Kauai Mayor Derek Kawakami signed the fiscal year 2024 budget on Friday, paving the way for the county to catch up on deferred maintenance, shave debt and provide a measure of tax relief for residents.

What You Need To Know

  • The budget appropriates funds for an operating budget of $311.4 million and a capital improvement budget of $87 million

  • More than 90% of the nearly $40 million in the new General Fund CIP will go toward maintenance, solid waste and wastewater projects

  • The budget allocates $15.5 million for repaving and $18.5 million in CIP-related road costs

  • The budget aims to reduce the county’s debt by allocating $13 million to pay off the state Dwelling Unit Revolving Fund loan for the Lima Ola housing project

The budget appropriates funds for an operating budget of $311.4 million and a capital improvement budget of $87 million.

“Mahalo to the Kauai County Council, budget team and supporting staff for their exceptional leadership, unwavering partnership and relentless efforts towards the fiscal year 2024 budget,” Kawakami said. “Our budget allows the county to catch up on long-deferred maintenance, decrease the county’s debt, and ultimately reduce future liabilities that our children must pay. As the cost of living continues to rise, putting more strain on residents, the budget also aims to provide some relief by decreasing the Homestead tax rate by 15% and the Residential tax rate by 10%.”

The budget places special emphasis on infrastructure. More than 90% of the nearly $40 million in the new General Fund CIP will go toward maintenance, solid waste and wastewater projects. The budget allocates $15.5 million for repaving and $18.5 million in CIP-related road costs.

“The dialogue between the mayor’s staff and team, our staff, and council members began early in the budget process, allowing for a seamless and collaborative budget process,” said council chair Mel Rapozo. “We appreciate the administration’s efforts to accommodate the council’s request. Through this joint effort, this budget will have long-term fiscal benefits for our community. Thank you to everyone for your collaborative efforts.”

The budget aims to reduce the county’s debt by allocating $13 million to pay off the state Dwelling Unit Revolving Fund loan for the Lima Ola housing project. This strategic investment will result in significant savings in interest payments and will enable the Housing Development Fund to be utilized for the continued development of affordable housing, Kawakami’s office reported.

The budget for fiscal year 2024 includes funding for new positions, the expansion of lifeguard coverage at beach parks, the launch of the new Kapaa Satellite DMV facility and providing extra support for initiatives concerning homelessness.

Michael Tsai covers local and state politics for Spectrum News Hawaii. He can be reached at michael.tsai@charter.com.