Open Letter to Governor Green:   

March, 2025

I am writing to express my deep concern regarding the ongoing construction failures at multiple state-funded facilities, including the Hawai‘i State Hospital, Hawai‘i State Capitol, and Hawai‘i Convention Center. These projects, funded by taxpayer dollars, have been plagued by substandard workmanship, major defects, and severe mismanagement, leading to millions of dollars in unnecessary repairs. This ongoing pattern of government inaction and lack of accountability must stop.

Hawai‘i State Hospital – $37 Million in Repairs for a Defective $160 Million Building

The Hale Hoʻōla Building, completed in 2021, was supposed to be a state-of-the-art psychiatric facility. Instead, it has become an embarrassment and a financial burden. Less than three years after its completion, the building is falling apart, with urgent repairs now expected to cost taxpayers $37 million. The issues include:

Severe water leaks and mold growth – The building’s waterproofing has failed, leading to dangerous mold conditions.

Failing HVAC systems – Air conditioning equipment is already corroding, affecting air quality.

Plumbing defects – Some drain lines were found clogged with grout, a clear sign of negligence during construction.

Structural concerns – Water intrusion has compromised the walls, raising major safety concerns.

Despite these alarming issues, the state has failed to take aggressive legal action against Hensel Phelps, the contractor responsible for this disaster. Instead of negotiating with them, the state should be demanding full financial accountability and suing to recover costs. Why should Hawai‘i taxpayers continue to pay for mistakes made by a contractor that delivered defective work?

The design build concept is supposed to save time and money. In this case, it was just the opposite. What guardrails were in place to protect the stakeholders? Why is the state not looking at the statute of limitations and the statute of repose that applies in the private sector construction defect litigation cases.

Hawai‘i State Capitol – A Failing Government Building

The Hawai‘i State Capitol is the heart of our government, yet it is falling into disrepair due to neglected maintenance and aging infrastructure. Reports indicate:

Mechanical and electrical systems are at risk of failure, endangering operations.

A potential long-term closure is being considered to fix issues that should never have been ignored for so long.

How does the state allow its own government headquarters to deteriorate to this level? If legislators cannot properly maintain their own building, how can the public trust them to manage taxpayer-funded projects elsewhere?

Hawai‘i Convention Center – A Showcase Venue in Disrepair

The Hawai‘i Convention Center, a critical venue for international events and tourism revenue, has been struggling with:

Persistent rooftop leaks, leading to major water damage and event disruptions.

A clear lack of preventative maintenance, allowing minor problems to escalate into expensive repair projects.

This is a world-class venue, yet it is being treated with third-world maintenance standards. If we do not invest in proper upkeep, we risk losing critical tourism and business opportunities.

The Pattern of Government Mismanagement Must End

It is clear that poor oversight, weak accountability, and a failure to enforce contractor responsibility have led to these repeated failures. The state cannot continue to operate with this level of negligence.

I urge your administration to take immediate action to:

Launch a full investigation into the procurement, construction, and approval process for these failing projects.

Pursue legal action against Hensel Phelps and other responsible contractors to recover wasted taxpayer funds.

Implement mandatory independent inspections for all state projects before final acceptance.

Extend warranty periods for state construction projects to at least five years, preventing contractors from escaping responsibility after just two years.

Establish a proactive maintenance strategy to prevent small issues from escalating into multimillion-dollar failures.

Hold state officials accountable for approving subpar work and failing to enforce construction standards.

Hawai‘i Deserves Better – Stop the Waste of Public Funds

Your administration must step up, enforce accountability, and ensure that public funds are used responsibly.

I respectfully request a formal response outlining what specific actions your office will take to address these concerns. The people of Hawai‘i deserve real solutions, not more wasted money and failed projects.

I look forward to your response.

Sincerely,

Lance Luke
Honolulu, Oahu

LINK: Construction Management and Inspection Newsletter