STAND. COM. REP. NO. 2707

                                   Honolulu, Hawaii
                                                     , 2000

                                   RE:  S.B. No. 2598
                                        S.D. 2




Honorable Norman Mizuguchi
President of the Senate
Twentieth State Legislature
Regular Session of 2000
State of Hawaii

Sir:

     Your Committee on Ways and Means, to which was referred S.B.
No. 2598, S.D. 1, entitled: 

     "A BILL FOR AN ACT RELATING TO HOUSING,"

begs leave to report as follows:

     The purpose of this bill is to encourage the development and
availability of low-income rental housing throughout the State.

     To accomplish this, this bill authorizes the issuance of
$10,000,000 in general obligation bonds and appropriates funds to
the rental housing trust fund.  The funds appropriated must be
used to fund projects which receive not more than fifty per cent
of the total investment in the project from government funding,
including rental housing trust funds and low-income housing tax
credits.  This bill also restricts combined consulting,
architectural, and engineering services to $200,000 for each
project.  Finally, this bill requires the Housing and Community
Development Corporation to act as a mortgage lender under the
Hula Mae lending program to provide refinancing for homeowners.

     Upon further consideration, your Committee has amended this
bill by deleting the $10,000,000 amount authorized for the
issuance of general obligation bonds and replacing it with a
blank amount for purposes of further discussion.  Your Committee
has also made one technical, nonsubstantive amendment for the
purposes of clarity and style.

 
a                                                     SB2598 SD2
 
 
                                   STAND. COM. REP. NO. 2707
                                   Page 2


     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.
2598, S.D. 1, as amended herein, and recommends that it pass
Third Reading in the form attached hereto as S.B. No. 2598,
S.D. 2.

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



                                 ________________________________
                                 CAROL FUKUNAGA, Co-Chair



                                 ________________________________
                                 ANDREW LEVIN, Co-Chair

 
a                                                     SB2598 SD2