Financial Risks Loom Over The Honolulu Rail Project

The Honolulu rail project is facing expensive lawsuits, some still-uncertain future construction costs and possibly a surprisingly hefty early change order in a huge new contract.

There has been little public discussion so far about the emerging financial challenges for the Honolulu Authority for Rapid Transportation, but some warning signs have been flagged in recent reports from a federal consultant who monitors the project for the Federal Transit Administration.

That consultant also noted a slowdown last fiscal year in the state tax collections that provide most of the funding for rail construction, although HART CEO Lori Kahikina said collections have recovered in recent months…

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