SB 867: Government; Affordable Housing; Watershed Management; Water Resources; Working Group; Reports

A BILL FOR AN ACT

RELATING TO AFFORDABLE HOUSING.

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

     SECTION 1.  The legislature finds that the State is suffering from an acute shortage of affordable housing, with the rapidly rising cost of housing in the State consistently pricing out local renters and homeowners.  The development of new housing is hindered by barriers such as geographic limitations, lack of major infrastructure, and government regulation.  The legislature recognizes that the State's ongoing housing shortage warrants a thorough examination of every impediment to the development of affordable housing, including access to potable water.

     The legislature also finds that under article XI, section 7, of the Hawaii State Constitution, "[t]he State has an obligation to protect, control and regulate the use of Hawaii's water resources for the benefit of its people."  Thus, the Hawaii water plan, established under the state water code pursuant to chapter 174C, Hawaii Revised Statutes, implements a comprehensive water resources plan to address supply and conservation of the State's water resources.

     The Hawaii water plan consists of four parts, with a different entity responsible for preparing each part, including:

     (1)  A water resource protection plan, prepared by the commission on water resource management;

     (2)  A water use and development plan, prepared by each county;

     (3)  A state water projects plan, prepared by the engineering division of the department of land and natural resources; and

     (4)  A water quality plan, prepared by the department of health.

Each component considers the other aspects of the Hawaii water plan, therefore requiring cooperation amongst the various entities involved.

     The legislature additionally finds that in recent years, determinations made by the commission on water resource management have conflicted with the recommended water resource distribution determined in various counties' water use and development plans.  The counties' water use and development plans align future demand with the county's land use plans, the community's priorities, climate change impacts, and other considerations.  The legislature believes that the counties are well-equipped to determine water allocation to future land use, as prescribed by the Hawaii water plan, to maintain consistency with the respective county zoning and planning policies.

     Accordingly, the purpose of this Act is to establish a working group to:

     (1)  Ascertain the State's available water resources and water system source capacity; and

     (2)  Streamline well permit approval processes to ensure available water supply to further plan for the development of affordable housing.

     SECTION 2.  (a)  There is established a working group to ascertain and address state watershed management to enable the development and construction of affordable housing projects across the State.

     The working group shall be placed in the office of the governor for administrative purposes.

     (b)  The working group shall conduct an inventory of all available water resources statewide and identify appropriate aquifer replenishment as it pertains to each county water use and development plan, including the water source capacity for affordable housing development, and streamline the well permit approval process to ensure available water supply.

     (c)  The working group shall address and make recommendations on:

     (1)  Mitigating impacts arising from affordable housing development;

     (2)  Projected water usage following the completion of affordable housing projects in each county;

     (3)  The adoption of rules for water allocation for each county;

     (4)  Defining the role of the commission on water resource management in relation to affordable housing development statewide; and

     (5)  The impact of federal government obligations on the development of new water sources for affordable housing.

     (d)  The working group shall consist of the following members:

     (1)  The chief housing officer, who shall serve as chairperson of the working group;

     (2)  The chairs of the senate and house of representatives standing committees on housing;

     (3)  The executive director of the Hawaii housing finance and development corporation, or the executive director's designee;

     (4)  The chairperson of the commission on water resource management, or the chairperson's designee;

     (5)  The director of health, or the director's designee;

     (6)  The chief engineer of the department of land and natural resources engineering division, or the chief engineer's designee;

     (7)  The directors of each county planning department, or their designees;

     (8)  The directors of each county housing department, or their designees; and

     (9)  The chief engineers of each county board of water supply, or their designees.

     (e)  No later than September 15, 2025, the working group shall submit an interim report of its status and progress, including any preliminary findings, to the legislature.  The interim report shall include the working group's plan on how the working group intends to proceed in carrying out its duties pursuant to this Act.

     (f)  No later than twenty days prior to the convening of the regular session of 2026, the working group shall submit a final report of its findings and recommendations, including any proposed legislation, to the legislature.

     (g)  The working group shall be dissolved on June 30, 2026.

     SECTION 3.  This Act shall take effect upon its approval.

Report Title:

Government; Affordable Housing; Watershed Management; Water Resources; Working Group; Reports

Description:

Establishes a working group within the Office of the Governor for administrative purposes to ascertain the State's available water resources and water system source capacity and to streamline well permit approval processes to further plan for the development of affordable housing.  Requires the working group to inventory all available water resources statewide and identify sources of aquifer replenishment in relation to affordable housing development.  Requires an interim and final report to the Legislature.  (SD2)

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

A BILL FOR AN ACT

RELATING TO AFFORDABLE HOUSING.

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

     SECTION 1.  The legislature finds that the State is suffering from an acute shortage of affordable housing, with the rapidly rising cost of housing in the State consistently pricing out local renters and homeowners.  The development of new housing is hindered by barriers such as geographic limitations, lack of major infrastructure, and government regulation.  The legislature recognizes that the State's ongoing housing shortage warrants a thorough examination of every impediment to the development of affordable housing, including access to potable water.

     The legislature also finds that under article XI, section 7, of the Hawaii State Constitution, "[t]he State has an obligation to protect, control, and regulate the use of Hawaii's water resources for the benefit of its people."  Thus, the Hawaii water plan, established under the state water code pursuant to chapter 174C, Hawaii Revised Statutes, implements a comprehensive water resources plan to address supply and conservation of the State's water resources.

     The Hawaii water plan consists of four parts, with a different entity responsible for preparing each part, including:

     (1)  A water resource protection plan, prepared by the commission on water resource management;

     (2)  A water use and development plan, prepared by each county;

     (3)  A state water projects plan, prepared by the engineering division of the department of land and natural resources; and

     (4)  A water quality plan, prepared by the department of health.

Each component considers the other aspects of the Hawaii water plan, therefore requiring cooperation amongst the various entities involved.

     The legislature additionally finds that in recent years, determinations made by the commission on water resource management have conflicted with the recommended water resource distribution determined in various counties' water use and development plans.  The counties' water use and development plans align future demand with the county's land use plans, the community's priorities, climate change impacts, and other considerations.  The legislature believes that the counties are well-equipped to determine water allocation to future land use, as prescribed by the Hawaii water plan, to maintain consistency with the respective county zoning and planning policies.

     Accordingly, the purpose of this Act is to establish a working group to:

     (1)  Ascertain the State's available water resources and water system source capacity; and

     (2)  Streamline well permit approval processes to ensure available water supply to further plan for the development of affordable housing.

     SECTION 2.  (a)  There is established a working group to ascertain and address state watershed management to enable the development and construction of affordable housing projects across the State.

     The working group shall be placed in the office of the governor for administrative purposes.

     (b)  The working group shall conduct an inventory of all available water resources statewide and identify appropriate aquifer replenishment as it pertains to each county water use and development plan, including the water source capacity for affordable housing development, and streamline the well permit approval process to ensure available water supply.

     (c)  The working group shall address and make recommendations on:

     (1)  Mitigating impacts arising from affordable housing development;

     (2)  Projected water usage following the completion of affordable housing projects in each county;

     (3)  The adoption of rules for water allocation for each county;

     (4)  Defining the role of the commission on water resource management in relation to affordable housing development statewide; and

     (5)  The impact of federal government obligations on the development of new water sources for affordable housing.

     (d)  The working group shall consist of the following members:

     (1)  The chief housing officer, who shall serve as chairperson of the working group;

     (2)  The chairs of the senate and house of representatives standing committees on housing;

     (3)  The executive director of the Hawaii housing finance and development corporation, or their designee;

     (4)  The chairperson of the commission on water resource management, or their designee;

     (5)  The director of health, or their designee;

     (6)  The chief engineer of the department of land and natural resources engineering division, or their designee;

     (7)  The directors of each county planning department, or their designees;

     (8)  The directors of each county housing department, or their designees; and

     (9)  The chief engineers of each county board of water supply, or their designees.

     (e)  The working group shall submit an interim report of its status and progress, including any preliminary findings, to the legislature no later than September 15, 2025.  The interim report shall include the working group's plan on how the working group intends to proceed in carrying out its duties pursuant to this Act.

     (f)  The working group shall submit a final report of its findings and recommendations, including any proposed legislation, to the legislature no later than twenty days prior to the convening of the regular session of 2026.

     (g)  The task force shall dissolve on June 30, 2026.

     SECTION 3.  This Act shall take effect upon its approval.

Report Title:

Affordable Housing; Watershed Management; Water Resources; Working Group; Reports

Description:

Establishes a working group within the Office of the Governor for administrative purposes to ascertain the State's available water resources and water system source capacity and to streamline well permit approval processes to further plan for the development of affordable housing.  Requires the working group to inventory all available water resources statewide and identify sources of aquifer replenishment in relation to affordable housing development.  Requires an interim and final report to the Legislature.  (SD1)

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

A BILL FOR AN ACT

RELATING TO AFFORDABLE HOUSING.

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

     SECTION 1.  The legislature finds that the State is suffering from an acute shortage of affordable housing, with the rapidly rising cost of housing in the State consistently pricing out local renters and homeowners.  The development of new housing is hindered by barriers such as geographic limitations, lack of major infrastructure, and government regulation.  The legislature recognizes that the State's ongoing housing crisis warrants a thorough examination of every impediment to the development of affordable housing, including access to potable water.

     The legislature also finds that under article XI, section 7, of the Hawaii State Constitution, "[t]he State has an obligation to protect, control, and regulate the use of Hawaiʻi's water resources for the benefit of its people."  Thus, the Hawaiʻi water plan, established under the state water code pursuant to chapter 174C, Hawaii Revised Statutes, implements a comprehensive water resources plan to address supply and conservation of the State's water resources.

     The Hawaiʻi water plan consists of four parts, with a different entity responsible for preparing each part, including:

     (1)  A water resource protection plan, prepared by the commission on water resource management;

     (2)  A water use and development plan, prepared by each county;

     (3)  A state water projects plan, prepared by the engineering division of the department of land and natural resources; and

     (4)  A water quality plan, prepared by the department of health.

Each component considers the other aspects of the Hawaiʻi water plan, therefore requiring cooperation amongst the various entities involved.

     The legislature additionally finds that in recent years, determinations made by the commission on water resource management have conflicted with the recommended water resource distribution determined in various counties' water use and development plans.  The counties' water use and development plans align future demand with the county's land use plans, the community's priorities, climate change impacts, and other considerations.  The legislature believes that the counties are well-equipped to determine water allocation to future land use, as prescribed by the Hawaiʻi water plan, to maintain consistency with the respective county zoning and planning policies.

     Accordingly, the purpose of this Act is to establish a working group to:

     (1)  Ascertain the State's available water resources and water system source capacity; and

     (2)  Streamline well permit approval processes to ensure available water supply to further plan for the development of affordable housing.

     SECTION 2.  (a)  There is established a working group to ascertain and address state watershed management to enable the development and construction of affordable housing projects across the State.

     The working group shall be placed in the office of the governor for administrative purposes.

     (b)  The working group shall conduct an inventory of all available water resources statewide and identify appropriate aquifer replenishment as it pertains to each county water use and development plan, including the water source capacity for affordable housing development, and streamline the well permit approval process to ensure available water supply.

     (c)  The working group shall address and make recommendations on:

     (1)  Mitigating impacts arising from affordable housing development;

     (2)  Projected water usage following the completion of affordable housing projects in each county;

     (3)  The adoption of rules for water allocation for each county;

     (4)  Defining the role of the commission on water resource management in relation to affordable housing development statewide; and

     (5)  The impact of federal government obligations on the development of new water sources for affordable housing.

     (d)  The working group shall consist of the following members:

     (1)  The chief housing officer, who shall serve as chairperson of the working group;

     (2)  The chairs of the senate and house of representatives standing committees on housing;

     (3)  The executive director of the Hawaii housing finance and development corporation, or their designee;

     (4)  The chairperson of the commission on water resource management, or their designee;

     (5)  The chief of the department of health clean water branch, or their designee;

     (6)  The chief engineer of the department of land and natural resources engineering division, or their designee;

     (7)  The directors of each county planning department, or their designees;

     (8)  The directors of each county housing department, or their designees; and

     (9)  The chief engineers of each county board of water supply, or their designees.

     (e)  The working group shall submit an interim report of its status and progress, including any preliminary findings, to the legislature no later than September 15, 2025.  The interim report shall include the working group's plan on how the working group intends to proceed in carrying out its duties pursuant to this Act.

     (f)  The working group shall submit a final report of its findings and recommendations, including any proposed legislation, to the legislature no later than twenty days prior to the convening of the regular session of 2026.

     (g)  The task force shall dissolve on June 30, 2026.

     SECTION 3.  This Act shall take effect upon its approval.

Report Title:

Affordable Housing; Watershed Management; Water Resources; Working Group; Reports

Description:

Establishes a working group within the Office of the Governor for administrative purposes to ascertain the State's available water resources and water system source capacity and to streamline well permit approval processes to further plan for the development of affordable housing.  Requires the working group to inventory all available water resources statewide and identify sources of aquifer replenishment in relation to affordable housing development.  Requires an interim and final report to the Legislature.

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

STAND. COM. REP. NO. 1047

Honolulu, Hawaii

RE:    S.B. No. 867

       S.D. 2

Honorable Ronald D. Kouchi

President of the Senate

Thirty-Third State Legislature

Regular Session of 2025

State of Hawaii

Sir:

     Your Committee on Ways and Means, to which was referred S.B. No. 867, S.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO AFFORDABLE HOUSING,"

begs leave to report as follows:

     The purpose and intent of this measure is to ensure that adequate water resources exist for affordable housing development.

Specifically, the measure establishes a working group that shall:

     (1)  Be placed in the Office of the Governor for administrative purposes;

     (2)  Ascertain and address state watershed management to enable the development and construction of affordable housing projects across the State; and

     (3) Submit an interim report and final report to the Legislature.

     Your Committee received written comments in support of this measure from the Department of Health, Hawaii Housing Finance and Development Corporation, Board of Water Supply of the City and County of Honolulu, and one individual.

     Your Committee finds that the development of potable water systems affects housing development statewide, as both new and existing housing development projects are dependent upon water availability.  Your Committee believes that this measure will both advance the conservation of natural resources and address the need for water resources for affordable housing development.

     Your Committee has amended this measure by making technical nonsubstantive changes for purposes of clarity, consistency, and style.

     As affirmed by the record of votes of the members of your Committee on Ways and Means that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 867, S.D. 1, as amended herein, and recommends that it pass Third Reading in the form attached hereto as S.B. No. 867, S.D. 2.

Respectfully submitted on behalf of the members of the Committee on Ways and Means,

STAND. COM. REP. NO. 589

Honolulu, Hawaii

RE:    S.B. No. 867

       S.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Thirty-Third State Legislature

Regular Session of 2025

State of Hawaii

Sir:

     Your Committees on Housing and Water and Land, to which was referred S.B. No. 867 entitled:

"A BILL FOR AN ACT RELATING TO AFFORDABLE HOUSING,"

beg leave to report as follows:

     The purpose and intent of this measure is to:

     (1)  Establish a working group within the Office of the Governor for administrative purposes to ascertain the State's available water resources and water system source capacity and to streamline well permit approval processes to further plan for the development of affordable housing; 

     (2)  Require the working group to inventory all available water resources statewide and identify sources of aquifer replenishment in relation to affordable housing development; and 

     (3)  Require an interim and final report to the Legislature.

     Your Committees received testimony in support of this measure from the Hawaii Housing Finance and Development Corporation, Department of Water Supply of the County of Hawaiʻi, one member of the Hawaiʻi County Council, Honolulu Board of Water Supply, and one individual.

     Your Committees received comments on this measure from the Department of Land and Natural Resources and Department of Health.

     Your Committees find that it is of paramount importance to protect the State's finite natural resources.  Presently, development of potable water systems is a critical issue affecting housing development across the State.  Further, the State is experiencing a severe housing shortage that is far outpaced by demand.  As water resource availability is dependent on the timely establishment of advanced water conservation programs and water supply development, the State must ensure water availability for existing and new housing development projects.  Therefore, this measure takes a proactive approach to conserving the State's natural resources while addressing water resources needed for housing development projects critical to alleviating the State's existing housing shortage.

     Your Committees have amended this measure by:

     (1)  Adding the Director of Health, or their designee, to the working group, rather than the Chief of the Department of Health Clean Water Branch; and

     (2)  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 Water and Land that are attached to this report, your Committees are in accord with the intent and purpose of S.B. No. 867, as amended herein, and recommend that it pass Second Reading in the form attached hereto as S.B. No. 867, 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 Water and Land,