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Hawaii offering families who lost people in wildfires $1.5 million

Melted signs are seen in the remains of the Wharf Cinema Center parking area in burn zone 11A on Dec. 7, 2023, in Lahaina, Hawaii. The area reopened Monday, Dec. 11, to residents and owners with entry passes. (AP Photo/Lindsey Wasson)

(NewsNation) — Hawaii Gov. Josh Green said 6,297 people are still living in hotels after being displaced by the wildfires that ravaged Maui four months ago.

To fix this, Green said at a press conference Friday, he wants to see 3,000 short-term rentals converted to long-term rentals, where individuals can live for two years while more permanent housing is built.

With FEMA’s support, Green said, the state will be offering fair market value offers to people who are leasing their properties as short-term rentals.

“If we don’t get people stepping up, I’m going to drop the hammer,” Green warned, saying if they don’t reach the 3,000-unit goal, he would place a moratorium on short-term rentals.

“It’s not civilized to make people wait to get housing after they’ve lost their home in a fire,” Green said. “We’re making incremental moves to get people into better living situations so that we can ultimately restore normal life.”

Also on Friday, Green announced families who had people die in the wildfires would be given about $1.5 million per victim in settlements from the state.

That way, Green said, they don’t have to wait for lawsuits for a payout.

“There should be extremely low, if not no, legal fees for them to face, because it’s going to simply be a validation that they lost a loved one,” Green said.

That process is set to start formally on Feb. 1, with people actually getting the money over the course of three to four months.

“If they’re going to get a much better deal long-term, they should take it,” Green said. “That’s fine, but I want to make sure people have a chance to heal sooner, and they’ll be able to get the settlement wrapped up really quickly.”

Nearly 100 people died, and thousands of homes were destroyed, in the devastating wildfires that started Aug. 8.

Earlier this week, Lahaina, a historic town on the Hawaiian island, started reopening to residents and business owners holding day passes — an important emotional milestone for victims of the fire, the Associated Press reports.

However, the news outlet notes there’s much work that still has to be done to safely clear properties of burned debris and rebuild. Authorities are telling people to wear protective gear when entering scorched lots.

Reopened areas in Lahaina include the public library, an elementary school, popular restaurants and Banyan Tree Park. A 150-year-old tree in the park burned in the fire, but is now sprouting new leaves.

Cleanup in Lahaina is still in its early stages. The U.S. Environmental Protection Agency has been removing batteries, propane tanks, pesticides and other hazards from the town, allowing some residents and business owners to visit their properties after the agency finished clearing the lots.

Remaining debris will be hauled away by the U.S. Army Corps of Engineers and taken to a landfill after it gets permission from property owners. Some Maui residents are skeptical about this plan, according to the AP, as the landfill is just 400 yards from the coast.

Although tourists have started returning, Lahaina families said they aren’t emotionally ready, NewsNation’s Nancy Loo reports. Lahaina Strong organizer Pa’ele Kiakona told Loo the people of the island are still hurting. Some Lahaina natives live in tents and rely on food donations, just steps away from where tourists take their vacations. Others who have found temporary housing are unsure how much longer they will have it.

“We have some here that have quit their jobs because for you to have to go and cater to somebody, and being in the situation that we’re in, I mean, you have to go cater to someone staying comfortable in a hotel,” Kiakona said. “It’s a lot.”

Green has defended the decision to fully reopen because of economic losses and a history of Hawaiian resilience, though he urges visitors to be sensitive and considerate.

NewsNation correspondent Nancy Loo and The Associated Press contributed to this report.