O'ahu sewer fees, already on a steady and steep rise, may go up even more to pay for critically needed repairs across the island, Mayor Mufi Hannemann warned yesterday.

But another new fee, a potential $10 a month levy linked to a curbside recycling plan, could be a harder sell for the mayor.

The garbage and sewer fee proposals were included yesterday in Hannemann's third annual State of the City address. The mayor made a passionate call for city officials and Honolulu residents to care for their island home, but he presented few new initiatives.

Instead, the mayor reiterated his commitment to breaking ground on a mass transit system by 2009, and recapped his administration's accomplishments — fixing potholes and upgrading the core city services that residents depend on.

And with last year's massive Ala Wai Canal sewage spill a sobering warning against neglect, Hannemann said his priorities are clear.

"There will be no pretty parks or neighborhood signs to show for this commitment to our largely unseen sewage infrastructure, but there can be no doubt about this: We are doing the responsible thing for our home, our Honolulu," he said before a crowd that packed the City Hall courtyard. The reference to parks and signs was a not-so-subtly concealed dig at the previous city administration led by former Mayor Jeremy Harris.

Hannemann, who faced daunting repair problems as soon as he took office in 2005, said he was determined to ensure that another sewage disaster "will never happen under any future mayor's watch."

Sewer fees are scheduled to rise 10 percent in each of the next four years, but Hannemann said that may not be enough to cover the needed repairs. He called for $350 million in sewer work in the fiscal year that begins in July.

Hannemann declined to specify how much sewer fees should increase, but said he would provide details when he unveils his proposed annual budget next week.

CAUGHT OFF GUARD

The idea of raising fees drew a lukewarm reaction from several City Council members, who said they looked forward to receiving more information.

"It's disheartening, but unfortunately I fear that we're going to have to do something," said Council Chairwoman Barbara Marshall. "We are just in terrible, terrible shape, with critical, critical problems. It's very sad."

She said Hannemann's plan to launch a curbside residential recycling pilot program — possibly in the Windward district she represents — caught her off guard.

Twice-weekly garbage pickup would be reduced to once per week, and weekly pickup of recyclables — alternating between green waste and household recyclables like glass, cans and newspapers — would be added. An optional second weekly garbage pickup would be available for a $10 monthly fee.

"I was startled and not pleased," said Marshall, who had shook her head as Hannemann made the announcement while she was seated near him on stage.

"I was not happy to hear him indicate that he wanted to start a program in my district to charge people for a second trash pickup," Marshall said. "I have fought that from the time I took office, and I am not in favor of that. Absolutely not."

Harris unsuccessfully proposed a similar plan in 2003 that would have charged $8 for the second garbage pickup.

Hannemann underlined that his plan was "far from definite," and could be launched in the Windward, Mililani or Hawai'i Kai areas.

Councilman Charles Djou, one of the administration's most vocal critics, said he hoped the recycling plan would work, but remained skeptical.

"For me, the highlight of the speech was the mayor seeming to dip his toes into doing curbside recycling: I think that's great," said Djou, who represents Hawai'i Kai and other East O'ahu neighborhoods. "Let's find a way to do it, and do it."

Djou said he had some reservations about Hannemann's plan.

"I am concerned he doesn't want to roll this out; he's going to put it in stages," Djou said. "I don't want to see this set up for failure, but I will work with the administration to do what needs to get done and make this happen, because I think it's important for our community to get curbside recycling."

Councilwoman Ann Kobayashi predicted difficulties, as with Harris' proposal.

"I think it will be a hard sell," Kobayashi said. "There was a lot of opposition. People said they would just leave rubbish by the side of the road."

But she applauded the push for more recycling and said it could help people reduce the amount of trash that's collected.

Kailua resident Paul Spriggs, a petroleum engineer, said he'd be willing to pay $10 extra a month as a way to boost recycling. "I'm a tree hugger," he said.

And he said living on an island, with only so much room for a landfill, recycling makes even more sense. "Ten dollars ... I think that's minimal for the benefit."

TAX BREAKS

Although Hannemann called for a new tax credit for homeowners of at least $200, and a lower tax rate for agricultural land, Djou said he had hoped for more extensive tax relief.

Djou said that most property taxes and vehicle fees had been increased in recent years. A one-half percentage point O'ahu surcharge on the state excise tax took effect this year to pay for the island's proposed mass transit project.

"I don't mind giving back to the public a nickel, but when you took a dollar, giving back a nickel is crocodile tears," Djou said. "I'd rather just not take the dollar in the first place."

Kailua resident Dan Brown, 64, said he's seen his property taxes on his house triple in the past three years and would hope that some of that money could be used to make improvements so that sewer fees wouldn't have to go up again.

"Nobody's looking forward to any increase in taxes for any reason," said Brown, a boat builder/plumber. He remains skeptical that throwing more money at sewer construction will speed up the improvements.

"I think we're dealing with typical government projects," Brown said. "Just because they have more money doesn't mean things get done faster or better. It's just they have more money and they seem to get done at their own speed."

Councilman Donovan Dela Cruz said he liked Hannemann's call to lower taxes on farmland.

"I want to make sure the tax break goes to those who are legitimate farmers who are working to keep agriculture alive," Dela Cruz said.

TRANSIT ISSUES

Hannemann's speech came a day after the council partially rejected the route Hannemann had chosen for the transit system.

Instead of running past Honolulu International Airport, the council tentatively voted for a route along Salt Lake Boulevard. A final vote is expected Tuesday. Hannemann did not mention the new route — a compromise that emerged to keep the project's first phase alive — and focused instead on longer-term plans that call for a transit route from Kapolei to Manoa.

Hannemann also announced that long-awaited plans for ferry service from Kalaeloa to Aloha Tower would begin in July.

Councilman Romy Cachola, who cast the swing vote on the transit compromise, said he supported the ferry plan.

"You don't have to build concrete, because the water is already there," he said.

Kobayashi credited Hannemann for a candid speech. "He talked about unpleasant things like raising the sewer fees," Kobayashi said. "He's very realistic and doesn't hide things. With finances, he's very upfront."

Hannemann already had won approval for an aggressive schedule of sewer fee increases: starting with a 25 percent increase his first year in office, then adding 10 percent more in each of the next five years.

City Environmental Services Director Eric Takamura said the increase outlined in Hannemann's speech yesterday will need to be more than the already established 10 percent a year, but he declined to say how much until next week's budget announcement.

Todd Apo, City Council budget chairman, said it's hard to argue against a fee increase dedicated to a key city function like the sewer system. "These are things that we have to do," he said.

Kobayashi said Hannemann probably has public support for the sewer improvements.

"We don't want what happened in the Ala Wai to ever happen again," she said.

Reach Robbie Dingeman at rdingeman@honoluluadvertiser.com and Johnny Brannon at jbrannon@honoluluadvertiser.com.