STAND. COM. REP. NO. 1100

Honolulu, Hawaii

, 2021

RE: S.B. No. 607

S.D. 3

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 S.B. No. 607, S.D. 3, entitled:

"A BILL FOR AN ACT RELATING TO AFFORDABLE HOUSING,"

begs leave to report as follows:

The purpose of this measure is to maintain the viability of the Keawe Street Apartments affordable housing project by:

(1) Removing the construction deadline for the completion of the Leialii affordable housing project; and

(2) Specifying that the developer of the Keawe Street Apartments affordable housing project shall be responsible for all associated costs of the archaeological inventory survey for the footprint of the Keawe Street Apartments affordable housing project but shall not be responsible for the cost of the archaeological inventory survey for the entire Villages of Leialii master planned community.

Your Committee received testimony in support of this measure from the Hawaii Housing Finance and Development Corporation and Mayor of the County of Maui. Your Committee received comments on this measure from the Department of Land and Natural Resources.

Your Committee finds that there is a severe shortage of affordable rental housing in Maui County, particularly in the western part of the island. The Legislature has previously supported the expedited development of the Keawe Street Apartments affordable housing project in that area. Your Committee further finds that on September 21, 2020, the State Historic Preservation Division notified the Hawaii Housing Finance and Development Corporation that it would require a new archaeological inventory survey for the entire Villages of Leialii master planned community, of which the Keawe Street Apartments affordable housing project is a part. Your Committee finds that because a new archaeological inventory survey must be conducted, the 2022 construction completion deadline cannot be met.

Your Committee notes that the companion to this measure, H.B. No. 1311, H.D. 2 (Regular Session of 2021), was previously passed by the House.

Your Committee has amended this measure by:

(1) Deleting its contents and inserting the contents of H.B. No. 1311, H.D. 2, a measure that:

(A) Removes the 2022 deadline for completion of the Leialii affordable housing project;

(B) Requires the Hawaii Housing Finance and Development Corporation to address historic preservation laws as funding is appropriated for each portion of the Leialii affordable housing project to expedite the development of the project; and

(C) Contains a defective effective date of July 1, 2050; and

(2) 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 S.B. No. 607, S.D. 3, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 607, S.D. 3, H.D. 1, and be referred to your Committee on Judiciary & Hawaiian Affairs.

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

____________________________

NADINE K. NAKAMURA, Chair