SCR 60: URGING THE HAWAII HOUSING FINANCE AND DEVELOPMENT CORPORATION TO DEVELOP A PLAN TO PRODUCE SUFFICIENT HOUSING TO MEET THE STATE'S DEMAND.

SENATE CONCURRENT

RESOLUTION

URGING THE HAWAII HOUSING FINANCE AND DEVELOPMENT CORPORATION TO DEVELOP A PLAN TO PRODUCE SUFFICIENT HOUSING TO MEET THE STATE'S DEMAND.

     WHEREAS, the State is experiencing a severe housing shortage, which has impacted the ability of many local families representing a wide range of household incomes to remain in Hawaii; and

     WHEREAS, according to the 2019 Hawaii Housing Planning Study (2019 Study), there were 532,880 housing units in the State in 2017, of which 45,373 were vacant housing units; and

     WHEREAS, in the period between 2010 and 2018, the State produced 26,152 units, or an average of 2,902 units per year for an average annual growth rate of 0.6 percent, which is lower than the 1.3 percent national average; and

     WHEREAS, the State has one of the highest rates of vacant unavailable units at 11.2 percent; and

     WHEREAS, the 2019 Study projected a demand of 19,328 housing units for households making sixty percent of the area median income and under; and

     WHEREAS, conversely, the 2019 Study forecasted demand of 1,855 rental units for renters earning one hundred twenty percent to one hundred forty percent of the area median income over the same five year period, and over 11,800 ownership units for households earning one hundred twenty percent or greater of the area median income; and

     WHEREAS, these figures indicate that there is much greater demand than what the market is currently supplying; and

     WHEREAS, the critical lack of affordable housing is a major barrier to recruiting and maintaining a skilled workforce in the State, with twenty-four percent of Hawaii residents reporting that they intended to move out-of-state, according to the 2019 Study; and

     WHEREAS, nearly a quarter of the respondents who planned to leave the State said the high cost and limited availability of housing was one of the problems causing them to move; and

     WHEREAS, prioritizing financing for housing production for a broader range of income segments and producing housing in the most efficient means possible will greatly increase housing production in the State; and

     WHEREAS, Senate Bill No. 26, S.D. 2, H.D. 2, (Regular Session of 2025) proposes to establish the Affordable Housing Land Inventory Task Force to assess the viability of affordable housing development in transit-oriented zones; and

     WHEREAS, a proactive, innovative approach to developing more housing units to address the State's severe housing shortage is necessary to meet existing demand while ensuring residents can remain in the State; now, therefore,

     BE IT RESOLVED by the Senate of the Thirty-third Legislature of the State of Hawaii, Regular Session of 2025, the House of Representatives concurring, that the Hawaii Housing Finance and Development Corporation is urged to develop a plan to produce sufficient housing to meet the State's demand; and

     BE IT FURTHER RESOLVED that the Hawaii Housing Finance and Development Corporation is requested to include the following into the plan:

     (1)  Density and timing of development for projects identified by the Affordable Housing Land Inventory Task Force, should Senate Bill No. 26, S.D. 2, H.D. 2, (Regular Session of 2025) be enacted in any form;

     (2)  How to maximize walkability and density;

     (3)  The most efficient and sustainable financial plan and needs;

     (4)  Personnel and government capacity needs; and

     (5)  How to overcome barriers to housing supply, such as ensuring adequate availability of land, sufficient infrastructure, and increasing available financing models; and

     BE IT FURTHER RESOLVED that the Hawaii Housing Finance and Development Corporation is requested to submit a copy of its plan to the Legislature no later than twenty days prior to the convening of the Regular Session of 2026; and

     BE IT FURTHER RESOLVED that certified copies of this Concurrent Resolution be transmitted to the Chairperson of the Board of Directors of the Hawaii Housing Finance and Development Corporation and Executive Director of the Hawaii Housing Finance and Development Corporation.

Report Title: 

HHFDC; Housing Plan; Report

SENATE CONCURRENT

RESOLUTION

urging the hawaii housing finance and development corporation to develop a plan to produce sufficient housing to meet the state's demand.

     WHEREAS, the State is experiencing a severe housing shortage, which has impacted the ability of many local families representing a wide range of household incomes to remain in Hawaii; and

     WHEREAS, according to the 2019 Hawaii Housing Planning Study (2019 Study), there were 532,880 housing units in the State in 2017, of which 45,373 were vacant housing units; and

     WHEREAS, in the period between 2010 and 2018, the State produced 26,152 units, or an average of 2,902 units per year for an average annual growth rate of 0.6 percent, which is lower than the 1.3 percent national average; and

     WHEREAS, the State has one of the highest rates of vacant unavailable units at 11.2 percent; and

     WHEREAS, the Hawaii Housing Finance and Development Corporation has been overbuilding in a very narrow market, namely rental units financed using low-income housing tax credits, which are intended for households earning fifty to sixty percent of the area median income; and

     WHEREAS, the 2019 Study projected a demand of only 1,789 rental units for households earning fifty to sixty percent of the area median income over the 2020 – 2025 period; and

     WHEREAS, conversely, the 2019 Study forecasted demand of 1,855 rental units for renters earning one hundred twenty percent to one hundred forty percent of the area median income over the same five year period, and over 11,800 ownership units for households earning one hundred twenty percent or greater of the area median income; and

     WHEREAS, these figures indicate that there is much greater demand than what the market is currently supplying; and

     WHEREAS, the critical lack of affordable housing is a major barrier to recruiting and maintaining a skilled workforce in the State, with twenty-four percent of Hawaii residents reporting that they intended to move out-of-state, according to the 2019 Study; and

     WHEREAS, nearly a quarter of the respondents who planned to leave the State said the high cost and limited availability of housing was one of the problems causing them to move; and

     WHEREAS, prioritizing financing for housing production for a broader range of income segments and producing housing in the most efficient means possible will greatly increase housing production in the State; and

     WHEREAS, a proactive, innovative approach to developing more housing units to address the State's severe housing shortage is necessary to meet existing demand while ensuring residents can remain in the State; now, therefore,

     BE IT RESOLVED by the Senate of the Thirty-third Legislature of the State of Hawaii, Regular Session of 2025, the House of Representatives concurring, that the Hawaii Housing Finance and Development Corporation is urged to develop a plan to produce sufficient housing needed to meet the State's demand; and

     BE IT FURTHER RESOLVED that the Hawaii Housing Finance and Development Corporation is requested to include the following into the plan:

     (1)  Site identification, including density at each site;

     (2)  How to maximize walkability and density;

     (3)  The most efficient and sustainable financial plan and needs;

     (4)  Personnel and government capacity needs; and

     (5)  How to overcome barriers to housing supply, such as ensuring adequate availability of land, sufficient infrastructure, and increasing available financing models; and

     BE IT FURTHER RESOLVED that the Hawaii Housing Finance and Development Corporation is requested to submit a copy of its plan to the Legislature no later than twenty days prior to the convening of the Regular Session of 2026; and

     BE IT FURTHER RESOLVED that certified copies of this Concurrent Resolution be transmitted to the Chairperson of the Board of Directors of the Hawaii Housing Finance and Development Corporation and Executive Director of the Hawaii Housing Finance and Development Corporation.

Report Title: 

HHFDC; Housing Plan; Report

SENATE CONCURRENT

RESOLUTION

urging the hawaii housing finance and development corporation to develop a plan to produce sufficient housing to meet the state's demand.

     WHEREAS, the State is experiencing a severe housing shortage, which has impacted the ability of many local families representing a wide range of household incomes to remain in Hawaii; and

     WHEREAS, according to the 2019 Hawaii Housing Planning Study (2019 Study), there were 532,880 housing units in the State in 2017, of which 45,373 were vacant housing units; and

     WHEREAS, in the period between 2010 and 2018, the State produced 26,152 units, or an average of 2,902 units per year for an average annual growth rate of 0.6 percent, which is lower than the 1.3 percent national average; and

     WHEREAS, the State has one of the highest rates of vacant unavailable units at 11.2 percent; and

     WHEREAS, the Hawaii Housing Finance and Development Corporation has been overbuilding in a very narrow market, namely rental units financed using low-income housing tax credits, which are intended for households earning fifty to sixty percent of the area median income; and

     WHEREAS, the 2019 Study projected a demand of only 1,789 rental units for households earning fifty to sixty percent of the area median income over the 2020 – 2025 period; and

     WHEREAS, conversely, the 2019 Study forecasted demand of 1,855 rental units for renters earning one hundred twenty percent to one hundred forty percent of the area median income over the same five year period, and over 11,800 ownership units for households earning one hundred twenty percent or greater of the area median income; and

     WHEREAS, these figures indicate that there is much greater demand than what the market is currently supplying; and

     WHEREAS, the critical lack of affordable housing is a major barrier to recruiting and maintaining a skilled workforce in the State, with twenty-four percent of Hawaii residents reporting that they intended to move out-of-state, according to the 2019 Study; and

     WHEREAS, nearly a quarter of the respondents who planned to leave the State said the high cost and limited availability of housing was one of the problems causing them to move; and

     WHEREAS, prioritizing financing for housing production for a broader range of income segments and producing housing in the most efficient means possible will greatly increase housing production in the State; and

     WHEREAS, a proactive, innovative approach to developing more housing units to address the State's severe housing shortage is necessary to meet existing demand while ensuring residents can remain in the State; now, therefore,

     BE IT RESOLVED by the Senate of the Thirty-third Legislature of the State of Hawaii, Regular Session of 2025, the House of Representatives concurring, that the Hawaii Housing Finance and Development Corporation is urged to develop a plan to produce sufficient housing needed to meet the State's demand; and

     BE IT FURTHER RESOLVED that the Hawaii Housing Finance and Development Corporation is requested to submit a copy of its plan to the Legislature no later than twenty days prior to the convening of the Regular Session of 2026; and

     BE IT FURTHER RESOLVED that certified copies of this Concurrent Resolution be transmitted to the Chairperson of the Board of Directors of the Hawaii Housing Finance and Development Corporation and Executive Director of the Hawaii Housing Finance and Development Corporation.

Report Title: 

HHFDC; Housing Plan; Report

STAND. COM. REP. NO.  2128

Honolulu, Hawaii

                , 2025

RE:   S.C.R. No. 60

      S.D. 1

      H.D. 1

Honorable Nadine K. Nakamura

Speaker, House of Representatives

Thirty-Third State Legislature

Regular Session of 2025

State of Hawaii

Madame:

     Your Committee on Housing, to which was referred S.C.R. No. 60, S.D. 1, entitled:

"SENATE CONCURRENT RESOLUTION URGING THE HAWAII HOUSING FINANCE AND DEVELOPMENT CORPORATION TO DEVELOP A PLAN TO PRODUCE SUFFICIENT HOUSING TO MEET THE STATE'S DEMAND,"

begs leave to report as follows:

     The purpose of this measure is to urge the Hawaii Housing Finance and Development Corporation to develop a plan to produce sufficient housing to meet the State's demand.

     Your Committee received testimony in support of this measure from Community Advocacy Research Education Services and one individual.  Your Committee received comments on this measure from the Hawaii Housing Finance and Development Corporation.

     Your Committee finds that Hawaii's severe housing shortage is driving residents away and making it increasingly difficult for local families across a broad range of incomes to remain in the State.  Despite rising demand, housing production has lagged, especially for ownership units and rentals for moderate- and higher-income households, while existing efforts have focused too narrowly on a limited income segment.  This measure aims to help retain the State's workforce, stabilize housing costs, and ensure that Hawaii remains livable for its residents.

     Your Committee has amended this measure by:

     (1)  Deleting language relating to the Hawaii Housing Finance and Development Corporation overbuilding certain rental units;

     (2)  Updating figures related to the 2019 Hawaii Housing Planning Study's housing demand projections;

     (3)  Inserting language relating to the establishment of an Affordable Housing Land Inventory Task Force through Senate Bill No. 26, S.D. 2, H.D. 2, (Regular Session of 2025);

     (4)  Clarifying information that the Corporation is requested to include in the plan; and

     (5)  Making a technical, nonsubstantive amendment 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 concurs with the intent and purpose of S.C.R. No. 60, S.D. 1, as amended herein, and recommends its adoption in the form attached hereto as S.C.R. No. 60, S.D. 1, H.D. 1.

Respectfully submitted on behalf of the members of the Committee on Housing,

STAND. COM. REP. NO. 1453

Honolulu, Hawaii

RE:    S.C.R. No. 60

       S.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Thirty-Third State Legislature

Regular Session of 2025

State of Hawaii

Sir:

     Your Committee on Housing, to which was referred S.C.R. No. 60 entitled:

"SENATE CONCURRENT RESOLUTION URGING THE HAWAII HOUSING FINANCE AND DEVELOPMENT CORPORATION TO DEVELOP A PLAN TO PRODUCE SUFFICIENT HOUSING TO MEET THE STATE'S DEMAND,"

begs leave to report as follows:

     The purpose and intent of this measure is to urge the Hawaii Housing Finance and Development Corporation to develop a plan to produce sufficient housing to meet the State's demand.

     Your Committee received testimony in opposition to this measure from one individual.

     Your Committee received comments on this measure from the Hawaii Housing Finance and Development Corporation.

     Your Committee finds that the State's chronic housing shortage negatively impacts the quality of life for individuals and families statewide, creating lower economic well-being and higher rates of out-migration from Hawaii.  In 2023, Governor Josh Green issued the Proclamation Relating to Housing, which aspired to lower or eliminate barriers to housing production.  Additionally, the Legislature adopted House Concurrent Resolution No. 131, Regular Session of 2024 (H.C.R. No. 131), which requested the Hawaii Housing Finance and Development Corporation (HHFDC) to develop a ten-year plan to satisfy Hawaii's housing demand.  Upon completion of its report, HHFDC identified three primary barriers to housing development:  inadequate supply of suitable land; insufficient infrastructure to support development; and unavailability of financing.  While various state agencies have proposed solutions to address prohibitive barriers to housing development, including proposals passed by the Legislature, additional support through personnel, government capacity needs, and financial stability are needed to ensure accountability in the development of housing units.  Therefore, addressing the systematic barriers to housing development will help the State to encourage expeditious development and maximize its resources to develop housing that is affordable to local working individuals and families, thereby addressing the State's existing housing demand.

     Your Committee notes that H.C.R. No. 131 did not fully address financing needs or potential financing mechanisms that could be utilized to satisfy the State's housing demand.  While HHFDC's report offers information on existing financing mechanisms, new approaches or existing financing needs were not addressed.  Accordingly, the Department of Business, Economic Development, and Tourism's Strategic Plan to Increase Housing Supply in Hawaii will address financing needs required to meet the existing demand for housing statewide.

     Your Committee has amended this measure by inserting language requesting HHFDC to include in its plan:

     (1)  Site identification, including density at each site;

     (2)  How to maximize walkability and density;

     (3)  The most efficient and sustainable financial plan and needs;

     (4)  Personnel and government capacity needs; and

     (5)  How to overcome barriers to housing supply, such as ensuring adequate availability of land, sufficient infrastructure, and increasing available financing models.

     As affirmed by the record of votes of the members of your Committee on Housing that is attached to this report, your Committee concurs with the intent and purpose of S.C.R. No. 60, as amended herein, and recommends its adoption in the form attached hereto as S.C.R. No. 60, S.D. 1.

Respectfully submitted on behalf of the members of the Committee on Housing,