The most recent eruption included new lava flows through Kapoho Beach Lots and Vacationland that destroyed almost 500 homes.
Many homeowners are unable to access their homes as the lava damaged the properties.
USGS officials also say there is no way to know when the eruption will end or if more fissures will open.
David Ige signed a memo to free up $12 million in immediate disaster relief to pay for police, fire, public works and civil defense personnel.
Lava completely covered the Big Island's Vacationland neighborhood, destroying hundreds of homes and pouring into the Kapoho Bay, where it formed at least 0.8 miles of land that juts into the sea, the Associated Press reports.
More recently a huge river of lava that has crept several miles across the landscape to the eastern tip of the island engulfed two entire seaside housing subdivisions - Kapoho Beach Lots and Vacationland.
The destruction from Hawaii's Kilauea volcano continues. The new land has extended almost a mile out from the original shoreline and only a few buildings remain near the water. That's on top of the losses at Leilani Estates, one of the first areas to feel the destructive power of Kilauea.More news: Floyd "Money" Mayweather again tops Forbes list
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Kim told reporters in Hilo on Thursday the total includes about 320 homes in the coastal community of Kapoho. "I'm talking about 600 families".
AP reports that the lava from the eruption "is among the most destructive and costly in volcano property loss in US history".
Plumes of volcanic ash belched into the air by periodic daily explosions from the crater at Kilauea's summit have posed an additional nuisance and a health concern to nearby communities.
The latest eruption began early Tuesday morning and was so powerful that it spewed ash almost a mile into the air and sparked a 5.5 magnitude quake, scientists say.
The lava's entry into the ocean was also producing laze - a hazardous mix of acidic steam, hydrochloric acid gas and tiny shards of volcanic glass.
It has forced the shutdown of a geothermal energy plant that normally provides about a quarter of the island's electricity.