SB3168 HD2

SECTION 1. The legislature finds that in 2018, in response to having the highest per capita homeless population in the nation, the legislature approved funding for the ohana zones pilot program, which was established by Act 209, Session Laws of Hawaii 2018. Act 128, Session Laws of Hawaii 2019, extended the pilot program to June 30, 2023.

The legislature further finds that the ohana zones pilot program has been instrumental in providing temporary housing and services to homeless individuals and families based on principles similar to the housing first program. The legislature also finds that ohana zone funds were used to build assessment centers, emergency shelters, transitional housing, and fixed and mobile navigation centers. Besides capital improvements, ohana zone funds were used for new programs and operating expenses. In addition, due to flexibility in the use of ohana zone funds, counties tailored the use of the funds to address a range of diversions and interventions, including law enforcement assisted diversion programs, youth services, and wrap-around support services. The legislature finds that much of the emergency and transitional housing built during the pilot phase requires on-going operating funds and successful programs that should be sustained or expanded to address the persistent and immediate needs of individuals who are homeless in the State.

The legislature further finds that on December 6, 2018, the governor issued an emergency proclamation related to homelessness for establishing long-term housing, temporary shelter, and services to divert homeless individuals from frequent utilization of the health care and criminal justice systems, and to facilitate contracting for these programs, housing, shelter, and services. The emergency proclamation, which was followed by supplementary proclamations, has since ended. However, the legislature finds that the housing and homeless crisis in the State, which was exacerbated during the coronavirus 2019 pandemic, persists. The expansion of regulatory exemptions for ohana zones pilot program contracts is therefore needed to enable the State to address the immediate temporary housing and service needs of individuals experiencing homelessness.

The purpose of this Act is to improve the health and well-being of individuals experiencing homelessness and provide these individuals with needed services through the ohana zones pilot program by:

(1) Extending the pilot program to June 30, 2026;

(2) Exempting the pilot program from certain statutory requirements contained in the governor's emergency proclamation of December 14, 2018, relating to the homeless emergency, as those exemptions have since lapsed; and

(3) Appropriating funds for the pilot program for fiscal year 2022-2023.

SECTION 2. Act 209, Session Laws of Hawaii 2018, section 4, as amended by section 1 of Act 128, Session Laws of Hawaii 2019, is amended as follows:

1. By amending subsection (a) to read:

"(a) Contracts entered into by the agencies designated by the governor pursuant to the ohana zones pilot program shall be exempt from the requirements of [~~chapters~~]:

(1) Chapter 6E;

(2) Chapter 46, excluding sections 46-1.5(5)(B), 46-88(c)(5), and 46-88(j);

(3) Chapter 92;

(4) Chapter 103D [~~and~~];

(5) Chapter 103F[,];

(6) Chapter 171, excluding section 171-13;

(7) Chapter 205;

(8) Chapter 206E;

(9) Chapter 343; and

(10) Sections 37-41, 37-74(d)(1), 40-66, 102-2, 103-2, 103-53, 103-55, 105-1 through 105-10, and 464-4,

Hawaii Revised Statutes[.];

provided that no contract entered into pursuant to the ohana zones pilot program or structures constructed thereunder shall be exempt from county, state, or federal floodplain management development standards, statutes, codes, ordinances, rules, or regulations with which compliance is required under the National Flood Insurance Program."

2. By amending subsection (f) to read:

"(f) The pilot program shall cease to exist on June 30, [~~2023.~~] 2026."

SECTION 3. 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 ohana zones pilot program established pursuant to Act 209, Session Laws of Hawaii 2018, as amended by Act 128, Session Laws of Hawaii 2019, including expenses relating to staffing, facility construction, provision of services, and administrative costs.

The sum appropriated shall be expended by the office of the governor for the purposes of this Act; provided that the governor shall transfer the expenditure authority to designated executive branch departments or agencies within a reasonable time.

Notwithstanding any other law to the contrary, the governor may transfer all or a portion of the appropriation in this section to the governor's designated executive branch agencies for expenditures incurred in implementing the ohana zones pilot program.

The governor's designated executive branch agencies may expend any appropriation transferred pursuant to this section for the performance of its duties under the ohana zones pilot program.

SECTION 4. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.

SECTION 5. This Act shall take effect on July 1, 2060.

THE SENATE	S.B. NO.	3168
THIRTY-FIRST LEGISLATURE, 2022		S.D. 2
STATE OF HAWAII		H.D. 2