CONFERENCE COMMITTEE REP. NO. 220-26

Honolulu, Hawaii

, 2026

RE: S.B. No. 3219

H.D. 3

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. 3219, H.D. 3, entitled:

"A BILL FOR AN ACT PROPOSING AMENDMENTS TO ARTICLE VII, SECTIONS 12 AND 13, OF THE HAWAII STATE CONSTITUTION,"

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 propose constitutional amendments to expressly provide that the Legislature may authorize political subdivisions, such as the counties, to issue resilient infrastructure for shelter and equity bonds for specified public works, public improvements, or other actions necessary for housing and community development, and exclude these bonds from determinations of the funded debt of the political subdivisions.

Your Committee on Conference finds that additional funding mechanisms are required for the State to finance infrastructure investments necessary to address Hawaii's persistent affordable housing shortage. Amending the Hawaii State Constitution to establish a more modern funding mechanism in the form of bond issuance will allow county-level infrastructure growth without introducing new taxes or increasing current tax rates. This measure supports affordable housing construction by leveraging the economic growth of the infrastructure developments themselves to pay for the necessary foundations of local communities.

Your Committee on Conference has amended this measure by:

(1) Clarifying the ballot question to specify that the amendments proposed by this measure will direct the Legislature to authorize the counties to issue Resilient Infrastructure for Shelter and Equity Bonds to fund public improvements in designated districts; and

(2) Making it effective upon compliance with article XVII, section 3, of the Constitution of the State of Hawaii.

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. 3219, H.D. 3, as amended herein, and recommends that it pass Final Reading in the form attached hereto as S.B. No. 3219, H.D. 3, 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	____________________________ GLENN WAKAI Chair
____________________________ DAVID A. TARNAS Co-Chair	____________________________ KARL RHOADS Co-Chair
____________________________ TYSON K. MIYAKE Co-Chair	____________________________ TROY N. HASHIMOTO Co-Chair