Hawaii County council advances private-road tax credit after residents describe hazardous local roads

The Hawaii County Council on Aug. 20 advanced a measure aimed at helping homeowners maintain privately managed, publicly accessible subdivision roads.

Bill 38 (draft 2), introduced by Councilmember Connolly Kleinfelder, would add a private-road tax credit to county code allowing up to a $250 credit on a homeowner’s real property tax bill if the homeowner documents spending at least $75 in a year on maintenance, repair or improvement of a private roadway that is not gated and is managed by a road maintenance organization.

Residents who testified described persistent safety and access problems. Timothy Rowan, president of the Black Sands Property Owners Association and Malama O Puna, said his subdivision’s red cinder roads are in “very poor condition,” that his association collects less than $8,000 a year in optional fees and that private roads are used by deliveries, heavy equipment and emergency vehicles. He warned that crews may be unable to reach households in an emergency and urged passage of the bill.

Eileen O’Hara, immediate past president of the Hawaiian Shores Community Association, said her community manages 12 miles of private roads and that reliable documentation and spending records exist for some associations, but that many nonconforming subdivisions created decades ago lack both funds and governance to maintain roads. Patty Pinto, a community association board member, explained that many road associations are nonprofit entities (often 501(c)(4) community benefit organizations) with limited enforcement tools — unlike homeowner associations that can foreclose for unpaid dues — and argued the measure could double the number of repaved road miles annually in some areas.

Council debate acknowledged the bill’s limits and concerns. Councilmember Kaguara said he had been skeptical because the measure gives a tax benefit for private property maintenance and worried it might primarily help homeowners who can already afford repairs; he said he would support it but wants the council to watch and adjust the credit amount if necessary. Other members, including Councilmember Kurkowitz, emphasized first-responder access problems in Puna and credited the bill as a pragmatic step to address a long-standing infrastructure gap.

On a roll-call vote, the council passed Bill 38 on first reading (8 ayes, 1 opposed). The measure now moves forward to subsequent committee consideration and additional readings where details such as administration, documentation requirements and estimated fiscal impact can be refined.

The bill’s sponsor and staff noted that not every road or organization will qualify and that program rules will determine eligibility and documentation required to claim the credit. The council did not adopt a final fiscal note during the first-reading vote; one council member said earlier committee materials estimated revenue impacts would be less than reported worst-case figures.

What happens next: Bill 38 will return for further readings and committee review where staff will lay out administrative processes and the council will consider any amendments.