STAND. COM. REP. NO. 411

Honolulu, Hawaii

RE:    S.B. No. 1991

Honorable Colleen Hanabusa

President of the Senate

Twenty-Fourth State Legislature

Regular Session of 2007

State of Hawaii

Madam:

     Your Committee on Health, to which was referred S.B. No. 1991 entitled:

"A BILL FOR AN ACT RELATING TO THE ISSUANCE OF SPECIAL PURPOSE REVENUE BONDS TO ASSIST NOT-FOR-PROFIT CORPORATIONS THAT PROVIDE HEALTH CARE FACILITIES,"

begs leave to report as follows:

     The purpose of this measure is to provide housing and care options to the State's aging population.

     Specifically, this measure authorizes the issuance of special purpose revenue bonds for the purpose of assisting the Craigside Retirement Residence, a Hawaii nonprofit health care facility, with the purchase of land, planning, design, and construction of a senior housing community. 

     Testimony in support of this measure was submitted by Arcadia Retirement Residence, Craigside Retirement Residence, and Hawaii Long Term Care Association.

     Your Committee finds that it is in the public interest to encourage the development of senior housing communities in the State of Hawaii.  The authorization of the issuance of special purpose revenue bonds for the Craigside Retirement Residence will help keep project costs down and, therefore make the residence more affordable to the State's seniors living with moderate incomes. 

     It is your Committee's understanding that the Attorney General believes this is an allowable use of special purpose revenue bonds.  Craigside Retirement Residence is a health care facility, providing a full continuum of care.  The development proposes to provide one hundred seventy-one apartments with independent and assisted living options.  It will also have a forty-bed full service nursing facility.  Your Committee finds this facility is needed to meet the demands of the State's aging population.

     As affirmed by the record of votes of the members of your Committee on Health that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 1991 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 Health,

____________________________

DAVID Y. IGE, Chair