HVCB faces scrutiny over delinquent contracts and payment issues with HTA

In a recent meeting held by the House Committee on Tourism in Hawaii, significant concerns were raised regarding financial accountability and management within the Hawaii Tourism Authority (HTA) and the Hawaii Visitors and Convention Bureau (HVCB). The discussions highlighted ongoing issues with delinquent payments and the effectiveness of the current oversight structure.

The meeting, which took place on June 23, 2025, revealed frustrations among committee members about the handling of financial obligations, particularly regarding overdue invoices. One member questioned the accountability of HVCB, suggesting that the organization was not fulfilling its responsibilities adequately. This sentiment was echoed by concerns over the necessity of HTA, given the apparent lack of effective management and oversight.

A historical context was provided, noting that HTA was established in response to dissatisfaction with HVCB's previous management of tourism funds. However, it was pointed out that despite the creation of HTA, the organization still relies heavily on contracts with HVCB, raising questions about the efficiency of having a middleman in the process. The committee discussed the implications of this arrangement, suggesting that if HTA continues to struggle with management, the state might reconsider its structure and potentially revert to previous practices.

The issue of delinquent payments was a focal point, with reports indicating that HVCB owed approximately $11 million at one point, leading to discussions about interest payments on these debts. The committee sought clarity on how these financial issues arose and who was responsible for oversight. It was revealed that previous leadership had been aware of the payment delays, yet no action was taken to resolve them in a timely manner.

The meeting concluded with a call for improved transparency and accountability in the management of tourism funds. As the committee continues to address these financial challenges, the future structure and effectiveness of HTA and HVCB remain under scrutiny. The discussions underscore the need for a more robust oversight mechanism to ensure that tourism funding is managed effectively and that organizations are held accountable for their financial obligations.