STAND. COM. REP. NO. 568-26

Honolulu, Hawaii

, 2026

RE: H.B. No. 1812

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. 1812 entitled:

"A BILL FOR AN ACT RELATING TO HOUSING,"

begs leave to report as follows:

The purpose of this measure is to:

(1) Establish a five-year Hawaii Builds Pilot Program, under which the Hawaii Housing Finance and Development Corporation shall designate specific projects that meet certain requirements as Hawaii Builds Pilot Projects;

(2) Authorize the use of Dwelling Unit Revolving Fund monies for predevelopment costs and construction equity in any Hawaii Builds Pilot Project;

(3) Require the Hawaii Housing Finance and Development Corporation to submit annual reports to the Legislature regarding the Pilot Program; and

(4) Appropriate Dwelling Unit Revolving Fund monies for the Pilot Program.

Your Committee received testimony in support of this measure from the Office of Planning and Sustainable Development; Hawaii Housing Finance and Development Corporation; State Council on Developmental Disabilities; AARP Hawaii; and one individual. Your Committee received comments on this measure from the State Procurement Office and one individual.

Your Committee finds that Hawaii continues to face an acute shortage of affordable housing, particularly for households that do not qualify for low-income programs but remain priced out of market-rate housing. Your Committee further finds that successful models in other jurisdictions demonstrate that acting as a proactive public developer by securing land, assembling entitlements, and preparing shovel-ready projects significantly accelerates delivery timelines and reduces risk for housing development partners. This measure will support faster production of units for the middle class and help stabilize Hawaii's strained workforce housing market.

Your Committee has amended this measure by:

(1) Changing the effective date to July 1, 3000, to encourage further discussion; and

(2) Making technical, nonsubstantive amendments for the purposes of clarity, consistency, and style.

Your Committee respectfully requests your Committee on Finance, should it deliberate on this measure, to address the State Procurement Office's concerns regarding the procurement exemption for certain contracts related to the Hawaii Builds Pilot Program.

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. 1812, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 1812, H.D. 1, and be referred to your Committee on Finance.

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

____________________________

LUKE A. EVSLIN, Chair