· 3 min read
illuminem summarises for you the essential news of the day. Read the full piece on The Associated Press or enjoy below:
🗞️ Driving the news: Hawaii Governor Josh Green has signed landmark legislation increasing taxes on hotel rooms and vacation rentals to fund climate adaptation efforts
• The measure — set to generate nearly $100 million annually — aims to address threats such as coastal erosion, wildfires, and storm damage
• It includes a 0.75% hike on short-term accommodation taxes and introduces an 11% levy on cruise ship bills starting in 2026
🔭 The context: This legislation follows the devastating 2023 Lahaina wildfire, which killed 102 people and razed much of the historic town
• The disaster underscored Hawaii’s growing vulnerability to climate-induced hazards. Until now, no U.S. state had implemented a tourism tax explicitly dedicated to climate resilience
• The hotel industry, initially hesitant, ultimately backed the measure, recognizing the need to preserve Hawaii's environment as vital to its tourism economy
🌍 Why it matters for the planet: Hawaii's initiative sets a precedent for using tourism revenues to directly support climate resilience and ecological protection
• By targeting infrastructure, wildfire prevention, and invasive species management, the policy models a practical, localized funding solution
• However, implementation will depend on transparent governance, as the funds are routed through the general state budget rather than a dedicated climate fund
⏭️ What's next: The new room tax rate will take effect January 1, 2026, with the cruise tax following in July
• The Governor must now work with the Legislature to allocate funds for climate projects including native ecosystem protection and wildfire mitigation
• The success of this policy could influence similar frameworks in other climate-vulnerable tourism economies
• Public trust and fiscal accountability will be critical in determining its effectiveness and replicability
💬 One quote: “There will be no way to deal with these crises without some forward-thinking mechanism,” — Governor Josh Green, highlighting the need for proactive climate financing.
📈 One stat: With the new law, visitors will pay nearly 19% in total accommodation taxes — one of the highest rates in the U.S.
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