February 12, 2026 News Read > Hawaii Free Press

Hawaii Daily News Read

Thursday, February 12, 2026

February 12, 2026 News Read
By Andrew Walden @ 11:42 AM :: 208 Views

What's Happening with Hawaiian Homelands: Keli'i Akina Interviews Kali Watson

$35K Bribe: How Luke Donor and Caldwell Cronies Cashed In On City-Funded COVID Testing Program at Airport

CB: … In early 2020, as a consultant for the National Kidney Foundation of Hawaiʻi, Solidum approached then-Mayor Kirk Caldwell’s administration with a proposition: Give the foundation a no-bid contract for millions of dollars, and we’ll set up a Covid testing lab quickly. Caldwell said yes.

The foundation got about $35 million in federal funding through the city, and a mobile lab was launched at the airport to fanfare from Mayor Caldwell and then-Gov. David Ige. From 2020 to 2023, the Kidney Foundation brought in more than $130 million in testing revenue, most of which went to Capture Diagnostics, a startup out of Ohio that ran the lab even though it had no experience in this kind of lab testing.

(CLUE: Solidum gave campaign contributions to both Ige and Caldwell.)

In the process, Solidum’s company raked in at least $7 million, and his friends and allies secured jobs and contracts, according to a Civil Beat review of public records and interviews with people involved.

Gary Kurokawa, Mayor Caldwell’s chief of staff who signed off on the no-bid contract that allowed Capture to stand up its operation, took a job with the testing effort after he left the city, according to multiple people who were there.

Kurokawa’s son, Jordan Kurokawa, was hired by Capture Diagnostics.

Milton Choy’s company got nearly $1 million in contracts. The businessman was later convicted of bribing state lawmakers and Maui County officials with cash and gambling chips.

Wes Yonamine, a former state airport official known for hosting big money fundraisers for politicians, got a job with Capture Diagnostics.

Kristen Pae, Solidum’s stepdaughter, worked alongside him, according to people who were employees at the time. She was a co-trustee for an entity invested in Capture Diagnostics, which received a nearly $1 million dividend….

…since at least 2015, nonprofit filings show he was a contractor with the National Kidney Foundation of Hawaiʻi. Until at least 2020, the organization paid Solidum a steady $125,000 a year, which for several years was more than it paid its CEO. …

…Between Fiscal Years 2021 and 2023, the Kidney Foundation – a small nonprofit whose pre-pandemic revenue didn’t exceed $3 million – pulled in more than $135 million from Covid testing, its IRS disclosures show.

Honolulu provided about $35 million, according to records the city provided. The remainder apparently came from other sources, including charging for tests, although tax records don’t provide a breakdown.

In that time period, the foundation paid Capture more than $100 million. It paid Synergy $11.2 million in Fiscal Year 2021, and DataHouse made nearly $3 million over three years. …

In August 2022, Hawaiʻi News Now reported Capture was charging $120 per test at a time when the cost was about $20 per test….

The National Kidney Foundation of Hawaiʻi’s former CEO of 30 years, Glen Hayashida, did not respond to messages. Neither did former mayor Caldwell….

Today, Capture Diagnostics is deep in bankruptcy proceedings and its attorneys did not respond to Civil Beat. In court filings, the company said it discovered the “Hawaiian COVID programs on the whole had been seriously mismanaged,” and it has been embroiled in contract disputes.

The company said in court records that many of the tests it stockpiled early in the pandemic went to waste in 2022 as people got vaccinated and relied less on Covid tests. Court filings don’t say how many tests expired but note it experienced “large losses.”

As of last year, the company owed $835,000 to the state of Hawaiʻi in unpaid taxes.

Maile Kawamura, who has only been the president and CEO of the National Kidney Foundation of Hawaiʻi for four months, said in an email she is unable to answer questions at this time. “I will review the situation carefully,” she said, “and take appropriate steps based on what we learn.” …

read … Luke Donor And Friends Cashed In On City-Funded Covid Testing Program - Honolulu Civil Beat

Insurers Screwed Again and yet, $4 billion Maui wildfire payouts still delayed

SA: … For the second time in two years, the Hawaii Supreme Court has blocked insurance companies from acquiring part of a $4 billion Maui wildfire settlement.

The court on Tuesday ruled against a large group of insurers that tried to intervene in a class-action lawsuit representing fire victims slated to share $135 million of the settlement.

The justices ruled that the crux of a final opinion they issued in March 2025, which barred the insurers from obtaining any cut of most settlement proceeds intended for fire victims who filed individual lawsuits over losses, also applied to the class-action case….

(TRANSLATION: Insurance rates going up.)

Jesse Creed, a liaison counsel team member for the consolidated individual lawsuits filed by most fire victims, is hopeful that the new ruling helps end a third and last case on appeal involving the insurers that continues to hold up settlement payments….

Creed, however, also said it’s hard to anticipate when settlement money will begin to go to victims because of the drawn-out litigation. He estimated it would be before the end of the year.

(TRANSLATION: Green’s fast settlement is an illusion.)

The court’s March ruling against a coalition of 192 insurance companies decided that the firms didn’t have a right to subrogation, which is the ability to sue and recover compensation from parties that are responsible for damage that leads to insurance claim payouts, in connection with a mass-tort settlement. That case involved the consolidated individual lawsuits….

Vincent Raboteau, liaison counsel for the group of insurers, said in a statement that the insurers in both cases decided by the Hawaii Supreme Court “requested nothing that would delay a wildfire victim to receive compensation directly from the defendants that caused the wildfires.”

Raboteau also said, “We continue to assert the rights of insurers being able to utilize subrogation to make sure that at-fault parties are held accountable for their negligence.”

The remaining appeal is pending before the intermediate court and involves an effort to dismiss a lawsuit the insurers filed in 2024 to obtain damages from the settlement payers.

Cahill dismissed that case on Dec. 30. The insurers appealed to the intermediate court on Jan. 20.

The insurers have said they have paid around $2.5 billion in claims to fire victims and expect to pay around $1 billion more. They remain able, under a court process, to seek reimbursement from policyholders for any amount of compensation that exceeds the value of what policyholders lost….

read … High court blocks appeal of $4 billion Maui wildfire settlement, but payouts still delayed | Honolulu Star-Advertiser

Sugimura Emerges as Missen Bissen’s Top Challenger

CB: … Sugimura, who has held the council’s Upcountry seat since 2016, offers a starkly different position on the anticipated phase-out of thousands of Maui’s short-term vacation rentals through Bill 9, illustrating just how deeply the issue divides voters.

“This is a next step that’s kind of been on my horizon,” Sugimura, 72, said of her decision to run for mayor. “I was born and raised here, I’ve seen how our community has grown and has taken a whole different perspective, and that’s why the division that I’ve seen happen over Bill 9 is really concerning and heartbreaking from the aloha that I think we all grew up with.”

With more than nine months still remaining before Election Day, the Maui mayoral race is already shaping up to be one of the most closely watched elections in the state, according to political analysts, and its results are likely to be regarded as both a referendum on the Bissen administration’s disaster response and an indicator of how willing the public — in Maui County and across the state — is to embrace progressive housing reform.

“This is probably the most significant election in Hawai‘i of the 2026 cycle,” said Colin Moore, a University of Hawai‘i political scientist. “I expect it to be kind of a hot race — and not just hot in terms of contention — but emotionally as well.”…

Who Backs Bissen? Meet the Meth Gang Behind ‘Lahaina Strong’

read … Maui Housing Policy Divides Top Candidates For Mayor This Election - Honolulu Civil Beat

Bernard Carvalho Jr., Mel Rapozo file to run Kauai mayor

SA: … Carvalho and Rapozo are competing for the seat held by Mayor Derek S.K. Kawakami, who cannot run for reelection due to term limits after serving as the county’s top executive since 2018….

Carvalho, a current sitting member of the Kauai County Council, served as mayor for 10 years before terming out in 2018. He was elected in 2008 during a special election, and won reelection for two terms….

read … Bernard Carvalho Jr., Mel Rapozo file to run Kauai mayor | Honolulu Star-Advertiser

HB2570: Hawaii Advances Bill for Legal Online Sports Betting

WCD: … A bill to legalize online sports betting in Hawaii has passed the first legislative hurdle despite significant opposition. The bill, HB 2570, was advanced by the House Committee on Economic Development & Technology after a divided vote, with 5-2 in favor, including some “yes” votes with reservations. The proposal aims to introduce a regulated online sports betting market, but has raised concerns over its potential societal impact and alignment with the state’s values.

Introduced by Rep. Daniel Holt, HB 2570 aims to create a legal framework for online sports betting in Hawaii, which has long resisted gambling in any form since statehood in 1959. If passed, the bill would permit at least six online sports betting platforms to operate, each required to pay a high licensing fee of $500,000 for both initial application and annual renewal. The bill proposes a 15% tax on sports betting revenues, which would generate significant revenue for the state, particularly aimed at funding problem gambling prevention programs.

Rep. Holt, who has previously supported legal sports betting, voiced his support for the bill but also expressed dissatisfaction with the current version, stating, “I appreciate you moving this forward, and all the work you have done, but it was not my idea and I was not consulted, and I just want to put that out there.” Despite his reservations, the bill continues to progress through the legislative process, with further discussions and amendments expected.

The strongest opposition to HB 2570 came from a wide range of local residents and organizations who argue that legalizing online sports betting would harm the state’s culture and social fabric. Testimonies from 41 individuals or groups opposed the bill, with many citing personal stories of gambling addiction…

HB2570: Text, Status

read … Hawaii Advances Bill for Legal Online Sports Betting

Hawaii House Panel OKs Cruise Ship Patron Tax

L360: … Hawaii would impose a flat tax for each passenger of cruise ships docked in the state, in addition to an expanded transient accommodations tax that took effect in 2026….

read … Hawaii House Panel OKs Cruise Ship Patron Tax

Hawaii Panel Passes Gen Excise Tax On Vehicle Imports

L360: … Hawaii would impose the state's general excise tax rate on the purchases of imported vehicles by rental car companies in the state under a bill passed by a state House panel….

read … Hawaii Panel Passes Excise Tax On Vehicle Imports - Law360 Tax Authority

Student homelessness doubles on Oahu’s west side

HNN: … The number of students experiencing homelessness is rising on Oahu’s west side, according to Hawaii State Department of Education officials who say they are seeing the highest numbers in years.

Each year, families complete an MV-1 form under the federal McKinney-Vento Act, identifying students who are homeless or living in transitional housing.

In the Nanakuli-Waianae complex, officials say about 580 students, out of roughly 6,500 across nine schools, have been identified this school year.

That accounts for nearly 9% of students in the complex….

“it’s been consistently 300 every school year, and this year went up to over 500,” she said. “That’s what makes us think that Waianae is in a crisis right now, because that number is coming straight from the DOE, from the state.”…

read … Student homelessness rises on Oahu’s west side

DoE Hides Loss of Licensed Teachers by Hiring 1,000 Unlicensed Ones

CB: … an emergency hire permit… allows people with a bachelor’s degree but no teacher’s license to work in classrooms for up to three years while they take the courses and tests needed to earn a credential….

This year, the Department of Education employed roughly 1,000 emergency hires — around 8% of the overall teacher workforce and more than double the number from four years ago. In some parts of the state, emergency hires make up more than 15% of the teaching staff.

As reliance on emergency hires has grown, so too has concern over losing workers who can’t earn a license in three years….

The education department’s stance is that giving emergency hires more time to earn their licenses is a better option than losing educators after a few years and relying on long-term substitutes, though the department has failed to provide lawmakers with any data on how many teachers need this assistance. Unlike emergency hires, substitute teachers aren’t required to have a college degree or work toward licensure….

SA: Bill would help repay teachers’ student loans | Honolulu Star-Advertiser

read … Unlicensed Teachers Want To Work In Hawai‘i Schools For Longer - Honolulu Civil Beat

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