STAND. COM. REP. NO. 2576

Honolulu, Hawaii

RE: S.B. No. 2898

S.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Thirty-First State Legislature

Regular Session of 2022

State of Hawaii

Sir:

Your Committees on Housing and Water and Land, to which was referred S.B. No. 2898 entitled:

"A BILL FOR AN ACT RELATING TO COMMUNITY DEVELOPMENT,"

beg leave to report as follows:

The purpose and intent of this measure is to:

(1) Establish the transit-oriented development infrastructure improvement district under the Hawaii Community Development Authority;

(2) Establish districts to comprise and include the parcels of land within county-designated transit-oriented development zones, or within a one-half mile radius of a proposed or existing transit station if the county has not designated transit-oriented development zones;

(3) Require the transit-oriented development infrastructure improvement district board to develop a transit-oriented development infrastructure improvement program to identify necessary infrastructure improvements within the district; and

(4) Establish the transit-oriented development infrastructure improvement special fund.

Your Committees received testimony in support of this measure from the Hawaii Community Development Authority, Office of Planning and Sustainable Development, and Building Industry Association of Hawaii. Your Committees received comments on this measure from the Department of Budget and Finance and Department of Land and Natural Resources.

Your Committees find that mass transit hubs provide valuable opportunities to implement transit-oriented development in the State. Transit-oriented development, which includes the development of housing and mixed-use projects near transit hubs, promotes environmental sustainability through a reduction in car usage and greater quality of life for residents. This measure promotes transit-oriented development by requiring the implementation of transit-transit oriented development districts in the State. Your Committees further find, however, that only revenues generated by the program within each district should be deposited into the special fund. Additionally, the terminology for the transit-oriented development infrastructure improvement districts program, board, and special fund is inconsistent.

Accordingly, your Committees have amended this measure by:

(1) Clarifying the definitions of "fund" and "program";

(2) Including all parcels of land of which any portion of said parcels are located within the county-designated transit-oriented development zones or within a one-half mile radius around a proposed or existing transit station;

(3) Requiring the board of the transit-oriented development district to consider the strategic plan prepared for the Hawaii Interagency Council for Transit-Oriented Development;

(4) Providing that only revenues generated by the transit-oriented development infrastructure improvement district in each district shall be deposited into the corresponding special fund; and

(5) 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 Housing and Water and Land that are attached to this report, your Committees are in accord with the intent and purpose of S.B. No. 2898, as amended herein, and recommend that it pass Second Reading in the form attached hereto as S.B. No. 2898, S.D. 1, and be referred to your Committee on Ways and Means.

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

________________________________ LORRAINE R. INOUYE, Chair

________________________________ STANLEY CHANG, Chair