STAND. COM. REP. NO. 2535

Honolulu, Hawaii

RE: S.B. No. 3368

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 Human Services, to which was referred S.B. No. 3368 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) Authorize the issuance of general obligation bonds for the development and construction of permanent supportive housing; and

(2) Require the Hawaii Housing Finance and Development Corporation to prioritize the construction of permanent supportive housing for any available federal low-income housing tax credits.

Your Committees received testimony in support of this measure from the Department of Human Services, Department of Land and Natural Resources, Hawaii Public housing Authority, Partners In Care, Catholic Charities Hawai‘i, and two individuals. Your Committees received testimony in opposition to this measure from EAH Housing; Stanford Carr Development, LLC; Hawaii Laborers-Employers Cooperation and Education Trust; Sugar Creek Capital; and Schatz Collaborative LLC. Your Committees received comments on this measure from the State Procurement Office, Hawaii Housing Finance and Development Corporation, and Governor's Coordinator on Homelessness.

Your Committees find that homelessness is one of the most pressing problems in Hawaii. Despite efforts to reduce homelessness, it persists throughout the State. Additional action to reduce homelessness is necessary. This measure authorizes the issuance of general obligations bonds and appropriates bond proceeds to the Hawaii Public Housing Authority to develop more housing in Hawaii. Your Committees also note the substantial costs to support case management and supportive services for individuals with acute physical and behavioral health needs that may require separate action and funding by the Legislature. According to testimony submitted by the Governor's Coordinator on Homelessness, ongoing costs for supportive services may equal or exceed $800 per household per month.

Your Committees have amended this measure by:

(1) Expanding its scope to include certain individuals who do not meet the Department of Housing and Urban Development definition of homeless;

(2) Requiring the Hawaii Housing Finance and Development Corporation to consider, rather than prioritize applications for low-income housing tax credits;

(3) Removing the exemption to chapter 103D, Hawaii Revised Statutes;

(4) Inserting an effective date of July 1, 2050, to encourage further discussion; 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 Human Services that are attached to this report, your Committees are in accord with the intent and purpose of S.B. No. 3368, as amended herein, and recommend that it pass Second Reading in the form attached hereto as S.B. No. 3368, 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 Human Services,

________________________________ JOY A. SAN BUENAVENTURA, Chair

________________________________ STANLEY CHANG, Chair