HawaiiHawaii housing agencies would face new contract and salary rules
Hawaii housing agencies would face new contract limits, while two agencies could set higher salary caps for their executive directors with approval.
What it does
HHFDC’s board would recommend the executive director’s salary, subject to approval by the state business and tourism director. The salary could reach up to 99 percent of the governor’s salary.
HHFDC’s executive assistant is renamed deputy executive director, and the position’s salary may be up to 95 percent of the executive director’s salary.
These agencies may not offer covered contracts longer than three years or with automatic renewal. Contracts also cannot promise severance, damages, or a buyout of the remaining term.
Argument forHigher salary caps could help housing agencies recruit skilled leaders, which may help them carry out their housing work.
Argument againstAgencies could have less flexibility to recruit leaders if contracts cannot renew automatically or promise severance or a buyout.
More detail
HHFDC must set the executive director’s salary based on a board recommendation, with approval from the business and tourism director. This applies to the Hawaii Housing Finance and Development Corporation (HHFDC). The salary cannot exceed 99 percent of the governor’s salary. The new salary approval rules apply to new contracts, renewals, or extensions after a contract in effect on the Act’s effective date expires.
HHFDC must pay its deputy executive director no more than 95 percent of the executive director’s salary. This applies to HHFDC’s deputy executive director, formerly called the executive assistant.
The agencies must limit certain employment contracts and bar automatic renewal and specified termination payments. This applies to employment contracts at HHFDC, the Hawaii Community Development Authority (HCDA), and the Hawaii Public Housing Authority (HPHA). The restrictions cover severance pay, liquidated damages, and financial buyouts of the contract’s unexpired term. They do not bar compensation or benefits earned or accrued before termination. The three-year limit applies to contracts entered into on or after the Act’s effective date.
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Where it stands
- Introduced
- Adopted
Looking ahead
No hearings or votes scheduled.
History
- 2026
- Jul 15Received.Introduced
HousingEconomy & JobsCivil Rights & Voting