Nearly $1 billion in funding is pending approval to help struggling Hawaii families with housing

Nearly $1 billion in state housing funding — aimed to help the homeless, low-­income to working families, and Native Hawaiians — is ready to be approved this week in the final days of the legislative session, state House leaders announced Monday.

The funding package includes $600 million slated for the state Department of Hawaiian Home Lands to help clear the backlog of some 28,000 home lands beneficiaries waiting for DHHL housing — including mortgage down payments and rental assistance for the first time.

Troy Hashimoto, vice chair of the House Housing Committee, said in a statement, “Affordable housing continues to be the top challenge facing working families. The Legislature took bold steps to invest in many critical programs that will help alleviate the sharp rise in our cost of living and continuing to build housing inventory for those who need it the most.”

House Finance Chair Sylvia Luke described the funding package as unprecedented. “The affordable housing bills passed this year will help struggling families in Hawaii (and) … will result in new rental and for-sale affordable housing throughout our state,” Luke said.

The package requires developers to compete for funding to develop affordable housing.

House Housing Committee Chair Nadine Nakamura said in a statement, “The State Legislature heard loud and clear that we must do more to address the need for affordable housing. By working together in partnership with the Senate and stakeholders, we passed a range of bills to address our needs.”

After the funding cleared conference committees, the House and Senate are expected to give final approval.

Regarding homelessness, Rep. Ryan Yamane, chair of the House Health, Human Services and Homelessness Committee, said in a statement that “we’re building on the success of the Ohana Zone pilot program by adding $15 million to develop more housing options and coordinate needed services for our houseless families. This will directly help our homelessness challenge.”

The funding is the result of an economy that has rebounded faster than expected following the onset of the COVID-19 pandemic, which devastated Hawaii’s tourist-reliant economy beginning in March 2020.

Bills heading to Gov. David Ige’s desk include:

>> House Bill 2511, which provides housing to beneficiaries of the Hawaiian Homes Commission Act of 1920.

>> Senate Bill 3048, which adds $300 million to the Rental Housing Revolving Fund, including $150 million to develop rental housing for lower-income workers and families for the first time.

>> HB 2512, which extends the Ohana Zone homeless pilot program until 2026. In addition to temporary and permanent housing, other services include medical care, social service support services and transportation.

>> HB 1600, which allocates $20 million to the Dwelling Unit Revolving Fund to help develop infrastructure for affordable housing and $5 million to the Affordable Homeownership Revolving Fund to provide gap financing for for-sale housing.

>> HB 2233, which relates to Temporary Assistance for Needy Families and Temporary Assistance for Other Needy Families programs in that it provides up to $500 per month for rental assistance. The measure aims to assist upward of 4,000 working families.

>> HB 1752, which funds $1.5 million in incentives for landlords to participate in the Tenant-based Assistance Housing Choice Voucher Program and covers property damage expenses that exceed the tenant’s security deposit up to one month of rent. The money would include new staff at the Hawaii Public Housing Authority to ensure housing inspections take place within 15 days of a landlord’s or owner’s request.

>> SB 206, which prohibits discrimination — including in advertisements for rental property — against potential tenants with federal Section 8 housing vouchers.