STAND. COM. REP. NO. 797

Honolulu, Hawaii

RE:    S.B. No. 974

       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 Ways and Means, to which was referred S.B. No. 974 entitled:

"A BILL FOR AN ACT RELATING TO THE RENTAL HOUSING TRUST FUND,"

begs leave to report as follows:

     The purpose and intent of this measure is to encourage the development of mixed-use residential developments.

     Specifically, this measure:

     (1)  Authorizes the rental housing trust fund to be used for spaces for public uses within mixed-use residential developments in which the residential component consists of rental housing units;

     (2)  Establishes a separate mixed-use residential development subaccount within the rental housing trust fund; and

     (3)  Appropriates an unspecified amount to be deposited into the mixed-use residential development subaccount.

     Your Committee received written comments in support of this measure from the Hawaii Housing Finance and Development Corporation, The Chamber of Commerce Hawaii, the Land Use Research Foundation of Hawaii, and one individual.

     Your Committee finds that, particularly in dense urban settings, there is a need to create more pedestrian-friendly environments where residents are less dependent on cars.  Your Committee believes that by allowing the rental housing trust fund to be used for spaces for public uses within mixed-use residential developments, this measure will facilitate the development of vibrant and walkable communities.

     Your Committee has amended this measure by:

     (1)  Deleting section 3, which appropriated an unspecified amount to be deposited into the mixed-use residential development subaccount;

     (2)  Moving the new definition of "spaces for public uses" that was proposed to be added to section 201H-202(i), Hawaii Revised Statutes, to the definition section of the Rental Housing Trust Fund subpart (section 201H-201, Hawaii Revised Statutes); and

     (3)  Making technical nonsubstantive changes for purposes of clarity, consistency, and style.

     As affirmed by the record of votes of the members of your Committee on Ways and Means that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 974, as amended herein, and recommends that it pass Third Reading in the form attached hereto as S.B. No. 974, S.D. 1.

Respectfully submitted on behalf of the members of the Committee on Ways and Means,

________________________________

JILL N. TOKUDA, Chair