KAPOLEI — The City Council yesterday gave final approval to a tax increase to pay for a Honolulu mass-transit system that has been debated for decades, will cost billions of dollars and likely be one of Hawai'i's biggest public works projects.

As a result of yesterday's 7-2 vote, the general excise tax on O'ahu will rise in 2007 from 4 percent to 4.5 percent — a 12.5 percent increase — in what critics called the largest tax increase in the state's history.

Supporters said it is the only alternative to growing gridlock.

Councilman Gary Okino said 40 years as a professional planner convinced him that mass transit — most likely rail — is the answer.

"A rail system is the only major solution that will bring improvement to this community," he said. "We cannot afford not to do this rail system."

'CART BEFORE HORSE'

Opponents questioned the cost and why the tax increase should come before the city has a plan.

Councilman Charles Djou said the city already has increased too many fees and taxes to add this one. He said there are too many questions about the route, the cost, the federal funding, the cost to run a mass transit system.

"It is a tax without a plan," Djou said. "We are putting the cart before the horse."

Yesterday's action launched Honolulu on the path toward a long-awaited mass-transit system that promises to dominate the city agenda for years and influence everything from traffic to development and lifestyle well into this century.

The goal: to address one of the most serious quality-of-life concerns facing the state — traffic congestion that finds some commuters spending more than two hours a day on the road.

While the city is bound to consider alternatives, the solution is expected to center on a rail system.

"There are short-term solutions and long-term solutions," said Mayor Mufi Hannemann, and the city is moving forward with both. He said he sees the city launching a ferry system in 2006 with buses linked to it, but "rail obviously is a long-term solution."

He said he will move quickly to sign the bill into law the week of Aug. 22 and shortly thereafter award a $10 million contract to an engineering firm to begin the next step in the process: an alternatives analysis and draft environmental impact statement.

READY BY 2012?

While the alternatives analysis will seek community input and look at all the choices, he said, "rail's got to be a central part."

U.S. Rep. Neil Abercrombie said the transportation bill passed by Congress and signed into law by President Bush puts the state in line for federal funding for mass transit. He said he expects that the project will also attract interest from private funding.

Any system is still years away, with environmental assessments and other analysis required before construction can begin. However, the city has said that could happen as early as 2009 and residents could take their first rides on the system three years later.

Building a transit system to ease growing traffic congestion has been discussed for at least 20 years, but every proposal has been derailed by concerns about cost, failure to reach agreement over the technology and lack of political consensus at crucial times.

RUSH-HOUR WOES

Meanwhile, congestion has become one of O'ahu's most pressing problems. One study shows that people on almost half the island will face the prospect of spending 80 minutes or more commuting during the morning rush hour by 2030 unless something is done to improve O'ahu's transportation network.

The last time Honolulu came close to getting on the path to public transit was in 1992, when a council vote ended those hopes. Backers of the current proposal said traffic has gotten so much worse since then that the proposal won a majority of support that held through vigorous public debate.

More than 80 people had signed up to testify yesterday in a heated debate that filled the Kapolei Hale meeting room. Signs represented the differing opinions: "I will ride," and "4.5% = Taxpayer" (depicted with a screw through his back).

More supporters than opponents attended the crowded council meeting, but the strong feelings were clear on both sides. When one side jabbed or scored, audience members cheered, booed or clapped to show support.

VOTE OF 7-2

Even some who opposed the tax said they went to the meeting pretty clear that the outcome would go against their view.

Wahiawa resident Kawika Bond called the transit tax the latest shibai — after raising bus fares — foisted on the citizens of Honolulu by the council. "You made your minds up to betray the people of O'ahu," he said.

Pearl City resident Jerry Souza opposed the plan as backward, since the type of transit hasn't been chosen or evaluated.

"First we'll build a bridge, then we'll build a river," he said.

But in the end, the council voted as it had on two previous occasions.

Voting in favor were Council Chairman Donovan Dela Cruz; Council Transportation Chairman Todd Apo and council members Ann Kobayashi, Okino, Nestor Garcia, Romy Cachola and Rod Tam.

Voting against were Djou and Barbara Marshall.

Okino said people cannot spend four to six hours on the roads each day and still have the quality of life they want.

"It is going to be the most significant improvement that we will make for our community. We need to stick to our convictions," he said.

Marshall said many of her Windward constituents are most troubled that the cost and type of transit hasn't been determined but the tax is on track.

"Most people are just concerned that we don't have a plan," she said.

But her move to delay any tax until an alternative is selected failed to win support. She emphasized that people need traffic solutions that will take less than two years.

Apo said the state law requires the city to set up the funding before picking the system.

"This is a momentous day," said Darrlyn Bunda, executive director of the Waipahu Community Association.

Bunda said the council is showing Congress — which will be called on for significant federal funding — that "Honolulu is really serious about making a major public transit investment."

Harry Saunders of the Chamber of Commerce of Hawai'i said his organization's members wrestled with the decision but saw it as the only solution to the traffic congestion that has built up over the past 25 years.

"To support any increase in taxes goes against the nature of business owners, entrepreneurs and most of our citizens," Saunders said, but helping traffic will in the end help the economy.

Makakilo resident Carolyn Golojuch said it's time for all O'ahu taxpayers to pay to support help ease traffic, especially to the Leeward Coast.

"We have to stop the H-1 parking lot," she said. "It's not perfect but we can't wait for perfect. I'm tired of the studies.

"We are a major city, act like it."

Maeda Timson of the Makakilo/Kapolei/Honokai Hale Neighborhood Board said the "second city" of Kapolei will not survive without traffic improvements. She reminded the council of the disappointment felt by her community 13 years ago when transit was rejected.

"We need to have that transportation to keep us coming and going," she said.

Floreen Kaopua said she watches her family dollars carefully, is irked at paying $8 to see a movie but still supports transit even if it costs $450 a year for 15 years.

"There are things that I'm willing to give up for the sake of my children and for the sake of all people here," she said.

LEEWARD GROWTH

Council Transportation Chairman Apo represents Kapolei and the Leeward area that would be served by a proposed Kapolei-to-downtown-and-Honolulu system. He said he understands concerns about approving the tax before the plan, but said transit is needed to have the island economy thrive, especially for the people of West O'ahu.

"This is the area chosen for our growth. This is where it's going to happen," Apo said.

Hannemann said he firmly believed that this was Honolulu's last real chance to launch a mass-transit system. With the governor, the state Legislature and Congress supporting the concept, he felt the path was clear.

"This is very historic; this is unprecedented," Hannemann said. "We are ready to rock 'n' roll."

Property tax relief also passes

ABOUT TRANSIT TAX