ILWU backing proposal for casino at Ko Olina
By Lynda Arakawa
Advertiser Capitol Bureau
One of Hawai'i's largest labor unions is endorsing plans for a casino at Ko Olina, giving advocates for gambling an important new ally.
An official of the International Longshore and Warehouse Union Local 142 — which represents more than 20,000 workers — testified before legislators this week in favor of developer Sun International's proposal to build a $1 billion resort and casino at Ko Olina on West O'ahu, saying it would inject new revenue into the state's economy.
The endorsement will add muscle to efforts by gambling advocates, who are preparing a big push at the Legislature this year.
"I think they're one of the most well-respected unions, so it's definitely a concern to those opposed to legalized gambling," said House Majority Whip Brian Schatz, D-24th (Makiki, Tantalus). "There's no question about it, they're influential because they represent a lot of working folks. I don't think they've been demonized like other unions. Politically, they're very well organized."
Gov. Ben Cayetano has said he would support a licensing arrangement that allows a single casino to operate in Hawai'i. Senate President Robert Bunda, D-22nd (Wahiawa, Waialua, Sunset Beach), has said he supports granting several licenses for casino gambling.
The ILWU has traditionally opposed gambling. Union president Eusebio Lapenia could not be reached for comment yesterday.
Sun executives pitched the plan to Cayetano and legislators last session but no legislation legalizing gambling was forthcoming.
ILWU Big Island business agent Richard Baker, Jr., presented the union's testimony to the Senate Ways and Means and House Finance committees during a budget hearing Thursday in Hilo.
The ILWU praised Sun International's resort proposal in its testimony, saying it will create 3,500 construction jobs and more than 11,000 direct and indirect permanent local jobs when the resort is completed. The union also said taxes generated from such a resort could add up to between $70 million and $100 million annually.
"The Sun people have already proved their excellence in the Bahamas — another island community," the ILWU said in its statement to the committee. "The prime minister of the Bahamas has written that the Sun resort there 'energized the hotel and resort business throughout the entire country' and 'contributed to the development of the Bahamas wider economy as well.'
"In these times, the ILWU Local 142 favors jobs and an immediate infusion of a significant amount of private capital. We favor more and new revenues for the state, so that perhaps budget cuts can be limited."
Jim Boersema, spokesman for a pro-gambling group called Coalition for Economic Diversity, said the ILWU is one of many different organizations the coalition has met with. He said the ILWU is probably supporting the proposal because of the deteriorating tourist economy since the Sept. 11 terrorist attacks.
"I think any support helps," he said. "I think there's a lot of silent support for upscale resort type gambling in Hawai'i."
Reach Lynda Arakawa at larakawa@honoluluadvertiser.com or 525-8070.
