STAND. COM. REP. NO. 863

 

Honolulu, Hawaii

                  

 

RE:    H.B. No. 1063

       H.D. 1

 

 

 

Honorable Shan S. Tsutsui

President of the Senate

Twenty-Sixth State Legislature

Regular Session of 2011

State of Hawaii

 

Sir:

 

     Your Committee on Hawaiian Affairs, to which was referred H.B. No. 1063, H.D. 1, entitled:

 

"A BILL FOR AN ACT RELATING TO THE HAWAIIAN HOMES COMMISSION ACT, 1920, AS AMENDED,"

 

begs leave to report as follows:

 

     The purpose and intent of this measure is to increase from $50,000,000 to an unspecified amount the limit up to which the Department of Hawaiian Home Lands is currently authorized to borrow or guarantee on loans to cover the Department's guarantee requirements for its housing program.

 

     Your Committee received testimony in support of this measure from the Department of Hawaiian Home Lands and Department of Budget and Finance.

 

Your Committee finds that since Hawaiian homelands are inalienable, the Department of Hawaiian Home Lands is required to guarantee mortgage loans made for homes located on Hawaiian homelands when lenders do not have a loan assurance program.  Current loan guarantees are approximately $30,000,000, with an additional $16,800,000 in loans to be closed over the next six months, bringing the total very close to the current $50,000,000 ceiling.  Your Committee is in support of the increase proposed by the Department, which will also allow more construction of affordable units and benefit Hawaii's construction industry and local economy.

 

     As affirmed by the record of votes of the members of your Committee on Hawaiian Affairs that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 1063, H.D. 1, and recommends that it pass Second Reading and be referred to the Committee on Ways and Means.

 

Respectfully submitted on behalf of the members of the Committee on Hawaiian Affairs,

 

		____________________________ BRICKWOOD GALUTERIA, Chair