STAND. COM. REP. NO. 1231

Honolulu, Hawaii

RE: H.B. No. 902

H.D. 1

S.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Thirty-First State Legislature

Regular Session of 2021

State of Hawaii

Sir:

Your Committees on Water and Land and Housing, to which was referred H.B. No. 902, H.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO PUBLIC LANDS,"

beg leave to report as follows:

The purpose and intent of this measure is to:

(1) Exempt lands set aside by the Governor to the Hawaii Housing Finance and Development Corporation (HHFDC) and lands leased to HHFDC by any state department or agency, from classification as public lands subject to Department of Land and Natural Resources management;

(2) Require the land to be subject to legislative approval prior to the sale or gift of those lands; and

(3) Require state department or agency lands leased or set aside to HHFDC that are no longer needed for housing, finance, or development, to be returned to the state department or agency that leased or approved the set aside of the lands to HHFDC.

Your Committees received testimony in support of this measure from the Department of Business, Economic Development, and Tourism; Hawaii Housing Finance and Development Corporation; and Stanford Carr Development, LLC. Your Committees received testimony in opposition of this measure from the Office of Hawaiian Affairs, one member of the Maui County Council, Ka Lāhui Hawai‘i Kōmike Kalai‘āina, Kūpuna for the Mo‘opuna, Kanaeokana Kula Hawai‘i Network, Native Hawaiian Legal Corporation, Na Kupuna Moku O Keawe, Hawaiian Affairs Caucus of the Democratic Party of Hawai‘i, Council for Native Hawaiian Advancement, and sixty-one individuals.

Your Committees find that the State is experiencing a severe shortage of affordable housing. According to testimony received by your Committees, only lands to which HHFDC currently holds title in its corporate capacity are excluded from the definition of "public lands". Your Committees further find that the exemption from the definition of "public lands" proposed by this measure will streamline the development of affordable housing on state land by reducing the number of approvals required from the Department of Land and Natural Resources as affordable housing projects move forward from set-aside to leasing, entitlement, financing, and development phases.

Your Committees have amended this measure by:

(1) Making it effective upon its approval; and

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

As affirmed by the records of votes of the members of your Committees on Water and Land and Housing that are attached to this report, your Committees are in accord with the intent and purpose of H.B. No. 902, H.D. 1, as amended herein, and recommend that it pass Second Reading in the form attached hereto as H.B. No. 902, H.D. 1, S.D. 1, and be referred to your Committee on Ways and Means.

Respectfully submitted on behalf of the members of the Committees on Water and Land and Housing,

________________________________ STANLEY CHANG, Chair

________________________________ LORRAINE R. INOUYE, Chair