STAND. COM. REP. NO. 367

Honolulu, Hawaii

RE:    S.B. No. 1362

       S.D. 1

Honorable Donna Mercado Kim

President of the Senate

Twenty-Eighth State Legislature

Regular Session of 2015

State of Hawaii

Madam:

     Your Committee on Human Services and Housing, to which was referred S.B. No. 1362 entitled:

"A BILL FOR AN ACT RELATING TO THE RENTAL ASSISTANCE REVOLVING FUND,"

begs leave to report as follows:

     The purpose and intent of this measure is to restrict the ability of the Hawaii Housing Finance and Development Corporation (HHFDC) to use the rental assistance revolving fund for projects relating to affordable rental housing.

     Your Committee received testimony in opposition to this measure from the Hawaii Housing Finance and Development Corporation.

     Your Committee finds that the health and general welfare of the people of this State necessitates the availability of safe and sanitary rental housing accommodations at affordable rental rates.  It is essential that owners of rental housing accommodations be provided with appropriate additional means to assist in reducing the cost of rental housing accommodations.

     Your Committee has amended this measure by:

     (1)  Inserting amendments to section 201H-121, Hawaii Revised Statutes, to repeal as a purpose of chapter 201H, part III, subpart C, Hawaii Revised Statutes, the use of the rental assistance revolving fund for interim construction financing for affordable rental housing;

     (2)  Repealing the requirement that HHFDC use up to $25,000,000 and any bond proceeds to provide interim construction financing to certain qualified sponsors and to HHFDC for affordable rental housing development; and

     (3)  Making technical, nonsubstantive amendments for the purposes of clarity and consistency.

     As affirmed by the record of votes of the members of your Committee on Human Services and Housing that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 1362, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 1362, S.D. 1, and be referred to the Committee on Ways and Means.

Respectfully submitted on behalf of the members of the Committee on Human Services and Housing,

____________________________

SUZANNE CHUN OAKLAND, Chair