Two bills would have rezoned seven acres of agricultural land to urban or residential and allowed for up to 35 homes
To avoid legal challenges, the latest measure to keep the homeless off busy city sidewalks would apply only to commercial streets.
The bill would allow creation of districts offering residents the chance to obtain special permits in high-congestion areas.
Supporters and opponents of the over-budget project fill Honolulu Hale to testify before the vote.
Tiny Mokauea Island is threatened by pollution and rising sea levels, while the handful of residents face uncertainty about their long-term lease with the state.
A special improvement district with private financing would be tasked with reducing congestion in Oahu’s busiest tourist area.