Prior to the shutdown resulting from the COVID-19 pandemic, Iolani Palace received a steady stream of admission income from the various tours it offered almost daily.  Its docent-led tours hosted 20 guests at a time; during the partial reopening, tours had up to 5 guests.

Today, that income is no longer available and the Palace has accrued over $1,000,000 in losses since the state shutdown. Expenses have been cut; 19 hourly staff have been terminated; the minimal staff retained to manage and maintain the property are furloughed one day a week. In spite of these measures, the Palace incurs daily revenue losses estimated at $7,700 a day.  More than half of the expenses are to keep the Palace interior at a controlled temperature as well as to keep the property secure.

Under these conditions, Paula Akana, who was appointed executive director of the Friends of Iolani Palace in May 2019, projects the next fiscal year to result in losses between $500,000-$700,000.

After a long career as a newscaster, Akana is a familiar face who brings new perspectives on leadership and organizational change. By phone this week, Akana shared her areas of focus and other insights.

A summary of the Palace’s historical significance can be found on the Friends of Iolani Palace’s website.

Once she started meeting with state legislators to inquire about the possibility of state funding, she encountered a basic lack of awareness of the Palace as a state property and a perplexing apathy about its care.  A member of the Friends voiced her frustration, remarking, “The Palace is a property of the State, yet not funded by it!”

Akana concedes that until now the Friends had made limited requests for government funding to help with operations and maintenance through Grant In Aid.  For the most part, the organization maintained a stoic face and kept problems to themselves.

Akana hopes to turn things around. Last month, the Friends of Iolani Palace received a $290,000 grant from the Hawai‘i Tourism Authority under former CEO Chris Tatum’s leadership to rehabilitate the Coronation Pavilion and remove bee hives from the outside of the Palace.  The Friends also intend to apply for the Save America’s Treasures grant administered by the National Park Service to help fund its re-roofing project. In recent years, Historic Hawai‘i Foundation also facilitated grant funding for Hale Koa Barracks through the HHF Historic Preservation Grant program* (see photos of the project below).

Akana said that the pandemic shutdown has made it clear that the Palace relied too heavily on tourism. It is now working on diversifying its income streams. The way forward, she says, is to “reinvent ourselves as a cultural and educational institution.”

Meetings with both public and private education leaders have been constructive, producing specific suggestions of how to redevelop its school tour program. They are working on planning and infrastructure that will support a virtual platform in keeping with current curriculum.

In both public and government mindset, Akana and her team must overcome the common perception of the Palace as merely a tourist attraction and replace it with a sense of kuleana for a place that represents and belongs to all people of Hawai‘i.

How you can support Iolani Palace

  • Advocate – contact your state representative, members of Congress.
  • Support – make a donation to the Friends of Iolani Palace; shop at the online Gift Shop. Encourage your friends and family to pitch in.
  • Volunteer – the Palace seeks one volunteer to help with office clerical work, 1-2 times a week. Contact Pomai at 522-0827.

The Hale Koa Barracks project, funded by an HHF Historic Preservation Grant, repaired and restored the deteriorating shingle roof and drainage fixtures, while keeping intact the building’s historic integrity. The use of quality materials and craftsmanship help to preserve the Barracks for years to come. Mahalo to the Freeman Foundation and MASON for making this project possible.

*Historic Hawai‘i Foundation administers a Historic Preservation sub-grant program supported by a partnership with preservation funders. The next application deadline is October 1. For further information visit: https://historichawaii.org/resource-center-2/funding.

By Beth Iwata, Director of Development, September 10, 2020