CONFERENCE COMMITTEE REP. NO. 199-26

Honolulu, Hawaii

, 2026

RE: S.B. No. 2861

S.D. 2

H.D. 2

C.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Thirty-Third State Legislature

Regular Session of 2026

State of Hawaii

Honorable Nadine K. Nakamura

Speaker, House of Representatives

Thirty-Third State Legislature

Regular Session of 2026

State of Hawaii

Sir and Madam:

Your Committee on Conference on the disagreeing vote of the Senate to the amendments proposed by the House of Representatives in S.B. No. 2861, S.D. 2, H.D. 2, entitled:

"A BILL FOR AN ACT RELATING TO THE OFFICE OF WELLNESS AND RESILIENCE,"

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) Require the Office of Wellness and Resilience (Office), in consultation with the Department of Human Services, to develop a comprehensive plan by June 30, 2027, for the establishment of a Kakou Pilot Program to support families and children in need;

(2) Require the Office to submit preliminary and final reports to the Legislature on the plan and identify an administering agency or agencies for the pilot program; and

(3) Authorize the administering agency or agencies to expend Temporary Assistance for Needy Families (TANF) program funds for the purposes of the Kakou Pilot Program if the Legislature authorizes the establishment of the pilot program.

Your Committee on Conference finds that TANF is a federally funded program that provides cash assistance, work opportunities, and other support services to low-income families with children. TANF funds can be used for essential needs such as food, housing, utilities, child care, and transportation, as well as job training. Your Committee on Conference further finds that due to TANF's strict eligibility requirements and high administrative hurdles, the State has accumulated an estimated $470,000,000 in unspent TANF funds. This measure requires the development of a comprehensive plan before creating a Kakou Pilot Program that will leverage available federal funds to ensure that the State complies with federal requirements and remains responsive to the needs of local families, ultimately laying the foundation for long-term, sustainable support.

Your Committee on Conference has amended this measure by:

(1) Clarifying that beginning July 1, 2028, the Department of Human Services is authorized and may expend TANF funds for the purposes of the Kakou Pilot Program;

(2) Making it effective upon its approval; 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. 2861, S.D. 2, H.D. 2, as amended herein, and recommends that it pass Final Reading in the form attached hereto as S.B. No. 2861, S.D. 2, H.D. 2, C.D. 1.

Respectfully submitted on behalf of the managers:

ON THE PART OF THE HOUSE

ON THE PART OF THE SENATE

____________________________ LISA MARTEN Co-Chair	____________________________ JOY A. SAN BUENAVENTURA Chair
____________________________ DAISY HARTSFIELD Co-Chair	____________________________ DRU KANUHA Co-Chair