Transcript Highlights:

• enforces laws that are substantially equivalent to those enforced by its federal partners, the EEOC and HUD
• enforces laws that are substantially equivalent to those enforced by its federal partners, the EEOC and HUD

Summary: The State Administration Budget Subcommittee met for an introductory overview of the agencies under its jurisdiction and their current-year budgets. Chair Vicki Lopez welcomed members and staff, and each member briefly introduced themselves and identified areas of interest, with recurring themes including fiscal restraint, insurance regulation, revenue administration, condominium issues, and government efficiency. The chair then outlined the subcommittee’s overall budget, about $3.1 billion, and noted major recent policy areas affecting the budget such as condominium legislation and emergency communications funding. Agency heads then presented high-level summaries of their missions and budgets. The Department of Revenue described property tax oversight, tax administration, and child support enforcement; the Department of Management Services reviewed state purchasing, telecommunications, fleet, state insurance, retirement, and digital services; DBPR highlighted licensing, enforcement, condominiums, and building code work; DFS covered insurance consumer services, risk management, unclaimed property, fire marshal functions, and criminal investigations; the Gaming Control Commission discussed pari-mutuel and tribal gaming oversight and enforcement; OIR explained insurer solvency and rate review; the Lottery emphasized education funding and record sales; OFR described regulation of banking, securities, lending, and money services; DOAH outlined administrative and workers’ compensation adjudication; PSC covered utility rate regulation and consumer complaints; PERC described labor relations and career service appeals; and FCHR summarized discrimination complaint investigations and outreach. Several members asked questions about utility returns, insurance regulation staffing, DMS’s state employee health plan deficit and prescription drug formulary management, agency recommendations for reducing regulatory burden, and state facilities usage. Responses generally emphasized that utility rates and insurer filings are determined through evidentiary and actuarial processes, that OIR has reduced vacancies but still seeks specialized staff and a Tampa office expansion, and that DMS acknowledged rising health plan costs and said the issue likely requires broader budget-level discussion. The chair also pressed multiple presenters to stay focused on agency operations and budgets rather than broader policy issues. No votes or formal actions were taken in the meeting.

Transcript Highlights:

• It's a really good question, and we really did make this move to align with HUD priorities.
• So we are a YHDP recipient, Youth HUD Demonstration Project, and HUD prioritized young people up to their
• It's a really good question, and we really did make this move to align with HUD priorities.
• So we are a YHDP recipient, Youth HUD Demonstration Project, and HUD prioritized young people up to their
• So we are a YHDP recipient, Youth HUD Demonstration Project, and HUD prioritized young people up to their

Summary: Finance Division 3 met for a work session on House Bill 519, which concerns funding for Waypoint. The chair noted general support for the organization but said the bill would likely need to be suspended and folded into the budget process because the committee did not yet know available revenues or what amount, if any, could be committed. Kya Fox, director of the Division for Behavioral Health, testified that the department supports the bill and the program, explaining that it had been funded with other available funds, including $100,000 for 2024 and $400,000 for 2025, under a contract running through June 30 of this year. She said the shelter serves a unique population of young adults and is part of the department’s children’s system of care and Mission Zero efforts to reduce barriers to psychiatric discharge and emergency department use. Members questioned Fox and Waypoint representatives about the budget placement of the request, the difference between the efficiency budget and prioritized needs, and whether state budget documents would show any internal Waypoint revenues. Fox said the request appears as a general fund item and that the state would not see Waypoint’s internal financial operations in the budget. A legislative member explained that prioritized needs are critical services already in place but not necessarily included in the efficiency budget, and another member said the distinction is not strictly applied. The committee also raised a separate question about how DHHS would handle any future state or federal restrictions on DEI practices; Fox said that was a question for department leadership and legal staff, but that the department follows state law and contract requirements. Waypoint CEO Bor Alvare and Director Mandy Lancaster then described the shelter and related services. They said the shelter serves ages 18 to 24, is a 14-bed open-room facility with half walls, and is staffed overnight by two full-time workers. They said admission is first come, first served, with some vulnerability factors considered, and that they do not discriminate by race, gender, or sexual orientation. They reported no known incidents of sexual violence, though some youth are turned away each night because the shelter is full. They also explained that Waypoint provides broader services beyond the shelter, including outreach, drop-in centers, housing support, rental assistance, and family mediation, and said they serve about 400 youth and young adults in Manchester alone. The discussion ended with questions about whether lowering the upper age limit would affect the program; Waypoint said most residents are already in the 18-to-23 range, but that housing shortages make the current age span important for helping young adults avoid chronic homelessness.

Transcript Highlights:

• <01:13:08.880><c> or</c><01:13:09.040><c> litech</c><01:13:09.520><c> funding</c> funded even by by Hud
• or litech funding funded even by by Hud or litech funding then<01:13:10.000><c> it's</c><01:13:10.159
• > in</c><01:13:22.080><c> litech</c><01:13:22.639><c> how</c><01:13:22.840><c> are</c> So, per that HUD
• The vendor we awarded is using a combination of LIHTC rental housing fund, HUD Community Block Grants
• </c><01:14:41.120><c> they</c> to obtain from the litech art HUD they to obtain from the litech art HUD

Summary: The Committee on Education held an informational/budget briefing with presentations from the State Library System, the School Facilities Authority, and the Department of Education. The chair opened the meeting by outlining the order of presentations and noting that members would hold questions until after all three agencies had testified. The discussion focused on each agency’s priorities for the upcoming biennium and their budget requests. State Librarian Stacy Aldridge described library usage and services, emphasizing strong demand for physical and digital materials, internet and Wi-Fi access, programs, Kanopy streaming, and PressReader. She highlighted digital literacy classes, RFID self-check and smart shelving improvements, and the role of libraries as community hubs. The library’s budget request included an additional $1.2 million for security guards, $48.484 million for FY 26-27 to support popup libraries during temporary closures and other needs, $500,000 for repair and maintenance, $2 million for Kap planning and design, and $25 million each year for lump-sum capital funding. Mallerie Fujitani said the lump-sum funding is needed to keep roughly 50 projects moving and to avoid delays in construction. School Facilities Authority Executive Director Ricky Fujitani explained the agency’s startup history and its programs for preschools, Central Maui schools, and workforce housing. He said the authority is using standardized, prefabricated, programmatic approaches to speed delivery and improve maintainability, citing prior preschool renovations as a successful model. He reported that of $389 million appropriated, $106 million was released, with $81 million for preschools, $20 million for Central Maui schools, and $5 million for workforce housing; he also noted the workforce housing program was reduced after Maui fire-related reallocations. He said the pilot workforce housing site at Mililani High School has been awarded and pointed to University of Hawaiʻi student housing projects as a model. Superintendent Hayashi then began the Department of Education presentation, introducing DOE leadership and outlining the department’s mission to support academic achievement, character development, and student well-being. He noted the department serves more than 152,000 students in 258 public schools and employs over 42,000 people, with nearly 54% of students facing significant challenges. He framed the budget request around the department’s strategic plan to prepare graduates for college, careers, or military service. The transcript ends during the DOE presentation, before any committee votes or formal actions are taken.

Transcript Highlights:

• permanent supportive housing for the homeless community under legally binding agreements with the Navy and HUD
• permanent supportive housing for the homeless community under legally binding agreements with the Navy and HUD
• We also have planned, With the Navy and HUD.

Summary: The committee heard several energy, environmental, recycling, and land-use bills, beginning with SB 925 by Senator McNerney, which would direct the California Energy Commission to develop a statewide roadmap for fusion energy. Supporters said the bill would help California retain leadership in fusion research and commercialization, attract investment, and create jobs, while some members emphasized the need to avoid overregulation and keep the state competitive. No opposition testified, and the bill was later approved on a 4-0 vote and held on call. The committee also heard SB 1350, another McNerney bill, to expand the use of green hydrogen in the power sector by allowing renewable portfolio standard credit for turbines using renewable hydrogen. Supporters framed it as a way to support clean energy reliability, preserve tax credits, and create jobs, while opponents including TURN and Earthjustice warned about greenwashing, resource shuffling, and increased NOx emissions. The author and chair described committee amendments as adding guardrails, and the bill passed 4-0 and was held on call. Senator Grayson presented SB 1145, which would streamline CEQA and related review for qualifying projects in the Concord Reuse Project Area, part of the former Concord Naval Weapons Station. The bill is intended to speed a long-planned transit-oriented development with housing, commercial space, parks, and open space; supporters included local officials, labor groups, and business organizations, while a housing group raised concerns about affordable housing guarantees but still supported the CEQA exemption. The committee described the bill as balancing streamlining with retained environmental review and approved it 4-0, held on call. Senator Cabaldon’s SB 1341, dealing with CalRecycle processing fees for bag-in-a-box wine and spirits containers, also drew support from the wine industry and some environmental groups that wanted a workable recycling market, while glass packaging and other opponents objected to giving CalRecycle too much discretion; it too passed 4-0 and was held on call. The committee then heard SJR 13 by Senator Padilla, urging the U.S. to seek enforceable commitments to eliminate transboundary sewage pollution at the 2026 USMCA review. Supporters described severe public health and environmental harms from sewage and runoff in the Tijuana River and New River watersheds, especially for border and farmworker communities, and the resolution passed 4-0. Padilla’s SB 1033, requiring protein product manufacturers to test for and disclose heavy metals, drew support from consumer and public health groups citing Consumer Reports findings, while industry groups argued for narrower scope, QR-code options, and thresholds tied to health standards; the bill passed 3-0 and was held on call. Senator Ashby’s SB 1010, creating a manufacturer-funded system for refrigerant recovery from discarded appliances, was supported as a climate and enforcement measure but opposed by appliance manufacturers and recyclers who said existing law already regulates refrigerants and that the bill could raise costs and reduce recycling; it passed 4-0 and was held on call. Finally, Senator Caballero presented SB 1183, requiring a state study of the environmental, land-use, and economic impacts of industrial solar in the Central Valley. Supporters said the bill would help ensure solar development benefits local communities and farmland, while solar industry groups argued it duplicated existing work and should better reflect solar’s benefits; the bill was heard but no vote was taken in the portion provided.

Transcript Highlights:

• One is we're working very closely with the governor's office on funding that comes through from HUD specifically
• And HUD is prepared to make a significant change in their NOFO, the notice for funding opportunity, in
• It's the HUD FYI Foster Youth Initiative that is asking states to do more to ensure that children aging

Committee: House Appropriations

Transcript Highlights:

• Through its work as a Native community development financial institution and As a HUD-certified housing

Bills: SCR8 , SR10 , SCR90 , SR85 , SCR110 , SR103 , SCR54 , SR52 , SCR107 , SR101 , SCR178 , SR173 , SR76 , SCR40 , SR30 , SCR145 , SR137 , SCR62 , SCR95 , SR90 , SCR45 , SR44 , SCR119 , SR112 , SCR63 , SR57 , SCR21 , SR18 , SCR27 , SR24 , SCR75 , SR69 , SCR7 , SR7 , SCR149 , SCR55 , SR53 , SCR180 , SR175 , SCR86 , SR77 , SCR59 , SCR41 , SR31 , HB1678 , HB1824 , SCR177 , SR172 , SCR5 , SCR85 , SR75 , SCR139 , SR131 , SCR146 , SR138 , SR84 , SCR31 , SR27 , SCR46 , SR45 , SCR48 , SR47 , SCR9 , SR11 , SCR83 , SR73 , SCR20 , SR17 , SCR56 , SR54 , SCR87 , SCR39 , SR29 , SCR142 , SR134 , SCR203 , SR191 , SCR200 , SR188 , SCR196 , SR184 , SCR194 , SR183 , SCR114 , SR107 , SCR166 , SR157 , SCR96 , SR91 , SCR172 , SR163 , SCR109 , SR102 , SCR50 , SR49 , SCR64 , SR58 , SCR184 , SR165 , SCR81 , SR71 , SCR19 , SR16 , SCR22 , SR19 , SCR32 , SR28 , SCR57 , SR55 , SCR58 , SR56 , SCR103 , SR97 , SCR159 , SR150 , SCR163 , SR154 , SCR169 , SR160 , SCR68 , SR63 , SCR105 , SR99 , SCR112 , SR105 , SCR198 , SR186 , SCR11 , SR9 , SCR132 , SR124 , SCR189 , SR179 , SCR26 , SR23 , SCR93 , SR88 , SCR117 , SR110 , SCR164 , SR155 , SCR165 , SR156 , SCR170 , SR161 , SCR168 , SR159 , SCR173 , SCR197 , SCR47 , SR46 , SCR94 , SR89 , SCR99 , SR93 , SCR100 , SR94 , SCR130 , SR122 , SCR78 , SR82 , SCR154 , SR145 , SCR195 , SR192 , SCR162 , SR153 , SCR201 , SR189 , SCR202 , SR190

Transcript Highlights:

• does have a system in place, typically through their community services department, where we issue HUD

Committee: House House Natural Resources, Energy & Water Committee of Reference

Summary: The House Committee on Natural Resources, Energy and Water heard three bills related to the Water Infrastructure Finance Authority (WIFA) and water conservation funding. HB 2029 would require grant applicants to provide additional information about how water-conservation grant funds will be used, including expected long-term water savings, efficiency improvements, or reliability benefits. WIFA testified neutral, saying most of the information is already collected in agency policy and that the program is voluntary and reimbursement-based. The bill passed 9-1 with a due pass recommendation. HB 2030 would remove education and research programs from the list of allowable uses for the water conservation grant fund. Committee discussion focused on how much funding had gone to education/research projects and whether those projects still produced meaningful water savings. WIFA said about 15 projects with education or research components received roughly $10.5 million and were associated with an estimated 180,000 acre-feet in savings, though those savings were projections and the projects were not purely educational. Several members opposed removing those categories, but the bill passed 6-4 with a due pass recommendation. HB 2096 would expand WIFA financing to include remediation, closure, or replacement of cesspools that threaten groundwater, surface water, or public health, and would allow counties to use revolving-fund financing and income-based assistance for such projects. County and association witnesses supported the bill, describing the public health risks of aging cesspools and the need to help homeowners afford replacement systems; ADEQ was neutral. WIFA said the bill clarifies county authority to enter loans for this purpose and noted the funding would come from existing federal revolving-fund resources. The bill passed unanimously, 10-0, with a due pass recommendation, and the meeting adjourned.

Transcript Highlights:

• have a system in place through typically through their community services department where we issue HUD

Bills: HB2029 , HB2030 , HB2096

Committees: House Natural Resources, Energy & Water , House House Natural Resources, Energy & Water Committee of Reference

Keywords: water conservation, grants, infrastructure, environmental protection, sustainability, grant fund, Arizona water law, A.R.S. 49-1332, water efficiency, water reuse, education programs, public outreach, rainwater harvesting, gray water, graywater, drought-resistant landscaping, xeriscaping, turf removal, groundwater recharge, aquifer health

Transcript Highlights:

• Under the HUD Disaster Recovery Grant Program, there is no direct financial benefit to the local government
• The funds pass from HUD to the state, in our case, the General Land Office, to the local government,
• Following Hurricane Ike in 2009, HUD—does that...
• In 2009, HUD disaster recovery funds came to, at that point, the Texas Department of Housing and Community

Committee: House Governmental Oversight, Select

Transcript Highlights:

• federal rental assistance programs, the Section 8 voucher, the project-based rental assistance that HUD
• delivers, those dollars have become... ...based rental assistance that HUD delivers, those dollars have

Summary: The committee met as the Regulatory Division of the budget section and received updates on several Industrial Commission-related agencies and programs. Legislative Council first reviewed base budget materials, then the North Dakota Housing Finance Agency reported on its current appropriation and staffing, noting that its new FTEs were being filled gradually and that it remained largely funded through special and federal funds. Agency leaders described homeownership lending, loan servicing, and housing incentive fund activity, including below-market mortgage rates, down payment assistance, and a growing servicing portfolio that has increased workload but not yet required additional FTEs. Housing Finance also detailed use of the Housing Incentive Fund and homeless grant dollars. Officials said the multifamily HIF round drew more than $73 million in requests and awarded $25 million, while the single-family program supported rural development and community land trusts. Homeless grant funding was split between emergency shelter, prevention, and rapid rehousing, with performance-based scoring used to renew or reallocate awards. Members discussed housing affordability, aging households, rental assistance, and the need to coordinate housing and site-preparation messaging with Commerce. The agency asked that HIF, single-family, and homeless funding be maintained or increased in the next session. The Department of Mineral Resources then presented its budget and operations update. Staff said the agency was on track financially, had filled most of its new reclamation FTEs, and was not expecting major litigation costs beyond normal late-biennium invoices. The director reviewed agency initiatives including Project North Star IT modernization, organizational restructuring, succession planning, rulemaking, and implementation of the development incentive well tax program and critical minerals rules. He also discussed oil and gas activity, explaining that longer laterals, especially three- and four-mile wells and the first five-mile spacing case, are helping keep production relatively flat even as rig counts ease. Members asked about gas capture, hedging, break-even prices, and the effects of Iran and Venezuela on oil markets. The committee also heard about enhanced oil recovery grants and the Pipeline Authority. The EOR program’s $25 million appropriation was fully allocated to six projects, with total awards reaching about $45.1 million when other fund balances were included, subject to a possible 5% reduction if federal DOE money does not materialize. Officials said the projects are public, reimbursement-based, and will produce results over the next several years. Finally, the Pipeline Authority outlined natural gas transmission projects, including the imminent Bakken Express line and the proposed Bakken East project, which WBI was selected to advance after an Industrial Commission RFI process. The project is moving through open season, survey permission, and regulatory work, with in-service dates projected for 2029 and 2030.

Transcript Highlights:

• federal rental assistance programs, the Section 8 voucher, the project-based rental assistance that HUD
• delivers, those dollars have become... ...project-based rental assistance that HUD delivers, those dollars

Summary: The committee met as the Regulatory Division budget section and first reviewed the North Dakota Housing Finance Agency’s budget and program update. Legislative Council outlined the agency’s base budget and historical funding, and Housing Finance staff reported on homeownership lending, housing incentive fund (HIF) awards, and homeless grant spending. Agency officials said the five new FTEs approved last session are mostly filled, with one homeless program manager still open. They described strong demand for HIF, noting that September 2025 multifamily requests exceeded $73 million while only $25 million was available, and that single-family and homeless programs are also heavily subscribed. Members discussed the agency’s local loan servicing workload, interest-rate benefits, down payment assistance, and the need to coordinate housing discussions with Commerce and site-preparation efforts. The agency asked that HIF, single-family, and homeless funding be maintained or increased, and committee members emphasized accountability and statewide access for homeless prevention and rapid rehousing funds. The Department of Mineral Resources then presented its budget and agency initiatives. Staff reported that the department is on track financially, that most of the five new reclamation-related FTEs are hired, and that litigation costs tied to oil and gas matters are expected to continue appearing late in the biennium. The director reviewed ongoing modernization and organizational efforts, including the North Star IT project, succession planning, training, and rulemaking for oil and gas and critical minerals. Members asked about longer laterals, spacing, and production trends; the department said operators are increasingly drilling three-, four-, and even an initial five-mile lateral, which is helping keep North Dakota oil production relatively flat even as rig counts ease. The director also discussed oil price volatility tied to Middle East conflict, hedging practices among producers, gas capture remaining around 95%, and the likelihood that current production levels will stay near flat unless prices or geopolitical conditions change significantly. An update on the enhanced oil recovery grant program followed. The Industrial Commission’s grant administrator said the full $25 million appropriation was allocated in the fall to six projects, and because the oil and gas research fund also had carryover and biennial tax revenue, total awards reached about $45.1 million. The projects are expected to run two to four years, with meaningful results not likely until mid-2026 or later. Members questioned whether the public would have access to the research findings and how accountability would be maintained; staff said the grants are reimbursement-based, require regular status reports, and will culminate in public final reports. The committee also heard from the North Dakota Pipeline Authority, which updated members on natural gas transmission projects, especially WBI Energy’s proposed Bakken East pipeline. The authority said the project has advanced through a nonbinding and then binding open season, with WBI now securing survey permissions and moving through regulatory and landowner processes, while other related gas transmission projects near Minot and Epping are also in development.

Transcript Highlights:

• reimbursed the commission for work completed in 2025, and now it anticipates that there will be no HUD
• Our community is facing profound instability in HUD continuum of care funding from the federal government

Bills: HB2289

Committee: House Appropriations

Keywords: appropriations, budget, fiscal matters, state spending, general fund, supplemental budget, biennial budget, substitute bill, public defense, civil legal aid, courts, judicial branch, homelessness, supportive housing, affordable housing, behavioral health, juvenile rehabilitation, youth services, child welfare, foster care

Transcript Highlights:

• Affordable rents always do from HUD.
• The affordable rents stay the same because those are HUD-based.

Committee: Senate Housing

Summary: The committee heard presentations on several housing finance and permitting tools. Chattanooga described its payment-in-lieu-of-taxes (PILOT) affordable housing program, which ties property tax abatements to the number and affordability level of units provided, using a calculator based on market rents and HUD affordability levels. Senators asked about the 15-year term, auditing, and whether the program was attracting private market-rate developers; the presenter said the first mixed-income project would include 278 units with 42 affordable units and that annual compliance monitoring is conducted. Shoreline then described its MFTE and inclusionary housing approach, emphasizing that longer 20-year exemptions helped make projects pencil out and that most recent development has clustered around light rail station areas; city staff said they will study whether the program should be adjusted further and noted the importance of the new state inclusionary housing law. The Department of Commerce and MRSC discussed tax increment financing, proportional impact fees, and the CHIP program. Commerce explained that TIF can fund public improvements such as roads, utilities, parks, broadband, and some affordable housing or child care facilities, but jurisdictions should only use it when development is likely to occur and the public benefit justifies the investment. On impact fees, Commerce said fees should be proportional to the actual infrastructure demand of a project and based on capital facility plans; it also noted that fee reductions for affordable housing must be backfilled through CHIP. Senators asked for more information on CHIP funding levels, project selection, and how much of it supports affordable housing. Commerce also presented the first annual permit-timelines report under the 2023 permitting reforms, saying 2024 data showed timelines still exceeding statutory goals and that future reports will examine factors such as paper versus electronic processing and local reform efforts. Auburn and Bellevue highlighted local permitting innovations. Auburn said it has moved to fully electronic review, uses MyBuildingPermit.com, has internal performance standards, and offers a stock-plan program that can cut later review to about a week; staff said most stamped plans still require at least two review cycles and that the city is watching how middle-housing code changes affect development. Bellevue described a pilot with GovStream AI to use artificial intelligence for pre-application assistance, document triage, and plan-review support, with the goal of reducing back-and-forth and improving application quality. Finally, Seattle presented a pilot for accessory dwelling unit co-development in which a mission-driven partner would finance, build, and manage backyard ADUs for homeowners, with the owner eventually buying out the partner; senators raised questions about rent-setting, management fees, liability, and what happens if a homeowner sells early. The committee also heard from community land trust representatives, who explained how ground leases and resale restrictions keep homes permanently affordable and allow public subsidies to serve multiple generations.

Transcript Highlights:

• Our affordable rent is coming from the same place; affordable rents always do from HUD.
• The affordable rents stay the same because those are HUD-based.

Summary: The Senate Housing Committee heard presentations on a range of housing finance, permitting, and affordability tools. Chattanooga described its affordable housing PILOT program, which uses a per-unit property tax abatement tied to the rent loss from providing affordable units, with a 15-year term and annual compliance monitoring. Committee members asked about the program’s structure, whether it had been used elsewhere, and who was participating; the presenter said the first mixed-income project would bring 278 units with 42 affordable units and that the model was attracting private market-rate developers. Shoreline then described its MFTE and inclusionary zoning approach, emphasizing that longer tax exemption periods and station-area zoning changes had helped spur development, with most current pipeline projects concentrated near light rail stations. The committee also heard from the Municipal Research Services Center and the Department of Commerce on tax increment financing, proportional impact fees, and permit timelines. Commerce explained that TIF can fund public improvements such as roads, utilities, broadband, and some affordable housing or child care facilities, while proportional impact fee guidance is intended to help jurisdictions charge fees more closely aligned with actual project impacts. On permit timelines, Commerce presented its first annual report under recent law changes, using 2024 as a baseline year and noting that reported timelines were generally longer than statutory goals; members asked about outliers, paper versus electronic processing, and whether back-and-forth between applicants and staff was driving delays. Commerce said it would follow up with more data, including on CHIP funding and permit reform practices. Several local governments then shared permitting process improvements. Auburn reported relatively short review cycles and described its move to fully electronic permitting, internal performance standards, and a stock plan program that speeds review for repeated home designs. Bellevue described an AI permitting pilot with a local startup to help with pre-application questions, document triage, and plan review, aiming to reduce incomplete applications and revision cycles. Seattle presented a pilot for accessory dwelling unit co-development in which a mission-driven partner would help homeowners split lots, finance, build, and manage ADUs, with the homeowner eventually buying out the partner and retaining ownership; committee members asked about rent setting, management fees, and default risk, and staff said they would follow up. The committee also heard brief overviews of community land trusts and limited equity cooperatives as permanent affordability models, with presenters urging continued state and local funding support and policy recognition for these approaches.

Transcript Highlights:

• whereas many other projects, which, you know, are public housing projects, they don't have, say, a HUD
• They don't have say<01:10:59.679><c> a</c><01:10:59.920><c> HUD</c><01:11:00.320><c> funding</c><01:11
• So currently, if there is federal funding, say for a HUD project, then it is just a differential for
• /c><01:11:27.360><c> funding</c><01:11:28.239><c> say</c><01:11:28.480><c> for</c><01:11:28.640><c> HUD
• </c> there is federal funding say for HUD there is federal funding say for HUD project<01:11:30.239><

Bills: HB1721 , HB1714 , HB1718 , HB1732 , HB1740 , HB1777 , HB1842 , HB1919 , HB1701 , HB1923 , HB1741 , HB1734 , HB1739

Committee: House Housing

Summary: The House Housing Committee met on February 4 and heard testimony on several housing measures, beginning with HB1721, which clarifies insurance, indemnification, and certificate-of-occupancy requirements for expedited permits. Testimony on HB1721 was uniformly supportive from the American Council of Engineering Companies, the Grassroot Institute, and individual testifiers, who said the bill would fix insurance issues for design professionals and encourage more participation in the expedited-permit program. No opposition was heard and no questions were raised. The committee then heard HB1714, which would raise salary caps for the executive director and deputy executive director positions at the Hawaii Housing Finance and Development Corporation and allow more autonomy in personnel matters, including employment contracts. HHFDC supported the bill, saying greater flexibility is needed to recruit and retain staff and that current pay ceilings are not the main issue because the agency lacks operating funds to reach them. The Department of Human Resources Development offered comments and raised concerns about autonomous personnel authority and employment contracts, saying state personnel matters are governed by existing statutes and collective bargaining rules; the Hawaii Public Housing Authority also offered comments, and one board member and one individual opposed the measure. Members questioned whether performance-based pay or existing incentive policies could address retention instead of statutory salary changes. The committee also heard HB1718, which would make permanent county authority to facilitate mixed-use developments and issue county bonds for low- and moderate-income housing projects. Support came from OPSD, HHFDC, the City and County of Honolulu’s Department of Housing and Land Management, and Housing Hawaii’s Future, all emphasizing that permanent authority is needed to finance long-term mixed-use and transit-oriented projects. A member asked whether the sunset provision would make bonding impractical, and the city representative agreed that temporary authority would make financing difficult because development takes time. Later, the committee took up HB1732, establishing the Kamina Homes program to fund counties’ purchase of voluntary deed restrictions from eligible buyers. The Department of Taxation and several groups, including HHFDC, AARP Hawaii, the Tax Foundation of Hawaii, Hawaii Realtors, Holomua Collaborative, and others testified, with most supporting the bill as a way to help local families remain in Hawaii and age in place. Holomua said a recent survey found 75% of 3,200 working families were considering moving, and argued the bill could preserve housing for local residents. Members asked about the bill’s 8% cap on deed-restriction cost and why the program focuses on residency rather than resale restrictions; the bill’s proponents said the cap allows flexibility for county negotiations and that the measure is aimed at workforce preservation rather than land-trust-style appreciation limits. Finally, the committee heard HB1740, which would modify a prior HHFDC housing pathway by reducing the qualified-resident requirement from 100% to 80% and allowing more flexibility for long-term rental instead of owner occupancy. HHFDC and Holomua Collaborative supported the change, saying the earlier 100% requirement had produced no developments or applicants and that the revised standard would make projects more feasible while still preserving housing for local residents. The committee did not take final votes on these measures during the portion of the hearing provided.

Transcript Highlights:

• at UH provides IC services in eight locations, seven locations, excuse me, across Minnesota in all HUD-subsidized
• at UH provides IC services in eight locations, seven locations, excuse me, across Minnesota in all HUD-subsidized
• locations excuse me across Minnesota in locations excuse me across Minnesota in all<00:03:42.840><c> HUD
• c> subsidized</c><00:03:43.680><c> settings</c><00:03:44.680><c> um</c><00:03:45.080><c> we</c> all HUD
• subsidized settings um we all HUD subsidized settings um we previously<00:03:46.439><c> provided</c>

Committee: Senate Human Services

Transcript Highlights:

• with making investments in their properties, getting things up to code if they're having to rent to HUD-related
• with making investments in their properties, getting things up to code if they're having to rent to HUD-related
• with making investments in their properties, getting things up to code if they're having to rent to HUD-related
• with making investments in their properties, getting things up to code if they're having to rent to HUD-related
• with making investments in their properties, getting things up to code if they're having to rent to HUD-related

Committee: Senate Commerce

Transcript Highlights:

• For decades, HCRC, as we call it, has had partnerships where we share cases with HUD and EEOC.
• initiate with us and when it's past the 6 months we would then refer them to initiate with the other HUD
• investigation with HCRC and it would also receive a case number from the federal side as well. other with other HUD
• or EOC. other with other HUD or EOC.
• So, that HUD would no longer cover cases that were involving sexual orientation as a protected class.

Bills: SB2041

Committee: Senate Judiciary

Summary: The committees heard SB 2041, which would repeal the Land Court, transfer its functions to the Bureau of Conveyances, and create a working group to recommend implementation. DLNR and Judiciary stood on their written testimony, while Realtors supported the bill and one testifier raised concerns about the loss of judicial authority, title disputes, adverse possession, and possible effects on Kuleana lands. Members questioned whether property could be deregistered and what the legal consequences would be, and the Bureau of Conveyances said deregistration is already available but burdensome. The committees ultimately recommended passage with amendments, and the measure was adopted by both committees. The Judiciary Committee then heard SB 2247, which restricts certain governor-appointed, Senate-confirmed executive branch employees from participating in campaign fundraising. The State Ethics Commission and Campaign Spending Commission supported the bill as a way to curb pay-to-play concerns and the appearance of undue influence, and several advocacy and civic groups also testified in support, with one person opposing. The committee agreed to amend the bill so the restrictions apply only after confirmation and continue until the person leaves the covered position. The committee voted to pass SB 2247 with amendments. Finally, the Judiciary Committee heard SB 2143, which would make the Attorney General the interim Chief Election Officer if that office becomes vacant until the Elections Commission appoints a replacement. Supporters argued the bill would provide continuity, prevent delays in certifying election results, and protect election integrity; opponents argued it would politicize the office, create a conflict of interest, and was unnecessary because current law already provides a process for filling vacancies. Testimony was extensive and sharply divided, with many speakers on both sides. The transcript provided does not include a final vote or action on SB 2143.

Transcript Highlights:

• Within SHPD, would it be useful to have dedicated positions just for Nahazda or HUD-funded projects?
• Anything that falls under Part 58, for example, which are projects where HUD essentially delegates all
• which are under part 58 for example which are projects<00:57:09.200><c> where</c><00:57:09.760><c> HUD
• </c><00:57:10.240><c> essentially</c><00:57:10.960><c> delegates</c> projects where HUD essentially delegates
• projects where HUD essentially delegates all<00:57:12.000><c> responsibility</c><00:57:12.720><c> to

Bills: HB1527 , HB1823 , HB2490 , HB2223 , HB2325 , HB2104 , HB2593 , HB2592 , HB1927 , HB1553 , HB1964 , HB1918 , HB1990

Committee: House Water & Land

Summary: The committee first heard HB 1527 relating to gambling. The chair outlined hearing rules, including a two-minute limit and a warning that bills not heard would die. Testimony was overwhelmingly in support from a prosecutor, Honolulu Police Department, and Stop Predatory Gambling, all arguing that casinos and sports betting increase crime, sex trafficking, harassment of athletes, and broader social harm. No opposition testimony was presented, and the committee moved on without questions or action taken on the bill. The committee then heard HB 1823 relating to coastal zone management and HB 2490 relating to coastal resilience. For HB 1823, DLNR, the Office of Planning, and Maui County testified, with Maui County supporting the measure and its proposed amendments. For HB 2490, DLNR expressed concern about exempting a proposed Mokuji Bay pilot project from permits and regulation before a long-term plan is finalized, while the County of Maui, the Mokuji Soto Zen Mission, and the Office of Planning supported the bill as a coastal resilience pilot. The mission described severe erosion, sea-level rise impacts, and years of unsuccessful efforts to stabilize the shoreline; its consultant said the study is leaning toward nature-based and hybrid solutions. In questioning, members and DLNR discussed whether the bill should say the project “shall” or “may” be exempt, and the chair indicated the language would be adjusted to preserve DLNR discretion and to change the lead agency reference to OPSD. No vote was taken in the transcript. Finally, the committee took up HB 2223 relating to historic preservation reviews. SHPD said it stood on its written comments, while OPSD and DHHL supported the bill. DHHL argued the measure would streamline reviews, improve transparency, and help address long wait times for its projects, saying it could alleviate burden on SHPD and better serve beneficiaries. Representative Shimizu questioned whether the bill would create redundancy and expand government rather than strengthen SHPD, noting a separate staffing bill already exists. SHPD responded that DHHL is uniquely subject to 6E review and that the bill would not waive federal or state historic review requirements; the discussion also touched on possible federal-style grant support and the existing memorandum of agreement between SHPD and DHHL. The transcript ends during questioning, with no final committee action shown.

Transcript Highlights:

• It's the HUD code. It was created in 1977 and updated several times since then.
• </c><00:38:45.040><c> It's</c><00:38:45.200><c> the</c><00:38:45.280><c> HUD</c> are built to a to a
• It's the HUD are built to a to a code.
• It's the HUD code.<00:38:45.920><c> It</c><00:38:46.160><c> was</c><00:38:46.240><c> created</c><00:38
• She said she brought color copies because the modern homes do not match the older image, and that the HUD

Committee: Senate Commerce