CONFERENCE COMMITTEE REP. NO. 80-24

Honolulu, Hawaii

, 2024

RE: S.B. No. 2133

H.D. 1

C.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Thirty-Second State Legislature

Regular Session of 2024

State of Hawaii

Honorable Scott K. Saiki

Speaker, House of Representatives

Thirty-Second State Legislature

Regular Session of 2024

State of Hawaii

Sirs:

Your Committee on Conference on the disagreeing vote of the Senate to the amendments proposed by the House of Representatives in S.B. No. 2133, H.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO HOUSING,"

having met, and after full and free discussion, has agreed to recommend and does recommend to the respective Houses the final passage of this bill in an amended form.

The purpose of this measure is to:

(1) Authorize the Hawaii Housing Finance and Development Corporation to issue bonds for housing project infrastructure and finance the development of regional state infrastructure projects;

(2) Exempt bonds issued by the Hawaii Housing Finance and Development Corporation for improvements by assessments, and the interest thereon, from certain taxes, with exceptions;

(3) Include proceeds from bonds issued for regional state infrastructure projects as a source of revenue for regional state infrastructure subaccounts; and

(4) Authorize regional state infrastructure subaccount revenues to be used to repay regional state infrastructure project bond holders.

Your Committee on Conference finds that the development of additional housing inventory often requires updates to aging infrastructure needed to accommodate the new units. The cost of updating infrastructure presents a major barrier to the development of housing projects, with the cost often falling on the shoulders of the developers, which ultimately leads to the costs being passed down to the project's residents. Therefore, this measure will facilitate the development of infrastructure required to support new housing projects urgently needed across the State.

Your Committee on Conference has amended this measure by:

(1) Inserting language to amend section 201H-191.5(d), Hawaii Revised Statutes, to specify that the cost of providing regional infrastructure improvements may be assessed against housing and mixed-use transit-oriented development projects specially benefiting from the improvements;

(2) Inserting an effective date of July 1, 2024; and

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

As affirmed by the record of votes of the managers of your Committee on Conference that is attached to this report, your Committee on Conference is in accord with the intent and purpose of S.B. No. 2133, H.D. 1, as amended herein, and recommends that it pass Final Reading in the form attached hereto as S.B. No. 2133, H.D. 1, C.D. 1.

Respectfully submitted on behalf of the managers:

ON THE PART OF THE HOUSE

ON THE PART OF THE SENATE

____________________________ LUKE A. EVSLIN Co-Chair	____________________________ STANLEY CHANG Chair
____________________________ MICAH AIU Co-Chair	____________________________ TROY N. HASHIMOTO Co-Chair