honoluluadvertiser.com

Sponsored by:

Comment, blog & share photos

Log in | Become a member
The Honolulu Advertiser
Posted on: Tuesday, May 1, 2001

Lawmakers talk of raising taxes

 •  Union party loyalty might waver

By Lynda Arakawa
Advertiser Capitol Bureau

House and Senate leaders yesterday said they would consider raising taxes in the next few years to help pay for growing government costs, including collective bargaining.

House Democrats couldn't reach consensus this legislative session on ways to boost state revenues, but "it has to be an issue that would be on the table in the future," House Speaker Calvin Say said.

"If there's any one shortcoming for me, personally, it was the issue of trying to address other forms of revenue enhancements in anticipation of the growth of government," he said at a media conference when asked what he wished the Legislature had done this session but didn't.

He said he would like to aim for a tax increase in 2003, with the amount depending on government costs. Say, D-18th (Palolo, St. Louis, Kaimuki), spoke about the anticipated rising costs of collective bargaining, the public employee health fund premiums and debt service from the $500 million in government bonds for construction projects the Legislature appropriated this session.

His comments caused some in the House leadership to wince. At least two later said the tax increase proposal was exclusively the speaker's idea and not the position of the House Democratic majority.

However, Senate President Robert Bunda, D-22nd (Wahiawa, Waialua, Sunset Beach), also said the Legislature may look at raising taxes. He said he would consider a tax increase after 2003.

"All these pressures in reference to funding many different programs, it becomes a very big problem," he said. "And down the line, I believe perhaps maybe a tax increase or some kind of mechanism — revenue enhancement — is probably forthcoming."