AGP Executive Report

Native Hawaiian Housing: OHA and DHHL signed an agreement to advance a mixed-use Kakaʻako Makai project, with homes for DHHL beneficiaries and commercial space for OHA; development plans remain subject to approvals. Rail & Construction: HART is advancing a $651.8 million fiscal 2028 budget, while proposed Skyline extensions costing an estimated $4.2 billion to $4.8 billion await further review. Red Hill: A new dye-tracer study suggests Navy pumping does not fully contain fuel contamination, underscoring ongoing environmental and water-system risks. Utilities: Hawaiian Electric is expanding drone inspections on Hawaiʻi Island to identify equipment issues that could spark wildfires. Agriculture: State workshops will train farmers and land managers in soil health, water retention and climate-resilient practices across six islands. Water Service: About 100 Punaluʻu-area condos remain without reliable water and wastewater service after Hurricane Lala; the utility says repairs could cost $500,000 but has no restoration timeline.

Energy & Safety: Hawaiian Electric has expanded weekday drone inspections on Hawaiʻi Island, checking poles and power lines in South Kona, Waimea and other areas through November to spot wildfire risks. Logistics & Construction: Amazon’s planned Kapolei fulfillment center is moving ahead with permit applications totaling more than $580 million; the five-story facility could span nearly 3 million square feet. Agriculture: Hawaiʻi is rolling out 10 to 12 hands-on soil-health and climate-resilience workshops for farmers and ranchers across six islands, while the state received a $382,325 federal grant for pesticide enforcement. Banking: First Hawaiian reported $63.7 million in third-quarter net income, including a tax benefit, as commercial real estate payoffs reduced loans and credit-loss provisions rose to $20.3 million. Labor: Hawaiʻi’s jobless rate reached 2.8% in September, a two-year high.

Jobs: Hawaiʻi’s unemployment rate climbed to 2.8% in September, its highest in two years, as the labor force grew faster than employment. Housing & Construction: Work has begun on the first $260 million tower in Kalihi’s Mayor Wright Homes redevelopment, part of a plan for 2,448 homes. Separately, a HART subcommittee proposed rail extensions to Ala Moana and Kapolei that could cost up to $4.8 billion. Business Costs: A new state rebate finder gathers incentives for businesses upgrading equipment, water systems and transportation. Agriculture: Hawaiʻi received a $382,325 federal grant to add pesticide inspectors and a chemist; the Hawaiʻi Island Agrifood Summit is set for Nov. 5.

Food and Agriculture: Honolulu egg prices topped $10 a dozen, up more than 10% in a year; local organic eggs rose 17%, while mainland conventional eggs edged up just 1%. Water Infrastructure: Kauaʻi secured $1.3 million in federal funding to plan upgrades to the Kekaha-Waimea water system, serving West Kauaʻi residents and the Pacific Missile Range Facility. Innovation Funding: Hawaiʻi’s SBIR conference comes to Maui Nov. 6, connecting local entrepreneurs and researchers with federal agencies and small-business research grants. Travel and Tourism: Alaska Air says Hawaiʻi remained a drag on its 2026 results but expects conditions to improve next year; Alaska and Hawaiian Airlines also plan Seattle service to Osaka and Tahiti in 2027. Housing Construction: Road and utility work is underway for an affordable housing project in Waimea, moving the development toward construction.

Air Travel: Alaska Air says Hawaiʻi weighed on results this year, but rising early-2027 revenue and easing operational friction point to improvement. The company also plans to deploy new freighters in Hawaiʻi and Alaska. Housing: Hawaiʻi County delayed a Waikōloa rezoning decision for a proposed 700-home development until July 2027, extending review of a project pitched as a response to island housing needs. Food Costs: Honolulu local eggs hit $10.06 a dozen, up more than 11% in a year, as producers face high feed, fuel and operating costs. Tourism and Conservation: Hawaiʻi’s Green Fee program has raised more than $100 million for environmental stewardship, resilience and sustainable tourism; residents can submit ideas by Nov. 1. Local Business: Lahaina’s ʻUlu o Lele marketplace is set to open Nov. 10, offering local businesses a place to return as rebuilding continues. Water Infrastructure: Honolulu’s seawater desalination project advanced with a $109 million EPA loan. Franchising: Bad Ass Coffee of Hawaiʻi chose PAR Technology’s ordering, payments and operations platform to support its expanding franchise network.

Utilities: Hawaiʻi’s PUC moved the Hilo hearing on Hawaiian Electric’s rate-rebasing request to Nov. 4, followed by a public meeting on service reliability and storm impacts. Water Infrastructure: Consolidated Water advanced permitting for its Kalaeloa seawater desalination project; the Honolulu Board of Water Supply also secured a $109 million EPA loan for its plant. Construction: Road and utility work has begun for a Waimea affordable-housing project, while $81 million in federal relief is headed to repair Hawaiʻi infrastructure damaged by March storms. Food Costs: Honolulu eggs averaged $10.06 a dozen in June, up 11% year over year; local officials urged consumers to support island producers. Engineering: Honolulu-based Oceanit tested a protective coating aboard a Navy vessel, assessing whether it can reduce corrosion and extend the life of ship surfaces.

Water Infrastructure: Consolidated Water has cleared key permits for Oʻahu’s Kalaeloa desalination project, but construction is now expected to start in the first half of 2027; the EPA has committed a $109 million loan. Housing & Construction: Waimea’s 440-acre Koaiʻe project is moving toward road and utility work, estimated at $8.8 million, with 39 self-help homes planned in its first phase. Utility Crisis: Punaluʻu residents remain without drinking water or working toilets two months after storm damage, and the private water company has no repair timeline. Food Costs: Honolulu’s conventional dozen eggs averaged $10.06 in the second quarter, up 11.3% from a year earlier and rising faster than on the mainland. Local Business: Hawaiʻi’s fishing industry welcomed a new federal law targeting tuna fraud. Commercial Districts: Hawaiʻi County Council delayed a proposed grant program for storefront and building improvements until Nov. 5.

Seafood Industry: A new federal law will create origin-testing standards for red snapper and tuna, aiming to curb seafood fraud and help Hawaiʻi fishers compete with imports. Food Costs: Honolulu egg prices rose 11% in a year to $10.06 per dozen; local organic eggs jumped 22% from the first to second quarter. Water Infrastructure: The EPA approved a $109 million loan for Oʻahu’s first seawater desalination plant, designed to produce 1.7 million gallons daily and ease pressure on groundwater. Tourism and Travel: Alaska Airlines and Hawaiian Airlines plan nonstop Seattle flights to Osaka and Tahiti in 2027, adding Pacific connections for travelers. Agriculture and Research: The University of Hawaiʻi is set to receive $40 million for a coffee and cacao research lab to help boost local production.

Tourism: Hawaiʻi hotel revenue rose in September, but flat occupancy and higher room rates masked a sharp split: Kauaʻi revenue plunged 40.7% after Hurricane Lowell, while Maui gained nearly 21%. Agriculture: Storm damage is mounting for farmers, with statewide losses from this year’s storms potentially reaching $100 million; a Kauaʻi grower lost nearly all his papaya and banana crops. Defense Industry: A federal bribery investigation involving Hawaiʻi contractor Navatek and prominent South Carolina politicians reportedly went dark after the FBI was overhauled; the allegations include claims that campaign contributions were tied to contracts. Airport Development: Southwest says its Honolulu Icon Lounge is among four planned to open in late 2027. Business Support: The state launched a climate rebate finder to help households and local businesses identify incentives for upgrades, including efficient equipment and water systems. Food Production: UH Mānoa will help lead a new coffee and cacao research lab backed by $40 million to boost production.

Business Costs: Hawaiʻi’s new Climate Rebate Finder brings scattered incentives into one place, helping residents and local businesses find savings on building upgrades, water efficiency and clean transportation. Labor Market: September unemployment rose to 2.8% statewide and 3.1% in Maui County; Hawaiʻi added 400 jobs over the year. Shipping: Matson christened the first of three new vessels in its roughly $1 billion fleet investment. The Makua is due to enter service in early 2027, adding capacity and reliability to Hawaiʻi routes. Agriculture: UH will lead a $40 million coffee and cacao research lab, while a separate company plans to grow avocados on 1,000 Maui acres. Tourism Infrastructure: The Hawaiʻi Convention Center’s $108.7 million repair project faces further delays.

Convention Construction: The Hawaiʻi Convention Center’s $108.7 million roof repair faces further delays and possible cost increases after demolition revealed unexpected conditions. Agriculture: Maui’s Mahi Pono plans to plant avocados on about 1,000 acres, targeting its first commercial harvest in five years and eventually more than 10 million pounds annually. Flood Resilience: North Shore farmers say aging plantation-era ditches and unclear maintenance responsibilities leave communities exposed to flooding. Tourism Businesses: The Hawaiʻi Tourism Authority will hold Oct. 30–31 workshops in Wailuku to help Maui businesses develop and market visitor offerings. Water Infrastructure: Honolulu’s Board of Water Supply secured a $109 million EPA loan for an Oʻahu desalination plant. Research and Energy: UH is set to co-lead a new coffee and cacao research lab backed by $40 million, while island households face another 7% electric-rate increase, partly offset by a seasonal power-cost reduction.

Tourism: Hawaiʻi’s Tourism Authority is seeking an emergency declaration and $2.5 million for marketing after Hurricane Lowell battered Kauaʻi bookings: visitor demand there fell 59%, with statewide bookings down 23%. Small Business: Maui farmers, makers and cultural practitioners can get guidance at an Oct. 30–31 HTA workshop on reaching visitors, pricing products and building community-rooted experiences. Workforce: Hawaii Business Magazine’s Wahine Forum on Oct. 23 will bring women professionals together to discuss leadership, career growth and AI. Water Infrastructure: A $109 million EPA loan fully funds Oʻahu’s desalination plant, a major investment in water supply. Agriculture: UH will lead a new coffee and cacao research lab backed by a $40 million grant to boost production.

Tourism: After Hurricane Lowell, Kauai visitor bookings fell 59% and statewide demand dropped 23%; the Hawaiʻi Tourism Authority is seeking an emergency declaration and $2.5 million for marketing. Water Infrastructure: A $109 million EPA loan fully funds Honolulu’s planned desalination plant, a major addition to Oʻahu’s water supply. Agriculture & Research: UH Mānoa will co-lead a $40 million federal lab to boost coffee and cacao production, linking research with local growers. Construction & Housing: The 126-unit Kaleimaʻo Village in ʻEwa Beach is nearing completion, while plans to redevelop Mayor Wright Homes call for 2,450 units. Shipping: Matson christened the first of three new Aloha-class containerships, adding capacity to a key island shipping fleet. Flood Resilience: North Shore residents say neglected plantation-era ditches and drainage systems leave farmland and homes vulnerable to flooding, with responsibility for upkeep still unclear. Maunakea Project: The Thirty Meter Telescope remains on hold; its project manager says its future depends on support from Hawaiʻi residents, particularly Native Hawaiians.

Corporate Accountability: Newly public filings show Matson’s PAC gave $75,000 to a super PAC that spent on ads supporting Jarrett Keohokalole before Hawaiʻi’s Democratic primary. The disclosures do not establish coordination with his campaign or explain the timing of the reports. Water Infrastructure: An EPA loan of $109 million completes funding for Oʻahu’s Kalaeloa desalination plant, planned to produce up to 2.55 million gallons of drinking water a day and reduce pressure on groundwater. Housing Construction: Kaleimaʻo Village is nearing completion in ʻEwa Beach, bringing 126 affordable rentals to city-owned land; meanwhile, a Hawaiʻi County Council panel rejected a favorable recommendation for the proposed Waikoloa Green development. Retail Regulation: Three new state laws tighten oversight of vape sales, including a product directory that will limit which devices and e-liquids retailers can sell starting in 2027. Agriculture Research: UH Mānoa will co-lead a new coffee and cacao innovation lab backed by a $40 million grant to help boost production.

Water Infrastructure: Honolulu’s Board of Water Supply secured a $109 million EPA loan to complete financing for the Kalaeloa desalination plant, designed to supply up to 2.55 million gallons of drinking water a day and ease pressure on aquifers. Housing & Construction: A Hawaii County Council panel rejected a favorable recommendation for Waikoloa Green, a proposed development of nearly 400 apartments and 300 homes. On Oʻahu, Kaleimaʻo Village is nearing completion, bringing 126 affordable rentals to ʻEwa Beach. Agriculture & Research: UH Mānoa will co-lead a new coffee and cacao innovation lab backed by a $40 million grant, aiming to boost local production. Transportation: Matson christened Makua, the first of three new Aloha-class containerships. Skyline Segment 2 marked a year in service with more than 6 million rides and reliability above 99%.

Workforce: Hilo’s Nalukai Academy is helping teens build solutions to local problems and see career paths at home, as Hawaiʻi confronts the loss of young workers. Water Infrastructure: The EPA approved a $109 million loan for Oʻahu’s planned Kalaeloa desalination plant, designed to supply 1.7 million gallons of drinking water a day. Agriculture & Research: UH Mānoa will lead a five-year coffee and cacao innovation lab, with up to $40 million in funding, including $8 million in its first year, to strengthen crops and supply chains. Housing Construction: Work is set to begin on the Mayor Wright Homes redevelopment, which plans 2,450 affordable and workforce units; on Kauaʻi, a $7 million renovation preserves 80 affordable homes. Transport & Shipping: Honolulu’s Skyline Segment 2 marked its first year with more than 6 million rides, while Matson christened the first of three new Aloha-class containerships. Farm Exports: Maui-grown limes are reaching international markets, and Mahi Pono plans to expand local avocado production.