State Bills: Hawaii

Hawaii bill creates tax credit for coconut beetle management

Hawaii bill creates tax credit for coconut beetle management

Solar Tax Credit Income Limitations for High Earners

Hawaii Senate passed SB3183, amending the renewable energy technologies income tax credit to limit solar energy system credits for high-income taxpayers. Starting for taxable years after December 31, 2026, individual filers with AGI of $250,000 or more and joint filers with AGI of $350,000 or more are prohibited from claiming the credit for single-family residential solar systems. The bill also caps credit claims at two systems per property and requires minimum 5-kilowatt output capacity.

Medicaid Home- and Community-Based Services Funding Appropriation

Hawaii SB3324 was passed by the Senate and House, appropriating Medicaid funds to the Department of Human Services for home- and community-based services. The bill increases funding for residential services in community care foster family homes and expanded adult residential care homes, requiring the Department to obtain federal matching funds and pursue additional funding sources.

Requires PUC Analysis of Hawaii Energy Pathways

Hawaii Senate Bill SB3326 passed on March 10, 2026, requires the state Public Utilities Commission to open a docketed proceeding by September 1, 2026, to conduct a comprehensive, objective, and independent analysis of the State's energy pathways. The bill was sponsored by six senators and passed through multiple committees with amendments in both chambers.

Limits Misdemeanor Imprisonment to 364 Days

Hawaii SB2731 reduces the maximum term of imprisonment for non-violent misdemeanors from one year to 364 days. The bill, passed by the Hawaii Senate on March 10, 2026, allows individuals previously sentenced to one-year terms for non-violent offenses to petition courts for sentence modifications to conform to the new limit.

Exempts natural hair braiders from Hawaii licensing

The Hawaii State Senate passed SB2876, which exempts natural hair braiders from licensing requirements under the Board of Barbering and Cosmetology. The bill received final passage on March 6, 2026, with 24 ayes and zero noes, and subsequently passed the House Consumer Protection & Commerce Committee with amendments on March 31, 2026. This legislation removes a regulatory barrier for natural hair braiding practitioners in Hawaii.

Interim Chief Election Officer Succession

The Hawaii State Legislature passed SB2143, establishing a formal order of succession for an Interim Chief Election Officer in the event of a vacancy in the Chief Election Officer position. The bill designates that the Elections Commission will subsequently appoint a permanent successor. The legislation passed the Senate 24-1 and the House with amendments in HD1.

SB2667 prohibits commercial vehicles from far left lane

SB2667 prohibits commercial vehicles from far left lane

Deaf Vehicle Registration Designation

The Hawaii State Senate passed SB2851, authorizing deaf motor vehicle owners to voluntarily register their vehicles with a deafness designation that appears when law enforcement accesses the vehicle's information. The bill passed both chambers unanimously and takes effect January 1, 2027.

Hawaii Homeowners Insurers Annual Disclosure Requirements

Hawaii SB2964 requires homeowners insurers to provide policyholders with annual disclosures of replacement cost value and coverage sufficiency, and to offer increased coverage annually when properties are underinsured. Insurers must maintain records of disclosures and offers for five years. Non-compliance constitutes an unfair or deceptive act or practice in the business of insurance.