STAND. COM. REP. NO.  1308

Honolulu, Hawaii

                , 2017

RE:   S.B. No. 1146

      S.D. 2

      H.D. 2

Honorable Joseph M. Souki

Speaker, House of Representatives

Twenty-Ninth State Legislature

Regular Session of 2017

State of Hawaii

Sir:

     Your Committee on Education, to which was referred S.B. No. 1146, S.D. 2, H.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO SCHOOL IMPACT FEES,"

begs leave to report as follows:

The purpose of this measure is to increase the supply of affordable housing by exempting the following types of housing development from school impact fee requirements:

(1)  Any form of housing units reserved for persons or families with incomes up to 80 percent of the area median income located in a county with a population greater than 500,000;

(2)  Housing projects certified or approved for a general excise tax exemption under section 201H-36, Hawaii Revised Statutes (HRS), and government housing projects processed pursuant to sections 46-15.1 and 201H-38, HRS; and

(3)  State or federal public housing projects as defined in section 356D-1 or 356D-91, HRS, or a state low-income housing project as defined in section 356D-51, HRS.

The Hawaii Public Housing Authority, Hawaii Construction Alliance, Hui for Excellence in Education, Pacific Resource Partnership, and Stanford Carr Development, LLC testified in support of this measure.  The City and County of Honolulu Department of Planning and Permitting and Hawaii Rental Housing Coalition testified in support of this measure with amendments.  The Office of Planning and Hawaii Housing Finance and Development Corporation testified in support of the intent of this measure.  The Department of Education, Building Industry Association of Hawaii, IMUAlliance, and two individuals opposed this measure.  The Hawaii Community Development Authority provided comments.

     Your Committee has amended this measure by:

(1)  Changing its effective date to July 1, 2051, to facilitate further discussion; and

(2)  Making a technical, nonsubstantive amendment for clarity and consistency.

     As affirmed by the record of votes of the members of your Committee on Education that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 1146, S.D. 2, H.D. 1, as amended herein, and recommends that it be referred to your Committee on Finance in the form attached hereto as S.B. No. 1146, S.D. 2, H.D. 2.

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

____________________________

JUSTIN H. WOODSON, Chair