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SB41 • 2026

RELATING TO THE CONVEYANCE TAX.

RELATING TO THE CONVEYANCE TAX.

Housing Taxes
Active

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

Sponsor
CHANG, MCKELVEY, RHOADS, SAN BUENAVENTURA, Fevella, Moriwaki
Last action
2026-01-21
Official status
Re-Referred to HOU/WLA, WAM.
Effective date
Not listed

Plain English Breakdown

Using official source text because the generated explanation was unavailable or could not be confirmed against the official bill text.

RELATING TO THE CONVEYANCE TAX.

RELATING TO THE CONVEYANCE TAX.

What This Bill Does

  • RELATING TO THE CONVEYANCE TAX.
  • Conveyance Tax; Dwelling Unit Revolving Fund; Rental Housing Revolving Fund; Allocations Allocates ten per cent of conveyance tax collections to the Dwelling Unit Revolving Fund.
  • Removes the annual cap on conveyance taxes paid into the Rental Housing Revolving Fund.

Limits and Unknowns

  • This entry is temporarily using official source text because the generated explanation could not be confirmed against the official bill text during the last sync.

Bill History

  1. 2026-01-21 S

    Re-Referred to HOU/WLA, WAM.

  2. 2025-12-08 D

    Carried over to 2026 Regular Session.

  3. 2025-01-16 S

    Referred to HOU/WTL, WAM.

  4. 2025-01-15 S

    Introduced and passed First Reading.

  5. 2025-01-08 S

    Pending Introduction.

Official Summary Text

RELATING TO THE CONVEYANCE TAX.
Conveyance Tax; Dwelling Unit Revolving Fund; Rental Housing Revolving Fund; Allocations
Allocates ten per cent of conveyance tax collections to the Dwelling Unit Revolving Fund. Removes the annual cap on conveyance taxes paid into the Rental Housing Revolving Fund.

Current Bill Text

Read the full stored bill text
SB41

THE SENATE

S.B. NO.

41

THIRTY-THIRD LEGISLATURE, 2025

STATE OF HAWAII

A BILL FOR AN ACT

RELATING
TO THE CONVEYANCE TAX
.

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

����
SECTION
1
.
�
Section 201H-191, Hawaii Revised Statutes, is
amended to read as follows:

����
"�201H-191
�
Dwelling unit revolving fund.
�
(a)
�

There is created a dwelling unit revolving fund.
�
The [
funds appropriated for the purpose of
the dwelling unit revolving fund and all moneys received or collected by the
corporation for the purpose of the revolving fund
]
following
shall
be deposited [
in
]
into
the revolving fund[
.
]
:

����
(1)
�
Funds appropriated for the purpose
of the dwelling unit revolving fund;

����
(2)
�
A portion of conveyance taxes
pursuant to section 247‑7(3); and

����
(3)
�
All moneys received or collected by
the corporation for the purpose of the revolving fund.

����
(b)
�
The proceeds in the revolving fund shall be
used to reimburse the general fund to pay the interest on general obligation
bonds issued for the purposes of the revolving fund, for the necessary expenses
in administering housing development programs and regional state infrastructure
programs, and for carrying out the purposes of housing development programs and
regional state infrastructure programs, including but not limited to the
expansion of community facilities and regional state infrastructure constructed
in conjunction with housing and mixed-use transit-oriented development
projects, permanent primary or secondary financing, and supplementing building
costs, federal guarantees required for operational losses, and all things
required by any federal agency in the construction and receipt of federal funds
or low
‑
income housing tax
credits for housing projects.

����
[
(b)
]

(c)
�
Subject to the requirements
of subsection [
(a),
]
(b),
proceeds in the revolving fund may be
used to establish and operate regional state infrastructure subaccounts
pursuant to section 201H-191.5."

����
SECTION

2
.
�
Section 247-7,
Hawaii Revised Statutes, is amended to read as follows:

����
"
�247-7
�
Disposition of taxes.
�
All taxes collected under this chapter shall
be paid into the state treasury to the credit of the general fund of the State,
to be used and expended for the purposes for which the general fund was created
and exists by law; provided that of the taxes collected each fiscal year:

����
(1)
�
Ten per cent or $5,100,000, whichever is less,
shall be paid into the land conservation fund established pursuant to section
173A-5; [
and
]

����
(2)
�
Fifty per cent [
or $38,000,000, whichever
is less,
] shall be paid into the rental housing revolving fund established [
by
]

pursuant to
section 201H-202[
.
]
; and

����
(3)
�
Ten per cent shall be paid into the
dwelling unit revolving fund established pursuant to section 201H‑191.
"

����
SECTION
3.
�
Statutory material to be repealed is bracketed
and stricken.
�
New statutory material is
underscored.

����
SECTION
4.
�
This Act shall take effect on July 1,
2025.

INTRODUCED BY:

_____________________________

Report Title:

Conveyance
Tax; Dwelling Unit Revolving Fund; Rental Housing Revolving Fund; Allocations

Description:

Allocates
ten per cent of conveyance tax collections to the Dwelling Unit Revolving Fund.
�
Removes the annual cap on conveyance taxes paid
into the Rental Housing Revolving Fund.

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