COMMENTARY
Mayoral candidates address budget issues
By Bob Dye
Kailua-based writer and historian
Budget help is on the way! The suggestions range from going "back to basics" to a "city hotel room tax." Below, the five announced prospective mayoral candidates speak out on the financial condition of the city.
• Councilman Duke Bainum reminds us: "We didn't get into this financial situation overnight — a lot of our problems stem from the state's poor economy over the last decade."
He cautions: "Over the past several years, we've scrambled to make ends meet. That's why as mayor my first priority will be to implement a five-year budget plan (where) we will look at things such as collective bargaining increases, projected retirement contributions, debt service, vacation accruals and anticipated new staffing needs."
He also wants to make sure "there's enough carry-forward and rainy-day fund balances, so that we are better prepared to cope with major incidents such as 9/11."
• Former mayor Frank Fasi says the defining issue for the upcoming mayoral race is the solution to the city's dismal financial condition: "Credit-card spending over the years to 'buy' aloha from the voters is coming home to roost as the bird gets ready to fly the nest. ..."
He says: "The answer to the budget problem is simple. We must increase income and control costs."
To control costs, he will operate on a cash basis: "No more borrowing! "
He will consider putting a moratorium on pay increases to city employees "until we know exactly where we are, how much we can afford and who is deserving of an increase."
Events such as Brunch on the Beach and sunset movies will have to become self-sustaining. There will be no new capital improvements unless they can be justified, staffed and maintained, he says.
To generate more income, he'll explore:
• A city hotel room tax to recoup the $100 million we spend on services to tourists.
• Nominal increases in user fees for city-owned facilities to maintain and upgrade the facilities.
• Providing incentives to put existing land and buildings into more productive use.
• Former councilman and mayoral candidate Mufi Hannemann will commission an independent "Marion-Higa-type audit of the city's budget that will convey exactly the status of Honolulu's finances and debt."
He'll use the audit to establish a baseline by which to "prioritize city spending."
"It's back to basics," he says. "All proposed construction projects must pass the following litmus test: Do we need it? Can we afford it? And most importantly, can we maintain it?"
Echoing his 2000 campaign, he promises to fix the economy and improve education, as well as fix roads and improve parks.
• Lt. Gov. Mazie Hirono envisions Honolulu as the "capital city of the Pacific." As mayor, she says she will ensure delivery of essential city services.
To help pay for them, she will call upon her "relationships at the state and federal levels of government to tap available resources ... to effectively fill our budget gaps."
As Honolulu's CEO, she says she would make it a priority to evaluate and cut waste from city programs and departments: She has serious concerns about taking $60 million from the sewer fund to balance the city's budget:
Another area of concern is the city's debt service: "Refinancing should be used as a tool for reducing debt, not as a long-term policy to balance our city's budget."
• Former city prosecutor and state director of public safety
Keith Kaneshiro emphasizes that the budget must be prioritized.
"My priority is public safety and health and welfare " he says.
He demands that all expenditures be controlled fairly: "Stop cost overruns on current Community Improvement Projects! No more change orders!"
