Big Island approves record budget

By Hugh Clark
Advertiser Big Island Bureau

HILO, Hawai'i — The Hawai'i County Council adopted a record $196.2 million operating budget yesterday for the fiscal year beginning July 1. That is $20 million more than last year.

The increase was largely the result of obligations imposed on the county through state and federal requirements, negotiated public worker pay raises and a $7 million obligation to the state retirement system, County Finance Director Bill Takaba said.

In addition, the increase is due to five new police patrol positions created for North Kona.

After years of declining or stagnant property tax valuations, valuations rose by $1 billion for this fiscal year, bringing in $12 million of new income.

Takaba said this budget was "conservative," despite the large increase. "We really held the line this year," he said.

About two thirds of the operating funds are to pay for salaries and benefits or retire previously sold bonds.

The council also approved a $47 million capital improvement budget that includes $7 million for repairs on Mamalahoa Highway and a new $3.7 million Puna police station.