HI SB3127

Increases the State's loan guarantee liability limit for the Department of Hawaiian Home Lands from $100,000,000 to $500,000,000

Addresses challenges facing Hawaiian home lands lessees who cannot qualify for mortgages due to rising interest rates and construction costs following the 2023 Maui wildfires and global inflation

Supports the expected increase in new housing units resulting from Act 279 (2022), which appropriated $600,000,000 to reduce the waitlist of over 28,000 applicants for Hawaiian home lands

Allows the department to continue guaranteeing loans for lessees since Hawaiian home lands are held in trust and cannot be used as traditional collateral

Effective date contingent on U.S. Department of Interior and Congressional approval under federal regulations governing amendments to the Hawaiian Homes Commission Act