Lawmakers say session focused on fiscal situation
| • | How major bills fared at the Legislature |
By Gordon Y.K. Pang and Lynda Arakawa
Advertiser Capitol Bureau
Following a session that did not produce any defining piece of legislation, Democratic and Republican lawmakers and Gov. Linda Lingle said they believe their greatest accomplishment was passing a balanced budget despite the state's tough fiscal situation.
The Legislature managed to pass a budget without raising excise taxes, laying off state employees or tapping into the Hawai'i Hurricane Relief Fund. Although lawmakers passed more than 200 bills, the two-year $7.6 billion budget took center stage early and stayed there throughout the session.
"I would characterize this as a lean but practical year," said House Majority Leader Scott Saiki, D-22nd (McCully, Pawa'a). "We knew at the outset that because of the fiscal situation, it would be very difficult to do far-reaching legislation."
Lingle, the first Republican governor in 40 years, said the administration's goal of "trying to restore fiscal discipline" was achieved. She had promised not to use the $175 million hurricane fund, as had been proposed by former Gov. Ben Cayetano. Lingle also cited passing the budget with no excise tax increase or layoffs.
The state's revenue picture took a downward turn again in March when the Council on Revenues lowered its forecasted growth rate, triggering an additional $133 million in reductions proposed by Budget Director Georgina Kawamura.
Lawmakers said they were able to preserve some increases for the public school system and University of Hawai'i, although education officials say they still need money for school repairs and maintenance. An attempt to generate money for education by raising the excise tax from 4 percent to 4.5 percent was nixed by the House.
House Minority Leader Galen Fox, R-23rd (Waikiki, Ala Moana, Kaka'ako), also said he believed the budget plan was the "prime achievement" for the Legislature this year. He praised public union leaders for agreeing to not ask for wage increases for the upcoming year and legislators for not increasing excise taxes or tapping the hurricane fund.
The session had its splits along party lines, particularly in the debate over public school reform.
Lingle considered the rejection of her plan to ask voters if they want elected local school boards her biggest disappointment. She noted that a similar proposal nearly passed last session but was rejected very early on in the House this year. Lingle said if she were not the governor the measure would have passed.
"It's self-evident it would've made it out of the House because 43 of them voted for it a year ago," she said. "What other reason is there for so many people to change their minds from one year to the next?"
Saiki denied that partisan politics was behind the Democrats' decision this year to not pass a constitutional amendment question asking voters if they want seven elected school boards. Democrats are simply looking at other means of improving the school system, he said, such as directing the Department of Education to look into a weighted student formula for money allocation.
"We don't think local school boards would necessarily improve the system," he said.
Fox said that while he believes the Democrats' turnaround on local school boards was a political decision, it was not an attempt to discredit Lingle. "Clearly, organized forces for the status quo got their act together," he said.
Fox said Democrats tried to embarrass Lingle by attempting to reduce her office budget drastically.
"But in the end they sort of backed off that," he said. There were a few other items, such as the rejection of some "obvious" ethics reform bills and campaign reform, where "she was somewhat stymied by their actions."
Lingle said partisan politics also played a big role in the rejection of two of her nominees to the University of Hawai'i Board of Regents.
"It was very obvious, and everyone in the state got to see that," she said. "When you're part of a majority, you do sometimes go along with things that you don't necessarily believe in."
The state Senate voted against Shelton G.W. Jim On, and businessman Edward D. Sultan, but approved her other four nominees.
Senate Majority Leader Colleen Hanabusa, D-21st (Nanakuli, Makaha), said she believed the session went well given the different political dynamics at the state Capitol, but that "every time it seemed to be convenient we heard allegations of partisanship."
"I think when you look at the record, I don't think you can really attribute it to that," she said. "Simply disagreeing doesn't make an issue partisan."
She said some senators were worried that the public would construe a vote as politically motivated instead of based on merit.
"It just became a new type of issue, it wasn't something that we had to deal with before," she said. "But that's the reality of it. Until people settle down and we all become individuals with ideas versus the Democrat versus the Republican, you are going to have that kind of sensitivity."
Reach Gordon Y.K. Pang at gpang@honoluluadvertiser.com or Lynda Arakawa at larakawa@honoluluadvertiser.com. Or reach either at 525-8070.
