| 47 | | - | SECTION 1. Chapter 346, Hawaii Revised Statutes, is amended by adding a new section to subpart B of part XVIII to be appropriately designated and to read as follows: "§346- Ohana zones program; establishment; reports. (a) There is established within the statewide office on homelessness and housing solutions the ohana zones program to provide temporary housing and services to homeless individuals and families based on principles similar to the housing first program. (b) The office shall determine the number and locations of ohana zone sites, which shall be situated on public or private lands in accordance with subsection (c). (c) The office may coordinate with public or private entities, as appropriate, to develop and implement the ohana zones program; provided that: (1) If any public land under the jurisdiction of a state or county agency is determined to be suitable for use as an ohana zone, the office shall: (A) Work with the appropriate state or county agency that controls the land to transfer the land designated for use as an ohana zone to an agency whose mission is more suited to the management of ohana zones; and (B) Work with the appropriate state or county agency that controls the land and its construction agency to ensure that an ohana zone's infrastructure needs are met and minimize adverse impacts to the environment, including to nearshore resources, such as corals, reef fish, and seabirds; (2) Use of any private lands determined to be suitable for use as an ohana zone shall be for limited purposes and require a written agreement between the private land owner and any state or county agency that any structure built with public funds may be moved or is temporary; provided further that, if the land ceases to be used for an ohana zone or low-income housing before the time specified in the agreement, the state or county agency may choose to move the structure off the private land to a location of the state or county agency's choosing; and (3) The ohana zones program may allow for off-the-grid technologies that can: (A) Provide drinking water and electricity; and (B) Process sewage, without existing infrastructure; provided further that ohana zone sites with the ability to hook up to electricity, water, and sewer shall be preferred when considering ohana zone sites; provided further that connections to these utilities shall be made as soon as the project is able, unless there is a more cost-effective renewable energy option. (d) The ohana zones program may provide the following facilities and services at each ohana zone site: (1) Secure dwelling spaces that: (A) May be private or communal; (B) Have access to toilets, showers, and other hygiene facilities; and (C) Have access to an area for food storage and meal preparation; (2) Medical and social support services; and (3) Transportation to appointments related to medical care or supportive services that are not available onsite; provided that a person receiving accommodations or services from an ohana zone site may request a ninety-day extension of the person's receipt of accommodations or services, subject to approval by the applicable ohana zone site and other eligibility criteria as determined by each ohana zone site. (e) Contracts entered into by the office shall be exempt from the requirements of chapters 6E, excluding section 6E-43.6; 46, excluding sections 46-1.5(5)(D), 46-1.5(14)(A)(iii), 46‑88(c)(5), and 46-88(j); 103D; 103F; and 343; provided that no contract entered into pursuant to the ohana zones program or structures constructed thereunder shall be exempt from county, state, or federal floodplain management development standards, or statutes, codes, ordinances, rules, or regulations with which compliance is required under the National Flood Insurance Program. (f) The office shall establish the following: (1) The criteria that the agencies shall use to evaluate potential ohana zone locations; (2) A monthly timetable of milestones that the office expects to meet in establishing ohana zones; (3) The specific, measurable, attainable, reasonable, and time-based performance measures that the office expects to meet at the end of each fiscal year; (4) The evaluation criteria and process that the office shall use each year when reviewing the success and sustainability of the ohana zones; and (5) The monitoring and oversight controls that the office shall establish over the ohana zones to identify, address, and prevent possible fraud, waste, and abuse and ensure compliance with local, state, and federal laws. (g) The coordinator shall compile and consolidate information from the office to effectuate this section and submit a report to the legislature no later than twenty days prior to the convening of each regular session, which shall include: (1) A summary and explanation of the process that the office engaged in to identify possible ohana zone locations; (2) The milestones established pursuant to subsection (f) that were met by the office and ohana zones established during the immediately preceding fiscal year; (3) An evaluation of the ohana zones to determine whether the objectives set have been met or exceeded; (4) Any proposed changes that need to be made to the performance measures used to assess the achievement of program goals; (5) An assessment of the impact of the ohana zone model on the homelessness problem in the State; and (6) A summary of the information required under subsection (f)." SECTION 2. Section 201H-36, Hawaii Revised Statutes, is amended by amending subsections (a) and (b) to read as follows: "(a) In accordance with section 237-29, the corporation may approve and certify for exemption from general excise taxes any qualified person or firm involved with a newly constructed, or a moderately or substantially rehabilitated, project that is: (1) Developed under this part; (2) Developed under a government assistance program approved by the corporation, including but not limited to the United States Department of Agriculture's section 502 direct loan program [and], Federal Housing Administration's section 235 program[;], and the ohana zones program established under section 346- ; (3) Developed under the sponsorship of a private nonprofit organization providing home rehabilitation or new homes for qualified families in need of decent, low‑cost housing; (4) Developed by a qualified person or firm to provide affordable rental housing where at least fifty per cent of the available units are for households with incomes at or below eighty per cent of the area median family income as determined by the United States Department of Housing and Urban Development, of which at least twenty per cent of the available units are for households with incomes at or below sixty per cent of the area median family income as determined by the United States Department of Housing and Urban Development; or (5) Approved or certified from July 1, 2018, to June 30, 2030, and developed under a contract described in section 104‑2(i)(2) by a qualified person or firm to provide affordable rental housing through new construction or substantial rehabilitation; provided that: (A) The allowable general excise tax and use tax costs shall apply to contracting only and shall not exceed $30,000,000 per year in the aggregate for all projects approved and certified by the corporation; and (B) All available units are for households with incomes at or below one hundred forty per cent of the area median family income as determined by the United States Department of Housing and Urban Development, of which at least twenty per cent of the available units are for households with incomes at or below eighty per cent of the area median family income as determined by the United States Department of Housing and Urban Development; provided further that an owner shall not refuse to lease a unit solely because the applicant holds a voucher or certificate of eligibility under section 8 of the United States Housing Act of 1937, as amended. (b) To obtain certification for exemption under this section, rental housing projects shall, unless exempted by the corporation, enter into a regulatory agreement with the corporation to ensure the project's continued compliance with the applicable eligibility requirements set forth in subsection (a), as follows: (1) For moderate rehabilitation projects, a minimum term of five years as specified in a regulatory agreement; (2) For substantial rehabilitation projects[,] and ohana zones projects under contracts entered into pursuant to section 346- , a minimum term of ten years as specified in a regulatory agreement; or (3) For new construction projects, a minimum term of thirty years from the date of issuance of the certificate of occupancy." SECTION 3. Section 346-361, Hawaii Revised Statutes, is amended by adding two new definitions to be appropriately inserted and to read as follows: ""Kauhale" means: (1) A program to address the basic needs of individuals experiencing houselessness; and (2) Affordable housing spaces that are communal living spaces with individual household units and charge monthly rents no more than thirty per cent of the area median income level. "Ohana zone" means a place: (1) That has a program to address basic needs of individuals experiencing homelessness; and (2) Where wrap-around services, social and health care services, transportation, and other services may be offered with the goals of alleviating poverty and transitioning individuals experiencing homelessness into affordable housing. "Ohana zone" includes a kauhale." SECTION 4. There is appropriated out of the general revenues of the State of Hawaii the sum of $ or so much thereof as may be necessary for fiscal year 2025-2026 for the ohana zones program's transient temporary housing; provided that no more than $ in general funds shall be spent on kauhale. The sum appropriated shall be expended by the department of human services for the purposes of this Act. SECTION 5. There is appropriated out of the general revenues of the State of Hawaii the sum of $ or so much thereof as may be necessary for fiscal year 2025-2026 for the development and management of kauhales or semi-permanent housing to transition persons out of homelessness. The sum appropriated shall be expended by the department of human services for the purposes of this Act. SECTION 6. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored. SECTION 7. This Act shall take effect on July 1, 3000. |
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| 47 | + | SECTION 1. Chapter 346, Hawaii Revised Statutes, is amended by adding a new section to subpart B of part XVIII to be appropriately designated and to read as follows: "§346- Ohana zones program; establishment; reports. (a) There is established within the statewide office on homelessness and housing solutions the ohana zones program to provide temporary housing and services to homeless individuals and families based on principles similar to the housing first program. (b) The office shall determine the number and locations of the ohana zones, which shall be situated on public or private lands in accordance with subsection (c). (c) The office may coordinate with public or private entities, as appropriate, to develop and implement the ohana zones program; provided that: (1) If any public land under the jurisdiction of a state or county agency is determined to be suitable for use as an ohana zone, the office shall: (A) Work with the appropriate state or county agency that controls the land to transfer the land designated for use as an ohana zone to an agency whose mission is more suited to the management of ohana zones; and (B) Work with the appropriate state or county agency that controls the land and its construction agency to ensure that an ohana zone's infrastructure needs are met and minimize adverse impacts to the environment, including to nearshore resources, such as corals, reef fish, and seabirds; (2) Use of any private lands determined to be suitable for use as an ohana zone shall be for limited purposes and require a written agreement between the private land owner and any state or county agency that any structure built with public funds may be moved or is temporary; provided that, if the land ceases to be used for an ohana zone or low-income housing before the time specified in the agreement, the state or county agency may choose to move the structure off the private land to a location of the state or county agency's choosing; and (3) The ohana zones program may allow for off-the-grid technologies that can: (A) Provide drinking water and electricity; and (B) Process sewage without existing infrastructure; provided that kauhale shall have connections to public utilities, such as water, sewer, and electricity. (d) The ohana zones program may provide the following facilities and services at each ohana zone site: (1) Secure dwelling spaces that: (A) May be private or communal; (B) Have access to toilets, showers, and other hygiene facilities; and (C) Have access to an area for food storage and meal preparation; (2) Medical and social support services; and (3) Transportation to appointments related to medical care or supportive services that are not available onsite; provided that a person receiving accommodations or services from an ohana zone site may request a ninety-day extension of the person's receipt of accommodations or services, subject to approval by the applicable ohana zone site and other eligibility criteria as determined by each ohana zone site. (e) Contracts entered into by the office shall be exempt from the requirements of chapters 6E, excluding section 6E-43.6; 46, excluding sections 46-1.5(5)(D), 46-1.5(14)(A)(iii), 46‑88(c)(5), and 46-88(j); 103D; 103F; and 343; provided that no contract entered into pursuant to the ohana zones program or structures constructed thereunder shall be exempt from county, state, or federal floodplain management development standards, or statutes, codes, ordinances, rules, or regulations with which compliance is required under the National Flood Insurance Program. (f) The office shall establish the following: (1) The criteria that the agencies shall use to evaluate potential ohana zone locations; (2) A monthly timetable of milestones that the office expects to meet in establishing ohana zones; (3) The specific, measurable, attainable, reasonable, and time-based performance measures that the office expects to meet at the end of each fiscal year; (4) The evaluation criteria and process that the office shall use each year when reviewing the success and sustainability of the ohana zones; and (5) The monitoring and oversight controls that the office shall establish over the ohana zones to identify, address, and prevent possible fraud, waste, and abuse and ensure compliance with local, state, and federal laws. (g) The coordinator shall compile and consolidate information from the office to effectuate this section and submit a report to the legislature no later than twenty days prior to the convening of each regular session, which shall include: (1) A summary and explanation of the process that the office engaged in to identify possible ohana zone locations; (2) The milestones established pursuant to subsection (f) that were met by the office and ohana zones established during the immediately preceding fiscal year; (3) An evaluation of the ohana zones to determine whether the objectives set have been met or exceeded; (4) Any proposed changes that need to be made to the performance measures used to assess the achievement of program goals; (5) An assessment of the impact of the ohana zone model on the homelessness problem in the State; and (6) A summary of the information required under subsection (f)." SECTION 2. Section 201H-36, Hawaii Revised Statutes, is amended by amending subsections (a) and (b) to read as follows: "(a) In accordance with section 237-29, the corporation may approve and certify for exemption from general excise taxes any qualified person or firm involved with a newly constructed, or a moderately or substantially rehabilitated, project that is: (1) Developed under this part; (2) Developed under a government assistance program approved by the corporation, including but not limited to the United States Department of Agriculture's section 502 direct loan program [and], Federal Housing Administration's section 235 program[;], and the ohana zones program established under section 346- ; (3) Developed under the sponsorship of a private nonprofit organization providing home rehabilitation or new homes for qualified families in need of decent, low‑cost housing; (4) Developed by a qualified person or firm to provide affordable rental housing where at least fifty per cent of the available units are for households with incomes at or below eighty per cent of the area median family income as determined by the United States Department of Housing and Urban Development, of which at least twenty per cent of the available units are for households with incomes at or below sixty per cent of the area median family income as determined by the United States Department of Housing and Urban Development; or (5) Approved or certified from July 1, 2018, to June 30, 2030, and developed under a contract described in section 104‑2(i)(2) by a qualified person or firm to provide affordable rental housing through new construction or substantial rehabilitation; provided that: (A) The allowable general excise tax and use tax costs shall apply to contracting only and shall not exceed $30,000,000 per year in the aggregate for all projects approved and certified by the corporation; and (B) All available units are for households with incomes at or below one hundred forty per cent of the area median family income as determined by the United States Department of Housing and Urban Development, of which at least twenty per cent of the available units are for households with incomes at or below eighty per cent of the area median family income as determined by the United States Department of Housing and Urban Development; provided further that an owner shall not refuse to lease a unit solely because the applicant holds a voucher or certificate of eligibility under section 8 of the United States Housing Act of 1937, as amended. (b) To obtain certification for exemption under this section, rental housing projects shall, unless exempted by the corporation, enter into a regulatory agreement with the corporation to ensure the project's continued compliance with the applicable eligibility requirements set forth in subsection (a), as follows: (1) For moderate rehabilitation projects, a minimum term of five years as specified in a regulatory agreement; (2) For substantial rehabilitation projects[,] and ohana zones projects under contracts entered into pursuant to section 346- , a minimum term of ten years as specified in a regulatory agreement; or (3) For new construction projects, a minimum term of thirty years from the date of issuance of the certificate of occupancy." SECTION 3. Section 346-361, Hawaii Revised Statutes, is amended by adding two new definitions to be appropriately inserted and to read as follows: ""Kauhale" means: (1) A program to address the basic needs of individuals experiencing houselessness; and (2) Affordable housing spaces that are communal living spaces with individual household units and charge monthly rents no more than thirty per cent of the area median income level. "Ohana zone" means a place: (1) That has a program to address basic needs of individuals experiencing homelessness; and (2) Where wrap-around services, social and health care services, transportation, and other services may be offered with the goals of alleviating poverty and transitioning individuals experiencing homelessness into affordable housing. "Ohana zone" includes a kauhale." SECTION 4. There is appropriated out of the general revenues of the State of Hawaii the sum of $ or so much thereof as may be necessary for fiscal year 2025-2026 for the ohana zones program's transient temporary housing; provided that no more than $ in general funds shall be spent on kauhale. The sum appropriated shall be expended by the department of human services for the purposes of this Act. SECTION 5. There is appropriated out of the general revenues of the State of Hawaii the sum of $ or so much thereof as may be necessary for fiscal year 2025-2026 for the development and management of kauhales or semi-permanent housing to transition persons out of homelessness. The sum appropriated shall be expended by the department of human services for the purposes of this Act. SECTION 6. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored. SECTION 7. This Act shall take effect on December 31, 2050, and shall be repealed on June 30, 2026; provided that section 201H-36(a) and (b), Hawaii Revised Statutes, shall be reenacted in the form in which it read on the day prior to the effective date of this Act. |
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| 72 | 72 | | |
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| 73 | 73 | | (d) The ohana zones program may provide the following facilities and services at each ohana zone site: |
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| 74 | 74 | | |
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| 75 | 75 | | (1) Secure dwelling spaces that: |
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| 76 | 76 | | |
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| 77 | 77 | | (A) May be private or communal; |
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| 78 | 78 | | |
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| 79 | 79 | | (B) Have access to toilets, showers, and other hygiene facilities; and |
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| 80 | 80 | | |
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| 81 | 81 | | (C) Have access to an area for food storage and meal preparation; |
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| 82 | 82 | | |
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| 83 | 83 | | (2) Medical and social support services; and |
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| 84 | 84 | | |
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| 85 | 85 | | (3) Transportation to appointments related to medical care or supportive services that are not available onsite; |
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| 86 | 86 | | |
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| 87 | 87 | | provided that a person receiving accommodations or services from an ohana zone site may request a ninety-day extension of the person's receipt of accommodations or services, subject to approval by the applicable ohana zone site and other eligibility criteria as determined by each ohana zone site. |
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| 88 | 88 | | |
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| 89 | 89 | | (e) Contracts entered into by the office shall be exempt from the requirements of chapters 6E, excluding section 6E-43.6; 46, excluding sections 46-1.5(5)(D), 46-1.5(14)(A)(iii), 46‑88(c)(5), and 46-88(j); 103D; 103F; and 343; provided that no contract entered into pursuant to the ohana zones program or structures constructed thereunder shall be exempt from county, state, or federal floodplain management development standards, or statutes, codes, ordinances, rules, or regulations with which compliance is required under the National Flood Insurance Program. |
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| 90 | 90 | | |
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| 91 | 91 | | (f) The office shall establish the following: |
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| 92 | 92 | | |
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| 93 | 93 | | (1) The criteria that the agencies shall use to evaluate potential ohana zone locations; |
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| 94 | 94 | | |
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| 95 | 95 | | (2) A monthly timetable of milestones that the office expects to meet in establishing ohana zones; |
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| 96 | 96 | | |
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| 97 | 97 | | (3) The specific, measurable, attainable, reasonable, and time-based performance measures that the office expects to meet at the end of each fiscal year; |
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| 98 | 98 | | |
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| 99 | 99 | | (4) The evaluation criteria and process that the office shall use each year when reviewing the success and sustainability of the ohana zones; and |
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| 100 | 100 | | |
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| 101 | 101 | | (5) The monitoring and oversight controls that the office shall establish over the ohana zones to identify, address, and prevent possible fraud, waste, and abuse and ensure compliance with local, state, and federal laws. |
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| 102 | 102 | | |
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| 103 | 103 | | (g) The coordinator shall compile and consolidate information from the office to effectuate this section and submit a report to the legislature no later than twenty days prior to the convening of each regular session, which shall include: |
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| 104 | 104 | | |
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| 105 | 105 | | (1) A summary and explanation of the process that the office engaged in to identify possible ohana zone locations; |
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| 106 | 106 | | |
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| 107 | 107 | | (2) The milestones established pursuant to subsection (f) that were met by the office and ohana zones established during the immediately preceding fiscal year; |
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| 108 | 108 | | |
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| 109 | 109 | | (3) An evaluation of the ohana zones to determine whether the objectives set have been met or exceeded; |
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| 110 | 110 | | |
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| 111 | 111 | | (4) Any proposed changes that need to be made to the performance measures used to assess the achievement of program goals; |
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| 112 | 112 | | |
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| 113 | 113 | | (5) An assessment of the impact of the ohana zone model on the homelessness problem in the State; and |
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| 114 | 114 | | |
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| 115 | 115 | | (6) A summary of the information required under subsection (f)." |
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| 116 | 116 | | |
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| 117 | 117 | | SECTION 2. Section 201H-36, Hawaii Revised Statutes, is amended by amending subsections (a) and (b) to read as follows: |
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| 118 | 118 | | |
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| 119 | 119 | | "(a) In accordance with section 237-29, the corporation may approve and certify for exemption from general excise taxes any qualified person or firm involved with a newly constructed, or a moderately or substantially rehabilitated, project that is: |
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| 120 | 120 | | |
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| 121 | 121 | | (1) Developed under this part; |
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| 122 | 122 | | |
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| 123 | 123 | | (2) Developed under a government assistance program approved by the corporation, including but not limited to the United States Department of Agriculture's section 502 direct loan program [and], Federal Housing Administration's section 235 program[;], and the ohana zones program established under section 346- ; |
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| 124 | 124 | | |
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| 125 | 125 | | (3) Developed under the sponsorship of a private nonprofit organization providing home rehabilitation or new homes for qualified families in need of decent, low‑cost housing; |
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| 126 | 126 | | |
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| 127 | 127 | | (4) Developed by a qualified person or firm to provide affordable rental housing where at least fifty per cent of the available units are for households with incomes at or below eighty per cent of the area median family income as determined by the United States Department of Housing and Urban Development, of which at least twenty per cent of the available units are for households with incomes at or below sixty per cent of the area median family income as determined by the United States Department of Housing and Urban Development; or |
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| 128 | 128 | | |
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| 129 | 129 | | (5) Approved or certified from July 1, 2018, to June 30, 2030, and developed under a contract described in section 104‑2(i)(2) by a qualified person or firm to provide affordable rental housing through new construction or substantial rehabilitation; provided that: |
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| 130 | 130 | | |
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| 131 | 131 | | (A) The allowable general excise tax and use tax costs shall apply to contracting only and shall not exceed $30,000,000 per year in the aggregate for all projects approved and certified by the corporation; and |
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| 132 | 132 | | |
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| 133 | 133 | | (B) All available units are for households with incomes at or below one hundred forty per cent of the area median family income as determined by the United States Department of Housing and Urban Development, of which at least twenty per cent of the available units are for households with incomes at or below eighty per cent of the area median family income as determined by the United States Department of Housing and Urban Development; provided further that an owner shall not refuse to lease a unit solely because the applicant holds a voucher or certificate of eligibility under section 8 of the United States Housing Act of 1937, as amended. |
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| 134 | 134 | | |
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| 135 | 135 | | (b) To obtain certification for exemption under this section, rental housing projects shall, unless exempted by the corporation, enter into a regulatory agreement with the corporation to ensure the project's continued compliance with the applicable eligibility requirements set forth in subsection (a), as follows: |
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| 136 | 136 | | |
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| 137 | 137 | | (1) For moderate rehabilitation projects, a minimum term of five years as specified in a regulatory agreement; |
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| 138 | 138 | | |
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| 139 | 139 | | (2) For substantial rehabilitation projects[,] and ohana zones projects under contracts entered into pursuant to section 346- , a minimum term of ten years as specified in a regulatory agreement; or |
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| 140 | 140 | | |
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| 141 | 141 | | (3) For new construction projects, a minimum term of thirty years from the date of issuance of the certificate of occupancy." |
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| 142 | 142 | | |
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| 143 | 143 | | SECTION 3. Section 346-361, Hawaii Revised Statutes, is amended by adding two new definitions to be appropriately inserted and to read as follows: |
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| 144 | 144 | | |
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| 145 | 145 | | ""Kauhale" means: |
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| 146 | 146 | | |
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| 147 | 147 | | (1) A program to address the basic needs of individuals experiencing houselessness; and |
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| 148 | 148 | | |
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| 149 | 149 | | (2) Affordable housing spaces that are communal living spaces with individual household units and charge monthly rents no more than thirty per cent of the area median income level. |
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| 150 | 150 | | |
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| 151 | 151 | | "Ohana zone" means a place: |
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| 152 | 152 | | |
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| 153 | 153 | | (1) That has a program to address basic needs of individuals experiencing homelessness; and |
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| 154 | 154 | | |
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| 155 | 155 | | (2) Where wrap-around services, social and health care services, transportation, and other services may be offered with the goals of alleviating poverty and transitioning individuals experiencing homelessness into affordable housing. |
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| 156 | 156 | | |
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| 157 | 157 | | "Ohana zone" includes a kauhale." |
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| 158 | 158 | | |
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| 159 | 159 | | SECTION 4. There is appropriated out of the general revenues of the State of Hawaii the sum of $ or so much thereof as may be necessary for fiscal year 2025-2026 for the ohana zones program's transient temporary housing; provided that no more than $ in general funds shall be spent on kauhale. |
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| 160 | 160 | | |
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| 161 | 161 | | The sum appropriated shall be expended by the department of human services for the purposes of this Act. |
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| 162 | 162 | | |
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| 163 | 163 | | SECTION 5. There is appropriated out of the general revenues of the State of Hawaii the sum of $ or so much thereof as may be necessary for fiscal year 2025-2026 for the development and management of kauhales or semi-permanent housing to transition persons out of homelessness. |
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| 164 | 164 | | |
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| 165 | 165 | | The sum appropriated shall be expended by the department of human services for the purposes of this Act. |
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| 166 | 166 | | |
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| 167 | 167 | | SECTION 6. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored. |
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| 168 | 168 | | |
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