STAND. COM. REP. NO. 1187

Honolulu, Hawaii

RE: H.B. No. 674

H.D. 1

S.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Thirty-Second State Legislature

Regular Session of 2023

State of Hawaii

Sir:

Your Committee on Housing, to which was referred H.B. No. 674, H.D. 1, 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 repeal the percentage requirements for the Hawaii Public Housing Authority related to the admission of applicants, with or without preferences, into federal and state low-income public housing units.

Your Committee received testimony in support of this measure from the Hawaii Public Housing Authority.

Your Committee finds that federal regulations allow public housing agencies to develop tenant residency requirements or local preferences for the selection and admission process for their public housing programs. Existing state law requires the Hawaii Public Housing Authority to establish maximum limits of annual net income for tenant selection and conditions as to eligibility or preference, provided that not less than fifty percent of available units shall be for applicants without preference and up to fifty percent of available units shall be for applicants with preference. According to testimony received by your Committee, the removal of preference percentage requirements would allow the Hawaii Public Housing Authority to conduct its admission of applicants into federal and state low-income public housing units in a more fair and appropriate manner based on the State's current needs and availability of funds, and according to its adopted administrative rules, which will continue to prioritize housing for families with preference through its non-profit partners.

Your Committee has amended this measure by:

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

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

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 H.B. No. 674, H.D. 1, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 674, H.D. 1, 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