Bill > HB741

This bill creates a narrow exemption from prevailing wage requirements for certain affordable housing projects in Hawaii. Specifically, the bill allows nonprofit community development financial institutions (like Habitat for Humanity) to be exempt from prevailing wage laws if they use less than $1,500,000 from the Affordable Homeownership Revolving Fund to finance a housing project. The legislature recognizes that prevailing wage requirements can make affordable housing development financially challenging for nonprofits that often rely on volunteer labor and donated materials. By creating this exemption, the bill aims to increase the number of affordable homes available to low- and moderate-income families while still preserving the overall intent of prevailing wage laws to ensure fair compensation for construction workers. The bill modifies existing statutes in Chapter 104 and Chapter 201H of Hawaii Revised Statutes to implement this targeted exemption, which will apply to housing projects meeting the specific criteria of being financed by a certified nonprofit and using less than the specified amount from the revolving fund.

Budget and Finance, Housing and Urban Affairs, Labor and Employment

https://www.capitol.hawaii.gov/session/measure_indiv.aspx?billtype=HB&billnumber=741&year=2026