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Water Rights, Property Rights,
and the Law of Settled
Expectations
Robert H. Thomas
www.inversecondemnation.com
“Land Use”
• What is at stake?
• How is it accomplished?
• Who are the players?
• Where do you go to affect change?
Laws are “made” by…
People
Legislature
Agencies
Courts
Pre‐zoning land use
• Courts, not Legislature
• Anything not injurious 
to neighbors
• Public trust
• Eminent domain
Origins of Land Use Regulation
• State Zoning Enabling 
Acts 
• Broad division of land 
classifications
• Everything in its place
• Euclid – zoning 
constitutional
Multiple Layers
• Clean Water Act, ESA, 
Rivers & Harbors Act, 
COE, FWS
• LUC, CZMA, BLNR, 
CWRM
• Zoning, Building Code, 
SMA permits, DPP, 
setbacks
• Federal
• State
• County
Why Divisions of Authority?
• Federalism
• Home Rule
Overlapping State Regulations
State Planning Act
Others (PASH)
County Zoning Codes
Planning Commissions
The Land Use Law
Coastal Zone Management Act
Zoning Enabling Act
ESA
Clean Water Act
HRS 343 EIS
Hawaii State Planning Act
• Haw. Rev. Stat. Ch. 226
• State Functional Plans
– Agriculture
– Conservation Lands
– Historic Preservation
• Functional Plans must reflect State priorities 
and consider county plans
State‐Wide Zoning
• Haw. Rev. Stat. chapter 205
• Enacted in 1961
• Response to perceived lack of 
planning and development of 
prime agricultural lands by 
counties
• Land Use Commission 
• Classified all land 
Urban
• Existing or planned 
urban development
• County controlled 
• 4% of  lands in State
Agricultural
• Prime Agricultural (A & B soil rating)
• Non‐Prime Agricultural (C, D, E, U)
• All uses not permitted are prohibited
AG Land?
Conservation
• Watersheds
• Scenic and historic 
areas
• Plant and wildlife 
habitats
• Parks
• Open space
Rural
• Small farm and large lot residential
• Underutilized District ‐ .2%
State Land Use Classes 
• Urban
• Rural
• Agricultural
• Conservation
?
• Urban
• Rural
• Agricultural
• Conservation
?
County Zoning Codes
• State Planning Act, HRS ch. 226
• Zoning Enabling Act, HRS § 46‐4
– Honolulu:  LUO ch. 21
– Maui:  Maui County Code ch. 19.04
– Hawaii:  Hawaii County Code ch. 25
– Kauai:  Kauai County Code ch. 8.
Restrictions on Government’s ability to interfere with 
property
• Fifth Amendment  
• Fourteenth Amendment
• Hawaii Constitution
• Statutory
• Governments of limited powers – those not 
enumerated are reserved to the people
Eminent Domain
• “Nor shall private property be taken without 
just compensation”
• Taking by condemnation
• Taking by overregulation
Regulatory Takings 
• Basis of claim – oppressive regulation = de 
facto confiscation
• Shortcut
– Paying for the change
– Unfair distribution of burden
• Key question: how far is “too far?”
Vested Rights 
• Right = “Property”
• Equitable estoppel 
• Green light + assurances
• Unfair to stop
Vested?
Vested?
Public Trust
• “All public natural resources…”
• “…are held in trust…”
• “…for the benefit of the people.”
• “…the State and its political subdivisions…”
• “…shall conserve and protect Hawaii's natural 
beauty and all natural resources…”
• “…including land, water, air, minerals and energy 
sources...”
• “…shall promote the development and utilization 
of these resources in a manner consistent with 
their conservation and in furtherance of the self‐
sufficiency…”
Hawaii Supreme Court’s Public Trust Doctrine
• Leaves the question of how the public trust 
doctrine applies to land.  Waiahole at 133 
• "We need not define the full extent of article 
XI, section 1's reference to 'all public 
resources' at this juncture.“
Govt’s Public Trust Duty
• Act within jurisdiction 
• Take “reasonable measures” to consider the 
resource
• “make appropriate assessments” to protect 
the resource
Water Rights, Property Rights,
and the Law of Settled
Expectations
Robert H. Thomas
www.inversecondemnation.com

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Hawaii Water Law And The Law Of Settled Expectations