STAND. COM. REP. NO. 1296-18

Honolulu, Hawaii

, 2018

RE: S.B. No. 3034

S.D. 2

H.D. 1

Honorable Scott K. Saiki

Speaker, House of Representatives

Twenty-Ninth State Legislature

Regular Session of 2018

State of Hawaii

Sir:

Your Committees on Housing and Transportation, to which was referred S.B. No. 3034, S.D. 2, entitled:

"A BILL FOR AN ACT RELATING TO HOUSING,"

beg leave to report as follows:

The purpose of this measure is to increase the State's supply of affordable housing by requiring state agencies' development or redevelopment plans for parcels along the rail transit corridor to include affordable housing, unless the Office of Planning determines that affordable housing is not feasible or desirable on a particular property.

The Department of Human Services, The Chamber of Commerce Hawaii, Oahu County Committee on Legislative Priorities of the Democratic Party of Hawai‘i, and Building Industry Association Hawaii supported this measure. The Hawaii Housing Finance and Development Corporation, Office of Planning, Hawaii Interagency Council for Transit-Oriented Development, and Department of Land and Natural Resources offered comments on this measure.

Your Committees note the concern expressed in the testimony by the Department of Land and Natural Resources that the financial feasibility of its planned development and use of parcels along the East Kapolei rail station will be compromised if it is required to include multiple affordable housing projects in the parcels' development plans.

Your Committees also note The Chamber of Commerce Hawaii's suggestion that other related public facilities, such as vertical schools be included in the bill, especially in areas where higher densities are being proposed.

Your Committees have amended the measure by specifying that the Office of Planning shall consult with the Hawaii Housing Finance and Development Corporation to waive the twenty percent affordable housing requirement.

As affirmed by the records of votes of the members of your Committees on Housing and Transportation that are attached to this report, your Committees are in accord with the intent and purpose of S.B. No. 3034, S.D. 2, as amended herein, and recommend that it pass Second Reading in the form attached hereto as S.B. No. 3034, S.D. 2, H.D. 1, and be referred to your Committee on Finance.

Respectfully submitted on behalf of the members of the Committees on Housing and Transportation,

____________________________ HENRY J.C. AQUINO, Chair

____________________________ TOM BROWER, Chair