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The Honolulu Advertiser
Posted on: Tuesday, July 2, 2002

ISLAND VOICES
Supporting UH makes good sense

By Rep. Roy Takumi, D-36th District (Pearl City)
Chairman of the House Higher Education Committee

It is unfortunate, but true, that much of our work during this year's session of the Legislature was driven by forces totally out of our control. No one could have predicted world events that led to the current economic slump and resulting revenue shortfall that threatened many critical state services and programs.

Many approaches were proposed to deal with the shortfall, ranging from gambling to tax credits to businesses to dipping into the Hurricane Relief Fund to increasing capital improvement projects.

The community will judge whether or not we succeeded in coming up with a budget that reflected the public good. However, I am pleased that, despite the budget shortfall, the Legislature maintained its commitment to a major economic player in our state: the University of Hawai'i.

It is important to realize that UH is a billion-dollar "industry":

  • UH-related spending generates $1.6 billion in business sales, nearly 30,000 jobs and $1.1 billion of income to Hawai'i households. By comparison, agriculture-related jobs generate $900 million in income.
  • Spending by the university accounted for more than $180 million in state and local tax revenue — approaching 5 percent of all state and local taxes.
  • Every state general fund dollar invested in the university results in a spinoff of nearly two dollars in education-related expenditures. For every $1 million in the UH budget, nearly 80 full-time jobs are created.

Visit any campus in the UH system and you will see concrete examples of the Legislature's commitment. One of the largest capital projects ever undertaken is proceeding — a state-of-the-art $150 million health and wellness center that will include the UH medical school and a biomedical research campus in Kaka'ako. These facilities alone will generate millions of new dollars in research grants, not to mention hundreds of well-paying jobs for local residents.

After years of budget cuts, we have renewed our commitment to the university over the past two years. In the face of a $315 million shortfall this past session, we have increased funding for the university.

As a community, we need to realize that an investment in the university is an investment in our future.