Winding down a first mayoral term that’s been mired in the COVID-19 pandemic, Mayor Michael Victorino said his priorities moving forward center on diversifying the economy, better managing tourism, building more housing and upgrading to green infrastructure.

“There has been no shortage of challenges. With the current world events, we don’t know what the future may bring,” Victorino said during his annual State of the County address on Wednesday evening. “But I do know my most important job is to keep Maui County citizens safe and well.”

Victorino, whose speech was broadcast in a prerecorded video message last year due to the pandemic, delivered this year’s address before a limited crowd at the Maui Arts & Cultural Center’s McCoy Studio Theater.

Pandemic conditions have changed vastly since Victorino’s last State of the County address. COVID-19 restrictions in the county have been lifted. Cases and hospitalizations have declined. Unemployment has improved, though many businesses are still reeling from the financial losses.

As the economy improves, the mayor said he’s looking toward diversification. While Hawaii’s visitor industry has been described as the golden goose — and “we love golden eggs, so let’s keep a big basket full of them,” Victorino said — Maui County also has plenty of other competitive advantages, including a year-round growing climate for a variety of crops, film-friendly landscapes and marine sanctuaries ideal for research.

“With a few new baskets like these, we can fill them with many more eggs so we always have plenty to eat,” Victorino said, adding that the Office of Economic Development is working with local nonprofits and the college to advance education and workforce development for some of these sectors.

As Maui County moves toward new industries, it also must reexamine the hospitality sector, which has recently “become too much of a good thing,” Victorino said.

The mayor pointed out that the industry has been working to develop the Maui Nui Destination Management Action Plan, which outlines ways to more responsibly manage tourism. He also said that “the county’s agreements with Airbnb and Expedia are working.” Recently Airbnb removed more than 1,300 ineligible short-term rental listings in Maui County from its platform.

The Maui County Council is also working on its own plan to better handle tourism that calls for capping vacation rentals, creating a tourism management commission, regulating the peer-to-peer car sharing industry and other reforms.

Victorino, however, added that “I have one word of caution — beware.”

“Our hospitality industry will always be the foundation of our economy, so as we develop these new sectors, we must guard our hard-earned reputation as the world’s best island to visit,” he said.

A longtime issue for local residents, overtourism became even more of a flashpoint during the pandemic as visitors flooded Maui after months of travel restrictions. Residents have long complained about the growth of tourism and proliferation of visitor accommodations while projects like affordable housing have stalled.

On Wednesday evening, Victorino pointed to “high demand, low supply, zoning restrictions, insufficient infrastructure and costly building materials” as the factors behind the shortage of affordable homes nationwide.

He said that since he’s taken office, 1,394 new residential units have been built throughout the county, including 364 new affordable rentals and 574 attainable-priced homes, which is “good, but it’s not good enough,” Victorino said.

An additional 2,500 workforce homes for rent or purchase are currently in the pipeline.

“My administration is committed to working with the County Council to expedite construction of these homes,” Victorino said. “It is time for county government to reassume its kuleana of building infrastructure.”

Millions of federal funds headed the county’s way could help to speed up the construction of infrastructure and home-building, and also help the county be more resilient in the face of climate change.

“Island people contribute the least to climate change, yet we pay the highest price for it,” Victorino said.

Hawaii expects to receive $2.8 billion from the federal bipartisan infrastructure bill, which will help update water infrastructure and highways, including moving portions of Honoapiilani Highway away from rising seas.

Department directors also provided updates on projects slated for this year and the near future, including:

• Seeking funding for permanent repairs to the Upper Kula water system, developing additional backup groundwater sources to augment the Makawao water system (with completion expected by June 30) and replacing the Kula 200 subdivision water tank to increase storage capacity from 60,000 to 260,000 gallons.

• Installing DC fast chargers for electric vehicles at two additional county sites.

• Adding six new hybrid electric range transit buses to the Maui Bus fleet, the first step towards transitioning to electric buses.

• Starting construction on the War Memorial Gym improvements project and upgrading the Velma McWayne Santos Community Center in Wailuku.

• Working on plans for a new wastewater treatment facility in Central Maui that’s expected to cost $86 million (the county will seek federal funds to help offset costs) and be completed in 2028.

* Colleen Uechi can be reached at cuechi@mauinews.com.