AGP Executive Report

East Honolulu Politics: Tommy Waters’ disqualification reshapes the East Honolulu City Council District 4 race, leaving three candidates—Trevor Ozawa, Tara Malia Gregory and Jason Liang—vying for the seat. Biosecurity & Agriculture: Hawaii Island advocates say the coconut rhinoceros beetle rule isn’t being enforced strongly enough, pushing for better implementation and compliance. Maui Rebuilding & Property Rights: Maui County is offering buyouts to owners of iconic Lahaina waterfront properties as some businesses still face permitting delays amid sea-level rise risk. Energy Planning: JERA is holding public meetings on whether importing LNG fits Hawaii’s energy “trilemma” of affordability, reliability and sustainability. Consumer & Retail Trust: Two Waipahu residents report Walmart deliveries marked “delivered” never arrived, with mismatched photos prompting refunds. National Business/Legal: Egg producers face state price-fixing fallout, with a settlement including 53 million eggs donated to food banks. Tech Policy: The CHATBOT Act advanced in the U.S. Senate Commerce Committee, aiming to give parents more control over AI chatbot use by minors. Weather: Breezy trade winds return this weekend, with scattered showers possible—especially for windward and interior areas.

Hawaiʻi Broadband Expansion: The state is moving ahead with nearly $150 million in BEAD-funded fiber work for underserved communities, with UH saying it has finalized a contract with Hawaiian Telcom to connect about 5,800 unserved homes. Local Economic Governance: Hawaiʻi County lawmakers are set to redefine the role of the Department of Research and Development, aiming to clarify responsibilities and lock in at least $1 million annually for grants supporting entrepreneurs, small businesses and workforce development. Climate Resilience Spending: Honolulu approved its FY 2027 Climate Resiliency Fund portfolio, investing $9 million in projects ranging from cesspool conversions and renewable retrofits to stormwater planning and food-system resilience. Maui Water Deal: A Maui Council committee voted 7-1 to recommend allowing the county to spend up to $6 million to acquire West Maui water systems, moving the proposal toward state review. Public Health Watch: The CDC reported more than 20,000 suspected cyclosporiasis cases in the largest U.S. outbreak on record, with Hawaii among the few states reporting no confirmed cases so far. Business & Travel: Kona Island Coffee opened a Bay Area brick-and-mortar after starting as a weekend trailer business selling 100% Kona coffee blended with Hawaiian staples. Security & Cost of Defense: RIMPAC’s wrap-up included remarks on rising competition with China and the price tag of keeping the Pacific secure, with calls for major new U.S. weapons spending. Tariffs Legal Fight: Multiple state attorneys general, including Hawaii-linked efforts, continue challenging Trump tariff moves in court, arguing the new duties are unlawful and drive up costs.

Tariff Fight: A coalition of 25 U.S. states, including Hawaiʻi, sued the Trump administration over new Section 301 tariffs on 60 trading partners, arguing the move is illegal and a pretext that will raise costs for families and businesses. Tourism & Safety: A widely shared account of an alleged hate-motivated attack during a West Maui vacation has triggered FBI and Maui Police review; police say the incident is being investigated as a riot and felony assault with multiple arrests, but no charges have been filed. Local Economy & Housing: Maui County’s mayoral primary is down to two candidates after narrowing a 10-person field, with the campaign spotlighting recovery progress and the fallout from Bill 9 vacation-rental changes. Trade & Travel Costs: The yen-to-dollar slide is reshaping who can afford travel to Hawaiʻi, with Japan arrivals and spending still far below pre-pandemic levels. Conservation Jobs: Kupu won a $1.75 million AmeriCorps grant to expand conservation leadership training across Hawaiʻi and the Pacific. Weather Watch: Light trade winds and scattered showers continue, with a better chance of rain for windward and mauka areas and surf staying generally modest.

Shipping & Aviation Liability: After last year’s UPS plane crash that killed 15 on a route to Honolulu, new lawsuits name UPS, Boeing and suppliers, seeking punitive and compensatory damages from alleged negligence. Local Economy & Trade: Honolulu-based Matson posted a strong Q2, with net income up 36.6% as China service demand and higher freight rates lifted results. Energy & Finance: Par Pacific reported Q2 gains, citing progress on its Hawaii turnaround and a completed $500M notes offering that cut term debt. Real Estate & Workspaces: Premier Workspaces opened a new flexible-office location in Bellevue, expanding its Pacific Northwest footprint. Climate Resilience: Honolulu’s FY2027 Climate Resiliency Fund portfolio invests $9M across water, food systems, infrastructure upgrades and neighborhood risk reduction. Hawaii Policy & Enforcement: The Hawai‘i Department of Taxation says an O‘ahu home care provider entered a no-contest plea for willfully failing to file general excise tax returns (2018–2021), with restitution and community service ordered. Regional Business Watch: A multistate coalition including Hawai‘i sued to block Trump’s new tariffs, arguing they’re unlawful and designed to replace prior duties struck down by courts. Community & Jobs Pipeline: Kupu received $1.75M in AmeriCorps funding to expand conservation career training across Hawai‘i and the Pacific.

Hawaii Jobs Outlook: Hawaii’s Department of Labor projects only 4.1% employment growth through 2034, a sluggish 0.4% annual rate, with gains led by registered nurses, carpenters and bartenders while retail, agriculture, finance and real estate are expected to shrink. Local Consumer & Access: The Public Utilities Commission permanently expands no-cost print disability access by requiring telecom providers to fund the Hawai‘i Universal Service Fund, with potential small bill impacts starting Sept. 2. Legal/Environment: A federal judge lets the Trump administration refile its fossil-fuels lawsuit aimed at blocking Hawaii’s planned climate-related case against major oil companies. Tariffs in Court: Hawaii is among 25 states suing the Trump administration over new “forced labor” tariffs, arguing the move is unlawful and will raise costs. Community & Trust: In a Kokua Line response, Hawaiian Humane Society says visitor sign-ins are for safety and openness, and that guests are welcome even if QR registration is required. Business & Travel: Nauru and the Marshall Islands move toward Honolulu air service, while Guam sees new business openings despite headwinds. Military: RIMPAC wraps after more than a month of training across the islands with 30 nations participating.

Tariff Fight: A coalition of 25 state attorneys general, including Hawaiʻi’s, sued the Trump administration to block a new round of sweeping tariffs on 60 trading partners, arguing the move is a “pretext” to replace duties the Supreme Court struck down in February and that the costs will land on American families and businesses. Local Impact: Hawaiʻi is named among the plaintiffs, joining states that say the tariffs will raise prices on essentials and disrupt the economy. Accountability Push: In a separate Hawaii-related legal battle, a watchdog group claims the University of Hawaiʻi improperly withheld public records tied to whether climate activists and advocates influenced climate lawsuits. Business & Policy Watch: CMS proposed changes to Medicare payments for hospital outpatient departments and ambulatory surgery centers, signaling more pressure toward site-neutral care and tighter oversight. Hawaiʻi Costs: The state’s after-school program fee is set to rise for 2026–27, from $200 to $240, with assistance available for income-eligible families.

Immigration Protections: Hawaii lawmakers and advocates celebrated new state laws aimed at limiting ICE-style pressure, including rules that keep local police from certain cooperation with federal immigration authorities. Broadband Buildout: The state is moving ahead with the Hawaii Islands Fiber Link, a new underwater fiber project slated for 2027 to connect all six islands and boost connectivity under the Connect Kakou effort. Education Costs & Heat: Teachers say classroom air conditioning is constrained by aging electrical infrastructure, forcing some educators to buy fans or window units themselves. Native Housing Setback: DHHL turned down a city gift of Kailua land after soil conditions were deemed unsuitable for homestead development, pushing the search for other Windward Oahu options. OHA Leadership Search: The Office of Hawaiian Affairs launched a nationwide search for a new Administrator/CEO, with priority consideration for applications by Sept. 4. Politics & Markets: Senators pressed the CFTC over prediction markets, arguing tribal consultation and gaming jurisdiction could be affected. Japan Currency Watch: Japan and the U.S. carried out coordinated yen buying for the first time in 15 years, with Trump calling it a “signal of friendship” tied to Japan’s weakening yen. Local Economy & Tourism Demand: A report says demand for Hawaii flights remains strong in Washington, hinting at continued mainland travel interest.

Local Public Safety: Honolulu police are investigating two separate robberies in the Ward and Ala Moana areas, including a handgun threat around 8 p.m. and a first-degree robbery arrest about an hour later. Disaster Recovery & Housing: Three years after the Lahaina wildfire, Front Street has reopened, but many residents say recovery isn’t complete until more families can return home; FEMA is still supporting hundreds of households with rental and direct housing. Nonprofit & Community Business: The Maui News has been bought by a local nonprofit group, shifting the 126-year-old paper to a donation- and grant-supported model while keeping its staff in place. Consumer Protection (Crypto): Hawaii’s new law banning crypto “transaction kiosks” takes effect Oct. 1, but advocates urge people to avoid crypto ATMs now, citing a sharp rise in crypto ATM fraud losses. Research & Space: UH and partners report Moon seismic mapping could detect buried lunar ice up to 2,625 feet deep, with China’s Chang’e-7 expected to test it later this year. Energy & Weather: Breezy trade winds continue across the islands, with advisories easing later in the week as conditions shift.

OHA Leadership Shake-Up: The Office of Hawaiian Affairs has launched a nationwide search for a new administrator and CEO as it faces a lawsuit from current CEO Stacy Ferreira, with trustees saying the process is open to everyone. Hawaiʻi Politics & Spending: The Carpenters Union-backed political operation is dominating the race, with a super PAC raising and spending millions, while another union PAC reports smaller but active fundraising. Local Governance on the Ballot: Honolulu City Council Chair Tommy Waters has been ruled ineligible for another term, but his name will still appear on already-printed ballots; votes will be counted only to determine whether an eligible candidate gets a majority. Business & Economy Reality Check: A new business-ranking critique argues Hawaiʻi’s low business performance reflects “friction” in getting ideas to action, pointing to costs like childcare and infrastructure gaps. Tourism & Recovery Milestone: Lahaina’s Front Street has reopened to the public, a major step for businesses and residents still rebuilding after the wildfire. Power & Weather Risk: Wind advisories and a possible public safety power shutoff remain on the table as gusty trades and dry conditions continue. Travel Disruption: Southwest is adjusting boarding timing on some Boeing 737 flights, adding to ongoing airline operational changes.

Aviation & Competition: Southwest’s Hawaii overwater limits aren’t just about having enough 737 MAX 8s—ETOPS approval and aircraft-by-aircraft operating requirements still shape what can be scheduled across the Pacific. Tourism & Demand: Hawaii visitor stays are getting shorter—June averaged 7.9 days, down from 8.9 last year—while total spending rose slightly, a trend industry leaders say they need to reverse. Local Business & Community: Hawaii County will hold free household hazardous waste drop-offs Aug. 8 (Hilo) and Aug. 15 (Kailua-Kona), with rules excluding business and certain materials like e-waste and tires. Health Care Spending: Medicaid surgery claims in Aiea hit $225,313 in 2024 (+11.8%), while Ewa Beach dental services billed $125,512 (+9.9%), showing continued growth in local public health utilization. Governance & Accountability: Gov. Josh Green renewed calls for Lt. Gov. Sylvia Luke to resign after she and three others pleaded not guilty in a COVID-era bribery case tied to state testing contracts. Airline Labor: WestJet began canceling flights and grounding planes after a 72-hour strike notice as talks with flight attendants stalled over unpaid work and compensation.

Oʻahu Transit Boost: Skyline’s rail system won a 2026 Innovation Award from the American Public Transportation Association, spotlighting tech upgrades aimed at safer, more efficient rides. Energy & Risk Management: Hawaiian Electric is in a Public Safety Power Shutoff watch as trade winds and dry conditions raise wildfire risk, with possible outages in parts of West Maui and Hawaiʻi Island; the state Department of Water Supply is also preparing for water impacts. Local Leadership & Governance: The Office of Hawaiian Affairs launched a nationwide search for its next Administrator/CEO, with applications prioritized by Sept. 4. Business Support: Hawaiʻi Energy opens EmPOWER Grant applications Aug. 5, offering up to $15,000 to help small businesses, restaurants and nonprofits cut electric bills with energy-efficient equipment. Public Safety & Community: A 17-year-old turned himself in over an $80,000+ Wailea retail theft involving luxury handbags; police say two others were already arrested. State Parks Staffing: Alan Carpenter was selected to lead the Hawaiʻi DLNR Division of State Parks, overseeing 55 parks and planning longer-term strategy and community collaboration.

Tourism Scrutiny: A new wave of political pressure is hitting tourism bureaus worldwide, with residents demanding transparency and ethics as tourism budgets face tougher oversight. Maui Recovery & Hotel Demand: June visitor spending in Hawaii rose to $1.98B (+0.6%) while arrivals edged up to 858,577 (+0.2%), and Lahaina-area hotel occupancy pushed above 76% as rebuilding continues. Local Water Governance: Maui County’s council reviewed a non-binding deal that could expand public control of West Maui drinking water from about 45% to 93%, while members questioned how it ties to zoning changes for land the company wants to keep. Local Business & Community: UH alumni-owned small businesses filled a sold-out Waikiki Makers’ Market, and the Maui News is shifting to a nonprofit model to keep the paper community-based. Health & Cost Pressures: The American Red Cross declared a national blood supply crisis, and a study ranks Hawaii among the least affordable states for retirees. Weather Disruption: A wind advisory is in effect for most islands through Saturday, with gusts up to 50 mph.

Hawaiʻi Public Safety & Health: Blood Bank of Hawaiʻi is urging donations after the American Red Cross declared a national blood supply crisis, citing extreme heat, air quality issues, and foodborne illness; BBH says local eligibility exists but regular donor turnout is down. Local Governance & Accountability: Lt. Gov. Sylvia Luke and three co-defendants pleaded not guilty in Oʻahu court over an alleged bribery-and-conspiracy scheme tied to COVID-19 contract money, with defense attorneys immediately challenging prosecutors’ ability to win. Business & Workforce: PTC announced an exclusive sponsorship of Pacific Women in Telco, formalizing a Pacific-wide push to expand opportunities for youth and women in STEM and digital infrastructure. Community & Economy: UH Alumni Makers’ Market returned to the Royal Hawaiian Hotel, spotlighting alumni-led small businesses and entrepreneurship as an economic driver for the islands. Energy & Infrastructure: Hawaii lawmakers met in Chicago with major tech and retail companies to track national policy trends, including AI and energy. Weather & Risk: Trade winds are returning after Fausto’s remnant low, with breezier conditions and elevated fire-weather risk in leeward areas. Sports Business (National): The Mets began their trade-deadline sell-off, agreeing to send reliever A.J. Minter to the Twins for prospects Bruin Agbayani and Billy Amick.

Hawaiʻi Politics & Courts: Lt. Gov. Sylvia Luke and three alleged co-conspirators pleaded not guilty in Oʻahu Circuit Court in a COVID-era bribery case tied to state money for testing contracts; the trial is set for Sept. 28, and Luke is on unpaid leave. Energy & Infrastructure: An editorial urges faster fixes to Kakaʻako’s energy situation as residents and businesses deal with power reliability concerns. Telecom & Cost of Living: A new national internet index finds broadband prices are easing, but where you live still drives big gaps in speed and access—an issue that matters for Hawaiʻi’s households and workforce. Local Business & Growth: Patriot Aftermarket Partners says it’s expanding its dealer network and opening new territories, including a push across Arizona and other major markets. Public Health: Federal updates note cyclospora illness is reported across 45 states, while regulators say the food supply remains safe. Housing & Development: Maui Council discussions include a $6 million purchase of two West Maui water systems, highlighting how infrastructure decisions can shape long-term community costs.

Electricity Costs: HECO customers are seeing sharp bill jumps tied to higher oil prices from the Iran war, with Maui and Oʻahu bills up year over year and Lānaʻi hit hardest. Wastewater & Coastal Protection: Puakō residents are moving toward a low-pressure sewer system as a real alternative to cesspools, aiming to cut reef damage and potentially become a statewide model. Local Business Disruption: Tenants at Topa Financial Center face major fallout after a power outage, forcing relocations and scrambling for equipment and even food storage. Workforce & Hiring: The Hawaii Career Expo at Blaisdell Center drew 100+ employers and helped job seekers meet managers and secure offers on the spot. Public Safety Hiring: Honolulu Police Chief David Lazar wants to speed recruit processing from 6–12 months to about 90 days using online testing and faster scheduling. Landfill Politics: Mayor Rick Blangiardi is eyeing Kapaʻa Quarry as a future landfill site, but Windward lawmakers warn it could require state law changes. State Funding for Homesteads: $350,000 was released for design and initial site prep of the Panaʻewa Hub in South Hilo. Community Reuse: Kauaʻi Resource Center and Goodwill will host a reuse collection event Aug. 14, accepting clothing and small household items while excluding e-waste and other restricted goods.

Air Connectivity: Southwest Airlines will launch nonstop flights between Las Vegas and Hilo starting Aug. 6, three days a week, restoring a direct link for Hawaiʻi Island travelers and boosting connections to 75+ destinations. Local Economy & Jobs: Hawaiʻi’s job market is forecast to add 28,060 jobs by 2034, with total employment rising 4.1% from 2024 to 2034—outpacing the national pace—led by health care, accommodation/food services, and construction. Housing Affordability: Maui’s first kauhale, Kīpūola Kauhale in Kahului, has hit full capacity (64 units) and is being pitched as a potential template for future affordable housing projects on Maui. Disaster Readiness: Los Angeles County is moving toward a comprehensive earthquake preparedness review, including expert input from Dr. Lucy Jones, Caltech and UCLA, after new research highlights strain near Cajon Pass. State Policy Watch: The Hawaii Department of Agriculture and Biosecurity approved Interim Rule 26-2, tightening restrictions on transporting coconut rhinoceros beetle host materials to Maui and Lānaʻi. Business & Finance: California Water Service Group declared its 326th consecutive quarterly dividend, paying $0.3350 per share on Aug. 21. Crypto Regulation: White House crypto adviser Patrick Witt pushed back on banks seeking broader stablecoin reward restrictions under the CLARITY Act, as Senate action faces delays.