Prohibit counties from requiring off-street parking in TOD areas

The following testimony was submitted by the Grassroot Institute of Hawaii on Feb. 5, 2026, for consideration by the Senate Committees Transportation and Energy and Intergovernmental Affairs.
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Feb. 5, 2026, 3 p.m.
Hawaii State Capitol
Conference Room 229 and Videoconference

To: Senate Committee on Transportation
       Sen. Lorraine R. Inouye, Chair
       Sen. Brandon J.C. Elefante, Vice Chair

       Senate Committee on Energy and Intergovernmental Affairs
       Sen. Glenn Wakai, Chair
       Sen. Stanley Chang, Vice Chair

From: Grassroot Institute of Hawaii
            Ted Kefalas, Director of Strategic Campaigns

RE: TESTIMONY IN SUPPORT OF SB2356 — RELATING TO PARKING

Aloha chairs, vice chairs and other committee members,

The Grassroot Institute of Hawaii supports SB2356, which would prohibit counties from mandating off-street parking spaces for projects in transit-oriented development infrastructure improvement program areas.

This bill would lower construction costs for much-needed housing and encourage the construction of walkable neighborhoods in areas with access to public transit.

Research has shown that imposing parking mandates increases housing costs because construction costs for parking garages or spaces, as well as the cost of acquiring land for parking, are passed to homebuyers and renters.[1]

Cities that have reduced or eliminated required parking see less parking built, which frees up land for new and expanded homes and businesses.[2]

Parking mandates also have hidden costs. Space dedicated to parking cannot be used to expand housing and can make it difficult to create walkable communities.

Moreover, parking mandates can frustrate renovation and rebuilding. In many areas of the state, an old building that does not meet current parking rules cannot be retrofitted to a new use without having to purchase land to add the required parking.

A planned bowling alley on Lanai encountered this problem, and construction was delayed as the owners of the land tried to figure out how to provide more parking.[3]

Further, required parking for projects near transit undermines the entire goal of a transit system, which is to offer people alternatives to using vehicles.

Thank you for the opportunity to testify.

Ted Kefalas
Director of Strategic Campaigns
Grassroot Institute of Hawaii
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[1] “The Costs of Parking in Hawai‘i,” prepared by PBR & Associates for the Ulupono Initiative, August 2020, p. 3; C. J. Gabbe and Gregory Pierce, “Hidden Costs and Deadweight Losses: Bundled Parking and Residential Rents in the Metropolitan United States,” Housing Policy Debate, Vol. 27, Issue 2, Aug. 8, 2016.
[2] Abbey Seitz, Trinity Gilliam and Arjuna Heim, “Stalled: How parking mandates drive up housing costs,” Hawaiʻi Appleseed Center for Law & Economic Justice, October 2025, pp. 16-17; and Daniel Baldwin Hess and Brendan Flowers, “Developer Response to the Removal of Minimum Parking Requirements in Buffalo,” Transportation Research Journal, Volume 2677, Issue 12, May 10, 2023; C. J.  Gabbe, Greogry Pierce and Gordon Clowers, “Parking policy: The effects of residential minimum parking requirements in Seattle,” Land Use Policy, Vol. 91, February 2020
[3] Ahry McGuirk, “Lanai bowling alley saga shines light on county’s cumbersome parking mandates,” The Maui News, Oct. 30, 2025.

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