HB606 HD1

SECTION 1. The legislature finds that the department of Hawaiian home lands plays a critical role in addressing the longstanding housing needs of native Hawaiians through the provision of residential, agricultural, and pastoral leases as set forth in the Hawaiian Homes Commission Act, 1920, as amended.

The legislature further finds that while Act 279, Session Laws of Hawaii 2022 (Act 279), marked a historic step forward by allocating $600,000,000 to the department of Hawaiian home lands to eliminate the waitlist of applicants for residential, agricultural, or pastoral leases for trust land managed by the department, the funding addresses only six thousand seventy-five beneficiaries out of the twenty-nine thousand individuals currently on the waitlist, leaving tens of thousands still waiting for housing opportunities. The estimated cost to fulfill the entire waitlist is approximately $6,000,000,000 requiring sustained legislative action to fulfill the State's trust obligations under the Hawaiian Homes Commission Act and the Hawaii State Constitution.

The legislature recognizes that certain unexpended and unencumbered funds appropriated through Act 279 were deposited into the Act 279 special fund established through Act 125, Session Laws of Hawaii 2024 (Act 125), to ensure that the department of Hawaiian home lands has enough time to expend or encumber those remaining funds. However, the legislature believes that additional funding for the department of Hawaiian home lands is necessary to further the goals of Act 279 in eliminating the department's waitlist.

The legislature notes that this Act is introduced in response to an urgent, community-driven call to action, representing the voices of native Hawaiian beneficiaries and advocates from across the State. Initiated by grassroots organizations, community leaders, and supporters of native Hawaiian self-determination, this Act underscores the collective urgency to address the unmet housing needs of beneficiaries on the department of Hawaiian home lands' waitlist. This Act represents the will and determination of the native Hawaiian community to advocate for the resources necessary to ensure housing access, economic security, and cultural revitalization for its people.

The legislature recognizes the investment made through this Act will result in profound benefits for the State, including:

(1) Economic growth: Funding will create jobs, boost local economies, and foster long-term financial stability for native Hawaiian families. The development of homestead communities will also spur construction, commerce, and entrepreneurship, benefitting all residents of Hawaii;

(2) Cultural revitalization: Providing native Hawaiians with access to ancestral lands strengthens cultural continuity, enabling the preservation and revitalization of cultural practices, language, and traditions for future generations;

(3) Public savings: By reducing reliance on social services and addressing homelessness among native Hawaiians, the funding from this Act will alleviate the strain on public resources and infrastructure; and

(4) Stronger communities: Stable housing promotes family stability, educational success for keiki, and healthier families, building thriving communities across the State.

The purpose of this Act is to:

(1) Extend the sunset date of the Act 279 special fund until June 30, 2028; and

(2) Deposit funds into and appropriate funds out of the Act 279 special fund to be used by the department of Hawaiian home lands to fulfill its fiduciary duties to native Hawaiians as required by the Hawaii State Constitution, Hawaiian Homes Commission Act, Act 279, and Act 125.

SECTION 2. Act 125, Session Laws of Hawaii 2024, is amended as follows:

1. By amending section 5 to read:

"SECTION 5. On June 30, [~~2026,~~] 2028, the Act 279 special fund shall be abolished and any unexpended and unencumbered balance as of the close of business on June 30, [~~2026,~~] 2028, shall lapse to the general fund on that date."

2. By amending section 8 to read:

"SECTION 8. This Act shall take effect on June 29, 2024; provided that:

(1) Section 4 shall take effect on July 1, 2024; and

(2) Section 2 shall be repealed on June 30, [~~2026.~~] 2028."

SECTION 3. The department of Hawaiian home lands shall submit a strategic plan to the legislature no later than December 10, 2025, detailing:

(1) The anticipated number of waitlisted beneficiaries served through the appropriation made pursuant to section 6 of this Act;

(2) Infrastructure and land development projects to be funded by the appropriation made pursuant to section 6 of this Act; and

(3) Recommendations for additional measures to eliminate the waitlist entirely.

SECTION 4. The department of Hawaiian home lands shall submit a report to the legislature no later than twenty days prior to the convening of each regular session, beginning with the regular session of 2026, that includes:

(1) A detailed accounting of the expenditures from funds appropriated pursuant to this Act in the previous fiscal year;

(2) Progress on lot development, land acquisition, and other funded initiatives; and

(3) The number of beneficiaries assisted and remaining on the waiting list.

SECTION 5. There is appropriated out of the general revenues of the State of Hawaii the sum of $ or so much thereof as may be necessary for fiscal year 2025-2026 to be deposited into the Act 279 special fund established pursuant to Act 125, Session Laws of Hawaii 2024.

SECTION 6. There is appropriated out of the Act 279 special fund the sum of $ or so much thereof as may be necessary for fiscal year 2025-2026 for the purposes of the special fund.

The sum appropriated shall be expended by the department of Hawaiian home lands for the purposes of this Act and Act 279, Session Laws of Hawaii 2022.

SECTION 7. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.

SECTION 8. This Act shall take effect on July 1, 3000, and shall be repealed on June 30, 2028.

HOUSE OF REPRESENTATIVES	H.B. NO.	606
THIRTY-THIRD LEGISLATURE, 2025		H.D. 1
STATE OF HAWAII