The following testimony was submitted by the Grassroot Institute of Hawaii for consideration by the House Committee on Consumer Protection and Commerce on Feb. 27, 2024.
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Feb. 27, 2024, 2:30 p.m.
Hawaii State Capitol
Conference Room 329 and Videoconference
To: House Committee on Consumer Protection and Commerce
Rep. Mark Nakashima, Chair
Rep. Jackson Sayama, Vice-Chair
From: Grassroot Institute of Hawaii
Ted Kefalas, Director of Strategic Campaigns
RE: COMMENTS OPPOSING HB1526 HD1 — RELATING TO AFFORDABLE HOUSING DEVELOPMENT
Aloha Chair Nakashima, Vice-Chair Sayama and Committee Members,
The Grassroot Institute of Hawaii would like to offer its comments in opposition to HB1526 HD1, which would extend the deadline by which a county council must approve a 201H affordable housing project from 45 days to 60 days.
The Economic Research Organization at the University of Hawai’i has documented that housing projects in Hawaii suffer from delays three times as long as those commonly experienced on the mainland.[1]
Since delays tend to create higher labor, financing and materials costs,[2] lengthening the timeline for county councils to approve 201H projects would increase overall costs for those new units, undermining the entire point of the projects being affordable.
Thank you for the opportunity to testify.
Ted Kefalas, Director of Strategic Campaigns
Grassroot Institute of Hawaii
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[1] Rachel Inafuku, Justin Tyndall and Carl Bonham, “Measuring the Burden of Housing Regulation in Hawaii,” Economic Research Organization at the University of Hawai’i, April 14, 2022, pp. 6-7.
[2] Paul Emrath, “How Government Regulation Affects the Price of a New Home,” National Association of Homebuilders, Economics and Housing Policy Group, 2011, p. 5.
