Honolulu, Hawaii
                                                   , 1999

                                 RE: S.B. No. 1229
                                     S.D. 1
                                     H.D. 2

Honorable Calvin K.Y. Say
Speaker, House of Representatives
Twentieth State Legislature
Regular Session of 1999
State of Hawaii


     Your Committee on Water and Land Use, to which was referred
S.B. No. 1229, S.D. 1, H.D. 1, entitled: 


begs leave to report as follows:

     The purpose of this bill is to provide for housing needs by
creating a special fund for homeless assistance, allocating 25
percent of conveyance tax revenues to the special fund and
appropriating funds for homeless shelter facilities and

     Your Committee received testimony as follows:

     1.   Housing and Community Development Corporation of
          Hawaii, Barbers Point Naval Air Station Redevelopment
          Commission, Hawaii Catholic Conference, Institute for
          Human Services, Affordable Housing and Homeless
          Alliance, Catholic Charities Community Services, Health
          Care for the Homeless Project, one individual, in

     2.   Tax Foundation of Hawaii, in opposition; and

     3.   Department of Budget and Finance, Nature Conservancy of
          Hawaii, offering comment.  

     Your Committee finds that concerns exist about the propriety
of using conveyance tax revenues for a homeless assistance
special fund, but the legislature should explore options for
funding homeless needs during this time of economic difficulty.  

     Your Committee revised the bill by:  

                                 STAND. COM. REP. NO. 1260
                                 Page 2

     1.   Changing the effective date to an unspecified year; and 

     2.   Making technical, non-substantive changes for the
          purposes of style and clarity.  

     As affirmed by the record of votes of the members of your
Committee on Water and Land Use that is attached to this report,
your Committee is in accord with the intent and purpose of S.B.
No. 1229, S.D. 1, H.D. 1, as amended herein, and recommends that
it be referred to the Committee on Finance, in the form attached
hereto as S.B. No. 1229, S.D. 1, H.D. 2.

                                   Respectfully submitted on
                                   behalf of the members of the
                                   Committee on Water and Land

                                   Romy M. Cachola, Chair