Chair Carla Watson called a public meeting of the Hawaiian Homes Commission on Oct. 20, 2025, to review a beneficiary consultation report on a proposed development of three wells and a transmission system in Upcountry Maui. Planning staff presented the draft memorandum of agreement and technical studies; public commenters and beneficiary leaders urged a fuller consultation and more detail before any final action.

The planning office said the project is intended to create a new DHHL-controlled water source to unlock advanced water credits for multiple DHHL projects across Maui. Acting Planning Program Manager Lily Makai'la described the consultation outcome to the commission: “During this beneficiary consultation, the vast majority expressed significant opposition to the proposed Waihuli Water Agreement,” and many asked the department to “defer, revise, or completely restart” the process.

Why it matters: DHHL leaders and staff said new water is the single biggest constraint to moving dozens of encumbered housing and agricultural projects into construction. Project manager Elijah Davidson told the commission the three proposed wells have an estimated operating capacity of 1,728,000 gallons per day and that “DHHL will receive all of the 1,728,000 gallons per day” for its development needs; staff also said the draft arrangement with the county would create advanced water credits equal to roughly 39.5% of the department’s immediate development needs. Beneficiaries said they could not support a deal announced and partly negotiated before the public had time to review details—particularly after the department awarded a roughly $2.48 million contract for pre‑development work (surveying and due diligence) on July 30, 2025, which several speakers said had not been disclosed to the community before that work began.

What supporters said: County Department of Water Supply representative Eva Blumenstein said the county “supports development of homesteads” and that, if DHHL develops source capacity and the county operates and maintains distribution, DWS can supply water to DHHL projects. DHHL presenters emphasized that the proposed system would allow DHHL to dedicate finished infrastructure to the county while receiving advanced water credits to serve DHHL projects earlier than they could otherwise proceed.

What opponents said: Dozens of beneficiaries and association leaders testified at length. Janice Herrick (beneficiary, Paukukalo Homestead) warned commissioners not to “sign away our water without the consent of the beneficiaries,” citing Winters v. United States and the Admissions Act as background for DHHL’s water rights. Multiple speakers said the draft agreement lacked detail on hydrology, aquifer impacts, enforcement mechanisms to protect DHHL’s reserved water, and a clear plan for who would actually benefit first if the water is piped out of Upcountry. Public commenters also asked why an outside contractor had an active procurement while the department was still completing public consultation.

Commission response and next step: After hearing public testimony and staff presentations, Chair Watson proposed additional consultation. Commissioners discussed options and public concern about notification and the timing of the July contract award. The commission voted to defer formal action on accepting the beneficiary consultation report and to continue the consultation process so staff can address technical questions raised by beneficiaries, clarify the MOA language, and consider options such as term limits on dedication, additional protections that would allow DHHL to void agreements if due diligence finds adverse impacts, and stronger guarantees that DHHL water reservations would be protected. The deferral was recorded without a roll‑call objection.

Discussion vs decision: The commission framed the outcome explicitly as a deferral for more consultation and clarification; staff said hydrology, cultural reviews (Chapter 6E), and Kapa‘akai (land use compatibility) analyses would continue in parallel with further beneficiary engagement. Project consultants and county representatives remain available to meet with DHHL staff and beneficiary groups.

Ending note: Commissioners and staff said they want to avoid a protracted legal fight that could delay projects for years and emphasized they will return to the commission with a revised plan for consultation and any contract or MOA language changes. The department also noted it will continue required environmental and cultural compliance work while the consultation re‑engagement proceeds.

Speakers
- Carla Watson, Chair, Hawaiian Homes Commission (government)
- Lily Makai'la, Acting Planning Program Manager, DHHL Planning Office (government)
- Elijah Davidson, Project Manager, Land Development Division, DHHL (government)
- Sherry Kaanana, Water Program Specialist, DHHL Planning Office (government)
- Eva Blumenstein, Training Program Administrator, Maui County Department of Water Supply (government)
- Jonathan Lee‑Keke Schoeher, DHHL representative, East Maui Water Authority (government)
- Blossom Feterra, Beneficiary advocate (citizen)
- Patrick Carvallo, Beneficiary/advocate (citizen)
- Dimon Manole, Beneficiary/advocate (citizen)
- Kainoa McDonald, Association of Hawaiians for Homestead Lands (ALL) representative (nonprofit)
- Gracie Gomes, Beneficiary/advocate (citizen)
- Janice Herrick, Paukukalo beneficiary (citizen)
- Other island beneficiaries and association representatives who testified during public comment (see provenance)

Authorities
- statute: HRS Chapter 343 (Environmental Assessment) — referenced by planning staff during EA/MOA discussion; referenced_by:["g3 beneficiary consultation presentation"]
- statute: HRS Chapter 6E (Historic Preservation Act) — referenced_by:["g3 beneficiary consultation presentation"]
- statute: Hawaiian Homes Commission Act of 1920 — referenced_by:["public testimony"]
- other: Winters v. United States (1908, Winters doctrine) — referenced_by:["public testimony Janice Herrick"]
- statute: Admissions Act (U.S. Admissions Act for Hawaii) — referenced_by:["public testimony Janice Herrick"]

Actions
- {"kind":"other","identifiers":{},"motion":"Defer acceptance of the Waihuli beneficiary consultation report and continue beneficiary engagement and technical due diligence; staff to revise MOA language and report back.","mover":null,"second":null,"vote_record":[],"tally":{},"outcome":"deferred","notes":"Chair proposed deferral after public testimony; no roll‑call objection recorded. Commission asked staff to return with more detailed hydrology, cultural compliance and revised MOA language."}

Discussion_vs_decision
{"discussion_points":["Beneficiaries widely opposed the current draft MOA and asked for more time for review; concerns included hydrology, enforcement clauses, allocation guarantees and the July 2025 procurement award.","DHHL staff and project manager said the wells could produce up to 1,728,000 gpd and that advanced water credits would accelerate DHHL projects across Maui.","County DWS said it could operate and maintain dedicated DHHL infrastructure if an agreement is reached."],"directions":["Staff to continue hydrology and Chapter 6E work and to tighten MOA language; consider term limits on dedication and formal void/stop clauses linked to due diligence results; staff to re‑run beneficiary consultation with broader notification; consider formation of a beneficiary working group as requested by commissioners."],"decisions":["Commission deferred acceptance of the beneficiary consultation report; no final MOA or license action taken."]}

clarifying_details
[{"category":"operating_capacity","detail":"Estimated combined operating capacity of the three proposed wells","value":1728000,"units":"gallons_per_day","approximate":false,"source_speaker":"Elijah Davidson"},{"category":"advanced_water_credits","detail":"Advanced water credits provided under draft MOA would cover about 39.5% of DHHL's immediate development needs","source_speaker":"Elijah Davidson"},{"category":"procurement","detail":"Department awarded a contract to Austin Tsutsumi and Associates for well predevelopment/due diligence work","value":2463000,"units":"USD","approximate":false,"source_speaker":"public testimony/beneficiary comments"}]

proper_names
[{"name":"Department of Hawaiian Home Lands","type":"agency"},{"name":"Waihuli Economic Development Opportunity Area","type":"location"},{"name":"Maui County Department of Water Supply","type":"agency"},{"name":"Austin Tsutsumi and Associates","type":"business"},{"name":"East Maui Water Authority","type":"organization"}]

community_relevance
{"geographies":["Maui","Upcountry (Kula/Wailuku)","Kihei","Wai'ohuli"],"funding_sources":["DHHL Act 279 funds","county DWS infrastructure","federal grants — potential"],"impact_groups":["DHHL beneficiaries on Maui wait list","Kupuna beneficiaries","agricultural lot lessees"]}

meeting_context
{"engagement_level":{"speakers_count":40,"duration_minutes":270,"items_count":1},"implementation_risk":"high","history":[{"date":"2025-08-21","note":"Benefit consultation held in Waihuli; many comments received."},{"date":"2025-07-30","note":"Procurement award to ATA for predevelopment work noted by beneficiaries."}]}