Two nonprofits that have connections to Luana Mahi, the economic development director for Maui Mayor Richard Bissen, have been awarded over $1 million in county grants overseen by Mahi since her appointment in 2023. Mahi’s husband, Kalani Mahi, received payment under a county grant for a watershed project, and a company owned by her son, Keokoa Mahi, was hired to manage that grant. Another nonprofit belonging to her son received a $44,000 grant to construct a “Maui Wall of Fame” at Kahului Airport. Additionally, a county employee in Mahi’s office was paid to work as an administrative assistant for one of the nonprofits associated with her.

Mahi did not respond to requests for comment. In early July, the Maui Board of Ethics determined that Mahi’s management of these grants constituted a conflict of interest. The board advised Mahi to recuse herself from any involvement in the supervision, administration, or budgeting of such grants, past or future. The county has the authority to annul contracts that violate the government’s ethics code, as stated in Maui’s local ordinances, but it is up to Bissen’s administration to enforce the board’s directive.

While the Board of Ethics’ decision seemed final, a spokesperson for Bissen mentioned that the mayor is awaiting further direction from the board on the matter. The spokesperson did not address the apparent discrepancy. The county is initiating mandatory ethics training for all directors and deputy directors this month to be conducted by the county’s corporation counsel, as confirmed by the spokesperson.

Luana Mahi is the former president of the Maui Food Technology Center, which received a $1.3 million grant for its Kaahikolu watershed project during her tenure as county economic development director. Following her appointment to the county position, the MFTC engaged with Keokoa Mahi’s private company, Imina LLC, to oversee the grant and manage the project, with payments made accordingly. Kalani Mahi, Luana’s husband, also received payments under this grant while working for the MFTC.

The Board of Ethics was informed of the grants and concerns regarding conflicts of interest by an anonymous individual in June. The board faced limitations in enforcing its decisions, with Maui County’s charter leaving enforcement to the County Council or the mayor. A charter amendment proposal allowing the Board of Ethics to hire full-time staff, similar to state and Honolulu ethics commissions, is set to be voted on by Maui residents in November.