Design & Construction seeks $32.5 million operating budget, adds engineers to address aging bridges and infrastructure

Haku Millis, director designate of the Department of Design and Construction, told the Honolulu City Council Committee on Budget that DDC’s FY26 operating request is $32.5 million, with administration making up about 5 percent, project and construction management about 84 percent and land services about 11 percent of that total.

Millis said the department proposes a 16 percent operating increase versus FY25 — about $4.5 million — made up of three new full‑time positions, roughly $1.4 million in salary increases, $2.7 million in current expenses and $261,000 for equipment. He described the operating additions as aimed primarily at hiring and filling professional engineering roles and expanding capacity to manage the city’s capital workload.

Why it matters: Millis emphasized aging infrastructure as a near‑term priority and said DDC wants to ramp up bridge inspections and repairs. The department reported 46 vacancies out of 198 positions as of Feb. 1 (about a 23 percent vacancy rate after recent hires) and said it intends to fill roughly half of those by July 1.

Specific budget items Millis highlighted included $160,000 originally budgeted to paint the JTMC PV carport structure (a DPP requirement that was later waived so the funds would be repurposed for other PV work), a $200,000 provision tied to amending an energy‑service contract, and several facilities costs totaling about $2.8 million that include staff augmentation, a $250,000 demolition at Koko Head Stables, roughly $1.5 million estimated for HAZMAT cleanup on the first floor of Honolulu Hale and about $800,000 for HVAC improvements. He noted those latter estimates were preliminary and subject to future design work.

On bridges, Millis said the department’s bridge program currently has three licensed structural engineers and is requesting three additional structural-engineer positions but asked the committee to fund only half the salary cost immediately to allow time to fill the roles. He said a bridge‑program line had been $3 million the prior year and the department is proposing to increase it to $19 million for FY26 to address accumulated needs.

Council members asked about several CIP projects during Q&A. Millis said the Civic Center parking structure reconstruction is a carryover project and that construction on the Salt Lake Boulevard widening final phase is underway. He said a storm‑drain reconstruction in Kakaʻako is proposed at about $32 million and that DDC is carrying a total workload estimate of roughly $340 million for the fiscal year across projects including police and fire facilities, flood control and parks.

Council members also pressed DDC on contractor issues. Millis said the department terminated or is in the process of terminating a contract on the Kava Stream project and plans to repackage and rebid after updating designs and consultant work; he told the committee construction would not begin this fiscal year. On the Kailua Boat Ramp project, Millis said geotechnical work is under way but the Army Corps’ permitting step caused a delay and that the new ramp will not exceed the previous footprint and will comply with ADA standards.

On staffing and public outreach, Millis credited a supplemental pay agreement for engineers that took effect July 1 and was revised in February; he said the department used that agreement to recruit aggressively and had hired eleven engineers since July. He also said the department has a public information officer (PIO), Cindy Cromwell, who has assisted with community outreach, graphics and recruitment efforts.

What’s next: Council members asked DDC to provide follow‑up scheduling details on specific projects (Kava Stream, Kaneohe District Park parking improvements, Waimānalo boat ramp geotechnical schedule) and to keep the council apprised of contractor re‑procurements, design timelines and hiring progress.