City to hold hearings on rules to create more affordable housing rental units
News Release from City and County of Honolulu, Oct 22, 2021
HONOLULU – As part of Mayor Rick Blangiardi’s affordable housing strategy, the Department of Planning and Permitting (DPP) has been actively working to expand the construction of affordable housing for residents. DPP will hold two public hearings to gather community input on the newly proposed measures.
The first meeting is in regards to rules governing General Excise Tax exemptions for certified developers who build or substantially renovate units for affordable housing. The meeting is scheduled for Friday, Oct. 29, 2021 at 10:30 a.m. in the Mission Memorial Auditorium, Mission Memorial Building, 550 South King St. The public is encouraged to submit written testimony or to register to testify remotely. Information on the hearing, including copies of the draft rules and instructions on how to submit testimony, is available at: 'EventDetails'
The second meeting on Nov. 8, 2021 is in regards to proposed administrative rules that will restore the City and County of Honolulu as an active “conduit” issuer of tax exempt special revenue bonds for the purpose of increasing the supply of affordable rental units. Under the Internal Revenue Code, a municipality such as the City can use its private activity bond volume allocation to issue tax exempt special revenue bonds, the proceeds of which the borrower would use to construct or acquire and rehabilitate affordable rental units. The tax exempt special revenue bonds are not secured by the City’s credit, instead the bonds are secured by the borrower.
The Nov. 8 hearing is set for 10:30 a.m. in the Mission Memorial Auditorium, Mission Memorial Building, 550 South King St. The public is encouraged to submit written testimony or to register to testify remotely. Information on the hearing, including copies of the draft rules and instructions on how to submit testimony, is available at: 'EventDetails'
The tax exempt financing made possible by these rules will be available to eligible projects. An eligible project must have a minimum 20 percent of the total number of units targeted to households earning 50 percent or less of the area medium income (AMI), or a minimum of 40 percent of the total units targeted to households earning 60 percent or less of the AMI.
“Creating and improving affordable housing is a top priority in my administration,” said Mayor Rick Blangiardi. “In addition to strengthening the regulation of short term rentals, we are creating financial incentives across the board to drive the development of affordable housing for our residents.”
To ensure the public has sufficient time to submit comments in writing, DPP will accept written testimony on both topics through 4:30 p.m. on Sunday, Nov. 21, 2021.
If you require special assistance, auxiliary aid and/or service to participate in these events (i.e., sign language interpreter, interpreter for language other than English, or wheelchair accessibility), please call 768-8000, or email your request to email@example.com at least three business days prior to the event.