The House and Senate will also tackle short-term vacation rentals and hiring problems in what promises to be a difficult year.

Opening day at the Legislature featured tighter security and fewer festivities Wednesday as lawmakers began to roll out plans to cope with the aftermath of the deadly Lahaina wildfire and a broken housing market.

Long lines formed outside the Capitol as visitors passed through and security checks to enter the House and Senate chambers, another sign of changing times in Hawaii that added to the subdued tone of the day.

House Speaker Scott Saiki described the mood as somber, given the scope of the issues lawmakers urgently need to address. “The gravity of the work before us is probably unprecedented in a lot of ways,” he told reporters after the House floor session.

People waited in long lines to pass through metal detectors before being allowed entry into the chambers and offices of the Capitol. (David Croxford/Civil Beat/2024)

Top of mind was the Aug. 8 Maui disaster that killed at least 100 people, displaced thousands and destroyed more than 2,200 homes and other buildings in Lahaina.

Maui Measures

House Majority Leader Nadine Nakamura described a flurry of activity by lawmakers shortly after the fire that generated a bipartisan package of bills to help Hawaii react to emergencies, prepare for climate change, prevent wildfires and rebuild the historic town.

Those recommendations included funding wildfire prevention and response programs, increasing fines for violations and establishing a state Fire Marshal’s Office. Funding for long-term air and water quality monitoring for communities affected by the wildfires was also proposed.

The deadline for the introduction of non-administrative bills is Friday, although dozens of measures have already been posted online. Lawmakers will meet through early May.

“The needs and the well-being of the people of Maui and the residents of Lahaina come first,” Saiki told his fellow lawmakers and a standing-room only audience in the House gallery.

House of Representatives speaker Scott Sakai follows up with a press briefing after the opening of the legislative session Wednesday, Jan. 17, 2024, in Honolulu. (Kevin Fujii/Civil Beat/2024)
House of Representatives Speaker Scott Saiki spoke to reporters after the opening of the 2024 legislative session. Saiki said lawmakers face formidable challenges this year. (Kevin Fujii/Civil Beat/2024)

If the rebuilding effort on Maui follows the pattern that played out after another devastating Lahaina fire in 1919, it could set up “another, more horrific disaster,” Saiki said.

That rebuilding a century ago featured “a few infrastructure improvements, mostly led by individual property owners who had the means to do so,” Saiki said.

He suggested an alternative way, linking the rebuilding effort more closely to the centuries-old Hawaiian model of sustainability and careful management of resources and population distribution.

“We will need to remind ourselves of these values frequently, especially in a time of urgent decisions and uncertain economic prospects,” he told the assembly.

At a separate press conference, Senate President Ron Kouchi framed the session more optimistically, saying lots of money is available to help with Maui鈥檚 recovery.

He referenced the destruction that Hurricane Iniki wrought in 1992, when he was chair of Kauai鈥檚 County Council.

鈥淲e are seeing in Maui unprecedented federal aid,鈥 Kouchi said.

Sen. Jarrett Keohokalole introduces guests in the Senate during opening day ceremonies at the Hawaii Legislature. (Ben Angarone/Civil Beat/2024)

A lot of Maui鈥檚 federal money is available for infrastructure improvements such as improvements to the electrical system, he said, a priority that Sen. Lynn DeCoite also mentioned.

Hawaiian Electric Industries faces dozens of lawsuits that blame it for the fire, an accusation that it disputes.

Seeking Housing Solutions

Newly appointed Maui Sen. Troy Hashimoto said housing on Maui will be a major focus. 鈥淚 think when you take a look at what really is the buzz on the ground, we go back to housing,鈥 he said.

About 6,000 fire survivors who lost their homes are still living in hotels. To help them transition to long-term housing, is offering above-market payments to the owners of short-term rentals if they house those who were uprooted.

Whether that鈥檚 enough incentive for short-term rental owners is a question that Hashimoto plans to revisit a month from now. For his part, Gov. Josh Green said last month that he is willing to use the 鈥渘uclear鈥 option and force rental owners to house fire victims if the incentives don鈥檛 work.

鈥淎nd the governor is kind of right 鈥 we鈥檙e going to have to look at what more can we do to open up that market. Because in the short run, that鈥檚 kind of all we have that鈥檚 easy to obtain,鈥 Hashimoto said.

In the long run, efficiently building more housing will be an important task to figure out.

鈥淢ost of the people in Lahaina are renters, and they won鈥檛 get that extended FEMA assistance,鈥 Hashimoto said. 鈥淎nd so we as a state and the county need to be prepared for that longer-term permanent housing situation that we鈥檙e going to be facing come February 2025.鈥

Nakamura said the House Democrats’ majority package includes an effort to support more housing for “working families,” and a boost in funding for homeless programs statewide.

Saiki also said the state must also get a grip on the proliferation of short-term vacation rentals in order to solve the housing shortage, which results in high prices and escalating rents.

Experts say those high costs are partly to blame for the steady decline in the state population as people move elsewhere to seek affordable housing. The population decline, in turn, contributes to a labor shortage that hurts businesses.

Economists say burdensome state and county regulations have severely gummed up efforts to develop new housing, which contributes to that web of problems. But lawmakers are clearly focused on short-term rentals, and are introducing a bill to give the counties authority to phase out some vacation rentals.

“What we plan to do is to introduce this bill that gives the counties the explicit authority to phase out the non-conforming uses, many in long established areas, and right now the counties don’t have that explicit authority in state law to do that,” Nakamura said.

Under the bill, the vacation units would be phased out as ownership of the properties changes over time, she said, adding that will “turn them back into long-term uses, which is what will help our local residents.”

The House of Representatives Bertrand Kobayashi opens the legislative session recognizing members of a Japanese delegation from one of the many Honolulu sister cities Wednesday, Jan. 17, 2024, in Honolulu. (Kevin Fujii/Civil Beat/2024)
State Rep. Bertrand Kobayashi introduced visitors in the House gallery during the opening day session. (Kevin Fujii/Civil Beat/2024)

Other Items On The Agenda

House Democrats are also backing a bill to authorize state departments to review employment applications to determine if they meet the minimum qualifications for a job to speed the hiring process, Nakamura said.

That measure is in response to high numbers of vacant jobs in state government. A recent study by the state Department of Human Resources Development showed 27% of state civil service positions were vacant in November.

The six House Republicans offered their own package of proposed legislation, including a measure to abolish Hawaii’s state income tax. That tax is the second-largest source of income for the state, and generated more than $3 billion for the state in the last fiscal year.

House Minority Leader Lauren Matsumoto said other states such as New Hampshire manage to pay their bills without a state income tax, so “it’s doable.”

“We have one of the highest (state income tax) rates in the nation. Let’s discuss it,” she said.

Matsumoto said the top priority in the Republicans’ package this year is a proposal to increase the contribution limits for . Those accounts currently allow residents to contribute up to $5,000 per year pretax as savings for a down payment on a home.

The Republicans want to increase that limit to $20,000 per year, or up to $40,000 for a couple, she said.

At the Capitol, throngs of people stood in a 20-minute line to enter the building and walk the halls to speak with legislators and grab opening-day food from lawmakers’ offices.

New metal detectors at its entrances, which had been talked about for years beforehand, helped cause a bottleneck even before reaching the Capitol鈥檚 few elevators up to the offices.

Kalihi resident Bernard Mendonca, 77, said that after making it through the line he planned to meet with Rep. Sam Kong to talk about seeing homeless people in his area. He referenced the high cost of living as a big reason for the situation.

鈥淭hey got to work a skilled job to try to even pay rent. And with the cost of food today and the tax situation, they can鈥檛 make it,鈥 he said.

Two Democrats who were appointed to their seats by Green took the oath of office Wednesday. They were , who represents Wailuku, and Rep. May Mizuno, who represents Kalihi Valley and parts of Kalihi on Oahu.

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