UPDATE: Hawaii County officials are urgently inviting a select group of residents to participate in a pivotal public housing summit on Monday, November 13, 2023, from 1 to 4 p.m. in Hilo. This exclusive meeting will unveil significant changes to the county’s affordable housing rules, following a previous summit held on November 12 in Kona.
The upcoming summit is crucial as it aims to address community feedback and refine the proposed overhaul of the county’s affordable housing policy. According to Councilwoman Ashley Kierkiewicz, who is spearheading this initiative, the aim is to present a comprehensive draft that translates stakeholder ideas into actionable code language. “This builds on our October 2024 convening, where stakeholders discussed concepts and potential improvements,” Kierkiewicz stated.
The county’s ambitious plan seeks to replace outdated affordable housing laws with a new framework that significantly enhances developer obligations and restructures the affordable housing credit system. Key changes include establishing long-term resale and rental restrictions while strengthening funding mechanisms for housing production. The committee is set to file its report with the County Council in December 2023 and introduce updated regulations by early 2026.
Under the proposed ordinance, rezonings that increase residential capacity, as well as resort and commercial projects expected to generate over 100 full-time jobs, will be mandated to include affordable housing components. Developers creating five or more residential lots will also fall under these new regulations. For such developments, the requirement is to earn affordable housing credits equal to 20% of the total units, with similar obligations applying to qualifying commercial projects.
The plan allows developers multiple avenues to satisfy their obligations, including constructing affordable units, renting income-restricted units, or paying an in-lieu fee when applicable. Furthermore, affordable units built on the same site as market-rate units will need to ensure a diverse mix of bedroom sizes.
The credit system will tie unit values to the income levels they serve, ensuring that at least 10% of credits benefit the lowest-income households. Existing excess credits will remain valid but will expire by 2035 if left unused. The draft also proposes strict eligibility rules for buyers, with resale restrictions in place for 15 years to maintain affordability.
To support these initiatives, the ordinance mandates a minimum of $15 million annually be allocated to the affordable housing production fund, targeting new construction, land acquisition, and rehabilitation efforts for low- and moderate-income households. Additionally, developers contributing in-lieu fees must apply these within the same judicial district as their project.
Incentives are also on the table for projects that exceed 50% affordable housing, including potential fee waivers and expedited permit reviews. If approved, the ordinance will replace all previous county affordable housing policies, some dating back to 1990.
Kierkiewicz emphasized that the update does not introduce a new definition of “affordable,” focusing instead on enhancing Hawaii County’s housing delivery system to better serve local residents.
Residents eager to influence the direction of affordable housing in Hawaii County are encouraged to participate in this crucial summit or submit comments to the ad hoc committee. The outcome of this meeting will play a significant role in shaping the future of affordable housing in the region, making it an urgent topic for community engagement.
For more updates, email Daniel Farr at [email protected].
