STAND. COM. REP. NO. 2220

Honolulu, Hawaii

RE: S.B. No. 3168

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 Human Services and Housing, to which was referred S.B. No. 3168 entitled:

"A BILL FOR AN ACT RELATING TO HOMELESSNESS,"

beg leave to report as follows:

The purpose and intent of this measure is to:

(1) Provide additional funding to the Ohana Zones Pilot Program;

(2) Extend the Ohana Zones Pilot Program's expiration by five years, to June 30, 2028; and

(3) Establish a permanent Ohana Zones Program, to be placed within the Department of Human Services for administrative and funding purposes, upon the expiration of the pilot program on June 30, 2028.

Your Committees received testimony in support of this measure from the Governor's Coordinator on Homelessness, Department of Land and Natural Resources, Department of Human Services, Catholic Charities Hawai‘i, Partners in Care, Opportunity Youth Action Hui, Hawai‘i Health & Harm Reduction Center, Hawai‘i Appleseed Center for Law & Economic Justice, Planning for Community LLC, and one individual. Your Committees received comments on this measure from the Department of Budget and Finance.

Your Committees find that the Ohana Zones Pilot Program was established in 2018 to develop Ohana Zones on each of the islands of Oahu, Hawaii, Kauai, and Maui, to provide temporary and permanent housing and other needed services to individuals and families experiencing homelessness. Your Committees find that since its establishment, the pilot program has supported twenty projects statewide and as of November 2021, aided 5,510 homeless individuals statewide, including 1,368 that transitioned into permanent housing. Your Committees believe that an extension of the Pilot Program will provide the State with additional resources to address the increase in the levels of homelessness and housing instability statewide.

Your Committees note that S.B. No. 3108 and its companion, H.B. No. 2140, introduced in the Regular Session of 2022, are measures by requested the administration to extend the sunset date of the Ohana Zones Pilot Program to June 30, 2026, and appropriate $15,000,000 for the program.

Your Committees have also reviewed the testimony of the Department of Budget and Finance expressing concerns regarding this measure's possible effect on the State's obligation to adhere to the maintenance of effort requirements as a recipient of Elementary and Secondary Schools Emergency Relief funds under the Coronavirus Response and Relief Supplemental Appropriations Act of 2021 and the American Recovery Plan Act of 2021. Your Committees find that this issue raises concerns that merit further consideration and respectfully request that your Committee on Ways and Means further examine those issues and concerns raised by the testimonies on this measure.

Accordingly, your Committees have amended this measure by:

(1) Establishing an Ohana Zones Program within the Hawaii Public Housing Authority as part of its Rental Assistance Programs, rather than within the Department of Human Services, upon expiration of the Ohana Zones Pilot Program on June 30, 2028;

(2) Inserting a $15,000,000 appropriation amount for the extension of the Ohana Zones Pilot Program and expenses related to facility construction, renovation, and maintenance; provision of services and staffing; and administrative costs;

(3) Inserting an effective date of December 31, 2050, to encourage further discussion; and

(4) 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 Human Services and Housing that are attached to this report, your Committees are in accord with the intent and purpose of S.B. No. 3168, as amended herein, and recommend that it pass Second Reading in the form attached hereto as S.B. No. 3168, S.D. 1, and be referred to your Committee on Ways and Means.

Respectfully submitted on behalf of the members of the Committees on Human Services and Housing,

________________________________ STANLEY CHANG, Chair

________________________________ JOY A. SAN BUENAVENTURA, Chair