SUPPORTING THE USE OF THE DWELLING UNIT REVOLVING FUND TO FUND PREDEVELOPMENT COSTS FOR ANY GOVERNMENT AFFORDABLE HOUSING DEVELOPMENT PROJECT THROUGH INTERIM LOANS TO EXPEDITE THE DELIVERY OF AFFORDABLE HOUSING TO HAWAII'S RESIDENTS.

2026 Regular Session Introduced by Terez Amato and 11 co-sponsors

HCR 83 endorses using DURF funds to provide interim predevelopment loans for government affordable housing, repaid from the project’s long-term financing.

Received from House (Hse. Com. No. 550).

#dwellingunitrevolvingfund #governmentaffordablehousingprojects #predevelopmentcosts

Purpose and Intent

HCR 83 expresses the Hawaii House of Representatives’ support for using the Dwelling Unit Revolving Fund (DURF) to finance predevelopment costs for government affordable housing development projects through interim loans.

The resolution frames predevelopment financing as high-risk but essential to accelerating the delivery of affordable housing to Hawaii residents. It acknowledges that some counties lack flexible funding for predevelopment activities and seeks to expand access to this financing mechanism beyond projects owned or administered by the Hawaii Housing Finance and Development Corporation (HHFDC) itself.

Key Provisions and Changes

Supports: The use of the DURF to fund predevelopment costs for any government affordable housing project, via interim loans.

Financing Structure: Requires that interim predevelopment loans be repaid to HHFDC through the project’s permanent financing source (i.e., once the project secures long-term financing and is brought to completion and occupancy).

Scope: Applies to government affordable housing development projects, expanding the potential use of DURF predevelopment funds to projects beyond HHFDC-owned or administered properties.

Policy Position: Establishes a legislative endorsement urging HHFDC to deploy DURF funds in this manner to expedite project delivery.

Who or What Would Be Affected

Hawaii Housing Finance and Development Corporation (HHFDC): Would be the lender of record via the DURF, providing interim predevelopment loans and collecting repayment through permanent financing.

Government Affordable Housing Projects: Eligible for DURF-funded predevelopment costs, potentially including site analyses, studies, permitting, design work, environmental assessments, and other preconstruction activities necessary to advance the project.

Developers: Those undertaking government-backed affordable housing projects could access interim loans funded by DURF to accelerate development timelines, with repayment tied to long-term project financing.

Counties and Local Governments: May benefit from increased access to predevelopment funding where flexible local funding is lacking, aiding project feasibility and timeliness.

Procedural and Timeline Aspects

Status: The bill is a concurrent resolution (HCR 83) indicating legislative support and intent, not a binding appropriation or statutory change by itself.

Action History: Passed committee stages and advanced through the House in early 2026, with various committees (Finance, Housing) reviewing and recommending adoption; the measure includes concurrent transmission to relevant HHFDC leadership.

Next Steps: If adopted, it signals policy alignment and may prompt HHFDC to implement or propose program adjustments to allow DURF-based interim predevelopment loans for government projects, subject to any statutory or financial policy requirements.

Notable Details

The resolution explicitly states that the repayment of interim loans will come from the project’s permanent financing, aligning short-term DURF disbursements with long-term project funding streams.

Multiple co-sponsors from both major parties indicate broad legislative support for accelerating affordable housing through enhanced predevelopment financing.

Bill