THE SENATE

S.B. NO.

2069

THIRTY-THIRD LEGISLATURE, 2026

S.D. 2

STATE OF HAWAII

 

 

 

 

 

 

A BILL FOR AN ACT

 

 

RELATING TO THE DWELLING UNIT REVOLVING FUND.

 

 

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

 

     SECTION 1.  The legislature finds that the dwelling unit revolving fund equity pilot program was established to create more homeownership opportunities for qualified purchasers, especially those who work in professions with critical shortages in the State, such as health care workers, educators, law enforcement and correctional officers, and agricultural field workers.  Under the dwelling unit revolving fund equity pilot program, the Hawaii housing finance and development corporation uses funds in the dwelling unit revolving fund to work with developers of for-sale projects to purchase a specified amount of equity in designated units that are being sold to qualified residents, thus lowering the price of the qualifying home for the qualifying resident.

     The legislature further finds that extending the sunset date of the dwelling unit revolving fund equity pilot program demonstrates a viable, sustainable approach to increasing access to homeownership for residents of the State.

     Accordingly, the purpose of this Act is to:

     (1)  Extend the sunset date of the dwelling unit revolving fund equity pilot program pursuant to Act 92, Session Laws of Hawaii 2023, from June 30, 2028, to June 30, 2030; and

     (2)  Require that any equity purchased by the Hawaii housing finance and development corporation under the dwelling unit revolving fund equity pilot program be in a for-sale housing development project within a transit-oriented development zone.

     SECTION 2.  Act 92, Session Laws of Hawaii 2023, is amended by amending section 2 as follows:

     1.  By amending subsection (b) to read:

     "(b)  The Hawaii housing finance and development corporation may purchase equity in for-sale housing development projects[;] within a transit-oriented development zone; provided that this equity shall be allocated to specific units within the housing development projects and the price to be paid by each eligible buyer of a unit shall be reduced by the Hawaii housing finance and development corporation's equity amount for that unit."

     2.  By amending subsection (g) to read:

     "(g)  As used in this section:

     "Housing development project" means a plan, design, or undertaking by the Hawaii housing finance and development corporation or an eligible developer for the development of units.  "Housing development project" includes all real and personal property, buildings and improvements, commercial space, lands for farming and gardening, community facilities acquired or constructed or to be acquired or constructed, and all tangible or intangible assets held or used in connection with the housing development project.

     "Transit-oriented development zone" means a transit‑oriented development infrastructure improvement program area pursuant to section 206E-243, Hawaii Revised Statutes.

     "Unit" means:

     (1)  The structure and land upon which the structure is constructed, whether on fee simple or leasehold property, developed for residential purposes pursuant to chapter 201H, Hawaii Revised Statutes; or

     (2)  Improved or unimproved real property that is developed for residential purposes pursuant to chapter 201H, Hawaii Revised Statutes.

"Unit" includes dwelling units."

     SECTION 3.  Act 92, Session Laws of Hawaii 2023, is amended by amending section 5 to read as follows:

     "SECTION 5.  This Act shall take effect on July 1, 2023, and section 2 shall be repealed on June 30, [2028;] 2030; provided that[:

     (1)  Section 201H-47, Hawaii Revised Statutes, shall be reenacted in the form in which it read on the day prior to the effective date of this Act; and

     (2)  The] the requirements imposed pursuant to section 2(c) of this Act shall remain in effect and run with the deed after June 30, [2028.] 2030."

     SECTION 4.  Statutory material to be repealed is bracketed and stricken.  New statutory material is underscored.

     SECTION 5.  This Act shall take effect on July 1, 2050.

 

 

 

Report Title:

HHFDC; Dwelling Unit Revolving Fund; Dwelling Unit Revolving Fund Equity Pilot Program

 

Description:

Extends the sunset date of the Dwelling Unit Revolving Fund Equity Pilot Program pursuant to Act 92, SLH 2023, from June 30, 2028, to June 30, 2030.  Requires any equity purchased by the Hawaii Housing Finance and Development Corporation under the Dwelling Unit Revolving Fund Equity Pilot Program to be in a for-sale housing development project within a transit-oriented development zone.  Effective 7/1/2050.  (SD2)

 

 

 

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