 |
Budget cuts spark clash
By Gordon Y.K. Pang
Advertiser Capitol Bureau
The House of Representatives lobbed the $7.6 billion biennial general fund budget to the Senate yesterday, with no one wanting to claim ownership of a spending plan that slashes millions from education and social services.
Meanwhile, it looks like the Senate's plan to raise additional revenues through a half-percent increase in the excise tax may be doomed.
Yesterday was the 31st day of the 60-day session.
House Democrats started the day with a press conference slamming Republican Gov. Linda Lingle for proposing to slash the public school budget by some $31 million during the next three years and and the University of Hawai'i system by $24 million during the same period.
"These are real cuts," said Education Chairman Roy Takumi, D-36th (Pearl City, Palisades), noting that library hours will be cut as would money for criminal checks on prospective Department of Education employees.
Others spoke about the effects on the UH system and social service programs from Healthy Start to community health centers.
"It may be hard for some of our colleagues to realize that this (budget) may mean life or death to some of our citizens," said Health Chairman Dennis Arakaki, D-30th (Moanalua, Kalihi Valley, Alewa).
Said Majority Leader Scott Saiki, D-22nd (McCully, Pawa'a): "The fact of the matter is that the governor is balancing her budget by cutting education."
House Republicans, during a lengthy floor session yesterday, criticized the Democrats for protesting the cuts when the Finance Committee did nothing to restore them and, in fact, went further and reduced the Lingle budget plan by $14 million over the biennium.
Assistant Minority Floor Leader Cynthia Thielen, R-50th (Kailua, Mokapu) stood up several times to protest angrily when Saiki referred to "the governor's budget." Said Thielen: "This is the House budget. He can't wash his hands of it."
Minority Whip Kika Bukoski, R-12th (Upcountry Maui), called it disingenuous for the Democrats to complain about the cuts when they did nothing to restore them.
"We had the opportunity to change the executive budget if we had the will to do it and we chose not to; we chose to adopt the executive budget," Bukoski said. "Let's call a spade a spade. If you support this House draft, you're supporting the cuts."
Democrats said they received final budget changes from the administration, which took office Dec. 2, well into February. That gave them little time to either take a careful look about the effects on programs or find money to restore them, they said.
Majority members said they were also slow in restoring cuts because it is likely that the Council on Revenues today will project a smaller increase in tax dollars coming into state coffers that will likely result in the need to find additional cuts, savings or taxes.
"Normally we would have restored the areas of cuts that we have concerns over," said House Finance Chairman Dwight Takamine, D-1st (N. Hilo, Hamakua, N. Kohala). "However, given the uncertainties that we face presently, we decided that the best course of action is to treat the budget as a work in progress and to remain committed to continuing to work with the Senate and the governor toward a final version of the budget that will be passed at the end of session."
The Senate has approved a bill that would increase the excise tax one-half cent per dollar to 4.5 percent. Such a plan is expected to yield an additional $180 million, but $100 million is earmarked for food tax credits to be given back to residents and the rest for education.
But an excise tax increase is not supported by Lingle or the House leadership.
"I don't think it's necessary," Lingle said yesterday. "I agree with the House that we shouldn't increase the excise tax. It would really hurt businesses."
Reach Gordon Y.K. Pang at gpang@honoluluadvertiser.com or at 525-8070.
