HOUSE OF REPRESENTATIVES

H.B. NO.

1440

TWENTY-NINTH LEGISLATURE, 2017

 

STATE OF HAWAII

 

 

 

 

 

 

A BILL FOR AN ACT

 

 

relating to homelessness.

 

 

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

 


PART I

     SECTION 1.  The legislature finds that homelessness continues to be one of the State's most significant and challenging social problems.  For decades, the federal government, State, and counties have adopted measures and implemented programs to combat homelessness.  In 1935, the Territorial Legislature established the Hawaii Housing Authority to provide safe and sanitary housing for low-income residents of Hawaii.  In 1953, construction of the Mayor Wright homes public housing project was completed, making hundreds of units available for low-income families and individuals.  Act 105, Session Laws of Hawaii 1970, expanded the duties of the Hawaii Housing Authority to address the critical shortage of housing for lower- and middle-income residents.  In 1987, the governor's office created the state homeless task group to advise the governor and ensure coordination across homeless services.  In 2005, the United States Department of Housing and Urban Development awarded almost $6,000,000 in grants-in-aid for Hawaii's homeless.  These funds were distributed to several agencies and programs, including homeless shelters and drug treatment facilities.  At that time, a plan was proposed to create a "tent city" on Oahu's leeward coast.  However, that plan was abandoned due to protests from residents who were concerned that the plan would increase crime rates in the area. 

     Today, the Hawaii public housing authority administers more than six thousand federal and state low-income public housing units and provides thousands of rental assistance vouchers.  Over sixty non-profit shelters and programs provide services to over fourteen thousand unique homeless individuals each year.  In addition, hundreds of families at risk of becoming homeless receive financial assistance or housing-related support services to keep them housed.

     Despite these and decades of many other government efforts, expenditures of millions of tax dollars, and countless hours of work by government and private sector employees, homelessness in Hawaii continues to rise.  In 2011, approximately 6,200 individuals were homeless on any particular day.  In 2015, this number increased to 7,620 individuals, and in 2016, it increased again to 7,921.  During the 2013-2014 fiscal year, 14,282 homeless individuals received services through shelter and outreach programs compared to 11,070 individuals during the 2006-2007 fiscal year.  Due to these increases, Hawaii now has more homeless individuals, per capita, than any other state.

     The legislature finds that homelessness is a complex issue that requires continuous resources and coordinated efforts at all levels.  Homeless people face many different issues, including mental illness, substance abuse, loss of employment and income, and a lack of affordable housing.  Appropriate funding for programs tailored to address these issues is essential.

     The purpose of this Act is to provide better assistance to the homeless population by applying a comprehensive approach to resolving homelessness.

PART II

     SECTION 2.  Chapter 346, Hawaii Revised Statutes, is amended by adding a new section to part XVII to be appropriately designated and to read as follows:

     "§346-     Homelessness fund.  (a)  The homelessness fund, hereafter called the "fund", is hereby established.

     (b)  Any net proceeds or revenue from the operation, management, sale, lease, or other disposition of any homeless facility, shelter, or program established pursuant to this chapter shall be deposited in or credited to the fund.

     (c)  The appropriate percentage identified under section 247-7 of all taxes imposed and collected under chapter 247 shall be deposited in or credited to the fund every fiscal year.

     (d)  Moneys from any other private or public source may be deposited in or credited to the fund; provided that mandates, regulations, or conditions on these funds do not conflict with the use of the fund under this chapter.  Moneys received as a deposit or private contribution shall be deposited, used, and accounted for in accordance with the conditions established by the agency or person making the contribution.

     (e)  The fund shall be administered and managed by the department.  Moneys in the fund shall be expended for homeless facilities or any other program for the homeless authorized by this part."

     SECTION 3.  Section 247-2, Hawaii Revised Statutes, is amended to read as follows:

     "§247-2  Basis and rate of tax.  The tax imposed by section 247-1 shall be based on the actual and full consideration (whether cash or otherwise, including any promise, act, forbearance, property interest, value, gain, advantage, benefit, or profit), paid or to be paid for all transfers or conveyance of realty or any interest therein, that shall include any liens or encumbrances thereon at the time of sale, lease, sublease, assignment, transfer, or conveyance, and shall be at the following rates:

     (1)  Except as provided in paragraph (2):

         (A)  [Ten] Fifteen cents per $100 for properties with a value of less than $600,000;

         (B)  [Twenty] Twenty-five cents per $100 for properties with a value of at least $600,000, but less than $1,000,000;

         (C)  [Thirty] Thirty-five cents per $100 for properties with a value of at least $1,000,000, but less than $2,000,000;

         (D)  [Fifty] Fifty-five cents per $100 for properties with a value of at least $2,000,000, but less than $4,000,000;

         (E)  [Seventy] Seventy-five cents per $100 for properties with a value of at least $4,000,000, but less than $6,000,000;

         (F)  [Ninety] Ninety-five cents per $100 for properties with a value of at least $6,000,000, but less than $10,000,000; and

         (G)  One dollar and five cents per $100 for properties with a value of $10,000,000 or greater; and

     (2)  For the sale of a condominium or single family residence for which the purchaser is ineligible for a county homeowner's exemption on property tax:

         (A)  [Fifteen] Twenty cents per $100 for properties with a value of less than $600,000;

         (B)  [Twenty-five] Thirty cents per $100 for properties with a value of at least $600,000, but less than $1,000,000;

         (C)  [Forty] Forty-five cents per $100 for properties with a value of at least $1,000,000, but less than $2,000,000;

         (D)  [Sixty] Sixty-five cents per $100 for properties with a value of at least $2,000,000, but less than $4,000,000;

         (E)  [Eighty-five] Ninety cents per $100 for properties with a value of at least $4,000,000, but less than $6,000,000;

         (F)  One dollar and [ten] fifteen cents per $100 for properties with a value of at least $6,000,000, but less than $10,000,000; and

         (G)  One dollar and [twenty-five] thirty cents per $100 for properties with a value of $10,000,000 or greater,

of [such] actual and full consideration; provided that in the case of a lease or sublease, this chapter shall apply only to a lease or sublease whose full unexpired term is for a period of five years or more, and in those cases, including (where appropriate) those cases where the lease has been extended or amended, the tax in this chapter shall be based on the cash value of the lease rentals discounted to present day value and capitalized at the rate of six per cent, plus the actual and full consideration paid or to be paid for any and all improvements, if any, that shall include on-site as well as off-site improvements, applicable to the leased premises; and provided further that the tax imposed for each transaction shall be not less than $1."

     SECTION 4.  Section 247-7, Hawaii Revised Statutes, is amended to read as follows:

     "§247-7  Disposition of taxes.  All taxes collected under this chapter shall be paid into the state treasury to the credit of the general fund of the State, to be used and expended for the purposes for which the general fund was created and exists by law; provided that of the taxes collected each fiscal year:

     (1)  [Ten]            per cent shall be paid into the land conservation fund established pursuant to section 173A-5;

     (2)  Twenty-five per cent from July 1, 2009, until June 30, 2012; thirty per cent from July 1, 2012, until June 30, 2014; and [fifty]            per cent in each fiscal year thereafter shall be paid into the rental housing trust fund established by section 201H-202; [and]

     (3)  Twenty per cent from July 1, 2009, until June 30, 2012, and [twenty-five]            per cent in each fiscal year thereafter shall be paid into the natural area reserve fund established by section 195-9; provided that the funds paid into the natural area reserve fund shall be annually disbursed by the department of land and natural resources in the following priority:

         (A)  To natural area partnership and forest stewardship programs after joint consultation with the forest stewardship committee and the natural area reserves system commission;

         (B)  Projects undertaken in accordance with watershed management plans pursuant to section 171-58 or watershed management plans negotiated with private landowners, and management of the natural area reserves system pursuant to section 195-3; and

         (C)  The youth conservation corps established under chapter 193[.];

     (4)            per cent for experimental or demonstration housing projects authorized pursuant to section 356D-11(e);

     (5)            per cent for experimental or demonstration housing projects authorized pursuant to section 201H-12(e); and

     (6)            per cent for homeless facilities or any other program for the homeless authorized pursuant to section 346-   ."

PART III

     SECTION 5.  Chapter 346, Hawaii Revised Statutes, is amended by adding a new section to part XVII to be appropriately designated and to read as follows:

     "§346-     Community shelter commissions; established; composition.  (a)  There is established, within each county, a community shelter commission.

     (b)  Each community shelter commission shall be composed of the following representatives:

     (1)  The State, to be selected by the governor;

     (2)  The United States, to be invited by the governor;

     (3)  The county, to be selected by the mayor of the respective county;

     (4)  The clergy, to be invited by the governor;

     (5)  The real estate commission;

     (6)  Social services, to be invited by the president of the senate; and

     (7)  Businesses, to be invited by the speaker of the house of representatives.

     (c)  Each community shelter commission shall have the exclusive authority to select public property within its respective county to be used for providing homeless facilities, shelters, and programs under this part.

     (d)  The decision of any community shelter commission to select real property for use in accordance with subsection (c) shall not be subject to amendment by the legislature or county council for five years immediately succeeding the decision.

     (e)  The department shall establish rules pursuant to chapter 91 to implement the purposes of this section."

PART IV

     SECTION 6.  Chapter 334, Hawaii Revised Statutes, is amended by adding a new section to be appropriately designated and to read as follows:

     "§334-     Civil rights board; established.  (a)  There is established, within the department, the civil rights board.

     (b)  The civil rights board shall consist of nine members:

     (1)  Three to be appointed by the governor;

     (2)  Three to be appointed by the governor from a list of not less than five nominees submitted to the governor by the senate president; and

     (3)  Three to be appointed by the governor from a list of not less than five nominees submitted to the governor by the speaker of the house of representatives.

The members of the civil rights board shall be subject to section 26-34.

     (c)  Each member of the civil rights board shall have a background in homelessness, mental health treatment, substance abuse treatment, human services, or criminal justice.

     (d)  The civil rights board may request that a law enforcement officer initiate proceedings of an emergency examination and hospitalization pursuant to section 334-59(a).

     (e)  If a law enforcement officer declines a request made pursuant to subsection (d), and the civil rights board determines that the individual poses a danger to public health or safety, the civil rights board may order a law enforcement officer to address any complaint by taking action that would help to ameliorate the situation or ensure that the individual no longer poses a danger to public health or safety, including relocating the individual or taking the individual into custody.

     (f)  The department shall establish rules pursuant to chapter 91 to implement the purposes of this section."

PART V

     SECTION 7.  (a)  The Hawaii housing finance and development corporation shall conduct a survey to identify and inventory state-owned and state-managed housing units statewide that are vacant and could be used as affordable rental housing under chapter 201H, Hawaii Revised Statutes, including housing units that could be used as affordable rental housing if renovated or restored.

     (b)  The Hawaii housing finance and development corporation shall report to the governor and the legislature, no later than twenty days prior to the convening of the regular session of 2018, on the results of the survey conducted under this section, including providing an inventory list that identifies each vacant unit by legal owner, street location, and tax map key number.

PART VI

     SECTION 8.  The department of human services shall conduct a homeless summit before December 1, 2017.  The purpose of the summit shall be to gather experts from around the world to share and develop strategies to address homelessness.

     SECTION 9.  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 2017-2018 for purposes of conducting a homeless summit.

     The sum appropriated shall be expended by the department of human services for the purposes of this Act.

PART VII

     SECTION 10.  The Hawaii Revised Statutes is amended by adding a new chapter to be appropriately designated and to read as follows:

"CHAPTER

STATE COMPREHENSIVE EMPLOYMENT AND TRAINING PROGRAM

PART I.  GENERAL PROVISIONS

     §   -1  Definitions.  As used in this chapter, unless the context clearly requires otherwise:

     "Department" means the department of labor and industrial relations.

     "Director" means the director of labor and industrial relations.

     "Unemployed person" means a person who is without a job and is able, available, and seeking full-time employment.

     §   -2  Authority.  (a)  The director may create and administer a statewide, state-funded, subsidized public service employment program.  In carrying out the program, the director shall accord priority to individuals to be hired in the following order:

     (1)  Unemployed persons who have been unemployed for more than fifteen weeks, including those who have exhausted their unemployment benefits;

     (2)  All other unemployed persons who are unemployment insurance claimants, including those who have exhausted their unemployment benefits;

     (3)  All other unemployed persons, whether or not they are unemployment insurance claimants, who are certified by the director as recipients of state public assistance under chapter 346; and

     (4)  All other unemployed persons, whether or not they are unemployment insurance claimants.

     (b)  Persons employed in public service jobs under this chapter shall not be paid wages below the state minimum wage.

     (c)  Persons under subsection (b) shall not be considered state employees and shall not be subject to the laws relating to state employment benefits, including those regarding hours of work, rates of compensation, leave, unemployment compensation, and state employee benefits.

     (d)  For purposes of chapter 386, persons under subsection (b) shall be deemed employees of the State within the meaning of the term "employee" as defined in section 386-1, and the provisions of that chapter shall apply.

     §   -3  Relationship of program under this part to other state programs.  The program under this part shall be a state-funded program.  Accordingly, the director shall not be required to conform this program with that of other public service employment programs.

     The director, immediately upon enactment of this part, shall implement this part.  The director shall coordinate the activities under this part with any other state or county activities relating to public service employment, including but not limited to programs under chapters 202, 394, and 394B, section 346-71, and part V of chapter 346.

     §   -4  Rules.  The director shall adopt rules pursuant to chapter 91 necessary for the purposes of this chapter.

     §   -5  Reports.  The director shall report annually to the legislature on the progress of implementing this chapter.

PART II.  STATE ASSISTANCE FOR CERTAIN EMPLOYMENT

     §   -11  State subsidy for certain employers.  Any employer, whether or not operated for profit, who agrees to participate in an employment program to train and permanently hire unemployed persons, shall be entitled to a state subsidy in accordance with this part and any rules adopted thereunder.

     §   -12  Nature of subsidy.  The subsidy shall be to defray extra costs of providing employment and a program of training and support services.  The subsidy may be used for on-the-job training and counseling, job orientation, job-related education, instruction in English as a second language, medical and dental services, transportation expenses, a portion of wages, and other costs related to the employment.

     All subsidies shall be made directly to the employer by the director.  The amounts of the subsidies shall be determined by the director in accordance with guidelines adopted by the director, and all subsidies shall be incorporated into contracts entered into between the director and the participating employers.

     §   -13  Limitations.  No subsidy shall exceed $          for one permanent job position.  The maximum subsidy allowed to any one employer shall be $          or an amount not to exceed twenty-five per cent of any one employer's workforce, whichever is the lesser amount, except under exceptional circumstances as determined by the director.  The training subsidy for a given position shall not exceed twenty weeks.

PART III.  STATE LOANS FOR CERTAIN EMPLOYMENT

     §   -21  State loans for certain private employers.  Any private employer, whether or not operated for profit, who agrees to participate in an employment program to train and permanently hire unemployed persons shall be eligible for a state low-interest loan for purposes described in this part.

     §   -22  Nature of loans.  The employer who qualifies shall be entitled to a loan of not more than $          for each unemployed person that the employer immediately hires; provided that the unemployed person shall be employed by the employer receiving the loan for at least one year or for the term of the loan, whichever is longer.

     The loan shall be for a term not to exceed five years, at the rate of          per cent interest per year, and shall be payable in equal monthly installments of principal and interest.

     The loan shall be for purposes directly related to the maintenance or expansion of the employer's business activity.

     Any provision to the contrary notwithstanding, the director shall have full authority and discretion to consider, approve, or disapprove any loan application and impose restrictions on any loan made pursuant to this part.  Under no circumstances shall any one employer be granted loans exceeding $          ."

     SECTION 11.  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 2017-2018 and the same sum or so much thereof as may be necessary for fiscal year 2018-2019 to implement section 10 of this Act.

     The sums appropriated shall be expended by the department of labor and industrial relations for the purposes of this part.

PART VIII

     SECTION 12.  Notwithstanding any other law to the contrary, including chapter 171, Hawaii Revised Statutes, the office of Hawaiian affairs shall enter into negotiations for and execute a long-term lease with a qualified entity, as determined by the office of Hawaiian affairs, for the real property that contains the Next Step Shelter facility, the facility itself, and other appurtenant or related real property and improvements thereon.

     SECTION 13.  (a)  There is established a working group to solicit donations and services and to assist in the regulation of and development of policies relating to the Next Step Shelter facility and its residents.  The working group shall be placed within the department of human services for administrative purposes.

     (b)  The working group shall comprise the following:

     (1)  The director of human services, or the director's designee, who shall serve as chair;

     (2)  The chairperson of the board of trustees of the office of Hawaiian affairs, or the chairperson's designee;

     (3)  The executive director of the Hawaii public housing authority, or the executive director's designee;

     (4)  A representative of Waikiki Health Center; and

     (5)  A representative of the residents of the Next Step Shelter facility.

     (c)  The director of human services, or the director's designee, shall also invite representatives of appropriate local business owners, trade unions, and apprenticeship training programs of the community colleges to join the working group.

     (d)  The members of the working group shall not be compensated, but shall be reimbursed for necessary expenses incurred during the performance of their duties.

     (e)  The working group shall regularly hold public meetings without regard to chapter 92, Hawaii Revised Statutes.

     (f)  In accordance with its functions pursuant to subsection (a), the working group shall:

     (1)  Solicit private donations for the Next Step Shelter property and its improvements, including:

         (A)  Solar energy systems;

         (B)  An air circulation and treatment system; and

         (C)  Reconstruction of bathroom facilities;

     (2)  Work with trade groups and industry associations to conduct outreach and vocational training for qualified individuals who are residents of the Next Step Shelter;

     (3)  Work with Public Broadcasting Service Hawaii and relevant public, educational, and governmental access facilities to produce a documentary on the conditions of the Next Step Shelter and of the residents residing in the facility, including residents representing families, couples, and individuals; and

     (4)  Work with the Hawaii public housing authority to identify barriers to participation in the section 8 housing program for residential property owners and examine methods of increasing participation to provide residents of the Next Step Shelter with permanent housing.

     (g)  The working group shall submit a report of its progress, findings, and recommendations, including any proposed legislation, to the legislature no later than twenty days prior to the convening of the regular session of 2018.

     (h)  The working group shall dissolve on June 30, 2018.

     SECTION 14.  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 2017-2018 for the working group established in section 2 of this Act.

     The sum appropriated shall be expended by the department of human services for the purposes of this part.

PART IX

     SECTION 15.  Statutory material to be repealed is bracketed and stricken.  New statutory material is underscored.

     SECTION 16.  This Act shall take effect on July 1, 2017.

 

INTRODUCED BY:

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Report Title:

Homelessness; Programs; Appropriation

 

Description:

Establishes various provisions to address homelessness.  Increases the conveyance tax and directs the additional revenues towards experimental or demonstration housing projects administered by the HPHA and the HFDC and homeless facilities and programs administered by DHS.  Establishes civil rights boards to address civil rights of homeless.  Requires a survey of available state property for affordable rental housing.  Requires DHS to conduct a homeless summit.  Provides job assistance for homeless individuals.  Establishes a working group in DHS to seek material and services for the Next Step Shelter.  Appropriates moneys.

 

 

 

The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.