Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-Third State Legislature

Regular Session of 2005

State of Hawaii

Sir:

Your Committee on Finance, to which was referred H.B. No. 931, H.D. 1, entitled:

begs leave to report as follows:

The purpose of this bill is to encourage the development of affordable housing on leased residential lots by prohibiting lessees from exercising certain rights granted to a lessee, under the Residential Leaseholds Law and Real Property Leases Law, if the lessee's residential lot under a sustainable affordable lease, including:

(1) The acquisition of the leased fee interest;

The Housing and Community Development Corporation of Hawaii and Hawaii Reserves, Inc., testified in support of this bill. The Building Industry Association Hawaii and Land Use Research Foundation of Hawaii supported the intent of this measure.

Your Committee has amended this bill by:

As affirmed by the record of votes of the members of your Committee on Finance that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 931, H.D. 1, as amended herein, and recommends that it pass Third Reading in the form attached hereto as H.B. No. 931, H.D. 2.