Kaupiko v. Board of Land and Natural Resources. Concurring and Dissenting Opinion by McKenna, J [ada].

555 P.3d 143, 154 Haw. 456
CourtHawaii Supreme Court
DecidedAugust 28, 2024
DocketSCAP-22-0000557
StatusPublished

This text of 555 P.3d 143 (Kaupiko v. Board of Land and Natural Resources. Concurring and Dissenting Opinion by McKenna, J [ada].) is published on Counsel Stack Legal Research, covering Hawaii Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Kaupiko v. Board of Land and Natural Resources. Concurring and Dissenting Opinion by McKenna, J [ada]., 555 P.3d 143, 154 Haw. 456 (haw 2024).

Opinion

*** FOR PUBLICATION IN WEST’S HAWAI‘I REPORTS AND PACIFIC REPORTER ***

Electronically Filed Supreme Court SCAP-XX-XXXXXXX 28-AUG-2024 12:35 PM Dkt. 38 OP

IN THE SUPREME COURT OF THE STATE OF HAWAI‘I

---o0o---

WILLIE KAUPIKO; KA‘IMI KAUPIKO; MIKE NAKACHI; FOR THE FISHES; CENTER FOR BIOLOGICAL DIVERSITY; and KAI PALAOA, Plaintiffs-Appellants/Cross-Appellees,

vs.

BOARD OF LAND AND NATURAL RESOURCES, STATE OF HAWAI‘I; and DEPARTMENT OF LAND AND NATURAL RESOURCES, STATE OF HAWAI‘I, Defendants-Appellees/Cross-Appellants,

and

PET INDUSTRY JOINT ADVISORY COUNCIL, Defendant-Intervenor-Appellee/Cross-Appellee.

SCAP-XX-XXXXXXX

APPEAL FROM THE ENVIRONMENTAL COURT OF THE FIRST CIRCUIT (CAAP-XX-XXXXXXX; CASE NO. 1CCV-XX-XXXXXXX)

AUGUST 28, 2024

RECKTENWALD, C.J., AND EDDINS, JJ., AND CIRCUIT JUDGE TONAKI AND CIRCUIT JUDGE PARK, ASSIGNED BY REASON OF VACANCIES, WITH McKENNA, J., CONCURRING IN PART AND DISSENTING IN PART *** FOR PUBLICATION IN WEST’S HAWAI‘I REPORTS AND PACIFIC REPORTER ***

OPINION OF THE COURT BY RECKTENWALD, C.J.

I. INTRODUCTION

This case concerns environmental review of commercial

aquarium fishing permits. In 2017, this court ruled in Umberger

v. Dep’t of Land & Nat. Res., 140 Hawai‘i 500, 403 P.3d 277

(2017) that the commercial aquarium collection permitting

process is subject to environmental review under the Hawaiʻi

Environmental Policy Act (HEPA). We held that commercial

aquarium collection is not exempt from HEPA review because, as a

matter of law, “a permit for extraction of an unlimited number

of aquatic life cannot be said to constitute only a ‘minor

alteration’ in the condition of State waters and submerged

lands.” Id. at 525, 403 P.3d at 302 (quoting Hawai‘i

Administrative Rules (HAR) § 11-200-8(a)(4) (2018) (repealed

2019)) (brackets and footnote omitted). On remand, the

environmental court issued an order voiding all existing

commercial aquarium permits issued pursuant to Hawai‘i Revised

Statutes (HRS) § 188-31 (2011) and enjoining the Hawai‘i

Department of Land and Natural Resources (DLNR) from issuing or

renewing further permits without completion of HEPA review.

After the Umberger injunction, the Pet Industry Joint

Advisory Council (PIJAC) prepared an environmental impact

statement (EIS) in pursuit of permits to continue commercial

aquarium fishing in the West Hawai‘i Reef Fishery Management Area

2 *** FOR PUBLICATION IN WEST’S HAWAI‘I REPORTS AND PACIFIC REPORTER ***

(WHRFMA). The Board of Land and Natural Resources (BLNR or the

State) initially rejected the EIS for fourteen reasons. PIJAC

revised the EIS and published it. During the mandatory public

comment period, the EIS received extensive feedback, including

from the plaintiffs-appellants in this case. PIJAC then

submitted the final EIS to BLNR. After another hearing, BLNR

voted 3-3 because the seventh member of the Board was absent,

and the revised final EIS (RFEIS) was “deemed to be accepted” by

operation of law. See HRS § 343-5(e) (2022).

Plaintiffs sued BLNR in the Environmental Court for

the First Circuit, seeking declaratory and injunctive relief

concerning the default acceptance of the RFEIS. The

environmental court ruled against Plaintiffs, finding that,

under the “rule of reason,” the EIS adequately disclosed facts

so that the agency could render an informed decision.

Plaintiffs appealed and applied for transfer, which we accepted.

Separately, the State cross-appealed from the environmental

court’s denial of its motion to dismiss. The State argues that

the 3-3 vote does not constitute state action and accordingly,

it should not be charged with defending the EIS.

We hold that (1) the State is a proper defendant to

the case and should defend the EIS; (2) a reviewing court should

consider the “rule of reason” in conjunction with HEPA’s content

requirements in evaluating an EIS; and (3) the EIS here was

3 *** FOR PUBLICATION IN WEST’S HAWAI‘I REPORTS AND PACIFIC REPORTER ***

legally sufficient because it both met HEPA’s content

requirements and contained information sufficient for BLNR to

make an informed decision. We therefore affirm the

environmental court’s denial of the State’s motion to dismiss

and its grant of summary judgment for PIJAC.

II. BACKGROUND

To improve the management of fishing and fishery

resources in Hawai‘i, the legislature created the WHRFMA through

Act 306 in 1998. See 1998 Haw. Sess. Laws Act 306, § 1 at 985-

86. In doing so, it “recognize[d] the scientific support for

establishing fish replenishment areas where no fishing is

allowed as an effective means to enhance stocks of sport fish

and food fish.” Id. at 986. The Act directed DLNR to set aside

at least thirty percent of the West Hawai‘i coastline as fish

replenishment areas (FRAs) where aquarium fish collecting is

prohibited. Id. Commercial collectors can seek permits to fish

in the WHRFMA from the DLNR pursuant to HRS § 188-31 and its

associated administrative rules. See Umberger, 140 Hawai‘i at

504, 403 P.3d at 281.

In 2017, this court held in Umberger that HRS § 188-

31’s commercial aquarium collection permitting process is

subject to environmental review under HEPA. Id. at 528, 403

P.3d at 305. Aquarium collection is not exempt from HEPA review

because, as a matter of law, “a permit for extraction of an

4 *** FOR PUBLICATION IN WEST’S HAWAI‘I REPORTS AND PACIFIC REPORTER ***

unlimited number of aquatic life cannot be said to constitute

only a ‘minor alteration’ in the condition of State waters and

submerged land.” Id. at 525, 403 P.3d at 302 (quoting Hawai‘i

commercial aquarium permits issued pursuant to HRS § 188-31

across the state and enjoining DLNR from issuing or renewing

further permits without completion of HEPA review.

HRS § 343-2 (2010) defines an EIS as,

an informational document prepared in compliance with the rules adopted under section 343-6 and which discloses the environmental effects of a proposed action, effects of a proposed action on the economic welfare, social welfare, and cultural practices of the community and State, effects of the economic activities arising out of the proposed action, measures proposed to minimize adverse effects, and alternatives to the action and their environmental effects.

Broadly, an applicant seeking to carry out an “action”

under HRS § 343-5 (2010) must engage in environmental review —

either an environmental assessment or an EIS. 1 HAR § 11-200-1

(2018) 2 explained that HRS Chapter 343

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