STAND. COM. REP. NO. 215

Honolulu, Hawaii

RE: S.B. No. 867

Honorable Ronald D. Kouchi

President of the Senate

Thirty-First State Legislature

Regular Session of 2021

State of Hawaii

Sir:

Your Committee on Housing, to which was referred S.B. No. 867 entitled:

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

begs leave to report as follows:

The purpose and intent of this measure is to extend the low-income housing tax credit program until December 31, 2027.

Your Committee received testimony in support of this measure from the Hawaii Housing Finance and Development Corporation; Hunt Companies, Inc.; Michaels Development; and NAIOP Hawaii. Your Committee received comments on this measure from the Department of Taxation and Sugar Creek Capital.

Your Committee finds that the State faces an unprecedented economic crisis due to the coronavirus disease 2019 (COVID-19) pandemic. Hawaii renters in particular have been dramatically affected by the current economic crisis with a recent study from the University of Hawaii showing that more than eleven thousand Hawaii renters have fallen behind on their rent and forty percent of rental tenants having lost their jobs. Your Committee agrees with the sentiment that doing nothing is not an option. Accordingly, this measure will extend the low-income housing tax credit to provide vital assistance to those who need it.

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. 867 and recommends that it pass Second Reading and be referred to your Committee on Ways and Means.

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

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STANLEY CHANG, Chair