honoluluadvertiser.com

Sponsored by:

Comment, blog & share photos

Log in | Become a member
The Honolulu Advertiser
Posted on: Monday, March 26, 2007

DHHL must rely less on federal funding

StoryChat: Comment on this story

Community block grant programs are among the endangered species of the federal budget.

The Department of Hawaiian Home Lands got a close look at the rocky terrain it must cross to secure these funds last week, when a Republican maneuver fended off the quick reauthorization of two funding programs in the U.S. House.

An e-mail campaign by House Republican Leader John Boehner blocked the required two-thirds vote needed for passage of an annual allotment of at least $8 million over the next five years. This money was targeted for roads, water lines, sewer systems and other improvements needed for DHHL Hawaiian homestead housing projects.

Boehner cited the same arguments the GOP made opposing the Native Hawaiian federal recognition bill last year: Funding to benefit Hawaiian-only programs is unconstitutional. Extending that argument to Hawaiian homesteading, which has had federal authorization for 85 years, is hard to rationalize.

But if one sets aside the whole argument over whether Hawaiians merit the same constitutional leeway as Indian tribes, the fact remains that these federal programs are drying up.

Defense spending and other funding obligations have put the pinch on many social programs, and the block grants are not protected from the budget-cutting axe.

Nationally, the Bush administration is seeking to slash $567.9 million in community development block grants over the next four years, affecting projects in housing development, homelessness assistance and economic development, primarily in rural communities.

So even if the Hawai'i delegation manages to get the funding programs reauthorized — and the proposal is still alive — federal money for these purposes is clearly diminishing.

It's fortunate for DHHL that it has land it can use as an asset to help finance its housing projects.

The Lingle administration already is negotiating various deals for leasing a small portion of the DHHL land base for commercial development, from which the agency can reap a regular revenue stream.

Although this policy has raised concerns among some Hawaiians, who worry that the best housing locations might end up being developed for other purposes, DHHL officials have consulted with communities and settled on a modest goal of opening only a small percentage of land to non-residential commercial leases.

That kind of arrangement should be applauded, and other means of approaching self-sufficiency should be explored.

The safe bet is that the federal gravy train is running out of fuel, so alternate routes toward funding are essential.