Hawaii Gov. Josh Green led lawmakers and guests Monday in his annual State of the State address, observing a moment of silence for the victims of the Lahaina wildfires and announcing more efforts to respond to both Maui and Hawaii. Proposed proactive steps to transition vacation rentals to residential use. The state's severe housing needs.
Those gathered for the speech included Keahi Ho, two Maui firefighters who traveled from Maui for the governor's address, which focused on helping Maui recover from August's deadly wildfires. and gave Koa Bohnell a standing ovation.
“The people of Maui have shown strength in the face of adversity,” said Green, a Democrat. “But the days ahead will not be easy, they will continue to need our support, and we will be there for them as long as they need us.”
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On August 8, a wildfire caused by hurricane-force winds ripped through the historic coastal town of Lahaina, killing 100 people and destroying thousands of homes and buildings.
Greene's words of gratitude for all those who rushed to Maui's aid after the fires were recognized by House Majority Leader Dee Morikawa, a Democrat who represents western Kauai and Niihau. Tears came to my eyes.
“It's really good to know that all of Hawaii is coming together for Maui,” Morikawa said after his speech.
Hawaii Governor Josh Green is pictured speaking to reporters after delivering the State of the State address at the Hawaii State Capitol on January 22, 2024 in Honolulu. (AP Photo/Audrey McAvoy)
Maui's most urgent unmet need is currently the approximately 5,000 people who are staying in hotel rooms because they cannot find an affordable rental place on the island, which is one of the most expensive in the country. stable long-term housing for human residents. .
Green is also encouraging vacation rental owners to offer their rooms to wildfire evacuees, with the goal of getting all 5,000 people into long-term housing by March 1. He told reporters that authorities have so far prepared about two-thirds of the needed housing. Rental costs will be covered by the Federal Emergency Management Agency and charities.
More broadly and in the longer term, Green proposed a two-year “tax amnesty” for vacation rental owners in the state to encourage them to sell to owner-occupiers or long-term rental landlords. His two-year program exempts participants from capital gains, transfer taxes, and general sales taxes.
Green later told reporters he would put “a lot of pressure” on short-term rentals because he doesn't think they're appropriate.
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“I don't want to be rude, but I want people to understand that the market should be for local families,” Green said. He noted that Hawaii's housing shortage and high housing costs are hurting workers in various fields, including nurses at the state's only children's hospital, who are currently on strike.
Additionally, Green said he is asking Congress to put $373 million into the infrastructure and housing budget.
“This remains our administration’s top statewide priority,” he said.
Mr Green reconsidered the idea of charging tourists to help pay for environmental maintenance after a proposal to do so failed in committee last year. The governor proposed charging each family visiting Hawaii a $25 “climate impact fee” when checking into a hotel or short-term rental. He said this would raise $68 million annually.
Democratic House leaders identified shared priorities with the governor on affordable housing, mental health care, and climate change, among others.
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Rep. Kyle Yamashi, chairman of the House Finance Committee, said he was open to the idea, although he said the details of the governor's tax amnesty plan would have to be worked out.
“Ultimately, I think we need to consider all options to deal with this problem,” Yamashita said after his speech. “They're impacting residential neighborhoods across the state. And that's something we need to look into more deeply.”
House Speaker Scott Psaki said the House will cooperate with the governor.
“We need to solve the state's problems and find workable solutions,” Saiki said.
