Hawaii Audit Finds $13.7 Million Mismanaged in Homeless Initiative
State Auditor Les Kondo identified millions in unauthorized spending within Governor Josh Green's kauhale housing program, which the governor defended citing a drop in homelessness.
A state audit released in October 2026 identified more than $13.7 million in unauthorized, unsupported, or questionable spending within Governor Josh Green's kauhale homeless housing initiative. State Auditor Les Kondo reported that the Statewide Office on Homelessness and Housing Solutions (SOHHS) managed over $42 million in development contracts without sufficient internal controls or technical expertise, creating a substantial risk of improper use of public funds.
The audit flagged $7.7 million in unauthorized costs and $5 million in questionable expenses, which included first-class airfare, administrative costs, a corporate retreat, and alcohol. Another $1 million was listed as unsupported personnel expenses. SOHHS coordinator Jun Yang agreed with most recommendations and stated the office is working to recover improper funds, though he disputed findings regarding $6.1 million in payments for the Alana Ola Pono project.
Governor Green accepted 11 of the audit's recommendations but defended the program's overall impact. He noted that the initiative provided nearly 900 beds and served over 2,900 people, contributing to a 13.1% reduction in Hawaii's overall homeless population between 2024 and 2026. The audit arrives shortly before the November 3 general election, with the kauhale initiative serving as a central pillar of Green's campaign.
