Hawaii’s economic growth has turned lifeless and “will downshift this year” as the islands’ recovery boom is officially over. Changes are on the horizon with Hawaii tourism’s decline and the aftermath of the Maui fire. What comes next and what the means for visitors is our topic today.
The forecast, according to the latest report from the state’s research arm, attached below, suggests that Hawaii will transition to a much slower growth pattern rather than the breakneck speed at which it previously rebounded. In fact, instead of tourism being the driving force, it is a strong construction sector that will help provide any economic boost seen statewide, especially work on Maui following the wildfires. With that said, we never wanted to see a construction boom as a result of the Lahaina tragedy.
Hawaii tourism at saturation.
The report pointed to less U.S. visitor spending ahead and suggests that visitor arrivals will increase only slightly in the coming years. Significant growth in Hawaii travel is expected to end as the islands’ tourism industry reaches saturation. “Visitor numbers will also grow more slowly than in the past as the industry pushes up against capacity.”
What wasn’t addressed in the state’s economic update?
Hawaii sits at the forefront of an important shift in its approach to tourism, moving away from the paradigm of more visitors, resorts, vacation rentals, and flights. The state remains challenged in many ways following decades of overtourism and a lack of planning and infrastructure and seeks a new direction. With limited resources and framework, Hawaii has long been hard-pressed to know exactly how to manage its tourism success. Some shifts toward more sustainable tourism are nonetheless evolving in the near-term.
These issues were outside the scope of the report.
New $25 climate impact fee almost certain to be enacted.
The bill is intended to offset $16 billion in estimated Maui wildfire damage and mitigate the environmental damage caused by tourism. If that doesn’t happen, visitors should prepare for the alternative. That will likely take the form of an increase in the current 18% accommodations tax, as was recently confirmed by the governor.
Another proposal from the governor for a potential moratorium on Maui vacation rentals should return to the news in the days ahead. Governor Green said that by March, he’ll either achieve conversion of 10% of Maui’s existing 27,000 short-term rental units to long-term rentals for Lahaina fire victims or take the next steps.
Anti-vacation rental sentiment runs high in Hawaii, and this will remain a hotly disputed topic for the foreseeable future. With Gov. Green strongly on-board against vacation rentals, this will move forward. At present, 5.5% of the entire state’s 557,000 housing units are vacation rentals, but that varies widely. Maui has the most, at about 15%.
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The push-back against vacation rentals is widespread. Joining the governor is the Hawaii Tourism Authority chair, Mufi Hannemann, who’s also head of the hotel industry’s Hawaii Lodging and Tourism Association (HLTA).
Hawaii’s Legislature is pursuing measures to phase out Hawaii vacation rentals as well. House Bill 84 seeks to give the counties more authority to start phasing out short-term rentals.
Will new efforts finally kill Hawaii’s golden goose?
The prospect of more taxes and fees and the elimination of vacation rentals is very concerning for many Hawaii visitors. There remains worry among stakeholders in the tourism sector that over-the-top vacation costs, plus real and perceived anti-visitor sentiment could have a negative impact on sustaining Hawaii’s visitor industry.
A lack of tourism infrastructure perpetually haunts Hawaii.
Last week US Transportation Secretary Buttigieg visited Hawaii and viewed disaster recovery efforts on Maui. He also delved into what some consider two of Hawaii’s infrastructure boondoggles. Those include the old and decaying Hawaii airport system and an expensive, incomplete, and largely unused Honolulu rail system.
The Transportation Secretary’s visit sought to highlight key infrastructure investments in Hawaii, and reaffirm the federal government’s commitment. At Hawaii airports, problems range from outdated, inflexibly designed, and maintained terminals, to damaged and poorly constructed runways, among other things. He acknowledged how important airports are to Hawaii’s island economy, and said bluntly regarding the Honolulu airport, ‘it needs work.”
While rarely mentioned by officials, these problems and others are inconsistent with both vitalizing existing Hawaii travel and attaining the new high-value tourism model that the state seeks.
At UH Hilo, ʻōlelo Hawaiʻi is not simply a subject taught in classrooms, it is a living language that connects us to this place, to one another, and to the generations who came before us.
This column is by Pelehonuamea Harman, director of Native Hawaiian engagement at the University of Hawaiʻi at Hilo. In her columns, Pele shares Native Hawaiian protocols on the use of ōlelo Hawaiʻi (Hawaiian language), cultural traditions, traditional ways of Indigenous learning, and more. This column is on Mahina ʻOlelo Hawaiʻi (Hawaiian Language Month), celebrated every February to honor the Hawaiian language.Pelehonuamea Harman
Each year, the month of Pepeluali marks Mahina ʻŌlelo Hawaiʻi, a time dedicated to celebrating and uplifting the Hawaiian language. At the University of Hawaiʻi at Hilo, ʻōlelo Hawaiʻi is not simply a subject taught in classrooms, it is a living language that connects us to this place, to one another, and to the generations who came before us.
While Pepeluali gives us a focused moment of celebration, the Hawaiian language should not live only within a single month. ʻŌlelo Hawaiʻi thrives when it is used every day.
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One of the simplest and most meaningful ways to begin is by pronouncing the words we already encounter daily with accuracy and care. Hawaiian is an oral language carried through voice and relationship. When we take the time to say words correctly, we demonstrate respect for the language and for the poʻe (people) who have worked tirelessly to ensure its survival.
Across our own campus, we have opportunities to do this every day.
Let us honor the names of our places by using them fully:
An attendee at celebrations on May 6, 2023, takes a photo of the new Edith Kanakaʻole mural by artist Kamea Hadar. The mural is located at Edith Kanakaʻole Hall, named after beloved educator Aunty Edith, on the campus of UH Hilo. (Photo: UH System News)
Kanakaʻole Hall, not “K-Hall.” (Formally Edith Kanakaʻole Hall, named after our beloved kumu.)
Waiʻōlino, not “CoBE,” for our College of Business and Economics. (Formally Hānau ʻO Waiʻōlino; waiʻōlino literally means sparkling waters, alluding here to bringing forth waters of wellbeing and prosperity.)
These names are not merely labels for buildings. They carry ʻike (knowledge), history, and meaning. Speaking them in their entirety acknowledges the stories and values embedded within them.
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Using ʻōlelo Hawaiʻi does not require fluency. It simply requires willingness. Each of us already knows words we can begin using more intentionally.
Greet one another with aloha.
Express gratitude with mahalo whenever possible.
Small choices like these help normalize Hawaiian language in our daily interactions and strengthen UH Hilo’s identity as a place grounded in Hawaiʻi.
One of the most common questions I am asked is: How do you respond in ʻōlelo Hawaiʻi when someone says “mahalo” to you?
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Here are three simple and appropriate responses:
ʻAʻole pilikia — It’s no problem.
He mea iki — It is just a little thing.
Noʻu ka hauʻoli — The pleasure is mine.
There is no single correct answer. What matters most is participating in the exchange and allowing the language to live through conversation.
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Aerial view of the UH Hilo campus with Hilo Bay in the distance. UH Hilo’s commitment to Native Hawaiian success and place-based education calls on all of us to help create an environment where ʻōlelo Hawaiʻi is visible, audible, and welcomed. (Archive photo)
UH Hilo holds a unique and important role as Hawaiʻi Island’s university. Our commitment to Native Hawaiian success and place-based education calls on all of us to help create an environment where ʻōlelo Hawaiʻi is visible, audible, and welcomed.
You do not need to wait until you feel ready. You do not need to know many words. The language grows stronger each time it is spoken.
So during Mahina ʻŌlelo Hawaiʻi and throughout the entire year I encourage the UH Hilo ʻohana to:
Use the Hawaiian words you already know.
Pronounce names and places with intention and care.
Greet others with aloha.
Share mahalo often.
Because when we use ʻōlelo Hawaiʻi, we are doing more than speaking words, we are helping to perpetuate and uplift the native language of our home.
E ola ka ʻōlelo Hawaiʻi. Let the Hawaiian language live.
Hawaii Rainbow Warriors Tread Rosenthal, Trevell Jordan and Louis Sakanoko put up a triple block against BYU Cougars Trevor Herget during Wednesday’s NCAA men’s volleyball match at the Bankoh Arena at Stan Sheriff Center.
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Kainoa Wade came on strong to lead another balanced Hawaii attack with 16 kills and the third-ranked Rainbow Warriors responded to a rare set loss in a big way to defeat No. 6 Brigham Young 27-25, 23-25, 25-17, 25-18 tonight.
A Bankoh Arena at Stan Sheriff Center crowd of 4,800, who showed up for a match scheduled just three weeks ago as a late addition to the schedule, saw Hawaii (13-1) drop the second set despite hitting .538.
UH had full command of the rest of the match and finished the night hitting .460 as a team. Louis Sakanoko added 15 kills, six digs and three aces and Adrien Roure had 14 kills in 24 swings.
Middle Travell Jordan posted a season-high seven kills in 11 swings with four blocks and Ofeck Hazan, who came into the match to start the third set, had four kills and two blocks.
Trent Moser had 18 kills to lead the Cougars (13-3), whose previous two losses came in five sets against No. 4 UC Irvine.
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UH’s loss in the second set was just its sixth of the season and third in its 13 wins. Hawaii has won 10 matches in a row.
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The two teams will play again on Friday night at 7.
