HB2167

SECTION 1. The legislature finds that youth ages eighteen to twenty-five are at a unique risk for housing and financial instability due to a combination of developmental, social, and environmental factors. This age range, known as emerging adulthood, is a well-documented developmental phase marked by major life transitions, including leaving the family home, attending college, entering the workforce, or joining the military. During this time, the human brain is still undergoing significant development, particularly in areas responsible for judgment, impulse control, and long-term planning. In addition, many young adults have limited experience living independently and are adjusting to the sudden absence of parental or guardian oversight.

The legislature further finds that even for well-supported youth, this period of emerging adulthood can be challenging. In Hawaii, however, where the cost of living is among the highest in the nation, housing instability becomes far more likely. For vulnerable youth -- those experiencing homelessness, transitioning out of foster care, fleeing domestic or family violence, or leaving unsafe home environments -- the challenges are compounded. These young people often face the transition to independence with no financial safety net and without the supportive structures that many of their peers rely on.

The legislature additionally finds that, nationally, as many as 4,200,000 youth and young adults experience homelessness each year, with roughly half encountering homelessness for the first time in their lives. Homelessness is deeply traumatic for young people, yet across the country, and especially in Hawaii, communities often lack sufficient resources for youth who are unsafely or unstably housed, couch surfing, doubled up, or living in situations of crisis.

The legislature also finds that in Hawaii, which has one of the highest homelessness rates per capita in the United States, these gaps are even more pronounced. According to the 2024 Hawaii Statewide Point in Time Count, approximately 1,140 unaccompanied youth and young adults were identified across the islands; however, this figure does not include couch surfing youth, who are often invisible in formal counts. Furthermore, youth who are doubled up or couch surfing are routinely told they are not literally homeless and therefore do not qualify for many housing assistance programs or eviction-prevention resources. Finally, local service providers report that many Hawaii youth resort to sleeping in cars, staying temporarily with unsafe acquaintances, or entering adult emergency shelters -- environments that are not designed for young adults -- simply to become eligible for help.

The legislature notes that by the time youth enter homelessness systems, they have often already been exposed to significant trauma, exploitation, and instability. Preventing a young person from ever reaching that point can dramatically improve long-term outcomes, including education, employment, physical health, and mental well-being.

The legislature recognizes that homelessness is not only traumatic, but also expensive. A 2010 United States Department of Housing and Urban Development study found that individuals utilizing emergency shelter, transitional housing, or permanent supportive housing for an average of four to twelve months incurred system costs ranging from $3,103 to $14,418 per household, with substantially higher costs for families, ranging from $6,574 to $38,742. Given inflation, increased service demands, and Hawaii's high operating costs, true expenses in 2025 are significantly higher.

The legislature further notes that in Hawaii, the statewide average cost of an emergency shelter bed was more than $27,500 per year in 2015, with annual family shelter costs often exceeding $80,000. Furthermore, given the State's unique challenges, including remote island geography, limited land availability, and high construction and staffing costs, mean per-person and per-family shelter costs exceed those of most states in the country. Finally, preventing youth from falling into homelessness is consistently shown to be far more cost-effective than supporting them after they enter the shelter system or experience long-term instability.

The legislature believes that the establishment of a youth housing stability assistance program represents a fiscally responsible investment that will offer immediate, flexible, and youth-centered financial stabilization. Preventing homelessness upfront can reduce reliance on emergency shelters, lessen strain on state-funded services, and support healthier long-term outcomes for Hawaii's emerging adults.

Accordingly, the purpose of this Act is to require the department of human services' office of youth services to establish a two-year youth housing stability assistance pilot program to award funds to certain agencies to support eligible youth with financial assistance.

SECTION 2. (a) The department of human services' office of youth services shall establish and administer a two-year youth housing stability assistance pilot program to provide flexible, rapid, and youth-centered financial assistance to young adults experiencing housing instability following a qualifying adverse life event.

(b) The office of youth services shall award funds to qualified nonprofit organizations or government agencies that provide services to eligible youth, as determined by the office, for the purpose of carrying out the youth housing stability assistance pilot program with the nonprofit organization's or government agency's clients.

(c) An individual shall be eligible for assistance under the youth housing stability assistance pilot program if the individual:

(1) Is between eighteen and twenty-five years of age; and

(2) Has experienced at least one qualifying event within the previous five years, including but not limited to:

(A) Homelessness;

(B) Exit from the foster care system;

(D) Family violence;

(E) Sex trafficking or related exploitation; and

(F) In immediate stability need; served eviction notice.

(d) Acceptable documentation to confirm eligibility by an individual for the youth housing stability assistance pilot program includes but is not limited to:

(1) Homeless verification letters;

(2) Department of education Form MV1;

(3) Letters from shelters or service organizations;

(4) Police reports; and

(5) Medical records.

(e) Each eligible youth may receive up to $10,000 in assistance, with final award amounts determined on a case-by-case basis by the administering agency based on individual need. Funds shall be provided to an eligible youth, as follows:

(1) Funds shall be a single payment intended to stabilize an immediate housing crisis, including rent, deposits, or emergency needs;

(2) Assistance amounts shall be equitably determined based on the youth's individual circumstances and the budget developed during a housing or stabilization planning conversation;

(3) Funds shall be disbursed as quickly as practicable and no later than twenty-four hours to forty-eight hours following completion of a financial needs assessment by case manager; and

(4) Participation in ongoing services shall not be required beyond the housing conversation; however, youth shall be supported in applying for other public benefits including the federal supplemental nutrition assistance program, federal temporary assistance to needy families program, or similar resources.

(f) Funds received by an eligible youth may be used for stability-related needs, including but not limited to:

(1) Housing, including rent payments or mortgage payments;

(2) Utilities;

(3) Transportation, including for:

(A) A pass to use public transportation;

(B) Gas; and

(4) Food;

(5) Basic needs, including clothing, footwear, and laundry services; and

(6) Childcare expenses, including for:

(A) Food;

(B) Clothing;

(D) Daycare or preschool expenses.

(g) Funds awarded pursuant to this section shall be administered by participating agencies and may be disbursed:

(1) Directly to vendors on behalf of eligible youth; or

(2) Directly to youth for approved basic-needs expenses, in accordance with participating agency policies.

SECTION 3. There is appropriated out of the general revenues of the State of Hawaii the sum of $ or so much thereof as may be necessary for fiscal year 2026-2027 for the establishment and administration of the youth housing stability assistance pilot program established pursuant to this Act.

The sum appropriated shall be expended by the department of human services for the purposes of this Act.

SECTION 4. This Act shall take effect on July 1, 2026, and shall be repealed on June 30, 2028.

INTRODUCED BY:	_____________________________

HOUSE OF REPRESENTATIVES	H.B. NO.	2167
THIRTY-THIRD LEGISLATURE, 2026
STATE OF HAWAII