A controversial bill that conveys ownership to the state of several roads in Kakaako claimed by a private company will soon become law.
Gov. David Ige passed up an opportunity to veto the measure, which involves a company that controls roadside parking on the streets. But don’t expect the parking situation or ownership to change upon enactment of the law.
The state Department of Land and Natural Resources, which was expected to assume ownership of seven streets claimed by Kakaako Land Co., led by Calvert and Cedric Chun, is raising doubt over whether it will acquire the roads.
“It is unclear whether DLNR will take jurisdiction over the road(s),” said the agency’s Land Division in a message relayed by spokesman Dan Dennison. “The bill doesn’t mention DLNR at all.”
DLNR also said the measure, House Bill 2604, might have the effect of making the state a more direct party to a complex lawsuit filed two years ago by some Kakaako business owners who contend that Kakaako Land’s ownership claim on the roads is invalid. A trial is slated for October.
HB 2604 is slated to become law Tuesday.
Over the past six years, Kakaako Land has posted reserved-parking signs and painted parking stalls on eight streets where it charges $100 or more a month per stall. It also tows cars parked without approval.
The company said in the lawsuit that it bought the roadways in 1985 from the sole remaining heir of a developer who subdivided portions of Kakaako and sold lots but kept ownership of the surrounding streets.
The developer, Charles S. Desky, was willing in 1903 to give the territory his interest in seven roads — Hustace Avenue; Kawaiahao, Cooke, Ward, Cummins and Laniwai streets; and a Queen Street extension of South Street — according to a resolution by the Territorial Legislature that year.
The resolution directed the superintendent of public works to accept a deed for the streets, but there is no evidence a deed was ever conveyed.
HB 2604 attempted to address this issue by adding a single sentence to Hawaii law: “The acceptance by the territorial legislature or the legislature of a dedication of land by a private owner is sufficient to convey title to the state.”
DLNR now contends that “state” as used in the bill could refer to the Department of Transportation or the Hawaii Community Development Authority, an agency that regulates development in Kakaako and owns some roads.
The Legislature appears to have intended for DLNR to assume ownership, as the language in the bill is to be inserted into a section of state law governing DLNR’s board.
Suzanne Case, DLNR’s director and board chairwoman, said in written testimony on the bill in March that the bill would give title to the roads “to the state under the Board of Land and Natural Resources, as opposed to any other agency that can hold title in its own name.”
Case opposed the bill on several grounds, including wanting to avoid the liabilities of a property acquisition.
The new statement from DLNR adds that the agency “is not in the public road business and this bill is inconsistent with other provisions of (state law) which excludes lands being used as roads and streets from the definition of public lands under the jurisdiction of (DLNR’s) board. Rather, public roads, streets, and highways are under the jurisdiction of the counties or the Department of Transportation.”
Even if DLNR or some other state agency accepts ownership conveyed by HB 2604, there could be some question as to what exactly has been conveyed.
State Attorney General Doug Chin noted in written testimony on the bill that the 1903 resolution defines the roads in name only without other parameters. “The length, width, and location of the roads may have changed since 1903,” Chin said in his testimony.
Of the seven roads described in the resolution, two — Hustace Avenue and Laniwai Street — no longer exist.
Another potential issue with the impending law is the contention by Kakaako Land that HB 2604 is unconstitutional because it targets a single landowner. The company previously said state court is the proper place for the issue over ownership to be decided.
On the opposing side, Bob Emami, who owns The Car Store at 836 Ilaniwai St. and has been frustrated by Kakaako Land’s parking restrictions, urged Ige in a recent letter with 226 attached signatures to sign the bill on grounds that the state is only accepting ownership of roadways that have no clear owner.
Emami argued that Kakaako Land, which recorded its purchase from Desky heir Adele M. Christian in a quitclaim deed, doesn’t have valid ownership. A quitclaim deed offers no warranties against other ownership interests in the property.
“Their quitclaim title is not a sufficient proof of ownership,” Emami said in his letter. “Having the state take a definitive stance and exert control over these streets is the appropriate action for the greater good of the public.”