STAND. COM. REP. NO. 486

Honolulu, Hawaii

, 2021

RE: H.B. No. 1114

H.D. 1

Honorable Scott K. Saiki

Speaker, House of Representatives

Thirty-First State Legislature

Regular Session of 2021

State of Hawaii

Sir:

Your Committee on Housing, to which was referred H.B. No. 1114 entitled:

"A BILL FOR AN ACT RELATING TO NON-GENERAL FUNDS,"

begs leave to report as follows:

The purpose of this measure is to repeal or reclassify certain non-general funds of the Hawaii Public Housing Authority.

Your Committee received comments on this measure from the Hawaii Public Housing Authority and Tax Foundation of Hawaii.

Your Committee finds that this measure repeals and reclassifies certain non-general funds of the Hawaii Public Housing Authority in this measure pursuant to the recommendations of the Auditor in Auditor Report No. 21-02, "Review of Special Funds, Revolving Funds, Trust Funds, and Trust Accounts of the Department of Human Services".

Your Committee also finds that according to testimony by the Hawaii Public Housing Authority, the repeal of the State Low‑Income Housing Revolving Fund as proposed by this measure will result in the Hawaii Public Housing Authority being unable to use the rental revenue and fees collected to administer the State Low‑Income Public Housing Program. Furthermore, elimination of the State Low-Income Housing Revolving Fund also eliminates a place for the deposit of rental revenues and fees to administer the State Low-Income Public Housing Program.

Your Committee has amended this measure by:

(1) Removing language that would have repealed the State Low-Income Housing Revolving Fund;

(2) Changing the effective date to July 1, 2050, to encourage further discussion; and

(3) Making technical, nonsubstantive amendments for the purposes of clarity, consistency, and style.

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. 1114, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 1114, H.D. 1, and be referred to your Committee on Finance.

Respectfully submitted on behalf of the members of the Committee on Housing,

____________________________

NADINE K. NAKAMURA, Chair