RELATING TO THE DEPARTMENT OF HAWAIIAN HOME LANDS.

2024 Regular Session Introduced by Terez Amato and 10 co-sponsors

House Bill 567 boosts affordable housing for Native Hawaiians by offering tax exemptions and credits to developers, aiming to alleviate Hawaii's housing crisis.

Carried over to 2024 Regular Session.

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Purpose and Intent

House Bill 567 (HB 567) aims to enhance housing opportunities for Native Hawaiians by providing various financial incentives and regulatory changes related to housing development. The bill seeks to address the ongoing affordable housing crisis in Hawaii, particularly for those eligible under the Hawaiian Homes Commission Act.

Key Provisions

HB 567 includes several significant provisions:

Affordable Housing Credits: The bill proposes the establishment of affordable housing credits to incentivize the development of affordable housing units specifically for Native Hawaiians.

General Excise Tax Exemption: It introduces a general excise tax exemption for developers constructing housing on Hawaiian Home Lands, thereby reducing the financial burden on developers and encouraging more housing projects.

School Impact Fee Exemption: The bill exempts housing developments on Hawaiian Home Lands from school impact fees, further lowering the costs associated with building new homes.

Appropriation of Funds: The bill includes provisions for the appropriation of funds to support the initiatives outlined, although specific dollar amounts are not detailed in the provided information.

Regulatory Framework: It establishes a regulatory framework for the Department of Hawaiian Home Lands (DHHL) to oversee the implementation of these provisions and ensure compliance with the goals of the bill.

Affected Parties

Native Hawaiians: The primary beneficiaries of this bill are Native Hawaiians who are eligible for housing under the Hawaiian Homes Commission Act.

Developers: Real estate developers and builders will benefit from the tax exemptions and credits, making it more financially viable to construct affordable housing.

State and Local Governments: The bill may impact local government budgets due to the exemptions from school impact fees and the general excise tax.

Procedural Aspects and Timeline

Introduced: February 21, 2025

Status: The bill has been carried over to the 2024 Regular Session, indicating ongoing discussions and potential amendments.

Legislative Actions: The bill has undergone various readings and committee reviews, with significant support noted in committee recommendations.

Conclusion

HB 567 represents a strategic effort to alleviate housing shortages for Native Hawaiians through financial incentives and regulatory changes. By providing tax exemptions and credits, the bill aims to stimulate the development of affordable housing, thereby improving living conditions for eligible families in Hawaii. The ongoing legislative process will determine the final form and impact of the bill as it moves forward.

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