STAND. COM. REP. NO. 1157

Honolulu, Hawaii

RE:    H.B. No. 142

       H.D. 1

       S.D. 1

Honorable Donna Mercado Kim

President of the Senate

Twenty-Eighth State Legislature

Regular Session of 2015

State of Hawaii

Madam:

     Your Committees on Hawaiian Affairs, Public Safety, Intergovernmental and Military Affairs, and Human Services and Housing, to which was referred H.B. No. 142, H.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO AFFORDABLE HOUSING ON HAWAIIAN HOME LANDS,"

beg leave to report as follows:

     The purpose and intent of this measure is to extend the sunset date of Act 141, Session Laws of Hawaii 2009, and Act 98, Session Laws of Hawaii 2012, that deal with affordable housing credits for affordable housing built on Hawaiian home lands.

     Your Committees received testimony in support of this measure from the Department of Hawaiian Home Lands, Panaewa Hawaiian Home Lands Community Association, Land Use Research Foundation of Hawaii, and one individual.  Your Committees received testimony in opposition to this measure from the City and County of Honolulu Department of Planning and Permitting, and one individual.

     Your Committees find that being able to request and receive affordable housing credits has afforded the Department of Hawaiian Home Lands greater opportunities to gain resources to develop homesteads and meet its mission.  This measure would allow the Department of Hawaiian Home Lands to continue to be able to raise funding for its mission.

     Your Committees have amended this measure by:

     (1)  Deleting its contents and inserting language submitted by the Department of Hawaiian Home Lands making permanent Act 141, Session Laws of Hawaii 2009, and Act 98, Session Laws of Hawaii 2012;

     (2)  Inserting language to amend section 46-15.1, Hawaii Revised Statutes, regarding the criteria and procedures for the issuance of affordable housing credits by the counties to the Department of Hawaiian Home Lands by, among other things:

          (A)  Requiring that twenty-five percent of proceeds from the transfer of any affordable housing credits by the Department of Hawaiian Home Lands be used for the development of rental units; and

          (B)  Requiring that at least half of all affordable housing credits received by the Department of Hawaiian Home Lands be subject to a memorandum of agreement with the issuing county;

     (3)  Inserting an effective date of June 29, 2050, to encourage further discussion; and

     (4)  Making technical, nonsubstantive amendments for the purposes of clarity and consistency.

     As affirmed by the records of votes of the members of your Committees on Hawaiian Affairs, Public Safety, Intergovernmental and Military Affairs, and Human Services and Housing that are attached to this report, your Committees are in accord with the intent and purpose of H.B. No. 142, H.D. 1, as amended herein, and recommend that it pass Second Reading in the form attached hereto as H.B. No. 142, H.D. 1, S.D. 1, and be referred to the Committee on Ways and Means.

Respectfully submitted on behalf of the members of the Committees on Hawaiian Affairs, Public Safety, Intergovernmental and Military Affairs, and Human Services and Housing,

________________________________ WILL ESPERO, Chair	________________________________ MAILE S.L. SHIMABUKURO, Chair
	________________________________ SUZANNE CHUN OAKLAND, Chair