STAND. COM. REP. NO. 1472

Honolulu, Hawaii

RE: H.B. No. 1312

H.D. 1

S.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Thirtieth State Legislature

Regular Session of 2019

State of Hawaii

Sir:

Your Committee on Housing, to which was referred H.B. No. 1312, H.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO HOUSING,"

begs leave to report as follows:

The purpose and intent of this measure is to authorize the issuance of general obligation bonds and appropriate funds into and out of the rental housing revolving fund.

Your Committee received testimony in support of this measure from the Hawaii Housing Finance and Development Corporation, Hawai‘i Association of REALTORS, Hawaii Kai Homeless Task Force, Partners in Care Oahu's Continuum of Care, Faith Action for Community Equity, Hawai‘i Health and Harm Reduction Center, Catholic Charities Hawai‘i, O‘ahu County Committee on Legislative Priorities of the Democratic Party of Hawai‘i, HOPE Services Hawaii, ALEA Bridge, and seven individuals.

Your Committee finds that the State does not have a sufficient supply of affordable housing and rental units to accommodate the residents of the State. According to the Department of Business, Economic Development, and Tourism, the State requires roughly 66,000 housing units by 2025 to meet long-term demand. Your Committee notes that of the 66,000, at least 44,000 units are required by residents making 80 percent or less of the area median income, which is roughly $96,000 for a family of four. Your Committee further finds that the State requires a consistent and ongoing infusion of funds into the rental housing revolving fund to help those most in need of housing assistance in the State. This measure will create the steady stream of funding necessary to develop affordable rental units, thereby addressing the lack of affordable rental units for residents of the State.

Your Committee has amended this measure by:

(1) Requiring that a blank amount of the funds appropriated out of the rental housing revolving fund be expended to establish permanent supportive housing for chronically homeless individuals; and

(2) Updating the purpose section to reflect its amended contents.

Your Committee recommends that your Committee on Ways and Means consider a general obligation bond issuance and appropriation amount of $400,000,000 to be deposited into the rental housing revolving fund. Your Committee notes that Catholic Charities Hawai‘i requests $75,000,000 of the sums appropriated to be allocated to the establishment of permanent supportive housing units for chronically homeless individuals.

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. 1312, H.D. 1, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 1312, 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,

________________________________

STANLEY CHANG, Chair