STAND. COM. REP. NO. 131

                                 Honolulu, Hawaii
                                                   , 1999

                                 RE: H.B. No. 1370
                                     




Honorable Calvin K.Y. Say
Speaker, House of Representatives
Twentieth State Legislature
Regular Session of 1999
State of Hawaii

Sir:

     Your Committee on Human Services and Housing, to which was
referred H.B. No. 1370 entitled: 

     "A BILL FOR AN ACT RELATING TO THE CONVEYANCE TAX,"

begs leave to report as follows:

     The purpose of this bill is to:

     (1)  Increase the conveyance tax from $.10 to $.20 per $100;
          and
     
     (2)  Redistribute the revenues collected by the conveyance
          tax to include a 10 percent distribution to the Housing
          and Community Development Corporation for homeless
          shelter programs and 20 percent to the Bureau of
          Conveyances.

     Health Care for the Homeless Project, Catholic Charities of
the Diocese of Honolulu, Institute for Human Services, Inc., the
Affordable Housing and Homeless Alliance, and the Legal Aid
Society of Hawaii testified in support of this bill.  The
Governor's Office, the Housing and Community Development
Corporation of Hawaii, and the Board of Natural Resources
submitted testimony supporting the intent of the bill.  The
Hawaii Association of Realtors testified opposing the bill.  The
Department of Taxation commented on the bill.

     Your Committee finds that homelessness continues to be a
problem that must be addressed.  This bill will provide

 
 
                                 STAND. COM. REP. NO. 131
                                 Page 2

 
additional resources for programs to provide shelters for the
homeless.  
     Your Committee respectfully requests that in their
deliberations on this bill, the Committees on Energy and
Environmental Protection, Water and Land Use, and Finance
consider maintaining the bill's allocation of revenues to
homeless shelter programs, even if the conveyance tax rate is not
increased.

     As affirmed by the record of votes of the members of your
Committee on Human Services and Housing that is attached to this
report, your Committee is in accord with the intent and purpose
of H.B. No. 1370 and recommends that it pass Second Reading and
be referred to the Committees on Energy and Environmental
Protection and Water and Land Use.

                                   Respectfully submitted on
                                   behalf of the members of the
                                   Committee on Human Services
                                   and Housing,



                                   ______________________________
                                   DENNIS A. ARAKAKI, Chair