HB1949

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HOUSE OF REPRESENTATIVES

H.B. NO.

1949

THIRTY-THIRD LEGISLATURE, 2026

H.D. 1

STATE OF HAWAII

S.D. 1

A BILL FOR AN ACT

RELATING TO THE GREEN FEE.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

SECTION 1. The legislature finds that the State's natural and cultural resources, including its beaches, reefs, forests, streams, unique ecosystems, and cultural landscapes, form the foundation of the State's identity, economy, and overall well-being. An increasing volume of tourism places significant pressure on the very resources that sustain the people and environment of the islands. In response, the State established a "green fee", an increase in the transient accommodations tax and a new imposition of taxes on cruise fares, to mitigate the impacts of tourism and climate change and to support environmental protection, ecosystem restoration, natural resource management, and destination management throughout the State, through the enactment of Act 96, Session Laws of Hawaii 2025.

The legislature further finds that the green fee represents a transformative opportunity to ensure that those who enjoy the State's natural resources also contribute to their care. Revenues generated by the fee are intended to support projects such as invasive species removal, coral reef restoration, beach nourishment, cultural site protection, watershed management, enhancements to visitor experience, and resilience against climate change impacts. To maximize the effectiveness of these funds and maintain public confidence in their use, transparency, oversight, and accountability are essential.

The legislature also finds that multiple state agencies will receive green-fee-supported appropriations for projects across the islands. These agencies include but are not limited to those overseeing land and natural resources, state parks, transportation, agriculture, climate resilience, and wastewater and stormwater infrastructure. While each agency plays a critical role in stewarding the State's environment, the public currently lacks a comprehensive, centralized, and easily accessible source of information about how green fee revenues are allocated, obligated, and expended.

The legislature additionally finds that the State's public trust responsibilities, as articulated in the Hawaii State Constitution, impose an affirmative duty upon the State to protect and maintain natural resources for present and future generations. Ensuring transparent and responsible use of the green fee aligns with this duty by allowing residents, visitors, policymakers, and stakeholders to track these environmental investments, monitor project progress, and evaluate whether expenditures are achieving their intended environmental outcomes.

Furthermore, the legislature finds that establishing a statewide green fee resiliency impact dashboard would support informed decision-making, promote fiscal responsibility, enhance collaboration across agencies, enable real-time public insight into project performance, and strengthen trust in the stewardship of the State's natural and cultural resources. The dashboard would consolidate data, standardize reporting, and provide clear narratives and metrics illustrating how revenues are used, where projects are located, and what environmental benefits are being realized.

The legislature concludes that immediate action is necessary to establish a publicly accessible, regularly updated transparency platform that reflects the State's commitment to accountability, responsible resource management, and the long-term health of the State's environment.

Therefore, the purpose of this Act is to establish a green fee transparency and accountability program and green fee resiliency impact dashboard, to be administered by the Hawaii climate change mitigation and adaptation commission.

SECTION 2. The Hawaii Revised Statutes is amended by adding a new chapter to be appropriately designated and to read as follows:

"Chapter

GREEN FEE TRANSPARENCY AND ACCOUNTABILITY; PROGRAM; DASHBOARD

§ -1 Definitions. As used in this chapter:

"Agency" means any department, board, commission, bureau, office, or other administrative unit of the State or a county that receives, expends, or manages green fee revenues.

"Commission" means the Hawaii climate change mitigation and adaptation commission established by section 225P-3.

"County" includes the city and county of Honolulu, county of Hawaii, county of Kauai, and county of Maui.

"Dashboard" means the online, public-facing, interactive green fee resiliency impact dashboard established by section -2.

"Green fee" and "green fee revenues" means the revenue collected pursuant to Act 96, Session Laws of Hawaii 2025, for the purposes of environmental protection, natural resource restoration, climate adaptation, and other related uses as provided by law.

"Program" means the green fee transparency and accountability program established by section -2.

§ -2 Green fee transparency and accountability program; dashboard; establishment. (a) There is established within the commission the green fee transparency and accountability program. The program shall be administered by a green fee transparency and accountability coordinator, who shall be appointed by the commission without regard to chapter 76 and placed within the office of the chairperson of the board of land and natural resources.

(b) The program shall:

(1) Develop, implement, and maintain an online, public-facing, interactive green fee resiliency impact dashboard that provides clear, timely, and standardized information on:

(A) Annual and cumulative green fee revenues collected;

(B) Allocations and appropriations by project, program, and agency;

(D) Project descriptions, objectives, geographic locations, timelines, and performance indicators; and

(E) Environmental, economic, cultural, tourism, or climate-resilience outcomes associated with funded activities;

(2) Establish uniform reporting requirements and data-submission standards for all agencies receiving or expending green fee revenues;

(3) Coordinate with agencies to ensure accurate, complete, and timely transmission of expenditure information, project status updates, and performance metrics, including the department of budget and finance for the tracking of the finances for each project and agency receiving or expending green fee revenues; and

(4) Provide an annual public summary of project categories funded by green fee revenues, including reporting on effectiveness, gaps, and opportunities for improvement.

§ -3 Cooperation by state and county agencies. Any agency that receives, administers, or expends green fee revenues shall provide any information, data, reports, or documentation requested by the commission or the program within thirty calendar days of the request; provided that the commission may grant extensions, as needed.

§ -4 Annual report. No later than December 1 of each year beginning in 2026, the commission shall submit to the legislature, governor, and mayor of each county a report summarizing:

(1) The commission's activities under this chapter;

(2) Updates and enhancements to the dashboard;

(3) In consultation with the department of budget and finance, green fee revenue allocations and expenditures during the prior fiscal year; and

(4) Outcomes and performance measures for projects funded with green fee revenues."

SECTION 3. There is appropriated out of the general revenues of the State of Hawaii the sum of $ or so much thereof as may be necessary for fiscal year 2026-2027 for the development, implementation, and maintenance of the green fee resiliency impact dashboard established by section 2 of this Act.

The sum appropriated shall be expended by the Hawaii climate change mitigation and adaptation commission for the purposes of this Act.

SECTION 4. There is appropriated out of the general revenues of the State of Hawaii the sum of $ or so much thereof as may be necessary for fiscal year 2025-2026 to be deposited into the special land and development fund established pursuant to section 171-19 to fund green fee projects; provided that the amounts deposited shall not exceed the total amount of green fee revenues collected and realized by the general fund during the fiscal year after making the distributions prescribed in section 237D-6.5(b). The appropriations authorized under this section shall not lapse at the end of the fiscal year for which the appropriations were made. All unexpended and unencumbered balances of the appropriations made in this section as of the close of business on June 30, 2028, shall lapse to the general fund.

SECTION 5. There is appropriated out of the special land and development fund the sum of $ or so much thereof as may be necessary for fiscal year 2026-2027 to support the following programs.

ProgID Program Description FY27 $ Green Fee

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