STAND. COM. REP. NO. 5

Honolulu, Hawaii

RE: S.B. No. 65

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 S.B. No. 65 entitled:

"A BILL FOR AN ACT RELATING TO HOUSING,"

begs leave to report as follows:

The purpose and intent of this measure is to appropriate funds to the Hawaii Public Housing Authority for the rehabilitation, remodeling, renovation, and repair of housing units.

Your Committee received testimony in support of this measure from the Department of Human Services, Hawaii Public Housing Authority, and Catholic Charities Hawaiʻi.

Your Committee finds that the Hawaii Public Housing Authority (HPHA) has a mandate to provide the State's most vulnerable residents with safe housing and equitable living environments, free from discrimination. However, HPHA has an existing capital improvement backlog of approximately $720 million, which has created a pressing need to ensure public housing units remain available for those who need them most. Further, certain buildings in HPHA's inventory are greater than fifty years old, requiring extensive repairs and maintenance to ensure safe, habitable environments for residents. Because HPHA relies on federal funding for the majority of its operations, which is commensurate with unit occupancy, providing HPHA with adequate funding will ensure continuity of housing operations and reliable housing for residents.

Your Committee further finds that two hundred fourteen units in HPHA's inventory were rehabilitated and made available to residents last year. However, more work is needed to bring the remaining vacant units into compliance. Presently, there are one hundred thirty-nine vacant units that require repair and maintenance. The average cost to bring each unit into compliance with federal standards is $73,000, which totals $10,147,000. The vacant units are located in all four counties and in areas representing twenty out of the twenty-five Senate districts. Your Committee notes that this measure is the fastest, cheapest way to create housing for the State's most vulnerable residents to ensure that they will never have to pay more than thirty percent of their incomes in rent.

Your Committee has amended this measure by inserting an appropriation amount of $10,147,000.

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 S.B. No. 65, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 65, 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,

________________________________

STANLEY CHANG, Chair