Public Meetings - Maui County, Hawaii

The Budget, Finance and Economic Development (BFED) Committee met on April 9, 2026, at 10:01 a.m. to consider the Mayor’s proposed Fiscal Year 2027 budget for the County of Maui. The committee received presentations from the Department of Agriculture and the Office of the Mayor, heard public testimony from 21 individuals representing a wide range of community organizations and businesses, and discussed the proposed budget provisions and revolving funds. No votes were taken; further deliberations will occur during decisions week. Public Comments & Testimony - Georgia Pinski (Maui Farmers Support Network) expressed gratitude for ongoing county support and requested continued funding at $140,000. She highlighted work on farmer coaching, a tool library, waste-to-agriculture programs, and a new women farmers’ initiative. - Tirza Rogers (Maui Farmers Support Network Board Chair) thanked the committee and emphasized the network’s role in food security, mental health support for farmers, and community-building. - Cesar Gaxiola (Walter Cameron Center) strongly supported a proposed $180,000 line item for planning and development, noting a waiting list of 15+ nonprofits seeking space. - Sophie Sellers (Grow Some Good) requested continued funding of $150,000, reporting that in the past year the organization served over 9,000 students (5,000 Title I), harvested 26,000 pounds of food, and planted 1,500 trees. - Cruz Lani and Ezekielani (Molokai High School FFA students) testified in support of the Department of Agriculture budget, stressing the importance of agricultural education, internship opportunities (e.g., MEDB STEMWorks), and protecting against invasive species. - Bobby Pahia (Hawaii Terra Farm) praised the county’s investment in agriculture but urged a shift from reimbursement grants to upfront grants (like MEO’s model) to help farmers with cash flow. - Hanale Colido (Hoomana Farms) described downsizing his hog operation from 1,000 to under 100 head due to a slaughterhouse bottleneck. He called for funding for a mobile/modular slaughterhouse and local feed production. - Dr. Paige Okamoto, Kiani Kapeliela Bannister, Nikki Russell, and Dr. Judy Aikawa (Maui Humane Society) advocated for increased funding for spay/neuter ($255,000, an 8% increase), animal sheltering ($332,000 requested), humane enforcement, and a new Forever Pets program ($250,000 requested). Nikki Russell stated the shelter took in over 5,000 animals last year, humane enforcement responded to 4,100 calls, and Molokai services are critically under-resourced. - Sharon Ka'apū (Kaipukukui) and Hāwanau Bernardis (Immigrant Services Coordinator, County) supported continued funding of $47,500 for the leadership development program. - Travis Liggett proposed several legislative concepts (property tax reform, ecosystem rights, digital democracy) and urged passage of $1.8 million for Kahului wastewater plant design. - Laurie Betzel (Lahaina resident) questioned the budget’s population assumptions (160,000 vs realistic 125,000) and urged prioritizing infrastructure, public safety, and economic recovery over general fund personnel increases. - Rob Fence echoed support for MEO-style upfront grants and expressed opposition to property tax cuts for high-value homes. - J.C. Law (Kula o Kāʻōkūʻāhua) supported the Department of Agriculture budget and cautioned against a proposed security screening device at the county building, calling it a hindrance to public participation. - Tihani Kaʻalekahi (Sustainable Molokai) requested continued support for the Keiki Mealbox program ($175,000 line item), which served 600 children per week for six weeks in 2025 and plans to expand to 700 per week for eight weeks. Discussion Items Department of Agriculture - Director Arce and Deputy Hevaheva presented a proposed budget with a 38.3% increase in salaries/wages (collective bargaining and salary commission) and a 10.5% increase in operations (new personnel, office rental, and expanded grant programs). Three new positions were requested: Grants Management Specialist IV, Accountant III, and Research Statistician I. - Competitive grants were outlined for FY27: agriculture operations, infrastructure, education, recovery, feral animal control (for Lānaʻi and Molokaʻi), food is medicine, kalo/ulu/niu production, Lānaʻi agriculture, and livestock. - Committee members asked about ag theft/vandalism, the slaughterhouse bottleneck, water access (Kula Ag Park reservoir and 12-inch waterline), and the agriculture emergency action plan timeline (in progress with TetraTech). - Director Arce confirmed that administrative rules for the department have not yet been drafted; house rules have progress. - Member Batangan questioned the director’s role as a voting member on the Kula Ag Park Committee, citing a potential conflict of interest. The director stated code changes are underway to make that role non-voting. - Member Rollins Fernandez inquired about revised conditions for microgrants to align with the Food and Nutrition Security Plan; staff confirmed alignment is intended. Office of the Mayor - Chief of Staff Lalo and Budget Director Milner highlighted the creation of a Grants Division (pilot in Mayor’s Office, planned transition to Department of Management in FY28), a new Small Grants Program (up to $25,000), and consolidation of residency area funds. - Makahiki Season line item ($1 million total) was explained as a grant program for local entities to host events, not a tourism marketing expense. $150,000 is for framework/marketing; the rest is competitive grants. - Section 15 of the general budget provisions proposes directing excess general excise tax revenues directly to the GET fund. Section 19 adds revenue bonds as a financing option and increases the cap on unreimbursed transfers to $150 million. Budget Director Milner said the change to quarterly CIP report language was unintentional and will be reverted. - Member Batangan questioned salary increases for non-union employees (e.g., EA2s) via WARP and EO 202502, calling four director-level salaries in the Mayor’s Office excessive. Chief of Staff Lalo defended the need for competitive wages to retain appointed staff. - Member Lee asked about economic development plans to offset job losses from Bill 900; staff cited workforce development programs and career pathways but could not provide specific job creation targets. - Member Uʻu-Hodgins criticized salary increases for appointed staff while first responders face step freezes and pay reduction, calling it “wild” and “not cool.” - Member Paulton raised concerns about disjointed communications (website, social media) and the $1 million Makahiki season allocation, asking for more detail. She also noted the fireworks auditor revolving fund (letter K) generates insufficient revenue and suggested merging it with the fire hazard removal fund. - Member Johnson requested data on grant applications and awards (e.g., Farm to Family had 15 applications for $3M total, only 4 awarded $900K). He also asked about the Green Print update; staff said there is no current progress on consultant selection and funding may be added via amendment. General Budget Provisions & Revolving Funds - Committee reviewed proposed changes to Section 15 (GET revenue) and Section 19 (revenue bonds). The quarterly CIP report change is a mistake and will be reverted. - Revolving fund balances (as of 3/31/26) were distributed. Members noted several funds have zero balances: County Park Special (E), Letter G (not specified), and Landscape/Beautification (T). The Hawaiian Cultural Restoration Revolving Fund (N) was discussed in detail; a bill (Bill 63) proposes expanding use to the entire Royal Complex area but raises questions about revenue generation (parking lot at Mokuʻula) and annual reporting. Key Outcomes - No votes were taken. All items are deferred to decisions week (week of April 13–17). - Follow-up questions to the Office of the Mayor (OM2) are due by 4:30 p.m. on April 14, 2026, after responses are received by end of day Monday, April 13. - Managing director’s responses to committee questions are expected no later than April 10; follow-up due date will be determined. - The schedule for upcoming meetings was adjusted: April 10 will feature Public Works, DPS Personnel, and OEV (if available); April 16 will include Department of Emergency Management and MEMA (1:00–4:00 p.m.), followed by the Kahului-Wailuku residency area meeting at 6:00 p.m. - The committee will revisit the Hawaiian Cultural Restoration Revolving Fund when OEV Resources can appear (likely next week). - The fireworks auditor revolving fund may be merged into the fire hazard removal fund pending confirmation from fire department leadership.

The Budget, Finance, and Economic Development (BFED) Committee of the Maui County Council convened on April 8, 2026, at 9:02 a.m. to consider agenda item BFED-1: the proposed Fiscal Year 2027 budget for the County of Maui. The meeting focused on the Department of Water Supply and the Department of Management (including the Office of Recovery). Testimony was taken, and committee members deliberated on both department budgets. The meeting adjourned at 1:13 p.m., with plans to continue on April 9, 2026. Public Comments & Testimony - Lauren Aki Take (Executive Director, Maui County Board of Ethics) testified in support of the Board of Ethics FY27 budget, noting that two expansion positions approved earlier are already being filled. She requested a salary correction from $227,091 to the board-approved amount. She also thanked the council for allowing part-time hiring. - Misty Amran (CEO, Maui Family YMCA) described the YMCA's community programs, stating that since 2023 the Y has provided over $600,000 in financial support for childcare, including free programming in Lahaina. She noted the Y gave over $200,000 in wellness scholarships last year. - J. Lu Cabrera (Director, YMCA West Side Resource Center) detailed the center's services for West Maui residents after the Lahaina fires, emphasizing it operates at no cost to residents or partner non-profits. He requested continued support for Phase 2 (partnership park). - Brandon LaRue (Youth Development Director, Maui Family YMCA) advocated for youth program funding, stating over 700 families rely on after-school programs. He described these investments as prevention and community strengthening. - Jim Langford expressed full support for the YMCA and the Water Department, and suggested exploring atmospheric water generators and software improvements. - Travis Liggett (via Teams) pressed for expedited wastewater disinfection (UV system) at Kahului, criticizing the Department of Environmental Management for delaying design to FY28. He claimed a locally developed solution is ready and urged the council to push for a budget amendment. - J.C. Law (Huakōahōopua, Kūpono) asked about rent paid for the locked One Main Plaza building (Human Services) and praised Spirit Horse Ranch. - Christopher Salem (via Teams) questioned the scope of a consultant report on nepotism allegations, the lack of explicit legal settlement line items in the budget, and the county's handling of whistleblower retaliation. He stated he brought evidence of wrongdoing that led to ordinance repeals but now faces retaliation. Discussion Items Department of Water Supply - Opening Remarks (Director Stufflebean): Presented a "status quo" budget balanced from water rates. Vacancy rate is 7%. Ten new positions are contingent on acquiring a private water system. Energy costs consume 20% of the budget. CIP increases significantly due to expected federal funding. Rate increases proposed only for high-end users; average user sees essentially no increase. The county-mandated watershed grants remain at 4% of operating budget. Top priority: developing new water sources for affordable housing. - Questions from Members: - Member Senency asked about generator capacity for East Maui. Director confirmed some portable generators exist and 30‑32 additional units are planned with federal funding. - Member U'U Hodgins inquired about the new water meter fee calculation (equivalent dwelling units) and permit processing. Staff said implementation has started and is faster. - Member Cook asked about the hydraulic study, the Haikū-to-Upcountry transmission line (clarified it allows water flow both ways), and the South Maui desalination plant (both seawater and brackish options being studied). - Member Johnson requested using Water Department reserves ($1.8 million) for airborne electromagnetic mapping of aquifers to unblock affordable housing projects. Director said discussions are ongoing; budget director noted state buy-in is desired. Johnson stated communities cannot wait and he will seek funding elsewhere. - Member Paulton asked about rate impacts on large users, the GET/DHHL split, and the ML&P system acquisition. Director confirmed revenue bonds are an option; eminent domain would unwind existing contracts. Damage to the Wailuku Ditch reduced water supply to the ʻĪao treatment plant by 10%. - Chair Lee questioned CIP priorities. Total CIP is $176 million; top priority is new water sources. Vacancies: 16 out of 235 positions. - Member Batangan asked about energy savings from Johnson Controls solar projects and about high water bills due to estimated readings. Director explained the billing correction process and ongoing transponder repairs. - Chair Sugimura (speaking) asked about stormwater revenue loss; Director noted reduced sales also reduce delivery costs, balancing out. - Member Cook inquired about gulch crossing repairs, stormwater capture studies, and AI tools. Director confirmed a CIP project addresses gulch crossings and a stormwater feasibility study is beginning. - Chair Sugimura asked for timeline to approve 100 upcountry water meters; goal is within FY27, not limited to 100. - Member Batangan asked about conflicting audit statements on procurement oversight; Director said contracts are reviewed and approved by Finance. Department of Management (including Office of Recovery) - Opening Remarks (Managing Director Nishita): Noted a $4.5 million budget expansion, seven EPs (six unfunded), including a chief security officer. IT salaries increased $968,000; operations up $3.8 million due to contract renewals and new software. OOR budget reduced by $3.5 million due to CDBG-DR distributions; $21 million set aside for temporary housing if federal funding ends. CIP projects include countywide facility renovations and West Maui land development. - Questions from Members: - Member Paulton asked about the personnel system RFP. Managing Director said Guide House Inc. was selected; contracting is in progress. She also asked about enforcement of administrative rules across departments. Managing Director acknowledged some departments are falling behind and consultants may be used. - Member Johnson pushed for administrative rules for Bill 11 (housing) and questioned the classification and compensation study. Managing Director said a direct benefit for lowest-paid employees was prioritized over a study. On the proposed metal detector (screening machine), Johnson opposed, recalling similar past opposition. Managing Director said it was placed for discussion and council direction will be followed. - Member Rollins Fernandez opposed the screening machine and asked about a cesspool survey (Brown and Caldwell) – it is under Management because multiple departments are involved. She supported the condition on DHHL GET funds but noted DHHL has had a year to finalize the intergovernmental agreement; she wants to maintain pressure. - Member Cook questioned dark fiber (fiber-optic wiring) and vacant positions. Managing Director acknowledged process inefficiencies but noted the review and revamp of HR processes is underway. Cook expressed concern about budgeting for unfilled positions. - Member U'U Hodgins asked about salary increases for non-union management when first responders (HFFA) lack step increases. Managing Director explained all increases follow collective bargaining; the county has provided hazard pay, free medical benefits, and pension contributions. - Member Senency asked if Management administers competitive grants; answer: no, only line-item grants except CDBG-DR solicitations. - Member Batangan questioned grants and contracts named in the budget narrative but not in the ordinance. Answer: departments can use competitive processes, renewals, or cooperative purchasing. She also asked why a police station sign project is under Management – Managing Director said it was to fulfill a council renaming decision. - Chair Sugimura asked about the Economic Recovery Commission (ERC) contract. Office of Recovery (John Smith) stated the mechanism is shifting from a grant to a contract due to legal requirements, but the work will continue. Chair also asked about hiring incentives (e.g., $5,000 signing bonuses). Managing Director confirmed departments can offer such incentives with retention requirements. - Member Cook asked about the Office of Recovery’s permanent and temporary positions. John Smith described 11 permanent positions and up to 56 CDBG-DR positions (27 filled). He noted that the Office of Recovery is permanent and helps navigate federal reimbursement. - Member Batangan asked about legislative tracking – Managing Director said it was moved to Management for consistency after council approved a position. She also asked about executive order EL 2025-02 justifying pay increases; budget director confirmed it reflects collective bargaining. - Member Paulton asked about transferring SMA funds for employee housing obligations – follow-up needed. She also urged assistance for Lahaina residential owner-occupants; Managing Director said the Hawaii Community Lending $7.5 million appropriation is proceeding, and discussions continue on a $6 million gap. - Member Johnson asked about rebuilding Lahaina Courthouse and Prison – Office of Recovery said Lahaina Restoration Foundation has FEMA and insurance but a funding gap exists; they may request flexibility. - Member Rollins Fernandez asked if the Office of Recovery can handle other disasters beyond fire. John Smith confirmed they are building capacity; the recent Kona Low events highlight the need. An additional budget amendment for response is coming. - Member U'U Hodgins asked about Office of Recovery’s role in stormwater resilience and sinkhole repairs. Smith said they help navigate FEMA reimbursement and longer-term mitigation planning, including watershed restoration. - Chair Sugimura expressed concern about over $600 million in subsidized housing programs and questioned whether STR expectations have been met. Managing Director explained that most fire victims were underinsured; multifamily projects require heavy subsidies due to cost escalation. - Chair Sugimura also asked about ʻIao Theater repairs ($3.8 million). Aaron Wade summarized structural issues – roof replacement before 100th anniversary (2028). The theater will be temporarily displaced; partnerships with other arts venues are planned. - Member Paulton asked about the intersection of MEMA and OOR. Smith said OOR integrates with MEMA’s plans, stepping in during long-term recovery. After the Kona Low, assessments and debris removal shifted to OOR. - Member Paulton also asked about a conservation easement for managed retreat – Managing Director said Hana Community Land Trust inquired, and a legal determination is pending on whether it is allowable. - Member Johnson asked about funding for reforestation and watershed work – Office of Recovery is open to discussions but may prefer completing the urban forest management plan first. - Member Batangan questioned whether several grants in the budget (Council for Native Hawaiian Advancement, J. Walter Cameron Center, etc.) are appropriately placed under Management. John Smith said they are continuations of OOR work and offered to provide written descriptions. - Chair Lee criticized what she called "padding the budget" and noted council often increases the budget above the mayor's request. Managing Director responded that council has added funds each year, and carryover savings help smooth tax increases and respond to emergencies. Chair Lee questioned why tax rates are raised when assessments decline. Managing Director replied that rate increases can offset assessment drops to avoid revenue loss. Key Outcomes - Public testimony was closed; written testimony will be accepted. - The committee deferred final action on BFED-1. Deliberations will continue. - The committee acknowledged that the Department of Water Supply’s budget is balanced through rates; no votes were taken. - The committee directed the Department of Management to provide further written responses (e.g., on conservation easements, grant descriptions, ML&P acquisition details). - A follow-up meeting is scheduled for April 9, 2026, at 10:00 a.m. to hear from the Office of the Mayor and Department of Agriculture. This schedule may be adjusted due to the emergency activation of the Emergency Operations Center (EOC) for the incoming Kona Low storm. The committee resolved to continue next week as planned unless further changes are announced. - The committee noted the need to address carryover savings, unfilled positions, and administrative rule updates.

The Budget, Finance, and Economic Development Committee, led by Chair Yukilei Sugimura, held a community listening session at Hana to hear budget priorities for Fiscal Year 2027. All council members were present. The meeting focused on gathering testimony from residents and nonprofit leaders about funding needs for housing, infrastructure, cultural preservation, health services, and emergency management. Public Comments & Testimony - Sheila Roback (Hale Hulu Mamo Senior Center) thanked Parks and Rec for reopening the Civic Center and expressed support for many nonprofits including MEO, Hana Youth Center, Hana Dialysis, Hui Lao Lima Ohana, and others. - Timmy Satot (County Office on Aging and Hale Hulu Mamo) asked for continued support for kupuna programs: Maui Adult Daycare, Office on Aging, Kaunoa Senior Services, Meals on Wheels, and MEO transportation. - Mark Tanaka Sanders thanked county crews for storm response and proposed a recreation needs assessment and a parking plan; gave a written proposal to Councilmember Senensi. - Alan Johns (President, Habitat for Humanity Maui County) announced that after 10+ years, a 25-unit affordable housing project is in the mayor's FY27 budget; only waiting on Hawaiian Electric poles. - Claudia Kala‘oli (Kia‘ohali, Nāmamo ‘o Mū‘olele) asked for continued funding for native species restoration and highlighted deterioration of the Kihomanu statue in a county park; requested a solution. - Lehua Cosma (Hana Dialysis Home / Hui Lao Lima Ohana) opposed the Kōkī subdivision over cultural and environmental concerns, supported MEO's relocation to the preschool, and requested office space for the new MIMA liaison. - Barry Chang noted flooding and power outages from the storm, supported the canoe club, MEO weekend drivers, and asked for more funding for food security and housing. - Jocelyn DeCoy (Hana Mamas) requested $650,000 for a sober living home and Aina-based intensive outpatient programs; noted inaccurate 2020 census data and asked for funds to conduct a door-to-door census and voter registration. - Matt Bachman (Executive Director, Habitat for Humanity Maui) asked to keep the $250,000 annual county funding for home repairs and specifically requested $6.595 million to purchase 7.2 acres in Hana for 25 homes; noted permitting delays (330 days) as a barrier. - Claire Carroll (County employee, East Maui deployment) highlighted high cost of living ($6.91 gas, $17 poi, $12 milk), supported MEO transportation, sidewalks, and a business district; asked for continued support for all Hana nonprofits. - Hā‘oli Kahale‘owahi (Hane‘o Hamoa Fishing Village Hui) requested $3 million from the Open Space Fund to purchase 115 acres threatened by luxury subdivision; noted an appeal and contested case; presented nearly 1,000 petition signatures. - Lipoa Kahale‘owahi (Mākaha Hana Ka‘ike) reported on the organization's apprenticeship program (81 students, 15,000 training hours) and supported the Hane‘o land acquisition. - Michael Opgenorth (Kahanu Garden) thanked for past support, asked for help with little fire ant and banana bunchy top virus on Ulaino Road, and suggested exploring road improvements to limit invasive species. - Kāne Kanaka‘ole (MEO Hana branch manager) requested continued support for MEO services and the Festivals of Aloha Hana. - Kīpahulu Community Association speakers (Theo Firestone, Chuck Eston, Wesley Brown, Kiah Hilin, Ryan Zuko) asked for $109,000 to purchase 2.64 acres for a community center, garden, and cultural space; described mission of subsistence and community cohesion. - Sunny Makua (Kia‘ohali) supported the $3 million land purchase at Hane‘o and outlined Kia‘ohali's accomplishments. - Scott Crawford (Kia‘ohali board) provided details: appraised value $3.5 million, Legacy Land Conservation Program award of $600,000, and a potential additional $700,000; requested $3.6 million from Open Space to cover purchase and closing costs. - Noe Lecker and son RJ supported MEO and Mākaha Hana Ka‘ike; asked for completion of the Pani‘au Skate Park, a playground at Kīpahulu Point Park, a community center for Kaupō, and a community police officer. - Earl Medeiros supported the Hane‘o land acquisition and all nonprofits. - Heidi Leah (Hana Business Council, Hana Side News) thanked for support of the Hana Hub project (closed on property March 27) and MIMA liaison. - Matt Keely (Maui County Farm Bureau) supported agriculture education, MEO, MISC, and the Kīpahulu Community Association land request. - Akonaki Lind (new MIMA East Maui liaison) introduced herself; emphasized need for emergency resources and support for Hana Police and Fire. - Mary Brooke (Hana Football Booster) asked to follow up on $20,000 student travel funds that were not received; council noted $30,000 in mayor's budget for MIL travel and clarified reimbursement process. - Lawa A. Lind (Nāmamo ‘o Mū‘olele) requested funding for ecological restoration and experiential learning workshops. - Sam Akoi expressed support for all nonprofits and the $3 million land acquisition. Key Outcomes - The committee accepted all oral and written testimony for consideration in the FY27 budget. - Chair Sugimura encouraged testifiers to submit written testimony to the BFED committee email and the e-comment link. - Councilmembers asked clarifying questions on several items (e.g., permitting delays, open space fund eligibility, police staffing). - No formal votes were taken; the meeting was strictly for public input. - Upcoming residency area meetings announced: South Maui on April 14 (Tuesday) and West Maui on April 17 (Friday), both at 6 p.m.

The Budget, Finance and Economic Development Committee of the Maui County Council met on April 7, 2026, to continue deliberations on the proposed Fiscal Year 2027 county budget. The committee heard presentations from the Departments of Human Concerns, Parks and Recreation, Transportation, and Planning, and received public testimony on various grants, contracts, and community needs. The meeting was chaired by Vice Chair Calonar Batungan, acting for Chair Yuki Lee Sugimura. Public Comments & Testimony - Scott Hopkins (Executive Director, Feed My Sheep) testified in support of increased funding from $125,000 to $135,000 for the Healthy Diet program, citing rising food costs and increased demand. He reported serving 3,000 unduplicated individuals annually, with a spike to 9,000 during the wildfires. - Dana Thorne (Program Manager, Best Buddies Maui County) requested continued funding for programs supporting individuals with intellectual and developmental disabilities, serving 103 participants through seven school-based chapters and one community chapter. - JD Wyatt (Executive Director, Kalimo Maui) supported the Parks and Recreation budget, highlighting that the organization employs 50+ adults with disabilities and holds county contracts totaling $1.84 million for custodial and grounds maintenance. He noted challenges from rising minimum wage and operational costs. - Paige DePont (Director, Spirit Horse Ranch) stated her organization was left out of the Department of Human Concerns funding despite delivering over 4,600 trauma-informed care sessions. She requested $700,000 (half of her budget) and noted a 98% improvement in mental/behavioral health outcomes. - Patrick Saka (Controller, Kalimo Maui) detailed contracts: $845,000 for parks custodial, $735,000 for grounds maintenance, $233,000 for police department, and $27,000 for fire department. - Debbie Kabibi (CEO, Maui Economic Opportunity) thanked the committee, reported serving 18,000 individuals (touching 57,000 lives), and requested support for the mayor's proposed budget increases due to prevailing wage and operational cost increases. - Kevin Kelly, Brady Yap, Andrew Osaka, and Gloria Calcito (employees of Kalimo Maui) shared personal testimony about the value of employment and the opportunity to work with people with disabilities. - JC Long (community member) commented on bus system operations, requested an audit of the Salvation Army, and suggested consideration of biodiesel buses. Department Presentations and Discussion Department of Human Concerns Deputy Director Jessica Krauss presented a proposed FY2027 budget of $36,979,384, including 10 new grants ($1,374,765) and six expansion positions. The department is focused on rebuilding the West Maui Senior Center ($27 million in FEMA funds). - Chair Lee encouraged proactive partnerships with religious organizations and Ka Hale A Ke Ola for homeless services and resource center rebuilding. - Councilmember Sugimura inquired about homeless efforts on Pulehu Road and coordination with the Affordable Housing Fund. - Councilmember Paulton questioned vacancy priorities and grant-funded positions. - Councilmember Johnson asked about the Kamaʻāina Grant (Maui United Way) status; the department received an updated application on April 1 and is reviewing. - Councilmember U’u-Hodgins expressed concern that $4.7 million spent on homeless services does not show improvement and questioned the effectiveness of the Housing First approach. - Vice Chair Batungan asked about the county’s housing policy given federal changes, and about the split between Department of Human Concerns and Mayor’s office homeless outreach budgets. Department of Parks and Recreation Director Pat McCall presented a $49.9 million operating budget (15.4% increase) and $75 million CIP, focusing on tree trimming, fire mitigation, and preventative maintenance. The department has 68 vacancies. - Councilmember Johnson asked about using ADA funds for a new restroom on Lanai; funds are only for upgrading existing facilities. - Councilmember Cook inquired about impediments to CIP timelines; department cited improved inter-department coordination and is targeting 90%+ on-time delivery. - Councilmember U’u-Hodgins asked about Ho‘okipa restrooms (expected reopening week of April 20) and parking congestion from tour buses. Director McCall noted ongoing discussions about tour bus management. - Councilmember Sugimura raised concerns about storm damage at Kula Community Center (built in 1930s) and Kipaniwai Heritage Garden; assessment ongoing, possible removal of pavilions. - Councilmember Paulton questioned the 1,031.9% increase in premium pay (explained as reinstatement of council cuts) and asked about re-organization and union consultation for positions. - Councilmember Johnson asked if the department would support exempting park fees for county-led farmers markets; department is open to discussion for Lānaʻi and Molokaʻi. Department of Transportation Director Mark Takamori presented a budget with 5–5.7% increases for transit contracts, $1.4 million for ADA paratransit, and $850,000 for MEO vehicle replacements. CIP includes multimodal projects and ferry planning. - Councilmember Johnson asked about waiving fixed route fees for county employees and students; fiscal impact expected minimal, and code amendment is not needed—appendix B change suffices. - Councilmember Cook asked about bus stop planning; department has 200+ stops, 50 with shelters, and requests $800,000 annually for improvements. - Councilmember U’u-Hodgins asked about safety and disruptive behavior on buses; security is present at Kahului Transit Center 24/7. - Councilmember Sugimura inquired about the $77 million base yard CIP; department is finishing master plan and working on electric bus charging infrastructure. - Councilmember Paulton asked about adding a stop at Hanaka‘ō‘ō Beach Park; director will consider but noted scheduling and safety concerns. - Councilmember Rollins Fernandez asked about the ferry timeline; environmental assessment solicitation closes April 9, service targeted for end of Q3/beginning Q4 FY27 for Lānaʻi, with Molokaʻi one to two years later. - Councilmember Batungan asked about a school bus picking up at a county bus stop; likely DOE using the location, but department will investigate. Department of Planning Deputy Director Anna Lillis presented a $10.8 million budget (15.8% increase) with three expansion positions, no CIP, and plans for 10 land use ordinance and rule updates. - Councilmember Paulton asked about expansion positions (none require union re-org) and hiring processes; department uses DM89 only when no open recruitment, but is working on retention incentives. - Councilmember Rollins Fernandez asked about expediting affordable housing permits; department said it dedicates resources but complex projects may take time. - Councilmember Cook suggested tracking total value of permits in queue as a performance measure; department will explore. - Councilmember U’u-Hodgins asked about fee increases for rule changes and building permit fee waivers for 100% affordable housing; department to follow up on process. - Councilmember Sugimura asked about SMA permits for lifeguard towers; can be fast-tracked as SMA minor if under $500,000. - Councilmember Johnson clarified budget discrepancies: Upcountry community plan engagement is $250,000, historic records compilation is $450,000. - Councilmember Senense asked about consolidation/subdivision process; it is administrative unless in SMA. Department does not administer subdivision code (Public Works). Key Outcomes - The committee continued budget deliberations; no formal votes were taken. - The meeting calendar was adjusted due to storm: South Maui residency meeting postponed; Police and Environmental Management added to new dates. - Deadline for council members' budget proposals and priority lists: Saturday, April 18, 2026, at 4:30 p.m. - Additional budget questions for departments heard today (Human Concerns, Parks & Rec, Transportation, Planning) must be submitted by 9:00 a.m. on April 8, 2026, to staff.bfed@mauicounty.us. - The Office of Council Services confirmed that no code amendment is required to implement a bus fare waiver for county employees; adjustments to the rates and fees schedule (Appendix B) are sufficient. - Next meeting: April 8, 2026, at 9:00 a.m., with presentations from the Department of Water Supply and the Department of Management (including Office of Recovery).

The Budget, Finance, and Economic Development (BFED) Committee convened on April 6, 2026, at 9:06 AM to continue deliberations on the proposed Fiscal Year 2027 budget for the County of Maui. The meeting focused on the Department of Fire and Public Safety and the Department of Housing. Chair Sugimura presided. Members discussed rescheduling upcoming district meetings due to a forecasted storm and received extensive public testimony. Schedule Changes & District Meeting Recaps - Rescheduled Meetings: Due to the forecasted Konalo storm, the South Maui residency area meeting was rescheduled from Wednesday, April 8, to Tuesday, April 14, at 6 PM. The West Maui meeting was rescheduled from Thursday, April 9, to Friday, April 17, at 6 PM. - Member Proposals Deadline: Member proposals for budget adjustments are now due on Saturday, April 18, at 4:30 PM. - District Meeting Recap: Chair Sugimura and Member U Hodgins reported on the April 1 Upcountry residency area meeting, which heard from 44 testifiers. Topics included the MEDB STEM Works program, MEO paratransit, the BEST reintegration program, the Maui Mountain Bike Coalition, surface water testing, and Holomua Road concerns. Public Testimony - Pa'ia Youth & Cultural Center (PYCC): Dean Wong and Jeremiah Savage of Emua Family Services (administrative partner of PYCC) requested an operational funding increase from $350,000 to $554,000. They stated the center serves 45-65 youth daily and needs support for clinical mental health and substance abuse services. - La'Akea Village: Multiple speakers (Executive Director Ashley Klemperer, board VP Josh Woodburn, family members, and program staff) strongly supported a $4.5 million Affordable Housing Fund grant request. The project plans 22 single-story homes providing supportive, inclusive rental housing for adults with intellectual and developmental disabilities, their caregivers, and other qualified residents. The total project cost is estimated between $23 and $30 million. - Aloha House: CEO Nicole Hokowana testified in support of a $2 million AHF grant to acquire two sober living homes. The program serves very low-income adults with substance use and co-occurring mental health disorders. Aloha House committed up to $1 million in matching funds. - Wastewater Concerns: Travis Liggett raised concerns about the delay in designing a new wastewater disinfection system for Kihei, stating the current injection well discharges require an NPDES permit. - Capital Improvement Projects: Christopher Salem testified against the continued listing of the Lower Honoapiilani Road improvements, alleging a three-decade lack of progress. He also raised concerns about fire mitigation obligations deferred by Public Works. Discussion Items: Department of Fire and Public Safety - Budget Overview: Chief Ventura presented a nearly flat budget (0.6% increase), emphasizing training, fire prevention, and drowning prevention. External donations (Sara Foundation) were highlighted. - Equipment & Infrastructure: Members discussed the replacement of aging IC200 800MHz radios, backup generators at stations, drone programs, and a planned secondary Public Safety Answering Point (PSAP) to separate fire/medic dispatch from police dispatch. - Response Times & Station Planning: Calls have grown from 5,000 in 2003 to 17,497 in 2025. The Chief identified that new stations in Haiku and Olawalu are critical. The Kihei station relocation study identified the Pīʻikea area and Piʻilani Promenade as top candidate sites. - Personnel & Operations: The committee questioned premium pay (holiday pay reallocation), uniform allowances, the status of bargaining unit arbitrations, and an air travel allowance for Lanai firefighters due to unreliable ferry service. Discussion Items: Department of Housing - Budget Overview: Director Mitchell highlighted a $4.1 million increase for rental assistance and a $21 million increase for affordable housing fund projects. A formal competitive RFP process for the fund was instituted to depoliticize project selection. - Housing Programs: The department signaled openness to increasing the $30,000 cap on the first-time homebuyer program and supported expanding the Molokai Voluntary Deed Restriction Program to Lanai. An RFP was issued for the redevelopment of the Kahale Akiola interim housing project, with operations extended to February 2027. - Affordable Housing Fund Projects: The Kuʻikahi workforce housing project (102 for-sale units, 80-120% AMI) was discussed, noting it will require amending its land use entitlements. $1 million was allocated for pre-development costs on the county-owned Kihei Police Station parcel. - Collaboration: The department confirmed collaboration with Planning on county lands and expressed openness to working with EPNS on green housing. Key Outcomes & Chair’s Budget Philosophy - Next Steps: Members will submit budget proposals by April 18 at 4:30 PM. Staff will provide an adjusted department hearing calendar. - Fiscal Philosophy: Chair Sugimura emphasized the need for a budget that reflects current economic realities (gas $6-$7/gallon, eggs $13/dozen). Noting $174 million in carryover savings and a May 2021 auditor report suggesting the county has excessive financial reserves, he urged discipline and an analysis of whether the county is overtaxing residents. He also highlighted future fiscal challenges, including the 2030 GET sunset and property tax impacts from Bill 9 (short-term vacation rental prohibition).

The Maui County Council held a district budget meeting in Paia to hear community testimony on budget priorities. Council members present included Chair Yuki Lei Sugimura, Vice Chair Nohe U'u-Hodgins, and others. The meeting focused on listening to residents and gathering input for the upcoming budget. Public Comments & Testimony - Mahailani Bettencourt (MEO Paratransit) emphasized the critical role of paratransit services for individuals with disabilities, including wheelchair lifts and specialized training, calling them essential infrastructure. - Sheila Kalima (MEO Paratransit rider of 16 years) shared her personal reliance on the service for medical appointments, shopping, and family events, and suggested an automated phone message system during service disruptions for those without internet. - Brandy Diaz Christian (MEO Paratransit new user) expressed gratitude for the service enabling her to access groceries, medical care, and outings, noting the lack of sidewalks and safety hazards near her home. - Lucianne Denay (Haiku Community Association) requested $40,000 for stream water quality monitoring (E. coli, enterococcus, nutrients) to protect recreational stream users, and expressed concerns about the proposed Haiku-Upcountry water pipeline, questioning costs and impacts. - Francina Arona (Paia resident) requested $750,000 for gates on Holomua Road to address safety issues, $80,000 to replace angle parking with parallel parking on Baldwin Avenue, and funding for lighting at Mana Foods municipal lot. - Bianca Campagna (8th grader, Maui Waiani Intermediate) testified in support of MEDB (Maui Economic Development Board) media program, describing how it helped her overcome shyness and win awards at competitions. - Ari Lampitok (8th grader, Maui Waiani Intermediate) supported MEDB, highlighting awards at Shoot Summit and Student Television Network, and how the program taught leadership and public speaking. - Keely Cabreros (8th grader, Maui Waiani Intermediate) supported MEDB, noting two first-place wins and two honorable mentions from STN, and how the program gave her a second family. - Arya Olivedo (6th grader, Maui Waiani Intermediate) supported MEDB, stating the program helped her become more confident and find a sense of belonging. - Jason Ocoba (7th grader, Maui Waiani Intermediate) supported MEDB, citing awards from STN and VEX Robotics qualification for World Championships, and credited MEDB for teaching leadership. - Kenneth Kosaka (student) thanked MEDB for fueling his passion for STEM from kindergarten onward. - Lindsay Kosaka (student) supported MEDB funding, sharing how robotics and programming changed her life and provided a supportive community. - Sierra Kosaka (8th grader, Seabury Hall) supported MEDB, recounting her brother's robotics success and her own growth in coding and engineering through STEM programs. - Martin Mally (Maui Mountain Bike Coalition) requested support for the Cycle Strong grant, which teaches lifelong cycling skills, noting it was on a recommended list for funding. - Kai Lenny (surfer, community member) testified about Hookipa Beach Park needs: restrooms have been out for over a year, aging infrastructure, parking congestion, and safety concerns from tourists and storms. - Alex Odrio (parent) supported MEO Head Start program, describing how it stimulated her daughter's development and supported her return to work. - Maile Davis (Malama Hamakua Maui) requested increase from $40,000 to $80,000 for maintenance of Hamakua Open Space Preserve, citing illegal dumping, delayed cultural assessment, and the need for long-term solutions like a transfer station. - Francis Komako Colani (Upcountry Strong) requested continued county grant funding for the only food pantry in upcountry Maui, which served 7,000 individuals in 2025, distributing 2,000 pounds of food weekly. - Ginger Prados (lifeguard at Hookipa) urged infrastructure improvements: relocate restrooms to upper lot, address erosion, enforce rules to prevent overcrowding and safety hazards. - Shay Chan Hodges (former Board of Water Supply member) criticized the proposed $1 billion water capital plan, calling for data-driven analysis, transparency on project details, and an airborne electromagnetic aquifer study before committing to new wells. - Elijah Welch (community member) emphasized the need for community stewardship and action at Hookipa, noting the park receives over 1 million visitors annually and requires better management. - Kelsey Miller (volunteer) proposed paid parking for tourists at Hookipa, with revenue reinvested into park improvements, and creation of a community advisory group. - Bob Street (lineal descendant) requested documents on historic district violations and raised concerns about water rights from the Waihe Ditch system. The chair briefly recessed after he became confrontational. - Leanne Fulcher (parent) supported MEO Head Start, describing how it helped her continue her education and build a future for her child. - Luke Walsh (resident) raised issue of unauthorized commercial tour buses at Hookipa, which block traffic and create safety risks, and asked what they contribute to the park. - Dennis Walsh (firefighter) described dangerous conditions at Hookipa due to tour buses and crowds, urging enforcement and better infrastructure. - Moana Wetcha (born and raised) supported paid parking for Hookipa to reduce congestion and fund visitor education. - Nick Nicolanda (39-year resident) called for water system reform, addressing homelessness with compassion, and expanding the tiered property tax system to include a vacancy tax. - Moi Kabakoa (Holomua Outreach) thanked council for three grants that funded workforce development for houseless individuals, and requested continued funding and five acres of land for a holistic rehabilitation center, possibly at Maliko. - Maya Marquez (houseless advocate) echoed Moi's requests, asked for clarification on Holomua Road gate funding ($450,000 vs $750,000), and urged council to prioritize land for houseless communities. Key Outcomes - No formal votes or decisions were made during the meeting. - Council members thanked testifiers and noted they would consider input during the budget process. - The meeting was adjourned after public testimony closed.

This was the first in a series of community budget meetings held by the Maui County Council’s Budget, Finance, and Economic Development Committee. The meeting, chaired by Councilmember Yukile Sugimura, took place in Pukalani and focused on receiving in-person oral testimony from residents on any topic related to the county budget. No formal agenda items were discussed beyond public testimony. Councilmembers present included Chair Alice Lee, Tamara Paulton, Rollins Fernandez, and Shane Senensi; Nohe Lani Uuhajan was absent. The meeting was recorded and streamed live. Public Comments & Testimony Transportation (MEO Bus & Paratransit) - Stephanie Berger testified that the MEO bus system enables her to work part-time and access recreation. She praised the booking system, reminders, and drivers Arlie and Loretta. - Warren Govea, who is totally disabled, stated he depends entirely on MEO for medical appointments and errands. He thanked the chair for accommodating his needs with a special van. STEM Education (MEDB STEMWorks & Robotics) - Multiple students, teachers, and parents testified in strong support of continued and increased funding for the Maui Economic Development Board (MEDB) STEMWorks after-school program and robotics teams at Pukalani Elementary School. Key testimonies included: - Matteo Liang (5th grader): Participated in VEX IQ regionals and Japan Cup; learned life skills; urged continued funding. - Tyson Keating (student): Thanked donors and said robotics teaches programming, driving, and teamwork. - Daryl Sato (teacher/coach): Stressed that STEM prepares youth for high-paying careers and creates a pipeline of local talent. - Melissa Ramos (vice principal): Called the program a bridge to the 21st century. - High school students from Maui High’s Girls Can STEM club (Elisha Rabanis, Melanie Edmulin, Zelene Galizia, Therese Novelin Matilinus, Ariani Yap Wilsie) described how MEDB funding enabled STEM nights, internships, and skill development in communication, adaptability, and leadership. - Crystal Henkel (parent, engineer): Highlighted the program’s role in encouraging girls to pursue STEM. - Councilmember Tamara Paulton asked students and teachers to inform youth about county career opportunities in engineering and IT, noting a supplemental bonus for engineers. Youth Cycling (Maui Mountain Bike Coalition Cycle Strong Program) - A large group of students, parents, educators, and business owners testified in support of funding for the Cycle Strong program, which provides mountain biking and mentorship for youth. Speakers included: - Aaron Rikert (Crank Cycles owner): Described the program’s mental health benefits, especially after the fires; noted partnerships with MPD and Parks & Rec; requested $125,000. - David Mason (educator): Cited a survey where over 50% of middle schoolers wanted a mountain bike club. - Students Isaac Jackson, Taj Berg, Kingston Corba, Aero Campus, Ariella Collins, and Aiden Collins: Shared that biking builds confidence, keeps them active, and provides a positive outlet. - Shaila Koomoa (parent, bike business): Emphasized the program as prevention for at-risk youth. - Councilmember Paulton clarified the requested amount and whether it was in the mayor’s budget. She encouraged the group to provide written details. Early Childhood & Family Services (MEO Head Start, Ho’Okaika Partnership, Maui Farm) - Danielle Evans (parent, former staff): Requested continued funding for MEO Head Start and urged the county to improve nutritional quality of meals by sourcing local, fresh foods. - Deb Manawis (Ho’Okaika Partnership coordinator): Asked the council to restore and increase funding for child abuse prevention. The partnership was not included in the mayor’s proposed FY27 budget. She noted that their $175,000 allocation from the previous year supported navigation services for over 500 individuals and outreach to 4,000 people. She submitted written testimony. - Emily Erickson (Maui Farm executive director): Requested $323,000 (a $43,000 increase) for transitional housing with a farm component for homeless families. The farm currently houses eight mothers and 15 children. Councilmember Paulton noted the increase was not in the mayor’s budget and asked for details. - Ka’io Martin (Maui Farm board member): Spoke to the program’s founding vision and the need for long-term support. Agriculture & Food Security - Jerry Ross (co-farmer, Kupa Farms; Maui Coffee Association): Testified in support of funding for Maui County Farm Bureau and commodity groups. He described diverting 25 tons of food waste annually into compost, and his farm’s success in absorbing 1.6 million gallons of rainwater from the Kona storm. Councilmembers asked about the process of obtaining county grants; Ross credited relationships and persistence. - Ethan Romanchak (board member, Maui County Farm Bureau): Supported continued funding for the Farm Bureau, noting it gives a voice to farmers and supports AgFest, Ag in the Classroom, and the fair. He estimated the total request at $564,000. - Annette Niles (rancher): Called for more grants for deer fencing, stating deer are destroying pastures and farmlands. - Teresa Thompson (Maui Cattlemen’s Association): Reported that her herd has been cut 50% due to deer competing for grass. She praised the new partnership with Mahipono to sell beef locally. She said Farm Bureau funds help with research, education, and feed supplements. - Tiair Lawrence: Requested increased grant funding for deer management, specifically for programs like Maui Nui Venison that process and distribute venison to local food banks. Disaster Recovery & Environmental Management - Kyle Ellison (Malamakula executive director): Detailed the organization’s work since the 2023 Kula Fire, including removing 2 million pounds of hazardous fuel, distributing wood chips for erosion control, and providing 160 roll-off bins for green waste. He noted that the mayor’s budget proposes $280,000, but they requested $480,000 to scale operations. He highlighted rapid response to recent Kona storms, clearing 80+ properties and opening county roads. Reentry & Workforce Development - Gregory Garcia (formerly incarcerated): Shared that MEO’s BEST program helped him re-enter society, obtain a cosmetology license, and secure employment. He urged continued funding for such programs. - David Daly (MEO Business Development Center): Thanked the council for support of microenterprise and agricultural microgrant programs. Other Items - R. Street: Criticized the county’s handling of the Wailuku Historic District and water rights. He was interrupted by the chair for not adhering to the budget topic; the meeting continued. - Tiair Lawrence: Also requested funding for a revitalization plan for Hali’imaile Park, drone technology for lifeguards, high-speed public Wi-Fi, and a reevaluation of speed bump installations. - JC Law: Asked for funding to support the family of Trey Evans, a hero. Clarifications from Council - Councilmember Paulton and others asked testifiers for budget amounts, whether requests were in the mayor’s budget, and encouraged written submissions. No formal decisions were made during the meeting. Key Outcomes - No votes were taken. The committee will receive a written summary of testimony from staff. - Councilmembers directed testifiers to submit written testimony via e-comment or at the meeting to ensure their requests are considered in the budget process. - Several councilmembers noted that some requested programs (e.g., Cycle Strong, Ho’Okaika Partnership, Maui Farm increase) were not in the mayor’s proposed budget and indicated they would advocate for inclusion. - The meeting was adjourned without further discussion.

The Budget, Finance, and Economic Development Committee (BFED) convened on April 1, 2026, at 9:05 a.m. to deliberate on the mayor's proposed fiscal year 2027 budget (BFED-1) and to receive the fiscal year 2025 single audit and annual comprehensive financial reports (BFED-2011). The meeting included opening remarks, public testimony, detailed presentations from the Department of Finance, bond counsel, and the county's external auditors, and discussion of audit findings and corrective actions. The chair noted that the proposed budget totals $1.6 billion, includes 90 new positions, and accounts for 500 vacancies countywide. Carryover savings are $174 million. The committee deferred both agenda items and set deadlines for follow-up questions. Public Comments & Testimony - Jake Carton (Maui Indivisible): Expressed concern that the Maui Police Department's proposed $140 million budget (a 10% increase) does not address MPD’s repeated illegal signing of federal contracts (ICE, etc.) and failure to comply with state sunshine laws. Urged the council to tie funding to compliance audits and quarterly reporting. Noted $5.5 million in savings in MPD from the previous year. - Jim Lingford (Maui resident): Proposed a governance software system called "Maui OS" to track all county expenditures, including CDBG and other funds, to improve transparency and empower council oversight. Submitted a pitch deck and supporting documents. - Travis Aaron Liggett (Maui resident): Described personal illness after a wastewater plant tour, noting that disinfection is not required for treated wastewater. Proposed two budget amendments totaling $6.1 million to add disinfection at South Maui and Kīhei plants. Stated that zero medical professionals he consulted understood disinfection is not mandatory. - Royal House of Hawaii (on the audit item): Asserted that all Hawaii lands are allodial and royal patented, and questioned the authority of the county to issue bonds or create debt against those lands. Demanded compensation for descendants. Discussion Items – BFED-1: Proposed Fiscal Year 2027 Budget - Revenue Overview: Deputy Director Zelinski presented projected revenues of $1.616 billion, similar to FY26. Major sources: general fund (61%), water fund (10%), bond revenues (12.5%). Real property tax revenues estimated at $660.2 million, with tier adjustments to offset value increases and provide relief for owner-occupied and long-term rental properties. Transient accommodation tax (TAT) revenue projected at $65 million, stable despite declining assessments. General excise tax increased to $75 million based on prior year actuals. - Countywide Costs: Director Martin presented countywide costs at $389.9 million, an 11% decrease due to reductions in supplemental transfers, affordable housing, and emergency funds. Fringe benefits include ERS pension contributions (up to $84.6 million), health plan (EUTF) at $36.5 million (including a collapsed $10 million supplement), and a reduction in terminal pay. The county's other post-employment benefits (OPEB) liability is now fully funded, reducing the annual required contribution (ARC) to $35.8 million. - Bond and Debt: Bond issuance and debt service presented, including a new line item for arbitrage expense ($2.5 million) related to prior low-interest bonds. Bond counsel Sean Tierney and municipal advisor Kurt DeCrinis discussed the county's strong credit rating, options for water revenue bonds, and community facilities districts (CFDs) as alternatives to general obligation bonds to preserve bonding capacity. - Questions from Members: - Member Batangan inquired about the Department of Finance's oversight role at the Department of Water Supply, referencing a fraud assessment finding. Finance noted ongoing improvements and a new internal control contractor position. - Member Paulton questioned the conservatism of fuel tax and TAT estimates given global economic uncertainty. Finance affirmed estimates are conservative. - Member Johnson questioned the rationale for real property tax tier changes, particularly the 15% reduction for the highest owner-occupied tier. Finance explained it aims for revenue neutrality and to align with average home values. - Member U Hodgins asked about the plan for $174 million in carryover savings. Budget Director Milner stated it is allocated within the FY27 budget, with efforts to recognize more unanticipated revenue to reduce future carryover. - Member Cook asked about the sustainability of tax increases for bonding capacity. Bond counsel noted current debt service is under 10% of operating expenses, and no tax increase was needed for the last bond issue. - Member Senensi asked about reducing salary funding for long-vacant positions. Budget Director noted some departments rely on vacancy savings for overtime, so cuts may impact operations. - Member Rollins Fernandez asked about expansion positions to address audit findings. Finance confirmed two new positions (grant specialist and accountant) are intended to strengthen internal controls. Discussion Items – BFED-2011: Annual Comprehensive Financial Report and Single Audit Reports - Presentation by NNK CPAs: Dwayne Takeno and Christian Hara presented the fiscal year 2025 audit results. The county received an unmodified (clean) opinion on financial statements. Three internal control findings were reported (two material weaknesses, one significant deficiency), all repeat findings from prior year: (1) TAT system limitations, (2) internal controls over financial reporting, (3) controls over capital assets. The county did not qualify as a low-risk auditee due to prior year findings, but compliance with major federal programs (Housing Choice Vouchers, Emergency Watershed Protection, Drinking Water State Revolving Fund) was clean. - Finance Department Response: Deputy Director Zelinski acknowledged the findings, noting that a new TAT software system is being implemented (expected go-live October 2026) and that staffing shortages (especially in accounts) are being addressed through new hires. A new revenue manager, Paul Nyhart, is leading the TAT system upgrade. - Questions from Members: - Member Senensi asked about the corrective action for a loan misclassified as an expenditure in the affordable housing fund. NNK confirmed it was corrected. - Member U Hodgins asked whether planned corrective actions are sufficient to clear the findings next year. NNK noted that remediation often takes 2–3 cycles and progress will be evaluated. - Member Cook asked whether the audit covers cross-departmental efficiency. NNK clarified it is limited to financial reporting. - Member Rollins Fernandez asked about succession planning for finance vacancies. Deputy Director Zelinski indicated informal efforts are underway, and recent hiring bonuses have improved recruitment. - Member Batangan commended the Department of Water Supply for a clean audit and asked about TAT taxpayer confusion (filing in wrong county). Finance explained that without property addresses, verification is difficult; the new software will require TMKs and addresses. Key Outcomes - Both agenda items (BFED-1 and BFED-2011) were deferred. The committee will reconvene on April 6, 2026, to continue budget deliberations with departments for Fire, Public Safety, and Housing. - Deadline for Department of Finance to respond to written questions: April 6, 2026 (accounts section responses by April 8). Committee members' follow-up questions due: April 7, 2026 (for accounts, April 9). - The committee directed staff to transmit a request to the administration to consider factors beyond the debt limit when deciding whether to bond projects or pay cash. - The chair announced upcoming community meetings: Upcountry district meeting (April 1 evening), Pāʻia community meeting (April 2), and a meeting at Helene Hall (April 6).

The Budget, Finance, and Economic Development (BFED) Committee of the Maui County Council met on March 25, 2026, at 12:35 p.m. in a hybrid format to receive an economic outlook presentation, discuss grant administration and management, and review the proposed FY27 budget calendar and procedures. The meeting adjourned at 3:39 p.m. No consent calendar was presented. Public Comments & Testimony - On Economic Outlook: One testifier spoke, offering general remarks on the presentation and expressing frustration with state processes (e.g., lack of Hawaiian language translations). No other testifiers. - On the FY27 Budget: One testifier advocated for increased funding for the Office of Council Services (OCS) and its translation staff. No other testifiers. Discussion Items - Economic Outlook (UHERO Presentation): Dr. Carl Bonham, Executive Director of the University of Hawaii Economic Research Organization (UHERO), presented the latest economic forecast. Key points: - 87% of visitors to Maui are from the U.S., making the county highly vulnerable to a U.S. economic downturn. - The U.S. labor market has stalled, with near-zero job growth in early 2026; the Iran war and oil price shocks add further uncertainty. - Maui's visitor spending is supported by high-end visitors, but the rest of the economy (especially federal civilian jobs) has seen significant losses: federal jobs are 13% below pre-wildfire levels. - Construction and healthcare are bright spots, but overall non-farm payrolls remain 2.5% below July 2023 (about 1,800 fewer jobs). - UHERO's analysis of Bill 9 (short-term vacation rental phase-out) estimates a gradual loss of visitor spending over several years, with a 23% drop in median condo prices already observed in 2025. The full phase-out would eventually lead to a $900 million loss in visitor spending and 1,800 lost jobs. - The "price of paradise" gap (cost-of-living-adjusted income) has widened to about $25,000 per person compared to the U.S. average. - Dr. Bonham answered questions on diversification, regulatory burdens, tariffs, and the need for long-term structural changes. - Grant Administration and Management: Councilmember Johnson presented results of a survey of 28 respondents representing over 90 grants. Key findings: - 78% of respondents reported the timely disbursement of funds as the most challenging aspect; 53.6% cited reporting requirements. - 57% of respondents did not believe that county decisions were made for personal reasons, but 43% remained uncertain or concerned. - Average wait times: 6 months from application to award notification, 5.3 months from award to contract execution, 4.7 months to receive first advance, and 4.6 months for reimbursement after submitting a request. Total average processing time: 20 months. - Respondents requested a centralized electronic portal, clearer guidelines, and a cultural shift toward viewing nonprofits as trusted partners. - Administration (Budget Director Milner, Chief of Staff Lalo) outlined plans for a new Grants Division under the Mayor's Office for FY27, which will centralize small grants (under $25,000) and provide countywide coordination, professional development, and a grants network. A checklist distinguishing grants from contracts was shared, and the administration is working on administrative rules and code amendments. - It was noted that the county manages at least 257 grants in the FY26 budget, with OED alone handling about 150 open grants. - FY27 Budget Process and Calendar: The committee reviewed the proposed budget calendar, real property tax rate proposal deadlines, and procedures. Key elements: - Real property tax rate proposals are due March 31, 2026, at 4:30 p.m. A draft resolution using FY26 rates as a baseline with ranges of 75% to 150% was distributed. - Department review schedules, residency area meetings (starting April 1), and decision week (April 20-24) were outlined. - Council members were asked to offset any additions with cuts or alternative funding sources (e.g., increased fees). Some members expressed concerns about the offset requirement and requested clarification on how competing cuts would be allocated. - The administration will provide status reports on previous council conditions and priorities. Key Outcomes - Economic Outlook: No formal action taken; presentation received and committee members will follow up with written questions. - Grant Administration: The committee deferred further discussion, acknowledging the administration's planned Grants Division and upcoming administrative rules. The checklist on grants vs. contracts will be posted under both BFED items for clarity. - Budget Process: The committee approved the revised budget calendar as presented. Council members are to submit real property tax rate proposals by March 31, 2026. The next BFED meeting is scheduled for April 1, 2026, at 9:00 a.m. to begin deliberations.