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The Honolulu Advertiser
Posted on: Thursday, June 6, 2002

Big Island raises property tax

By Hugh Clark
Advertiser Big Island Bureau

HILO, Hawai'i — After a 10-hour meeting that saw sharp debate, the Hawai'i County Council last night voted to approve Mayor Harry Kim's record $205.3 million operating budget and to boost property taxes for the first time in more than 30 years.

There were two votes — both 6-3 — one to approve the new budget and the other to raise property taxes. Property tax rates, including the homeowners class, will go up by nearly 25 percent, to cover a projected $7.6 million budget shortfall.

Both votes came with Puna's Gary Safarik, Hamakua's Dominic Yagong and Kona's Curtis Tyler opposing the measures.

County spending goes up by $9.1 million in the 2002-2003 budget.

Only three people testified against the taxes, including retiree Robert Wallwork of Volcano, who said he felt that the only reason there is a deficit is that the Big Island was "trying to keep up with the Joneses."

Pointing out that he lives on a fixed income, Wallwork said he could not afford "this huge jump."

The vote came hours after Mayor Harry Kim personally testified to stress that his budget is to meet current services — not to improve what is lacking in high-growth areas such as Kona and Puna.

While Kim said he had expected debate over some of his proposals, he was disappointed at how the discussion by the council members and others seemed to divide the island. He cited a revival of the east versus west, Hilo vs. Kona and Hilo vs. Puna splits.

In turn, Kim was criticized by Tyler for not having a long-range plan to show taxpayers how service voids will be filled and when.

Kim's increased budget will be used to cover employee raises, pay higher healthcare costs and meet state and federal mandates as well as step up facility repairs.

During the long debate, the council restored two positions it had planned earlier to kill — the police department's public information officer and the deputy county clerk — and also made adjustments to travel restrictions.

Earlier, proposals to close the county zoo, disband two county band units and convert the Hilo Municipal Golf Course and Alae Cemetery to private operations were defeated.

Meanwhile, Kim promised the council his staff is continuing work on real property tax reforms to assure landowners pay a fair share.

He expressed continuing disappointment over the council's decision last year not to hike minimum tax bills from $25 to $100 a parcel. The council balked and exempted homeowners from that increase.

Reach Hugh Clark at hclark@honoluluadvertiser.com or (808) 935-3916.