HR 71 Summary

• Requests the Hawaii Housing Finance and Development Corporation adopt administrative rules to enable credit enhancement for construction loans under the Rental Housing Revolving Fund.

• Addresses high housing development costs exacerbated by current high interest rates that strain developers and increase housing costs for residents.

• Credit enhancement would reduce financing costs and development costs by allowing the Rental Housing Revolving Fund to support construction loans.

• Asserts minimal risk to the Rental Housing Revolving Fund given HHFDC's involvement in underwriting and funding construction loan takeout financing.

• Directs transmission of certified resolution copies to the Executive Director and Board Chairperson of the Hawaii Housing Finance and Development Corporation.