HI HB2434

Counties and their subdivisions receive priority and a 90-day right of first refusal to obtain intergovernmental agreements for state water resources before private entities can apply for water licenses.

Non-county applicants face a rebuttable presumption that their proposed water use is inconsistent with public trust if their ownership structure exhibits characteristics like layered ownership obscuring decision-making, short-term financial priorities, or limited public accountability.

Private applicants must demonstrate transparency in beneficial ownership, enforceable commitments for infrastructure maintenance and climate resilience, protection of public trust uses, and meaningful community participation to overcome the presumption.

Water licenses issued to non-county entities are limited to a maximum 5-year term with one possible 5-year extension, after which counties again receive right of first refusal.

Public trust uses protected under the framework include Native Hawaiian traditional practices, maintaining waters in their natural state, domestic water use, and Hawaiian homes commission needs.