House Finance Committee approves its draft of the state’s fiscal 2025-26, ’26-27 budgets

Maui County highlights in the House Finance Committee draft budgets for fiscal years 2026 and 2027 include $1.6 million in both fiscal years for Kamehameha III temporary school in Lahaina and $12 million in fiscal 2026 and $6 million in fiscal 2027 for Maui Health System.

The committee’s draft capital improvement projects budgets would set aside $13 million for Lahaina small boat harbor; $35 million to support the third Hawaiʻi State Veteran’s Home on Maui; and $30 million for Lahaina Elementary School.

For affordable housing statewide, the capital improvements budget calls for spending $408 million, including $62 million for critical infrastructure projects and $290 million for financing programs, such as the Rental Housing Revolving Fund and Dwelling Unit Revolving Fund.

The Department of Law Enforcement was budgeted $1,265,000 in fiscal 2026 for its Fireworks Task Force.

On Wednesday, the House Finance Committee, chaired by Upcountry Maui Rep. Kyle Yamashita, approved its drafts of the state’s upcoming spending plans for operating state departments and capital improvements.

In a news release, Yamashita said the committee focused on core services and safety net areas, including health and human services, the environment and lower and higher education. The budget also aims to strengthen the state’s financial resilience by bolstering reserve funds to prepare for potential economic downturns. 

“This budget is based on the January Council on Revenues’ projections, making it optimistic at best,” Yamashita said. “However, we have included key items we believe are essential to keep the discussion going with the Senate. Additionally, we are closely monitoring updates from our federal counterparts on continued resolutions and potential federal funding cuts that could impact Hawaiʻi residents.”

“The House draft of the State Budget is a work in progress, and we will continue our discussions with our community partners as we move forward,” said Capital Improvements Project Chair Lisa Kitagawa of Windward O‘ahu. “The CIP budget includes many key investments to address the cost of living for working families—particularly in healthcare, affordable housing, and education.” 

The Finance Committee also approved the budget bills for the Office of Hawaiian Affairs (House Bill 410 House Draft 1) and the Hawaiʻi State Judiciary (House Bill 400). 

These bills, along with the House draft of the budget bill (House Bill 300), will now proceed to the House floor for third reading and are expected to cross over to the Senate on Wednesday.

General Fund appropriations:

FY2026: $10.67 billion; FY2027: $10.52 billion

All Means of Financing:

FY2026: $20.48 billion; FY2027: $20.22 billion

Department of Accounting & General Services

• $2,920,548 in both fiscal years to support the enterprise financial system project.
• $1,600,000 in both fiscal years for cyber security risk mitigation.
• $1,613,000 in FY26 and $2,160,000 in FY27 and four positions for data/AI office and AI risk management tools and geospatial license renewal.
• $2,115,000 in FY26 and $380,000 in FY27 and two positions for electronic filing system upgrade.
• $3,978,275 in FY26 and $125,000 in FY27 for voting system contract, digital voter information guide and electronic registration information center.
• $800,640 in both years and 10 positions to establish the Business Transformation Office.

Department of Agriculture

• $12,735,015 in both fiscal years and 44 positions for biosecurity.
• $480,000 in FY26 and $76,000 in FY27 for vehicle replacement.

Department of the Attorney General

• $295,476 and four positions in both fiscal years for sex offender registry program.
• $5,000,000 in both fiscal years for litigation expenses.
• $432,646 in FY26 and $453,292 in FY27 and three positions for Charities Division.
• $152,767 in FY26 and $305,531 in FY27 and two positions for Medicaid Fraud Control Unit.
• $196,863 in FY26 and $271,445 in FY27 and two positions for the Hawaiʻi Correctional System Oversight Commission.
• $3,100,000 in both fiscal years for Child Support Enforcement Services.

Department of Budget & Finance

• $572,695,000 ceiling increase for the Mass Transit Special Fund.
• $465,084 and five positions in FY27 for Office of Federal Awards Management.
• $200,000,000 in FY26 deposited into the Emergency and Budget Relief Fund.
• $1,653,691 in both fiscal years to increase pay for deputy public defenders.

Department of Business, Economic Development & Tourism

• $1,450,000 in both fiscal years for the healthcare workforce development program.
•  $1,977,020 in FY26 for the Hawaiʻi Convention Center repair and maintenance projects.
•  $650,000 in both fiscal years for the Military and Community Relations Office.
•  $1,000,000 in both fiscal years for the Manufacturing Assistance Program.
•  $1,000,000 in both fiscal years for the Hawaiʻi Small Business Innovation Research Phases II & III.
• $1,000,000 in both fiscal years for the Accelerator Grant Program.

Department of Commerce & Consumer Affairs

• $12,000,000 ceiling increase to assist with renovation costs for the King Kalakaua Building.
• $25,000 ceiling increase to participate in the Interstate Medical Licensure Compact.
• $1,500,000 for Captive Insurance Branch IT replacement project.

Department of Defense

• $429,000 in both fiscal years for computer hardware refresh.
• $230,000 for upgrades to the Distributed Antenna System.
• $2,037,196 total in both fiscal years for the Youth Challenge Academy.
• $1,894,066 in both fiscal years and 20 positions for Hawaiʻi Emergency ManagementAgency.

Department of Education

• $2,001,192 total in both fiscal years and 13 positions for the Kaiapuni Program.
• $5,951,805 total in both fiscal years for athletics including increases for travel, increases in coaching salaries, increases in athletic training supplies, flag football, equity, and adding an athletic trainer to Kūlanihāko‘i High School.
• $20,990,000 in both fiscal years for summer school.
• $3,925,000 in FY26 and $3,625,000 in FY27 for workforce readiness.
• $499,800 in both years for advanced placement exams.
• $10,000,000 in both years for skilled nursing services.
• $1,700,000 in both years for mental health & social-emotional well-being.
• $1,789,680 in FY27 and 20 positions for mental health interventionists.
• $463,624 in both years and six positions for mathematics and financial literacy curriculum initiatives and for instructional support for classroom teachers.
• $715,406 and four positions in both years for Deputy Superintendents.
• $15,000,000 in both years for increases in electricity costs.
• $3,250,000 in both years for increases in various contract costs.
• $1,500,000 in both years for soil contamination mitigation efforts.
• $4,000,000 in both years for increased nighttime security at schools.

Department of Education — Libraries

• $634,756 in both years for increases in Library Services and Technology Act State Grant.
• $434,000 in both years for temporary library locations for Wahiawa, Pearl City and Makawao libraries.
• $500,000 in both years for increases for repairs and maintenance costs.
• $500,000 in FY26 and $250,000 in FY27 for an automated material handling system.

Department of Education — Executive Office on Early Learning

• $5,027,927 and 58 positions in FY26 and $8,236,302 and 108 positions in FY27 for public pre-kindergarten expansion.

Office of the Governor

• $725,000 in both years and six positions for federal affairs and boards and commissions.

Department of Hawaiian Home Lands

• $393,600 in FY26 and 442,800 in FY27 and three positions for the Tribal Broadband Connectivity Program.

Department of Health

• $110,108 in FY26 and $115,108 in FY27 for a State Veterinary Medical Officer.
• $80,545,000 in FY26 and $69,597,400 in FY27 for Hawaiʻi Health Systems Corporations Regions and implementation of Epic Systems for East Hawaiʻi.
• $8,000,000 in FY26 and $14,000,000 in FY27 for Hawaii Health Systems Corporations Oʻahu Region (Leahi and Maluhia).
• $1,838,210 in FY26 and $3,305,926 in FY27 and 21 positions for Certified Community Behavioral Health Clinic certification for Oʻahu, Maui, Hawaiʻi, and Kauaʻi Community Mental Health Centers.
• $13,000,000 in both years for Locum Tenens Contracts for Hawaiʻi State Hospital.
• $8,650,000 in FY26 for overtime and other payroll costs for Hawaiʻi State Hospital.
• $5,500,000 in FY26 for contracts for psychiatric beds.
• $10,100,000 in FY26 and $21,400,000 in FY27 for Medicaid 1915(c) Home and Community Based Services Waiver for Individuals with Intellectual and Developmental Disabilities (I/DD).
• $1,700,000 in both years for contracted services for family planning and preventative health services.
• $567,057 in FY26 and $634,112 in FY27 and two positions to reestablish State Oral Health Program.
• $448,625 in FY26 and $897,251 in FY27 and seven positions for inspections of food establishments.
• $6,245,875 in FY26 and $5,354,942 in FY27 ceiling increase for the Bipartisan Infrastructure Law (BIL) – Assistant for Small and Disadvantaged Communities grant for the Safe Drinking Water Branch.
• $15,000,000 in both years for the Healthcare Education Loan Repayment Program.
• $1,750,000 in FY26 for ambulance services for North Kona.
• $88,390 in FY26 and $176,780 in FY27 and three IT positions at the Hawaiʻi State Hospital.

Department of Human Resources Development

• $1,750,000 in FY26 for a comprehensive classification and compensation study to update Executive Branch civil service classes.
• $231,728 in FY26 and $427,036 in FY27 for recruitment and outreach initiatives and civil service certification.

Department of Human Services

• $250,000 in both years for the State Rent Supplement Program.
• $250,000 in both years for the Federal Section 8 Program.
• $1,550,000 in both years for the Family Assessment Center in Waianae and Puna.
• $3,750,000 in both years for the Housing First Program.
• $1,750,000 in both years for outreach and civil legal services.
• $3,750,000 in both years for the Rapid Re-Housing Program.
• $3,500,000 in both years for the Comprehensive Child Welfare Information System.
• $3,000,000 in both years for the Child Protective Services shortage differential to support recruitment and retention.
• $35,000,000 in both years for the Nursing Facility Sustainability Special Fund.
• $225,000,000 in both years for the Hospital Sustainability Special Fund.
• $6,500,000 in both years for Applied Behavioral Analysis services to increase provider payment rates.
• $14,060,000 in both years for Home and Community Based Services.
• $29,455,181 in both years to sustain increased reimbursement rates for most medical professional services.
• $1,000,000 in both years for youth mental health support.
• $500,000 for sex trafficking victims support.
• $2,000,000 in both years for the development and implantation of a new benefits,eligibility solution system.
• $4,000,000 in FY26 for the implementation and modernization of IT operations.
• $605,000 in both years for Family Resource Centers.

Department of Labor & Industrial Relations

• $4,171,130 ceiling increase for the Workforce Investment Opportunity grant.
• $2,826,373 in FY26 and $3,132,322 in FY27 for the Disability Compensation Division modernization project.
• $2,789,875 in both years for the modernization of case tracking systems.
• $720,000 in FY26 and $445,000 in FY27 to implement the Hawaiʻi Retirement Savings Program.

Department of Land & Natural Resources

• $1,432,728 in both fiscal years and 22 positions for fire protection program.
• $3,250,000 in both fiscal years for the Hawaii Invasive Species Council.
• $500,000 in both fiscal years for the Hawaii Ant Lab.
• $7,425,000 in FY26 and $4,530,000 in FY27 for fire response and fuels reduction.
• $3,000,000 in FY26 for Ukumehame wetland restoration.
• $800,000 in FY26 and $700,000 in FY27 for hydrologic studies.
• $5,000,000 in both fiscal years for the Dam and Appurtenances Program.
• $1,448,167 in FY26 and $1,455,167 in FY27 for I/T consultant services for phase III and IV of Department of Land and Natural Resources’ website.
• Seven positions for Mauna Kea Stewardship and Oversight Authority.

Department of Law Enforcement

• $1,265,000 in FY26 for Fireworks Task Force.
• $825,000 in FY26 for Gun Buyback Project.
• $561,388 in FY26 and $548,888 in FY27 and five positions for accreditation.
• $250,000 in FY26 and $264,000 in FY27 for Silver Alert Program.
• $5,000,000 in both fiscal years for the Department of Education Safer Watch Program.
• $170,000 in both fiscal years and two positions for Address Confidentiality Program.

Department of Public Safety

• $4,000,000 in both fiscal years for reentry services.
• $100,000 in both fiscal years for reintegration documents.
• $112,000 in both fiscal years for Mental Health Technician Certification Program – Level 1 Trauma Informed Training.

Department of Taxation

• $338,150 in FY26 and $1,343,400 in FY27 for monitoring and maintenance of the General Excise Tax System.
• $282,296 in FY26 and $564,592 in FY27 and six positions to implement a new online tax filing platform.
• $200,000 in FY26 for the Tax Review Commission.

Department of Transportation

• $6,662,800 in FY26 and $4,242,800 in FY27 for Aircraft Rescue Firefighting operations.
• $14,579,800 in FY26 and $20,419,380 in FY27 for electric vehicle leasing and supplies for airports.
• $4,838,085 in FY26 and $5,870,621 in FY27 for energy service company debt service.
• $23,812,501 in both fiscal years for security contract for airports.
• $1,563,150 in FY26 and $898,150 in FY27 for automated external defibrillator and publicly accessible defibrillator units for airports.
• $70,950,000 in FY26 and $65,375,000 in FY27 for special maintenance for airports.
• $2,020,354 in FY26 for Customs and Border Protection IT equipment for airports.
• $1,076,000 in both fiscal years for harbors facility security plan.
• $25,000,000 in both fiscal years for harbors Joint Service Inter-Government Service Agreement.
• $19,017,069 in FY26 for harbors buyout of leasing of high-mast lights and fixtures with Banc of America Leasing & Capital LLC.
• $30,000,000 in FY26 and $35,000,000 in FY27 for harbors special maintenance projects.
• $50,000,000 in FY26 and $45,000,000 in FY27 for highways special maintenance program.
• $15,000,000 in FY26 for highways statewide fire mitigation.
• $5,000,000 in FY26 for highways property storage and debris removal services from homeless encampments.
• $13,048,180 in FY26 and $411,118 in FY27 for Highways Safe Routes to School Program.

University of Hawaiʻi

• $16,320,000 total in both years for Manoa intercollegiate athletics.
• $1,108,019 in FY26 and $1,533,463 in FY27 for the Kakaʻako Health and Wellness campus operations.
• $9,476,352 in FY26 and $9,441,861 in FY27 to sustain the UH Cancer Center operations and research.
• $800,000 total for UH Hilo Athletics.
• $357,500 in FY26, $475,000 in FY27, and five positions for the School of Nursing.
• $179,378 in both years for I Hoa Nā Moʻolelo Program.