House Finance Committee approves state budget

Funding for Maui County hospitals, Kahului Airport is included

The state House Finance Committee Wednesday approved the operating and capital improvement budgets for the next two fiscal years that include funding for Maui County hospitals, improvements at the Kahului Airport and other projects.

HB 300, which covers fiscal years 2023-2024 and 2024-2025, now goes to the House floor and is anticipated to cross over to the state Senate next week.

Finance Chairman and Maui Rep. Kyle Yamashita said in a news release that the committee’s methodical approach included restoring funding to critical programs that were cut during the pandemic; tackling longstanding large, one-time funding priorities; and enhancing the state’s ability to withstand an economic downturn by shoring up its reserve funds.

“The legislature entered FY2023 with a fiscal surplus, which pushed us to be very careful in developing the budget,” Yamashita said. “This budget proposes to spend $1.3 billion on deferred maintenance which not only includes a backlog in facilities repair, but our most valuable resource, our natural environment — our parks, forests, and ocean resources. The intention is not to immediately spend the money, but to strategically tackle these projects to ensure that the state receives the best value while keeping the projects’ timetables in mind.

“Additionally, Medicaid, health care, kupuna care, homeless services, climate change, and affordable housing remain priority issues for the residents of Hawaii.”

The committee on Wednesday approved $18.9 billion for the state operating budget in fiscal 2024 and $17.8 billion for fiscal 2025.

Some operating highlights specifically for Maui County include $22 million over both fiscal years for Maui Health System and $860,442 over both fiscal years and eight positions for the Maui District Health Office.

In the CIP budget for both fiscal years, some Maui County-specific projects include $37.7 million for improvements to terminals and facilities at Kahului Airport and $3 million for Kalaupapa settlement for health and safety improvements and compliance projects.

The Finance Committee and its members have emphasized that the approved budget highlights are just one step in the process to finalizing the state’s budget.

“We have much more work to do in analyzing budget proposals until we get to a final version in May,” Yamashita said.