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Personal Message

2008 Legislative Session Delivered Mixed Results

While there were some bright spots in the 2008 Legislature, this session will be remembered more for its missed opportunities, and there are several examples.  

For one, only half of the $50 million our Administration proposed to build affordable homes for our residents was approved.

And as of June 30, there are no funds from the conveyance tax for rental housing support because the Legislature failed to extend the deposit of the tax into the rental housing trust fund.

Even a simple improvement – encouraging private investment in affordable housing through accelerated tax breaks – died in the final days of the 2008 Legislature, which ended May 1.

Additionally, the Legislature made the conscious decision of taking $22 million in social service funding away from our neediest residents.  These programs are funded by Temporary Assistance for Needy Families (TANF) federal dollars.

This unnecessary budget restriction will significantly reduce TANF-funded community programs statewide that are successful in connecting needy parents with employment, promoting positive youth development, assisting at-risk children and helping form and maintain two-parent families.

Now, more than ever, these federal TANF dollars should be put to work in our communities where they will do the most good - rather than sit idle in a reserve account.

On top of all that, the Legislature failed to act on $102 million in tax relief for Hawai‘i’s families, but instead passed a token $1 per person tax credit.

This was unfortunate, given that the state budget can accommodate meaningful tax relief. In December 2007, our Administration presented a six-year balanced budget to the Legislature that included $102 million in targeted tax relief for Hawai‘i families.

Conversely, some good news did emerge from the session. Chief among them was the passage of our Administration’s Harbors Modernization Plan, which calls for the upgrade and expansion of Hawai'i's commercial harbors over six years. These long-overdue improvements are critical because 98 percent of our state's imported goods pass through Hawai'i's harbors. That volume is expected to increase as much as 27 percent in 2010.

The Legislature also approved our Administration’s proposals to increase renewable energy and reduce Hawai'i's dependence on oil. The Governor signed into law a bill to expedite the permitting of renewable energy facilities, and an energy facilitator position was created to assist with the permitting process. These bills support the Hawai‘i Clean Energy Initiative.

The state’s natural resources will gain increased protection from legislation that increases fines for damaging the environment and encroaching on conservation land, as well as expediting removal of ground vessels and saving important agricultural lands from urbanization.

While we appreciated the Legislature’s support of these proposals, we hope next year’s legislative session will take a more serious look at fundamental issues such as energy independence, affordable housing, education and cost of living – issues in which we all have a stake.

Lt. Governor James R. "Duke" Aiona, Jr.


 

 

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