STAND. COM. REP. NO. 1090

 

Honolulu, Hawaii

                  

 

RE:    H.B. No. 660

       H.D. 2

       S.D. 1

 

 

 

Honorable Ronald D. Kouchi

President of the Senate

Twenty-Ninth State Legislature

Regular Session of 2017

State of Hawaii

 

Sir:

 

     Your Committees on Housing and Economic Development, Tourism, and Technology, to which was referred H.B. No. 660, H.D. 2, entitled:

 

"A BILL FOR AN ACT RELATING TO AN INFRASTRUCTURE DEVELOPMENT LOAN REVOLVING FUND,"

 

beg leave to report as follows:

 

     The purpose and intent of this measure is to establish and appropriate funds to the infrastructure development loan revolving fund, to be administered by the Hawaii Housing Finance and Development Corporation, to make loans to developers to finance the costs of the infrastructure for affordable rental and fee simple housing developments.

 

     Your Committees received testimony in support of this measure from the Chamber of Commerce Hawaii, Maui Chamber of Commerce, Building Industry Association Hawaii, and Hawaii Construction Alliance.  Your Committees received testimony in opposition to this measure from the Hawaii Housing Finance and Development Corporation.  Your Committees received comments on this measure from the Department of Budget and Finance.

 

     Your Committees find that robust, reliable infrastructure is vital to the development of affordable housing.  Your Committees further find that necessary infrastructure costs are especially high in transit-oriented development areas and other areas in need of affordable housing.  Your Committees additionally find that Act 132, Session Laws of Hawaii 2016, expanded the permissible uses for monies in the dwelling unit revolving fund to include infrastructure programs related to affordable housing development.

 

     Accordingly, your Committees have amended this measure by:

 

     (1)  Removing language that established an infrastructure development loan revolving fund, described the obligations of developers and the Hawaii Housing Finance and Development Corporation to obtain and administer loans, and defined related terms;

 

     (2)  Inserting language establishing an infrastructure development loan subaccount within the dwelling unit revolving fund;

 

     (3)  Amending the appropriation to reference the infrastructure development loan subaccount and inserting an appropriation amount of $50,000,000; and

 

     (4)  Making technical, nonsubstantive amendments for the purposes of clarity and consistency.

 

     As affirmed by the records of votes of the members of your Committees on Housing and Economic Development, Tourism, and Technology that are attached to this report, your Committees are in accord with the intent and purpose of H.B. No. 660, H.D. 2, as amended herein, and recommend that it pass Second Reading in the form attached hereto as H.B. No. 660, H.D. 2, S.D. 1, and be referred to your Committee on Ways and Means.

 

Respectfully submitted on behalf of the members of the Committees on Housing and Economic Development, Tourism, and Technology,

 

________________________________

GLENN WAKAI, Chair

 

________________________________

WILL ESPERO, Chair