Informing the Legislature that on July 3, 2025, the Governor signed the following bill into law: SB38 SD2 HD2 CD1 (ACT 294).

2025 Regular Session

Act 294 streamlines housing development in Hawaii by exempting projects from many regulations, ensuring 100% units for qualified residents, and speeding up approvals.

Received.

#act294

# Summary of GM 1397 - Informing the Legislature of Act 294 **Bill Number:** GM 1397 **Title:** Informing the Legislature that on July 3, 2025, the Governor signed the following bill into law: SB38 SD2 HD2 CD1 (ACT 294) **Status:** Received **Introduced:** July 03, 2025 **Classification:** Proclamation **Subject:** Act 294 ## Purpose and Intent GM 1397 serves as a formal notification to the legislature that the Governor of Hawaii, Josh Green, M.D., has signed into law Senate Bill 38 (SB 38), which is now designated as Act 294. The primary focus of Act 294 is to amend housing development regulations in Hawaii, aiming to streamline the process for developing housing projects that meet specific criteria. ## Key Provisions of Act 294 Act 294 amends Section 201H-38 of the Hawaii Revised Statutes, introducing several significant changes: 1. **Exemption from Regulations:** - Housing projects developed under this act will be exempt from various statutes, charter provisions, ordinances, and rules related to planning, zoning, construction standards, and land development. 2. **Approval Process:** - The legislative body of the county where the housing project is situated must approve the project within **45 days** of receiving preliminary plans. If no action is taken by the 46th day, the project is automatically deemed approved. - The county cannot impose stricter conditions or income requirements that would increase project costs beyond what has been approved. 3. **Safety and Compliance:** - Projects must comply with health and safety standards and cannot contravene any safety regulations set by public utilities or water supply boards. 4. **Resident Requirements:** - For the lifetime of the project, **100% of the units** must be exclusively for qualified residents, ensuring that the housing is accessible to those who meet specific income criteria. 5. **Land Use Commission Approval:** - Any boundary changes related to the project must also be approved by the Land Use Commission within **45 days** of submission. ## Impact of Act 294 - **Developers:** The act simplifies the process for developers by reducing bureaucratic hurdles, potentially leading to faster housing project completions. - **Local Governments:** Counties will have limited ability to impose additional requirements, which may streamline housing development but could also raise concerns about local governance and community standards. - **Residents:** The focus on providing housing for qualified residents aims to address housing shortages and affordability issues in Hawaii. ## Procedural Aspects - **Effective Date:** Act 294 takes effect immediately upon approval, which occurred on July 3, 2025. - **Legislative History:** The bill passed both the Senate and House of Representatives on April 30, 2025, before being signed into law by the Governor. ## Conclusion GM 1397 serves as an important legislative proclamation that highlights the State of Hawaii's commitment to addressing housing challenges through streamlined processes and targeted regulations. Act 294 aims to facilitate the development of housing projects while ensuring that they remain accessible to qualified residents.