EDITORIAL
Give tax relief for high-rise sprinklers

A surge in the estimated cost of retrofitting residential high-rise buildings in Honolulu with fire sprinklers means it is time for city officials and apartment owners to do some creative thinking.

The much-needed retrofitting plan, strongly supported by the Fire Department, was never popular with cash-strapped residents of apartments who were looking at thousands of dollars in costs to install the sprinklers.

Now, a new study focusing on four typical high-rises suggests the price may be as much as 50 percent higher than previously estimated, from $4,000 to $13,000 or more per apartment.

This almost certainly will make it even more difficult to get a retrofitting plan through the City Council.

Surely, a creative plan can be developed that would allow this important life and property protection program to go forward. A community task force on sprinklers has come up with a useful list of possible incentives that would ease the sting for apartment owners. These range from a property tax credit against the higher value of apartments with sprinklers to low-cost loans.

These ideas are good, but they are unlikely to soften the objections of many, if not most, owners.

One idea worth exploring is a 100 percent refundable property tax credit against the cost of installing sprinklers. For example, if an owner spent $5,000 to install the safety equipment, he would see his property taxes forgiven until the $5,000 is recouped. Owners also have an added incentive in that installing sprinklers will likely increase property values and lower insurance premiums.

This would produce a short-term drop in revenue for the city, but such losses should be balanced against the major gains in safety and avoided public costs that would result.

Face it, every high-rise fire is expensive both for the owners and the public, which picks up the cost of protection and remediation. Honolulu needs a way to make the retrofitting project go forward, now.