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Kauai’s Small Businesses Grapple with Hurricane Lowell’s Aftermath and Tourism Uncertainty

By Drooid · · How we work

Hurricane Lowell’s Immediate Impact

On September 7 a Category 2 hurricane swept west of Kaua‘i and Ni‘ihau, producing wind gusts over 100 mph and more than 23 inches of rain on Mount Wai‘ale‘ale. The storm knocked out power for roughly 92 % of the island’s 36,000 utility customers, toppled trees and flooded roads, turning large sections of the North Shore into an active disaster zone.

Business Fallout and Economic Strain

The damage has reverberated through the tourism-dependent economy. The Hawai‘i Tourism Authority reported 873,000 visitor arrivals and $1.76 billion in revenue during the first seven months of the year, prior to the storm.

Small-business owners describe sharp revenue drops and staffing cuts. Kelly Kakalia, co-owner of The Musubi Truck, said half of her 50-person staff were laid off after demand collapsed. Kristal Scott of Kauai Juice Co. reported an 85 % sales decline and the loss of half of her 45 employees, while keeping frozen inventory alive on generator power. Cadena Ragsdale, owner of Kauai Fresh Fish, said the supply chain for local fishermen has been jeopardized, prompting the layoff of seven of eight staff members.

Official Calls for Cautious Tourism

County Mayor Derek Kawakami has urged visitors to avoid the North Shore, describing it as “dangerous” and an “active disaster zone.” He emphasized that utility crews, emergency personnel and residents are congesting local corridors, and that water-conservation orders remain in effect.

State Senate President Ron Kouchi cautioned that any reopening plan must be clear about which communities can accommodate guests, suggesting Lihu‘e and Kapa‘a may be viable entry points while other areas stay closed.

David Uchiyama, chief administrative officer of the Hawai‘i Tourism Authority, said the agency is coordinating with county officials to align messaging, keep airline routes operational and monitor road, water and sewer repairs before promoting a broader return of tourists.

Governor Josh Green has requested an expedited major federal disaster declaration for Kaua‘i and Maui counties, which would unlock low-interest Small Business Administration loans.

Conflicting Reports & Gaps

Power-restoration figures differ across sources. One report indicates that more than 3,000 households and businesses still lack electricity, while another states that 82 % of customers have had service restored. The discrepancy highlights a lack of unified data on the island’s recovery progress.

Verbatim Quotes

  • “Now that power and water is being restored, we should start to switch the narrative before many of us go out of business,” — Kelly Kakalia
  • “It’s not just about the money, or me, it’s about all the fishermen we’re supporting and their families and their livelihoods,” — Cadena Ragsdale

What’s Next

State legislators have allocated $100 million to the emergency disaster account and an additional $1.5 billion to the rainy-day fund for recovery efforts. Officials estimate that full restoration could take five to ten years. In the interim, businesses such as The Musubi Truck are soliciting online donations to sustain community feeding programs, while others, like Wishing Well Coffee & Tea, are offering free coffee to residents as repairs continue.

Tourists with booked accommodations face limited refund options; some vacation-rental owners are refusing cancellations, prompting consumer-protection advisories. Travel adviser Candice Zimring recommends flexible reservations and, when possible, rerouting to other Hawaiian islands until Kaua‘i’s infrastructure stabilizes.

The island’s path to economic recovery hinges on balancing the urgent need for tourism revenue with the safety and capacity of communities still rebuilding from Hurricane Lowell.