Report Title:

Homeownership

 

Description:

Provides financial assistance to qualified first time home buyers under the individual development accounts program.  Repeals 5 year limitation on direct state funding to fiduciary organizations.

 


HOUSE OF REPRESENTATIVES

H.B. NO.

101

TWENTY-FOURTH LEGISLATURE, 2007

 

STATE OF HAWAII

 

 

 

 

 

A BILL FOR AN ACT

 

 

RELATING TO HOMEOWNERSHIP.

 

 

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

 


     SECTION 1.  Chapter 257, Hawaii Revised Statutes, is amended by adding a new section to be appropriately designated and to read as follows:

     "§257‑    First homeownership; American dream down payment; forgivable loans.  (a)  A qualified expenditure for first homeownership may be made in conjunction with and supplemental to the federal Housing and Urban Development's HOME Investment Partnership Program, as administered by a county, to provide assistance towards the purchase of single family housing by low‑income families who are first-time homebuyers.  Persons who are awarded grant assistance under the HOME Investment Partnership Program may be eligible for a qualified expenditure for first homeownership.

     (b)  In lieu of subsection (a), a matching amount under section 257-8 may be made in the form of a forgivable loan at the rate of twenty per cent of the loan value per year, up to a maximum amount of $50,000."

     SECTION 2.  Section 257-3, Hawaii Revised Statutes, is amended by amending subsections (c) and (d) to read as follows:

     "(c)  If the State approves an application to fund an individual development account project under this section, the State [shall], not later than one month after June 28, 1999, shall authorize the applicant to conduct the project with state funds [for five project years] in accordance with the approved application and this section; provided that an applicant may apply for funding during future fiscal years [for five project years] if the State lacks the resources to fund an individual development account project pursuant to this subsection.

     (d)  For each individual development account program approved under this section, the State shall make a grant to the qualified entity or collaboration of entities authorized to conduct the project on the first day of the project year in an amount not to exceed $100,000 per year [for five years]."

     SECTION 3.  Statutory material to be repealed is bracketed and stricken.  New statutory material is underscored.

     SECTION 4.  This Act shall take effect on July 1, 2007.

 

INTRODUCED BY:

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