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The Honolulu Advertiser
Posted on: Wednesday, February 6, 2008

Proposal for UH repair fund advances in House

By Loren Moreno
Advertiser Staff Writer

A bill that would put 1 percent of the state's general revenues into an account to be used by the University of Hawai'i to repair and maintain facilities received initial approval yesterday from the House Committee on Higher Education.

The bill, which would set aside an estimated $50 million a year, was introduced this session after the issue of poorly maintained facilities took center stage with the departure of football coach June Jones.

While university officials support the bill, Gov. Linda Lingle's administration opposes it, calling it "poor fiscal policy."

"Program funding requirements should be reviewed on a statewide basis with resources being allocated to programs based on statewide priorities," Georgina Kawamura, the state's budget and finance director, said in written testimony.

However, university officials said the fund would be a separate funding stream that would allow the 10 UH campuses to begin to deal with their repair and maintenance needs.

"This bill is a proactive solution to our facility problem," said Carl Clapp, acting athletic director at UH-Manoa.

Clapp said the measure would make the facility problem "less expensive over time" as opposed to the current "reactive approach," which has allowed facilities to fall into disrepair.

UH-Manoa, the oldest and biggest of the UH campuses, is by far the most in need of repair money, with a backlog of about $400 million in deferred maintenance, said Manoa Chancellor Virginia Hinshaw.

Rep. Jerry Chang, chair of the House committee on higher education, said the UH repair and maintenance account would be in addition to money approved by the Legislature for repairs, maintenance and capital improvements.

"We're trying to do what we think is best to address the facility need of the UH system," Chang said.

There were some reservations about the bill in the Senate, where a similar measure has not been introduced, he said. "We're hoping that they will come around," Chang said.

PLUS $100 MILLION

In addition to the new repair and maintenance account, the university is requesting about $100 million in its capital improvement budget, which includes money for the individual campuses, and for Manoa's athletic offices, Cooke Field, Les Murakami Stadium and the Stan Sheriff Center.

The committee yesterday gave initial approval to those requests.

UH officials said they hoped that if the repair and maintenance account goes into effect, legislators would continue to fund capital improvements.

If approved, the bill would go into effect July 1 and would start with $50 million in bond funding and the first deposit of 1 percent of the state's general revenue.

The state would deposit the revenue at least every quarter, Chang said. The law would end after six years, he said.

The university could use the money for any repairs and maintenance, and the UH president would have to submit a financial statement outlining expenditures each fiscal year.

Reach Loren Moreno at lmoreno@honoluluadvertiser.com.