STAND. COM. REP. NO.  18

Honolulu, Hawaii

                , 2015

RE:   H.B. No. 827

      H.D. 1

Honorable Joseph M. Souki

Speaker, House of Representatives

Twenty-Eighth State Legislature

Regular Session of 2015

State of Hawaii

Sir:

     Your Committee on Housing, to which was referred H.B. No. 827 entitled:

"A BILL FOR AN ACT RELATING TO A MIXED-USE RESIDENTIAL PROJECT,"

begs leave to report as follows:

The purpose of this measure is to authorize the issuance of general obligation bonds and the appropriation of funds to finance the plans, design, and construction of a mixed-use residential project including a juvenile services center that would be integrated with an affordable rental housing program for working families at 902 Alder Street.

Your Committee received testimony from the Judiciary and the Hawaii Housing Finance and Development Corporation in support of this measure. The Department of Budget and Finance submitted comments.

     There was discussion regarding the need for clarification on deed restrictions and the status of the development. Your Committee was not able to address all of these issues, but respectfully requests the Committee on Judiciary to examine these issues if it considers this measure.

     Your Committee also considered the taxability of general obligation bonds for projects benefitting a private entity.  Your Committee respectfully requests that if the Committee on Finance considers this bill, it will take this issue under consideration.

     Your Committee has amended this measure by:

     (1)  Making the effective date July 1, 2050, to promote further discussion; and

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

     As affirmed by the record of votes of the members of your Committee on Housing that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 827, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 827, H.D. 1, and be referred to the Committee on Judiciary.

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

____________________________

MARK J. HASHEM, Chair