Housing

Authorizes a county planning commission, by special permit, to permit land uses exclusively providing residential housing for purposes of agricultural workforce housing, long-term rental, or workforce fee simple ownership in an agricultural district, under certain conditions. Repeals 6/30/2035. Effective 7/1/3000. (HD2)

SB 878 extends the expiration date for Hawaii's State Rent Supplement Program for Kupuna (elderly residents) from its original deadline to June 30, 2028. This bill directly affects low-income seniors who rely on the program for housing assistance. The key provision is simply extending the program's operational period without altering eligibility, funding, or benefit levels. The change ensures continued support for vulnerable elderly residents without requiring new legislative action.

Revises the deadline for a county council to take action on a low- and moderate-income housing project's application from 45 days to 90 days after receipt of the applicable agency's report and the proposed project's preliminary plans and specifications.

Establishes the Homeless Services Special Fund. Allows counties to apply for matching funds from the Affordable Homeownership Revolving Fund for certain housing projects. Increases the conveyance tax rates for certain properties. Establishes conveyance tax rates for multifamily residential properties. Establishes new exemptions to the conveyance tax. Allocates collected conveyance taxes to the Affordable Homeownership Revolving Fund, Homeless Services Special Fund and, and Dwelling Unit Revolving Fund. Amends allocations to the Land Conservation Fund and Rental Housing Revolving Fund.

Repeals the sunset provision in Act 45, SLH 2024, related to the counties' authorization to develop, construct, finance, refinance, or otherwise provide mixed-use developments.

Removes the prohibition against qualified residents for Hawaii Housing Finance and Development Corporation-approved projects holding a majority interest in land and removes the requirement that qualified residents demonstrate financial viability or ability to pay rent. Amends exemptions from statutes, ordinances, charter provisions, and rules for certain housing projects developed by the Corporation that satisfy certain conditions, including requirements related to employment, owner-occupancy, and deed restrictions. Effective 7/1/3000. (HD1)

Clarifies the Rental Housing Revolving Fund statute by defining "mixed-income rental projects" to establish consistent eligibility and use of appropriations for mixed-income rental housing projects. Clarifies that mixed-income rental projects are primarily for households at or below one-hundred-forty per cent of the area median income, allowing participation by higher-income households. Authorizes the Hawaii Housing Finance and Development Corporation to transfer funds between the Rental Housing Revolving Fund into the mixed-income subaccount to support eligible mixed-income projects, without legislative approval. Repeals the sunset date in Act 159, Session Laws of Hawaii 2025, thereby making these provisions permanent. Requires a report to the Legislature.

HB 2401 authorizes the Rental Housing Revolving Fund to provide loans or grants to eligible individuals seeking to purchase rental properties. This directly affects potential new landlords or investors who may struggle to secure traditional financing for acquiring rental units. The bill's key mechanism allows the fund to offer financial assistance for the purchase of rental housing, rather than solely for repairs or maintenance. As a newly introduced bill (pending committee referral), it has not yet been voted on or enacted.

Repeals statutory requirements for certain housing projects to be eligible for loans from the Rental Housing Revolving Fund. Repeals certain statutory provisions for grants to developers for rental units eligible to be financed in part or in whole by the RHRF. Repeals statutory language requiring the Hawaii Housing Finance and Development Corporation to establish an application process for RHRF allocation that prioritized projects meeting certain requirements. Renames the Rental Housing Revolving Fund to the State Housing Revolving Fund (SHRF). Clarifies eligible applicants of the SHRF. Authorizes the HHFDC to use funds from the SHRF for broader housing projects. Establishes the Housing Efficiency and Innovation Subaccount within the SHRF. Authorizes the HHFDC to transfer funds between the Housing Efficiency and Innovation Subaccount and the RHRF without legislative approval. Amends the criteria and eligibility requirements for applicant developers seeking assistance from the SHRF. Requires the HHDFC to maximize the amount of housing built that utilizes loans from the SHRF by prioritizing projects with the shortest projected loan repayment terms that produce the highest number of units, per dollar, per year. Repeals all other priorities and preferences for projects utilizing the RHRF. Establishes a working group to revise the State's Qualified Allocation Plan, the prioritization of the SHRF, and the terms of loans. Requires a report to the Legislature. Allocates ten per cent of conveyance tax collections to the DURF. Removes the annual cap on conveyance taxes paid into the SHRF.

Establishes the Affordable Housing Land Inventory Task Force within the Hawaii Community Development Authority to update the Affordable Rental Housing Report and Ten-Year Plan maps, tier tables, and inventories of state lands suitable and available for affordable housing development. Requires a report to the Legislature. Appropriates funds. Effective 7/1/3000. (HD1)