Honorable Robert Bunda

President of the Senate

Twenty-First State Legislature

Regular Session of 2001

State of Hawaii

Sir:

Your Committee on Commerce, Consumer Protection and Housing, to which was referred S.B. No. 1026 entitled:

begs leave to report as follows:

The purpose of this measure is to amend the affordable housing ratio for the undeveloped parcels in the Villages of Kapolei, Leiali`i and La`i`opua.

Your Committee received testimony in support of this measure from the Special Assistant to the Governor for Housing and Housing and Community Development Corporation of Hawaii.

Your Committee finds that one of the biggest challenges facing the real estate market is a lack of available inventory, due to low levels of new construction in the 1990s and surging sales activity in recent years. To address this challenge, the State must be prepared to facilitate housing production in its master planned communities.

Your Committee further finds that the counties are in support of this measure, which would give the counties an active role in determining the affordable housing requirements. Your Committee has amended this measure to make technical amendments to correct typographical errors.

As affirmed by the record of votes of the members of your Committee on Commerce, Consumer Protection and Housing that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 1026, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 1026, S.D. 1, and be placed on the calendar for Third Reading.