REPORT TITLE:
SPRB's for Health Care

DESCRIPTION:
Authorizes issuance of Special Purpose Revenue Bonds for a
senior citizen lifecare retirement community.


 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
                                            
HOUSE OF REPRESENTATIVES                H.B. NO.1693       
TWENTIETH LEGISLATURE, 1999                                
STATE OF HAWAII                                            
                                                             
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                     A BILL FOR AN ACT

AUTHORIZING THE ISSUANCE OF SPECIAL PURPOSE REVENUE BONDS FOR
   NOT-FOR-PROFIT CORPORATIONS THAT PROVIDE HEALTH CARE
   FACILITIES.



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

 1      SECTION 1.  The legislature finds and declares that it is in
 
 2 the public interest to encourage development of senior citizen
 
 3 lifecare retirement communities in the State of Hawaii.  The
 
 4 legislature finds that the Honolulu Neighborhood Housing
 
 5 Services, a not-for-profit Hawaii corporation, is engaged in the
 
 6 development of senior citizen lifecare retirement communities and
 
 7 thereby serves the public.
 
 8      The legislature further finds that the Honolulu Neighborhood
 
 9 Housing Services may be assisted through the issuance of special
 
10 purpose revenue bonds because this project is a health care
 
11 project as defined in part II, chapter 39A, Hawaii Revised
 
12 Statutes.
 
13      The legislature finds and declares that the issuance of
 
14 special purpose revenue bonds under this Act is in the public
 
15 interest and for the public health, safety, and general welfare.
 
16      SECTION 2.  Pursuant to part II, chapter 39A, Hawaii Revised
 
17 Statutes, the department of budget and finance, with the approval
 
18 of the governor, is authorized to issue in one or more series
 
19 special purpose revenue bonds in a total amount not to exceed 
 

 
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                                     H.B. NO.1693       
                                                        
                                                        

 
 1 $80,000,000 for the purpose of assisting the Honolulu
 
 2 Neighborhood Housing Services, a Hawaii not-for-profit
 
 3 corporation, in planning, designing, and constructing a senior
 
 4 citizen lifecare retirement community.
 
 5      The legislature finds and determines that the planning,
 
 6 designing, and construction of a senior citizen lifecare
 
 7 retirement community constitutes a project as defined in part IV,
 
 8 chapter 39A, Hawaii Revised Statutes, and the financing thereof
 
 9 is assistance to a not-for-profit corporation that provides
 
10 health care facilities to the general public.
 
11      SECTION 3.  The department of budget and finance shall not
 
12 issue special purpose revenue bonds authorized in section 2,
 
13 until the Honolulu Neighborhood Housing Services:
 
14      (1)  Has obtained a certificate of need approval from the
 
15           state health planning and development agency; and
 
16      (2)  Is in compliance with laws, ordinances, and rules of
 
17           the State or any political subdivision thereof, or any
 
18           departments or boards thereof with respect to:
 
19           (A)  The construction, operation, and maintenance of
 
20                projects;
 
21           (B)  Compliance with health care planning laws or
 
22                regulations, or zoning laws or regulations,
 
23                including obtaining building permits; and
 

 
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                                     H.B. NO.1693       
                                                        
                                                        

 
 1           (C)  Compliance with building and health codes and
 
 2                other laws, ordinances, or rules of similar nature
 
 3                pertaining to the project.
 
 4      SECTION 4.   The special purpose revenue bonds issued under
 
 5 this Act shall be issued pursuant to part II, chapter 39A, Hawaii
 
 6 Revised Statutes, relating to the authority to issue special
 
 7 purpose revenue bonds to assist not-for-profit corporations that
 
 8 provide health care facilities to the general public.
 
 9      SECTION 5.   The department of budget and finance is further
 
10 authorized to issue from time to time refunding special purpose
 
11 revenue bonds authorized in principal amounts that the department
 
12 shall determine to be necessary to refund the special purpose
 
13 revenue bonds authorized in section 2.  In making such
 
14 determination, the department shall comply with federal law
 
15 relating to the exemption from federal income taxation of the
 
16 interest on bonds of the nature authorized by this section.
 
17      SECTION 6.  The authorization to issue special revenue bonds
 
18 under this Act shall lapse on the later of June 30, 2003, or the
 
19 sunset date of section 39A-52, Hawaii Revised Statutes.
 
20      SECTION 7.    This Act shall take effect upon its approval.
 
21 
 
22                           INTRODUCED BY:  _______________________