Hawaii legislature wraps up session - here's what passed and what didn't

Hawaii lawmakers recently wrapped up a legislative session with nearly 200 bills awaiting Democratic Governor Josh Green’s desk for signature.

The new legislation includes a wide range of initiatives, including tax reductions, regulations on short-term vacation rentals, hazard pay for local government workers during the height of COVID-19, and a significant aid package of $1 billion designated for Maui’s wildfire recovery efforts. It even recognized the “shaka” as the first official state gesture.

What didn’t make it to the governor’s desk is just as notable, including election reform or wildfire-related policies, such as establishing a recovery commission and redevelopment board in Lahaina.

Highlights from the 2024 Aloha State's legislative session:

Maui

Lawmakers allocated $1 billion to address expenses arising from the Maui disaster on Aug. 8, 2023, that destroyed most of Lahaina, killing 101 people and leaving thousands without a home.

This includes $500 million designated for emergency housing to accommodate displaced residents and $124 million earmarked for rental assistance targeted at individuals ineligible for aid from the Federal Emergency Management Agency.

More: Devastating losses: Economic toll from Maui fires at least $4 billion, Moody's projects

House Committee on Finance Chair Kyle Yamashita (D) called Maui aid a “top priority.”

“As we commenced this legislative session, our immediate focus remained to address the Maui wildfire recovery efforts,” Yamashita said. “Prioritizing safety and rehabilitation of our communities while ensuring core services for our state were not neglected.”

However, a bill proposing the establishment of the Lahaina Recovery Oversight Commission, which would oversee and guide the recovery process, failed to pass, as did another seeking to create an elected board composed of West Maui residents to govern the redevelopment of Lahaina, with support from the Hawaii Community Development Authority.

Taxes

The legislature approved tax cuts totaling $5 billion over the next six years. These cuts include a boost to the earned income tax credit, enhancements to the standard tax deduction, and adjustments to income tax brackets.

Additionally, they eliminated the general excise tax on medical bills for patients with Medicaid, Medicare, and Tricare health insurance.

House Minority Leader Lauren Matsumoto (R) referred to the tax cuts as the “largest in state history."

“We rallied behind legislation that improves the lives of our residents across the State—from homeownership assistance, GET exemption for medical services, and the largest income tax cut in state history,” added Matsumoto.

More: Hawaii lawmakers greenlight $449M COVID hazard pay for essential state workers

Vacation rentals & housing

Legislators in Hawaii took steps to address the state’s housing crisis through a series of bills aimed at zoning reform and tighter regulations on vacation rentals.

As part of the zoning reform bill, counties are now mandated to allow for two additional dwellings on each residentially zoned lot, primarily promoting denser development.

More: 'Downright inhumane': Maui victims plea for aid after fires charred homes, lives, history

The urgency to address vacation rentals was highlighted following destructive wildfires on August 8, which shed light on the prevalence of short-term tourist rentals, particularly in Maui. In response, lawmakers passed a bill granting counties the authority to phase out vacation rentals and prioritize housing for local residents. Gov. Josh Green endorsed the measure, signing it into law on May 3.

Housing bills that did not pass included giving counties power to adjust land-use district boundaries for parcels of 15 to 100 acres, and the other sought a temporary ban on non-residents purchasing residential properties until the governor’s affordable housing emergency proclamation ends.

Elections

Lawmakers passed a bill to tackle AI-generated deepfakes in political campaigns. The bill bans false information about candidates, criminalizes distributing fake political messages, and empowers the Hawaii Campaign Spending Commission to investigate and fine deceptive content.

They could not pass legislation establishing “clean elections” for political candidates. The program would have provided public funding based on voter support, with spending limits and a ban on private donations. Another bill prohibiting non-U.S. entities or businesses from contributing to Hawaii’s election activities didn’t advance.

Hang loose

Lawmakers have officially approved a bill to designate the “shaka” as Hawaii’s official state gesture, recognizing its origins in the islands. This hand symbol, also known as the “hang loose” sign in surf culture, is widely used on the islands for greetings, farewells, and expressing gratitude.

Jeremy Yurow is a politics reporting fellow based in Hawaii for the USA TODAY Network. You can reach him at JYurow@gannett.com or on X, formerly Twitter @JeremyYurow.

This article originally appeared on USA TODAY: Hawaii lawmakers send almost 200 bills to Gov. Josh Green as session ends