STAND. COM. REP. NO. 3925

Honolulu, Hawaii

RE: H.C.R. No. 85

H.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Thirty-Third State Legislature

Regular Session of 2026

State of Hawaii

Sir:

Your Committees on Water, Land, Culture and the Arts and Housing, to which was referred H.C.R. No. 85, H.D. 1, entitled:

"HOUSE CONCURRENT RESOLUTION URGING THE DEPARTMENT OF LAND AND NATURAL RESOURCES TO TRANSFER PARCELS THAT MAKE UP THE EAST KAPOLEI TRANSIT-ORIENTED DEVELOPMENT PROJECT TO THE HAWAII HOUSING FINANCE AND DEVELOPMENT CORPORATION AND URGING THE HAWAII HOUSING FINANCE AND DEVELOPMENT CORPORATION TO PARTNER WITH THE DEPARTMENT OF HAWAIIAN HOME LANDS AND HAWAII COMMUNITY DEVELOPMENT AUTHORITY TO FACILITATE THE DEVELOPMENT OF NON-HOUSING COMMUNITY DEVELOPMENT PORTIONS OF THE PROJECT,"

beg leave to report as follows:

The purpose and intent of this measure is to urge:

(1) The Department of Land and Natural Resources to transfer parcels that make up the East Kapolei Transit-Oriented Development Project (Project) to the Hawaii Housing Finance and Development Corporation; and

(2) The Hawaii Housing Finance and Development Corporation to partner with the Department of Hawaiian Home Lands and Hawaii Community Development Authority to facilitate the development of non-housing community development portions of the Project.

Your Committees received testimony in support of this measure from the Department of Hawaiian Home Lands, Hawaii Housing Finance and Development Corporation, Hawaiʻi Community Development Authority, and Land Use Research Foundation of Hawaii.

Your Committees received comments on this measure from the Department of Land and Natural Resources and Office of Planning and Sustainable Development.

Your Committees find that the proposed East Kapolei Transit‑Oriented Development Project (Project) still requires significant improvements to existing infrastructure in preparation for the development of certain parcels owned by the Department of Land and Natural Resources (DLNR) into affordable rental units. On parcels adjacent to the Project, the Hawaii Housing Finance and Development Corporation (HHFDC) and Hawaii Community Development Authority (HCDA), with the University of Hawaii – West Oahu, have also begun development of a similar housing project. Your Committees recognize that existing law authorizes HHFDC to plan, construct, and finance housing projects and HCDA to facilitate needed infrastructure improvements in transit-oriented development areas. Your Committees believe that the responsibilities of DLNR, HHFDC, and HCDA should align with their respective core functions. By transferring ownership of the parcels owned by DLNR to HHFDC and HCDA, this measure would more efficiently and sustainably increase housing and mixed-mode commuting on Oahu.

Your Committees note the concerns raised in testimony from various agencies that revenues generated from the parcels of the Project should remain with DLNR and that relevant departments should continue to collaborate to ensure all parties involved remain on the same page while parcels are prepared for the transfer of ownership.

As affirmed by the records of votes of the members of your Committees on Water, Land, Culture and the Arts and Housing that are attached to this report, your Committees concur with the intent and purpose of H.C.R. No. 85, H.D. 1, and recommend its adoption.

Respectfully submitted on behalf of the members of the Committees on Water, Land, Culture and the Arts and Housing,

________________________________ STANLEY CHANG, Chair

________________________________ CHRIS LEE, Chair