AGP Executive Report

Housing & Homeownership: Honolulu single-family home sales rose 8.5% year over year, but the median price stayed around $1.5 million, keeping first-time buyers focused on help like the Hale Kamaaina Mortgage Program. Local Governance: Maui County Council approved a $1.6 billion fiscal 2027 budget and added $50,000 for campus security after a terroristic threatening incident at One Main Plaza. Aloha Business & Community: “The Way She Should Go” is set for June 27 at Wailea Beach Resort, aiming to connect and equip wāhine entrepreneurs and businesswomen. Aviation & Travel Costs: Hawaiian Airlines CEO Diana Birkett Rakow says summer airfare sticker shock is tied to recent fuel-hit pressures, with more increases possible if oil disruptions persist. Global Finance Pitch: America Mortgages (Global Mortgage Group) is marketing fast U.S. luxury bridge loans for foreign nationals and HNW borrowers, saying deals can close in as few as eight business days. Disaster Watch: A 7.8 earthquake struck Mindanao in the southern Philippines, triggering tsunami warnings and leaving at least four dead and hundreds injured. Food Prices: Hawaii matcha sellers report higher costs and tighter supply as global demand strains Japanese producers. Energy & Policy Debate: Pacific Center for Island Security raised concerns about a planned small modular reactor deployment to the Indo-Pacific, warning nuclear infrastructure could become a target.

Maui Budget & Public Safety: Maui County Council approved a $1.6 billion fiscal 2027 budget and added $50,000 for campus security after a terroristic threatening arrest at One Main Plaza, with two council members dissenting. Tourism & Storm Fallout: Waimea Valley says spring visitor numbers are down 25% to 30% versus last year as Kona-low storm impacts and road contraflow keep travelers away, even as spending shows some rebound. Maui Wildfire Payouts: A mediated settlement deal is clearing the way for the first of four annual payments to Maui wildfire victims, with more than $1.1 billion in a Bank of America trust account potentially flowing in July or August. Local Housing Market: Oahu home sales ticked up in May for single-family houses (+8.5% YoY), while condo closings fell (-9.4% YoY), keeping affordability and demand uneven. Healthcare Costs: A letter argues HMSA’s shift back to fee-for-service will force physician reimbursement and administrative changes that could strain access in Hawaii. Community Relief Programs: Honolulu’s sewer CARES bill credits cap at $240 ($20/month) but require tax returns to verify eligibility, while H-HEAP energy credits are also open for qualifying HECO customers. Policy Watch: Hawaii County Council rejected a bill that would transfer mayoral powers to a new county manager role, calling it a “power grab.”

Tourism Economy: Hawaii welcomed nearly 829,000 visitors in April, down slightly year over year, but total visitor spending rose to about $1.7 billion as per-person-per-day spending jumped more than 14%, with gains in shopping, lodging and dining. Maui Wildfire Relief: Gov. Josh Green backed a court ruling that limits attorney fees tied to Maui wildfire settlement claims, aiming to push more recovery money to survivors and families; the Maui Wildfires Compensation Program has distributed $111.5 million to 79 claimants. Local Business & Food Safety: The state Department of Health authorized Ohana Sub & Deli, Inc. to reopen after critical violations—like a nonfunctional handwashing sink and insufficient hot water—were corrected. Workforce & Education: UH expanded its tuition-free Hoapili Teacher Pathways program statewide, adding online, after-work courses to help more students transition into elementary teacher licensure. Tourism Training: Hawaiʻi Marine Animal Response launched its Marine Stewards Program to train hospitality workers to better protect monk seals and other marine animals. Aviation & Trade Links: Philippine Airlines signed oneworld’s MOU to join the alliance, boosting connectivity across Asia-Pacific. Business Development: DBEDT will host the fourth annual Hawaiʻi Made Conference (June 23) focused on food innovation and getting local products to market.

Maui Recovery: A court ruling limits attorney fees in Maui wildfire settlement claims, aiming to push more compensation directly to survivors and families after the Aug. 8, 2023 fires. Local Government: The Hawaii County Council approved General Plan 2045 (Bill 66) despite fierce opposition, sending it to Mayor Kimo Alameda, who signaled he won’t sign or veto but has reservations. Health & Fraud: Hawaii is setting up a Medicaid fraud task force after federal funding was cut, following findings that the state’s Medicaid Fraud Control Unit failed to secure convictions or even indictments from 2022-2025. Tourism & Harbor Recovery: Atlantis Submarines restarted Lahaina tours from the Small Boat Harbor as restoration work continues. Construction Watch: A new report says Hawaii construction spending surged to more than $2 billion in the first quarter, led by public projects, while private housing spending fell year over year. Workforce Development: Applications are open for a new Maui and Hawaii Island wastewater workforce certificate to help replace aging cesspools. Food Safety: DOH cleared Ohana Sub & Deli to reopen after critical violations were corrected. Weather/Cost of Living: Breezy trade winds and limited rain are expected statewide, while diesel prices in Kauai hit a reported low of $7.29/gal.

Food Safety & Local Business: Hawaiʻi DOH cleared Ohana Sub & Deli, Inc. to reopen after a June 5 follow-up confirmed repairs to a nonfunctional handwashing sink and restored hot water after a June 4 closure for critical violations. Flood Risk & Home Costs: New federal Oʻahu flood insurance rate maps take effect June 10, with about 250,000 properties reviewed; thousands shift into higher-risk zones, potentially triggering mandatory flood insurance. Workforce Development: Hawaiʻi Community College opened applications for a one-year Onsite Wastewater Treatment System Specialist Certificate on Maui and Hawaiʻi Island, training students for cesspool conversion and sustainable wastewater installation. Energy & Grid Talks: Gov. Josh Green says Hawaiian Electric and JERA are close to a liquefied natural gas deal for a proposed 500 MW Oʻahu power plant, with federal financing discussions underway. Community Support: Kaukau 4 Keiki is distributing locally sourced meal boxes to Oʻahu families through July, with Hawaii Food Bank sites serving thousands weekly. Public Safety Preparedness: Gov. Josh Green signed an emergency proclamation enabling the National Guard’s Operation Hoʻopauahi wildfire response through Nov. 30.

Honolulu Business Closures: Hub Coworking Hawaiʻi is shutting down both its Kakaʻako and Waikīkī locations at month’s end, ending memberships for about 500 people as lease costs prove too steep. Local Economy & Jobs: The state’s Medicaid fraud control program is facing a major hit after the Trump administration cut $3 million in federal funding to Hawaii, citing no indictments or convictions in four years—raising broader warning signs for other states. Energy & Policy: A Hawaii House committee ruling says closed-door meetings were illegal, adding pressure as lawmakers and regulators continue to shape the state’s clean-energy direction. Maritime Security: The U.S. and Sri Lanka marked the commissioning of SLNS Samudravijaya, a former U.S. Coast Guard cutter transferred under the Excess Defense Articles program—part of wider Indo-Pacific trade-route security efforts. Aviation & Connectivity: A GAO report says small-community air service is still under pressure, with nonhub routes seeing big drops in departures unless they receive Essential Air Service support. Public Safety: A pedestrian died after being struck in Kalihi in late May; Honolulu police say speed, drugs or alcohol don’t appear to be factors, and the investigation continues. Volcano Tourism Reality Check: Visitors are being reminded that Haleakalā is an active volcano that has erupted multiple times in the past 1,000 years, even though it may not show obvious warning signs.

Honolulu Budget Showdown: The Honolulu City Council approved a nearly $5B budget in a 6-3 vote, but the fight is already spilling into the mayor’s office, with Mayor Rick Blangiardi signaling he intends to veto parts—especially cuts tied to the Office of Economic Revitalization. Waste & Landfill Pressure: Council also approved the budget without funding for a proposed new West Oahu landfill at Makaiwa Hills, effectively putting the plan on hold and pushing leaders toward longer-term waste alternatives. Medicaid Fraud Crackdown: The federal government decertified Hawaii for Medicaid fraud control performance and is cutting about $3M a year, raising the stakes for Gov. Josh Green’s new Medicaid Fraud Strike Force. Local Housing Build Model: In Nanakuli, leaders broke ground on an 87-lot “self-help” affordable housing subdivision where low-income families build their own homes with technical support, aiming for $496,000 fee-simple homes. Tourism & Jobs: Hawaii dive businesses are pitching scuba travel to mainland divers at the Long Beach Scuba Show, betting on higher-spending dive visitors to support local hotels, restaurants, and tours. Food Safety Restart: Grace’s Inn LSY in Honolulu was allowed to reopen under a conditional yellow placard after inspectors said a sewage-related hazard was fixed, though other critical violations remain. Workforce Pipeline: Hawaiʻi Community College and UH Maui College launched a one-year onsite wastewater treatment specialist certificate to help eliminate cesspools by 2050. Scam Warning for Islanders: The FBI says AI is making scams harder to spot, and Hawaii is seeing sharp fraud losses as scammers use chatbots and voice-cloning to impersonate loved ones. Business Expansion: L&L Hawaiian Barbecue opened its 10th Texas location, marking continued growth beyond the islands. Energy & Infrastructure Context: NOAA issued a strong geomagnetic storm watch, while Hawaii’s gas prices remain volatile—Maui County’s lowest reported premium hit $5.39 in the week ending May 30.

Hawaiʻi Medicaid Crackdown: The Trump administration says Hawaiʻi’s Medicaid Fraud Control Unit lost federal certification after failing to secure criminal indictments or convictions from 2022-2025, putting about $3 million in annual funding at risk. Local Politics & Housing: Honolulu’s budget fight is heating up, with the City Council adopting a nearly $5B package while the mayor threatens a veto and lawmakers debate farm storm relief funding. Business Growth: L&L Hawaiian Barbecue opened its 10th Texas location at Joint Base San Antonio-Randolph, signaling continued demand for Hawaii-style plate lunch beyond the islands. Food & Community: Maui chef Lee Anne Wong won $100,000 on Food Network’s “24 in 24: Last Chef Standing,” while Yick Lung—Hawaiʻi’s Choice highlights how a family snack business is modernizing products for new generations. Public Safety: A judge restricts radioactive waste at a Republic landfill in Michigan, while Hawaiʻi’s hurricane season outlook remains a reminder to prepare.

Honolulu Budget Showdown: Honolulu City Council passed a $5 billion budget but cut $1.4 million from the Office of Economic Revitalization, prompting Mayor Rick Blangiardi to threaten a veto, with supporters saying the office helps drive business and farm recovery after the March Kona Low while critics argue it needs tighter accountability. Hawaiian Home Lands Challenge: A lawsuit filed in federal court in Honolulu targets the Hawaiian Homes Commission Act’s 50% Hawaiian blood quantum requirement, arguing the century-old system is unconstitutional and reigniting debate over Native Hawaiian entitlements. Housing Costs at the Condo Level: A Honolulu Kai condo board chair describes “deferred maintenance” problems—leaks, mold, termite tenting, re-roofing—forcing fee hikes and assessments as aging buildings strain budgets. Storm Relief Access: FEMA is expanding in-person recovery centers for March storm-impacted residents, urging people to file by June 14 even if paperwork isn’t complete. Permitting Reform Push: Lawmakers advanced bills aimed at speeding housing approvals by tackling permitting staff shortages and streamlining reviews, including historic preservation and standardized permit data. Animal Welfare Backlash: Maui residents are upset after Home Depot’s bird-deterrent netting at Kahului allegedly trapped and killed birds, with corporate saying it’s looking into the issue. Public Safety & Youth: After a North Shore mobbing, community advocates are calling for stronger action to curb teen violence and reduce harmful social influences.

Utility Regulation in the West: Arizona Commissioner Lea Márquez Peterson was elected vice president of the Western Conference of Public Service Commissioners, a regional group that includes Hawaii regulators and focuses on grid reliability, water infrastructure, cybersecurity and energy demand. Workforce Pipeline: UH is expanding its Hoapili Teacher Pathways statewide, scaling a tuition-free, online route to elementary teacher licensure to address Hawaii’s teacher shortage. Tourism and Recovery: Atlantis Submarines has resumed Lahaina Harbor submarine tours five days a week, restarting operations nearly three years after the 2023 wildfire. Local Business Spotlight: Island Essence, a Maui-based bath and beauty brand, is built on Hawaiian ingredients and local hiring, with a focus on keeping production and relationships on the island. Community Food Security: Hawaii’s summer meal programs are ramping up statewide, with more than 200 locations and options like SUN Bucks to help families cover the summer gap for keiki. Weather Watch: A moisture band brings showers and possible minor flooding today, with trade winds returning late Wednesday and elevated south-shore surf continuing.

Federal Housing & Intelligence Shake-Up: President Trump tapped Bill Pulte, head of the Federal Housing Finance Agency, as acting director of national intelligence—raising fresh questions about qualifications and whether the move politicizes intelligence. Disaster Relief Deadlines: Hawaiʻi officials reminded residents and businesses to apply for FEMA and SBA disaster help tied to March’s Kona Low flooding by June 14, and also highlighted Disaster Unemployment Assistance for impacted workers and self-employed residents. Water & Storm Aftermath: Emergency repairs will temporarily shut off water for Keaʻau residents and businesses on Milo Street, while Pearl City families still report lingering flood damage from debris-clogged waterways after the Kona Low storms. Native Hawaiian Home Lands Lawsuit: A lawsuit challenges the Hawaiian Home Lands eligibility rules that require applicants to meet a blood-quantum threshold, arguing the policy is unconstitutional. Local Business & Food Innovation: DBEDT will host the fourth Hawaiʻi Made Conference focused on food innovation, aiming to help producers move from idea to market. Education Pipeline: UH is expanding the Hoapili Teacher Pathways program statewide with tuition-free online courses to address Hawaiʻi’s elementary teacher shortage.

EV Insurance Costs: Used EVs are gaining traction as gas prices stay high, but EVs still cost about 42% more to insure than gas cars—though the gap shrinks for newer models. Defense Burden-Sharing: Defense Secretary Pete Hegseth’s “partners, not protectorates” message is drawing pushback from Guam, which says Washington needs to treat the territory as a real partner. Hawaii Weather & Surf: Moisture is bringing more showers across the eastern half of Hawaiʻi, with brief heavy rain possible, while elevated south-shore surf continues into midweek. Big Island Recovery: Hawaiʻi County Civil Defense will conduct earthquake damage site visits after the May 22 magnitude-6.0 quake, with water repairs also prompting a planned shutoff on Milo Street in Keaʻau. National Intelligence Shake-Up: President Trump tapped Bill Pulte—head of the Federal Housing Finance Agency—to serve as acting director of national intelligence, replacing Tulsi Gabbard, raising fresh questions about qualifications and priorities. Minimum Wage Patchwork: More states, including Hawaiʻi, are raising minimum wages in 2026, widening the gap with the unchanged federal floor. Hurricane Outlook: NOAA expects a calmer Atlantic season than usual, with El Niño likely reducing activity. PGA Tour Sponsorship: Sentry will sponsor the Torrey Pines PGA Tour event starting in 2027, reviving a Hawaii-linked sponsorship story after Maui’s tournament was dropped amid drought concerns.

Local Government: Honolulu Mayor Rick Blangiardi says he may veto the city’s $5 billion budget over a proposed $1.4 million cut to the Office of Economic Revitalization, after an audit found the office met less than 40% of its mission and the plan would eliminate 18 filled positions. Disaster Relief: The state is reminding residents that Disaster Unemployment Assistance applications are due June 15 for Honolulu, Hawaiʻi and Maui workers and business owners affected by March 10–24 storms and flooding. Energy Assistance: Hawaiian Electric customers can apply June 1–30 for H-HEAP energy bill credits, with additional crisis intervention help available year-round in limited amounts. Water & Business Impact: A temporary emergency water shutoff is set for Kea‘au (Milo Street) June 2, while Maui’s massive sinkhole repairs continue after March storms, with small businesses warning the long timeline could crush summer revenue. Hurricane Watch: June 1 marks the start of hurricane season, with forecasters tracking two possible Eastern Pacific systems that could later affect the Central Pacific. Volcano Update: Kīlauea’s episode 48 has paused and the alert level dropped from WATCH to ADVISORY, though ash and flight disruptions were reported. Sports & Economy: A new bid to save Moana Pasifika would explore relocating the Super Rugby franchise to Hawaii, citing broadcast timing and the lack of major pro sports teams in the state. Workforce & AI: UH is partnering on a four-part AI workforce symposium series, with a June 25 event focused on building an AI-ready workforce for Hawaiʻi businesses.

Hawai‘i Housing & Integrity: A former Hawaii County housing official, Alan Scott Rudo, was sentenced to 46 months for taking bribes tied to more than $11 million in affordable housing agreements—agreements that promised units but left none built. Local Economy & Tourism: Visitor spending in Hawai‘i rose 4.8% in April even as arrivals dipped slightly, pointing to steadier dollars per trip. Disaster Recovery & Water: Kona coffee farms are facing a water crisis after the May earthquake destroyed catchment tanks, leaving growers scrambling for supply. Business & Community: Big Island Climbing in Hilo marked five years, bringing rope-free bouldering to East Hawai‘i and building a local climbing community. Energy Costs: A new national map shows where residential electricity prices jumped most, with grid investment and demand pressures driving fast-rising household bills in parts of the U.S. Aviation & Safety: NBAA’s Q1 2026 bizav accident analysis flags stabilized-approach discipline and ramp/runway vigilance as key safety focus areas.

Public Finance Modernization: Hawaii is replacing a century-old financial management system, with two firms selected to modernize operations affecting state employees, benefit recipients, and vendors. Housing & Cost of Living: Lawmakers argue tax relief isn’t enough, pointing to a roughly $500 million two-year housing investment aimed at building across the housing spectrum. Local Business Development: Plans for a new Costco Business Center in Waipahu—potentially replacing Zippy’s and adding a gas station—drew pushback at a neighborhood board meeting over traffic and relocation concerns. Disaster Preparedness: A proposal to create a National Emergency Authority and a bipartisan committee for El Niño planning highlights how governments are gearing up for natural-disaster risk. Community & Culture: The Lahaina Restoration Foundation will host a free 360-degree immersive “Mokuʻula” film screening at Maui Ocean Center on June 12, with reservations required. Weather Watch: Hawaii’s week starts with lighter trade winds and pop-up showers, with higher chances for windward and mauka areas before a more damp pattern later in the week. Public Access Funding: Akakū Maui Community Media faces a looming $400,000 cut in January 2027, warning that a Spectrum Oceanic franchise renewal could further strain public and community media.

Health Care Shake-Up: HMSA is switching from value-based payments back to fee-for-service July 1, and doctors warn the 60-day change could destabilize primary care and reduce access. Disaster Relief (Kona Low): FEMA approved more than $2.1M in grants for Hawaii County Kona-low damage, with applications due June 14; multilingual help is available via ready.hawaii.gov and revitalizeoahu.org. Local Economy & Policy: Honolulu City Council advanced a plan to let the city acquire and restore the long-derelict Queen Theater in Kaimuki, potentially using eminent domain and earmarking up to $4M. Energy & Solar: A new law cuts Hawaii’s Renewable Energy Technologies Income Tax Credit retroactively, putting hundreds of solar projects and many homeowners in limbo. Aviation & Tourism: Hawaiian Airlines will end free meals on most flights and move to a paid pre-order menu starting July 1, featuring Maui chef Sheldon Simeon. Public Safety: Police charged a 36-year-old man in the Puna killings of three men, after a multi-day manhunt. Defense Tech: The Army is pushing a new command-and-control communications system, with Hawaii’s 25th Infantry Division working with Lockheed Martin. Community & Business Events: Hawaiʻi Outdoors Expo returns June 6-7 at Blaisdell, spotlighting gear, activities, and a Bully Mash Dog Show.