STAND. COM. REP. NO. 762

                                   Honolulu, Hawaii
                                                     , 1999

                                   RE:  S.B. No. 1229
                                        S.D. 1




Honorable Norman Mizuguchi
President of the Senate
Twentieth State Legislature
Regular Session of 1999
State of Hawaii

Sir:

     Your Committees on Health and Human Services and Ways and
Means, to which was referred S.B. No. 1229 entitled: 

     "A BILL FOR AN ACT RELATING TO HOUSING,"

beg leave to report as follows:

     The purpose of this measure is to provide assistance to the
homeless.  Specifically, this measure:

     (1)  Requires that twelve and a half per cent of conveyance
          taxes collected each fiscal year be deposited into the
          rental housing trust fund; 

     (2)  Requires that twelve and a half per cent of conveyance
          taxes collected each fiscal year be deposited into the
          special fund for homeless assistance;

     (3)  Appropriates $70,000 in general funds for capital
          improvements for homeless shelter facilities; and

     (4)  Appropriates $600,000 out of the special fund for
          homeless assistance for homeless assistance. 

     Your Committees received testimony in support of this
measure from the Housing and Community Development Corporation of
Hawaii, United Public Workers, Institute for Human Services,
Hawaii Catholic Conference, Catholic Charities, American Friends
Service Committee, Nature Conservancy of Hawaii, Projects
Pacific, Affordable Housing and Homeless Alliance, Gregory House

 
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                                   STAND. COM. REP. NO. 762
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Programs, Hawaii Lawyers Care, and a private individual.
Testimony in opposition was received from the Legal Aid Society
of Hawaii.  Informational testimony was provided by the Tax
Foundation of Hawaii.

     The intent of this measure is to provide a continuous source
of funding for homeless assistance.  Your Committees find that a
special fund for homeless assistance would help to effectively
address a major problem which has grown over the past decade in
the increasing number of homeless persons.  However, financial
resources to fund homeless programs have been scarce.

     Your Committees have amended this measure to reflect a more
equitable distribution of conveyance tax moneys by changing the
deposit amounts from twelve and a half per cent to twenty-five
per cent each into the rental housing trust fund and the special
fund for homeless assistance, respectively.

     As affirmed by the records of votes of the members of your
Committees on Health and Human Services and Ways and Means that
are attached to this report, your Committees are in accord with
the intent and purpose of S.B. No. 1229, as amended herein, and
recommend that it pass Second Reading in the form attached hereto
as S.B. No. 1229, S.D. 1, and be placed on the calendar for Third
Reading.

                                   Respectfully submitted on
                                   behalf of the members of the
                                   Committees on Health and Human
                                   Services and Ways and Means,



____________________________       ______________________________
CAROL FUKUNAGA, Co-Chair           SUZANNE CHUN OAKLAND, Chair



____________________________                                     
ANDREW LEVIN, Co-Chair

 
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