Hawaii state representative Diamond Garcia joins ‘Fox & Friends Weekend’ to provide an update on the impact of the Maui fires as victims continue to recover months later. Hawaii Gov. Josh Green on Monday used his annual State of the State address to lead lawmakers and guests in a moment of silence for victims of the Lahaina wildfire and to propose aggressive steps to shift more vacation rentals into residential use to meet both Maui and the state’s acute housing needs.
The devastating wildfire, fueled by hurricane-force winds, took place in the historic coastal town of Lahaina on Aug. 8, claiming the lives of 100 people and destroying thousands of homes and buildings. During his speech, Governor Green expressed his gratitude to all those who rushed to Maui’s aid after the fire, bringing tears to the eyes of state Rep. Dee Morikawa, a Democrat representing the western part of Kauai and Niihau.
The most pressing issue on Maui currently is the lack of stable long-term housing for approximately 5,000 residents who are currently living in hotel rooms due to the unavailability of affordable rentals on the island. Governor Green aims to have all 5,000 residents moved into long-term housing by March 1, primarily by encouraging vacation rental owners to make their units available to wildfire evacuees. So far, authorities have secured about two-thirds of the necessary housing units, and the rental costs will be covered by the Federal Emergency Management Agency and charitable organizations.
In addition to addressing the immediate needs, Governor Green proposed a two-year “tax amnesty” program to incentivize vacation rental owners across the state to sell to owner-occupants or long-term rental landlords. Participants in the program would be exempt from capital gains, conveyance, and general excise taxes. The governor emphasized his intention to put pressure on short-term rentals, highlighting that the local market should primarily cater to Hawaii’s local families. The housing shortage and high costs have created difficulties for workers in various sectors, including nurses currently on strike at the state’s only pediatric hospital.
Governor Green has also requested $373 million in the budget for infrastructure and housing, making it a top priority for his administration. Additionally, he revisited the idea of implementing a fee on travelers to contribute to environmental upkeep, suggesting a $25 “climate impact fee” for each visiting family when they check into their hotel or short-term rental. This fee would generate an estimated $68 million per year.
Democratic House leaders have expressed alignment with the governor’s priorities, particularly on affordable housing, mental health care, and climate change. Rep. Kyle Yamashita of the House Finance Committee stated openness to the tax amnesty plan, emphasizing the need to explore all options to address the housing issue. House Speaker Scott Saiki affirmed the House’s commitment to finding workable solutions and cooperating with the governor.
In conclusion, Governor Green’s State of the State address highlighted the ongoing efforts to support Maui’s recovery from the devastating wildfires. With a focus on shifting vacation rentals to residential use and providing long-term housing solutions, the governor aims to address the acute housing needs on the island. The proposed tax amnesty program and climate impact fee demonstrate the administration’s commitment to finding innovative solutions to the housing crisis and environmental concerns. Democratic House leaders have expressed their support for these initiatives, emphasizing the importance of collaboration in solving the state’s challenges.
