STAND. COM. REP. NO. 137-26

Honolulu, Hawaii

, 2026

RE: H.B. No. 2606

H.D. 1

Honorable Nadine K. Nakamura

Speaker, House of Representatives

Thirty-Third State Legislature

Regular Session of 2026

State of Hawaii

Madame:

Your Committee on Housing, to which was referred H.B. No. 2606 entitled:

"A BILL FOR AN ACT RELATING TO OFF-SITE CONSTRUCTION,"

begs leave to report as follows:

The purpose of this measure is to establish and appropriate funds for a working group within the State Building Code Council to develop proposals for an off‑site construction program.

Your Committee received testimony in support of this measure from the Modular Building Institute and one individual. Your Committee received comments on this measure from the Office of Planning and Sustainable Development.

Your Committee finds that the Simplifying Permitting for Enhanced Economic Development (SPEED) Task Force identified significant delays and inefficiencies in Hawaii's permitting system, particularly where multiple counties must independently review the same off-site construction materials, designs, and manufacturer documentation. These duplicative reviews strain limited county staffing resources and slow the delivery of housing and infrastructure projects statewide. The SPEED Task Force recommended that a state-administered certification and inspection program for off-site construction be developed as part of the State's broader housing and infrastructure strategy. This measure initiates implementation of the Task Force's recommendation by establishing a working group to enable the development of an off-site construction program in the State.

Your Committee has amended this measure by:

(1) Changing the appropriation to an unspecified amount; and

(2) Changing the effective date to July 1, 3000, to encourage further discussion.

Your Committee respectfully requests your Committee on Finance, should it deliberate on this measure, to consider an appropriation amount of $5,000.

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. 2606, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 2606, H.D. 1, and be referred to your Committee on Water & Land.

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

____________________________

LUKE A. EVSLIN, Chair