Hawaiʻi Budget Primer 2024-25
Budget Basics
The state budget is a statement of our values. It’s where we invest in programs that increase fairness, opportunity and wellbeing for all. It reflects the state’s priorities as it addresses the operational and capital needs of Hawaiʻi’s three branches of government and the semi-autonomous agency responsible for the wellbeing of Native Hawaiians:
The Executive Branch
The Judiciary
The Legislative Branch
The Office of Hawaiian Affairs (OHA)
Budget Proposals & Decision-making
The state budget is a plan for spending based on available resources. Each branch of government provides a proposed budget for its operations and capital needs to the legislature for the upcoming fiscal period.
The legislature considers, amends, and appropriates funds for these budgets during legislative sessions. In most years, the legislature also authorizes grants-in-aid—usually to specific nonprofit organizations—which are included in the operating budget. The legislature introduces a variety of other bills for projects that require one-time spending.
The governor may change legislatively-approved spending by vetoing or amending line items in appropriations bills. In 2024, Hawaiʻi Governor Josh Green used his veto power to reduce Executive Branch spending for FY25 by $1 billion, primarily by:
Slashing new appropriations to the Rainy Day Fund from a proposed $300 million to just $1.00, and likewise cutting a prepayment to the state pension fund from $135 million to $1.00;
Eliminating $460 million in one-time appropriations for Maui and wildfire risk management; and
Selectively reducing operating budgets for six different Executive Branch departments by a combined total of $74 million.
