STAND. COM. REP. NO. 313

Honolulu, Hawaii

RE: S.B. No. 9

S.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Thirtieth State Legislature

Regular Session of 2019

State of Hawaii

Sir:

Your Committee on Housing, to which was referred S.B. No. 9 entitled:

"A BILL FOR AN ACT RELATING TO THE HAWAII PUBLIC HOUSING AUTHORITY,"

begs leave to report as follows:

The purpose and intent of this measure is to appropriate funds to the Hawaii Public Housing Authority to reimburse landlords who participate in the section 8 housing choice voucher program for repair costs of tenant-caused property damage when the repairs exceed the tenant's security deposit.

Your Committee received testimony in support of this measure from the Hawaii Public Housing Authority, O‘ahu County Committee on Legislative Priorities of the Democratic Party of Hawai‘i, and one individual.

Your Committee finds that the section 8 program is one of the federal government's major programs for assisting very low-income families, the elderly, and the disabled to afford decent, safe, and sanitary housing. Currently, the program brings in approximately $32,680,000 a year on the island of Oahu, which supports over 2,337 families and over 6,400 individuals. Your Committee further finds that there is a negative perception of section 8 housing tenants amongst many landlords, making the section 8 housing voucher program a less attractive option. This measure would incentivize landlords to participate in the section 8 housing program by ensuring greater financial protection, thereby making more housing available for those who need it most.

Your Committee has amended this measure by:

(1) Inserting language to require the Hawaii Public Housing Authority to adopt rules, without regard to chapter 91, Hawaii Revised Statutes, to effectuate its purpose;

(2) Authorizing the appropriation to also be used to establish one full-time equivalent (1.0 FTE) position to assist and administer the reimbursement program;

(3) Inserting an effective date of July 1, 2050, to encourage further discussion; and

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

Your Committee notes that although the appropriation amount is blank, the Hawaii Public Housing Authority requested through oral testimony an appropriation amount of $1,000,000 to administer the reimbursement program.

As affirmed by the record of votes of the members of your Committee on Housing that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 9, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 9, S.D. 1, and be referred to your Committee on Ways and Means.

Respectfully submitted on behalf of the members of the Committee on Housing,

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STANLEY CHANG, Chair