Maui County committee defers overnight parking ban, discusses water fee overhaul

The Maui County Council’s Water and Infrastructure Committee deferred action Monday on a proposed overnight parking ban on three industrial area streets in Kahului after hearing community concerns about its impact on homeless people living out of their cars and the need for safer alternatives.

The committee also received a detailed presentation on an overhaul of the Department of Water Supply’s water system development fee structure.

Regarding the parking measure, Bill 49 would prohibit overnight parking from 6 p.m. to 6 a.m. on Lehuakona, Ala Makani and Ohekani streets in Kahului. The roads near commercial properties in the industrial triangle bordered by Dairy Road and Mayor Elmer Cravalho Way. Nearby businesses include the McDonald’s off of Dairy Road, Kahului Laundromat, Jollibee Chicken, Extra Space Storage, Irrigation Systems Inc. and Ballard Family Mortuary.

Kahului Council Member Kauanoe Batangan introduced the measure on behalf of the late Council Member Tasha Kama, saying the legislation dates back to January 2025 when local businesses sought relief from sanitation issues tied to overnight parking. Batangan noted that the Maui Police Department said in writing it would enforce an overnight parking ban.

The proposal drew opposition from community advocates. Lisa Darcy, founder of Share Your Mana, urged the committee to halt the bill and address root causes rather than restrict where people can sleep in their vehicles.

Testifier Faith Chase cited litigation over the county’s treatment of unsheltered individuals, arguing the county cannot legally or ethically eliminate vehicle residency areas without first creating accessible safe zones.

Chase also reminded council members that state Department of Transportation rules require a 60-day notice and public hearing for Native Hawaiian organizations before changing regulations on DOT-regulated highways.

In written testimony, ISI Water Solutions General Manager Chris Robinson described feeling helpless with unsanitary and unsafe conditions in the area and expressed strong support for the proposed overnight parking ban.

He told committee members that the situation in the industrial area behind the Maui Marketplace is a public health and safety crisis that has persisted for more than seven years.

“I have come in many times into work at 6 a.m. and witnessed the aftermath of feces and urine on the curb/sidewalk fronting our business,” he wrote. “Our employees park on the street and walk thru and/or past both the sight and smell of this and this is truly a health hazard.”

Robinson said the industrial area is off the “beaten path,” which attracts a “certain crowd” after business hours.

“These individuals are very disrespectful to public property, and I’ve even had some of my employees verbally and physically attacked while walking to/from their vehicle parked on the street,” he said.

Several council members supported deferring the measure.

Council Member Shane Sinenci noted that his Water Authority, Social Services and Parks Committee is scheduled to receive an update on a safe parking initiative from the Department of Human Concerns on June 29.

Implementation of a safe parking program for homeless individuals to sleep in their vehicles has languished for years. At the end of March 2025, Maui County announced that the Department of Human Services was looking for a qualified organization to establish and operate a safe parking pilot program.

Council Member Gabe Johnson expressed frustration with the measure and asked that relevant administration officials be present for substantive debate on Bill 49.

“This bill’s not ready,” he said. “So I know we prioritize certain bills that we agree with, and it just doesn’t sit right with me when I’m trying to get a new power lines bill… And then we’re coming up with this one that needs so much work, and (there’s) no place for these folks to go.”

Committee Chair Tom Cook acknowledged the frustration of local business owners. He pledged to work with the administration to establish structured safe parking, sanitation facilities and wraparound social services.

Without objection from panel members, the committee deferred action on Bill 49. At their next meeting on the matter, council members want to hear from representatives of the Department of Public Works, Maui Police Department and Department of Human Concerns.

The committee discussion comes after last week Wednesday’s release of the annual Point in Time Count of homeless individuals. The one-day, Jan. 25 survey of homelessness by Bridging the Gap found Maui’s unsheltered homeless population shot up 40% from 285 to 398 individuals while overall homelessness remained flat, down less than 1% from 2025.

Council Member Nohelani Uʻu-Hodgins noted the Point in Time report’s data about a 40% rise in unsheltered homeless, and added that, “meanwhile, we’re investing about $4 million every single year. So I’m not too sure how this is really benefiting all of us.”

She said she support safe parking programs, adding that public roads are primarily meant for driving.

Water system development fees

Department of Water Supply Chief Engineer James Jensen described Bill 76 as “kind of a cleanup bill,” a companion to the fiscal 2027 budget bill that passed its first reading on May 15.

“It’s gonna kind of modernize our code and align with what the industry is doing elsewhere,” he said.

Jensen provided a PowerPoint overview of the bill, describing the development fee change as intended to distribute infrastructure costs more fairly across different project types.

The measure would shift the county’s development charge from a meter-size-based formula to one tied to average daily demand, using equivalent single dwelling units (ESDs) as the standard measure. One ESD represents 300 gallons of water per day. He said the new system would ensure fees are proportionate to actual infrastructure impact rather than being tied to meter size. “The fee structure does not discriminate on the end use of water,” he said.

Under the new formula, a typical four-bedroom, two-bath home would calculate to about 1 ESD and pay roughly $5,500 — similar to what it would have paid under the old system. High-demand users would face larger increases. A large irrigation project drawing 9,000 gallons per day might have been charged around $12,000 under the old meter-size approach; under the demand-based formula, that same project would owe approximately $165,000.

Jensen said the bill would also modernize code language — replacing terms such as “rate” with “exaction” and “recover” with “defray” — and add protections against charging applicants twice for the same infrastructure impact.

The measure includes a fee deferral option for affordable and workforce housing projects until those units are occupied, which county staff said is consistent with industry practice.

Council Member Tamara Paltin asked how the fee increases would be implemented over the next few years.

The department actually wanted a higher fee increase this coming fiscal year, but “just to avoid sticker shock,” Jensen said the department decided to phase in the higher fees over the next three years to keep pace with inflation.

Also, the Department of the Corporation Counsel reported that department fee calculations can be appealed to the Board of Water Supply.

Bill 76 passed first reading on May 15. It is scheduled for a second and final reading before the full County Council on June 5.