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The Honolulu Advertiser
Posted on: Friday, October 12, 2001

The September 11th attack
Lawmakers favor funding school repair projects

By Kevin Dayton
Advertiser Capitol Bureau Chief

It appears Gov. Ben Cayetano may get something close to half of the $1 billion in new construction money he has requested from the Legislature.

After meeting in hours-long caucuses yesterday, House and Senate Democrats indicated Hawai'i's public schools probably will receive a hefty infusion of money for repairs and maintenance when lawmakers meet in a special session later this month, but some other large construction projects may be put off.

Cayetano has asked for approval of almost $1 billion in new construction projects during a special session of the Legislature next month to pump more money into the local building industry.

Those projects would be financed with borrowed money, and lawmakers are worried the governor's plan might saddle the state with too much debt. Legislators noted they authorized the governor earlier this year to borrow and spend about $480 million on new construction.

In an effort to appear supportive of the governor's plan to cope with the state's economic crisis, House Speaker Calvin Say, D-18th (Palolo, St. Louis, Kaimuki), said yesterday lawmakers will try to authorize $1 billion in construction spending, but said that would include the $480 million that was approved earlier this year.

Senate President Robert Bunda, D-22nd (Wahiawa, Waialua, Sunset Beach), also said yesterday the Senate is inclined to approve $500 million to $1 billion in new construction spending.

Lawmakers in both the House and Senate also have doubts about Cayetano's plan to use money from a state settlement with the major tobacco companies to finance a new medical school and biotechnical and cancer research center in Kaka'ako.

Lawmakers aren't sure Kaka'ako is the best location for the facility, and note the tobacco settlement money that would be used to pay for the medical school is already being used to finance anti-smoking programs.

Bunda said some senators are also concerned about a plan to transfer $213 million from the state hurricane insurance fund to the so-called "rainy day" budget reserve fund.

Lawmakers said they have heard from constituents who are opposed to the plan, and Bunda said some would like to leave about $80 million in the hurricane fund in case it is needed to continue the hurricane insurance program.

House and Senate lawmakers also want some changes in special powers Cayetano is seeking to cope with "economic emergencies." Under Cayetano's proposal, the Hawai'i governor would have broad new powers to waive lease rents and fees and award larger construction and purchasing contracts without competitive bidding.

The governor would also have broad new powers to change rules and make new rules that have the force of law.

"This gives him power just short of king, but we're looking forward to finding a middle ground," said House Majority Whip Brian Schatz, D-24th (Makiki, Tantalus).

House and Senate lawmakers said they want to prevent any favoritism by requiring the governor to report in detail how the emergency powers are used and who benefits.

Reach Kevin Dayton at kdayton@honoluluadvertiser.com or 525-8070.