Bills introduced to establish Maui Wildfires Settlement Trust Fund

Companion bills in the state House and Senate have been submitted to establish the Maui Wildfires Settlement Trust Fund to pay claims from about 2,200 plaintiffs who’ve filed claims from injuries suffered in the August 2023 disaster.

House Bill 1001, introduced by House Speaker Nadine Nakamura, and Senate Bill 1320, introduced by Senate President Ronald Kouchi, would set up the fund to be administered by the Department of the Attorney General.

Both measures are part of Gov. Josh Green’s package of bills. They have passed first reading, but had not been assigned to committees as of late Thursday morning. Presumably they will be referred to the House Finance and Senate Ways and Means committees.

The trust fund creation stems from the $4 billion global Maui wildfire settlement reached last year. According to the House and Senate bills, the state of Hawaiʻi’s contribution to the settlement fund would be $400 million in fiscal year 2025-2026 and $407.5 million in fiscal year 2026-2027. The money would be deposited into the settlement fund to pay for claims arising from the Aug. 8, 2023, Maui wildfires and for payment of administrative costs related to the settlement agreements.

Other contributors to the fund include Maui County, Hawaiian Electric Co., Kamehameha Schools, Charter Communications/Spectrum, Hawaiian Telcom and the West Maui Land Co.

The bills note that the Hawaiʻi Supreme Court is reviewing questions regarding whether insurance companies can recover payments made for Maui wildfire damages from 20 policyholders. The resolution of this matter could affect the settlement’s implementation, according to the bills.

The settlement fund will provide a “means of compensation to any individual or personal representative of a deceased individual who suffered real and personal property damage, personal injury, wrongful death, emotional distress and inconvenience, or economic loss as a result of the Maui wildfires, and will offer a timely and compassionate resolution to those affected by the Maui wildfires while relieving the burden on the judicial system and contributing to the rebuilding of lives and community,” the bills say.

Under the bills, the Department of the Attorney General would be required to make annual reports to the Legislature with accounts of receipts and disbursements from the fund.

If enacted, the law establishing the settlement fund would go into effect July 1.