THE SENATE

S.B. NO.

3048

THIRTY-FIRST LEGISLATURE, 2022

S.D. 2

STATE OF HAWAII

 

 

 

 

 

 

A BILL FOR AN ACT

 

 

RELATING TO STATE FUNDS.

 

 

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

 

PART I

     SECTION 1.  The legislature finds that the Hawaii housing finance and development corporation has legacy funds within the rental housing revolving fund that are derived from tax-exempt general obligation bond proceeds.  These tax-exempt funds have limited usefulness for affordable rental housing development because, under United States Treasury regulations, tax-exempt funds cannot be used to finance projects that also use low‑income housing tax credits.  There can only be one tax‑exempt financing source per project.  However, under United States Treasury regulations, tax-exempt bond proceeds can be used for public infrastructure projects.  Financing of public infrastructure projects is an allowable use of the corporation's dwelling unit revolving fund, but not the rental housing revolving fund.

     The legislature further finds that the tax-exempt general obligation bond proceeds in the rental housing revolving fund could be utilized if they were transferred to the dwelling unit revolving fund.

     Therefore, the purpose of this part is to transfer tax‑exempt funds from the rental housing revolving fund to the dwelling unit revolving fund.

     SECTION 2.  The director of finance is authorized to transfer tax-exempt general obligation bond proceeds and the interest that has accrued thereon from the rental housing revolving fund to the dwelling unit revolving fund in an amount not to exceed $           for fiscal year 2022-2023.

PART II

     SECTION 3.  Section 201H-202, Hawaii Revised Statutes, is amended by amending subsections (b) and (c) to read as follows:

     "(b)  An amount from the fund, to be set by the corporation and authorized by the legislature, may be used for administrative expenses incurred by the corporation in administering the [fund;] corporation's housing finance programs; provided that fund moneys may not be used to finance day-to-day administrative expenses of projects allotted fund moneys.

     (c)  The following may be deposited into the fund: appropriations made by the legislature, conveyance taxes pursuant to section 247-7, private contributions, repayment of loans, interest, other returns, and moneys from other sources."

PART III

     SECTION 4.  There is established one full-time equivalent (1.0 FTE) housing finance specialist I position (BED160HF) within the housing finance and development corporation.

     SECTION 5.  There is appropriated out of the general revenues of the State of Hawaii the sum of $          or so much thereof as may be necessary for fiscal year 2022-2023 for integration and migration of the Hawaii housing finance and development corporation domain into the State of Hawaii enterprise active directory (EAD) domain.

     The sum appropriated shall be expended by the department of business, economic development and tourism for the purposes of this Act.

     SECTION 6.  There is appropriated out of the general revenues of the State of Hawaii the sum of $          or so much thereof as may be necessary for fiscal year 2022-2023 for new monitors for the staff of the Hawaii housing finance and development corporation.

     The sum appropriated shall be expended by the department of business, economic development and tourism for the purposes of this Act.

     SECTION 7.  There is appropriated out of the general revenues of the State of Hawaii the sum of $          or so much thereof as may be necessary for fiscal year 2022-2023 for new computers, computer accessories, and peripherals for the staff of the Hawaii housing finance and development corporation.

     The sum appropriated shall be expended by the department of business, economic development and tourism for the purposes of this Act.

     SECTION 8.  There is appropriated out of the general revenues of the State of Hawaii the sum of $          or so much thereof as may be necessary for fiscal year 2022-2023 for videoconferencing upgrades for the board room of the Hawaii housing finance and development corporation.

     The sum appropriated shall be expended by the department of business, economic development and tourism for the purposes of this Act.

     SECTION 9.  There is appropriated out of the general revenues of the State of Hawaii the sum of $          or so much thereof as may be necessary for fiscal year 2022-2023 for industrial- and office-capacity paper shredders, and corresponding service and warranty, for the Hawaii housing finance and development corporation.

     The sum appropriated shall be expended by the department of business, economic development and tourism for the purposes of this Act.

     SECTION 10.  There is appropriated out of the general revenues of the State of Hawaii the sum of $          or so much thereof as may be necessary for fiscal year 2022-2023 for property inventory and lease management software for the Hawaii housing finance and development corporation.

     The sum appropriated shall be expended by the department of business, economic development and tourism for the purposes of this Act.

     SECTION 11.  There is appropriated out of the general revenues of the State of Hawaii the sum of $          or so much thereof as may be necessary for fiscal year 2022-2023 for a Microsoft Dynamic Great Plains (GP) software upgrade for the Hawaii housing finance and development corporation.

     The sum appropriated shall be expended by the department of business, economic development and tourism for the purposes of this Act.

     SECTION 12.  There is appropriated out of the general revenues of the State of Hawaii the sum of $          or so much thereof as may be necessary for fiscal year 2022-2023 for migrating local shared drives of the Hawaii housing finance and development corporation to the State Sharepoint.

     The sum appropriated shall be expended by the department of business, economic development and tourism for the purposes of this Act.

     SECTION 13.  There is appropriated out of the general revenues of the State of Hawaii the sum of $          or so much thereof as may be necessary for fiscal year 2022-2023 for the Hawaii housing finance and development corporation to contract with a private scanning company to scan consolidated applications to digitized copies.

     The sum appropriated shall be expended by the department of business, economic development and tourism for the purposes of this Act.

     SECTION 14.  There is appropriated out of the general revenues of the State of Hawaii the sum of $          or so much thereof as may be necessary for fiscal year 2022-2023 for the Hawaii housing finance and development corporation to contract with a private scanning company to digitize the paper documents of the development; planning, evaluation and compliance; and finance branches of the corporation.

     The sum appropriated shall be expended by the department of business, economic development and tourism for the purposes of this Act.

PART IV

     SECTION 15.  Statutory material to be repealed is bracketed and stricken.  New statutory material is underscored.

     SECTION 16.  This Act shall take effect on July 1, 2022.

 

 

Report Title:

State Funds; RHRF; DURF

 

Description:

Authorizes the transfer of excess moneys from the rental housing revolving fund to the dwelling unit revolving fund.  Provides that the rental housing revolving fund may be used for the Hawaii Housing Finance and Development Corporation's housing finance programs.  Establishes one full-time equivalent (1.0 FTE) housing finance specialist position.  Appropriates moneys to the Corporation for hardware, software, and digitization efforts.  (SD2)

 

 

 

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