STAND. COM. REP. NO. 1128-22

Honolulu, Hawaii

, 2022

RE: S.B. No. 2922

S.D. 2

H.D. 1

Honorable Scott K. Saiki

Speaker, House of Representatives

Thirty-First State Legislature

Regular Session of 2022

State of Hawaii

Sir:

Your Committee on Housing, to which was referred S.B. No. 2922, S.D. 2, entitled:

"A BILL FOR AN ACT RELATING TO RURAL DISTRICTS,"

begs leave to report as follows:

The purpose of this measure is to:

(1) Authorize each county to determine the appropriateness of allowing a dwelling house on each quarter-acre, rather than each half-acre, of land in rural districts, under certain circumstances;

(2) Require the Office of Planning and Sustainable Development to conduct a study to assess the rural district framework within the State's land use law, make recommendations regarding refining rural district policies and permissible uses within the rural districts, and submit reports to the Legislature; and

(3) Appropriate funds for the Office of Planning and Sustainable Development to conduct the study and complete the reports required by this measure.

Your Committee received testimony in support of this measure from the Office of Planning and Sustainable Development, Planning Department of the County of Hawai‘i, Hawai‘i Association of REALTORS, and Land Use Research Foundation of Hawaii. Your Committee received testimony in opposition to this measure from the Land Use Commission and Kūpuna for the Mo‘opuna. Your Committee received comments on this measure from the Department of Budget and Finance, Department of Agriculture, and Grassroot Institute of Hawaii.

Your Committee finds that under existing law, only one dwelling house is generally permitted on one-half acre of land in a rural district. The housing shortage and affordability crisis in the State necessitates expanded approaches to address this problem. Authorizing each county to adopt ordinances to allow a dwelling house on each quarter-acre of rural land would expand housing opportunities in the respective counties.

Your Committee has amended this measure by:

(1) Changing the effective date for provisions that authorize each county to determine the appropriateness of allowing a dwelling house on each quarter-acre, rather than each half-acre, of land in rural districts, under certain circumstances, to July 1, 2051, to encourage further discussion; and

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

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. 2922, S.D. 2, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 2922, S.D. 2, H.D. 1, and be referred to your Committee on Water & Land.

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

____________________________

NADINE K. NAKAMURA, Chair