STAND. COM. REP. NO. 1794

Honolulu, Hawaii

RE: H.B. No. 1298

H.D. 3

S.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Thirty-Third State Legislature

Regular Session of 2025

State of Hawaii

Sir:

Your Committee on Ways and Means, to which was referred H.B. No. 1298, H.D. 3, S.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO HOUSING,"

begs leave to report as follows:

The purpose and intent of this measure is to create affordable housing opportunities for state workers to improve worker recruitment and retention.

Specifically, this measure:

(1) Establishes within the Hawaii Housing Finance and Development Corporation the Government Employee Housing Revolving Fund Program and Government Employee Ninety‑Nine-Year Leasehold Rent-to-Own Program to facilitate the development of affordable housing and low‑cost rental and leasehold residential condominium units for rent and sale to government employees and the general public on state-owned land;

(2) Creates the government employee housing revolving fund to finance affordable housing projects under the programs established pursuant to paragraph (1); and

(3) Makes appropriations.

Your Committee received written comments in support of this measure from the Hawaii Housing Finance and Development Corporation, United Public Workers, Hawaii Government Employees Association, and Maui Chamber of Commerce.

Your Committee received written comments on this measure from the Department of Budget and Finance and Tax Foundation of Hawaii.

Your Committee finds that it is becoming increasingly difficult to recruit and retain state employees. Your Committee further finds that increasing affordable rental and homeownership opportunities for state employees will help to reduce the resignation and outmigration of state employees, while also making state employment more attractive to job seekers.

As affirmed by the record of votes of the members of your Committee on Ways and Means that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 1298, H.D. 3, S.D. 1, and recommends that it pass Third Reading.

Respectfully submitted on behalf of the members of the Committee on Ways and Means,

________________________________

DONOVAN M. DELA CRUZ, Chair