The state attorney general is asking the Legislature for an emergency appropriation of $65 million to fund a contribution to the One ʻOhana initiative.
It’s part of a $175 million settlement program to give the families of the 101 victims who died in the Lahaina fire $1.5 million in compensation.
If accepted, families will not be able to pursue legal action against the companies and government agencies that put money into the fund.
That includes the State of Hawaiʻi, Maui County, Hawaiian Telecom, Hawaiian Electric Company and Kamehameha Schools.
Senators during a Ways and Means Committee hearing questioned why the state should put money into the settlement fund if it was not liable for the deaths or injuries.
“ We all know that these lawsuits are going to proceed. It's just a fact of life today,” said Attorney General Anne Lopez.
“What we've tried to do with the fund is to bring in the other defendants in the lawsuits to see if we can't reduce both the litigation as well as the future expense for this.”
Lopez explained to senators that they received guidance from a New York attorney who specializes in litigation after mass casualty events to reach the $1.5 million settlement for the families of the deceased Lahaina fire victims.
“ If we were to litigate each of the deceased, we would be arguing over, how old was the person and how much money did they make and how much longer were they going to live?" she said.
“So from his experience, I think he helped everybody come to that conclusion of what of the $1.5 million and how much should be in the fund. So that really didn't have any conversation about who's liable and for how much, we just all know we're getting sued and it's going to cost us money.”
Those who suffered life-altering injuries might be able to qualify for the One ʻOhana settlement.
Lopez said that about 75% to 80% of qualifying parties have shown interest in participating.
The application for families to participate is supposed to open on March 1.
The governor is also considering using some of the funds to settle property damage litigation as well. Lopez said there are over 70 lawsuits against the state for various issues.
However, senators pushed back against this. Sen. Lynn Decoite wanted the investigation to give a clearer picture of who was at fault.
“If the findings of that information is clearly our fault or anybody else's fault and that the blame should be put in compensation exactly where it should be based on the investigation,” she said.
“I feel like we’re ... at the point of forgetting vigorous investigation, and we're just going to pay out. I mean, that's irresponsible.”
The Senate deferred decision making on the topic until next week.
