STAND. COM. REP. NO. 1444

 

Honolulu, Hawaii

, 2021

 

RE: S.B. No. 1121

S.D. 2

 

 

 

 

Honorable Scott K. Saiki

Speaker, House of Representatives

Thirty-First State Legislature

Regular Session of 2021

State of Hawaii

 

Sir:

 

Your Committee on Judiciary & Hawaiian Affairs, to which was referred S.B. No. 1121, S.D. 2, entitled:

 

"A BILL FOR AN ACT RELATING TO HOUSING,"

 

begs leave to report as follows:

 

The purpose of this measure is to exempt all gross proceeds arising from the planning, design, financing, or construction of any housing development by the Department of Hawaiian Home Lands from general excise taxes.

 

Your Committee received testimony in support of this measure from the Department of Taxation, Department of Hawaiian Home Lands, Office of Hawaiian Affairs, Hawaiian Affairs Caucus of the Democratic Party of Hawaii, Partners in Care, Catholic Charities Hawaii, and Community Alliance Partners. Your Committee received comments on this measure from the Department of Budget and Finance and Tax Foundation of Hawaii.

 

Your Committee finds that lands utilized by the Department of Hawaiian Home Lands to provide housing for native Hawaiians are offered at affordable rates when compared to similar housing available in Hawaii. The Department of Hawaiian Home Lands currently has four large-scale development projects underway for consideration by the Hawaii Housing Finance and Development Corporation for general excise tax exemptions. The estimated general excise tax savings for these four projects is $9,561,500. Your Committee further finds that the cost savings for these projects could be used to develop more Hawaiian home land lots.

 

As affirmed by the record of votes of the members of your Committee on Judiciary & Hawaiian Affairs that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 1121, S.D. 2, and recommends that it pass Second Reading and be referred to your Committee on Finance.

 

 

Respectfully submitted on behalf of the members of the Committee on Judiciary & Hawaiian Affairs,

 

 

 

 

____________________________

MARK M. NAKASHIMA, Chair