STAND. COM. REP. NO. 493-18

Honolulu, Hawaii

, 2018

RE: H.B. No. 2459

H.D. 1

Honorable Scott K. Saiki

Speaker, House of Representatives

Twenty-Ninth State Legislature

Regular Session of 2018

State of Hawaii

Sir:

Your Committee on Housing, to which was referred H.B. No. 2459 entitled:

"A BILL FOR AN ACT RELATING TO AFFORDABLE HOUSING,"

begs leave to report as follows:

The purpose of this measure is to exempt affordable housing units acquired, developed, financed, or rehabilitated by qualified nonprofit housing trusts from statutory restrictions on occupancy, sale, and transfer if the qualified nonprofit housing trust establishes owner-occupancy and buyback restrictions to ensure that the housing remains affordable for as long as practicable.

The Hawaii HomeOwnership Center, Truly Affordable Homes, Kaua‘i, LLC, and Oahu County Committee on Legislative Priorities of the Democratic Party of Hawaii supported this measure. The Hawaii Housing Finance and Development Corporation opposed this measure.

Your Committee notes that the language requiring that housing remain affordable "for as long as practicable" is problematic and encourages stakeholders to further work together and with the Legislature to craft more specific language if this measure progresses further in the legislative process.

Your Committee has amended the measure by:

(1) Inserting an unspecified time period that the housing will be required to remain affordable; and

(2) Changing the effective date to January 1, 2050, to promote further discussion.

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. 2459, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 2459, H.D. 1, and be referred to your Committee on Finance.

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

____________________________

TOM BROWER, Chair