HB1432 • 2026

RELATING TO HOUSING.

Housing

Active

The official status still shows this bill as active or still awaiting another formal step.

Sponsor: NAKAMURA
Last action: 2025-12-08
Official status: Carried over to 2026 Regular Session.
Effective date: Not listed

Plain English Breakdown

The official source material does not provide specific details about the percentage of units reserved for certain income levels, nor does it specify which CDFIs will benefit from the legislation.

Housing Bill for Affordable Homeownership

This bill adds loan funds from nonprofit community development financial institutions (CDFIs) to the list of priorities for the Affordable Homeownership Revolving Fund and allows these funds to be used as matching money to attract other funding sources.

What This Bill Does

Adds CDFI-administered loans to the priority list for the Affordable Homeownership Revolving Fund.
Expands how the fund can be used, allowing it to provide financing that matches CDFIs' efforts to get more funds from other sources.

Who It Names or Affects

People who need affordable housing and can qualify for loans through CDFIs.
Nonprofit community development financial institutions (CDFIs) that help fund affordable housing projects.

Terms To Know

Community Development Financial Institutions (CDFIs): Organizations that provide financial services to underserved communities, including loans for affordable housing.
Affordable Homeownership Revolving Fund: A fund used by the government to support projects that help people buy homes they can afford.

Limits and Unknowns

The bill does not specify how much money will be in the Affordable Homeownership Revolving Fund.
It is unclear which specific CDFIs will benefit from this legislation.

Amendments

These notes stay tied to the official amendment files and metadata from the legislature.

HD1

Hawaii published version HD1

Plain English: This amendment adds loan funds administered by nonprofit community development financial institutions (CDFIs) to the list of priorities for affordable housing projects funded by a state revolving fund, and allows these CDFIs to use the funds as matching money to attract other funding sources.

Adds CDFI-administered loans to the priority list for affordable housing projects.
Expands the use of funds in the Affordable Homeownership Revolving Fund to include financing as matching funds for CDFIs.

The amendment specifies a future effective date of July 1, 3000, which seems unusual and may be an error or placeholder.

Bill History

2025-12-08 D
Carried over to 2026 Regular Session.
2025-02-12 H
Passed Second Reading as amended in HD 1 and referred to the committee(s) on FIN with none voting aye with reservations; none voting no (0) and Representative(s) Cochran, Sayama, Ward excused (3).
2025-02-12 H
Reported from HSG (Stand. Com. Rep. No. 488) as amended in HD 1, recommending passage on Second Reading and referral to FIN.
2025-02-07 H
The committee on HSG recommend that the measure be PASSED, WITH AMENDMENTS. The votes were as follows: 7 Ayes: Representative(s) Evslin, Miyake, Grandinetti, Kitagawa, La Chica, Muraoka, Pierick; Ayes with reservations: none; Noes: none; and 2 Excused: Representative(s) Cochran, Kila.
2025-02-04 H
Bill scheduled to be heard by HSG on Friday, 02-07-25 9:00AM in House conference room 430 VIA VIDEOCONFERENCE.
2025-01-27 H
Referred to HSG, FIN, referral sheet 4
2025-01-23 H
Introduced and Pass First Reading.

Official Summary Text

RELATING TO HOUSING.
Housing; Affordable Homeownership Revolving Fund; Nonprofit Community Development Financial Institutions
Adds loan funds administered by Nonprofit Community Development Financial Institutions (CDFIs) for certain for-sale affordable housing projects to list of loan priorities for the Affordable Homeownership Revolving Fund. Expands use of funds in the revolving fund to allow financing as matching funds for CDFIs to mobilize other funding sources. Effective 7/1/3000. (HD1)

Current Bill Text

Read the full stored bill text

HB1432

HOUSE OF REPRESENTATIVES

H.B. NO.

1432

THIRTY-THIRD LEGISLATURE, 2025

STATE OF HAWAII

A BILL FOR AN ACT

relating
to housing
.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

����
SECTION
1
.
�
Section 201H-206, Hawaii Revised Statutes, is
amended by amending subsections (b) and (c) to read as follows:

����
"(b)
�
Loans shall be awarded in the
following descending order of priority:

����
(1)
�
Projects or units in projects that are
funded by programs of the United States Department of Housing and Urban
Development, United States Department of Agriculture Rural Development, and
United States Department of the Treasury Community Development Financial
Institutions Fund, wherein:

���������
(A)
�
At least fifty per cent of the
available units are reserved for persons and families having incomes at or
below eighty per cent of the median family income and of which at least five
per cent of the available units are for persons and families having incomes at
or below fifty per cent of the median family income; and

���������
(B)
�
The remaining units are reserved for
persons and families having incomes at or below one hundred twenty per cent of
the median family income; [
and
]

����
(2)
�
Mixed-income affordable for-sale housing
projects or units in a mixed-income affordable for-sale housing project wherein
all of the available units are reserved for persons and families having incomes
at or below one hundred per cent of the median family income[
.
]
; and

����
(3)
�
Loan
funds administered by certified nonprofit community development financial
institutions to finance the development, pre-development, construction,
acquisition, preservation, and substantial rehabilitation of affordable
for-sale housing for persons and families having incomes set forth in
paragraphs (b)(1) and (2).

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(c)
�
Moneys in the fund shall be used to provide
loans for the development, pre-development, construction, acquisition,
preservation, and substantial rehabilitation of affordable for‑sale
housing units.
�

Uses of moneys in the fund may include but are not limited to
planning, design, and land acquisition, including the costs of options,
agreements of sale, and down payments; [
equity
] financing as matching
funds for nonprofit community development financial institutions[
;
]
to
mobilize philanthropic, private, or other public funding sources;
or other
housing development services or activities as provided in rules adopted by the
corporation pursuant to chapter 91.
�
The
rules may provide that money from the fund shall be leveraged with other
financial resources to the extent possible."

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SECTION 2.
�

Statutory material to be repealed is bracketed and stricken.
�
New statutory material is underscored.

����
SECTION 3.
�

This Act shall take effect upon its approval.

INTRODUCED BY:

_____________________________

Report Title:

Housing;
Affordable Homeownership Revolving Fund; Nonprofit CDFIs

Description:

Adds loan
funds administered by Nonprofit Community Development Financial Institutions
(CDFIs)for certain for-sale affordable housing projects to list of loan
priorities for the Affordable Homeownership Revolving Fund.
�
Expands use of moneys in the revolving fund to
allow financing as matching funds for CDFIs to mobilize other funding sources.

The summary description
of legislation appearing on this page is for informational purposes only and is
not legislation or evidence of legislative intent.