STAND. COM. REP. NO. 2004

Honolulu, Hawaii

RE:    S.B. No. 2337

Honorable Donna Mercado Kim

President of the Senate

Twenty-Seventh State Legislature

Regular Session of 2014

State of Hawaii

Madam:

     Your Committee on Human Services, to which was referred S.B. No. 2337 entitled:

"A BILL FOR AN ACT RELATING TO LOW-INCOME HOUSING,"

begs leave to report as follows:

     The purpose and intent of this measure is to authorize the issuance of general obligation bonds and appropriate funds for the low-income housing tax credit loan program in order to support low-income housing development.

     Your Committee received testimony in support of this measure from the Hawaii Housing Finance and Development Corporation; Office of Housing and Community Development, County of Hawaii; Hawaii Association of REALTORS; Blueprint for Change; Hawaii Primary Care Association; Community Alliance for Mental Health; and one individual.  Your Committee received comments on this measure from the Department of Budget and Finance.

     Your Committee finds that there is a critical need for low-income housing in the State and that the construction industry is in need of alternative financing mechanisms that would enable it to sustain and complete low-income housing projects.  This measure supports the development of low-income housing by supporting the low-income housing tax credit loan program, which provides owners of certain low-income buildings a no-interest loan for a percentage of the cash value of the state low-income housing tax credit in lieu of claiming the credit.

     As affirmed by the record of votes of the members of your Committee on Human Services that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 2337 and recommends that it pass Second Reading and be referred to the Committee on Ways and Means.

Respectfully submitted on behalf of the members of the Committee on Human Services,

____________________________

SUZANNE CHUN OAKLAND, Chair