Bill Text: HI SB863 | 2024 | Regular Session | Amended
Bill Title: Relating To Housing.
Spectrum: Partisan Bill (Democrat 5-0)
Status: (Introduced - Dead) 2023-12-11 - Carried over to 2024 Regular Session. [SB863 Detail]
Download: Hawaii-2024-SB863-Amended.html
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THE SENATE |
S.B. NO. |
863 |
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THIRTY-SECOND LEGISLATURE, 2023 |
S.D. 1 |
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STATE OF HAWAII |
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A BILL FOR AN ACT
RELATING TO HOUSING.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
"Chapter
HAWAII
RESIDENTIAL DEVELOPERS LOAN COrporation
§ -1 hawaii residential developers loan corporation; establishment. (a) There is established the Hawaii residential developers loan corporation to be placed within the department of business, economic development, and tourism for administrative purposes only. The corporation shall be a public body and a body corporate and politic.
(b) The corporation shall employ, exempt from chapter 76 and section 26-35(a)(4), an executive director and an executive assistant to be nominated and, by and with the advice and consent of the senate, appointed by the governor.
§ -2 Corporation; duties. (a) The corporation shall enhance credit and guarantee and insure loans made by private financial institutions to developers of residential housing required to be sold to Hawaii residents who will be owner-occupants and who own no other real property. The corporation shall not provide residential mortgage loans to consumers or guarantee or insure residential mortgage loans made to consumers.
(b) When the application for a loan has been approved by the corporation, the corporation shall issue to the lender a guarantee for the percentage of the loan for which it guarantees payment of principal and interest. The private lender shall collect all payments from the borrower and otherwise service the loan.
§ -3 Board; establishment, functions, duties. (a) There is created a board of directors of the Hawaii residential developers loan corporation consisting of nine members, of whom six shall be public members appointed by the governor as provided in section 26-34. At least four of the public members shall have knowledge and expertise in private financing and development of housing. Public members shall be appointed from each of the counties of Honolulu, Hawaii, Maui, and Kauai. The public members of the board shall serve four-year staggered terms; provided that the initial appointments shall be as follows:
(1) Two members to be appointed for four years;
(2) Two members to be appointed for three years; and
(3) Two members to be appointed for two years.
The director of business, economic development, and tourism and the director of finance, or their designated representatives, and a representative of the governor's office, shall be ex officio, voting members. The corporation shall be headed by the board.
(b) The board of directors shall select a chairperson and vice chairperson from among its members; provided that the chairperson shall be a public member. The director of business, economic development, and tourism, director of finance, and the governor's representative shall be ineligible to serve as chairperson of the board.
(c) Five voting members shall constitute a quorum, whose affirmative vote shall be necessary for all actions by the corporation. The members shall receive no compensation for services, but shall be entitled to necessary expenses, including travel expenses, incurred in the performance of their duties.
§ -4 General powers. (a) The corporation may:
(1) Sue and be sued;
(2) Have a seal and alter the same at pleasure;
(3) Make and execute contracts and other instruments necessary or convenient to the exercise of its powers;
(4) Enhance credit;
(5) Adopt bylaws and rules in accordance with chapter 91 for its organization, internal management, and to carry into effect its purposes, powers, and programs; and
(6) Notwithstanding any law to the contrary, establish and collect fees for administrative expenses incurred by the corporation to process applications for loans, grants, services, and real estate documents related to the corporation's functions under this chapter.
(b) In addition to other powers conferred upon it, the corporation may do all things necessary and convenient to carry out the powers expressly provided in this chapter.
§ -5 Hawaii residential developers loan special fund. (a) There is established the Hawaii residential developers loan special fund to be administered by the corporation. The proceeds of the funds shall be used to enhance credit and guarantee and insure loans that private financial institutions make to developers of residential housing for Hawaii residents who will be owner‑occupants and who own no other real property. The proceeds of the funds shall not be used to provide residential mortgage loans to consumers or guarantee or insure residential mortgage loans made to consumers.
(b) The following may be deposited into the fund:
(1) Appropriations made by the legislature;
(2) Private contributions;
(3) Repayment of loans, interest, other returns; and
(4) Moneys from other sources."
SECTION 2. There is appropriated out of the
general revenues of the State of Hawaii the sum of $200,000,000 or so much
thereof as may be necessary for fiscal year 2023-2024 and the same sum or so
much thereof as may be necessary for fiscal year 2024-2025 to be deposited into
the Hawaii residential developers loan special fund.
SECTION 3. There is appropriated out of the
Hawaii residential developers loan special fund the sum of $200,000,000 or so
much thereof as may be necessary for fiscal year 2023-2024 and the same sum or
so much thereof as may be necessary for fiscal year 2024-2025 to be used to enhance
credit and guarantee and insure loans made by private financial institutions to
developers of residential housing for Hawaii residents who will be owner‑occupants
and who own no other real property, consistent with the purposes of chapter
, Hawaii Revised Statutes.
The
sums appropriated shall be expended by the Hawaii residential developers loan
corporation for the purposes of this Act.
SECTION 4. This Act shall take effect on July 1, 2023.
Report Title:
Housing; Developers; Loans; Hawaii Residential Developers Loan Corporation; Hawaii Residential Developers Loan Special Fund; Appropriation
Description:
Establishes the Hawaii Residential Developers Loan Corporation and the Hawaii Residential Developers Loan Special Fund for the purpose of enhancing credit and guaranteeing and insuring loans made by private financial institutions to developers of residential housing for Hawaii residents who will be owner‑occupants and who own no other real property. Appropriates funds. (SD1)
The summary description
of legislation appearing on this page is for informational purposes only and is
not legislation or evidence of legislative intent.
