Honorable Robert Bunda

President of the Senate

Twenty-Third State Legislature

Regular Session of 2006

State of Hawaii

Sir:

Your Committee on Commerce, Consumer Protection, and Housing, to which was referred H.C.R. No. 51 entitled:

begs leave to report as follows:

The purpose of this measure is to request the United States Department of Housing and Urban Development (HUD) to assist the residents of Palolo Valley Homes and the Mutual Housing Association of Hawaii, Inc., to expedite the privatization and renovation of one hundred eighteen units at Palolo Valley Homes.

Testimony in support of the measure was submitted by the Housing and Community Development Corporation of Hawaii (HCDCH) and the Mutual Housing Association of Hawaii (MHAH).

Your Committee finds that MHAH has successfully acquired and renovated three hundred six state-owned public housing units in Palolo, but that the remaining one hundred eighteen federal units have remained in disrepair. With the cooperation of HUD, the privatization of Palolo Valley Homes can serve as a model for HCDCH in preserving and repairing its troubled public housing stock without displacing the residents living in the units.

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 concurs with the intent and purpose of H.C.R. No. 51, and recommends its adoption.