HVCB chief gets vote of confidence

By Kelly Yamanouchi
Advertiser Staff Writer

VERICELLA

The Hawai'i Visitors & Convention Bureau board issued a vote of confidence in President Tony Vericella and his management team in the wake of a highly critical state audit that accused the organization of misusing state money.

HVCB board chairman Tony Guerrero said that with Monday's unanimous board vote, he does not plan any management changes, but the board is ready to revise its policies to increase the managers' accountability to the board's executive committee.

Guerrero also plans to search for a management consultant to advise the visitors bureau on its operations given the audit's findings.

"Put it this way — nobody's really happy with what has happened. But if you look at the results, the results have been good," Guerrero said. "If there's any one downfall, it's management not communicating enough with the executive committee and the board, and we're gonna take action to make sure those things are improving."

Guerrero said HVCB would "cooperate 100 percent" with the requests of House Speaker Calvin Say and Senate President Robert Bunda to retain records related to HVCB's $151.7 million tourism marketing contracts from 2000 to 2002 with the Hawai'i Tourism Authority.

Guerrero also said Vericella should have consulted with the board before agreeing to pay for television station KITV to accompany Gov. Linda Lingle's weeklong mission to Japan.

"He's been told again that his boss is the board of directors" and not the governor, Guerrero said.

KITV later decided to pay for its own travel expenses.

Guerrero said he does not think HVCB owes any money to the state, although state auditor Marion Higa questioned the propriety of some bureau expenses, including television and print advertising that was billed in the year before services were provided.

However, he said if officials find state money was used for questionable attorneys fees, for example, "then that should be paid back."

The auditor said HVCB paid a law firm $300,596 in state money for legal services in 2002, and that on some occasions the law firm was used to undermine state interests.

In one instance, state money was used to lobby against a bill supported by the tourism authority that allowed the authority to market, operate and manage the Hawai'i Convention Center.

The tourism authority shifted the convention center marketing contract from HVCB to SMG on Jan. 1.

Reach Kelly Yamanouchi at 535-2470 or kyamanouchi@honoluluadvertiser.com.