Hawaii Tourism Authority Fighting Bills to Defund Organization

The Hawaii Tourism Authority (HTA) is fighting against a pair of bills that would remove the current leadership group and fold the organization into the state government.

Hawaii’s State Senate and House are considering two proposals, SB1522 and HB1375, that would repeal the law that originally established the HTA. The move would also result in a shakeup on the board of directors and fold the organization into the State Department of Business, Economic Development and Tourism (DBEDT).

HTA President and CEO John De Fries believes the changes would result in a new structure that would fund programs supporting destination management, community events, Native Hawaiian culture, natural resources and brand management, all of which are currently handled by the organization.

“Twenty-five years ago, HTA was created primarily to take the politics out of the industry, and the repeal of HTA in many ways is an attempt to restore that,” De Fries said.

With hundreds of community-based programs and groups supported by the HTA and destination management work underway on each island, tourism officials are concerned about the unintended consequences of the legislation being considered.

The HTA revealed the state would lose an estimated $14 million in funding if Hawaii’s State Department hands the responsibility to DBEDT, as the new group would need to reapply for funding through a year-long application process, causing significant delays to current plans.

“The Hawaii Tourism Authority has important work to do,” De Fries continued. “Changing the name and cutting and pasting the current statute, which enables HTA to exist, is not a solution.”

Other potential issues raised by the HTA include no guarantee of future funding to sustain community-based programs, the change in leadership halting destination management progress and funding uncertainty leading to more destinations enticing travelers away from Hawaii.