Honolulu Budget Committee Meeting Summary - August 20, 2025
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Honolulu Budget Committee Meeting Summary - August 20, 2025
The Committee on Budget, chaired by Councilmember Okimoto, met on August 20, 2025, at 8:19 a.m. to consider ten agenda items, including resolutions for fund transfers, bills on property tax exemptions, transit fare adjustments, and motor vehicle registration fees. The meeting featured testimony from the public and discussions among council members, with several items advanced to full council or public hearings.
Public Comments & Testimony
- Donald Sakamoto (Kaneohe resident) testified in support of Resolutions 25-208, 25-217, 25-231, 25-233, and Bill 34, and expressed support for Bill 49 with a suggestion for a Permitted Interaction Group (PIG). He also raised concerns about Bill 54 regarding accessibility for seniors and people with disabilities, opposing the cash surcharge on buses.
- Kim West (unrelated testimony) spoke about a personal court matter not pertaining to the agenda items; council staff offered to connect her with appropriate assistance.
- Suzanne Young (Honolulu Board of Realtors) testified in support of Bill 34, stating that current residential A thresholds unintentionally hit everyday homeowners and supported the proposed tier adjustments.
- Angela Young (CARES) testified in support of Bill 62, suggested the council consider higher transportation fees for higher-income groups, and supported Bill 54’s process. She also called for a PIG on property tax issues.
Discussion Items
- Resolution 25-208 (Transfer $400,000 for HPD community policing equipment): Major Elgin R. Carroll (HPD District 5) explained the funds would purchase seven vans and one truck for all eight districts to support community policing teams. Councilmember Nishimoto confirmed the transfer aligns with budget provisos. Unanimously adopted.
- Resolution 25-217 (Accept $4,500 gift for city auditor travel): Acting City Auditor Troy Shimasaki supported the resolution for a peer review trip to Seattle. Unanimously adopted.
- Resolution 25-231 (Transfer $50,000 within DTS for covering receivables): Deputy Director John Noichi (DTS) explained the transfer repays internal accounts for federal funds that did not materialize. Unanimously adopted.
- Resolution 25-233 (Transfer $42,630.94 for DTS passenger vehicle): Noichi stated the vehicle would support the Transportation Performance and Development Division. Unanimously adopted.
- Bill 41 (2025) (Repealing outdated permit fee provisions): Councilmember DeSantos Tam introduced a CD1 to fix a fee discrepancy for large soil grading. DPP Director Don Takeuchi Apuna expressed support. Amended and passed for third reading.
- Bill 49 (2025) (Real property tax home exemption increase for 65+): Director Andy Kawano (BFS) estimated a $5.6 million revenue loss and recommended a PIG instead. Council Chair Waters supported the bill as a cost-of-living relief. Councilmember Tupola noted reservations. Adopted for third reading with reservations.
- Bill 50 (2025) (Amending home exemption): Kawano reiterated BFS concerns. Testifiers Sakamoto and Young suggested a PIG. Adopted for third reading with reservations.
- Bill 34 (2024) (Real property tax rates for residential A and TVU tiers): Councilmember Kiaina presented a CD1 raising residential A thresholds to $1.3M and $3.5M, and TVU tiers to $900K and $2M, to help homeowners inadvertently classified as non-owner-occupied. Kawano noted the changes would reduce residential A tax keys from 30,000 to under 12,000. Testimony supported the bill. Adopted for second reading and public hearing.
- Bill 54 (2025) (Transit fare structure update): Deputy Director Noichi and Rate Commission Chair Dre Khalili detailed a 4.1% overall fare increase, simplified categories, and a $25 surcharge for cash riders to cover $4 million annual cash-handling costs. Councilmember DeSantos Tam expressed concern about annual pass increases ($880 to $990). Councilmember Tupola supported but requested a CD2 to address Medicare concerns. Amended to CD1 and passed for second reading and public hearing, with a CD2 promised.
- Bill 62 (2024) (Motor vehicle registration fee exemption for veterans 65+): Director Kim Hashiro (Customer Services) estimated a potential revenue loss of $926,000 based on 46,326 veterans. Councilmember Tupola contested the number, citing approximately 12,000 veterans on Oahu, and requested data on driver’s license holders. Councilmember Kiaina raised fairness concerns and suggested expanding the exemption to all seniors. Amended to CD1 and passed for second reading and public hearing.
Key Outcomes
- Unanimous adoptions: Resolutions 25-208, 25-217, 25-231, and 25-233 were all reported out for adoption without objection.
- Bill 41: Amended to CD1 and reported out for passage on third reading.
- Bill 49: Reported out for passage on third reading with reservations from Councilmember Tupola.
- Bill 50: Reported out for passage on third reading with reservations from Councilmember Tupola.
- Bill 34: Amended to CD1 and reported out for second reading and scheduling of a public hearing.
- Bill 54: Amended to CD1 and reported out for second reading and scheduling of a public hearing, with a CD2 to address Medicare concerns.
- Bill 62: Amended to CD1 and reported out for second reading and scheduling of a public hearing. The Department of Customer Services will provide additional data on veteran and senior driver populations.
Meeting Transcript
Good morning, everyone. The committee on budget, please come to order. This morning we'd like to welcome with us joining us in the chamber. We have committee vice chair Nishimoto, committee members, council members Kia Aina, Talba, Council Chair Waters, and also um commit council vice chair to Pola. Although remote oral testimony is being permitted, this is a regular in-person meeting and not a remote meeting by interactive conference technology under HRS Section 92-3.7. Therefore, the meeting will continue notwithstanding loss of audio visual communication with remote testifiers or loss of the public broadcast of the meeting. Members of the public will be allowed to provide oral testimony on all items on the agenda in two ways. Before testifying, each person shall state their name. Each speaker may not have anyone else read their statement and is limited to a one-minute presentation on each item. As both English and Hawaiian are official languages of the state of Hawaii, pursuant to Article 15, Section 4 of the Hawaii State Constitution and Section 1-13 of the Hawai'i revised statutes. Members of the public may testify in either languages. For oral testimonies offered in Olelo Hawaii, additional time as may be necessary will be allowed for the testifier to provide an English translation of their testimony. All persons who have registered to testify in person will be called upon first. When your name is called, please come up to the testifier podium. Persons who have not registered will be given an opportunity to testify following the registered testifiers. After in-person testimony has concluded, I will proceed to remote testimony via video conference or phone. When I call your name, please monitor your screen and follow the prompt to unmute. For those who are joining us by telephone only, please press star nine. If you wish to identify if you wish to testify, and I will identify you by the last three digits of your phone number. When your number is called, please listen for the prompt to unmute and press star six. Some friendly reminders and tips. Video conference from a quiet location if possible. If you are also watching the proceedings on Olelo, please mute your television at the time you are called to testify. When the timer on screen reaches zero, please conclude your remarks promptly. Written testimonies, including the testifiers' address, email address, and phone number will be available to the public as described on the posted agenda. As a courtesy, please turn off or silence all cell phones for the duration of this meeting. Agenda item number one for action, resolution 25-208 authorizing a transfer of up to 400,000 in general fund monies from the patrol activity, current expense expense character of expenditure to the patrol activity, equipment character of expenditure for fiscal year 2026 to enable the Honolulu police department to purchase essential equipment for use by community policing teams. With us, I believe we have from the department, Major Elgin Arcorero from District 5. Did I get close to your name, Major? Good morning. Thank you, Chair. Yes, it's Elgin R. Carroll. And uh for the record, um, I'm an HPD major assigned to District 5 Kalihi. Um the HPD is requesting to move funds 400,000 in Reso 25208. Um the 400,000 is listed in ordinance 25-38, and it's to support CPT uh activities. I'm available for questions if needed. Thank you, Major Arquero. Did we have any questions for the for our major? Yes, committee vice chair Nishimoto. Thank you. One quick question. So the um the 400,000 you want to transfer. This is because of the proviso that was in the budget this year. Yes, is to comply in the ordinance, yes. Okay, so no, we want to um move the funds from current expense to equipment in order to support the R CPT operations. Is this to match the proviso that was in the budget this year for 400,000 for current expenses to expand and train community policing teams? The yes, the ordinance is uh unfunded provisal, so we deferred a lot of our priority items to uh comply with this ordinance with the provisal. And to um comply with it, you guys are buying seven vans and one truck, correct? Yes, police vehicles, which and that's to expand the police, the community police training team.
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