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The Honolulu Advertiser
Posted on: Monday, March 25, 2002

GOP bemoans budget growth

By Karen Blakeman
Advertiser Staff Writer

House Republicans gathered under the rotunda of the statehouse yesterday to express their disappointment that a budget packet moving through the Legislature leaves no room for tax cuts.

"Economic stimulus begins with people having more to spend," said House minority leader Galen Fox. "And the best way to give people more to spend is to not take it in the first place."

The minority party wants to eliminate taxes on food and medical services, and pay for the loss in revenue by cutting unfilled state jobs. They oppose a Democratic proposal to cover government expenses by using $100 million of the surplus in the Hawai'i Hurricane Relief Fund.

A spokesman for Gov. Ben Cayetano said staffing cuts have been made, but the state has to pay its bills.

The proposed budget, which has yet to be considered by the state Senate, includes increases in alcohol and tobacco taxes, and calls for an increase in overall state spending of about $90 million next year.

Fox, R-21st (Waikiki, Ala Wai) said government should be shrinking, in light of the state's economic problems, not growing. With him yesterday were Charles Djou, R-47th (Kahalu'u, Kane'ohe); Mindy Jaffe, R-19th (Waikiki, Kaimuki, Diamond Head); Barbara Marumoto, R-17th (Kahala, Wai'alae Iki); and Joe Gomes, R-51st (Lanikai, Waimanalo).

Even cutting half of the 5,000 unfilled state jobs would shrink the budget considerably, they said.

The Republicans presented statistics drawn up by the House Minority Research Office showing that jobs in the private sector decreased in the past decade, while state government jobs increased by 11.5 percent.

But Jackie Kido, Gov. Ben Cayetano's director of communications, said a study released by the American Legislative Exchange Council that compared growth of government in the 50 states found Hawai'i to be the third-lowest.

Some state services necessarily have increased during the governor's tenure, she said. The number of prisoners grew from 2,800 to 5,100. Nearly 11,000 special-needs children are getting educational services they require, she said.

Nearly 2,000 teachers have been added, and many current vacancies are teacher positions that need to be filled, she said.

Without counting education, government jobs have been cut 12 percent in the past few years, she said.