Gov. Josh Green signs construction, funding bills into law

HONOLULU (KHON2) — Gov. Josh Green finished off the bill signing season by holding two bill signing ceremonies on July 9, signing legislation regarding construction processes and funding for nonprofits.

“Today represents the full scope of what policymaking is all about,” Green said. “Sometimes, it takes many sessions to pass legislation and show foresight for long-term change. Other times, it is about the flexibility to pivot quickly when urgent challenges arise. Signing these two bills reflect both ends of that spectrum and truly demonstrates the best of what this bill signing period stands for.”

The two bills signed are as follows:

HB 420: Relating to Remedies

The governor’s office says that multiple costly and time-consuming delays of housing projects in the islands has happened, with a UHERO report indicating a surge in litigation related to construction defect claims being the reason.

As a result of the delays, the cost of the housing is driven up, which affects the state’s housing pipeline, according to the Office of the Governor.

This bill amends the Contractor Repair Act and Statute of Response to address what the governor’s office describes as “exploitative litigation practices” affecting the local housing market.

“This bill is a couple years in the making, and today’s signing marks a step toward removing roadblocks for affordable, accessible housing in Hawaiʻi,” Green said. “HB 420 is a solution-based measure that tackles one of many contributing factors to our rising cost of living in the islands. It supports a broad range of stakeholders across the housing market, helping to move projects forward and bring real relief to our communities.”

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One of the bill’s goals is to improve the efficiency of the Contractor Repair Act, with the amendments providing defined timelines related to construction claims. There are also more specific timelines regarding processes such as inspections, testing and more.

“HB 420 is a meaningful step for Hawaiʻi’s communities because it helps with the process of getting homes repaired and built faster, without getting caught up in long, costly lawsuits,” Sen. Jarrett Keohokalole said. “By encouraging builders and homeowners to work together early on, this law protects families from unnecessary delays and high costs, helping to make housing more affordable and accessible for everyone across the islands.”

Rep. Lisa Marten echoed the senator’s sentiments on the bill, saying the legislation offers relief for construction delays.

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“HB 420 is about restoring balance and fairness to the construction defect process. For too long, certain legal strategies have delayed critical repairs and driven up costs,” she said. “This bill strengthens protections for both homeowners and builders by requiring a good-faith opportunity to inspect and repair before litigation begins. It’s a practical fix that helps move housing projects forward and ensures we’re not putting unnecessary barriers in the way of affordable housing in Hawaiʻi.”

SB 933: Relating to the State Budget

This bill, which is designed to support the nonprofit sector in the islands, aims to fill financial gaps left by federal funding freezes.

Nonprofits that provide community services such as child care, housing services and healthcare, have been negatively affected by funding cuts, which the bill hopes to alleviate.

SB 933, now known as Act 310, appropriates $50 million in the 2026 fiscal year to provide funding for these organizations looking to better the community. 

Oversight of the distribution of funds will be conducted by the Office of Community Services within the Department of Labor and Industrial Relations.

“It is not fair that organizations dedicated to supporting the people of Hawaiʻi are being forced to scale back due to federal funding cuts,” Green said. “This state funding is a critical lifeline — not just for the nonprofits themselves, but for the individuals and families who depend on the essential services they provide everyday. We are stepping in to ensure our communities do not lose access to the care and support they need.”

Nonprofit organizations can apply for the funding, with a selection committee this is yet to be established due to evaluate the applications.

Applicants must demonstrate a reduction or loss of funding, and show that their beneficiaries have been negatively impacted by funding cuts.

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“Senate Bill 933 is a timely and targeted response to protect the nonprofits that form the backbone of our communities,” Sen. Troy Hashimoto said. “As federal funding declines, it’s our responsibility to make sure that vital services like childcare, housing and healthcare continue to be accessible to those who need them the most. This law helps keep critical support systems intact for Hawaiʻi’s families.”