Report Title:

Community Land Trusts; Land Grants and Funds; Affordable Housing

Description:

Establishes a definition of "community land trust" (CLT).  Allows CLTs to qualify for Rental Housing Trust Fund moneys, grants, and other state subsidies and funds.  (HB926 HD1)

HOUSE OF REPRESENTATIVES	H.B. NO.	926
TWENTY-FOURTH LEGISLATURE, 2007		H.D. 1
STATE OF HAWAII

A BILL FOR AN ACT

RELATING TO COMMUNITY LAND TRUSTS.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

     SECTION 1.  Chapter 201H, Hawaii Revised Statutes, is amended by adding a new section to be appropriately designated and to read as follows:

     "§201H-    Community land trusts; affordable housing; land grants and subsidies. Except where otherwise prohibited, the corporation shall allow community land trusts to be eligible for land grants and state subsidies or funds to be used for the development of affordable housing."

SECTION 2.  Section 201H-1, Hawaii Revised Statutes, is amended by adding a new definition to be appropriately inserted and to read as follows:

     ""Community land trust" means a private nonprofit organization, as defined in Section 233 of the Cranston-Gonzalez National Affordable Housing Act (Title 42 U.S.C. 12773), whose goal is to acquire and hold land for the benefit of the community and provide secure affordable access to land and housing for community residents."

     SECTION 3.  Section 201H-202, Hawaii Revised Statutes, is amended by amending subsection (e) to read as follows:

     "(e)  Moneys available in the fund shall be used for the purpose of providing, in whole or in part, loans or grants for rental housing projects in the following order of priority:

     (1)  Projects or units in projects that are allocated low‑income housing credits pursuant to the state housing credit ceiling under section 42(h) of the Internal Revenue Code of 1986, as amended, or projects or units in projects that are funded by programs of the United States Department of Housing and Urban Development and United States Department of Agriculture Rural Development wherein:

         (A)  At least fifty per cent of the available units are for persons and families with incomes at or below eighty per cent of the median family income of which at least five per cent of the available units are for persons and families with incomes at or below thirty per cent of the median family income; and

         (B)  The remaining units are for persons and families with incomes at or below one hundred per cent of the median family income;

          provided that the corporation may establish rules to ensure full occupancy of fund projects; [and]

     (2)  Mixed-income rental projects or units in a mixed‑income rental project wherein all of the available units are for persons and families with incomes at or below one hundred forty per cent of the median family income[.]; and

(3) Rental developments by a community land trust, including non-traditional structures such as plantation homes, eco-villages, and developments incorporating indigenous Hawaiian architecture as defined under section 46-1.55."

     SECTION 4.  Statutory material to be repealed is bracketed and stricken.  New statutory material is underscored.

     SECTION 5.  This Act shall take effect on July 1, 2007.