Government Relations, Ethics, and Transparency Committee Meeting Regarding Leo Kairas Lawsuit and Resolution 26-99 - June 22, 2026
Government Relations, Ethics, and Transparency Committee Meeting Regarding Leo Kairas Lawsuit and Resolution 26-99 - June 22, 2026
The Government Relations, Ethics, and Transparency Committee met on June 22, 2026, to receive a status update on the lawsuit Leo Kairas v. County of Maui et al. (Civil File 2CCV-26-000138) and to consider Resolution 26-99, which aims to address conflicts of interest by requiring all written settlement offers to be transmitted to the Council and all invoices from special counsel to be reviewed by the Office of Council Services (OCS). The meeting began at 9:21 AM, recessed until 9:40 AM to allow late-arriving members to join, and reconvened at 9:41 AM. After an executive session from 10:42 AM to 2:03 PM, the committee reconvened and approved the resolution.
Public Comments & Testimony
- Christopher Salem (former chief judge and prosecuting attorney): Expressed concern that the mayor publicly characterized the whistleblower lawsuit as "100% politically motivated" before discovery, calling such statements ethically out of bounds. He argued that county employees remain vulnerable to retaliation and that the council authorizes outside counsel without prior investigation. He supported Resolution 26-99 as an opportunity for oversight.
- Sam Small: Testified that the council is currently kept in the dark when settlement offers are rejected by corporation counsel, citing an earlier case (Salem) where a $75,000 offer was not disclosed. He stated that this issue extends beyond the Kairas case and supported the resolution as a necessary charter revision.
- Travis Liggett (mayoral candidate): Stated he was fired 20 minutes after uncovering permit violations at Malaya Harbor and faces retaliation from a large law firm. He urged the committee to gather all facts and not let fixed beliefs impede the process.
- Royal House of Hawaii: Raised concerns about fraud in land title changes and settlements related to Kanaka people. The Chair directed them to keep testimony germane to the agenda item.
Discussion Items
- Status of the Lawsuit: Special counsel Richard Rand (Marr Jones & Wang LLP) reported that the lawsuit was filed in April 2026 but not served until June 5, 2026. He has drafted an answer (due June 25) and spent approximately 25 hours on it. He noted that prior investigations related to the case include an investigation of the Office of Economic Development (OED) and a truncated internal investigation of a mayoral staffer who resigned. Rand stated that a criminal investigation is possibly ongoing with the Attorney General's office. He also confirmed that an initial demand letter included a monetary settlement offer, but timing (budget season) prevented earlier council engagement.
- Conflicts of Interest: Corporation counsel (Deputy Corporation Counsel Susan Leader) stated that the department is conflicted out due to the lawsuit's allegations, so she acts only as a liaison for factual information. OCS attorney Hanano confirmed that Resolution 26-99 was reviewed and approved as to form and legality by OCS because corporation counsel could not sign it. Chair Baton noted that the conflict extends to the entire chain of command (corporation counsel hired/fired by mayor), and the resolution aims to create a firewall by having special counsel report to OCS.
- Resolution 26-99 Deliberation: The resolution requires all written settlement offers in this case to be transmitted to the Council via attorney-client privilege, and all invoices from special counsel to be sent to OCS for review and approval. Members clarified that this applies only to the Kairas case, not all complaints. Vice Chair Uu Hodgins asked about mechanics; Hanano explained how offers would be transmitted confidentially. Corporation counsel indicated they would still receive notice and participate as needed.
Key Outcomes
- Motion to go into executive session passed unanimously (7-0) to consult with legal counsel on case strengths, settlement considerations, and liabilities. Executive session lasted from 10:42 AM to 2:03 PM.
- After executive session, the committee discussed and voted on Resolution 26-99. The motion to recommend adoption (including non-substantive revisions) was made by Member Sugi Mora and seconded by Member Cook. The vote was 6 ayes, 0 nays (Members Paulton, Rollins Fernandez, and Senency excused). The resolution will move to the full Council for consideration.
- The committee also noted upcoming meetings on the fraud risk assessment report and good governance reform bills.
Meeting Transcript
Go. Well, the government relations ethics and transparency committee meeting of June twenty second, twenty twenty six come to order. It is nine twenty-one AM. I am your chair, Colin Baton. Members, in accordance with the Sunshine Law, please identify by name who, if anyone is in the room vehicle or workspace with you today. Chair Lee. And um, I'm home alone in my workspace. Hello, Chair and Tancy, everyone are here at my home office and I'm also here by myself. No testifiers in HANA. Thank you. Thank you, Member Sinenti. Member Sugi Mura. Good morning, everybody. Tancy, and looking forward to an interesting meeting. Thank you. Thank you, Member Sugimora. And Member Johnson. Tancy, Chair, Council members, community members, there's no testifiers here at the IE District Office. I'm alone on my side of the office and here and ready to work. Thank you, Chair. Thank you, Member Johnson. Tancy, everybody. So we have we have established quorum, but we have heard from two of our colleagues that they are on their way. I had hoped they'd be back by now, but it seems that they are still in transit. And so I'd like to give them a few more minutes to join us. My proposals to recess until 9 40. We'll come back then. I don't know what kind of traffic we have right now that's keeping people from uh being in the chamber, but I'd like to give them an opportunity to hear, especially since uh, you know, um special counsel has uh made it a point to join us today. So that being the case, I'd like to without objections, I'd like to recess until 9 40 a.m. No objections. Thank you, members. This meeting is now in recess. Well, the government relations ethics and transparency committee meeting of June 22, 2026. Please come back to order. The time is now 9 41 a.m. Chair would like to recognize our two uh the two members who have now joined us, Committee Vice Chair Nohilani Uhajans. Aloha Chair. I apologize for my tardiness. Thank you, Vice Chair, and Councilmember Tom Cook. Hello, Chair. Thank you for your patience. Thank you. Uh, and then for the record, Member Paulton and Member Rollin Rollins Fernandez are both excused as they are representing us at um an HSAC meeting at this time. Okay. From the corporate from Corporation Council, we have with us two individuals. Um, Deputy Corporation Council Tom Colby, and I'm sorry, can I ask you to introduce yourself? I don't have your. Yes, um, Deputy Corporation Council Susan Leader. Thank you, Susan. Uh okay.
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