The following testimony was submitted by the Grassroot Institute of Hawaii for consideration by the House Committee on Housing on March 21, 2025.
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March 21, 2025, 9 a.m.
Hawaii State Capitol
Conference Room 430 and Videoconference
To: House Committee on Housing
Rep. Luke A. Evslin, Chair
Rep. Tyson K. Miyake, Vice Chair
From: Grassroot Institute of Hawaii
Ted Kefalas, Director of Strategic Campaigns
RE: HCR67 — REQUESTING THE OFFICE OF THE GOVERNOR, STATE BUILDING CODE COUNCIL, BUILDING DEPARTMENTS OF EACH COUNTY, MAYORS OF EACH COUNTY, AND CHAIRS OF THE SENATE AND HOUSE OF REPRESENTATIVES STANDING COMMITTEES ON HOUSING TO DEVELOP A COMPREHENSIVE STRATEGY FOR ADOPTING UPDATED BUILDING CODES
Aloha Chair Evslin, Vice-Chair Miyake and other members of the Committee,
The Grassroot Institute of Hawaii supports HCR67, which seeks the cooperation of state and country stakeholders in developing a comprehensive strategy for adopting updated building codes.
Hawaii’s convoluted building code-adoption process contributes to uncertainty, delays and higher building costs. Reforming that process is a necessary step in addressing the state’s housing crisis.
State law currently requires the State Building Code Council to adopt every iteration of the International Building Code and related codes within two years of their release; the counties have an additional two years to adopt and make their amendments to the state code.
However, the Council and counties often struggle to meet these deadlines. For example, it was only in April 2021 that the State Building Code Council adopted the 2018 Interim Building Code,[1] and not until early 2023 that Honolulu fully adopted those amendments.[2]
Because of this staggered adoption process, county building officials, builders and architects must constantly re-learn the building code’s requirements. For builders, this means navigating as many as four different codes, which takes time and training, increasing administrative costs.
The almost-constant nature of the building code updates also stresses already understaffed county planning and permitting departments and can exacerbate permitting delays, which research shows can affect the price of housing.[3]
As measured by the state’s Honolulu Construction Cost Index, the cost for single-family homes in 2024 was 2.6 times higher than the cost in 2020. For highrises, the cost was 2.5 times higher.[4]
The state’s strict land-use, zoning and permitting rules are a key driver of these costs. The Economic Research Organization at the University of Hawai‘i has estimated that regulations comprise 58% of the cost of new condominium construction.[5]
Hawaii lawmakers should prioritize the creation of a streamlined and simplified building code for our state and put an end to the broken process that contributes to our high housing costs.
Thank you for the opportunity to testify.
Ted Kefalas
Director of Strategic Campaigns
Grassroot Institute of Hawaii
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[1] “State Building Code Adoption,” State Building Code Council, April 20, 2021, p. 1.
[2] “Interim Building Code (2018 IBC) Takes Effect,” Honolulu Department of Planning and Permitting, April 20, 2023.
[3] Paul Emrath, “How Government Regulation Affects the Price of a New Home,” National Association of Homebuilders, Economics and Housing Policy Group, 2011, p. 5; and Adam Millsap, Samuel Staley and Vittorio Nastasi, “Assessing the Effects of Local Impact Fees and Land-use Regulations on Workforce Housing in Florida,” James Madison Institute, Dec. 11, 2018, p. 19.
[4] “Quarterly Statistical and Economic Report, 4th Quarter 2024,” Hawaii Department of Business, Economic Development & Tourism, pp. 107-108.
[5] Justin Tyndall and Emi Kim, “Why are Condominiums so Expensive in Hawai‘i?”, The Economic Research Organization at the University of Hawai‘i, May 2024, p. 11.
