Department of Hawaiian Home Lands officials told the commission on Oct. 20 that Act 279 infrastructure funding has begun to produce tangible results for beneficiaries on Maui, while cautioning that vertical housing delivery depends on financing, county permits and water availability.

Lede: Acting Land Development Division administrator Kalani Franda and project managers described multiple concurrent projects funded or enabled by Act 279 and related county commitments; Pu‘uhona in West Maui already has lots and foundations in place and a first generation of beneficiaries has received keys, staff said.

Nut graf: The department reported that most of the $600 million in Act 279 funds has been encumbered for 28 priority projects statewide, that roughly $120 million has been expended to date, and that staff expect to issue about 2,400 project‑lease awards by Dec. 31, 2025. Staff emphasized that construction timelines vary by project and require water, county approvals and developer financing.

What staff said: Kalani Franda (acting administrator, Land Development Division) walked through a project portfolio for Maui and said the Puhono project in west Maui is well underway — “roads are complete, all the water and sewer lines are in the ground, and the electrical infrastructure is complete,” engineer Neil Nugent said — and the department expects to complete homes there within about a year. Mr. Nugent said Wailuku single‑family and Wai‘e Humauka are at various stages of permitting and design; Wai‘e Humauka will include both residential and agricultural lots.

Housing and finance approach: Michelle Hitzman (Housing Projects Branch) explained DHHL’s evolving model: award project leases to beneficiaries to secure priority rights for specific developments, then pair selectees with counseling and lender support (for example Hawaii Community Lending) so beneficiaries can qualify for mortgage and construction loans. Kalani Franda repeated department projections that the initial tranche of project leases converts beneficiaries from applicants to lessees, a necessary step before many can access financing and vertical housing delivery.

What beneficiaries said: Multiple beneficiaries and advocacy representatives told commissioners they are ready to lobby the legislature and county officials for additional funds. Blossom Feterra and other Maui advocates asked DHHL to prioritize state funding and to help beneficiaries become better prepared to access vertical financing; some speakers stressed the urgency given the age of those on the wait list.

Clarifying numbers and schedule: Department slides and testimony included these concrete figures and targets—
- $600,000,000 total Act 279 appropriation to DHHL (encumbered across projects), $120,000,000 expended to date (department report);
- By Dec. 31, 2025: department expects roughly 2,400 project leases to be awarded across Maui projects (staff projection); staff also presented a 10‑year scenario demonstrating that a continuing annual appropriation (e.g., $25M/year) would yield thousands more lots over a decade; and
- Project examples: April 2025 award of 91 Pu‘uhona residential lots; Sept. 2025 award of 105 Wai‘e Humauka subsistence agricultural leases; Oct. 2025 planned award of nine scattered Wai‘e Humauka/Waihuli lots; and end‑of‑year targets of 1,131 residential project leases across several Maui projects, as presented to the commission.

Department caveats: Staff noted that encumbrance of funds does not equal immediate construction — water, county permits, developer capacity, and supply‑chain and labor constraints affect schedules. Kalani Franda said the vertical development financing stack that developers bring can total roughly $2 billion across all projects, and Act 279 infrastructure unlocks that additional capital.

Implementation supports: DHHL said it is partnering with Hawaii Community Lending and other nonprofit lenders to provide counseling, credit work and a revolving fund that can assist new homeowners through to permanent mortgage financing. The department also highlighted county cooperation — Maui’s general excise tax set‑aside and other county commitments — as a material lever for several Maui projects.

Speakers
- Kalani Franda, Acting Administrator, Land Development Division, DHHL (government)
- Neil Nugent, Engineer, Land Development Division, DHHL (government)
- Michelle Hitzman, Housing Project Branch Manager, DHHL (government)
- Blossom Feterra, Beneficiary advocate (citizen)

Authorities
- statute: Act 279 (state appropriation program) — referenced_by:["Kalani Franda presentation"]
- statute: Hawaiian Homes Commission Act — referenced_by:["project lease framework discussion"]

Actions referenced (project-level approvals and awards during the meeting)
- Approval of Pu‘uhona project awards (April and ongoing) — staff reported award and construction status (ongoing implementation).
- Authorization/approval of Wai‘e Humauka and Wailuku single‑family project leases (E1, E2) — motions carried earlier in the meeting (see votes roundup.)

Clarifying_details
[{"category":"act_279_encumbrance","detail":"DHHL reported encumbrance of $600,000,000 in Act 279 allocations across projects and roughly $120,000,000 expended as of Oct. 2025","value":120000000,"units":"USD","approximate":true,"source_speaker":"Kalani Franda"},{"category":"project_lease_target","detail":"Department projection of approximately 2,400 project‑lease awards by Dec. 31, 2025","value":2400,"units":"count","approximate":true,"source_speaker":"Kalani Franda"},{"category":"puuhona_status","detail":"Puhono roads, water, sewer and electrical infrastructure substantially complete; homes under construction; first beneficiaries received keys","value":"not applicable","units":"","approximate":false,"source_speaker":"Neil Nugent"}]

proper_names
[{"name":"Act 279","type":"statute"},{"name":"Pu‘uhona (Puuhona) residential project","type":"project"},{"name":"Wai‘e Humauka Subdivision","type":"project"},{"name":"Hawaii Community Lending","type":"organization"}]

community_relevance
{"geographies":["Maui","Wailuku","West Maui","Kula"],"funding_sources":["State appropriation (Act 279)","County of Maui G.E.T. set‑aside","developer private capital"],"impact_groups":["beneficiaries on DHHL wait lists","kupuna applicants","agricultural lessees"]}

meeting_context
{"engagement_level":{"speakers_count":20,"duration_minutes":45,"items_count":1},"implementation_risk":"medium","history":[{"date":"2025-04-01","note":"Pu‘uhona awards commenced earlier in the year; construction underway."},{"date":"2025-09-01","note":"Wai‘e Humauka subsistence agricultural awards distributed."}]}

searchable_tags["Act 279","Puuhona","project leases","Maui"]

provenance
{"transcript_segments":[{"block_id":"t16247","local_start":0,"local_end":100,"evidence_excerpt":"This is an action item today. We're before the commission asking that you declare a finding of no significant impact ..."},{"block_id":"t16500","local_start":0,"local_end":120,"evidence_excerpt":"By December 31, we will have encumbered all of the $600,000,000. The question that continues to come up is how much did you expend? So about $120,000,000 as to date has been spent."}]},