HI HB1326

Extends authorization for holdover water permits from three consecutive one-year renewals to six consecutive one-year holdovers, with a maximum total period of six years.

Requires holdover authorizations allowing use of over two million gallons of water per day to include written decisions with conditions minimizing impacts to public trust purposes and limits water use to demonstrated actual, reasonable beneficial needs.

Mandates holdover permits continue without Board of Land and Natural Resources action while contested case proceedings are pending.

Requires the Board to hold a public hearing on proposed administrative rules for water rights disposition by lease at public auction and water valuation process, and retain a certified appraiser with expertise in real property and water law prior to approving any holdover authorizations after January 1, 2020.

Exempts instream, in-watershed use of water for wetland kalo cultivation done in a traditional manner from water rights disposition statutes.

Extends the repeal date for Act 126, Session Laws of Hawaii 2016, from June 30, 2019, to June 30, 2022, and requires the Board and Commission on Water Resource Management to report to the legislature on the effectiveness of water rights provisions by twenty days prior to the 2020 regular session.