CONFERENCE COMMITTEE REP. NO. 82

Honolulu, Hawaii

                 , 2009

RE:    S.B. No. 1268

       S.D. 2

       H.D. 1

       C.D. 1

Honorable Colleen Hanabusa

President of the Senate

Twenty-Fifth State Legislature

Regular Session of 2009

State of Hawaii

Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-Fifth State Legislature

Regular Session of 2009

State of Hawaii

Madam and Sir:

     Your Committee on Conference on the disagreeing vote of the Senate to the amendments proposed by the House of Representatives in S.B. No. 1268, S.D. 2, H.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO AFFORDABLE HOUSING,"

having met, and after full and free discussion, has agreed to recommend and does recommend to the respective Houses the final passage of this bill in an amended form.

     The purpose of this measure is to encourage the development of affordable housing by the Department of Hawaiian Home Lands (DHHL) by:

     (1)  Authorizing the counties to issue affordable housing credits to DHHL, and to deny or approve a request for the transfer or assignment of those credits by DHHL; and

     (2)  Providing that the credits are to be issued on a one-for-one basis and limiting the application of the credits to the same county in which the credits were earned to satisfy affordable housing obligations imposed by the county.

     Your Committee finds that private-sector development of affordable homes for DHHL beneficiaries is a key element in helping to solve Hawaii's affordable housing shortfall.  By increasing the supply of homes on DHHL properties, the overall supply of homes in the State is increased, thus making more homes available for the people of Hawaii.  Allowing affordable housing credits to be applied to other projects located in the same county in which the credits are earned may serve as an incentive for the private sector to participate with the DHHL affordable housing program.

     Your Committee has amended this measure by:

     (1)  Creating a new subsection of 46-15.1, Hawaii Revised Statutes, to require that each county issue affordable housing credits to DHHL upon request;

     (2)  Removing the county approval process of any transfer of the issued affordable housing credits; and

     (3)  Changing the repeal date of the measure to June 30, 2015 and providing, upon such repeal, for the reenactment of section 46-15.1, Hawaii Revised Statutes, in the form in which it read on the day before the enactment of this measure.

     As affirmed by the record of votes of the managers of your Committee on Conference that is attached to this report, your Committee on Conference is in accord with the intent and purpose of S.B. No. 1268, S.D. 2, H.D. 1, as amended herein, and recommends that it pass Final Reading in the form attached hereto as S.B. No. 1268, S.D. 2, H.D. 1, C.D. 1.

Respectfully submitted on behalf of the managers:

ON THE PART OF THE HOUSE

ON THE PART OF THE SENATE

____________________________ MELE CARROLL, Co-Chair	____________________________ CLAYTON HEE, Chair
____________________________ RIDA CABANILLA, Co-Chair	____________________________ NORMAN SAKAMOTO, Co-Chair
____________________________ ROLAND D. SAGUM III, Co-Chair	____________________________ J. KALANI ENGLISH, Co-Chair