature further finds that the water code's
penalties and fines must be amended and increased to serve as an effective
deterrence to violators.
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The
legislature additionally finds that increasing potential fines for water code
violations will also:
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(1)
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Help to preserve water resources by
ensuring the sustainable management and conservation of limited water resources
for future generations, particularly in areas facing over-extraction or misuse;
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(2)
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Protect the ecosystems by safeguarding
wetlands, rivers, and aquifers that depend on healthy water systems to maintain
biodiversity and environmental balance;
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(3)
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Promote public health and safety by
preventing contamination of drinking water supplies and reducing health risks
associated with waterborne diseases and pollutants;
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(4)
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Promote climate change resilience by
regulating water usage and protecting vulnerable water sources to address
challenges posed by prolonged droughts, erratic rainfall, and rising sea
levels;
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(5)
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Promote economic stability by helping
to avoid economic losses in agriculture, tourism, and other industries that
rely heavily on consistent and clean water supplies;
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(6)
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Promote enforcement of equity and
justice to ensure fair access to water resources for all, including
marginalized communities that may be disproportionately affected by water
scarcity or poor water management;
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(7)
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Increase accountability for violations
to deter illegal activities such as unauthorized diversions, pollution, or
overuse of water resources by imposing stricter penalties and fines; and
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(8)
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Increase compliance with federal and
state mandates to meet legal obligations under federal or state environmental
protection laws, ensuring alignment with broader water management and
conservation goals.
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The
purpose of this Act is to:
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(1)
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Ensure that all violators of the state
water code are held accountable for their violations by adding a minimum
penalty and amending the maximum penalty, with scheduled incremental increases,
per violation of the state water code and clarifying what constitutes a
separate offense; and
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(2)
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Require the commission on water
resources management to consider certain factors when imposing penalties.
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SECTION
2
.
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Section
174C-15, Hawaii Revised Statutes, is amended to read as follows:
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"
�174C-15
�
Penalties and common law remedies.
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(a)
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The commission may enforce its rules and orders adopted pursuant to this
chapter by suit for injunction or for damages or both.
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(b)
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Any person who[
violates any
]
:
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(1)
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Violates any
provision of this
chapter[
, or any
]
;
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(2)
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Violates any
rule adopted
pursuant to this chapter[
, may
]
;
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(3)
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Violates any order of the commission
regarding the enforcement or application of any provision of this chapter or
rule adopted under this chapter;
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(4)
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Fails to obtain a permit when a
permit is required under this chapter;
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(5)
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Fails to comply with permit
conditions; or
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(6)
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Fails to comply with standardized
water audit requirements pursuant to Act 169, Session Laws of Hawaii 2016,
shall
be subject to a fine imposed by the commission.
�
[
Such fine shall not exceed $5,000.
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For a continuing offense, each day during which the offense is committed
is a separate violation.
]
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Each
day that a violation exists or continues to exist may be considered a separate
offense.
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Penalties for continuing
violations shall be assessed from the earliest known date of the violation.
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The earliest known date of violation shall be
determined by the commission by a preponderance of the evidence; provided that
if the earliest known date cannot be determined by a preponderance of the
evidence, penalties for continuing violations shall be assessed from the
earliest date the commission is made aware of the violation.
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(c)
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A fine imposed pursuant to this section shall
not be less than $50 and shall not exceed:
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(1)
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$5,000 per violation; provided that
the commission has fined the violator within the five years preceding the
violation; provided further that the violation does not cause harm to other
water users, the environment, or water source; or
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(2)
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Except as provided by subsection (g),
$25,000
per violation; provided that the commission has fined the violator within the
five years preceding the violation; provided further that the violation causes
harm to other water users, the environment, or water source.
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(d)
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When imposing a fine, the commission shall
consider
the following factors, including but not limited to:
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(1)
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The nature, circumstances, extent, gravity, and history of the
violation and of any prior violations;
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(2)
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The economic benefit to the violator, or anticipated by the violator,
resulting from the violation;
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(3)
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The opportunity, difficulty, and history of corrective action;
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(4)
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The violator's good faith efforts to comply;
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(5)
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The violator's degree of culpability;
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(6)
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The quantity of water affected by the violation, including the
quantity of water unlawfully diverted, wasted, or contaminated;
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(7)
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The potential or actual harm to other water users, the environment, or
water source caused by the violation; and
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(8)
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Any other matters as justice may require.
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[
(c)
]
(e)
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No provision of this chapter shall bar the
right of any injured person to seek other legal or equitable relief against a
violator of this chapter.
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[
(d)
]
(f)
�
Except as otherwise provided
by law, the commission or its authorized representative by proper delegation
may set, charge, and collect administrative fines [
or
]
; may
bring
legal action to recover administrative fees and costs as documented by receipts
or affidavit, including attorneys' fees and costs; [
or
]
and may
bring legal action to recover administrative fines, fees, and costs, including
attorneys' fees and costs, or payment for damages resulting from a violation of
this chapter or any rule adopted pursuant to this chapter.
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(g)
�
The maximum fine per violation pursuant to
subsection (c)(2) shall increase to:
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(1)
�
$30,000 beginning January 1, 2030;
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(2)
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$35,000 beginning January 1, 2035;
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(3)
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$40,000 beginning January 1, 2040; and
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(4)
�
$45,000
�
beginning January 1,
2045.
"
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SECTION
3.
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If any provision of this Act, or the
application thereof to any person or circumstance, is held invalid, the
invalidity does not affect other provisions or applications of the Act that can
be given effect without the invalid provision or application, and to this end
the provisions of this Act are severable.
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SECTION
4.
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This Act does not affect rights and
duties that matured, penalties that were incurred, and proceedings that were
begun before its effective date.
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SECTION
5.
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Statutory material to be repealed is
bracketed and stricken.
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New statutory
material is underscored.
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SECTION 6.
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This Act shall take effect on July 1, 2026.
INTRODUCED BY:
_____________________________
Report Title:
CWRM; State
Water Code; Penalties
Description:
Adds a
minimum penalty and maximum penalty per violation of the State Water Code and authorizes
the Commission on Water Resource Management to consider each day that a
violation exists or continues to exist a separate offense.
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Establishes factors the CWRM must consider
when determining the amount of the penalty.
�
Increases maximum fines, for violations that cause harm, every five years
from 2030 to 2045.
The summary description
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not legislation or evidence of legislative intent.