HB 2478: Housing Infrastructure Growth Bonds; Counties; County Debt Limit Statements
- Session Year: 2025-2026
- House: House
- Latest Version Date: 2026-02-13
Current Status:
Failed
(2026-03-10: Referred to EIG, WAM.)
Introduced
In Committee
First Chamber
In Committee
Second Chamber
Final Decking
Enacted
What does this bill do?
Authorizes counties to issue housing infrastructure growth bonds to pay for housing-related infrastructure projects. It also changes county debt reporting so those bonds can be left out of a county's funded debt (the county's total long-term debt) if voters ratify a related constitutional amendment allowing and excluding such bonds.
The summary is provided by generative AI which can make mistakes. For original language, please view the details in the table below.
Authorizes the counties to implement housing infrastructure growth bonds. Conforms county debt limit statements law to permit counties to exclude housing infrastructure growth bonds from the debt limit of the counties if a constitutional amendment authorizing the use of housing infrastructure growth bonds and excluding housing infrastructure growth bonds from determinations of the counties' funded debt is ratified. Effective 7/1/3000. (HD1)
Conforms county debt limit statements law to permit counties to exclude housing infrastructure growth bonds from the debt limit of the counties if a constitutional amendment authorizing the use of housing infrastructure growth bonds and excluding housing infrastructure growth bonds from determinations of the counties' funded debt is ratified.
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HOUSE OF REPRESENTATIVES |
H.B. NO. |
2478 |
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THIRTY-THIRD LEGISLATURE, 2026 |
H.D. 1 |
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STATE OF HAWAII |
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A BILL FOR AN ACT
RELATING TO BONDS.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
SECTION 1. Chapter 46, Hawaii Revised Statutes, is amended by adding a new section to be appropriately designated and to read as follows:
"§46- Housing infrastructure growth bonds; authorized. Each county may implement housing infrastructure growth bonds pursuant to section 12 of article VII of the state constitution."
SECTION 2. Section 47C-1, Hawaii Revised Statutes, is amended to read as follows:
"§47C-1 Definitions. As used in sections 47C-1 through 47C-6, the following words and terms shall have the following meanings or inclusions:
"Chairperson of the finance committee" shall mean the chairperson of the finance committee of the council of the county, or if the council of the county does not have a finance committee, the member of the council appointed by the council to perform the functions required by this chapter to be performed by the chairperson of the finance committee of the council.
"Corporation counsel" shall mean the chief legal advisor or legal representative of the county.
"County" shall include each county of the State, including the city and county of Honolulu.
"Director of finance" shall mean the director of finance of the county, or if the county does not have a director of finance, the officer of the county in whom is vested the functions and powers of maintaining the treasury of the county and issuing and selling, paying interest on, and redeeming bonds of the county.
"Fiscal year" shall mean the fiscal year of the county as defined in section 46-41.
"Special
assessment bonds" shall mean bonds issued under special improvement
statutes when the only security for [such] the bonds is the
assessments or special taxes levied and assessed under those statutes or
properties subject to the assessments or special taxes.
As used in
sections 47C-1 through 47C-6, the words or terms "bonds",
"general obligation bonds", "housing infrastructure growth
bonds", "net revenue", "net user tax receipts",
"reimbursable general obligation bonds", "revenue bonds",
"special purpose revenue bonds", and "user tax" shall have
the respective meanings and inclusions given to [such] those words
and terms in section 12 of article VII of the constitution."
SECTION 3. Section 47C-2, Hawaii Revised Statutes, is amended to read as follows:
"§47C-2
Determination of funded debt.
Within ninety days after the first day of each fiscal year, the director
of finance of each county shall ascertain and set forth in a tabular summary
the total indebtedness of the county outstanding and unpaid as of the first day
of [such] that fiscal year.
The summary shall include the following:
(1) An itemization of the total principal amount
of all general obligation bonds, reimbursable general obligation bonds, revenue
bonds, special assessment bonds, special purpose revenue bonds, housing
infrastructure growth bonds, and all other bonds of the county outstanding
and unpaid, including bonds [which] that may be excluded under
clauses 1, 2, 3, 4, 5, 6, 8, [and] 9, and 10 of section 13 of
article VII of the constitution when determining the funded debt of the county
for the purposes of that section together with a grand total of such total
principal amounts[.];
(2) The total principal amount of all bonds of the
State required by clause (7) of section 13 of article VII of the constitution
to be included when determining the funded debt of the county for the purposes
of that section[.];
(3) A grand total of the total principal amounts
set forth in the summary pursuant to paragraphs (1) and (2)[.];
(4) An itemization of the total of the principal
amount of all general obligation bonds, reimbursable general obligation bonds,
revenue bonds, special assessment bonds, [and] special purpose revenue
bonds, and housing infrastructure growth bonds of the county outstanding
and unpaid [which] that may be excluded under clauses 1, 2, 3, 4,
5, 6, 8, [and] 9, and 10 of section 13 of article VII of the constitution when
determining the total funded debt of the county for the purposes of that
section, together with a grand total of such total principal amounts[.];
and
(5) The difference between the grand total principal amount set forth in the summary pursuant to paragraph (3) and the grand total principal amount set forth in the summary pursuant to paragraph (4).
The
director of finance shall also prepare and attach to the tabular summary [such]
the supporting schedules as may be required to set forth in detail the
bonds included in the itemizations required by paragraphs (1) and (4). [Such] The supporting schedules
shall also set forth or make reference to the relevant statutory, charter,
ordinance, or other legal provision, and the relevant figures of assessment
collections, revenues, user tax receipts, cost of operation, maintenance and
repair, net revenues, net user tax receipts, reimbursements to the general
fund, and other financial information, justifying the inclusion of [such]
the bonds in the itemization required by paragraph (4). The director of finance shall indicate in the
supporting schedules whether the financial findings and figures are based upon
the records of the director's office or upon audited statements and reports,
and if based upon the latter, shall identify in the schedules the audited
reports and statements."
SECTION 4. Section 47C-3, Hawaii Revised Statutes, is amended to read as follows:
"§47C-3
Supplemental determination.
Whenever the county proposes to issue bonds, the director of finance
shall prepare a supplemental summary of the indebtedness of the county setting
forth [therein such] the information and findings as of a date
within thirty days of the delivery of [such] the bonds as will
bring up to date and make current the most recent summary prepared in
accordance with the provisions of section 47C-2. The director of finance shall also prepare
and attach to [such] the supplemental summary [such] the
supporting schedules [as] that may be required to set forth in
detail the variations and changes from the summary prepared in accordance with
section 47C-2, including [such] the legal and financial findings
[as] that will justify any changes in the itemizations set forth
in [such] the previous summary pursuant to the requirements of [paragraph
(4) of section 47C-2.] section 47C-2(4). If all the bonds proposed to be issued may be
excluded when determining the funded debt of the county for the purposes of
section 13 of article VII of the constitution by reason of the provisions of
clauses 2 [or], 4, or 10 of that section, the supplemental
summary and supporting schedules may be limited to [such] those bonds
and findings as are necessary to justify [such] the exclusion
under [such] those clauses.
In the
event proceeds of the bonds proposed to be issued are to be applied to the
retirement in the then fiscal year of outstanding bonds, including notes issued
in anticipation of the issuance of the bonds proposed to be issued, for the
purpose of applying the provisions of clause 1 of section 13 of article VII of
the constitution to the bonds to be retired, that amount of [such] the
proceeds to be [so] applied may be considered and treated as moneys
irrevocably set aside for the payment of [such] the bonds."
SECTION 5. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.
SECTION 6. This Act shall take effect on July 1, 3000, and upon ratification of a constitutional amendment expressly providing that the legislature may authorize the counties to issue housing infrastructure growth bonds and excluding housing infrastructure growth bonds from determinations of the funded debt of the counties.
Report Title:
Housing Infrastructure Growth Bonds; Counties; County Debt Limit Statements
Description:
Authorizes the counties to implement housing infrastructure growth bonds. Conforms county debt limit statements law to permit counties to exclude housing infrastructure growth bonds from the debt limit of the counties if a constitutional amendment authorizing the use of housing infrastructure growth bonds and excluding housing infrastructure growth bonds from determinations of the counties' funded debt is ratified. Effective 7/1/3000. (HD1)
The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.
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HOUSE OF REPRESENTATIVES |
H.B. NO. |
2478 |
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THIRTY-THIRD LEGISLATURE, 2026 |
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STATE OF HAWAII |
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A BILL FOR AN ACT
relating to bonds.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
SECTION 1. Section 47C-1, Hawaii Revised Statutes, is amended to read as follows:
"§47C-1 Definitions. As used in sections 47C-1 through 47C-6, the following words and terms shall have the following meanings or inclusions:
"Chairperson of the finance committee" shall mean the chairperson of the finance committee of the council of the county, or if the council of the county does not have a finance committee, the member of the council appointed by the council to perform the functions required by this chapter to be performed by the chairperson of the finance committee of the council.
"Corporation counsel" shall mean the chief legal advisor or legal representative of the county.
"County" shall include each county of the State, including the city and county of Honolulu.
"Director of finance" shall mean the director of finance of the county, or if the county does not have a director of finance, the officer of the county in whom is vested the functions and powers of maintaining the treasury of the county and issuing and selling, paying interest on, and redeeming bonds of the county.
"Fiscal year" shall mean the fiscal year of the county as defined in section 46-41.
"Special
assessment bonds" shall mean bonds issued under special improvement
statutes when the only security for [such] the bonds is the
assessments or special taxes levied and assessed under those statutes or
properties subject to the assessments or special taxes.
As used in
sections 47C-1 through 47C-6, the words or terms "bonds",
"general obligation bonds", "housing infrastructure growth
bonds", "net revenue", "net user tax receipts",
"reimbursable general obligation bonds", "revenue bonds",
"special purpose revenue bonds", and "user tax" shall have
the respective meanings and inclusions given to [such] those words
and terms in section 12 of article VII of the constitution."
SECTION 2. Section 47C-2, Hawaii Revised Statutes, is amended to read as follows:
"§47C-2
Determination of funded debt.
Within ninety days after the first day of each fiscal year, the director
of finance of each county shall ascertain and set forth in a tabular summary
the total indebtedness of the county outstanding and unpaid as of the first day
of [such] that fiscal year.
The summary shall include the following:
(1) An itemization of the total principal amount
of all general obligation bonds, reimbursable general obligation bonds, revenue
bonds, special assessment bonds, special purpose revenue bonds, housing
infrastructure growth bonds, and all other bonds of the county outstanding
and unpaid, including bonds [which] that may be excluded under
clauses 1, 2, 3, 4, 5, 6, 8, [and] 9, and 10 of section 13 of
article VII of the constitution when determining the funded debt of the county
for the purposes of that section together with a grand total of such total
principal amounts[.];
(2) The total principal amount of all bonds of the
State required by clause (7) of section 13 of article VII of the constitution
to be included when determining the funded debt of the county for the purposes
of that section[.];
(3) A grand total of the total principal amounts
set forth in the summary pursuant to paragraphs (1) and (2)[.];
(4) An itemization of the total of the principal
amount of all general obligation bonds, reimbursable general obligation bonds,
revenue bonds, special assessment bonds, [and] special purpose revenue
bonds, and housing infrastructure growth bonds of the county outstanding
and unpaid [which] that may be excluded under clauses 1, 2, 3, 4,
5, 6, 8, [and] 9, and 10 of section 13 of article VII of the constitution when
determining the total funded debt of the county for the purposes of that
section, together with a grand total of such total principal amounts[.];
and
(5) The difference between the grand total principal amount set forth in the summary pursuant to paragraph (3) and the grand total principal amount set forth in the summary pursuant to paragraph (4).
The
director of finance shall also prepare and attach to the tabular summary [such]
the supporting schedules as may be required to set forth in detail the
bonds included in the itemizations required by paragraphs (1) and (4). [Such] The supporting schedules
shall also set forth or make reference to the relevant statutory, charter,
ordinance, or other legal provision, and the relevant figures of assessment
collections, revenues, user tax receipts, cost of operation, maintenance and
repair, net revenues, net user tax receipts, reimbursements to the general
fund, and other financial information, justifying the inclusion of [such]
the bonds in the itemization required by paragraph (4). The director of finance shall indicate in the
supporting schedules whether the financial findings and figures are based upon
the records of the director's office or upon audited statements and reports,
and if based upon the latter, shall identify in the schedules the audited
reports and statements."
SECTION 3. Section 47C-3, Hawaii Revised Statutes, is amended to read as follows:
"§47C-3
Supplemental determination.
Whenever the county proposes to issue bonds, the director of finance
shall prepare a supplemental summary of the indebtedness of the county setting
forth [therein such] the information and findings as of a date
within thirty days of the delivery of [such] the bonds as will
bring up to date and make current the most recent summary prepared in
accordance with the provisions of section 47C-2. The director of finance shall also prepare
and attach to [such] the supplemental summary [such] the
supporting schedules [as] that may be required to set forth in
detail the variations and changes from the summary prepared in accordance with
section 47C-2, including [such] the legal and financial findings
[as] that will justify any changes in the itemizations set forth
in [such] the previous summary pursuant to the requirements of [paragraph
(4) of section 47C-2.] section 47C-2(4). If all the bonds proposed to be issued may be
excluded when determining the funded debt of the county for the purposes of
section 13 of article VII of the constitution by reason of the provisions of
clauses 2 [or], 4, or 10 of that section, the supplemental
summary and supporting schedules may be limited to [such] those bonds
and findings as are necessary to justify [such] the exclusion
under [such] those clauses.
In the
event proceeds of the bonds proposed to be issued are to be applied to the
retirement in the then fiscal year of outstanding bonds, including notes issued
in anticipation of the issuance of the bonds proposed to be issued, for the
purpose of applying the provisions of clause 1 of section 13 of article VII of
the constitution to the bonds to be retired, that amount of [such] the
proceeds to be [so] applied may be considered and treated as moneys
irrevocably set aside for the payment of [such] the bonds."
SECTION 4. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.
SECTION 5. This Act shall take effect upon its approval and upon ratification of a constitutional amendment expressly providing that the legislature may authorize the counties to issue housing infrastructure growth bonds and excluding housing infrastructure growth bonds from determinations of the funded debt of the counties.
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INTRODUCED BY: |
_____________________________ |
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Report Title:
Housing Infrastructure Growth Bonds; Counties; County Debt Limit Statements
Description:
Conforms county debt limit statements law to permit counties to exclude housing infrastructure growth bonds from the debt limit of the counties if a constitutional amendment authorizing the use of housing infrastructure growth bonds and excluding housing infrastructure growth bonds from determinations of the counties' funded debt is ratified.
The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.
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Date
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Status
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| Mar 10, 2026 | Referred to EIG, WAM. |
| Mar 10, 2026 | Passed First Reading. |
| Mar 10, 2026 | Received from House (Hse. Com. No. 214). |
| Mar 6, 2026 | Passed Third Reading with Representative(s) Cochran, Garcia voting aye with reservations; Representative(s) Iwamoto voting no (1) and Representative(s) Perruso, Quinlan, Sayama excused (3). Transmitted to Senate. |
| Mar 6, 2026 | Reported from FIN (Stand. Com. Rep. No. 1001-26), recommending passage on Third Reading. |
| Mar 2, 2026 | The committee on FIN recommend that the measure be PASSED, UNAMENDED. The votes were as follows: 15 Ayes: Representative(s) Todd, Takenouchi, Hartsfield, Hussey, Keohokapu-Lee Loy, Kitagawa, Kusch, Lee, M., Miyake, Morikawa, Templo, Yamashita, Gedeon, Reyes Oda; Ayes with reservations: Representative(s) Perruso; Noes: none; and 1 Excused: Representative(s) Alcos. |
| Feb 27, 2026 | Bill scheduled for decision making on Monday, 03-02-26 10:00AM in conference room 308 VIA VIDEOCONFERENCE. |
| Feb 27, 2026 | The committee(s) on FIN recommend(s) that the measure be deferred until 03-02-26. |
| Feb 24, 2026 | Bill scheduled to be heard by FIN on Friday, 02-27-26 2:00PM in House conference room 308 VIA VIDEOCONFERENCE. |
| Feb 17, 2026 | Passed Second Reading as amended in HD 1 and referred to the committee(s) on FIN with Representative(s) Garcia voting aye with reservations; none voting no (0) and Representative(s) Cochran, Lee, M., Poepoe excused (3). |
| Feb 17, 2026 | Reported from HSG (Stand. Com. Rep. No. 332-26) as amended in HD 1, recommending passage on Second Reading and referral to FIN. |
| Feb 6, 2026 | The committee on HSG recommend that the measure be PASSED, WITH AMENDMENTS. The votes were as follows: 8 Ayes: Representative(s) Evslin, Miyake, Grandinetti, Kila, Kitagawa, Muraoka, Pierick; Ayes with reservations: Representative(s) Cochran; Noes: none; and 1 Excused: Representative(s) La Chica. |
| Feb 3, 2026 | Bill scheduled to be heard by HSG on Friday, 02-06-26 9:30AM in House conference room 430 VIA VIDEOCONFERENCE. |
| Feb 2, 2026 | Referred to HSG, FIN, referral sheet 6 |
| Jan 28, 2026 | Introduced and Pass First Reading. |
| Jan 27, 2026 | Pending introduction. |
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Date
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Description
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Location
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Votes
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| Mar 6, 2026 | Third Reading | House Floor |
Passed |
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| Mar 2, 2026 | The committee on FIN recommend that the measure be PASSED, UNAMENDED | House Standing Committee on Finance |
Passed |
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| Feb 6, 2026 | The committee on HSG recommend that the measure be PASSED, WITH AMENDMENTS | House Standing Committee on Housing |
Passed |
This list shows positions taken on this bill by organizations on the date displayed, which is linked to the original source.
Positions by individuals are not included.
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Organization
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Position
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Date
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| Castle & Cooke Homes Hawaiʻi, Inc | ** Support | |
| D.R. Horton Hawaii | ** Support | |
| Hawaii Housing Finance and Development Corporation | ** Support | |
| Hawaii Public Housing Authority | ** Support | |
| Hawaiʻi Association of REALTORS | ** Support | |
| Hawaiʻi Regional Council of Carpenters | ** Support | |
| Hawaiʻi Community Development Authority | ** Support | |
| Hawai‘i Community Development Authority | *** Support | Feb 28, 2026 |
| Housing Hawaiʻi's Future | ** Support | |
| Kaua‘i County Council | *** Support | Feb 28, 2026 |
| Maui Chamber of Commerce | ** Support | |
| Maui County Council | *** Support | Feb 28, 2026 |
| Navian Hawaii | ** Support | |
| Office of Planning and Sustainable Development | ** Support | |
| PACIFIC RESOURCE PARTNERSHIP | ** Support | |
| Stadium Authority | ** Support |
STAND. COM. REP. NO. 1001-26
Honolulu, Hawaii
, 2026
RE: H.B. No. 2478
H.D. 1
Honorable Nadine K. Nakamura
Speaker, House of Representatives
Thirty-Third State Legislature
Regular Session of 2026
State of Hawaii
Madame:
Your Committee on Finance, to which was referred H.B. No. 2478, H.D. 1, entitled:
"A BILL FOR AN ACT RELATING TO BONDS,"
begs leave to report as follows:
The purpose of this measure is to:
(1) Authorize the counties to implement housing infrastructure growth bonds; and
(2) Conform county debt limit statements law to permit counties to exclude housing infrastructure growth bonds from county debt limit calculations, contingent on the ratification of a constitutional amendment authorizing the counties to issue housing infrastructure growth bonds and excluding these bonds from the counties' determinations of funded debt.
Your Committee received testimony in support of this measure from the Office of Planning and Sustainable Development; Stadium Authority; Hawaii Housing Finance and Development Corporation; Hawaii Public Housing Authority; Hawaiʻi Community Development Authority; one member of the Kauaʻi County Council; one member of the Maui County Council; Hawaiʻi Regional Council of Carpenters; Pacific Resource Partnership; Maui Chamber of Commerce; Navian Hawaii; Housing Hawaiʻi's Future; Hawaiʻi Association of REALTORS; D.R. Horton Hawaii; and Castle & Cooke Homes Hawaiʻi, Inc. Your Committee received comments on this measure from the Department of the Attorney General.
As affirmed by the record of votes of the members of your Committee on Finance that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 2478, H.D. 1, and recommends that it pass Third Reading.
Respectfully submitted on behalf of the members of the Committee on Finance,
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____________________________ CHRIS TODD, Chair |
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STAND. COM. REP. NO. 332-26
Honolulu, Hawaii
, 2026
RE: H.B. No. 2478
H.D. 1
Honorable Nadine K. Nakamura
Speaker, House of Representatives
Thirty-Third State Legislature
Regular Session of 2026
State of Hawaii
Madame:
Your Committee on Housing, to which was referred H.B. No. 2478 entitled:
"A BILL FOR AN ACT RELATING TO BONDS,"
begs leave to report as follows:
Your Committee received testimony in support of this measure from the Hawaii Housing Finance and Development Corporation; Hawaii Public Housing Authority; Stadium Authority; Office of Planning and Sustainable Development; Hawaiʻi Community Development Authority; Pacific Resource Partnership; Hawaii Regional Council of Carpenters; Hawaiʻi Association of REALTORS; D.R. Horton Hawaiʻi; and Maui Chamber of Commerce. Your Committee received comments on this measure from one individual.
Your Committee finds that Hawaii's housing shortage has underscored the need for new, reliable financing tools to support major infrastructure improvements, such as housing infrastructure growth bonds. Counties cannot implement these tools, however, unless state law is updated to recognize these bonds as an excludable category under Article VII, Section 13 of the Hawaii State Constitution. This measure provides the counties with the legal authority to issue housing infrastructure growth bonds to better address the housing shortage in the State.
Your Committee has amended this measure by:
(1) Authorizing the counties to implement housing infrastructure growth bonds;
(2) Changing the effective date to July 1, 3000, to encourage further discussion; and
(3) Making technical, nonsubstantive amendments for the purposes of clarity, consistency, and style.
As affirmed by the record of votes of the members of your Committee on Housing that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 2478, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 2478, H.D. 1, and be referred to your Committee on Finance.
Respectfully submitted on behalf of the members of the Committee on Housing,
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____________________________ LUKE A. EVSLIN, Chair |
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Date
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Testimony PDF
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| Feb 28, 2026 | HB2478_HD1_TESTIMONY_FIN_02-27-26_.PDF |
| Feb 5, 2026 | HB2478_TESTIMONY_HSG_02-06-26_.PDF |
Discussed in Hearing
1MIN
House Standing Committee on Finance
1MIN
House Standing Committee on Housing
1MIN
House Standing Committee on Water & Land
42SEC
House Standing Committee on Housing
42SEC
