STAND. COM. REP. NO. 2594

Honolulu, Hawaii

RE: S.B. No. 2981

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, Energy and Intergovernmental Affairs, and Housing, to which was referred S.B. No. 2981 entitled:

"A BILL FOR AN ACT RELATING TO LAND USE,"

beg leave to report as follows:

The purpose and intent of this measure is to:

(1) Beginning July 1, 2027, prohibit minimum off-street parking requirements for any new development in an urban district; and

(2) Require each county to amend or repeal any charter provision, ordinance, code, standard, or administrative procedure that imposes a minimum off-street parking requirement by July 1, 2027.

Your Committees received testimony in support of this measure from the Department of Land and Natural Resources; Office of Planning and Sustainable Development; one member of the Honolulu City Council; Council Services Division of the County of Kauaʻi; one member of the Maui County Council; Oahu Metropolitan Planning Organization; Hawaiʻi Association of REALTORS; Hawaiʻi Bicycling League; Housing Hawaiʻi's Future; Hawaiʻi YIMBY; Holomua Collaborative; Ulupono Initiative; AARP Hawaii; Grassroot Institute of Hawaii; Hawaiʻi Appleseed Center for Law and Economic Justice; Building Industry Association of Hawaii; Avalon Development Company, LLC; and two individuals.

Your Committees received testimony in opposition to this measure from one individual.

Your Committees received comments on this measure from Unite Here, Local 5.

Your Committees find that mandatory parking minimums are often set arbitrarily and applied uniformly, without regard to context, actual demand, or community input, which results in projects being required to build more parking than residents will use and costs for construction and housing to be driven up. Your Committees further find that parking decisions need to be made on a case-by-case basis to give flexibility to developers and communities to better match real demand. This measure will alleviate barriers to housing construction and promote alternative transit options and thoughtful parking solutions.

As affirmed by the records of votes of the members of your Committees on Water, Land, Culture and the Arts, Energy and Intergovernmental Affairs, and Housing that are attached to this report, your Committees are in accord with the intent and purpose of S.B. No. 2981 and recommend that it pass Second Reading and be referred to your Committee on Judiciary.

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

________________________________ GLENN WAKAI, Chair	________________________________ CHRIS LEE, Chair
	________________________________ STANLEY CHANG, Chair