STAND. COM. REP. NO. 1086

Honolulu, Hawaii

RE: S.B. No. 891

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 Ways and Means, to which was referred S.B. No. 891 entitled:

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

begs leave to report as follows:

The purpose and intent of this measure is to exempt affordable housing projects, alterations or expansions to existing dwelling units, accessory dwelling units, ohana dwelling units, and housing projects or property developed by the Hawaii Public Housing Authority from the land component impact fee applicable to new residential developments within a designated school impact district.

Your Committee received written comments in support of this measure from the Hawaii Public Housing Authority and Oahu County Committee on Legislative Priorities of the Democratic Party of Hawaii.

Your Committee received written comments on this measure from the Department of Education and Tax Foundation of Hawaii.

Your Committee finds that imposition of the impact fee on certain types of dwellings may frustrate the purposes for which those dwellings were constructed.

Your Committee has amended this measure by changing the effective date to July 1, 2050, to facilitate further discussion on the measure.

As affirmed by the record of votes of the members of your Committee on Ways and Means that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 891, as amended herein, and recommends that it pass Third Reading in the form attached hereto as S.B. No. 891, S.D. 1.

Respectfully submitted on behalf of the members of the Committee on Ways and Means,

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DONOVAN M. DELA CRUZ, Chair