Governor Green Releases Intent-to-Veto List; 19 Bills Face Potential Veto

HONOLULU – Governor Josh Green, M.D., today, June 6, 2025, announced his intent to veto 19 bills passed during the 2025 regular session of the Hawai‘i State Legislature. This list provides notice that these specific bills are under consideration for veto, line-item vetoes, or reductions before the final veto deadline of July 9.

Governor Green emphasized that this list does not mean all 19 bills will be vetoed, but clarifies which measures are still under review. He noted that due to a record number of bills this session, potential shifts in federal funding, and reduced revenue projections from the Council on Revenues, additional time is needed for thorough analysis. Of the 320 bills passed by the Legislature, 200 have already been signed into law, focusing on environmental stewardship, educational access, and public safety. The remaining 101 bills not on the veto list are expected to become law by July 9.

“Each bill on today’s list is based on thorough legal and fiscal analysis, and as always, was guided by what will best serve the people of Hawai‘i, protect our resources and strengthen our future,” said Governor Green.

The Governor’s office and various state departments, including the Attorney General, have reviewed over 300 bills in the past month.

Here are some of the key bills on the Intent-to-Veto list and the rationales provided by Governor Green’s office:

Fiscal Bills:

• HB126: RELATING TO PROPERTY FORFEITURE: This bill aims to increase transparency and accountability in property forfeiture by setting a one-year deadline to return seized property if the owner is not charged.
  • Veto Rationale: The Governor argues that the one-year deadline is unrealistic for complex felony investigations, potentially hindering law enforcement’s ability to use seized property as critical evidence and hampering the administration of justice.
• HB300: RELATING TO THE STATE BUDGET: This bill appropriates funds for the Executive Branch’s operating and capital improvement budget for fiscal years 2025-2026 and 2026-2027.
  • Veto Rationale: Potential shifts in federal funding and new Council on Revenues projections necessitate reevaluation to ensure essential services are supported and to achieve a balanced budget through specific line-item reductions.
• HB302: RELATING TO CANNABIS: This bill seeks to expand medical cannabis access, including telehealth certifications, but also authorizes DOH inspection of patient medical records.
  • Veto Rationale: While supporting expanded access, the Governor finds the provision allowing inspection of patient medical records without a warrant a “grave violation of privacy,” which could deter patients from participating due to federal Schedule I classification of cannabis.
• HB496: RELATING TO MĀMAKI TEA: This bill proposes strict labeling requirements for māmaki tea products, prohibiting certain Hawaiian words/imagery unless 100% of leaves are Hawaiʻi-cultivated.
  • Veto Rationale: The Governor believes these requirements are “overly strict” and could harm small businesses and blenders who responsibly mix māmaki from multiple sources, undermining economic contributions.
• HB796: RELATING TO TAX CREDITS: This bill mandates a five-year sunset or annual one-third reduction for income tax credits established or existing after December 31, 2025.
  • Veto Rationale: The Governor argues this would “disincentivize future investors” and “destabilize existing businesses” in critical sectors like film, research, and renewable energy, hindering economic development.
• HB1369: RELATING TO TAXATION: This bill amends and repeals certain general excise tax and use tax exemptions.
  • Veto Rationale: The Governor states removing exemptions for sugarcane producers, commercial fishing vessels, and securities exchanges would offer little financial benefit to the state while harming these specific industries, particularly sugarcane.
• SB583: RELATING TO NAMING RIGHTS: This bill allows leasing naming rights for the Stadium Facility and Convention Center and details revenue disposition.
  • Veto Rationale: The Governor cites the Hawaiʻi State Constitution’s “single subject” rule for bills, stating that an exemption for concessions procurement appears to fall outside the bill’s titular scope of “naming rights.”
• SB589: RELATING TO RENEWABLE ENERGY: This bill mandates the Public Utilities Commission to establish goals and tariffs for customer-sited distributed energy resources, microgrids, and community-based renewable energy.
  • Veto Rationale: The Governor warns that the bill’s mandates “risk duplication and delay” of ongoing efforts by the Public Utilities Commission, which already has proceedings open or planned for these areas.

Non-Fiscal Bills:

• HB235: RELATING TO TRAFFIC SAFETY: This bill requires the Department of Transportation to expand photo red light and automated speed enforcement systems to Oʻahu’s North Shore.
  • Veto Rationale: The Governor argues this ignores the Department of Transportation’s data-driven criteria for selecting locations, which are based on crash, citation, and traffic volume metrics, thereby “threatening the integrity” of the programs.
• HB800: RELATING TO GOVERNMENT: This bill provides for the transfer of certain land parcels between state agencies and the City and County of Honolulu, including Aliʻi Tower.
  • Veto Rationale: The Governor states the transfers would “negatively impact the City and County of Honolulu,” which relies on Aliʻi Tower’s revenues and office spaces. He also cites indeterminate state costs for capital improvements given Aliʻi Tower’s age.
• HB958: RELATING TO TRANSPORTATION: This bill establishes safe riding behaviors, prohibitions, and labeling requirements for electric bicycles and micro-mobility devices.
  • Veto Rationale: The Governor points out that while mopeds and motorcycles are exempt, electric cars are not, which could violate the Commerce Clause and Equal Protection Clause of the U.S. Constitution and conflict with greenhouse gas emission reduction goals.
• HB1296: RELATING TO THE MAJOR DISASTER FUND: This bill establishes timely notice and reporting requirements for the Governor regarding transfers to the Major Disaster Fund.
  • Veto Rationale: The Governor states that during emergencies, “flexibility and the quick release of funds is necessary,” and additional administrative oversight could “disrupt the delicate balance” between transparency and efficient response, jeopardizing public safety.
• SB15: RELATING TO HISTORIC PRESERVATION: This bill amends the definition of “historic property” and excludes certain proposed projects on existing residential property and in “nominally sensitive areas” from State Historic Preservation Program review.
  • Veto Rationale: The Governor argues this “increases the risk for desecration of iwi kūpuna and historical resources” by exempting properties that may contain significant artifacts or ancestral remains without prior review, despite supporting housing production.
• SB31: RELATING TO PROPERTY: This bill allows any person to record a statement to invalidate a recorded discriminatory restrictive covenant without liability.
  • Veto Rationale: The Governor warns this could create a “statutorily authorized mechanism for the circulation of disinformation,” potentially negatively affecting property marketability, with no recourse for financial loss due to inaccurate claims.
• SB38: RELATING TO HOUSING: This bill requires the Hawaiʻi Housing Finance and Development Corporation to provide counties with comment opportunities on housing projects but prohibits counties from imposing stricter conditions or reducing fee waivers.
  • Veto Rationale: The Governor states county councils are concerned this “hampers their ability to work with developers to modify housing projects to reflect the specific needs of their communities,” requiring further dialogue.
• SB66: RELATING TO HOUSING: This bill establishes procedures for expedited permits for single-family and multifamily housing projects, including allowing “qualified professionals” to determine impact on historical resources.
  • Veto Rationale: The Governor sees this as a “conflict of interest” allowing “self-serving determinations” that undermine regulatory agencies’ authority and increase risk to iwi kūpuna.
• SB104: RELATING TO CORRECTIONS: This bill restricts the use of restrictive housing in correctional facilities and establishes a working group.
  • Veto Rationale: The Governor states existing Department of Corrections and Rehabilitation policies comply with national standards and that certain proposed requirements would “jeopardize the safety, security and good governance” of facilities, negatively impacting inmates.
• SB447: RELATING TO A DEPARTMENT OF HEALTH PILOT PROGRAM: This bill establishes a Hiring Pilot Program within the Department of Health with amended hiring procedures and flexibilities.
  • Veto Rationale: The Governor supports streamlining hiring but argues this bill “conflicts with state civil service law,” potentially undermining the merit-based system and leading to disparities in hiring, classification, and compensation.
• SB1102: RELATING TO THE AIRCRAFT RESCUE FIRE FIGHTING UNIT: This bill specifies appointment processes and terms for the Fire Chief of the Hawaiʻi State Aircraft Rescue Fire Fighting Unit.
  • Veto Rationale: The Governor states the proposed appointment process is “inconsistent with the selection process for other department leadership positions” and could delay the appointment of this critical role, impacting airport operations.

The Governor has until July 9 to issue final vetoes.