THE SENATE

S.B. NO.

2227

THIRTY-THIRD LEGISLATURE, 2026

 

STATE OF HAWAII

 

 

 

 

 

 

A BILL FOR AN ACT

 

 

relating to rental assistance.

 

 

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

 

     SECTION 1.  Chapter 356D, Hawaii Revised Statutes, is amended by adding three new sections to part VIII be appropriately designated and to read as follows:

     "§356D-A  State rent supplement program special fund.  (a)  There is established within the state treasury the state rent supplement program special fund, to be administered by the authority and into which shall be deposited:

     (1)  The transaction fees collected pursuant to section 501-  ;

     (2)  The transaction fees collected pursuant to section 502-  ; and

     (3)  Legislative appropriations.

All interest earned and accrued on moneys, deposited into the special fund shall become a part of the special fund.

     (b)  Monies from the state rent supplement program special fund shall be used to:

     (1)  Provide rental assistance on behalf of qualified tenants under the state rent supplement program established under part VIII of this chapter; and

     (2)  Support the functions of the state rent supplement program.

     §356D-B  State rent supplement program; memorandum of agreement.  The authority may enter into memoranda of agreement with the counties or specialized nonprofit organizations as necessary to implement this section.

     §356D-C  Rental supplement payments.  (a)  Subject to the availability of funds, the authority shall award not less than six months and not more than twelve months of supplemental rental payments on behalf of a qualified tenant.  Qualified tenants shall pay a minimum of thirty per cent of their income towards rent.  The authority shall subsidize the difference between the established monthly rent for the qualified tenant's dwelling unit; provided that the authority shall not pay more than $2,000 per month on behalf of any qualified tenant.

     (b)  Qualified tenants may be eligible for recertification under the program pursuant to procedures adopted by the authority under section 356D-155(b)."

     SECTION 2.  Chapter 501, Hawaii Revised Statutes, is amended by adding a new section to be appropriately designated and to read as follows:

     "§501-    Transaction fee; recordings in the office of the assistant registrar of the land court; services rendered by the bureau of conveyances.  (a)  The department of land and natural resources shall assess a transaction fee of $           for each recording in the office of the assistant registrar of the land court for services rendered by the bureau of conveyances under this chapter.

     (b)  The transaction fees collected pursuant to this section shall be deposited to the credit of the state rent supplement program special fund established under section 356D-A and shall be used to support the state rent supplement program."

     SECTION 3.  Chapter 502, Hawaii Revised Statutes, is amended by adding a new section to be appropriately designated and to read as follows:

     "§502-    Transaction fee; recordings in the bureau of conveyances.  (a)  The department of land and natural resources shall assess a transaction fee of $           for each recording in the bureau of conveyances for services rendered under this chapter.

     (b)  The transaction fees collected pursuant to this section shall be deposited to the credit of the state rent supplement program special fund established under section 356D-A and shall be used to support the state rent supplement program."

     SECTION 4.  Section 356D-153, Hawaii Revised Statutes, is amended by amending subsection (b) to read as follows:

     "(b)  The authority shall give preference to qualified tenants with incomes at or below eighty per cent of the annual median income as determined by the United States Department of Housing and Urban Development[.]; provided that the authority shall further prioritize the following qualified tenant applicants:

     (1)  Kupuna who are sixty-two years of age or older;

     (2)  Families with at least one child under the age of eighteen years; and

     (3)  Qualifying tenants with disabilities."

     SECTION 5.  Section 356D-155, Hawaii Revised Statutes, is amended by amending subsection (b) to read as follows:

     "(b)  Procedures adopted by the authority hereunder shall provide for recertification of the incomes of tenants, except elders, at intervals [of two years, or at shorter intervals,] determined by the authority for the purpose of adjusting rental charges and annual payments on the basis of tenants' incomes, but in no event shall rental charges adjusted under this part for any dwelling exceed the fair market rental of the dwelling."

     SECTION 6.  Section 356D-154, Hawaii Revised Statutes, is repealed.

     ["[§356D-154]  Relationship of annual payment to rental and income.  The amount of the annual payment with respect to any dwelling unit shall not exceed the amount by which the fair market rental for that unit exceeds thirty per cent of the tenant's income as determined by the authority pursuant to procedures and rules pursuant to chapter 91."]

     SECTION 7.  Act 98, Session Laws of Hawaii 2023, as amended by Act 282, Session Laws of Hawaii 2025, is amended by amending section 6 to read as follows:

     "SECTION 6.  This Act shall take effect on July 1, 2023, and shall be repealed on June 30, [2028.] 2026."

     SECTION 8.  There is appropriated out of the general revenues of the State of Hawaii the sum of $5,000,000 or so much thereof as may be necessary for fiscal year 2026-2027 to be deposited into the state rent supplement program special fund.

     SECTION 9.  There is appropriated out of the state rent supplement program special fund the sum of $5,000,000 or so much thereof as may be necessary for fiscal year 2026-2027 to provide rent supplement payments under the state rent supplement program.

     The sum appropriated shall be expended by the Hawaii public housing authority for the purposes of this Act.

     SECTION 10.  In codifying the new sections added by sections 2 and 3 of this Act, the revisor of statutes shall substitute appropriate section numbers for the letters used in designating the new sections in this Act.

     SECTION 11.  Statutory material to be repealed is bracketed and stricken.  New statutory material is underscored.

     SECTION 12.  This Act shall take effect on July 1, 2026.

 

INTRODUCED BY:

_____________________________

 

 

 

 

Report Title:

HPHA; DLNR; State Rent Supplement Program; State Rent Supplement Program Special Fund; Bureau of Conveyances; Land Court; Transaction Fees; Repeal; Appropriation

 

Description:

Requires the Hawaii Public Housing Authority to award monthly rent supplement payments on behalf of qualified tenants under the State Rent Supplement Program prioritizing certain tenants, including kupuna.  Authorizes the HPHA to enter into memoranda of agreement for rental supplement payments with the counties or specialized nonprofit organizations.  Amends provisions relating to the State Rent Supplement Program.  Establishes the State Rent Supplement Program Special Fund.  Requires the Department of Land and Natural Resources to assess a transaction fee for each applicable recording in the office of the Assistant Registrar of the Land Court or the Bureau of Conveyances to be deposited into the State Rent Supplement Program Special Fund.  Repeals the existing separate State Rent Supplement Program for kupuna.  Appropriates funds.

 

 

 

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