‘Ohana Assistance Pilot Project launches for owners hoping to build ʻOhana dwellings

The ‘Ohana Assistance Pilot Project launched on Monday to provide grants of up to $100,000 to Maui County homeowners toward the cost of design and construction of attached or detached ʻohana units.

Through the competitive bid process, Lokahi Pacific was selected to administer the program for the County Department of Housing. Funding of $2.75 million was provided for the project in the County budget for Fiscal Year 2024.

“This program will help to increase the supply of much-needed housing for our residents,” said Mayor Richard Bissen. “We hope this will encourage and enable our resident homeowners to provide housing for fellow residents in need.”

Grant applicants must be owner-occupants. The program is designed for full-time Maui County residents with shovel-ready ʻohana projects who, with this County support, will provide long-term housing opportunities for full-time residents.

Qualified Maui property homeowners may obtain program guidelines and qualifications, ask questions and submit applications online at Lokahi Pacific’s website at https://www.lokahipacific.org/.

The deadline for submission of applications is 4 p.m. July 31, 2024.

Program requirements include:

• Annual reporting by grant recipients to confirm and verify workforce housing compliance for the renting of the new units.
• A 10-year deed restriction to provide workforce housing.
• Grant recipients must be owner-occupants and full-time residents of Maui County during the deed restriction period.
• Recipients must repay 100 percent of the grant if property is converted to a condominium property regime after the award is given.
• Grants are subject to County of Maui buy-back provisions if property is sold during deed restriction time period (from 100 percent in year one to 10 percent in tenth year).
• Only one award per owner or property will be granted.
• Applicants who are in preconstruction phase of development are eligible to apply. Accessory Dwelling Unit (ADU) projects that are currently under construction are not eligible.
• Transient or short-term rental use of an ADU constructed with grant funding is prohibited in perpetuity.
• Grant funds will be dispersed in four equal payments after on-site inspections; first upon award approval, second after the foundation and framing inspections have passed, the third after preliminary or rough plumbing and electrical inspections have passed, and fourth after final plumbing, electrical and building inspections have passed.
• Each grant recipient must verify the ʻohana unit tenant household is qualified to rent the ʻohana constructed with these grant funds. Tenant household total adjusted gross income must be at or below 120 percent of Area Median Income (AMI). Tenants must be permanent full-time Maui County residents. Grant recipients will be required to verify household tenant qualifications by providing for review all signed federal and state tax returns used to determine eligibility or any other documents used to determine eligibility. Qualifications will be reviewed and verified by the Department of Housing or its designee prior to tenant approval for the unit. Grant recipients may also choose to allow no-cost occupancy of the ʻohana exclusively to permanent, full-time Maui County residents who qualify.

The ʻOhana Assistance Program was initiated last year by Council Chair Alice Lee.