STAND. COM. REP. NO. 526

Honolulu, Hawaii

, 2019

RE: H.B. No. 476

H.D. 1

Honorable Scott K. Saiki

Speaker, House of Representatives

Thirtieth State Legislature

Regular Session of 2019

State of Hawaii

Sir:

Your Committees on Housing and Human Services & Homelessness, to which was referred H.B. No. 476 entitled:

"A BILL FOR AN ACT RELATING TO HOUSING,"

beg leave to report as follows:

The purpose of this measure is to address the issue of homelessness in Hawaii by authorizing the issuance of general obligation bonds and appropriating funds to finance the construction of housing units. Specifically, this measure:

(1) Authorizes $125,000,000 in general obligation bonds to be deposited into the Rental Housing Revolving Fund;

(2) Appropriates $125,000,000 from the Rental Housing Revolving Fund to provide loans or grants for rental housing development;

(3) Appropriates $75,000,000 from general revenues to the Hawaii Housing Finance and Development Corporation for the development and construction of permanent supportive housing units;

(4) Requires that in using the appropriated funds the expending agencies consider using the funds for low-cost modular construction as a means of developing more housing units.

The Hawaii Island HIV/AIDS Foundation, Partners in Care, Hawai‘i Health & Harm Reduction Center, Council for Native Hawaiian Advancement, O‘ahu County Committee on Legislative Priorities of the Democratic Party of Hawai‘i, Hawaii Kai Homeless Task Force, Kokua Kalihi Valley, Hawaiian Community Assets, Hawai‘i Alliance for Community-Based Economic Development, HOPE Services Hawaii, and a few individuals submitted testimony in support of this measure. The Governor's Coordinator on Homelessness, Department of Human Services, Hawaii Housing Finance and Development Corporation, and Catholic Charities Hawai‘i offered comments on this measure.

Catholic Charities submitted testimony recommending that the general revenue appropriation to the Hawaii Housing Finance and Development Corporation for permanent supportive housing be changed to general obligation bonds since the funds are for construction.

Your Committees note a committee member's concern that not requiring a person placed in supportive housing to undergo treatment for mental illness or substance abuse as a prerequisite for placement in supportive housing may cause issues regarding the placement.

Your Committees have amended this measure by:

(1) Changing the general obligation bond authorization to an unspecified amount;

(2) Changing the appropriations from the Rental Housing Revolving Fund and general revenues to unspecified amounts;

(3) Changing its effective date to January 1, 2050, to promote further discussion; and

(4) Making technical, nonsubstantive amendments for clarity, consistency, and style.

As affirmed by the records of votes of the members of your Committees on Housing and Human Services & Homelessness that are attached to this report, your Committees are in accord with the intent and purpose of H.B. No. 476, as amended herein, and recommend that it pass Second Reading in the form attached hereto as H.B. No. 476, H.D. 1, and be referred to your Committee on Finance.

Respectfully submitted on behalf of the members of the Committees on Housing and Human Services & Homelessness,

____________________________ JOY A. SAN BUENAVENTURA, Chair

____________________________ TOM BROWER, Chair