STAND. COM. REP. NO. 1272

Honolulu, Hawaii

RE:    H.B. No. 1007

Honorable Colleen Hanabusa

President of the Senate

Twenty-Fourth State Legislature

Regular Session of 2007

State of Hawaii

Madam:

     Your Committee on Human Services and Public Housing, to which was referred H.B. No. 1007 entitled:

"A BILL FOR AN ACT RELATING TO FAMILY SELF-SUFFICIENCY,"

begs leave to report as follows:

     The purpose of this measure is to prohibit the Department of Human Services from considering moneys in escrow accounts established under the federal Housing and Urban Development Family Self‑Sufficiency Program when determining eligibility for assistance or other benefits under chapter 346, Hawaii Revised Statutes.

     The Hawai‘i Alliance for Community‑Based Economic Development submitted testimony in support of this measure.

     Your Committee finds that economic stability does not arise solely from income.  Financial assets, such as cash savings and home equity, are a critical component of economic security.  Financial assets offer individuals a viable and hopeful future, stimulate development of human and other capital, and enhance the welfare of children.  The Family Self-Sufficiency Program allows public housing residents and holders of federal Section 8 Homeownership Program rental vouchers to build savings in an escrow account to be used for the down payment on a home or other uses.

     This measure supports homeownership by households receiving low-income housing assistance by exempting these Family Self-Sufficiency Program escrow accounts from asset tests used to determine eligibility for public benefit programs administered by the Department of Human Services.

     As affirmed by the record of votes of the members of your Committee on Human Services and Public Housing that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 1007, and recommends that it pass Second Reading and be referred to the Committee on Ways and Means.

Respectfully submitted on behalf of the members of the Committee on Human Services and Public Housing,

____________________________

SUZANNE CHUN OAKLAND, Chair