HOUSE OF REPRESENTATIVES

H.B. NO.

2511

THIRTY-FIRST LEGISLATURE, 2022

H.D. 2

STATE OF HAWAII

 

 

 

 

 

 

A BILL FOR AN ACT

 

 

RELATING TO THE DEPARTMENT OF HAWAIIAN HOME LANDS.

 

 

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

 


     SECTION 1.  The legislature finds that the mission of the department of Hawaiian home lands is to develop and deliver land to native Hawaiians.  The trust, created by Congress through the Hawaiian Homes Commission Act of 1920, as amended (HHCA), set aside public lands to be used for the benefit of native Hawaiians.

     As required by the Admissions Act and as a compact with the United States, the State of Hawaii and the people of Hawaii adopted the HHCA as a provision of the Hawaii State Constitution and agreed to faithfully carry out the spirit of the HHCA for the rehabilitation of the Hawaiian race.  These trust responsibilities remain to this day.

     The legislature also finds that today, the department of Hawaiian home lands is responsible for the management of 203,500 acres of trust lands, 9,959 homestead leases statewide, and 44,096 lease applications.  However, over 28,700 applicants remain on the waiting list for residential, agricultural, or pastoral leases.

     The challenges faced by the department of Hawaiian home lands in fulfilling its mission are multi-faceted and include but are not limited to:

     (1)  Availability of beneficiary preferred land.  The greatest demand, and consequently the longest waiting list, is for residential property on Oahu.  However, the department of Hawaiian home lands' land holdings on Oahu represent only three per cent of its total lands;

     (2)  Cost of infrastructure.  Preparing the department's lands for homesteading with adequate roads, water, sewer drainage, electrical, and other necessities requires a steady source of funding to ensure that environmental compliance, planning, design, and construction phases are coordinated; and

     (3)  Capital for mortgage financing.  With one of the highest costs of living in the nation, department of Hawaiian home lands beneficiaries also face the challenging issue of obtaining capital for mortgages to build homes and reside on trust lands.

     The legislature further finds that the revenues collected by the State as of fiscal year 2021 provide an unprecedented opportunity to ensure critical long-term access to adequate funding for the department of Hawaiian home lands to meet its challenges.  Accordingly, the purpose of this Act is to provide $600,000,000 to the department of Hawaiian home lands to be deposited into the native Hawaiian rehabilitation fund to pursue a multi-pronged approach to eliminating its waiting list.

     SECTION 2.  The department of Hawaiian home lands may expend the funds appropriated pursuant to section 5 of this Act to:

     (1)  Develop lots or units;

     (2)  Purchase available land or units;

     (3)  Provide funding for an applicant on the waiting list or the applicant's qualified relative as referenced in section 208(5) of the Hawaiian Homes Commission Act of 1920, as amended, to purchase a residence in the State; provided that a preference shall be given to applicants on the waiting list or the applicants' qualified relatives who do not currently own a residence; and

     (4)  Other services as necessary to address the waiting list.

     SECTION 3.  The department of Hawaiian home lands shall submit an annual report to the legislature on the first day of each regular session that includes:

     (1)  An accounting of the expenditures from the native Hawaiian rehabilitation fund for the purposes of this Act in the previous fiscal year; and

     (2)  The number of applicants on the waiting list assisted.

     SECTION 4.  There is appropriated out of the general revenues of the State of Hawaii the sum of $600,000,000 or so much thereof as may be necessary for fiscal year 2022-2023 to be deposited into the native Hawaiian rehabilitation fund; provided that the appropriation included in this Act shall not bind the department of Hawaiian home lands to conform to the executive budget execution policies and allotment process for the expenditure of funds.

     SECTION 5.  There is appropriated out of the native Hawaiian rehabilitation fund the sum of $600,000,000 or so much thereof as may be necessary for fiscal year 2022-2023 for the department of Hawaiian home lands to fulfill its fiduciary duties to beneficiaries.

     The sum appropriated shall be expended by the department of Hawaiian home lands for the purposes of this Act.

     SECTION 6.  This Act shall take effect on July 1, 2022.

 


 


 

Report Title:

DHHL; Native Hawaiian Rehabilitation Fund; Report; Appropriation

 

Description:

Appropriates funds into and out of the native Hawaiian rehabilitation fund for DHHL to fulfill its fiduciary duties to beneficiaries.  Requires DHHL to submit an annual report to the legislature.  (HD2)

 

 

 

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