So-called “freezes” on existing federal grants and future reductions in federal funding will impact provision of health and human services by Hawaiʻi nonprofit organizations.

The League of Women Voters of Hawaiʻi applauds the Legislature’s decision to mitigate the detrimental effects with almost $50 million of state grants to Hawaiʻi nonprofits which do amazing work supporting our communities.

But we think it’s not a good idea to allow only four legislators to decide which nonprofits get state grants without a transparent process.

Act 310, Session Laws of Hawaii 2025 (Senate Bill 933), appropriates $50 million of state funds during fiscal year 2025-2026 for grants to Hawaiʻi nonprofit organizations and for state expenses to award and administer grants.

According to the final draft of the bill, grant applicants must “have sustained a reduction or termination of their federal funding” or “primarily serve populations which have been adversely affected by reductions or terminations of federal funding.”

Grant applications must document “the federal funding reduction and its impact … as well as how the proposed use of grants funds will mitigate … that impact.”

The normal legislative process allows the public, affected agencies and legislators an opportunity to review and comment on nonprofit grant applications.

Under the normal process, nonprofit grant applications are referred to legislative subject matter committees at the start of the legislative session, according to Hawaiʻi Revised Statutes 42F-102.

Subject matter committee recommendations concerning grants are eventually incorporated within legislative appropriation bills.

Instead of the normal legislative process, and instead of authorizing a board to evaluate applications and determine grant awards at public meetings, Act 310 provides that almost $50 million of nonprofit grant awards will be determined by a committee of just four legislators — two senators appointed by the Senate president and two representatives appointed by the House speaker.

It would be unfortunate, and adversely affect public trust, if this “evaluation and selection committee” makes secret decisions at secret meetings.

Although Act 310 exempts this committee from Hawaiʻi’s Sunshine Law, the LWV believes that committee deliberations and decisions should take place in public meetings after a reasonable opportunity for public, agency, and legislative review and comment on grant applications.