Ka Wai Ola - Office of Hawaiian Affairs, Volume 14, Number 5, 1 May 1997 — Federal housing bill S. 109 would bring help to native Hawaiians [ARTICLE]

Federal housing bill S. 109 would bring help to native Hawaiians

by Deborah L. Ward To address the severe housing needs of native Hawaiians — particularly those eligible for the Hawaiian homelands program — new federal legislation seeks to provide access to federal housing assistance programs and fimding. S. 109, introduced by Hawai'i Senators Daniel Inouye and Daniel Akaka would amend the recently-enacted Native American Housing and Assistance and Self-Determination Act whieh takes effect this October. The bill proposes making block grants for affordable housing projects — lowineome and self-help housing programs — available to Department of Hawaiian Home Lands. A hearing in Honolulu April 3 by the Senate Committee on Indian Affairs, chaired by Sen. Ben Nighthorse Campbell, was conducted by Inouye, as vice-chairman. S. 109 recommends that non-profit housing organizations be allowed to undertake affordable housing programs for native Hawaiians but does not rule out the possible use of for-profit housing firms. It also would provide a loan guarantee program for native Hawaiian families who presently find it difficult to obtain housing loans because lenders cannot secure Hawaiian homelands whieh are in a state land trust.

Inouye said the goal of S. 109 is to provide affordable housing for those Hawaiian families most in need with the same opportunity for federal housing assistance programs as is now available to other Native Americans. Three federal and state reports show the need is greatest for housing assistance to native Hawaiians on homelands. Inouye acknowledged concerns by Hawaiian organizations such as Ka Lāhui Hawai'i, that the bill is limited to Hawaiian homelands, and to native Hawaiians of 50% blood quantum but said it is imperative to take care first of those most in need. At a later time, he said, the act may be amended to allow homestead successors to become eligible for home loan guarantee assistance. Kali Watson, director of the Department of Hawaiian Home Lands favored S. 109's loan guarantees to Hawaiian homesteaders. DHHL will begin work on 12 new subdivisions with 3,000 lots in the next few years. S. 109 addresses the need for money for infrastructure development and for home construction, he said. HUD money has been successfully used for Native American and Alaska programs. Watson said a legal opinion has found DHHL is eligible to receive community development block grants and HUD funds, but it has received none to date. Watson suggested expanding the bill to allow the agency to work with

both non-profit and for-profit businesses, to allow for development of larger scale construction projects. He noted that OHA has been working with DHHL by providing two housing loan programs for downpayment financing and home repairs, developing a kupuna housing project in Waimānalo, funding technical assistance to Hawaiian homesteader selfhelp home building projects on several islands. OHA Trustee Billie Beamer supported the provision in S. 109 to qualify other authorities, non-profit entities and the Office of Hawaiian Affairs for funding. She said it will improve attempts to serve native Hawaiians who do not qualify for the conventional loan market. Beamer said OHA urges that separate funding be provided for native Hawaiian assistance to prevent reduction of any benefits for Native Americans or Alaska Natives under the Act. Inouye explained that the measure will not reduce funding to Native American tribes. He said, "Rather it is to correct the wrong of a historic denial of federal housing programs to Hawaiians on homestead lands. HUD is working with DHHL to accelerate housing programs. Through S. 109, HUD is directed to support technical requirements to make it work." Trustee Beamer, a former director of DHHL, noted that OHA is properly named in the bill as a native Hawaiian

housing authority since OHA has already initiated housing projects to serve a "left-out group," through its support of Habitat for Humanity projects, senior housing, DHHL repair and new home construction loans, and a project for replacement homes on 999-year encumbered leaseholds. La France Kapaka-Arboleda, a homesteader and director of Kaua'i Habitat for Humanity, a non-profit self-help housing organization, supports S. 109 as "a vital step" toward housing opportunities for Hawaiians. Housing has been in short supply on Kaua'i since the 1992 Hurricane 'Iniki. Habitat for Humanity on Kaua'i will complete 89 homes by year's end (87 are built on Hawaiian homelands), she said, and now is developing a 96-unit fee simple subdivision in 'Ele'ele, Kaua'i with a day care center and housing for families affected by welfare reform. She expressed eoneem that forprofit developers could benefit from home loan guarantees but not keep home prices truly affordable for homestead families. Mililani Trask, of the Gibson Foundation, c£illed S. 109 "the last foundation block for affordable housing." She favored allowing DHHL to work with non-profits and for-profits, if the forprofit firms guarantee quality of their work and bring the price down.