STAND. COM. REP. NO. 2226

Honolulu, Hawaii

RE: S.B. No. 2779

S.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Thirty-Second State Legislature

Regular Session of 2024

State of Hawaii

Sir:

Your Committees on Hawaiian Affairs and Housing, to which was referred S.B. No. 2779 entitled:

"A BILL FOR AN ACT RELATING TO HAWAIIAN HOME LANDS,"

beg leave to report as follows:

The purpose and intent of this measure is to require the Department of Hawaiian Home Lands to build sufficient rental housing, including rental apartment units, and rent-with-option-to-buy housing units, to satisfy the housing needs of native Hawaiians on the waitlist for homestead leases.

Your Committees received testimony in support of this measure from the Department of Hawaiian Home Lands; Hawaiʻi State Youth Commission; Hoʻomana Pono, LLC; and five individuals.

Your Committees received testimony in opposition to this measure from the Keaukaha Panaʻewa Farmers Association and eight individuals.

Your Committees find that the Department of Hawaiian Home Lands is obligated to develop and deliver land to its native Hawaiian beneficiaries. However, as of December 31, 2022, approximately 29,300 native Hawaiian adults were on the waitlist for homesteads. This measure will be a step toward reducing the Department of Hawaiian Home Lands' waitlist backlog, which has not significantly decrease despite plans to develop more Hawaiian home lands lots.

Your Committees have amended this measure by:

(1) Deleting language that would have required the Department of Hawaiian Home Lands to build sufficient rental housing, including rental apartment units, and rent-with-option-to-buy housing units, to satisfy the housing needs of native Hawaiians on the waitlist for homestead leases; and

(2) Inserting language that requires the Department of Hawaiian Home Lands to:

(A) Ensure compliance with the plan implemented in Act 279, Session Laws of Hawaii 2022, as approved by the Hawaiian Homes Commission in August 2022, and whose findings were approved by Governor Ige in December 2022;

(B) Utilize trust assets and formulate plans, proposals, and budget requests that shall cause the immediate reduction of the number of native Hawaiian beneficiaries on the Department's waitlist;

(C) Utilize the beneficiary survey conducted in 2020 to guide decision making and consult native Hawaiian beneficiaries as necessary to ensure that the Department of Hawaiian Home Lands serves in their best interest; and

(D) Consider all models of development and financial opportunities that may assist beneficiaries in acquiring lease awards.

As affirmed by the records of votes of the members of your Committees on Hawaiian Affairs and Housing that are attached to this report, your Committees are in accord with the intent and purpose of S.B. No. 2779, as amended herein, and recommend that it pass Second Reading in the form attached hereto as S.B. No. 2779, S.D. 1, and be referred to your Committee on Ways and Means.

Respectfully submitted on behalf of the members of the Committees on Hawaiian Affairs and Housing,

________________________________ STANLEY CHANG, Chair

________________________________ MAILE S.L. SHIMABUKURO, Chair