SB 534 Hawaii Senate · 2026 Regular Session

RELATING TO THE HAWAII COMMUNITY DEVELOPMENT AUTHORITY.

Summary

Clarifies the process by which the Hawaii Community Development Authority may approve residential development on certain parcels of Kakaako Makai. Raises the building height limit and the maximum floor area ratio on certain parcels in the area. Requires a certain percentage of the residential units developed on certain parcels to be allocated to households at or below a certain income level in perpetuity, with priority given to certain essential workforce in the area. Limits the sale of residential units developed in certain residential developments to prospective owner-occupants. Requires the Office of Hawaiian Affairs to determine a Kakaako Makai association fee to be collected from residents, tenants, and lessees of certain parcels to be deposited into a special account in the Office of Hawaiian Affairs Special Fund to fund various services and projects in the Kakaako Makai area. (SD1)

Issues: ✓ Housing

Bill status passed 3 of 5 stages cleared

Introduction

Jan 2025

Committee Review

Feb 2025

Senate Passage

Feb 2025

House Passage

Governor

Introduced Jan 17, 2025 Last action Dec 8, 2025

Maddy AI version diff · 2 comparisons

What changed between versions

SB534_SD1 → SB534_SD2_PROPOSED · 6 edits

MODERATE

This bill proposal significantly expands the scope of residential development in the Kakaako area by adding new requirements for workforce housing, climate resilience, and sea-level rise mitigation. It introduces a new mechanism for tax increment financing to fund infrastructure and establishes a working group to plan the transfer of district responsibilities from the state to the City and County of Honolulu. The bill also repeals several older sections of the law to clear the way for these new provisions.

Scope change

The bill's scope expanded from focusing solely on residential development rules to include tax increment financing, a formal transfer plan for the district to the city, and specific climate adaptation requirements. Applicability now includes new categories of essential workers and mandates mitigation for sea-level rise risks.

REQUIREMENT

Added a requirement for new residential developments to include mitigation or adaptation plans for sea-level rise and coastal hazards.

Repealed the original 2005 law establishing the Kakaako district, including its specific boundaries and original development guidance policies, to replace them with new rules.

ELIGIBILITY

Expanded the definition of eligible essential workers for workforce housing priority to include construction industry employees, in addition to healthcare, hospitality, education, law enforcement, and civil service.

FISCAL

Authorized the Hawaii Community Development Authority to establish tax increment financing districts to fund infrastructure improvements.

TIMELINE

Established a new working group to plan the transfer of the Kakaako district to the City and County of Honolulu, with a report due by 2026 and a full transfer scheduled for 2030.

DEFINITION

Added a new definition for 'sea level rise exposure area' to standardize how climate risks are assessed for new developments.

Floor votes

How they voted

This bill passed the Senate by voice vote (no roll call recorded).

Full legislative history

Actions timeline

Total actions

Key actions

Committee

Feb 27, 2025

Upper · Passed

The committee(s) on JDC/WAM has scheduled a public hearing on 02-28-25 10:15AM; Conference Room 211 & Videoconference (Proposed Draft).

upper

Feb 21, 2025

Upper · Passed

The committee(s) on JDC/WAM will hold a public decision making on 02-26-25 10:05AM; Conference Room 211 & Videoconference.

upper

Feb 14, 2025

Upper · Passed

Report adopted; Passed Second Reading, as amended (SD 1) and referred to JDC/WAM.

upper

Feb 14, 2025

Committee

Reported from WTL/HWN/HOU (Stand. Com. Rep. No. 616) with recommendation of passage on Second Reading, as amended (SD 1) and referral to JDC/WAM.

upper

Feb 4, 2025

Upper · Passed

The committee(s) on HOU recommend(s) that the measure be PASSED, WITH AMENDMENTS. The votes in HOU were as follows: 4 Aye(s): Senator(s) Chang, Hashimoto, Kanuha, Fevella; Aye(s) with reservations: none ; 0 No(es): none; and 1 Excused: Senator(s) Aquino.

upper

Feb 3, 2025

Upper · Passed

The committee(s) on HWN recommend(s) that the measure be PASSED, WITH AMENDMENTS. The votes in HWN were as follows: 3 Aye(s): Senator(s) Richards, Keohokalole; Aye(s) with reservations: Senator(s) Ihara ; 1 No(es): Senator(s) DeCorte; and 1 Excused: Senator(s) San Buenaventura.

upper

Feb 3, 2025

Upper · Passed

The committee(s) on WTL recommend(s) that the measure be PASSED, WITH AMENDMENTS. The votes in WTL were as follows: 4 Aye(s): Senator(s) Inouye, Chang, McKelvey; Aye(s) with reservations: Senator(s) Elefante ; 1 No(es): Senator(s) DeCorte; and 0 Excused: none.

upper

Jan 24, 2025

Upper · Passed

The committee(s) on WTL/HWN/HOU has scheduled a public hearing on 01-29-25 1:00PM; Auditorium & Videoconference.

upper

Jan 21, 2025

Committee

Referred to WTL/HWN/HOU, JDC/WAM.

upper

Jan 17, 2025

Introduced

Introduced.

upper

9 primary · 2 co-sponsors