Report Title:
Kukui Gardens; Eminent Domain
Description:
Appropriates funds to purchase a property interest or finance condemnation proceedings to acquire the Kukui Gardens rental housing complex. Increases the ceiling on state revenue bonds issued by the Hawaii Housing Finance and Development Corporation to assist the tenants of Kukui Gardens rental housing complex to acquire the complex in fee. (HB667 HD1)
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HOUSE OF REPRESENTATIVES |
H.B. NO. |
667 |
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TWENTY-FOURTH LEGISLATURE, 2007 |
H.D. 1 |
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STATE OF HAWAII |
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A BILL FOR AN ACT
RELATING TO KUKUI gARDENS RENTAL HOUSING COMPLEX.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
SECTION 1. The legislature finds that the Kukui Gardens rental housing complex has served the community for several decades and has provided affordable housing at reasonable rates for many local residents. The master lease that controls the complex, however, is due to expire in a few years, placing the tenants of the complex's eight hundred fifty-seven units in jeopardy. Considering the tight rental market in Honolulu and the growing homeless problem, it is incumbent upon the legislature to ensure that Kukui Gardens remains affordable for many years to come.
The purpose of this Act is to preserve affordable housing by:
(1) Implementing the recommendation to increase the bond ceiling to serve as one of the possible financing solutions to acquire the Kukui Gardens rental housing complex, pursuant to the report relating to land acquisition of Kukui Gardens pursuant to Act 288, Session Laws of Hawaii 2006;
(2) Appropriating funds to finance condemnation proceedings; and
(3) Appropriating funds for the purchase of a property interest in all or a portion of Kukui Gardens.
SECTION 2. Act 291, Session Laws of Hawaii 1980, as amended by Act 304, Session Laws of Hawaii 1996, as amended by Act 185, Session Laws of Hawaii 2004, is amended by amending section 11 to read as follows:
"SECTION 11. Issuance of revenue bond;
amount authorized. Revenue bonds may be issued by the [housing and
community development corporation of Hawaii] Hawaii housing finance and
development corporation pursuant to part III, chapter 39 and subpart [B]
A of part III of chapter [201G,] 201H, Hawaii Revised
Statutes, in an aggregate principal amount not to exceed [$300,000,000,]
$400,000,000, at such times and in such amounts as the [housing and
community development corporation of Hawaii] Hawaii housing finance and
development corporation deems advisable for the purpose of undertaking and
maintaining any of the housing loan programs under subpart [B] A
of part III of chapter [201G,] 201H, Hawaii Revised Statutes,
relating to the funding or purchasing of eligible project loans."
SECTION 3. There is appropriated out of the general revenues of the State of Hawaii the sum of $ or so much thereof as may be necessary for fiscal year 2007-2008 to finance condemnation and eminent domain proceedings pursuant to Act 288, Session Laws of Hawaii 2006, and section 201H-13, Hawaii Revised Statutes, to ensure that the Kukui Gardens rental housing complex will continue to provide affordable rental rates in perpetuity
The sum appropriated shall be expended by the Hawaii housing finance and development corporation for the purposes of this Act.
SECTION 4. There is appropriated out of the general revenues of the State of Hawaii the sum of $ or so much thereof as may be necessary for fiscal year 2007-2008 for the purchase of a property interest in all or a portion of the land and improvements at Kukui Gardens pursuant to a memorandum of understanding between Carmel Partners, Inc., and Faith Action for Community Equity and Kukui Gardens Residents Association.
The sum appropriated shall be expended by the Hawaii housing finance and development corporation for the purposes of this Act.
SECTION 5. This Act shall take effect on July 1, 2020.