STAND. COM. REP. NO. 2998

Honolulu, Hawaii

RE: H.B. No. 2122

H.D. 1

S.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Twenty-Ninth State Legislature

Regular Session of 2018

State of Hawaii

Sir:

Your Committee on Housing, to which was referred H.B. No. 2122, H.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO THE HAWAII COMMUNITY DEVELOPMENT AUTHORITY,"

begs leave to report as follows:

The purpose and intent of this measure is to:

(1) Clarify the interests that are required to be represented by members who represent community development districts on the Hawaii Community Development Authority;

(2) Require the President of the Senate and the Speaker of the House of Representatives, rather than the relevant county council, to nominate certain representatives to serve on the Hawaii Community Development Authority;

(3) Require certain representatives who serve on the Hawaii Community Development Authority to be nominated for no more than one seat; and

(4) Amend the definition of "small business" to require the business to have less than an unspecified number of employees on payroll and be within the physical boundaries of the applicable community development district where its principal place of operations takes place, rather than requiring the small business to not be dominant in its field of operation.

Your Committee received testimony in support of this measure from the Kakaako Makai Community Planning Advisory Council and one individual.

Your Committee finds that under existing law, the Honolulu City Council, as the council of the county in which all of the community development districts of the Hawaii Community Development Authority are located, nominates individuals to be appointed by the Governor to represent the Heeia, Kalaeloa, and Kakaako community development districts. The Hawaii Community Development Authority includes among its membership three representatives of the Kakaako community development district, including two residents of the district and one owner of a small business or one officer or director of a nonprofit organization in the district. Your Committee further finds that in 2017, confusion arose amongst Honolulu City Council members regarding the nomination process for the members representing the Kakaako community development district. Due to the important responsibilities of these members in determining the development of designated areas of the State, this measure clarifies the nomination process of these members and the members representing the other community development districts.

Your Committee has amended this measure by 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 Housing that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 2122, H.D. 1, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 2122, H.D. 1, S.D. 1, and be referred to your Committee on Ways and Means.

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

________________________________

WILL ESPERO, Chair