STAND. COM. REP. NO. 2712

Honolulu, Hawaii

RE: S.B. No. 2544

S.D. 2

Honorable Ronald D. Kouchi

President of the Senate

Thirty-Third State Legislature

Regular Session of 2026

State of Hawaii

Sir:

Your Committee on Ways and Means, to which was referred S.B. No. 2544, S.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO HOUSING,"

begs leave to report as follows:

The purpose and intent of this measure is to establish a five-year pilot program to build additional housing units in Hawaii.

Specifically, this measure:

(1) Establishes and appropriates moneys for the Hawaii Builds pilot program within the Hawaii Housing Finance and Development Corporation;

(2) Requires the Hawaii Housing Finance and Development Corporation to designate specific projects for the pilot program, including one project in each county;

(3) Authorizes the Hawaii Housing Finance and Development Corporation to expend moneys from the dwelling unit revolving fund for the pilot program; and

(4) Requires the Hawaii Housing Finance and Development Corporation to submit annual reports on the pilot program to the Legislature.

Your Committee received written comments in support of this measure from the Hawaii Housing Finance and Development Corporation.

Your Committee received written comments in opposition to this measure from UNITE HERE Local 5 and one individual.

Your Committee received written comments on this measure from the State Procurement Office and Office of Hawaiian Affairs.

Your Committee finds that Hawaii continues to experience a shortage of affordable housing, caused in part by the lengthy review process for affordable housing projects. This measure will help to expedite housing construction by allowing the Hawaii Housing Finance and Development Corporation to act as a proactive developer and to streamline agency approvals and permitting.

Your Committee has amended this measure by:

(1) Deleting the provision appropriating moneys out of the dwelling unit revolving fund for the Hawaii Builds pilot program; and

(2) Placing a cap on the moneys the Hawaii Housing Finance and Development Corporation may expend annually from the dwelling unit revolving fund for purposes of the Hawaii Builds pilot program.

As affirmed by the record of votes of the members of your Committee on Ways and Means that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 2544, S.D. 1, as amended herein, and recommends that it pass Third Reading in the form attached hereto as S.B. No. 2544, S.D. 2.

Respectfully submitted on behalf of the members of the Committee on Ways and Means,

________________________________

DONOVAN M. DELA CRUZ, Chair