Council members confirm $60M loss in real property tax revenue projections

During a recent meeting of the Maui County Housing and Land Use Committee, significant discussions centered around the anticipated loss of revenue and the broader implications of proposed housing legislation. The committee reconvened on July 2, 2025, after several previous sessions, to address pressing issues affecting the community.

One of the key topics was the projected loss in real property tax (RPT) revenue, which Finance Director Marcy Martin estimated at $60 million. This figure is crucial as it reflects the financial challenges the county may face if current rates and assessments remain unchanged. Committee members expressed concern over how this loss could impact local services and community development.

The discussion also highlighted Bill 9, which aims to address not only housing needs but also water management and zoning corrections. Committee members emphasized that the bill is about restoring community ties that have weakened over time. This multifaceted approach aims to ensure that housing development aligns with sustainable resource management and community restoration.

As the meeting progressed, members acknowledged the importance of involving various stakeholders in future discussions, including financial experts who can provide insights on lending practices for properties under litigation. This aspect is particularly relevant as many potential buyers may struggle to secure financing for properties that are entangled in legal disputes.

The committee plans to reconvene later in July to continue these discussions, ensuring that all necessary resources and experts are present to address the community's housing and land use concerns effectively. The outcomes of these meetings are expected to play a pivotal role in shaping Maui County's approach to housing and community development in the coming years.