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The Honolulu Advertiser

Posted on: Friday, July 11, 2003

Briefing set today on HVCB spending

By Kelly Yamanouchi
Advertiser Staff Writer

HVCB audit briefing

What: State auditor Marion Higa will brief legislators on the Hawai'i Visitors and Convention Bureau audit

When: Today, 10 a.m.

Where: State Capitol, Conference Room 325
The House and Senate committees on tourism are scheduled to hold a joint briefing today on the results of a state audit of the Hawai'i Visitors and Convention Bureau and the use of state money to pay the travel expenses of a local television news station.

Auditor Marion Higa will discuss her findings alleging that the HVCB failed to follow standard accounting practices and misused state money. HVCB has disputed some of the auditor's criticisms, saying it adhered to sound accounting practices. But HVCB President Tony Vericella has admitted spending $670 in state money for personal use, as revealed in the audit.

HVCB Chairman Tony Guerrero and Hawai'i Tourism Authority marketing director Frank Haas said they planned to attend the briefing.

Donna Mercado Kim, chairwoman of the Senate Tourism Committee, organized the briefing to help determine whether the Legislature should initiate its own investigations of HVCB in the wake of the audit. Kim and the tourism authority already have requested an investigation by the state attorney general's office.

Attorney General Mark Bennett said his office is in the preliminary stages of reviewing the audit and has not decided whether any action is appropriate.

"What we're doing is we're looking at the [auditor's] report carefully and we're gathering additional information," Bennett said.

The tourism committees also will gather information on a decision by HVCB to pay for the Japan trips of two KITV employees who covered Lingle's promotional mission. The station has since said it will pay for its own expenses.