HOUSE OF REPRESENTATIVES
H.B. NO.
1799
THIRTY-THIRD LEGISLATURE, 2026
H.D. 2
STATE OF HAWAII
A BILL FOR AN ACT
RELATING TO THE COUNTIES.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
SECTION 1. Section 46-15, Hawaii Revised Statutes, is amended to read as follows:
"§46-15 Experimental and demonstration housing projects[[Struck through: .]] [Underlined: or commercial projects.] (a) The mayor of each county, after holding a public hearing on the matter and receiving the approval of the respective council, shall be empowered to designate areas of land for experimental and demonstration housing projects[[Struck through: ,]] [Underlined: or commercial projects,] the purposes of which are to research and develop ideas that would reduce the cost of housing [Underlined: or support commercial development] in the State. Except as [[Struck through: hereinafter]] provided[[Struck through: ,]] [Underlined: in this section,] the experimental and demonstration housing projects [Underlined: or commercial projects] shall be exempt from all statutes, ordinances, charter provisions, and rules or regulations of any governmental agency or public utility relating to planning, zoning, construction standards for subdivisions, development and improvement of land, and the construction and sale of homes thereon; provided that the experimental and demonstration housing projects [Underlined: or commercial projects] shall not affect the [[Struck through: safety]][Underlined: :]
[Underlined: (1)] [Underlined: Safety] standards or tariffs approved by the public [[Struck through: utility commissions]] utilities commission for such public utility[[Struck through: .]][Underlined: ; or]
[Underlined: (2)] [Underlined: Safety standards, tariffs, rates, and fees of the various boards of water supply authorized under chapter 54.]
[Underlined: (b)] The mayor of each county[Underlined: ,] with the approval of the respective council[Underlined: ,] may designate a county agency or official who shall have the power to review all plans and specifications for the subdivisions, development and improvement of the land involved, and the construction and sale of homes thereon. The county agency or official shall have the power to approve or disapprove or to make modifications to all or any portion of the plans and specifications.
[Underlined: (c)] The county agency or official shall submit preliminary plans and specifications to the legislative body of the respective county for its approval or disapproval. The final plans and specifications for the project shall be deemed approved by the legislative body if the final plans and specifications do not substantially deviate from the approved preliminary plans and specifications. The final plans and specifications shall constitute the standards for the particular project.
[Underlined: (d)] No action shall be prosecuted or maintained against any county, its officials[Underlined: ,] or [Underlined: its] employees, on account of actions taken in reviewing, approving, or disapproving such plans and specifications.
[Underlined: (e)] Any experimental or demonstration housing project [[Struck through: for the purposes hereinabove mentioned]] [Underlined: or commercial project] may be sponsored by any state or county agency or any person as defined in section 1-19[[Struck through: .]] [Underlined: for the purposes of this section.]
[Underlined: (f)] The county agency or official shall apply to the state land use commission for an appropriate land use district classification change, except where a proposed project is located on land within an urban district established by the state land use commission. Notwithstanding any law, rule, or regulation to the contrary, the state land use commission may approve the application at any time after a public hearing held in the county where the land is located[Underlined: ,] upon notice of the time and place of the hearing being published in the same manner as the notice required for a public hearing by the planning commission of the appropriate county.
[[Struck through: (b) The experimental]] [Underlined: (g) Experimental] and demonstration homes [Underlined: or commercial projects] may be sold to the public under terms and conditions approved by the county agency or official who has been designated to review the plans and specifications.
[[Struck through: (c)]] [Underlined: (h)] The county agency or official may adopt [[Struck through: and promulgate]] rules and regulations [[Struck through: which are]] necessary or desirable to carry out the purposes of this section."
SECTION 2. Section 46-15.01, Hawaii Revised Statutes, is amended to read as follows:
"[[Struck through: []]§46-15.01[[Struck through: ]]] Limitation of application. This chapter shall not be construed to exempt counties from the application of chapter 104 to experimental and demonstration housing projects [Underlined: or commercial projects] pursuant to section 46-15."
SECTION 3. Section 104-1, Hawaii Revised Statutes, is amended by amending the definition of "public work" to read as follows:
""Public work" means any project, including development of any housing [Underlined: or commercial project] pursuant to section 46-15 or [Underlined: housing project pursuant to] chapter 201H and development, construction, renovation, and maintenance related to refurbishment of any real or personal property, where the funds or resources required or used to undertake the project are to any extent derived, either directly or indirectly, from public revenues of the State or any county, or from the sale of securities or bonds whose interest or dividends are exempt from state or federal taxes."
SECTION 4. Section 104-2, Hawaii Revised Statutes, is amended by amending subsection (a) to read as follows:
"(a) This chapter shall apply to every contract in excess of $2,000 for construction of a public work project to which a governmental contracting agency is a party; provided that this chapter shall not apply to experimental and demonstration housing [Underlined: or commercial project] developed pursuant to section 46-15 or housing developed pursuant to chapter 201H if the cost of the project is less than $500,000 and the eligible bidder or eligible developer is a private nonprofit corporation.
For the purposes of this subsection:
"Contract" includes but is not limited to any agreement, purchase order, or voucher in excess of $2,000 for construction of a public work project.
"Governmental contracting agency" includes:
(1) Any person or entity that causes either directly or indirectly the building or development of a public work; and
(2) Any public-private partnership.
"Party" includes eligible bidders for and eligible developers of any public work and any housing under chapter 201H; provided that this subsection shall not apply to any housing [Underlined: or commercial project] developed under section 46-15 or [Underlined: housing project developed under] chapter 201H if the entire cost of the project is less than $500,000 and the eligible bidder or eligible developer is a private nonprofit corporation."
SECTION 5. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.
SECTION 6. This Act shall take effect on July 1, 3000, and shall be repealed on ; provided that the amendments made to section 104-2(a), Hawaii Revised Statutes, by section 4 of this Act shall not be repealed when that section is reenacted on June 30, 2030, pursuant to section 5 of Act 54, Session Laws of Hawaii 2017, as amended by section 4 of Act 39, Session Laws of Hawaii 2018.
Report Title:
Counties; Experimental and Demonstration Housing Projects; Commercial Projects
Description:
Expands on a county's experimental and demonstration housing project authority to include the development of commercial projects. Sunsets on an unspecified date. Effective 7/1/3000. (HD2)
The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.