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The Honolulu Advertiser
Posted on: Wednesday, January 30, 2008

Stadium transfer to UH considered

By Treena Shapiro
Advertiser Government Writer

Nine years after then-University of Hawai'i Warriors football coach June Jones suggested it, the state Legislature is again considering transferring control of Aloha Stadium to UH in an effort to raise more money for the athletic department.

The proposal contained in House Bill 2429 cleared three House committees yesterday but faces an uphill climb after a state agency, the Stadium Authority, two unions and even the University of Hawai'i expressed concerns.

Some of these concerns, such as the security of civil service positions at the stadium, will be addressed in the amendment moving to the House Finance Committee.

Other concerns, particularly who would end up responsible for a backlog of repairs and much-needed refurbishment, are still up for discussion.

Linda Johnsrud, University of Hawai'i vice president for academic planning, said the university supports the concept of using the stadium to supply income for the athletic department and would be willing to own and operate the stadium for that reason. However, the university does not want to be responsible for repair, maintenance and capital improvement costs. "It's not economically feasible, and in fact, would be a detriment to the university," Johnsrud said.

FIX IT FIRST

However, Tony Guerrero, chairman of 'Ahahui Koa Anuenue, which raises money for UH athletics, said the state should take care of the upkeep of the stadium, then turn it over to the university with the intent of eventually raising enough revenue from the stadium to completely support the sports program.

"I think we all appreciate what happened in the last season," Guerrero said, referring to the Warriors' 12-0 season and first-ever invitation to play in a Bowl Championship Series game.

However, he added, "In order to continue success, we need better revenue sources."

Guerrero, a vice chairman at First Hawaiian Bank, said that in order to use the stadium to raise revenue, it needs to be run less like a government entity and more like a business. He pointed out that transferring management to the university would not mean that the stadium could no longer be used for high school sports, carnivals, concerts and the swap meet, one of the many issues raised during the hearing.

"Aloha Stadium doesn't merely service the University of Hawai'i," said stadium manager Scott Chan, who told lawmakers that only 13 percent of the stadium's $9.4 million in revenue comes from university events.

Stadium officials said about 60 percent of the stadium's revenue comes from the swap meet, and trying to increase revenue in that area by raising rates could have the unintended effect of driving vendors out.

CAPITALIZE ON SUCCESS

Meanwhile, state Comptroller Russ Saito told lawmakers it would be more effective to just give money directly to the university and not draw attention away from the stadium's need for repairs and a complete refurbishment for all users.

"This bill attempts to channel money to the UH program but offers no compelling reason why it should do so," he testified.

Rep. K. Mark Takai, D-34th (Newtown, Waiau, Pearl City), who supports the proposal, said he was glad that the issue was finally back on the table. Jones first suggested the proposal during his first year, 1999, yet it has only had a hearing once, Takai said.

According to Takai, seven of the 12 schools invited to the BCS games could raise twice the revenue of UH, and he suggested that stadium management could be tailored to capitalize on the football team's success. "It could be win-win-win all around," he said. "We just need to expand the box a little bit."

While only Rep. Barbara Marumoto, R-19th (Wai'alae Iki, Kalani Valley, Kahala), voted against the bill, several House members voiced strong reservations.

Rep. Cynthia Thielen, R-50th (Kailua, Kane'ohe Bay), for instance, asked whether giving UH the stadium would help, or just saddle the university with more debt and a bigger headache.

Rep. Hermina Morita, D-14th (Hanalei, Anahola, Kapa'a), meanwhile, suggested, "It might not be necessary to dismember the authority, but just change the rules under which they operate."

Reach Treena Shapiro at tshapiro@honoluluadvertiser.com.