Bill > SB1653

This bill increases the State of Hawaii's liability limit for the Department of Hawaiian Home Lands (DHHL) from $100,000,000 to $500,000,000, addressing challenges in home financing for Native Hawaiian lessees. The bill recognizes that recent economic conditions, including rising mortgage interest rates, increasing construction costs, and the impact of the 2023 Maui wildfires, have made it difficult for lessees to qualify for mortgages or afford home construction. The expanded liability limit will allow the DHHL to guarantee more loans and support housing development programs, particularly in response to the significant housing initiatives established by Act 279 in 2022, which aimed to reduce the extensive waitlist of over 28,000 applicants for Hawaiian home lands. The bill specifically amends the Hawaiian Homes Commission Act to modify the department's ability to secure, pledge, and guarantee loan repayments, with the new liability limit providing more flexibility for supporting Native Hawaiian homeownership. The bill will take effect upon receiving approval from the Secretary of the Interior or the U.S. Congress, ensuring compliance with federal regulations governing changes to Hawaiian home lands legislation.

Budget and Finance, Government Affairs

https://www.capitol.hawaii.gov/session/measure_indiv.aspx?billtype=SB&billnumber=1653&year=2026