STAND. COM. REP. NO. 52

Honolulu, Hawaii

, 2025

RE: H.B. No. 1408

H.D. 1

Honorable Nadine K. Nakamura

Speaker, House of Representatives

Thirty-Third State Legislature

Regular Session of 2025

State of Hawaii

Madame:

Your Committee on Housing, to which was referred H.B. No. 1408 entitled:

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

begs leave to report as follows:

The purpose of this measure is to allow the Department of Hawaiian Home Lands to utilize the Dwelling Unit Revolving Fund as collateral when the Department acts as an eligible borrower for a loan agreement under section 184A of the federal Housing and Community Development Act of 1992, as amended.

Your Committee received testimony in support of this measure from the Hawaii Housing Finance and Development Corporation; Department of Hawaiian Home Lands; Hoomana Pono, LLC; and one individual.

Your Committee finds that Congress established the Section 184A Native Hawaiian Housing Loan Guarantee Program to provide access to sources of private financing on Hawaii Home Lands. The Department of Hawaiian Home Lands is an eligible borrower under the program and can use these funds to develop rental housing or build single-family homes. However, the Hawaiian Homes Commission Act of 1920, as amended, limits what can be used as collateral to secure loans made by government agencies or private lending institutions. This measure therefore authorizes the Department of Hawaiian Home Lands to utilize monies in the Dwelling Unit Revolving Fund for collateral, which will help the Department to secure private financing to develop housing for native Hawaiian beneficiaries.

Your Committee has amended this measure by:

(1) Changing the appropriations to an unspecified amount;

(2) Changing the effective date to July 1, 3000, to encourage further discussion; and

(3) Making technical, nonsubstantive amendments for the purposes of clarity, consistency, and style.

Your Committee respectfully requests your Committee on Finance, should it deliberate on this measure, to consider an appropriation amount of $75,000,000.

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 H.B. No. 1408, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 1408, 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,

____________________________

LUKE A. EVSLIN, Chair