RELATING TO OFF-SITE CONSTRUCTION.

SB3187

THE SENATE

S.B. NO.

3187

THIRTY-THIRD LEGISLATURE, 2026

STATE OF HAWAII

A BILL FOR AN ACT

relating
to off-site CONSTRUCTION
.

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

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SECTION
1.
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The legislature finds that the
Simplifying Permitting for Enhanced Economic Development (SPEED) task force was
established pursuant to Act 133, Session Laws of Hawaii 2025.
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The SPEED task force brought together various
state and county agencies and stakeholders to address issues related to
obtaining permits for housing, infrastructure, and other projects.
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The legislature further finds that the SPEED
task force is responsible for identifying actions taken, challenges
encountered, and legislative measures needed to facilitate, expedite, and
coordinate state and intergovernmental permitting processes.

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In its
initial phase, the SPEED task force split into three permitted interaction
groups, each focused on a specific, high-impact segment of the permitting
system.
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The SPEED task force then
submitted to the legislature a December 2025 final report of the permitted
interaction groups, representing a combined report of the three permitted
interaction groups, which outlined findings regarding existing actions and
persistent challenges and presented initial recommendations for legislative and
administrative measures to improve permitting processes statewide.

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The
December 2025 final report also identified various recommendations for
improving housing and infrastructure development in the State.
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One key recommendation involves off-site
construction, which the final report identifies as having the potential to
reduce plan-review workloads through the use of standardized designs and
state-level certification.
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Currently,
counties expend substantial resources reviewing manufacturer documentation and
verifying that off-site or imported building components comply with state
building codes, which results in duplicative technical reviews across the
counties.
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The final report recommends
that a state-administered certification and inspection program for off-site
construction be developed as part of the State's broader housing and
infrastructure strategy.

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Accordingly,
the purpose of this Act is to establish and appropriate funds for a working
group within the state building code council to develop proposals for an
off-site construction program.

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SECTION
2.
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(a)
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There is established within the state building code council an off-site
construction working group to develop proposals for an off-site construction
program.

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(b)
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The off-site construction program shall:

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(1)
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Be limited to off-site construction components
and designs for single-family homes less than one thousand two hundred square
feet;

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(2)
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Centralize manufacturer certification and
product quality assurance;

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(3)
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Curate a library of pre-approved components
and designs;

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(4)
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Define clear regulations for use and
inspection;

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(5)
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Establish a process in which a state-level
entity would certify factories and standardized models for compliance with
state building codes and local conditions, while county agencies would be
responsible for site-specific review related to foundations, utilities,
installation, and hazard exposure;

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(6)
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Develop pre-approved plan sets for common
housing types, such as small multi-unit and single-family infill development;

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(7)
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Include funding to support the off-site
construction labor force in the State;

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(8)
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Include policies to strengthen
construction-material supply chains and reduce dependence on import pathways;
and

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(9)
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Be explicitly integrated with zoning,
wastewater, and infrastructure planning so that modular units are directed to
sites that can support them.

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(c)
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The working group shall consist of the
following members:

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(1)
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The chair of the state building code council,
or the chair's designee, who shall serve as chair; and

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(2)
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The director of the office of planning and
sustainable development, or the director's designee.

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(d)
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The chair of the working group shall invite
the following individuals to serve as members of the working group:

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(1)
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One representative with architectural
experience;

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(2)
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One representative with engineering
experience;

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(3)
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One representative from a labor organization;

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(4)
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One representative from a consumer advocacy
organization;

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(5)
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One representative from a non-profit
organization focused on housing;

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(6)
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One representative from the financial services
industry; and

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(7)
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Community stakeholders as designated by the
chair.

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(e)
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The working group shall submit a report of
its findings and recommendations, including any proposed legislation, to the
legislature no later than twenty days prior to the convening of the regular
session of
2027.

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(f)
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The working group shall be dissolved on June 30, 2027.

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SECTION
3.
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There is appropriated out of the
general revenues of the State of Hawaii the sum of $5,000 or so much thereof as
may be necessary for fiscal year 2026-2027 for the off-site construction
working group.

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The sum
appropriated shall be expended by the state building code council for the
purposes of this Act.

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SECTION 4.
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This Act shall take effect on July 1, 2026.

INTRODUCED BY:

_____________________________

Report Title:

State
Building Code Council; Off-site Construction; Working Group; Appropriation

Description:

Implements
certain recommendations of the SPEED Task Force.
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Establishes and appropriates funds for a
working group within the State Building Code Council to develop proposals for
an off-site construction program.

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