STAND. COM. REP. NO.  1151

Honolulu, Hawaii

                , 2007

RE:   H.B. No. 1096

      H.D. 1

Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-Fourth State Legislature

Regular Session of 2007

State of Hawaii

Sir:

     Your Committee on Finance, to which was referred H.B. No. 1096 entitled:

"A BILL FOR AN ACT RELATING TO STATE MORTGAGE CREDIT CERTIFICATES,"

begs leave to report as follows:

     The purpose of this bill is to assist low- and moderate-income taxpayers with purchasing a principal residence in sustainable affordable housing developments by providing qualified buyers with an income tax credit based on a percentage of the buyer's annual mortgage interest payment.

     The Hawaii Association of REALTORS and UniDev Hawaii, LLC. supported this bill.  The Department of Taxation opposed this measure.

     Your Committee has amended this bill by:

(1)  Changing the effective date to July 1, 2020, to promote further discussion; and

(2)  Making technical, nonsubstantive changes for clarity, consistency, and style.

     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. 1096, as amended herein, and recommends that it pass Third Reading in the form attached hereto as H.B. No. 1096, H.D. 1.

Respectfully submitted on behalf of the members of the Committee on Finance,

____________________________

MARCUS R. OSHIRO, Chair