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Beneficiaries warn DHHL against Kapolei land donation that critics say could let developer sidestep county rules
Summary
At a Nov. 18 DHHL meeting, beneficiaries protested a proposal to accept a 19.354-acre Kapolei donation encumbered by a ground lease, arguing the arrangement could let developers bypass county zoning and create lasting precedents; a speaker said she filed an IRS complaint alleging promised payments to homestead nonprofits.
Germaine Myers, a Nanakuli beneficiary, told the Hawaiian Homes Commission that a December 2024 proposal to authorize DHHL to negotiate acceptance of a 19.354-acre donation in EvA would set a dangerous precedent if DHHL then granted a long-term general lease back to the donor’s affiliate. "In DGGL's hands, the property would not be subject to city and county of Honolulu's zoning restrictions," Myers said, summarizing the department staff presentation and expressing alarm that the arrangement would become "a loophole that allows developers to bypass county laws."
Myers laid out a series of practical and legal concerns: she said such a leaseback could allow developers to avoid county zoning, special management area rules, and public-review processes; divert DHHL staff time and political capital away from homestead priorities; and undermine public trust in the department's trust responsibilities. Myers said she has filed an IRS Form 13909 and asked state authorities to investigate videos and statements she said showed nonprofit leaders endorsing the project after being promised payments by the developer. "This is not real community support. This is financial influence," Myers said.
The commission did not take a vote on the item during public testimony. No DHHL staff or developer representative made a formal rebuttal during the testimony recorded in the meeting transcript, and the transcript contains no departmental acceptance or denial of the specific allegations during the session. Petitioners asked the commission to require full beneficiary consultation, transparency about any developer-nonprofit arrangements, and presentation of negotiated donation agreements and consultation results to the commission for approval before any acceptance or lease authority is exercised.
Why it matters: beneficiaries and some commissioners said a decision to accept donated land encumbered by a lease could change how DHHL land is used statewide. Myers warned that future developers would point to a single approval and demand identical treatment, which she said would "transform DHHL into a zoning workaround agency." She urged commissioners not to create precedent that would prioritize private profit over beneficiary development and environmental safeguards.
Next steps: Myers asked for an investigation of the claimed nonprofit payments and for DHHL to present any proposed donation agreement to the commission along with the results of beneficiary consultation before action. The transcript shows this item remains in the department's agenda process; no formal outcome was recorded in public testimony.
