STAND. COM. REP. NO. 1097

Honolulu, Hawaii

RE: H.B. No. 1411

H.D. 1

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 Housing, to which was referred H.B. No. 1411, H.D. 1, entitled:

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

begs leave to report as follows:

The purpose and intent of this measure is to authorize the Hawaii Housing Finance and Development Corporation to allow projects to grant preferences in the sale or lease of housing units to applicants who live or work within five miles of the project.

Your Committee received testimony in support of this measure from the Hawaii Housing Finance and Development Corporation.

Your Committee finds that creating neighborhoods where residents can live, work, and play can significantly improve the quality of life of individuals and families, alleviate traffic congestion, and expand economic opportunities. However, planned housing developments may disrupt local neighborhoods by displacing residents who live and work in the area. Ensuring residents can remain in their neighborhoods is imperative to addressing the State's chronic housing shortage. Therefore, this measure supports retaining the character of neighborhoods statewide while continuing to add housing units to the State's existing inventory.

Your Committee has amended this measure by:

(1) Inserting an effective date of July 1, 2050, to encourage further discussion; and

(2) Making a technical, nonsubstantive amendment for the purposes of clarity and consistency.

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. 1411, H.D. 1, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 1411, H.D. 1, S.D. 1, 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