STAND. COM. REP. NO. 318

Honolulu, Hawaii

RE:    S.B. No. 768

       S.D. 1

Honorable Shan S. Tsutsui

President of the Senate

Twenty-Sixth State Legislature

Regular Session of 2011

State of Hawaii

Sir:

     Your Committees on Water, Land, and Housing and Human Services, to which was referred S.B. No. 768 entitled:

"A BILL FOR AN ACT RELATING TO LOW-INCOME HOUSING,"

beg leave to report as follows:

     The purpose and intent of this measure is to establish a program for granting low-income housing tax credit loans in lieu of low-income housing tax credits.

     Your Committees received testimony in support of this measure from the Hawaii Housing Finance and Development Corporation, Department of Business, Economic Development and Tourism, and Hawaii Association of REALTORS.  Your Committees received comments on this measure from the Department of Budget and Finance.

     Your Committees find that, in 2010, the Senate Committee on Economic Development and Technology and the House Committee on Economic Revitalization, Business, and Military Affairs convened an informal small business discussion group to address the most critical issues facing the small business sectors within Hawaii's economy.  Your Committees further find that passage of this measure would support the findings of the small business working group by establishing a low-income housing tax credit loan program that would be administered by the Hawaii Housing Finance and Development Corporation.

     Your Committees have amended this measure by making technical, nonsubstantive amendments for the purposes of clarity and consistency.

     As affirmed by the records of votes of the members of your Committees on Water, Land, and Housing and Human Services that are attached to this report, your Committees are in accord with the intent and purpose of S.B. No. 768, as amended herein, and recommend that it pass Second Reading in the form attached hereto as S.B. No. 768, S.D. 1, and be referred to the Committee on Ways and Means.

Respectfully submitted on behalf of the members of the Committees on Water, Land, and Housing and Human Services,

____________________________ SUZANNE CHUN OAKLAND, Chair

____________________________ DONOVAN M. DELA CRUZ, Chair