Maui County BFED Committee Meeting – March 10, 2026

The Budget, Finance, Economic Development Committee met on March 10, 2026, from 9:08 AM to 12:04 PM, with a recess from 10:29 AM to 10:50 AM. The agenda included four items: (1) an update from the Employees' Retirement System (ERS) of the State of Hawaii, (2) Bill 102 and Resolution 25-53 to amend the FY26 budget and authorize acquisition of 0.41 acres at 104A Lower Waiehu Beach Road (Kayehu Bay), (3) administration and management of grants, and (4) the proposed FY27 budget. Public testimony was taken only on the second item. The committee deferred items 2, 3, and 4 to the next meeting on March 17, 2026.

Consent Calendar

• No consent calendar items were presented.

Public Comments & Testimony

• Scott Miller (born/raised in Waiehu) opposed the acquisition, stating the property is known as churches Low Yehu and that his Ohana have remains there. He requested a vote no.
• Annadal Yahiro (born/raised in Waiehu) read a statement from cousin Charles Mauna Loa Namau Raposo opposing the acquisition. She asserted the property was gifted orally to the LDS church over 50 years ago but never legally transferred via deed; the land was given for worship, not ownership.
• Dane Mayo (grandson of Henry Mayo Jr., who recently passed) opposed the acquisition, stating his grandfather spent years fighting the title in court. Mayo claimed the chain of title traces back to a 1938 indenture with Wailuku Sugar Company that did not convey lawful ownership. He requested the council verify clear title before using public funds.
• Lala Johnson (Koyinoa of Wa'ehu) opposed the acquisition, pointing out that the preliminary title report (January 31, 2025) mischaracterizes a recorded instrument (Liber 1439, page 282) as a deed when it is actually an indenture (a mutual obligation, not a transfer). She urged the council to pause and verify the original record.
• Jocelyn Costa opposed the acquisition, citing burials on the property and that the land is part of Lunalilo lands (foreign to the state). She provided a letter from Dr. Alfred Desias stating such land cannot be transferred, and asked the council to vacate the matter.
• Cheryl Hotta (companion of Scott Miller) opposed, stating the property is a living ancestral realm with burial sites and is maintained by the Peohino family heirs. She noted cultural ceremonies are held there.
• Kanye Ali Williams (public testified after the last call) argued a Sunshine Law violation because the December 26, 2025 title report and February 2, 2026 correspondence from the Director of Finance were not hyperlinked to the agenda, preventing fully informed testimony. He noted only the January 31, 2025 preliminary report was available.

Discussion Items

• ERS Update (BFED-20(2)): Calbert Young, executive director of the ERS, presented an update. Key statistics: total membership ~162,000; active employees 66,826 (Maui County: 2,720); retirees/beneficiaries ~57,000 (Maui County address: 5,100+). Total liability ~$40 billion, with $25 billion in assets (63.5% funded). Unfunded liability ~$14.4 billion. Funding period ~21 years. Police and fire have a separate 69.8% funded ratio but a longer funding period (24 years). Employer contribution rates: general employees 24% of salary; police/fire 41%. County of Maui pays approximately $65–$67 million annually. Pension spiking: in FY2025, 60 Maui County retirees triggered spiking, costing the county $6.5 million. Young discussed legislative bills: SB 3096 (increase employer contribution for police/fire by 3% to 44%), HB 2358 (ERS membership for elective officers), SB 99 (return-to-work for retirees). Three other return-to-work bills did not survive the March 6 deadline. Young noted that unlike the EUTF, there is no mechanism for employers to make extra contributions to ERS attributable to their own liability. Council members asked about investment returns (7% assumed, portfolio ~$26 billion, $1.8 billion return last year), underperformance, risk profile, and the state's past raid of ERS funds. Young clarified the state did not take money, but allowed a contribution holiday, which worsened the funded status.

• Land Acquisition (BFED-46 & Resolution 25-53): The administration proposed adding $500,000 to the FY26 budget to acquire the parcel at 104A Lower Waiehu Beach Road (TMK 2-3-3-001-034) from the LDS Church, and deleting a prior $1.3 million appropriation for 131 Shaw Street. The property is adjacent to county-owned conservation land (63 acres) managed by Kayehu Bay stewardship. Administration stated the purchase would prevent development and the property would be managed as open space. Public testimony raised serious title disputes: family members claim the land was never legally deeded to the LDS Church, only permitted for worship. Dane Mayo presented documents showing the chain of title traces back to a 1938 indenture, not a deed, and that his family has a superior claim. Lala Johnson noted the preliminary title report mischaracterizes the instrument. The managing director indicated that if the county acquired land later determined to belong to another, the county would hand it over. Council members expressed discomfort with the unclear title, and the administration agreed to meet with the family. The committee voted to defer the item to allow the family to organize documents and the administration to meet with them.

• Grants (BFED-20(12)) and Budget (BFED-1): No public testimony was received. The committee deferred both items to the March 17, 2026 meeting. Member Johnson noted he will present survey findings on grantee experiences. The updated budget calendar and list of departments for questioning were provided in Granicus.

Key Outcomes

• Defeated/Deferred Items:
  • Bill 102 and Resolution 25-53 (land acquisition) were deferred to a future meeting (likely May or June) after the budget session, pending family document review and administration meeting with the family.
  • Grants and FY27 budget items were deferred to March 17, 2026.
• No votes taken on any consent items or substantive motions.
• Next Steps: The committee will continue the ERS update as informational; the EUTF presentation is scheduled for the next meeting. The committee will meet again on March 17, 2026, to address the deferred items and hear the grants survey findings.