Ka Wai Ola - Office of Hawaiian Affairs, Volume 6, Number 9, 1 Kepakemapa 1989 — How DHHL was formed, how it functions today [ARTICLE]

How DHHL was formed, how it functions today

From Territory to State When Hawai'i became a state in 1959, Congress (through the Admission Act) required the Hawaiian Homes Commission Act (HHCA) become a provision of the State Constitution. In addition, title to Hawaiian Home Lands, whieh had been vested in the United States, was transferred to the state of Hawai'i. At that time the responsibility for the administration of the Hawaiian Homes Commision Act passed to the state, with provisions for the United States government to maintain certain oversight responsibilities. The admission act required that amendments to or repeal of provisions of the HHCA be made only with the consent of the United States, except for amendments to provisions that relate to the administration of the HHCA or that increase benefits to lessees of the HHCA. The admission act specifically provided that qualifications of lessees shall not be changed except with the consent of the United States. To administer the provisions of the HHCA, the Department of Hawaiian Home Lands was formed. It is one of the smallest of 18 executive agencies of the state of Hawai'i. The department is headed by an executive board known as the Hawaiian Homes Commission. The eight members of the HHC are appointed by the governor with the advice and consent of the state senate. The chairman ofthe commission serves as the full-time administrator of the department. At least four members must have at least 25 percent Hawaiian blood. The HHCA provic}es that three commissioners are to be from O'ahu, and one eaeh from the islands of Hawai'i, Maui, Moloka'i and Kaua'i. The commission meets regularly eaeh month, and meets subject to the eall of the ehainnan for workshops and special sessions. Aside from the chairman, who serves full-time as the administrator of the department, the commission members are unpaid. The Hawaiian Homes Commission serves in the position of a trustee and has the following fiduciary duties: 1. To act exclusively in the interests of beneficiaries of the HHCA. 2. To hold and protect the trust property for the beneficiaries. 3. To exercise such skill and care as a person of ordinary prudence would exercise in dealing with one's own property in the management of the trust. 4. To adhere to the terms of the trust as set forth in the Hawaiian Homes Commission Act. Hawaiian homes program today Concerns have been voiced over the years about the administration and direction of the Hawaiian Homes program. DHHL reviewed the issues raised in various program areas. Problems were identified, categorized, and assigned priorities to clanfy the nature and scope of work to be performed. As a result of the assessment process, the Hawaiian Homes Commission adopted three priority goals in October 1983. The goals were the cornerstones for the acceleration program. Briefly stated, the goals were: (1) improve management capabilities; (2) restore the trust assets; (3) accelerate the distribution of a land base to native Hawaiians. The first priority goal stressed the need to improve DHHL's internal management, structure, operations, staffing patterns and information management capabilities so that it could move ahead at an accelerated paee. TTie second goal reflected the need to resolve the long-standing problem of Hawaiian Home Lands whieh were set aside under executive orders and proclamations for public use with little or no payment. DHHL needed to assert its authority over all trust assets and reach settlement for present and past misuse of its lands. The third goal addressed one of the fundamen-

tal purposes of the Hawaiian Homes Commission Act of 1920. Until native Hawaiians applied for and received fully-improved lots as well as low interest financing in order to meet the requirement of residing or cultivating the land within one year after its being awarded. At the cost of $85,000 for eaeh improved lot and house, a total of more than $720 million would have been required to aeeommodate the applicants. The commission expressed a sense of urgency to satisfy its fundamental mission without total reliance on other sources of funds whieh are outside the commission's authority and control. Over the past few years, the department has improved its management capabilities; has restored trust assets by obtaining the return of Hawaiian Home Lands that have been used by other public agencies; and has accelerated the distribution of land to persons on the waiting lists. On Dec. 27, 1984, then-governor George Ariyoshi signed executive orders that returned approximately 27,825 acres of Hawaiian Home Lands to the department. The cancellation and withdrawal of our lands from 28 executive instruments represented a major achievement in the fulfillment of goal two. Governor Ariyoshi's action was significant since it represented a positive step by the state to recognize the prior injustice committed by the illegal setasides and the willingness to work with DHHL to negotiate the resolution of issues as past and present compensation, if any, to be charged. Three Iand exchange approvals were received from the Secretary of the Interior during 1987 . The

exchanges: (1) resolved improper use of Hawalian Home Lands at Waiakea Uka, Hawai'i, for a county flood control project; (2) settled litigation to resolve improper use of Hawaiian Home Lands at the Hilo, Kamuela and Moloka'i airports; (3) resolved the unauthorized use of six parcels of Hawaiian Home Lands on 0'ahu's leeward coast. Four executive orders setting aside Hawaiian Home Lands to the federal government are pending resolution. A suit filed in federal court to secure the return or compensation for the Navy's use of approximately 1,356 acres of Hawaiian Home Lands at Lualualei, Oahu, was dismissed from the court earlier this year. DHHL is working on an appeal. During the acceleration program, the department made commitments that infrastructure for the raw land lots would be installed. Of the 2,541 lots awarded, 2,100 of them are unimproved. To fulfill its commitment, the department has made provision of an infrastructure one of its priorities and has been revamping its capitol improvement project program to address its beneficiaries' needs. The acceleration program has also produced a renewed interest in the homesteading program and resulted in a dramatic increase in applications. In June 1984, there were 8,503 applications for homestead lots. Despite awarding 2,541 lots in 1984 and 1985, today there are more than 17,000 applications for homestead lots. This information was prouided courtesy of the Department of Hawaiian Home Lands.