Tax Foundation recruiting members, money

By Dan Nakaso
Advertiser Staff Writer

The nonprofit Tax Foundation of Hawai'i faced extinction two months ago but is now asking its 250 members to bring new members — and money — to the organization.

Donations to the Tax Foundation declined by $50,000 since the first of the year and its board had considered closing down operations. But fund-raising efforts by two local talk-radio hosts raised $20,000 and gave the board hope that a new campaign could be waged, Lowell Kalapa, the Tax Foundation's president, said yesterday.

The foundation has sent letters to its 250 members asking them to solicit at least one person who could donate half as much as the current member.

"While we could ask existing members for additional financial support as one means of insuring our fiscal viability," the letter states, "we realize it's more important to generate a broader base of membership support."

The foundation is in its 49th year, has an operating budget of $250,000 and a staff of four. Its goal is to ensure sound government tax policies.

Kalapa blames the drop in contributions to a campaign against the Tax Foundation by Mitch D'Olier, chief executive officer of Victoria Ward Ltd. D'Olier disagreed with the Tax Foundation's criticisms of a commercial construction tax credit, which awaits Gov. Ben Cayetano's signature, Kalapa said.

D'Olier did not return telephone calls for comment yesterday. He has said previously that he canceled his Tax Foundation contribution but did not encourage other businesses to follow him.

Reach Dan Nakaso at 525-8085 or dnakaso@honoluluadvertiser.com