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NEWS FLASH - BREAKING NEWS FROM MAUI COUNTY NEW FOR 2010: Maui TV News Breaking News stories are now being archived. Each month (or more frequently if needed) we will save an archive of all the Breaking News stories covered to date on this page. Now available: |
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NEWS FLASH - February 25, 2010 2:40 p.m. North Shore High Surf in Forecast Through Friday 1. EVENT: The National Weather Service in Honolulu has CONTINUED the HIGH SURF ADVISORY for NORTH FACING SHORES of MOLOKAI and MAUI in effect until 6:00 p.m. FRIDAY. A High Surf Advisory means that high surf will affect beaches in the advisory area producing rip currents and localized beach erosion. This will result in very dangerous swimming conditions and deadly rip currents. 2. EFFECTS: Surf along north facing shores of Molokai and Maui will reach 12 to 18 feet today. The surf will be subsidizing on Friday. Forecast surf heights are estimates of the height of the face or front of waves. A high tide of approximately 1.3 feet is expected between 12:06 p.m. and 1:24 p.m. this afternoon. The next high tide of approximately 2.8 feet is expected between 1:31 a.m. and 2:49 a.m. tomorrow morning. 3. PRECAUTIONS: BEACH GOERS ARE URGED TO STAY OUT OF THE WATER AND WELL AWAY FROM THE SHORE BREAK DUE TO THE HAZARDOUS WAVE ACTION AND STRONG RIP CURRENTS. 4. INFORMATION: Maui County Civil Defense will continue to monitor the situation. Please listen to your local radio and TV stations or NOAA Weather Radio for any updates. NOAA Weather Radio broadcasts can be reached by calling 1-866-944-5025. The NOAA Weather internet service can be found at www.prh.noaa.gov/hnl. Pre-recorded advisories and notifications are available 24-hours a day on the Maui County Automated Information System (AIS) by calling 986-1200. The same information is available on the Maui County website at www.mauicounty.gov. (Report Provided by Maui County Civil Defense) NEWS FLASH - February 25, 2010 11:50 a.m. County Residents Asked to Take Part in Disaster Preparedness Survey WAILUKU - The County of Maui Civil Defense Agency announced today that it is requesting the public to participate in the Maui Resident Disaster Preparedness Survey, which will be available until April 2010. The brief survey can be completed online and is found both on the County's homepage www.mauicounty.gov, and in the website's Civil Defense section (located under the "Departments" header). Results of the survey and community recommendations on disaster preparation will help the County improve their planning and preparedness strategy as well as play a role in seeking federal funding for mitigation actions. In order to respond to these disasters, the County’s Hazard Mitigation Plan has two main objectives: to prevent people and structures from harm and destruction and to reduce or mitigate the losses and disruption of disaster response and recovery. The survey is intended to augment the County’s scientific and engineering research on natural hazards with first-hand knowledge from members of the community. . For more information visit the County’s website at www.mauicounty.gov. (Report Provided by The Maui County Office of Information) NEWS FLASH - February 25, 2010 11:30 a.m. Kihei Aquatics Center to be Temporarily Closed for Maintenance and Repairs KIHEI - The County of Maui Department of Parks and Recreation’s Aquatic Division announced today that the Kihei Aquatics Center’s 50 meter and teaching pools will be closed for maintenance and repairs from March 2, 2010 to March 12, 2010. For more information call the County’s Aquatics Division at (808) 270-6135. (Report Provided by The Maui County Office of Information) NEWS FLASH - February 25, 2010 9:30 a.m. Solar Groups Protest HECO PV Moratorium Proposal Three of the state's largest environmental groups have joined solar photovoltaic installation firms in protesting a proposal by Hawaiian Electric Co. to block new installations of the systems on the Big Island, Maui, Lanai and Molokai. The Blue Planet Foundation, Earthjustice and the Hawaii Chapter of the Sierra Club said the proposal, filed by HECO at the state Public Utilities Commission, marks a "huge step backward" for the state's efforts to wean itself off imported oil. HECO said it wants a moratorium while the issue of how growing amounts of intermittent energy generators affects the reliability and stability of its grids. "Now is not the time to put the brakes on the clean energy industry, local jobs and customer choice," said Jeff Mikulina, Blue Planet Foundation executive director. (Report Provided by The Associated Press) NEWS FLASH - February 25, 2010 7:20 a.m. BOE Trims $37.7 M - 'Not Good Enough' Responding to a request from lawmakers to cut another 5 percent from its budget, the state Board of Education worked into the night identifying programs that could be trimmed. State Sens. Norman Sakamoto and Donna Mercado Kim requested in separate letters that the state Department of Education present a prioritized list of cuts that would add up to 5 percent of the public school system's general fund budget, or about $78 million. BOE members went line-by-line through a six-page spreadsheet of potential reductions that would add up to that $78 million amount. However, they were only able to agree on a total of $37.7 million — which they will send in response to the senators' letters — expressing concerns that deeper cuts would reduce or eliminate school-level programs or would otherwise leave schools with fewer dollars for the classroom. "We had a lengthy discussion on the negative impact of cutting our budget by such a large amount and the majority of the board decided that the $37.7 million was the most we could do without further adversely affecting schools and operation of schools," said Garrett Toguchi, chairman of the BOE. Hawai'i's public schools have already absorbed $269 million in cuts over this year and next, reductions that resulted in teacher furloughs that have cost students more than three weeks of class time. Acting Superintendent Kathy Matayoshi told board members any proposed cuts presented to the Legislature would be theoretical. "This is more than the schools and the department can bear," she said. "We know a lot of these programs have tremendous impact on the learning in the classroom. ... None of these things are great things to do. None of these." LETTER A 'TRAP' With the state still looking for ways to cope with a projected $1 billion deficit, lawmakers say more cuts may be needed in a number of state agencies, including the Department of Education. In a letter dated Feb. 11, Sakamoto directed the DOE to submit a report that would explain the impact of an additional $78 million in cuts. The report detailing where the $78 million in cuts would come from, included: • A cut of some $37.5 million from school-level funding, which school principals use to pay for teachers, counselors , librarians, custodians and other campus needs. • Reduction of $40.5 million from programs on the school or district level, including Peer Education, Learning Centers and alternative learning programs for at-risk students. • A 6 percent across-the-board cut to athletics, school food services, the A-plus afterschool program and adult education. Meanwhile, Windward O'ahu BOE member John Penebacker called Sakamoto's letter "a trap." He offered a motion, which eventually died, to ignore the request for a budget reduction proposal. He said the BOE should handle whatever lump-sum budget reduction that is made by the Legislature when it occurs. "The board was blamed for furloughs, but the furloughs were brought about by reductions and restrictions by the executive branch and the Legislature. The public will blame us again if we provide a list of programs to be eliminated by the Legislature, which may not happen," Penebacker said. 'GETTING SMASHED' O'ahu At-Large member Donna Ikeda argued that the board submit something to the Legislature, or else lawmakers will make arbitrary cuts that may not be in the best interest of students. "If you don't give specifics, then they will take whatever it is they want and we'll have to live with it," Ikeda said. But Ikeda said she felt she could not make an informed decision in a short period of time on some of the proposed cuts presented to them by Matayoshi and DOE's chief financial officer, James Brese. "We are not here just to make cuts. We are here to think about the impact of what we are doing on programs for kids," Ikeda said. O'ahu At-large member Eileen Clarke said she was concerned by the amount of money being proposed to come out of the "weighted student formula," which is the DOE's method of allocating money to school campuses. Under the plan to cut $78 million, about $37.5 million would come from a reduction in the weighted student formula, which amounts to a little more than 5 percent of the total amount allocated to schools. Already, the BOE had approved an $8 million reduction to the "weighted student formula" in July. "Was there any consideration to staying as far away from the programs and activities and supports that go directly to students?" Clarke asked. "The school level, it's getting smashed." Brese said if the DOE were forced to take a $78 million budget cut, it would be difficult for that cut not to affect schools and students. "If we had that magnitude of a cut — and our budget is primarily people, 87 percent of our full-time employees are at the school-level — the cuts to the schools are going to be pretty grim," he said. Reach Loren Moreno at lmoreno@honoluluadvertiser.com. (Report Provided by The Honolulu Advertiser) NEWS FLASH - February 25, 2010 6:45 a.m. House Beats Casino as Gambling Taken Off the Table The state House Finance Committee agreed last night to defer a bill that would have allowed a casino on O'ahu, as lawmakers discarded gambling as an option to help with the state's budget deficit. The committee also has decided not to hear a bill that would allow casinos on Hawaiian home lands, so lawmakers will likely not move any closer toward legalized gambling this session. Hawai'i and Utah are the only states that do not permit some form of gambling. House lawmakers, interested in hearing ideas for new revenue, had moved the two casino bills through preliminary committee review. But opposition from law enforcement, business leaders, social service providers and religious groups made it difficult for lawmakers to proceed. The state Senate also was not inclined to advance the casino bills. State Rep. Marcus Oshiro, D-39th (Wahiawa), the chairman of the House Finance Committee, said he wanted some of the newer lawmakers to hear the debate since it has been a decade since the state Legislature had looked carefully at gambling. Last night, Oshiro reached for the lyrics of country singer Kenny Rogers to help explain his decision. "You've got to know when to hold 'em. You've got to know when to fold 'em. You have to know when to walk away," he said. "And in this case, with the hand that we were dealt, it didn't make any sense moving ahead." Some critics have suggested that even allowing the gambling bills to get as far as the House Finance Committee created a distraction from the tools lawmakers will likely use to close the deficit. On Tuesday night, for example, the committee agreed to repeal a host of general excise and use tax exemptions for business activities and impose a 1 percent GET tax on these activities to generate $100 million a year. But Oshiro said it was worth having the discussion on gambling. "They got an opportunity to hear the pros and cons," he said of newer lawmakers. State Rep. Gene Ward, R-17th (Kalama Valley, Queen's Gate, Hawai'i Kai), said he does not believe people in the Islands are prepared for legalized gambling. "The last chips have just been taken off the table, from the Finance Committee point of view, and it's probably for the better," he said. GAMING REVENUE The bill deferred last night would have created a five-member gambling commission authorized to issue one five-year casino license on O'ahu. The state would have imposed a wagering tax on the casino, with the revenue going to the state's general fund and to help treat problem gamblers. John Radcliffe, a lobbyist who represents Mainland gambling interests, presented lawmakers with a new study that estimated a single casino would generate $469 million in gaming revenue, $162 million from local residents. PROJECT STUDY Off-site spending on goods and services would reach $311 million. The casino project could create as many as 14,065 jobs, including 3,660 at the casino. The study, prepared by Michigan Consultants for gambling interests, projected that the state would get $86 million a year in new tax revenue, with the largest amount coming from a casino gaming fee. Radcliffe said the state is losing millions of dollars each year as local residents spend money on illegal gambling in the Islands or travel to Las Vegas and other gambling destinations. "One of our biggest exports is money out of our state," he said. But deputy attorney general Lance Goto said a casino would divert money that tourists and local residents spend on businesses and attractions, would tarnish the state's image as a place for outdoor recreation and cultural heritage, and increase crime and other social ills. Coline Aiu, a kumu hula, told lawmakers that gambling would contribute to the death of local culture. "The future of our children should never be mortgaged for a quick fix," she said. Reach Derrick DePledge at ddepledge@honoluluadvertiser.com. (Report Provided by The Honolulu Advertiser) NEWS FLASH - February 24, 2010 7:20 p.m. Mayor Tavares Praises Legislature for TAT Decision MAYOR CHARMAINE TAVARES COMMENTS ON THE HOUSE FINANCE COMMITTEE DECISION TO CONTINUE SHARING TAT REVENUE WITH COUNTIES: “This is great news and I thank members of the House Finance Committee for their careful deliberation and unanimous vote,” said Mayor Tavares. “The support of the House Finance Committee was crucial. It’s the first step towards ensuring that Maui County will be able to retain its share of Transient Accommodations Taxes (TAT). I appreciate the work that Finance Committee Chair Marcus Oshiro and members of his committee, which included Maui Representatives Gilbert Keith-Agaran and Kyle Yamashita have done. If the counties’ share of the revenue generated on our islands by the hotel room tax is kept by the state, the impact would be serious. The Finance Committee’s decision is acknowledgment that continuing the partnership between the state and counties is vital. I’m
especially grateful and proud for what the people of Maui County
have done to help our cause. Testifying, sending letters to our
legislators and helping to get the word out can often make a difference. Our Maui legislators already know the importance of keeping the TAT revenue, but we need to help the legislators that aren’t from Maui County know this too. We’re facing a shortfall of over $50 million in next fiscal year which starts this July, so as my administration works hard to keep it from going from an already difficult economic situation to one that could be much worse. Keeping our share of the TAT is essential.” (Report Provided by the Maui County Office of Information) NEWS FLASH - February 24, 2010 1:10 p.m. Whole Foods Opens Maui Location - Boasts of Local Vendors KAHULUI, HI (February 24, 2010) – Whole Foods Market Kahului opened its doors to the public for the first time at 9 a.m. this morning to a crowd of excited shoppers. Morning festivities kicked off with Whole Foods Market’s traditional bread breaking ceremony, food and product samples by local vendors as well as demonstrations. The first 200 shoppers to spend $50 or more were also treated to a Whole Foods Market Kahului exclusive reusable tote, with a fresh Maui Gold pineapple inside. “We have been looking forward to joining the Maui community for many years and are so excited to be here and celebrate this day with our shoppers,” said Ray Stockton, Whole Foods Market Kahului, store team leader. “Whether you are a first-time customer or a long-time patron of Whole Foods Market, we look forward to seeing you at our new Kahului store and providing all of our shoppers with the level of excellence and service that our brand is known for.” In celebration of its grand opening, the store has planned a number of community events for local shoppers throughout March, including Whole Foods Market’s signature Value Tours, starting on Sunday, February 28 -- which offers useful tips to help customers shop for nutritious foods on a budget -- and Health Starts Here Consultations, starting on March 5, which allows shoppers to enjoy a free 15 minute consultation with insight into nutritional needs and tips on how to get or stay healthy. Reservations are required and can be made via email to spmmm-marketing@wholefoods.com. “Whole Foods Market is committed to the Hawai‘i market and providing our loyal shoppers with access to the highest-quality produce available and a great selection of local products,” said Patrick Bradley, Whole Foods Market president of the Southern Pacific Region. On Wednesday, March 3, stock up at Whole Foods Market to support The Maui Farm, during the store’s first Community Support Day. Five percent of the store’s net sales from that day will be donated to The Maui Farm to help the local nonprofit nurture individual and family self-sufficiency through farm-based, family style residential programs. For additional information on Whole Foods Market’s Kahului store, please visit www.wholefoodsmarket.com/maui/ or call (808) 872-3310. To keep up-to-date on the latest store news and sales, follow Whole Foods Market Kahala on twitter at www.twitter.com/wfmkahului. (Report Provided by The Bennett Group) NEWS FLASH - February 24, 2010 11:40 a.m. Power Outage at Haleakala Saturday Will Affect Facilities The Summit District at Haleakala National Park will have a power outage due to scheduled repairs. The outage will occur Saturday February 27 from 8:00 am – 2:00 pm. As a result the only operational bathrooms will be at the Headquarters Visitor Center (7000’). The visitor center at the summit will not have restroom facilities available. There will be no credit card sales in the bookstore during this time. The main phone line will be down. Anyone wishing to contact the park should call 808-572-9875. Thank you for your patience during this scheduled maintenance. The park should resume normal operations by Saturday afternoon. (Report Provided by Haleakala National Park Service) NEWS FLASH - February 24, 2010 11:30 a.m. Special Election to Replace Abercrombie Set for May 22 The state Office of Elections has tentatively set May 22 for a special election to fill out the remainder of U.S. Rep. Neil Abercrombie's term in Congress. Abercrombie, D-Hawaii, is resigning on Sunday to return to the Islands and campaign full time in the Democratic primary for governor. Former congressman Ed Case, state Senate President Colleen Hanabusa and Honolulu City Councilman Charles Djou have said they would run in the special election. The victor of the winner-take-all special election would fill out the remaining months of Abercrombie's term, which ends in January 2011. The three candidates have also said they plan to run in the September primary and November general election to replace Abercrombie in Congress. The date for the special election was included in an invitation to bid for vendors interested in providing voting equipment. Scott Nago, the state's chief elections officer, said he would likely issue a proclamation calling the special election in late March, after the bids are reviewed. The state needs new voting machines for the special election because of legal challenges to the voting machines used in the 2008 elections. (Report Provided by The Associated Press) NEWS FLASH - February 24, 2010 9:10 a.m. Foie Gras Ban Bill Dies in Senate State senators have killed a measure that would have banned foie gras, a popular delicacy in French cuisine. The bill was deferred in the Senate Judiciary Committee Tuesday. Animal rights activists had sought the ban because they oppose the practice of fattening the livers of ducks and geese by force-feeding them through a metal tube or pipe placed into their throats. But cooks and chefs said animals aren't treated cruelly. They say ducks and geese don't have a gag reflex. California has a foie gras ban that goes into effect in 2012. (Report Provided by The Associated Press) NEWS FLASH - February 24, 2010 7:20 a.m. Hawai'i Economy Recovery Starting - Slowly Hawai'i's economic difficulties may be abating, with the state saying there are signs that certain sectors may hit bottom this year and start a slow recovery from the downturn. The state Department of Business, Economic Development and Tourism released an updated economic forecast yesterday that calls attention to a possible end of the economic malaise. "We're approaching or at a bottom for the recession in a number of areas," said Bob Shore, acting head of DBEDT's research division. "We are starting to see visitor arrivals strengthening; the decline in visitor expenditures and daily visitor census are very narrow now." The state has been looking for some relief from economic deterioration that began in 2008 and has seen several prominent companies go out of business, while bankruptcies jumped and unemployment reached highs not seen in three decades. Economic forecasts over the past six months have projected that a recovery will begin to take hold this year, though it will be a faint one. They envision the state taking a couple of years to return to more normal economic conditions. "The recovery starts to take root this year," Shore said, explaining that a little more optimistic tourism numbers, along with more encouraging national and international news made for a slightly better outlook for the state. But he said a basic view that the recovery will be gradual remains. The broadest measure of economic activity forecast by the state is that of gross state domestic product adjusted for inflation. In 2009, real gross domestic product contracted by 0.7 percent, an indication that the state was in the grips of a recession. The latest forecast has been revised from one released in November to show that activity will rebound with a 0.9 percent increase this year. That's 0.1 percentage points better than previously expected. This will continue to improve in 2011, when growth of 1.4 percent is expected. "Hawai'i's economy is expected to continue seeing more positive signs of stability into 2010, the beginning of recovery in some sectors, and modest growth by 2011," the report said. TOURISM GROWTH The improved outlook mostly rests with higher numbers for tourism, which according to a First Hawaiian Bank report, accounts for as much as 40 percent of the state's economy. DBEDT said visitor arrivals should rise this year after 2009's decline, with even greater growth occurring next year and in 2012. Perhaps more crucially, visitor expenditures that fell by more than one-tenth last year are forecast to come back with a 2.3 percent gain in 2010. That was a revision from the prior projection of no growth this year. Construction, another pillar of the state's economy, continues to decline. But DBEDT said there are signs the slide may be abating, with building permits — a sign of future activity , rising slightly in the fourth quarter. Jobs also continue to be a concern for the state into this year, with a third straight year of losses forecast. Shore said jobs typically lag recoveries because employers put off hiring for several reasons, including wanting to make sure there's been an upswing before taking on more workers. He said some companies may also have more staff than work to go around for now, and that as the recovery takes hold these people will become busier. "Generally they'll be a little cautious about expanding the labor force until they have the revenue stream to support that in the long run," Shore said. TEPID INCOME GAINS The forecast also includes a little improvement for pocketbooks, with inflation-adjusted personal income projected to remain flat this year after two years of declines. Next year there will only be tepid gains, with the income rising just 0.8 percent, in part because inflation is now rising a bit faster than previously expected. Shore noted the projections are just that — forecasts that can change subject to unforseen events. As such, better or worse news about the national and international economies could affect the state and its tourism industry. "While the signs that Hawai'i has probably reached a bottom in the current recession are increasing, that stability is also subject to the course of events on the national and international economic levels," the latest report noted. "Moreover, reaching a bottom is far from a full recovery, and that is likely to be a very gradual process over the next several years." Reach Greg Wiles at gwiles@honoluluadvertiser.com. (Report Provided by The Honolulu Advertiser) NEWS FLASH - February 24, 2010 6:40 a.m. Akaka Bill Passes in House - Senate Future Uncertain WASHINGTON — Following passage in the House yesterday, the fate of the Akaka bill now rests with the Senate, where the outcome is much less certain. The House approved the bill that would grant federal recognition to Native Hawaiians, which could empower them to create their own sovereign government and give them a greater voice in the use of their valuable ancestral lands. House members voted 245-164 to approve the Native Hawaiian Government Reorganization Act. It is the third time since 2000 that the House has approved similar legislation. However, the legislation has died in the Senate in the past, and no vote has been scheduled so far this year. Still, bill author Sen. Daniel Akaka, D-Hawai'i, took a moment yesterday to enjoy the victory in the House. "The passage of the Native Hawaiian Government Reorganization Act is an important milestone for all the people of Hawai'i," Akaka said. "We have a moral obligation, unfulfilled since the overthrow of Queen Lili'uokalani, that we are closer to meeting today." Democrats wanted to ensure that the bill passed before Rep. Neil Abercrombie, D-Hawai'i, leaves Congress at the end of this week to run for governor. "It is the culmination of a legislative lifetime for me," Abercrombie told his colleagues as he urged their support for a bill he has worked on for more than a decade. Rep. Mazie Hirono, D-Hawai'i, said it's time for Native Hawaiians to have the same right as American Indian tribes to govern themselves. "How we treat our native indigenous people reflects our values and who we are as a country," she said. But opponents said comparing Native Hawaiians to Indian tribes is a flawed analogy. "It's absurd," said Rep. Tom McClintock, R-Calif. "Indians were conquered by force and extended by treaty certain lands. They didn't vote to join the union as the people of Hawai'i did by a margin of 17 to 1." The bill, McClintock said, would create a situation in which Hawai'i "would have two different sets of rights with two separate government entities based on race." GOVERNOR'S CONCERNS Rep. Doc Hastings, R-Wash., said Congress should not pass the bill over the objections of Hawai'i Gov. Linda Lingle. Lingle objected to language that grants governing authority to Native Hawaiians before — instead of after — negotiations with the federal and state governments. "We're going to divide the state of Hawai'i, based solely on race, and we're going to impose this on the state regardless of the objections of the state's governor," Hastings said. Akaka said the bill protects the interests of all the state's residents. "The bill passed today specifically says 'members of the Native Hawaiian governing entity will continue to be subject to the civil and criminal jurisdiction of federal and state courts,' " Akaka said. "The native governing entity cannot regulate non-Hawaiians. The native governing entity will need to enter into negotiations with the state of Hawai'i and the United States, and all three parties will want to be in good standing and comply with existing law. Any agreements on transfers of authority or land will require the approval of the state Legislature." 'OPTIMISTIC' ABOUT SENATE The House vote comes two months after the Senate Indian Affairs Committee approved the bill, clearing the way for a vote in the full Senate. "I am optimistic about bringing the bill to the Senate floor this year," Akaka said. Previous attempts to pass the bill in the Senate stalled when supporters were unable to attract the 60 votes needed to overcome a Republican filibuster. But supporters of the bill say they may have just enough votes this time. BACKED BY OBAMA Democrats and Democratic-leaning independents make up 59 votes and are expected to back the bill. In addition, at least one Republican, Sen. Lisa Murkowski of Alaska, supports the legislation. President Obama, who grew up in Hawai'i, reiterated his support for the bill yesterday. The president "looks forward to signing the bill into law and establishing a government-to-government relationship with Native Hawaiians," said White House spokesman Robert Gibbs. GNS reporter Erin Kelly can be reached at ekelly@gannett.com. John Yaukey of the Advertiser Washington Bureau contributed to this report. (Report Provided by The Gannett News Service) NEWS FLASH - February 23, 2010 8:20 p.m. State House Advances Fireworks Legislation HONOLULU. The House Judiciary Committee on Tuesday heard two bills relating to fireworks. One bill targets the importation and use of illegal fireworks and the other bill creates a fireworks task force SB1059
RELATING TO FIREWORKS An increase in the use of illegal fireworks has generated growing concern throughout the state. In testimony before the committee on Tuesday, state and local fire officials noted that illegal fireworks pose a fire and life-safety risk and danger to the public and enhanced enforcement strategies and cooperation between county, state, and federal agencies will be essential in addressing the issue. “The problem of illegal fireworks is complex” noted chair Karamatsu. "It's clear from the testimony presented to the committee that approaching this issue exclusively through increased enforcement will not be enough and we're hopeful that the taskforce will offer proposals that will prevent illegal fireworks from entering the state of Hawaii". The bill will go to the House floor for third reading. HB1987
RELATING TO FIREWORKS "We need to explore each of our options to reduce the amount of firework violations" said Chair Karamatsu. "From the testimony we've heard today, Illegal fireworks are obviously a source of concern for our residents. If using nuisance abatement is a means to effectively address these concerns, then it should be part of our overall effort." The bill was deferred until Thursday for decision making. (Report Provided by the State of Hawai'i, House of Representatives) NEWS FLASH - February 23, 2010 4:30 p.m. U.S. House Passes Akaka Bill - Again The Akaka bill was passed by the U.S. House of Representatives this evening by a vote of 245-164. The bill would give Hawaiians the right to form their own government, similar to American Indians and Native Alaskans, and negotiate with state and federal governments over land use and cultural preservation. Hawaiians would have the inherent power to govern prior to any negotiations, and any new noncommercial government activities, services and programs run by Hawaiians would not be subject to state or county regulation. It's the third time the bill has passed the House since it was first introduced in 2000. The bill must still be passed by the Senate, where it has run into roadblocks twice previously, before it can go President Obama for his signature. Obama's press secretary yesterday reiterated that the president will sign the bill if it is brought to his desk. The bill moved out by the House contains an amendment made by Rep. Neil Abercrombie, D-Hawai'i, which was made at the behest of the Obama administration. The language says Hawaiians have inherent power so they would be treated similarly to American Indians and Native Alaskans. Gov. Linda Lingle and state Attorney General Mark Bennett, who historically have supported the Akaka bill, object to the latest version, arguing that it would essentially create two sets of rules for Hawaiians and other state residents. Two other amendments offered by House Republicans failed. One would have required a vote of all of Hawai'i's electorate to support a Native Hawaiian entity. The other would have stated specifically that there would be no altering of federal or state laws as a result of the Akaka bill. White House press secretary Robert Gibbs said Obama "recognizes that Native Hawaiians are a vital part of our nation's cultural fabric, and they will continue to be so in the years to come." Gibbs' statement said that Obama support Abercrombie's amendment because "it adds important clarifications to craft a durable pathway forward." (Report Provided by The Associated Press) NEWS FLASH - February 23, 2010 4:10 p.m. Amended Akaka Bill Poised for Vote - Without Lingle's Endorsement The U.S. House could vote today on a new version of the Akaka bill, after Hawai'i's congressional delegation opted to move forward without the support of Gov. Linda Lingle. The Native Hawaiian federal recognition bill would give Hawaiians the right to form their own government, similar to American Indians and Native Alaskans, and negotiate with the state and federal governments over land use and cultural preservation. Hawaiians would have the inherent power to govern prior to any negotiations, not after, and any new noncommercial government activities, services and programs run by Hawaiians would not be subject to state or county regulation. The Obama administration insisted that Hawaiians have inherent power so they would be treated similarly to American Indians and Native Alaskans, but Lingle and state Attorney General Mark Bennett object because it would essentially create two sets of rules for Hawaiians and other state residents. "These clarifications represent a genuine effort to address the state's concerns while maintaining the original purpose of the bill: federal recognition for Native Hawaiians," U.S. Sen. Daniel Akaka, D-Hawai'i, the bill's main sponsor, said in a statement. "It is critically important that we continue to provide Native Hawaiians parity in federal policies enacted for our nation's indigenous people. This bill provides Native Hawaiians with an opportunity for self-determination and cultural preservation, while empowering them to be an equal partner with the state and federal government. 'HEAVY HEART' Akaka spoke yesterday with Lingle, who is in Washington, D.C., for the winter meeting of the National Governors Association, but they could not resolve their differences. Lingle, in a statement, said her opposition comes with a "heavy heart," because she has backed federal recognition for a decade. "I do not believe such a structure, of two completely different sets of rules — one for 'governmental' activities of the Native Hawaiian governing entity and its officers and employees, and one for everyone else — makes sense for Hawai'i," she said. Bennett said the state considered softening its opposition to the inherent power language, but could not agree to give up its authority to regulate health, public safety, welfare and the environment. While the new Hawaiian government would not control any land until after negotiations with the state and federal governments, Bennett said, it could function as a government and launch a range of noncommercial activities without any state or county oversight. Bennett called the new version "a formula for strife and litigation, not for negotiation and reconciliation." U.S. Rep. Neil Abercrombie, D-Hawai'i, is expected to amend the bill on the House floor today to substitute language in the new version. NO GAMBLING The new version would not make Hawaiians an Indian tribe — like a previous draft the state opposed — and, like earlier drafts, prohibits a new Hawaiian government from conducting gambling either in Hawai'i or on the Mainland. House Republicans are expected to offer amendments: one to require that Hawai'i voters approve the new Hawaiian government before federal recognition becomes operative; and another stating that a new Hawaiian government would have to comply with the equal protection clause in the 14th Amendment of the U.S. Constitution. House Democrats, who have a majority, will likely reject the Republican proposals and pass the bill with Abercrombie's changes. The House has twice passed versions of the Akaka bill since it was introduced in 2000, but the delegation has been unable to steer it through the U.S. Senate, where Republicans have used procedural tools to block it from advancing. Bennett said the Lingle administration would likely try to amend the bill in the Senate. Even with Lingle's strong support in the past, when the Republican governor personally lobbied Republican senators and President George W. Bush, the delegation has not been able to overcome GOP opposition. With the January special-election victory by U.S. Sen. Scott Brown, R-Mass., Democrats lost the ability to control the 60 votes necessary to break Republican filibusters and now have 59 votes. However, at least one Republican, U.S. Sen. Lisa Murkowski, R-Alaska, has supported the Akaka bill, so there is a chance the bill might move. 'TIME IS RIGHT' Akaka and others in the delegation have been optimistic the bill could pass this year and go to President Obama, who has said he would sign it into law. The Senate's makeup could change significantly after the November elections due to the number of open and competitive seats, so Hawai'i lawmakers want to act quickly. "We have worked for more than a decade on this piece of legislation and I would like to take a moment to thank Gov. Lingle and Attorney General Mark Bennett for working with our staff in such a timely manner," U.S. Sen. Daniel K. Inouye, D-Hawai'i, said in a statement. "We made significant modifications to this bill at the request of the state and I believe that it is stronger because of it. Although meaningful changes were made to address the governor's concerns, there remain issues that we could not resolve. "Today is a new day. We have a new administration, and this bill represents a new compromise in our goal of achieving self-determination for Native Hawaiians." Reach Derrick DePledge at ddepledge@honoluluadvertiser.com. (Report Provided by The Honolulu Advertiser) NEWS FLASH - February 23, 2010 4 p.m. Historic Firefighter Graduation Adds Specialists in Key Positions WAILEA, Maui, Hawaii— The County of Maui Department of Fire and Public Safety, together with the Hawaii State Department of Transportation, Airports Division, Aircraft Rescue/Firefighting (ARFF) Unit (HDOT-A), celebrated the graduation Friday of the County’s 27th Recruit Class, which included 11 County Firefighters and two State Firefighters. The graduation marked the first time in Hawaii that County and State Airport firefighters were trained and certified together. “This historic dual training and certification is the result of coordination between County and State Fire personnel, and it represents the first time in Maui County that a graduating recruit class also received Airport firefighter certification,” said Mayor Charmaine Tavares. “This additional certification, validated by both skills training and written examination, brings our department the increased recognition it deserves.” Graduating were County Firefighters Darrell Aea, Daryl Boeche, Jay Duquette, Charles Eckart, Michael Grimes, John Guard, Kaniauokahekili Kaaa, Nikolai Reuss, Ryan Short, Jack Smith and John Tualemoso, and State (ARFF) personnel Cresent Gumanas and Bryan Takeo. Award recipients were Ryan Short, “Most Outstanding – Overall,” for outstanding performance in all phases of training, including leadership ability and physical fitness; Charles Eckart, “Most Outstanding – Academically,” for maintaining the highest scholastic average for all course examinations; Kaniauokahekili Kaaa, “Most Outstanding – Functional Skills,” for demonstrating the highest competency in functional skills assessments; and class president Nikolai Reuss, “Ho`ulu Award – Firefighter Spirit,” presented in honor of the late MFD Captain Charles Iwata to the recruit who has demonstrated exceptional character, respect and heart toward others and the firefighter profession. “Under the leadership of Fire Chief Murray, the Maui County Fire Department has engaged in and continues to foster the ongoing successful working relationship and training opportunities with HDOT-A, creating a seamless approach to emergency preparedness and response in Maui County,” said State Airports Fire Chief Martinez Jacobs. “This partnership has upgraded Maui County’s emergency response capabilities and fire service training opportunities involving all emergency responders with the Maui District.” All Maui Fire Recruits received the following National Board on Fire Service Professional Qualifications Certifications as follows: NFPA 472 Hazardous Materials Awareness and Operational Level; NFPA 1001; Firefighter I and II; and NFPA 1003 Airport Firefighter. Future plans include an official Memorandum of Understanding (MOU), currently before the County Council for approval, and a joint training facility for both State and County firefighters that has been initiated by Maui District Airports Fire Chief Eugene Perry. The MOU will provide the operational requirements for conducting fire service certification training and validation, in accordance with National Board on Fire Service Professional Qualifications. The graduation was held at the Grand Wailea Resort Hotel & Spa. For more information, contact the Maui Fire Department Training Bureau at (808) 270-7565. (Report Provided by the Maui Country Office of Information) NEWS FLASH - February 23, 2010 2:05 p.m. DBEDT Forecast Shows Economic 'Thaw' This Year Hawai'i's economic freeze is expected to begin thawing this year, with improving national and international economies contributing to the start of a gradual recovery. That's the view of the latest state Department of Business, Economic Development & Tourism forecast, which says growth in tourism expenditures this year will help boost economic activity. The new report forecasts visitor spending will rise by 2.3 percent in 2010, or much better than then no-growth forecast it had previously issued for the state. The report also projects visitors will spend longer periods in the state and slightly higher state domestic product. It said real gross state domestic product will rise 0.9 percent, or 0.1 percentage points more than earlier projected. The report also said total wage and salary jobs will decline 0.9 percent this year, or the same as DBEDT's previous forecast. Inflation is expected to rise by 1.7 percent. DBEDT said it expects modest growth for 2011 and that the gradual recovery will likely continue through 2013 if no unforeseen events occur. (Report Provided by The Associated Press) NEWS FLASH - February 23, 2010 1:15 p.m. Informational Meeting on Plastic Bag Reduction Ordinance to Take Place Thursday WAILUKU, Maui, Hawaii—The County of Maui Department of Environmental Management announced today that an informational meeting on the Plastic Bag Reduction Ordinance will be held at the Wailuku Community Center on Thursday, February 25, 2010 at 3:00 p.m. Businesses, including restaurants and wholesale bag distributors who will be affected by the ordinance, which will take effect on January 11, 2011, are encouraged to attend. The meeting will be open to comments from attendees. For more information call the County’s Department of Environmental Management at (808) 270-7269. (Report Provided by the Maui County Office of Information) NEWS FLASH - February 23, 2010 9:25 a.m. Hawai'i Consumer Credit Card Debt Grows - Again Hawai'i consumers once again led the nation when it came to increasing their credit card balances, though remained among the nation's best in paying off their bills. A report released by TransUnion LLC, a major U.S. credit agency, found Hawai'i credit card holders increased their balances owed on credit cards to $5,893 in the fourth quarter. That was a 4.5 percent increase from a year before and represented the biggest balance increase in the nation, said Ezra Becker, director of consulting and strategy for TransUnion's financial services business unit. Hawai'i ranked similarly in Trans-Union's third-quarter report, which found the steepest increase in balances on a percentage basis occurred in Hawai'i compared with a year earlier. The latest report found the increase in the last quarter of 2009 went against the national trend. The average balances for the country shrank by 5.1 percent between the fourth quarter of 2008 and fourth quarter of 2009, from $5,729 to $5,434. But the report also showed Hawai'i credit card holders did well when it came to delinquencies, or the percentage of borrowers who are past 90 days due on at least one of their credit cards. Only 0.95 percent of them were delinquent statewide, ranking them 42nd highest among states and the District of Columbia. It compared with the national rate of 1.21 percent in the fourth quarter. "From a delinquency perspective, that's really good news," Becker said. "I don't see anything here that is dramatic or traumatic." He said the rise in balances here could be linked to higher expenses such as those for gasoline along with higher unemployment. Among other factors that can affect delinquency rates are how conservative credit card issuers are, including denying cards or higher credit limits to riskier customers. Demographics can also play a role. Becker said Hawai'i has an older population, and generally people have greater financial resources to weather economic downturns and have more equity in their homes as they age. TransUnion reported Hawai'i as having the ninth-highest credit card balances nationally. It said Alaska continued to have the highest statewide average credit card debt at $7,382. Tennessee was second at $6,823, while Alabama was third at $6,332. It said the lowest debt was in Iowa at $4,139. North Dakota ($4,318) and West Virginia ($4,448) were second- and third-lowest. The highest delinquency rate was in Nevada, at 2 percent. The lowest was in Alaska, at 0.67 percent. TransUnion prepared the report using anonymous credit card data from 27 million randomly sampled credit card files between October and December 2009. Reach Greg Wiles at gwiles@honoluluadvertiser.com. (Report Provided by The Honolulu Advertiser) NEWS FLASH - February 23, 2010 6:45 a.m. Governor Responds to HSTA Complaint STATEMENT BY GOVERNOR LINDA LINGLE ON THE HSTA PROHIBITED PRACTICES COMPLAINT (see story directly below): “The HSTA’s latest action proves once again that the union leaders care more about money than educating Hawai‘i’s children. Instead of accepting the generous offer of $50 million I proposed last November that will allow the immediate return of children and teachers to the classroom, the HSTA is spending their time on frivolous complaints. “It’s clear that the HSTA sees their chance to squeeze more money out of taxpayers slipping away as others in the community lobby legislators for portions of the limited Rainy Day Fund. “Their unwillingness to resolve the issue of returning children to school is evident by this most recent complaint that lacks substance and merit. This type of action wastes time and will further encourage legislators and the public to support a constitutional amendment allowing the next governor to choose the superintendent of education. “The HSTA’s legacy will be that money comes first; children come second.” (Report Provided by the Office of Governor Linda Lingle) NEWS FLASH - February 23, 2010 6:40 a.m. HSTA Files Complaint Against Governor for Furlough Interference The Hawaii State Teachers Association yesterday filed a complaint with the state labor board against Gov. Linda Lingle, claiming she "willfully and unlawfully" killed the union's tentative agreement with the Board of Education to end furlough days for the current school year. The teachers union and state education officials agreed in late December to a plan to cut seven furlough days this year using $35 million from the state's "rainy day" fund, leaving 17 furlough days for the next school year. The governor rejected the plan and came back with one of her own to use $50 million from the rainy day fund to cancel 24 furlough days both this year and next. HSTA's complaint says Lingle did not have the legal authority to kill the original plan, and asks the Hawai'i Labor Relations Board to force the governor to fund their tentative agreement. Russell Pang, Lingle's spokesman, said the administration had not seen the complaint and would not comment. The union is arguing the governor's signature was not required for the supplemental agreement because Lingle had already approved the main contract with the HSTA. The authority to draft supplemental agreements lies with the Board of Education, but the governor is blocking the agreement by refusing to fund the plan, the union said. The HSTA also claims Lingle has been bargaining through the media and has been unwilling to compromise or bargain in good faith. Lingle's most recent plan to eliminate public school teacher furloughs was nearly identical to her original November plan. That proposal would have used the $50 million from the state's rainy day fund to cover salaries only for "essential" teachers and would have excluded several categories of instructors, including resource teachers and librarians. "The governor has never shown the slightest willingness to move off of her position," HSTA president Wil Okabe said in a statement. "Instead, the governor stubbornly clings to her mantra of allowing only 'essential teachers' to return to school and eliminating all planning days. Only the governor pretends these are workable solutions." HSTA and the Board of Education have said they are concerned the governor's plan would not fund the salaries for all school-level employees to return to work, including security guards, health aides, cafeteria workers and others. Union and education officials have estimated the DOE would face a $19.3 million budget shortfall under the governor's plan. That's even if teachers swap their planning days, without additional pay, as the governor is still suggesting. Education officials warned the shortfall would result in layoffs of 2,500 full-time employees, increased class sizes and loss of school-level programs. Reach Loren Moreno at lmoreno@honoluluadvertiser.com. (Report Provided by The Honolulu Advertiser) NEWS FLASH - February 22, 2010 4:40 p.m. UPW Inks New Agreement with Counties Through 2011 The United Public Workers have reached an agreement with the four county governments on a new collective bargaining contract that would go through June 30, 2011. Bill Brennan, spokesman for Honolulu Mayor Mufi Hannemann, said that a copy of the tentative agreement was sent to Gov. Linda Lingle's office this afternoon. There are both state and city workers who are members of UPW's Unit 1. Therefore, Lingle must also sign off on the agreement before it can go to the workers for a ratification vote. Lingle is in Washington, D.C., and is not expected back until tomorrow. The news was announced through a press release issued by the Hawaii Council of Mayors this afternoon. "After months of discussions, we're pleased that we've been able to put forth a new labor proposal for public employees represented by the United Public Workers," the statement said. "While the terms were not included in Governor Lingle's original public employer proposal to the UPW, we believe the state will find this to be a reasonable settlement that reflects the most recent position the governor communicated to us." Details of the agreement were not immediately available. The release added: ""We're grateful that the UPW recognized the need for shared sacrifices during a very difficult economic period and came to the table ready to collaborate on paring spending. The public is very dependent on the services provided by UPW members and we believe this agreement will ensure we can continue to fulfill our obligations." Further: "The mayors stepped up our involvement after talks between the state and UPW broke down late last year. We're very pleased that we were able to bring the parties back to the table and gain the cooperation of the UPW leadership throughout this process." UPW's Unit 1 consists of about 10,000 mostly blue-collar government workers including janitors and truck drivers. Unit 10, comprising primarily state prison, health care and emergency workers, reached an arbitrated settlement with the state in January. (Report Provided by The Honolulu Advertiser) NEWS FLASH - February 22, 2010 2 p.m. Akaka Bill Text 'Fine-Tuned' Prior to House Consideration Hawaii's Congessional delegation today released its final text of the Akaka bill, which it said includes clarifications addressing concerns by the state of Hawaii and members of the Native Hawaiian community. U.S. Sen. Daniel Akaka's office said the legislation was "fine-tuned in consultation between the Delegation and the White House, the U.S. Departments of Justice and Interior, and the Hawaii State Attorney General." The changes are designed to clarify the authority and powers of a Native Hawaiian governing entity prior to negotiations with the United States while ensuring that the final bill is legally sound and consistent with U.S. policy toward indigenous people and their native governments, Akaka said in a statement. Akaka's office said the House Committee on Rules will meet today at noon, Hawaii time, to determine a timeline for consideration of the bill on the House floor. There is currently no timeline for Senate consideration. The final text of the Akaka bill can be seen at: http://akaka.senate.gov/upload/Feb-22-2010-NHGRA-final.pdf (Report Provided by The Honolulu Advertiser) NEWS FLASH - February 22, 2010 11:55 a.m. Waters Off Hookipa Beach Park Closed Due to Shark Sighting PAIA, Maui, Hawaii-- The waters off Hookipa Beach Park on the North Shore of Maui are closed temporarily following a shark sighting, County of Maui Chief of Aquatics Mary Kielty reported. The beach park remains open; waters are closed at Hookipa, a popular surf spot, for one mile both north and south of the surf reef. The shark, estimated at a 12-foot tiger shark, was spotted at 11:15 a.m. approximately 150 yards from the surf break. Ocean access is expected to remain closed until 1:30 p.m. depending on any additional sightings. Signs have been posted in the area. (Report Provided by The Maui County Office of Information) NEWS FLASH - February 22, 2010 6:55 a.m. HECO Seeks Moratorium on Small Solar Installations Hawaiian Electric Co. is asking that homeowners and businesses that buy electricity from its utilities on Maui, the Big Island, Lana'i and Moloka'i be barred from installing new photovoltaic, or solar power, systems until more is known about their effects on the electric grids. Private photovoltaic systems can provide a home or business with all its energy needs and then send any excess power through the grid to other users. Hawaiian Electric told the state Public Utilities Commission earlier this month that it wants to suspend adding new photovoltaic systems to the grid because the growing number of renewable-energy systems poses a threat to the reliability and stability of its transmission system. It is asking the PUC to agree to the moratorium while a group is convened to study reliability issues. "We have long known we are approaching levels of instability in the system," said HECO spokesman Peter Rosegg. He compared the situation to a bus where the driver has no control over some of the power but must keep a constant 60 mph with only a gas pedal. At the same time, the driver must keep an eye on fuel efficiency and the safety of passengers while trying to keep the engines from dying. Rosegg said a consultant HECO retained brought up the issue of pausing the photovoltaic installations for the Hawaii Electric Light Co. on the Big Island and Maui Electric Co.'s operations on Maui, Moloka'i and Lana'i while more work is done to understand what it will take to add more of such power to the island grids. The filing said installations can continue on O'ahu, but that at some point, instability issues also will need to be addressed there. The proposals have stunned the state's photovoltaic installation firms and also cast doubt on the state's efforts to get 40 percent of its electricity from renewable sources by 2030. Operators of Neighbor Island solar companies say many will be driven out of business if photovoltaic installations are frozen. "This is literally going to put solar contractors out of business," said Mark Duda, head of the Hawaii Solar Energy Association. The companies are gearing up to battle HECO's proposal at the PUC and are seeking help from legislators and others. HECO's request comes less than two years after HECO signed an agreement with the state pledging to allow the amount of electricity from so-called distributed generation, or the kind represented in most rooftop photovoltaic systems, to reach at least 15 percent of peak electrical demand on any given circuit. At present, the utilities are at less than half that level on Maui and the Big Island. Solar firm operators said they believe having a study group delve into the issue may waylay the industry for years. "The real story here is the utility is trying to lay a basis for maintaining its discretionary decision- making over what all its generation sources are," said Erik Kvam, a photovoltaic project developer and consultant through his Zero Emissions Leasing LLC. "Basically, they're just trying to maintain the status quo. They're really not taking the steps they need to accelerate renewable energy." HECO said it is continuing to accept the distributed generation projects onto its grid while the PUC mulls its request, and that it is negotiating the purchasing of power from two new wind farms on Maui and two biomass power plants on the Big Island, as well as more power from the Puna Geothermal Venture. "What is being recommended is that we defer adding even more of the variable renewable — wind and solar — for the time being until we can ensure they can be added without causing reliability problems on the Maui and Big Island grids, or without causing negative impacts on existing renewable projects," Rosegg said. In its filing at the PUC, HEI said that MECO and HELCO are on the leading edge of integrating renewable energy technologies, with close to 40 percent on their grids coming from large energy projects and distributed generation, mostly in the form of photovoltaic systems. The photovoltaic falls into the category of being a variable power producer, meaning it does not produce power 24 hours a day, seven days a week. Such systems can fluctuate when clouds and storms appear. Moreover, the utilities said, they can't monitor the output of the many photovoltaic systems and have no control over their production. The utilities argue there is now potential for systems to rise or fall below the 60 hertz (60 cycles per second, the standard for general 110-volt alternating-current electric power in the U.S.) or for circumstances to arise for the power to fall off the system and bring down the entire grid. HECO also argues that power produced by the photovoltaic systems can displace electricity production from other renewable providers, such as large wind farms, with better system and cost benefits. At present, distributed energy production accounts for 4.7 percent of peak demand on the Big Island and 2.9 percent of the peak on Maui. HELCO has projected the number of distributed generating installations will boost the level to 8.8 percent this year, while MECO also projects gains. "Without implementing measures to further address the overall impacts for all island systems ... additional distributed resources that are coming online have a high likelihood of causing adverse reliability impacts," the HECO filing said. HELCO said that several power failures occurred last year that would not have taken place or would have been smaller in scope if there were not the same amount of photovoltaic installations on the system. "But the larger number of PV systems is resulting in some customer outages due to the effect of distributed PV tripping offline during system disturbances," Rosegg said. The solar companies agree that there is a point at which system instability will occur. But they don't think the utilities are anywhere near that level now, and they add that most of the power generated by photovoltaic system owners is used by them, whether it be homes, stores or warehouses. "At this point, we're starting to get pushback from the utilities at a fairly low level," said Rick Reed, president of Inter-Island Solar Supply. "For the state to get where it needs to go with renewable penetration and a lot less oil, there has to be access to the grid." The filing by HECO is of concern to state officials, who have a goal of getting 70 percent of energy from sustainable sources by the year 2030, 40 percent of this coming from renewable generation and 30 percent from energy efficiencies. Ted Peck, head of the state's energy efforts, said the issue being raised by HECO needs to be addressed at some point, and that the National Renewable Energy Laboratory has set aside money to work with the state on quantifying acceptable levels. "It's important to realize that this (HECO's PUC filing) is just a proposal," Peck said. He said the state is committed to working with various parties to find a solution that works for everyone while driving toward the goal of greater renewable energy. "Making it a huge political issue at this point is counterproductive. There's a lot of collaboration around this issue that needs to come." Reach Greg Wiles at gwiles@honoluluadvertiser.com. (Report Provided by The Honolulu Advertiser) NEWS FLASH - February 21, 2010 8:15 a.m. 'Cash for Clunkers' - Refrigerator-Style May Be Next Cash for Clunkers version 2.0 — the energy-efficient appliance rebate program — is gradually getting rolled out around the country to distribute $300 million in federal stimulus money to consumers buying a variety of large appliances. In Hawai'i, the program will have a limited scope, applying only to refrigerator purchases made once the program begins, which is estimated to be in April. Local consumers statewide who replace and recycle a refrigerator with a qualified Energy Star model for residential use will be eligible for a $250 rebate under the program customized by the state. The rebate amount is five times that of a long-running rebate on energy-efficient refrigerator purchases on O'ahu and Kaua'i funded by local utilities. Several other details of the federal program — such as the process for recycling old refrigerators, which refrigerators qualify and how consumers may apply for rebates — will be announced closer to when the program begins. Some local consumers may be surprised or disappointed that more appliances weren't included in the program. However, smaller rebates for a variety of appliances are presently available under a long-running state energy-efficiency program, though participation varies by county. The federal rebate program in Hawai'i was crafted to make a big impact on energy use while keeping the program easy to operate, according to state energy administrator Ted Peck with the state Department of Business, Economic Development and Tourism. "Next to water heaters, refrigerators have the biggest impact on energy consumption in the home," he said. About $1.1 million from the federal program is available for distribution to Hawai'i consumers, or enough money for rebates on 4,450 refrigerator purchases. The program's parameters in Hawai'i are unique because the federal Department of Energy, which announced the appliance stimulus project in July, instructed each state to shape their own plans in terms of rebate levels, qualifying appliances and other details. The setup differed from the original Cash for Clunkers program that provided rebates for buying more fuel efficient automobiles under standards set by the federal government. Compared with other states, Hawai'i is on the extreme side in terms of what appliances qualify, but isn't as restrictive as some other states imposing other requirements. According to the Department of Energy, only one other state — North Dakota — limited its program to only one appliance, also refrigerators. Two states, Oregon and Washington, had only two appliances in their programs. Most states included at least four appliances. The state with the most eligible appliances was Wisconsin with 17, including six types of water heaters. Rebate values vary widely by state. Some states also added restrictions on who can qualify, such as low-income residents. For instance, Oregon's program offers a 70 percent discount off gas furnaces or air source heat pumps priced up to $2,000, or a maximum rebate of $1,400, but is limited to resident homeowners earning no more than 60 percent of the state median income. In Delaware, all local consumers are eligible and can receive up to two rebates that range from $25 on room air conditioners to $200 on water heaters. The program in Kansas requires that the appliance being replaced must be at least 10 years old, and limits the rebates that range from $200 for a room air conditioner to $800 for a clothes washer to residents earning no more than 75 percent of the state median income. Only a few states have launched their rebate programs to date. Most begin in March or April. In Hawai'i, DBEDT elected to have two companies that administer existing state appliance rebate programs to manage the federal program after approval from the agency and the Public Utilities Commission. On O'ahu, Maui, Moloka'i, Lana'i and the Big Island, the program will be operated by contractor SAIC, or Science Applications International Corp. On Kaua'i, the nonprofit owner of the electric utility there, Kaua'i Island Utility Cooperative, will run the program. About 10 percent of the $1.2 million federal grant, or $123,600, may be spent to administer the program. Hawai'i received $1.2 million based on its percentage of the national population. California is receiving the most money, $35.3 million. DBEDT projects that the environmental benefit from the program will be 1.6 kilowatt-hours of electricity and 1,322 metric tons of carbon dioxide emissions saved annually. The agency also expects 13 jobs will be created because of the program. In addition to the federal appliance rebate, the state has received federal stimulus funding to enhance rebates for solar water heaters and to add more money to the state appliance rebate program that's funded by utility rate payers. Under the state rebate program, rebate amounts, county participation and purchase dates vary. For instance, a $40 to $70 rebate for high-efficiency water heaters is presently available on O'ahu, Maui and the Big Island for major public utility customers. Rebates ranging from $40 to $110 on high-efficiency ceiling fans, clothes washers, dishwashers, air conditioners and refrigerators are available only on O'ahu to Hawaiian Electric customers. The refrigerator rebate is $50. On Kaua'i, public utility customers are eligible for $50 rebates on clothes washers bought from May to June, and on dishwashers bought from August to September. Kaua'i's $50 rebate on refrigerators typically running from February to March was suspended because of the federal program. Reach Andrew Gomes at agomes@honoluluadvertiser.com. (Report Provided by The Honolulu Advertiser) NEWS FLASH - February 21, 2010 6:55 a.m. High-Tech Mini-Subs May Be Based in Hawai'i The Advanced SEAL Delivery System based in Hawai'i was supposed to be the first in a fleet of high-tech minisubs that were to cost $80 million apiece, ride attached to a larger attack submarine, and deliver commandos undetected into harbors. Instead, the Northrop Grumman effort spiraled to more than $885 million, with only one sub built. A November 2008 fire as a minisub's batteries were recharging provided the death knell to the troubled program. But where others saw embarrassing failure, Brett Phaneuf saw commercial opportunity. Phaneuf's company, Submergence Group LLC, which builds experimental submarines, thought it could build a better mousetrap, or at least a more economical minisub for Navy use. "We were told that it couldn't be done and it would cost hundreds of millions of dollars and we thought, 'Well, how hard can it be?' " he said. "So we decided to take a shot at it with our own money to try to see if we could crack it." Development took two years. The Navy liked what it saw, according to Phaneuf, president of Submergence Group, based in Chester, Conn. His 25-foot-long S301 mini-sub was moved last fall to Navy SEAL Delivery Vehicle Team One's facility on the Pearl City Peninsula, where the hulk of the much costlier Advanced SEAL Delivery System sub still resides. Development and production of the S301, capable of transporting two pilots and six divers, cost less than $10 million, Phaneuf said. He emphasized that the minisub is no replacement for the much larger and more complex ASDS, but it shows what's possible. "Essentially, what it is, is a technology demonstrator, to show that a small submarine could be built ... that would fit inside a dry deck shelter on a host submarine," Phaneuf said. SHIFTING TO HAWAI'I The minisub arrived as a demonstration project, but a federal notice posted Feb. 9 signaled the Navy's intent to lease the S301 for use in Hawai'i for up to a year longer. In the meantime, Submergence Group said that in several weeks it will move another of its subs, a 30-footer called the S201 that can dive to 1,000 feet, to Pearl City. Enough of Submergence Group's efforts are now being devoted to Hawai'i that Phaneuf closed its operations center in Virginia City, Va., and moved some of the staff to Pearl City Peninsula and will be hiring a few more. U.S. Special Operations Command at MacDill Air Force Base in Florida said in an e-mail that "knowledge gained from this lease will lower overall risk and program costs of future undersea mobility acquisition programs. Additionally, the S301 is a civilian submersible whose performance will be evaluated in order to determine the most economic and operationally sound way ahead for Naval Special Warfare short-range submersibles." In the wake of the ASDS problems, Special Operations Command is pursuing development of a Shallow Water Combat Submersible, a SEAL transport vehicle that would be launched from dry deck shelters mounted on larger attack submarines and require the use of scuba gear. Dry deck shelters are 38-foot removable compartments that allow SEALs access to the watertight module from a submarine via a hatch. Once SEALs are in the vehicle, the shelter is flooded and a hatch is opened, allowing the vehicle to exit while underwater. One of the reasons for the development of the ASDS minisub was to keep SEALs in a dry environment prior to a mission rather than expose them to the energy-sapping ocean cold for long periods in the SEAL Delivery Vehicle. BASE AT PEARL A 2009 federal notice for the development of the replacement Shallow Water Combat Submersible said the vehicle must be capable of transporting SEALs for up to 12 hours while they breathe from scuba gear. Naval analyst and author Norman Polmar said he thinks the Navy eventually has to again go the minisub route for SEAL insertion. "I would say yes, because you really want a system that you can put on a submarine, take 2,000 miles, and have it clandestinely launch from the submarine and take four or six guys into a harbor or somewhere," Polmar said. A new $47 million compound for SEAL Delivery Vehicle Team One was completed in 2004 at Pearl City Peninsula with facilities for the 65-foot-long ASDS sub. At the time, the facility housed five Mark 8 Mod 1 SEAL Delivery Vehicles and three dry deck shelters, the Navy said. The Navy has two SEAL Delivery Vehicle teams. Special Operations Command said the Hawai'i unit has about 300 officers, enlisted members and civilians who are a mix of SEALs, combat support sailors and technicians. Phaneuf said the S301 minisub was built to civilian American Bureau of Shipping standards and not Navy requirements because a civilian research use might be found in the future. The 13-ton minisub can operate at greater than 600 feet, according to the company, and "lock out," or allow divers to enter the sea while submerged. It is powered by lithium ion batteries. Because the minisub is made to civilian standards, Submergence Group employees and not Navy divers operate it in tests in Pearl Harbor, Phaneuf said. The sub also is not used for testing in dry deck shelters on attack submarines, but Phaneuf said the S301 would fit inside, and he's having a dry deck shelter simulator fabricated to do underwater testing with the minisub. Phaneuf said the S301 testing is an opportunity for the Navy to learn how the commercial sector builds submarines. "It's a really good partnership because the government didn't have to spend a nickel to get this thing built," he said. Reach William Cole at wcole@honoluluadvertiser.com. (Report Provided by The Honolulu Advertiser) NEWS FLASH - February 20, 2010 6:30 p.m. Coast Guard Suspends Search for Missing Snorkler HONOLULU — The U.S. Coast Guard suspended the search today for Bryce Essler, a 20-year-old Canadian man first reported missing Thursday afternoon off Kaanapali, Maui. The Coast Guard notified his family and officially suspended its search, pending any developments, at approximately 6 p.m. The Coast Guard coordinated search pattern for 34 different search sorties by surface and air assets that combed a total search area of 2,714 square miles, a search area that would encompass the islands of Maui, Molokai, Lanai and Kahoolawe. The search area focused on a last-known position approximately 100 yards from the beach. Search and rescue planners used computer drift models which factor wind and sea currents and on scene conditions to produce a search area that was extremely focused. Since first arriving on scene at noon Thursday, the Coast Guard searched continuously with crews aboard rotary and fixed-wing aircraft, an 87-foot patrol boat and a 45-response boat. The Coast Guard coordinated closely with Maui Fire Department officials to scour an area triangular in shape and covering almost all the waters between Maui, Molokai, Lanai and Kahoolawe. The Coast Guard's senior-most officer responsible for the search, Capt. Barry Compagnoni, says he is confident the search area scoured yielded the most probable location for Essler. "It's heart-breaking when anyone is lost at sea," said Capt. Compagnoni, who talked with Essler's family earlier today and after deciding to suspend the search. "Our hearts and prayers go out to the family because suspending a search is probably the most difficult thing we do in the Coast Guard. But, in this case, we simply have no place else to look." Today, air crews aboard an HH-65 Dolphin rescue helicopter and a C-130 long-range search aircraft -- both from Air Station Barbers Point on Oahu -- were on scene. Crews aboard the Coast Guard cutter Ahi, a Honolulu-based 87-foot patrol boat, and a 45-foot response boat from Station Maui at Maalaea Harbor also assisted with the search. Members from the Coast Guard Auxiliary piloted an aircraft to assist in the search this morning and search plans were shared with Maui County Ocean Safety personnel to best cover near-shore areas. Searchers reported weather on scene today as light winds from the east-northeast at 10-12 knots and seas of one to two feet. Also assisting during the three-day search were rescue crews from the Maui Fire Department and MFD officials met frequently with Essler's family. (Report Provided by the U.S. Coast Guard) NEWS FLASH - February 20, 2010 9:15 a.m. $3M Helipad at MMMC Breaks Ground WAILUKU, Maui - Construction of a $3 million helipad officially launched Friday with a groundbreaking ceremony at Maui Memorial Medical Center. "This is a really, really great effort and a great day for Maui," state Sen. Roz Baker said during a 20-minute event attended by about 40 people. Maui Memorial Chief Executive Officer Wesley Lo said the helipad represents another milestone in the hospital's efforts to improve health care services for the county and state. Baker, who represents West and South Maui residents, said the helipad was something people would have liked to see done "sooner than later." She called the late state Rep. Bob Nakasone of Kahului and state Sen. Shan Tsutsui of Wailuku "true champions," who worked to ensure that state appropriations were approved for the helipad. The beginning of work on the helipad project comes as Maui Memorial has expanded its facility, including stroke intervention treatment, a new hospital wing with additional acute-care patient beds and the expansion of the facility's emergency room, Lo said. He said the helipad would serve the entire county. Patients flown to the hospital via the helipad will be placed on a motorized cart, similar to what professional football fans have seen used to haul injured plays off the field, Lo said. The helicopter service is for emergency interfacility transports and emergency scene traumas. A helicopter's crew is stationed in Kula and is picked up by a helicopter from Kahului Airport to respond to calls for help or transport. (Kula medics also operate a ground ambulance. If they cannot respond to a call for air transport, a crew from the Wailea ambulance station serves as a backup.) Once a patient is picked up and secured in the helicopter, it flies with the medical crew back to either the airport or the War Memorial field on Kanaloa Avenue, where a ground ambulance then crosses Kaahumanu Avenue and takes the patient to the hospital on Mahalani Street. That procedure will change after the helipad is constructed. Candice Lahm, the chief flight medic for American Medical Response, said her crew averages about five helicopter emergency flights a month. Officials estimate that as much as 10 to 15 minutes could be saved in patient transport time with the helipad situated on the hospital grounds. A patient's chances improve with quicker transport to the hospital. Lahm said another benefit is that the ground ambulances won't be tied up working with the chopper when patients can be transported directly to the Maui Memorial helipad. There are no current plans to station the helicopter or the crew at the hospital, but a shelled, unimproved space will be set aside by the helipad to accommodate a crew in the future if needed. Hospital officials said additional building requirements would have to be followed if a helicopter were stationed on Maui Memorial grounds. The helipad is expected to be completed by Central Construction in October. Reach Caludine San Nicolas at csannicolas@mauinews.com. (Report Provided by The Maui News) NEWS FLASH - February 20, 2010 7:15 a.m. Report Shows Foreclosures May Continue Upward A new mortgage industry report shows that more homeowners in Hawai'i fell behind on their loan payments last year, suggesting that foreclosures will continue to rise this year. The national Mortgage Bankers Association said yesterday that 7,535 residential property loans, or 4.5 percent of the loans statewide, were in foreclosure at the end of last year in Hawai'i, and that an additional 12,182 mortgages representing 7.3 percent of the market were delinquent but not yet in foreclosure. That means nearly 12 percent of Hawai'i homes are in foreclosure or threatened by foreclosure. "This is a continuance of where we've been heading in the recent past," said local foreclosure attorney Marvin Dang. Some industry observers say most of the foreclosures are occurring on Neighbor Island resort property snapped up by second-home buyers during the housing market bubble. However, foreclosures are also occurring, and increasing, in O'ahu neighborhoods, particularly on the 'Ewa Plain where expansion of inventory has been concentrated in recent years. Of the 7,535 loans in foreclosure at the end of last year, 1,809 entered foreclosure in the fourth quarter, the report said. These so-called foreclosure starts represented 1 percent of the market. Compared with other states and the District of Columbia, Hawai'i had the 14th highest percentage of foreclosure starts during the fourth quarter. The state with the highest rate of foreclosure starts was Nevada, at 3 percent of the market. Nationally, the average was 1.14 percent for foreclosure starts, which was nearly the same as Hawai'i's rate. The trade group's chief economist, Jay Brinkmann, said one set of data in the survey suggests that the nation's wave of foreclosures may be starting to end. That bright spot was the percentage of loans nationwide that are 30 days past due. The figure fell from 3.79 percent in the third quarter to 3.63 percent in the fourth quarter. It was the biggest decline for the period and only the fourth time since 1953 that the survey has recorded such a decrease. Typically, the quarter-to-quarter figure rises because of holiday spending and heating bills, the association said. "This drop is important because 30-day delinquencies have historically been a leading indicator of serious delinquencies and foreclosures," Brinkmann said in a statement. "It also gives us growing confidence that the size of the problem now is about as bad as it will get." At the national level, the Mortgage Bankers survey covers an estimated 85 percent of all outstanding mortgage loans, excluding second mortgages, on property containing up to four residential units. The data come from loans held by association members. Some observers believe Hawai'i is lagging behind in a housing market recovery under way in some other states because home sales and prices in other states crashed earlier and have improved along with foreclosure rates, while the Hawai'i housing market experienced a more moderate downturn that is only beginning to show signs of improvement. Continued weakness in the local economy that is heavily dependent on tourism is another factor. Reach Andrew Gomes at agomes@honoluluadvertiser.com. (Report Provided by The Honolulu Advertiser) NEWS FLASH - February 20, 2010 12:05 a.m. Lady Lunas Make History With State D-I Title Victory Lahainaluna became the first Maui Interscholastic League team to win a Hawaiian Airlines Girls Basketball Championship tonight, rallying past and then holding off defending champ Konawaena, 47-45, in a thriller before a vocal crowd of about 2,300 at Blaisdell Arena. The Lunas, believed to be the first Lahainaluna team to win a Division I state title in any sport, finished the regular and postseason at 17-0. "This is big for the program, big for the school, big for the community, big for our island," said Lunas coach Todd Rickard, who graduated from Lahainaluna in 1985 and has been coaching there for the past 15 years. "Look around and see all the people in red shirts who came out to support us ... We were hoping we wouldn't disappoint them, and we didn't." Konawaena (12-1) had won its first two state tournament games in 30-point routs and looked to be in control last night, leading 22-15 at halftime and 37-26 with a minute remaining in the third period. But Milika Taufa, the Lunas' 6-foot-3 senior post, answered with a layup and then scored seven straight points early in the fourth quarter to help Lahainaluna tie it at 37-37 with 5:38 left in the game. Taufa, who finished with 26 points, later scored six straight to put the Lunas ahead, 46-39, with 1:51 remaining. Anuhea Wall, who had 21 points, scored on back-to-back layups to close it to 46-45 with 1:10 left, but Konawaena turned the ball over with 17 seconds remaining on a pass that skipped out of bounds. Lahainaluna point guard Maiki Viela then sank one of two free throws with eight seconds left to make it 47-45, and Wildcats guard Lia Galdeira was fouled on the dribble near her own baseline with two ticks left. But since it was only the Lunas' third team foul, Konawaena had to take the ball out of bounds, and an entry pass was fumbled and lost under the basket as time expired. (Report Provided by The Associated Press) NEWS FLASH - February 19, 2010 2:55 p.m. Sidewalk Work Will Impede Kihei Foot Traffic Kihei, Maui, Hawaii – Construction of an ADA curb ramp near the Rainbow Mall and installation of a new 370 ft. sidewalk in front of the Hale Kamaole Condominium on South Kihei Road will affect pedestrians and motorists traveling in the area. Approximately one block of the South Kihei Road in both areas will be impacted. Alternating traffic during construction hours of Monday - Friday 8:30 a.m. to 3:00 p.m. will cause delays - motorists and pedestrians are advised to use alternate routes. The contract for $82, 508 was awarded to Maui Master Builders Inc. and work will begin Monday, February 22, 2010 and is scheduled to be completed by May 18, 2010. (Report Provided by The Maui County Office of Information) NEWS FLASH - February 19, 2010 2:45 p.m. Maui Fire Crews, Coast Guard Continue Search for Missing Snorkeler HONOLULU – The U.S. Coast Guard and Maui Fire Department continue to coordinate search efforts for Bryce Essler, a 20-year-old Canadian man last seen Thursday afternoon snorkeling off the coast of Kaanapali on Maui. Search patterns have been planned for Coast Guard assets through the rest of the day and into the night. On scene today, were crew members aboard an HH-65 Dolphin rescue helicopter and C-130 long range search plane -- both from Air Station Barbers Point on Oahu -- and an 11-person crew aboard the Coast Guard cutter Ahi, an 87-foot patrol boat, and a crew aboard a 45-foot response boat from Station Maui. Essler is on vacation and was reported missing at approximately 11:30 a.m. Thursday. He was last seen 100 yards from shore. "We've been searching continuously since Thursday afternoon," said Petty Officer 1st Class Matt Couling, a search and rescue coordinator in the Coast Guard's 24 hour operations center in Honolulu Harbor. "We will continue coordinating closely with the Maui Fire Department -- their expert knowledge of the area is a critical factor as we plan our searches. Our hearts and thoughts are with Mr. Essler's family members right now and the Coast Guard would like them to know we are saturating the area with as many search assets as possible." Rescue crews reported the weather on scene today to be seas of one to two feet, and winds from the east-northeast at 11 to 17 mph. (Report Provided by The United States Coast Guard) NEWS FLASH - February 19, 2010 2 p.m. No New Trial for Convicted 1995 Killer on Maui A Maui man serving at least 40 years in prison for a 1995 murder is not entitled to a new trial, a federal appeals court ruled Friday. A three-judge panel of the 9th U.S. Circuit Court of Appeals in San Francisco overturned a decision by U.S. District Court Judge David Ezra of Honolulu and upheld a ruling by the Hawaii Supreme Court. The case involves the stabbing death of Vilmar Cabaccang, 23, of Kihei, who was stabbed multiple times with a double-bladed knife after he chased a man who broke into his car. Taryn Christian was identified as a suspect based on a police tip. He was convicted in 1997 of second-degree murder and attempted third-degree theft. Ezra ruled in 2008 that Christian didn't get a fair trial because he wasn't allowed to call three witnesses who claim a different man confessed to the murder. But the appeals court said Christian's rights weren't violated because the excluded testimony was contradicted by other evidence in the case, including two witnesses who identified Christian as the culprit in a police photo lineup. The judges also noted the two people whose testimony was excluded had been convicted of crimes, and one had acknowledged routinely using drugs, raising questions about the reliability of their statements. The poor quality of the excluded evidence didn't rise to the standards set by another case in which the Supreme Court found a defendant didn't receive a fair trial due to omitted evidence, the judges said. The appeals court found the Hawaii Supreme Court correctly distinguished between the two cases and found Christian's rights hadn't been violated when his trial excluded statements about another man allegedly acknowledging the crime. "There were fewer alleged confessions, the confessions were made to less reputable individuals, and the confessions were contradicted, rather than supported, by the other evidence in the case," the judges said in a decision written by Judge Robert R. Breezer. "The Hawaii court's decision to exclude materially less reliable evidence did not amount to an unreasonable application of clearly established federal law." (Report Provided by The Associated Press) NEWS FLASH - February 19, 2010 6:55 a.m. Akaka Bill Up for Full House Vote Next Week A version of the Akaka bill could be up for a vote on the floor of the U.S. House next week. The House Rules Committee is scheduled to decide Monday at noon Hawai'i time, when a hearing will take place for HR 2314, formally titled the Native Hawaiian Government Reorganization Act of 2009. With U.S. Rep. Neil Abercrombie , D-Hawai'i, slated to resign Feb. 28 to focus on a gubernatorial run, House Democrats appear ready to grant his wish to vote on the Akaka bill before he leaves Washington. That would mean a vote would need to take place next week. Meanwhile, Hawai'i's congressional delegation is close to reaching compromise language designed to satisfy both state and federal attorneys. The two sides have locked horns on the language of the bill since December. Delegation staff have "been working with the state as well as other stakeholders to come up with a final text that addresses as many of the concerns as possible," said Jesse Broder Van Dyke, spokesman for Sen. Daniel Akaka, D-Hawai'i. Van Dyke said his office expects a final version to be reached "in the coming days." State Attorney General Mark Bennett said the parties have been able to address some of the concerns raised by Gov. Linda Lingle's administration, but not all of them. The Lingle administration in the past has supported the bill. But in December, House members agreed to insert language pushed by the Obama administration that calls for giving Native Hawaiians inherent powers and privileges of self-determination. It also called for a new Native Hawaiian governing authority to be recognized by the federal government, similar to that of Indian tribes. That language is different from the original 2009 bill, which only called for setting up a negotiating process that could lead to self-determination and the establishment of a recognized Native Hawaiian governing entity. Bennett said the state's concerns about the Obama administration's language have been addressed by the parties. However, he said, the state still has strong objections to clauses in the new draft that could give immunity from state law to the entity, its employees and officers while they are conducting government activity. "Government activity is not defined," Bennett said. Further, he said, the language "affects the ability of the state to enforce its regulations and laws as they relate to health, safety and the environment." One example would be if the governing entity were to provide medical services. Doctors employed by the entity would not fall under the health regulations of the state. Rep. Doc Hastings, R-Wash., the ranking member of the House Natural Resources Committee, which moved out the bill, accused Democrats of negotiating behind closed doors on the bill. "Subdividing Americans into sovereign nations based on race or ethnicity is a serious matter and is something that should be debated openly, not in the back rooms with restricted input," Hastings said in a release. Bennett said that despite his continuing concerns, the bill will move forward and be voted on next week. The Akaka bill has passed the House several times since it was first introduced in 2000. And even with the objections raised by Hastings and other Republicans, it is not expected to run into problems this time around. The bill, however, has failed in the Senate. With a Democratic president in the White House and a Democratic majority in the Senate, the bill appeared poised for passage. But the upset victory last month by Republican Scott Brown for the Massachusetts Senate seat long held by the late Edward Kennedy, a Democrat, has put a new wrinkle on the situation. Akaka has stated that the bill which bears his name will require the votes of 60 Democrats to assure passage, since that would ensure the bill avoids a filibuster. Brown's victory reduced the number of Democrats in the Senate to 59. While a version of the Akaka bill has passed the Senate Indian Affairs Committee, it's unclear when it will be up for a vote in the full Senate. Reach Gordon Y.K. Pang at A version of the Akaka bill could be up for a vote on the floor of the U.S. House next week. With U.S. Rep. Neil Abercrombie , D-Hawai'i, slated to resign Feb. 28 to focus on a gubernatorial run, House Democrats appear ready to grant his wish to vote on the Akaka bill before he leaves Washington. That would mean a vote would need to take place next week. Meanwhile, Hawai'i's congressional delegation is close to reaching compromise language designed to satisfy both state and federal attorneys. The two sides have locked horns on the language of the bill since December. Delegation staff have "been working with the state as well as other stakeholders to come up with a final text that addresses as many of the concerns as possible," said Jesse Broder Van Dyke, spokesman for Sen. Daniel Akaka, D-Hawai'i. Van Dyke said his office expects a final version to be reached "in the coming days." State Attorney General Mark Bennett said the parties have been able to address some of the concerns raised by Gov. Linda Lingle's administration, but not all of them. The Lingle administration in the past has supported the bill. But in December, House members agreed to insert language pushed by the Obama administration that calls for giving Native Hawaiians inherent powers and privileges of self-determination. It also called for a new Native Hawaiian governing authority to be recognized by the federal government, similar to that of Indian tribes. That language is different from the original 2009 bill, which only called for setting up a negotiating process that could lead to self-determination and the establishment of a recognized Native Hawaiian governing entity. Bennett said the state's concerns about the Obama administration's language have been addressed by the parties. However, he said, the state still has strong objections to clauses in the new draft that could give immunity from state law to the entity, its employees and officers while they are conducting government activity. "Government activity is not defined," Bennett said. Further, he said, the language "affects the ability of the state to enforce its regulations and laws as they relate to health, safety and the environment." One example would be if the governing entity were to provide medical services. Doctors employed by the entity would not fall under the health regulations of the state. Rep. Doc Hastings, R-Wash., the ranking member of the House Natural Resources Committee, which moved out the bill, accused Democrats of negotiating behind closed doors on the bill. "Subdividing Americans into sovereign nations based on race or ethnicity is a serious matter and is something that should be debated openly, not in the back rooms with restricted input," Hastings said in a release. Bennett said that despite his continuing concerns, the bill will move forward and be voted on next week. The Akaka bill has passed the House several times since it was first introduced in 2000. And even with the objections raised by Hastings and other Republicans, it is not expected to run into problems this time around. The bill, however, has failed in the Senate. With a Democratic president in the White House and a Democratic majority in the Senate, the bill appeared poised for passage. But the upset victory last month by Republican Scott Brown for the Massachusetts Senate seat long held by the late Edward Kennedy, a Democrat, has put a new wrinkle on the situation. Akaka has stated that the bill which bears his name will require the votes of 60 Democrats to assure passage, since that would ensure the bill avoids a filibuster. Brown's victory reduced the number of Democrats in the Senate to 59. While a version of the Akaka bill has passed the Senate Indian Affairs Committee, it's unclear when it will be up for a vote in the full Senate. Reach Gordon Y.K. Pang at gpang@honoluluadvertiser.com. (Report Provided by The Honolulu Advertiser)
It's Official: MCC is Now 'UH Maui College' HONOLULU
– At its monthly meeting held today at the John A. Burns School
of Medicine, the University of Hawai‘i Board of Regents approved
the name change of Maui Community College to the University of
Hawai‘i Maui College. The change was proposed to accurately represent
the college’s programs and services that now include 15 associate
and two four-year baccalaureate degrees. (Report Provided by The Univesity of Hawai'i System) NEWS FLASH - February 18, 2010 2 p.m. Coast Guard, Fire Crews, Search for Missing Snorkler Near Ka'anapali HONOLULU- U.S. Coast Guard and Maui Fire Department crews are searching for a snorkeler who went missing in the vicinity of the Aston Kaanapali resort on Maui Thursday at 11:30 a.m. Rescue crews are looking for any signs of Bryce Esler, a 20-year-old Caucasian male wearing black shorts. Esler is on vacation and was snorkeling alone. A rescue helicopter crew from Air Station Barbers Point, a Coast Guard Station Maui boatcrew, and Maui Fire Department personnel are searching offshore near the resort. Maui Fire Department personnel contacted the Coast Guard at approximately 11:45 a.m. and Coast Guard crews were on scene at noon. Coast Guard crews plan to search throughout the night. Anyone with information about the missing man should immediately contact Coast Guard Sector Honolulu at 808-842-2600. (Report Provided by The United States Coast Guard)
NEWS FLASH - February 17, 2010 3:45 p.m. County Suing Merrill Lynch Over Blocked Access to Funds Invested HONOLULU, Hawaii - Attorneys for the County of Maui filed a lawsuit against Merrill Lynch Pierce Fenner & Smith, Inc. (Merrill Lynch) over access to $32 million invested in student loan auction rate securities. The suit was filed Friday, February 12, 2010 in the United States District Court for the District of Hawaii. A similar claim has been filed with the Financial Industry Regulatory Authority (FINRA). The County contends that Merrill Lynch sold the auction rate securities to Maui County with the understanding that the securities were safe, short-term, liquid investments. Maui County does not have access to these investments. “The County of Maui was told that the investments could be easily accessed, just like cash,” said Maui County Mayor Charmaine Tavares. “Assurances by Merrill Lynch at the time of the investment turned out to be false, and we are seeking justice for the taxpayers of Maui County.” Student loan auction rate securities are interest-bearing debt instruments backed by pools of student loans. They are also known as “SLARS.” Between August 16, 2007 and January 16, 2008, the County of Maui purchased approximately $44.2 million in student loan auction rate securities through Merrill Lynch. Today, the County of Maui owns $32 million of SLARS that are not liquid. “Maui County seeks to recover its money,” said Joachim Cox of Goodsill Anderson Quinn & Stifel, LLP, special counsel for Maui County. “Before filing this lawsuit, Maui County made a number of attempts over a long period of time to resolve this problem so Maui County could regain access to its money. Maui County reached out to Merrill Lynch to resolve this problem, but Merrill Lynch was not responsive.” Merrill Lynch represented the Student Loan Auction Rate Securities to Maui County as “money market alternatives.” In a Fixed Income Digest Special Edition (Dec. 6, 2007) Merrill Lynch represented that: - the auction rate securities market “offers extraordinary values for short-term yield-maximizing investors, not just the ultra short-term cash investor.” - “the auction preferred market offers excellent value for investors looking for short-term instruments or money market alternatives.” - “[r]ates on auction preferred securities remain high while other rates are declining, creating what we think is extraordinary value for investors looking for short term instruments.” As late as February 12, 2008, the day before the collapse of the auction rate securities (ARS) market, Merrill Lynch provided an “Auction Market Securities Report” to the County of Maui where Merrill Lynch reiterated that auction rate securities have only a “slightly lesser degree of liquidity” than money market funds and reminded investors that auctions “hardly ever” fail. On or about February 13, 2008, Merrill Lynch abandoned its practice of supporting auctions for SLARS. The ARS market collapsed. The County of Maui was left stranded with SLARS that they could no longer sell at par. “Had Merrill Lynch honestly disclosed to the County of Maui the growing risks associated with investing in SLARS the County of Maui would not have purchased SLARS at all,” said Cox. (Report Provided by The Maui County Office of Information) NEWS FLASH - February 17, 2010 3:05 p.m. Mayor Tavares Pleads to Retain Maui County Share of TAT "Thank you for the opportunity to testify in opposition to HB 2598, which would suspend for three years, the distribution of transient accommodations tax revenues to the counties. Revenue from the TAT is a vital source of funding for all counties in the State of Hawaii. The County of Maui relies on its portion of TAT revenue to assist with funding critical services, facilities, programs and government operations for visitors and residents every year. "The TAT is added to the bill that our visitors pay for staying at one of our vacation locations. The Counties' share of the TAT represents a partnership with the State to help with some of the visitor impacts to the Counties. The TAT is not a "hand out" from the State to the Counties - it is a share of what is generated in each county. The visitors will continue to pay the taxes, but if the State takes back our share, we will have an additional 17 - 20 million dollar shortfall that will have to be made up by County taxpayers. "As you are already know, the State collects these taxes from all four counties, pools them together and pays out shares according to a formula that assigns the majority of the funds to the Hawaii Convention Center and to statewide tourism promotion with the remainder or approximately 45% to the counties. Attached is a chart enumerating how much tax is generated and what portion goes to the State and what portion goes to the Counties on a room that costs $100. From a total of $12.25 collected in taxes, Maui County, under the current formula, would receive 84 cents - a small but significant amount. "Throughout past decades, the State and the Counties have been partners in providing services for our constituents - constituents who are both state and county constituents. For example, the counties provide for motor vehicle and driver licensing programs on behalf of the State. The State, in turn, reimburses the counties for some of the costs to operate the programs. Our Police Department enforces State traffic laws and the fines generated all go to the State. Our parks and recreation facilities are used by the State's Department of Education. This includes tracks, gymnasiums, swimming pools and other facilities. The counties provide for administration of state liquor control laws. Fortunately, this program is 100% self-sufficient. "Maui County further supports our partnership by funding programs that are clearly state functions such as our support of Maui Community College's nursing and dental assistant programs, the University of Hawaii CTAR (College of Tropical Agriculture & Human Resources) program, business development and technology programs, aquaculture/marine resources development programs, the Farm Bureau, soil and water conservation districts' programs, watershed protection, invasive species eradication, miconia containment and other environmental protection programs. In our fiscal year 2010 budget the total is approximately $10 million. "And, as you may know, Maui County invests over $3 million in county funds to support our visitor industry. We recognize the importance of this industry to the economic well-being of our County. This investment directly impacts how much TAT is collected. If we stop supporting these programs, our county - our community and our natural resources will be diminished. Many employed in these programs will lose their jobs. All programs have received reductions in the past two years but have been able to adjust with some impacts to the programs. "While I understand the budget challenges facing the State, please know that Maui County is dealing with our own budget difficulties and is relying on every possible funding source to fulfill our county jurisdictional responsibilities. We realized that the budget challenges facing the State would eventually be upon us. "The delay in the severity of revenue shortfalls for the county lags behind the State due to the differing sources of revenues for the State (GET/income taxes) and revenue sources for the Counties (real property taxes/TAT). Please examine all sources of State revenue from the numerous special funds to the State's own taxing authorities. For Maui County, everything is on the table from raising taxes and fees to cutting non-core services, operating budgets and programs. We are examining all means available to us to get through these challenging times. "Please understand that even with our share of the TAT, we are dealing with a significant revenue shortfall of around $53 million. Without the TAT, our shortfall jumps to $70 - $73 million! Making up for these shortfalls puts a huge burden on county taxpayers. Shifting the responsibility from the State to the County property tax payers and the fee/rate payers for County services, is not fair and undermines the partnership with the State that we have enjoyed in the past. "We, over a million residents of our Great State who live on one of our beautiful islands, are depending on you to act wisely and fairly and with courage to do the right thing. "Thank you again for allowing me to share Maui County's perspective." (Report Provided by The Maui County Office of Information) NEWS FLASH - February 16, 2010 12:40 p.m. Spokane, WA, Visitor Drowns Near Black Rock On February 17, 2010, at 11:56 a.m., Lahaina Patrol Officers were assigned to a possible ocean rescue as two people were yelling for help. They were in the area of Black Rock. When police arrived at the scene the victim was being pulled out of the ocean. Attempts were made to resuscitate the victim at the scene, however, they were unsuccessful. The victim was transported to the Maui Memorial Medical Center where pronouncement of his death was made. The victim was identified as Daniel BARNEY (54) of Spokane, Washington. (Report Provided by Maui County Police Department) NEWS FLASH - February 16, 2010 3:10 p.m. Maui Gets Share of $8.3 M to Fight Underage Drinking HONOLULU – Lt. Governor James R. “Duke” Aiona, Jr. today announced that the State will provide more than $8.3 million to the four counties to reduce and prevent underage drinking in Hawai‘i. Through a 2006 federal grant, the state committed $10.45 million over five years to address the public health concern of underage drinking. The program calls for developing a comprehensive strategic prevention plan, expanding the Hawai‘i Epidemiological Profile for Substance Abuse Prevention and distributing funds to each of the four county Mayor’s offices to coordinate activities at the community level. “We’re using the best available data to build capacity and structure at the community level where we can address the greatest needs to curb underage drinking,” said Lt. Governor Aiona. “Underage drinking is a public health concern that requires active community involvement and evidence-based prevention programs. We have aggressively pursued this funding to enhance our prevention efforts.” Sixty percent of Hawai‘i high school students have consumed alcohol, and 15 percent binge drink, according to a 2007 statewide survey. Hawai‘i ranks fourth in the nation for alcohol-related motor vehicle deaths, according to a 2008 study. According
to a funding formula reviewed and approved by the federal Substance
Abuse and Mental Health Services Administration (SAMHSA), the
counties will receive funding to curb underage drinking as follows:
In 2006, the Lingle-Aiona Administration, under the direction of the Office of the Lieutenant Governor, secured funding from SAMHSA through the Strategic Prevention Framework – State Incentive Grant (SPF-SIG). A project manager and project specialist were brought on to direct the overall project and coordinate the project at the community level. A workgroup was formed to update substance abuse prevention data, and a state advisory council convened. In 2008, community advisory councils were formed in each of the four island counties. Lt. Governor Aiona is a former member of the national advisory council for SAMHSA. (Report Provided by the Office of Lt. Gov. James R. "Duke" Aiona, Jr.)
'Year of The Tiger' Celebration Set for Friday in Wailuku WAILUKU, Maui, Hawaii—The County of Maui announced today that the public is invited to attend a free celebration of the Chinese Year of the Tiger taking place February 19, 2010 on the front Lawn of the Kalana O Maui Building at 200 South High Street. Festivities begin at 9:00 a.m. and will include Chinese lion dance and a martial arts exhibition by Au’s Shaolin Arts Society. For more information, call the Office of the Mayor at 270-7855. (Report Provided by the Maui County Office of Information) NEWS FLASH - February 16, 2010 2:20 p.m. Installation of Kea Street Sidewalk to Cause Traffic Delays in Kahului KAHULUI, Maui, Hawaii—The Maui County Department of Public Works announced today that the installation of a new sidewalk on Kea Street, from Holua Street to Papa Avenue in Kahului, will begin today. The tentative date of completion, subject to weather, is February 26, 2010. Work hours are from 8:30 a.m. to 3:00 p.m. Monday through Friday, excluding holidays. Motorists and pedestrians are advised to use alternate routes. Those traveling through the area should expect delays, due to lane closure, and should use caution and observe all signs and traffic control personnel in the area. Zoe Builders has been contracted to do the installation. The County’s Department of Public Works apologizes for the inconvenience. (Report Provided by the Maui County Office of Information) NEWS FLASH - February 16, 2010 6:55 a.m. Hawai'i Leads Nation in 'Well-Being' Again Hawai'i is the best in the nation when it comes to residents having a sense of well-being, according to the 2009 Gallup-Healthways Well-Being Index. Not only did Hawai'i take top honors among the 50 states, but the city of Honolulu ranked third out of 186 metropolitan areas surveyed. The index is an attempt to measure health and well-being and uses a telephone survey to compile responses in several areas, including how people are doing in their physical, emotional and work lives, as well as the overall quality of life and outlook for the future. Hawai'i had the highest index score ever recorded for a state, Gallup-Healthways said. Hawai'i's total index score was 70.2 percent on a 100-point scale. It led the nation in three of the six sub-index areas measured (life evaluation, emotional health and physical health), and was second in healthy behavior. Its worst scores came in work environment (fifth nationally) and basic access, a category that includes accessibility to affordable housing and fresh vegetables and fruit, safety, clean water and having a doctor (ninth). In 2008, Hawai'i was ranked second to Utah. Honolulu ranked only behind Boulder, Colo., and Holland-Grand Haven, Mich., in terms of well-being among cities of 20,000 or more residents. It was ranked 34th in 2008. The researchers also looked at the nation's 486 congressional districts to see how they ranked. Hawai'i's 1st Congressional District ranked third-highest nationally after two in California. The 2nd Congressional District, an area that includes parts of Honolulu and the Neighbor Islands, ranked 33rd. Gallup-Healthways said the polling involved interviews with 1,100 people in Hawai'i and noted that the margin of error was about plus or minus 3.1 percentage points. (Report Provided by The Honolulu Advertiser) NEWS FLASH - February 15, 2010 4:50 p.m. Brush Fire Near Pulehu Road Burns an Estimated Six Acres-UPDATE KULA, Maui, Hawaii - A brush fire first reported at 12:54 p.m. this afternoon near the Kula Agricultural Park north of Pulehu Road has burned an estimated 6 acres . No injuries are reported and no structures are reported damaged. Police closed Pulehu Road between Holopuni Road and Kulakula Road shortly before 2:00 p.m. Multiple fire crews and Air One responded to the brush fire in an area with gulches. The fire is reported to be diminishing but not yet under control. The cause of undetermined and remains under investigation. No additional details are available at this time. (Report Provided by the Maui County Office of Information) NEWS FLASH - February 15, 2010 1:50 p.m. Fire Crews Responding to Fire Near Pulehu Road KULA, Maui, Hawaii - Multiple engines and Air One are on scene responding to a brush fire first reported at 12:54 p.m. this afternoon. No injuries are reported and no structures are reported damaged. Pulehu Road is closed to traffic. No additional details are available at this time. (Report Provided by the Maui County Office of Information) NEWS FLASH - February 15, 2010 1:30 p.m. Churchill Takes President/CEO Slot at ML&P Maui Land & Pineapple Co. has appointed longtime executive Ryan Churchill as president, filling the position that has been vacant for almost a year. Churchill will be responsible for day-to-day operations of the publicly traded company as it struggles to improve its finances after major losses and an exit from pineapple farming. Warren Haruki, CEO of Kauai firm Grove Farm Co., will continue as acting CEO of Maui Land, where he is also chairman of the board. The promotion of Churchill follows the May resignation of Robert Webber as Maui Land's CEO and president. Churchill also was appointed chief operating officer. He previously was senior vice president of corporate development. An O'ahu kama'aina, Churchill joined Maui Land in 2000 as a development manager for the company's resort affiliate Kapalua Land Co., and also held titles of planning vice president for Kapalua Land and community development vice president of Maui Land. Prior to joining Maui Land, Churchill worked for KPMG LLP in its real estate consulting group in Honolulu and Southern California homebuilder Fieldstone Communities. (Report Provided by The Honolulu Advertiser) NEWS FLASH - February 15, 2010 7 a.m. Rene Spares American Samoa, Pounds Tonga NUKU'ALOFA, Tonga — Tropical Cyclone Rene pounded Tonga with powerful winds overnight, causing major damage to buildings in the capital city, tearing off roofs, downing trees and cutting power and phone lines in the South Pacific island nation. When phone service was restored early Tuesday, police said they had no immediate reports of death or injury during the storm that has hammered the three main island groups of the kingdom for more than 24 hours. "There's a lot of damage. A lot of shops, restaurants and offices in the city have lost their roofs and a lot of houses are also damaged," Inspector Tatiko Kanfusi said from Nuku'alofa on the main island of Tongatapu in the south of the kingdom. "Lots of trees are down across roads, but it's still dark and we'll be starting to assess what's happened after daybreak." Prior to losing contact the Ha'apai island group, located in the center of the archipelago, faced "very destructive hurricane force winds" with gusts of 143 mph, the Meteorological Office said. Heavy rain, thunderstorms, sea swells and flooding were expected. In the northern Vava'u islands group, contact was lost early Monday just after Rene hit. Coastal areas flooded as roiling seas surged ashore. Tonga's police commander, Chris Kelley, said no deaths or injuries had been reported in Vava'u, and the biggest impact so far was on crops. "We are aware of some damage to buildings but nothing serious at this stage," he told The Associated Press from Nuku'alofa. Kelley said heavy rains flooded many areas, while powerful winds tore down banana palms and fruit from mango and breadfruit trees. National Disaster Management Office deputy director Mali'u Takai said at one point Monday that it had become too dangerous to go outside. "It's so noisy, it's like ... a locomotive is running around. It's getting bad now, hopefully this is the worst part of it," he told National Radio. Hank Gros, who runs a tourism business in Neiafu, the main town in the Vava'u group, said winds there had decreased Monday afternoon, but residents faced up to six days without electricity because all lines were down. He said damage overall was less than expected. "We were very lucky here," he told National Radio. "A few houses have lost their roofs but mainly it's ... crop damage with most of the banana (palms) down." Most tourist resorts reported little damage, he said. In low-lying Ha'apai, people were moved to higher ground and into emergency centers for safety, Kelley said, with the storm cutting power and communications, and damaging houses, trees and village gardens. The cyclone also cut power supplies in Nuku'alofa, but communications from the capital to other islands were being restored early Tuesday after being cut for much of Monday. (Report Provided by The Honolulu Advertiser) NEWS FLASH - February 14, 2010 7:45 a.m. Moloka'i Church Fire Still Under Investigation Fire investigators are still trying to determine the cause of a fire that gutted historic Saint Sophia Church in Kauanakakai, Moloka'i, on Wednesday. Kaunakakai fire officials said the investigations is ongoing and that no damage estimates are yet available. The church, which was built in 1937, was scheduled to be demolished to make way for the new $3 million Blessed Damien Church, Blessed Damien Church, to be constructed in honor of Saint Damien deVeuster, the Belgian priest who ministered to Hansen's disease patients on the Kalaupapa Peninsula 120 years ago and was canonized in October. (Report Provided by The Honolulu Advertiser) NEWS FLASH - February 13, 2010 2:05 p.m. County Budget Shortfall Approaches $14 Million WAILUKU, Maui - Maui County is facing a $13.9 million budget shortfall for the current year, according to a letter sent by Mayor Charmaine Tavares to the Maui County Council on Thursday. For months, finance officials have been warning that the county could face a decline in revenues by $50 million or more in the 2011 fiscal year, but Tavares said it now appears that the economic downturn has struck county finances sooner than anticipated. The projected shortfall represents a little more than 2 percent of the county's budget of $563.7 million for this year. Revenues appear to be coming in lower than the amount that was budgeted in four key county funds, she said. The biggest anticipated deficit is in the General Fund, which is facing a $5.5 million potential shortfall. Other affected funds are the Highway Fund, with a $2.5 million shortfall; the Solid Waste Fund, $1.4 million; and the Water Supply Fund, $4.5 million, according to her letter. Tavares noted that the Maui County Code requires the mayor to notify the council as soon as it appears probable that county revenues won't be sufficient to cover what was appropriated, and asked for a time to address the council about the issue. In her letter, she said the county's Finance Department and budget office are performing a more in-depth analysis of the numbers to come up with a more accurate revenue picture. "Please know that my administration has already undertaken steps to curtail expenditures and expenses in the current fiscal year, and these will help alleviate the impact of a revenue shortfall," she told council members. She said the county is also developing additional strategies to cope with the situation. Tavares' warning came on top of other bad news for the county budget. County Finance Director Kalbert Young said Friday that property tax assessments for the 2011 fiscal year now look like they will be worse than previously forecast. He said he now predicts valuations will decline by 13 percent, a bigger drop than the 10 percent decrease he projected last year. That means property tax revenues will be cut by the same amount, unless the county increases rates to compensate, he noted. The expected $50 million decline in county revenues for 2011 could grow to as much as $68 million if the state Legislature moves forward with proposals to withhold Maui County's portion of the transient accommodations tax, also known as the hotel room tax. While his preview for the coming year sounds dire, Young said the county government is actually still near the beginning of its fiscal slide. In his extended forecast, Young said he is projecting an additional 10 percent decline in revenues for 2012, and another 15 percent decline in 2013. Maui's real estate market will likely be on the rebound by then, he said, but the county's revenues will still be lagging because tax collections are based on assessments made the year before. "I don't have reasons to be optimistic," he said. Young was speaking during a presentation to the county's Salary Commission. All county directors have been instructed to propose two spending plans for their departments for the mayor's 2011 budget, Young said. One proposal must find a way to cover increased costs with the same budget they had this year; the alternative proposal must account for a 10 percent cut in funding, he said. "That is the scenario that would lead to program cuts," Young said. "With a 10 percent cut, you're either going to be touching warm bodies, or you're going to be touching facility operations." In her State of the County speech Thursday, Mayor Charmaine Tavares said the county would likely have to reduce services in response to funding declines in 2011. That could mean reducing residential trash pickup from twice a week to once a week, closing the Central Maui Landfill one or two days per week, closing one or more county pools or cutting hours for county service centers, she said. The county will also likely look at raising revenues by increasing real property tax rates or passing a fuel tax hike, she said. But Tavares said she did not want to lay off county workers. Reach Ilima Loomis at iloomis@mauinews.com. (Report Provided by The Maui News) NEWS FLASH - February 13, 2010 1:15 p.m. No Pay Raises for Top County Officials for a While WAILUKU, Maui - County departmental directors and deputies won't get a raise anytime soon. The county Salary Commission voted unanimously Friday to continue a freeze on director salaries through at least July 1, 2011. Commissioners acted after receiving a letter from Mayor Charmaine Tavares last month asking them to delay any salary increases for elected and appointed officials through the 2011 fiscal year, because of the county's dire financial straits. After hearing a report on the county's gloomy revenue forecast from Finance Director Kalbert Young, commission members had no problem following Tavares' advice. "I just don't think it's right to raise anybody's salary right now," said Commissioner Jeremiah Savage. At least one commission member said she'd be open to cutting the pay of county officials. Commissioner Pam English said a pay cut would be appropriate, and she wished the Salary Commission had the power to set pay for all county employees, as the county faces increasing work force costs even as it struggles with declining revenues. "If we could go countywide, from the janitors to the mayor, that would be another story, but we can't," she said. The Salary Commission is an independent, volunteer board that has the final authority to set the salaries for the mayor, County Council members and county department heads and deputies. Pay and benefits for county workers are set by collective bargaining agreements between the various public worker unions and the state and all four counties, which negotiate as a group. (Report Provided by The Maui News) NEWS FLASH - February 13, 2010 7:05 a.m. Hawai'i Slides From First to Ninth in 'Satisfaction' Hawai'i residents were less satisfied with their standard of living last year, with the state sliding from its top ranking in 2008 to ninth place last year, according to the results of Gallup Inc. polls. The results released yesterday said 77.4 percent of Hawai'i adults last year said they were satisfied with their own standard of living, which, in Gallup's way of describing it, is all the things you can buy and do. In 2008, 81 percent of Hawai'i adults had responded they were satisfied, highest among the 50 states. The survey marks a slight departure for the state, which has typically ranked highly in polls revolving around how good they feel about their lives. Last August, the state came out on top of a Gallup-Healthways Well-Being Index survey. But it appears that the economic downturn has taken a toll on the state. It has been slipping down the rankings of the Happiness Index, most recently coming in at ninth place. The poll attempts to measure the financial good fortune of states by looking at household income, debt, employment and foreclosures. Gallup, in its standard of living report, noted there was a seeming link between states where residents are satisfied about their standard of living and have the least negative perceptions about the economy. It said the reverse is also true. In states where residents have higher negative economic perceptions, there is lower satisfaction. Gallup found that Hawai'i's economic confidence, or optimism in the economy, had improved during the past year, but not as much as most other states. Still, it noted Hawai'i had higher standard of living satisfaction than would be expected given its economic confidence score. (Report Provided by The Honolulu Advertiser) NEWS FLASH - February 12, 2010 2:55 p.m. More Residents Believe Tourism Brings More Benefits Than Problems HONOLULU—A strong majority of Hawai‘i residents appreciate and understand the benefits that tourism brings to the state according to a recent study released by the Hawai‘i Tourism Authority (HTA). Close to 80 percent of the 1,650 residents polled in the 2009 Resident Sentiments on Tourism Survey agree that tourism has brought more benefits than problems to the state, up 7 percentage points from 2007 when the last survey was administered. “These results are encouraging because Hawai‘i’s visitor industry relies on support from residents,” said Mike McCartney, President and CEO of HTA. “Last year was challenging for all of us, and with tourism accounting for nearly 17 percent of our state’s economy and 151,000 jobs, it is critical that we continue to work together as a community for the benefit of everyone in the state.” The survey, conducted Aug. 27 through Sept. 20, 2009, marks the seventh in a regular series of telephone surveys carried out for HTA. The purpose is to analyze and track resident attitudes toward tourism and the tourism industry. “The survey measures community concerns and helps to identify areas where tourism and industry stakeholders can help enhance the quality of life for residents,” added McCartney. Report findings also revealed that significantly fewer residents believe that their island of residence is being run for tourists at the expense of local residents, with 49 percent agreeing with the statement. This is a decrease from 2007 where 55 percent agreed. “Our survey revealed that residents understand the tradeoffs between economic benefits and negative impacts, and most do not blame tourism as the primary cause of traffic and increases in the cost of living,” said Pat Loui, president and owner at OmniTrak Group Inc., the research company that conducted the 2009 Resident & Sentiments on Tourism Survey. While
a majority of residents acknowledge the economic, business and
employment benefits that tourism provides, some issues identified
by the survey include a lower level of awareness and satisfaction
with the industry’s role in solving community problems, sustaining
natural resources and preserving Native Hawaiian language and
culture. Previous surveys were conducted in 2007, 2006, 2005, 2002, 2001, and 1999. A similar study was conducted in 1988 as part of the “Visitor Impact Monitoring System” survey originally sponsored by the State Department of Business, Economic Development and Tourism (DBEDT). The full report is available online at www.hawaiitourismauthority.org. The Hawai‘i Tourism Authority was created in 1998 to ensure a successful visitor industry well into the future. Its mission is to strategically manage Hawai‘i tourism in a sustainable manner consistent with our economic goals, cultural values, preservation of natural resources, community desires, and visitor industry needs. (Report Provided by the Hawai'i Tourism Authority) NEWS FLASH - February 12, 2010 2:15 p.m. Governor's Maui Council Meeting Set for Wednesday WAILUKU – The Governor’s Council of Neighbor Island Advisors for Maui will meet on Wednesday, February 17, 2010, 5:00 p.m. at the at the Mayor Hannibal Tavares Community Center, in Pukalani, Maui. The public is invited to attend. Guest speakers will include: Anna Mae Shishido, Maui port supervisor, Plant Quarantine Branch, Department of Agriculture, will speak on the agricultural inspection services on Maui. Warren Watanabe, president of the Maui Farm Bureau, will address issues facing Maui farmers. Henry Oliva, deputy director, State Department of Human Services (DHS), and Sandie Hoback, a consultant, will speak on the DHS proposal for a reorganization of public assistance eligibility processing functions. Governor Linda Lingle created councils of neighbor island advisors to give neighbor island residents a stronger voice in state government. The Governor’s Council of Neighbor Island Advisors for Maui holds monthly public meetings to seek community input, advise the Governor of important issues and make recommendations for state boards and commissions. The members of the Governor’s Council of Neighbor Island Advisors for Maui are: Madge Schaefer (chair), Kathryn Ghean, John Henry, Lori Ululani Sablas, Gail K. Takeuchi and Leona Rocha Wilson. Anyone requiring special accommodations to participate at this meeting may call 243-5796 for assistance. For additional information on the Governor’s Council of Neighbor Island Advisors, neighbor island advisory committees, including meeting agendas and minutes, visit the Governor’s Web site at www.hawaii.gov/gov. (Report Provided by the Office of Governor Linda Lingle) NEWS FLASH - February 12, 2010 8 a.m. American Samoa Braces for Onset of Tropical Cyclone Rene PAGO PAGO, American Samoa — All schools were closed in American Samoa today and residents were stocking up on bottled water, flashlights and candles as Tropical Cyclone Rene churned toward the U.S. Pacific island territory. The storm was packing winds of 63 mph with gusts of 80 mph around midnight. The National Weather Service said it was 140 miles northeast the territory's less populated Manu'a island, moving across the Pacific at about 9 mph. "Residents of Manu'a should start feeling the affects of the cyclone by daylight Friday morning, with strong winds," said NWS forecaster Carol Baqui in Pago Pago, She said the main island of Tutuila would begin feeling its power sometime this afternoon. The NWS said the storm would increase in strength during the day and could be packing winds reaching 75 mph later in the day. Leafa Ah Soon, store owner at Faleasao Village in Manu'a, said homes have been boarded up and residents have descended on her store to purchase supplies. "It's very calm at this point but residents believe that is the calm before a storm," Ah Soon told The Associated Press in a telephone interview. "At this point, we are just waiting." All public and private schools, including the American Samoa Community College, were shutting down, but teachers and officials were asked to report to secure classrooms and other facilities. Territorial Gov. Togiola Tulafono has not decided whether to close government offices. (Report Provided by The Associated Press) NEWS FLASH - February 12, 2010 7:30 a.m. State Construction Bond Sales Exceed Expectations by $188M The state, citing good investor appetite and favorable market conditions, said it sold $188 million more of bonds than had been planned to fund construction and other projects. The state this week made presentations to bond investors in New York, seeking buyers for $312 million in taxable and $221.6 million of tax-exempt bonds. But it said investor interest was such that it was able to sell $500 million of the taxable bonds. "We were able to take advantage of this opportunity to borrow additional funds for construction projects at very attractive interest rates," Georgina Kawamura, state director of budget and finance, said in a statement released by the state. The state is tapping bond markets to help fund capital improvement projects that are intended to jump-start the economy and a construction industry that's been hit hard with unemployment. The issue was notable with respect to ratings agencies, with two having maintained the state's bond rating at a fairly high level, but signaling they might lower it in the future. Gov. Linda Lingle's administration branded the bond sale a success, saying it garnered funds for a number of capital projects, including those involving public school facilities and the University of Hawai'i. The sale also was unique in that it was the first under a stimulus package program in which the federal government provides an interest rate subsidy. The Build America Program helps states issue taxable bonds that pay higher interest rates and attract a wider audience of investors, including those from foreign countries who aren't usually interested in the tax-exempt bonds states typically issue. Hawai'i sold $500 million of the Build America Bonds with the net interest rate, after the interest-rate subsidy, of 3.27 percent. The state also sold $221.6 million of tax-exempt general obligation bonds that will go to refund other debt issued at higher interest rates. The average interest rate on this sale was 2.79 percent. The state said it will achieve about $138 million in debt service savings through 2012 because of the bonds. It also said there was significant demand from so-called retail investors, or people who wanted the bonds for their individual investment portfolios. The state said about $234.1 million of retail orders were received, many of which were from Hawai'i investors. Moody's Investors Service and Fitch Ratings have "negative" outlooks on their bond ratings for the state of Hawai'i, meaning they may lower the ranking of the bonds in the next two years if the state's financial picture doesn't brighten. Moody's noted a derailing of tourism's recovery and that attempts to raid the hurricane relief or rainy day funds might lead to a downgrade of ratings. That's something that could cost the state millions of dollars in interest costs when it goes to issue debt. (Report Provided by The Associated Press) NEWS FLASH - February 12, 2010 6:50 a.m. Summerlin Sells Clients to HMAA, Leaves Hawai'i In a move that surprised its membership and customers, Summerlin Life and Health Insurance Co. yesterday said it would sell its health plan membership portfolio to a competitor and withdraw from the business here. Summerlin said it had reached an agreement to sell coverage for its 22,800 members to the Hawaii Medical Assurance Association in a deal that will make HMAA the third-largest health insurer in the state. The transaction comes about five years after Summerlin entered the state, promising to boost competition in the health insurance business. Its departure will be a setback for proponents of bringing in more companies to compete with the large insurers that dominate Hawai'i's market. Summerlin was the first health insurer to set up shop in Hawai'i in at least a decade when it started up in 2004. At the time the head of Summerlin's parent firm, Tempe, Ariz.-based I/MX Companies, said the company had sufficient resources to compete with the state's two largest plans, HMSA and Kaiser Permanente Hawaii, and was in the market for the long haul. But the company failed to build a significant presence in Hawai'i and at the end of September 2009 ranked as the smallest of health insurers in the state, according to state Insurance Division data. It also has a reputation among some doctors and medical providers for tardy payments and in 2006, the year for which the latest state figures are available, had a complaint ratio of 0.259 complaints per 1,000 members — the highest of the state's health insurers. Paul Carter, Summerlin president and chief executive officer, said several factors contributed to the decision to sell its fully insured health insurance portfolio, including a strategic shift in I/MX's strategy to focusing on providing administrative services to self-funded union trust fund plans. "The Hawai'i market is a very interesting one," Carter said. "We think this transaction will help to continue to increase the competition in the fully insured market." no
benefit changes But the added size may give HMAA economies of scale to go after more members and better compete with HMSA, which has about 558,000 members (excluding those in self-insured plans), and Kaiser Permanente, with about 223,500 members. "For the past several years we've been working on expanding our capacity to take on larger groups," said John Henry Felix, HMAA president and chief executive officer. "We're going to be marketing more aggressively." Felix said the mutual-benefit company was approached in August about looking into the deal. No purchase price was disclosed, but HMAA apparently beat out several other local and Mainland suitors. Among the employers choosing Summerlin for employee health coverage are ABC Stores, Central Pacific Bank and The Honolulu Advertiser, he said. "We think HMAA gave us the best fit," Carter said. J.P. Schmidt, state Insurance Commissioner, has been a proponent of getting more insurers to open offices here, but said he also wants to foster strong health companies that can compete with the larger insurers. "The combination with HMAA will increase the strength of HMAA," Schmidt said. "So that hopefully will provide beneficial competition as well." Schmidt's office will review the sale and how it will affect policy holders, transition plans and company finances. He said he hopes the review will be completed in 30 days and said policy holders have the option of switching to another insurer if they don't want to have HMAA coverage. additional
services Hawai'i is the last market where Summerlin provides health insurance. It had a bumpy ride in three other states — Nevada, Illinois and Iowa — where it also pulled out of the business. Carter said the Hawai'i operation was profitable, but that its decision to focus on services, along with uncertainty about health care reform and having to pay a 4.265 premium tax persuaded it to exit the Hawai'i operation. Summerlin had to pay the premium tax because it is a for-profit company. Other insurers in the state are non-profits and aren't subject to the tax. I/MX will retain its business in Hawai'i for third-party processing of claims and administrative duties for self-funded health plans. That business, known as HMA Inc., has contracts with the state Employer-Union Health Benefits Trust Fund and the teachers union as well as others. About 100 people are employed by HMA and Summerlin in Hawai'i. HMAA also employs about 100 people. Felix said it has been gearing up to add more business and probably will hire about 30 more people to handle the business obtained from Summerlin. Reach Greg Wiles at gwiles@honoluluadvertiser.com. (Report Provided by The Honolulu Advertiser) NEWS FLASH - February 11, 2010 5:30 p.m. Mayor Challenges Governor to Find Alternatives to TAT 'Grab' WAILUKU, Maui, Hawaii- Mayor Charmaine Tavares delivered her fourth State of the County Address to a standing-room-only crowd this morning in the County Council Chambers. In her 35-minute speech that included highlights of 2009 and touched on declining revenue, Mayor Tavares challenged the Governor’s administration and the Legislature to examine all other sources of state revenue, including the numerous State special funds as well as the State’s taxing authority before moving to take away the Transient Accommodations Tax (TAT) from the four Counties. Drawing comparisons to the win by the New Orleans Saints in the Superbowl, Mayor Tavares spoke about the underdog team rebounding after odds were stacked against them. “The people of Maui County have risen to the challenges of the economic downturn,” Mayor Tavares said. “The strength, determination and resolve of our people in times of adversity and great need have been seen time and time again.” Mayor Tavares gave special recognition to the five founders of the new Haliimaile Pineapple Company- Darren Strand, Rudy Balala, Pardee Erdman, Doug Schenk and Doug MacCluer- thanking them for their efforts to continue pineapple farming on Maui following the shutdown of Maui Land & Pineapple Co.'s pineapple operations. The event was broadcast live on AKAKU channel 53 and KNUI 900 AM. A re-broadcast was aired at 11:00 a.m. on KAOI 96.7 FM and KAOI 1110 AM. In addition, on Friday, February 12, 2010, KPMW 105.5 FM will air the event at 6:00 a.m. and 11:00 a.m. Following the Address, Mayor Tavares held a press event for a group of high school digital and print media students from Baldwin High School, Kamehameha Schools-Maui, Maui High School, Maui Preparatory Academy, Seabury Hall and St. Anthony Junior-Senior High School. Mayor Tavares fielded questions from the high school reporters who attended the State of the County Address. The text version of Mayor Tavares’ speech is available now on the County’s website at www.mauicounty.gov/stateofthecounty. Photos and video will be available on the website tomorrow. (Report Provided by The Maui County Office of Information) NEWS FLASH - February 11, 2010 4:10 p.m. Higa Found Guilty in Death of O'ahu Toddler Circuit Judge Dexter Del Rosario this afternoon found accused child killer Matthew Higa guilty for the death of 23-month-old Cyrus Belt, who was tossed from an H-1 overpass in January 2008. Del Rosario said Higa "intentionally and knowingly caused the death of Cyrus Belt." Higa came to court today dressed in a blue aloha shirt decorated with beer bottles and palm trees. Cyrus Belt's mother, Nancy Chanco, immediately left court following the guilty verdict. The homicide detective who investigated the case was among the people in the courtroom, which was standing-room only when the verdict was announced. Following the verdict, no comments were made from Chanco, Matthew Higa's father Shelton Higa nor Aunt Lisa Belt. Higa faces life with the possibility of parole at sentencing. No sentencing date has been set. Prosecutor Peter Carlisle will seek an "enhanced sentence." Carlisle said today following the verdict that "there should be no tolerance for the use of crystal methamphetamine." In his closing argument last week, Carlisle said Higa was under the influence of crystal methamphetamine when he intentionally threw Cyrus to his death from an H-1 Freeway overpass on Jan. 17, 2008. Defense attorney Randall Oyama argued that Belt was already dead when Higa dropped him from the overpass and suggested that the boyfriend of Belt's mother might have been responsible for the boy's death. Higa lived in a Punchbowl-area apartment, one floor above the unit where Belt lived with his mother and her boyfriend. The crime, which occurred near noon on a weekday, shocked the state and received national attention. Chanco, testified that she was at an illegal gaming parlor called the Back Door at Beretania and River streets, gambling and smoking ice on the morning her son died, and later went to Ala Moana Center to "steal from stores" to support her drug habits. She said she left the apartment about 8 a.m. that day, leaving Cyrus in the care of her father, Lilo Asiata. Asiata did not testify in the trial but told police earlier that he was at home sleeping the morning Cyrus died. (Report Provided by The Associated Press) NEWS FLASH - February 11, 2010 11:15 a.m. HDOA Winning Battle Against Little Fire Ants on Maui HONOLULU — A four-month effort by the Hawai`i Department of Agriculture (HDOA) to eradicate a type of stinging ant on Maui is proving to be highly successful. Little fire ants (LFA) were reported on a farm in Waihee in October 2009, with an area of infestation covering about a half acre. HDOA initiated a rapid response plan to contain and eradicate the ants and after four treatments, no ants have been found at the site. Treatments will continue for at least eight more months to help ensure that LFA has been eradicated. To date, LFA has not been detected anywhere else on Maui. Since the LFA was discovered at the Waihee site, HDOA personnel from Maui, O`ahu and Hawai`i Island have been working to treat the area and prevent the infestation from spreading to other areas. A key component of the treatment plan has been a special experimental ant bait developed by HDOA scientist Cas Vanderwoude to control ants in trees. HDOA obtained a special experimental permit from the Environmental Protection Agency to test this method. “The experimental bait has been very effective,” said Neil Reimer, Ph.D., manager of HDOA’s Plant Pest Control Branch. “Until now, there were ground treatments but no effective treatment method to control little fire ants nesting in trees. There is no chance of eradication without a treatment on trees. “We also appreciate the continuing cooperation of the property owner during our eradication effort,” Reimer added. “Their assistance made our job easier and contributed greatly to the success in eliminating this serious infestation.” Originally from South America, LFA is considered among the world’s worst invasive species. LFA are tiny ants, measuring 1/16th inch long, are pale orange in color and move slowly. They can produce painful stings and large red welts and may cause blindness in pets. They can build up very large colonies on the ground and in trees and other vegetation and completely overrun a property. They will also freely move into homes. The first detection of LFA in Hawai`i was in the Puna area in 1999. Surveys determined that LFA appeared to have been on the west side for several years prior to their initial detection and was widely distributed in Puna. Attention was then focused on controlling ant populations and preventing the spread to uninfested areas on the island and to other islands; however, containment on Hawai`i Island has progressed beyond the capacity of HDOA. In January 2010, LFA was found at two locations in Kona and it is believe more infestation sites are likely. “The apparent success of the effort on Maui demonstrates how we have a better chance at eradicating invasive pests if they are recognized and reported before they become widely established,” said Sandra Lee Kunimoto, Chairperson of the Hawai`i Board of Agriculture. “We need everyone to be looking out for unusual or new pests and to report it.” HDOA, Maui County, the Maui Invasive Species Committee and the U.S. Geological Survey are working together to survey areas on Maui and to develop public awareness programs. Suspected LFA or other stinging ants should be reported to: HDOA
Maui Office – 873-3962 Read the HDOA Pest Advisory that contains information on LFA and its history in Hawai`i. (Report Provided by the State of Hawai'i, Department of Agriculture) NEWS FLASH - February 11, 2010 9 a.m. Big Waves Still Pounding North Shores 1. EVENT: The National Weather Service in Honolulu has CONTINUED the HIGH SURF ADVISORY for NORTH and WEST FACING SHORES of MOLOKAI and NORTH FACING SHORES OF MAUI, in effect until 6:00 p.m. this evening. A High Surf Advisory means that high surf will affect beaches in the advisory area, producing rip currents and localized beach erosion. 2. EFFECTS: High Surf Advisory remains in effect until 6:00 p.m. this evening. Surf along north and west facing shores of Molokai will be 12 to 18 feet today. Surf along north facing shores of Maui will be 12 to 18 feet today. Forecast surf heights are estimates of the height of the face or front of waves. A high tide of approximately 1.4 feet is expected between 1:03 p.m. and 2:21 p.m. this afternoon. The next high tide of approximately 2.6 feet is expected between 2:20 and 3:38 a.m. tomorrow morning. 3. PRECAUTIONARY MEASURES: BEACH GOERS ARE URGED TO STAY OUT OF THE WATER AND WELL AWAY FROM THE SHORE BREAK DUE TO THE HAZARDOUS WAVE ACTION AND STRONG RIP CURRENTS. 4. INFORMATION: Maui County Civil Defense will continue to monitor the situation. Please listen to your local radio and TV stations or NOAA Weather Radio for any updates. NOAA Weather Radio broadcasts can be reached by calling 1-866-944-5025. The NOAA Weather internet service can be found at www.prh.noaa.gov/hnl. Pre-recorded advisories and notifications are available 24-hours a day on the Maui County Automated Information System (AIS) by calling 986-1200. The same information is available on the Maui County website at www.mauicounty.gov. (Report Provided by Maui County Civil Defense) NEWS FLASH - February 11, 2010 8:30 a.m. Fire Damages Historic Moloka'i Church Molokai's historic Saint Sophia Church was badly damaged by fire last night. Molokai fire Engineer Keawe Puhi said the fire was reported at about 10:30 p.m. Puhi said the church's structure remains standing this morning, but that its interior had been "gutted" by the blaze. Puhi said the cause of the fire is unknown. He said fire investigators are at the scene this morning. Saint Sophia Church, built in Kaunakakai in1937, had been planning a $3 million renovation that would create a new structure called the Blessed Damien Church. (Report Provided by The Honolulu Advertiser) NEWS FLASH - February 11, 2010 6:40 a.m. Senate Committee Sets Minimum Hours, Days of Classtime Public school students could spend a minimum of 190 days and 36 hours a week in class, based on a bill passed out of the Senate's Committee on Education and Housing yesterday. While the measure was introduced as a result of widespread discontent with public teacher furloughs, the bill, if it survives the legislative session, would not affect the current furloughs. It would not take effect until the 2011-12 school year. Senate Bill 2336 is similar to a measure moving through the state House — House Bill 2486 — that would mandate a minimum of 1,080 hours a year for elementary and middle school students and 1,260 hours for high school students. Sen. Norman Sakamoto, chairman of the Senate's education committee, said the bill is an acknowledgment that Hawai'i is one of the only states that does not mandate instructional time in state law. Sakamoto said he preferred a bill that specified both number of days and hours of instruction. "When looking at where our state is compared to other states, against the entire nation, we are short," Sakamoto said. Teacher furloughs, which began Oct. 23, dropped the total instructional days in Hawai'i to 163, the lowest in the country, according to data from the Education Commission of the States. Thirty states have 180 instructional days, which is considered the unofficial standard across the country. Both the state Board of Education and state Department of Education say they are in favor of increasing instructional time. However, they are concerned about how the added time will be paid for. The amount of instructional hours in Hawai'i's public schools varies from five to six hours a day, depending on the school, education officials said. At least 15 states offer fewer instructional hours per day than Hawai'i's public schools, although Hawai'i falls below the national standard 6 1/2-hour school day, according to a survey of states conducted by the Council of Chief State School Officers. Rep. Roy Takumi, chairman of the state House's Committee on Education, said comparing Hawai'i's instructional hours to other states is difficult because many states do not calculate class time the same way. "We obviously have to do a lot of work to define instructional hours and what that includes. The challenge is that every state has a different way of calculating instructional hours. For example, Illinois includes study hall, they include school dances, as part of their instructional hours. We don't. We don't include recess. Other states do," Takumi said. Also yesterday, the Senate's Education and Housing committee passed out a bill that would give voters the opportunity to decide in November whether the state Constitution should be amended to allow the governor to appoint the BOE from a pool of candidates selected by an advisory committee. Those appointments would need to be approved by the state Senate. The measure, SB 2570, and its companion, SB 2571, are similar to a bill advancing in the state House that would ask voters if the state Constitution should be changed to create an appointed BOE similar to the University of Hawai'i Board of Regents. Reach Loren Moreno at lmoreno@honoluluadvertiser.com. (Report Provided by The Honolulu Advertiser) NEWS FLASH - February 10, 2010 2:15 p.m. Circuit Court Hears Furlough Friday Arguments The U.S. 9th Circuit Court of Appeals this morning heard arguments in Honolulu to overturn a federal judge's Nov. 9 ruling that rejected a request to halt "furlough Fridays." Circuit Judge Carlos T. Bea of San Francisco, Senior Circuit Judges Jerome Farris of Seattle and Dorothy W. Nelson of Pasadena listened to nearly 30 minutes of arguments from Honolulu lawyers representing families of special-education students. Ninth U.S. Circuit Court of Appeals Judge A. Wallace Tashima originally ruled Nov. 9 that while special-education students may suffer "irreparable harm" because of the state's decision to eliminate 17 classroom instruction days, ordering schools to reopen would cause more harm than good to the overall public interest. Carl Varady asked the court to reinstate furlough Fridays for seven families with special-education students in five Hawaii schools. Varady argued that the 17 furlough days a school year under the current teachers' union contract violates the "Individual Education Plans" for disabled students. He did not request that the court order the state to reinstate furloughs for all of Hawaii's public school. No immediate ruling was delivered. A ruling could come within days or weeks, attorneys said. Reach Loren Moreno at lmoreno@honoluluadvertiser.com. (Report Provided by The Honolulu Advertiser) NEWS FLASH - February 10, 2010 6:45 a.m. English, Committee Block Statewide Fireworks Ban Prospects for a statewide ban on fireworks dimmed yesterday after a state Senate committee chose to give counties the ability to opt out. The Senate Public Safety and Military Affairs Committee moved a bill that would ban consumer fireworks, except for permitted religious or cultural events. But senators, concerned about "home rule" for counties, amended the bill to give counties the discretion to continue to allow fireworks. The bill now moves to the Senate Judiciary and Government Operations Committee. The state House passed a bill on second reading yesterday that would give counties the right to adopt more restrictive rules on fireworks than exist in state law. The bill now moves to the House Judiciary Committee. Often dangerous fireworks displays on New Year's Eve prompted renewed interest among lawmakers this session to restrict fireworks. But a total ban was always a remote possibility, since public opinion is divided over what has become a popular tradition. "Obviously, this is an uphill battle. No doubt," said state Sen. Will Espero, D-20th ('Ewa Beach, Waipahu), the chairman of the Senate Public Safety and Military Affairs Committee, who wants a statewide ban. "But nothing is dead until the end of session." Senators on the committee appeared comfortable with a ban on O'ahu, where legal and illegal fireworks displays in some neighborhoods on New Year's Eve, caused deafening explosions and left blankets of smoke so thick that some likened it to a war zone. BLACK MARKET FEAR Honolulu police and fire authorities favor a ban, citing the potential risks to life and property. But lobbyists for the fireworks industry have said that a ban on consumer fireworks would likely create a black market and fail to prevent the spread of dangerous aerials and homemade pyrotechnics that are already illegal. State Sen. J. Kalani English, D-6th (E. Maui, Moloka'i, Lana'i), said a statewide ban would infringe on the "home rule" rights of counties. He reminded lawmakers that the state Legislature in 1994 stripped counties of the right to regulate fireworks in favor of a more uniform state fireworks control law. State law allows consumer fireworks on New Year's Eve, Chinese New Year's Day (this coming Sunday) and the Fourth of July. Permits are also granted for cultural events. Aerial and display fireworks are only allowed through permits. "You're infringing on home rule," English told Espero. "And you're taking away from my county's, and the people on the Neighbor Islands, (right) to decide what they would like. "I would support a ban on O'ahu, if that's what they want." State Sen. Mike Gabbard, D-19th (Kapolei, Makiki, Waikele), a former Honolulu councilman, said he appreciated the recognition of home rule. But he also said he drove through his west- side district on New Year's Eve "and experienced World War III going on," so he believes in moving some restriction forward. Espero and others who want a statewide ban believe that giving counties the ability to opt out will have unintended consequences. Espero said if one county allows fireworks, smugglers will take advantage and create a black market between islands. He has a separate bill that would authorize the state Department of Transportation and the state Department of Defense to inspect shipping containers for fireworks. "If you have a mish-mash of laws from county to county, you have the potential of possible smuggling in of fireworks that are legal in one county into a county where they are not legal, and that will just make the situation worse," he said. Jerry Farley, who represents TNT Fireworks, among the nation's largest suppliers of consumer fireworks, said people are already buying illegal aerials and other fireworks on the black market. He said the trade would only increase if there is an attempt at a statewide ban on consumer fireworks and even one county opts out. Farley said authorities should enforce the existing law against aerials. "This is not about anything other than a failure to enforce a statute," he said. Reach Derrick DePledge at ddepledge@honoluluadvertiser.com. (Report Provided by The Honolulu Advertiser) NEWS FLASH - February 9, 2010 7:05 p.m. Huges Waves Nearing North, West Shores Again 1. EVENT: The National Weather Service in Honolulu has issued a HIGH SURF WARNING for NORTH and WEST FACING SHORES of MOLOKAI and NORTH FACING SHORES of MAUI which is effect until 6:00 p.m. Thursday. A High Surf Warning indicates that dangerous battering waves will pound the shoreline. This will result in very dangerous swimming conditions and deadly rip currents. 2. EFFECTS: A large West-Northwest swell will arrive in the islands tonight and affect various North and West facing shores through Thursday. In addition to the high surf, moderately high tides are expected during the warning period which can cause additional beach run-up. Surf along north facing shores of Molokai will be 20 to 30 feet. Surf along west facing shores of Molokai will be 15 to 20 feet. Surf along north facing shores of Maui will be 20 to 25 feet. Forecast surf heights are estimates of the height of the face or front of waves. A high tide of approximately 2.5 feet is expected between 1:35 a.m. and 2:53 a.m. tomorrow morning. The next high tide of approximately 1.2 feet is expected between 12:25 p.m. and 1:43 p.m. tomorrow afternoon. 3. PRECAUTIONARY MEASURES: A HIGH SURF WARNING INDICATES THAT DANGEROUS, BATTERING WAVES WILL POUND THE SHORELINE. THIS WILL RESULT IN VERY DANGEROUS SWIMMING CONDITIONS AND DEADLY RIP CURRENTS. BEACH GOERS ARE URGED TO STAY OUT OF THE WATER AND WELL AWAY FROM THE SHORE BREAK DUE TO THE HAZARDOUS WAVE ACTION AND STRONG RIP CURRENTS. 4. INFORMATION: Maui County Civil Defense will continue to monitor the situation. Please listen to your local radio and TV stations or NOAA Weather Radio for any updates. NOAA Weather Radio broadcasts can be reached by calling 1-866-944-5025. The NOAA Weather internet service can be found at www.prh.noaa.gov/hnl. Pre-recorded advisories and notifications are available 24-hours a day on the Maui County Automated Information System (AIS) by calling 986-1200. The same information is available on the Maui County website at www.mauicounty.gov. (Report Provided by Maui County Civil Defense) NEWS FLASH - February 9, 2010 6:35 p.m. Trial for Accused Maui Spy Set for April 6 HONOLULU — The trial for a Maui man accused of selling military secrets to China has been delayed until April. Noshir Gowadia's attorney Birney Bervar said Tuesday that jury selection is due to begin April 6. The federal trial has been delayed several times since Gowadia was arrested and initially indicted in 2005. It had been scheduled to start Feb. 17, but hearings regarding the treatment of classified evidence weren't finished in time. Prosecutors allege Gowadia provided China with information on making cruise missiles less visible to radar and heat-seeking missiles. Gowadia has pleaded not guilty to charges that he communicated national defense information to a foreign government and to unauthorized persons, conspiracy, and other counts. (Report Provided by The Associated Press)
Senate Committee Passes Bond Bill to Fund Home Energy Projects HONOLULU – Following a round of in-person meetings with the mayors of Maui, Kaua‘i and Hawai‘i Island, Lt. Governor James R. “Duke” Aiona, Jr. today testified in support of a program that would lower energy costs for homeowners and small businesses, create green jobs, stimulate the economy and reduce the state’s reliance on foreign fossil fuel. The State Senate Committee on Energy and Environment passed legislation today supporting the program. The bill (SB 2815) would allow the proceeds of state-issued bonds to be lent through professional energy services companies to commercial and residential property owners for the installation of renewable energy and energy-efficient systems. The loans are then repaid over time through an annual or semi-annual county property tax assessment, which would be amortized over a 20-year repayment period. “I applaud the Senate committee members for their thoughtful consideration in passing this bill,” said Lt. Governor Aiona. “The key to this program is improving access to clean energy for residents and small businesses who otherwise would not be able to afford the up-front costs. By removing this major barrier, demand will increase, spurring competition and creating green jobs.” The Lt. Governor traveled to Maui this week to meet with Mayor Charmaine Tavares and other county officials about the program. Last week, the Lt. Governor traveled to Hawai‘i Island and Kaua‘i to meet with Mayor Billy Kenoi and Mayor Bernard Carvalho, Jr., respectively. (Report Provided by the Office of Lt. Gov. James R. "Duke" Aiona, Jr.)
Lieutenant Governor Pushing for State Sports Commission HONOLULU – Lt. Governor James R. “Duke” Aiona, Jr. today urged the passage of his legislative proposal (SB 2743) to create a volunteer Hawai‘i Sports Commission to attract, develop, manage and promote sports and sporting events in the state. The Senate Committee on Economic Development and Technology will vote on the bill Wednesday, Feb. 10. “We have a great opportunity to generate revenues for our economy and support Hawai`i’s active lifestyles,” said Lt. Governor Aiona. “There’s been a tremendous outpouring of support from across the state. I urge the committee to pass this measure. By passing this bill, we can make Hawai‘i a worldwide leader in sports destinations.” Research shows that amateur participatory sports comprise a $4 billion industry. In Hawai‘i, the 2009 NFL Pro Bowl accounted for $28.6 million in visitor spending, while PGA tournaments accounted for $26.3 million in visitor spending. In addition, the size of Hawai‘i’s direct golf economy was approximately $1.4 billion according to a report commissioned by Golf 20/20 for the Aloha Section of the PGA. More than a dozen community members testified in support of the measure. The State Senate held a committee hearing Feb. 3 on the Lt. Governor’s proposal. (Report Provided by the Office of Lt. Gov. James R. "Duke" Aiona, Jr.) NEWS FLASH - February 9, 2010 1:05 p.m. HTA Awards Grants to Community Service Projects Statewide HONOLULU—The Hawai‘i Tourism Authority (HTA), the state agency for tourism, has announced the selection of 27 community-based projects throughout the state to receive funding in 2010 through its Natural Resources Program (see attached list of programs). “Visitors from all over the world continue to choose Hawai‘i as a premier travel destination to experience the natural beauty of our islands and the aloha spirit of our people,” said Mike McCartney, HTA’s President and Chief Executive Officer. “HTA remains committed to supporting product development initiatives that showcase Hawai‘i’s unique tourism product.” HTA’s Natural Resources Program began in 2002 in response to a legislative mandate, stated within Chapter 201B of the Hawai‘i Revised Statutes, that directs the HTA to provide at least $1 million annually to assist projects and programs that support efforts to manage, improve, and protect Hawai‘i’s natural environment and areas frequented by visitors. Projects selected must also aim to address the goal identified in the Hawai‘i Tourism Strategic Plan: 2005-2015 (TSP) for the Natural Resources Strategic Initiative: “to respect, enhance and perpetuate Hawai‘i’s natural resources to ensure a high level of satisfaction for residents and visitors.” Programs were chosen by the HTA with guidance from its Natural Resources Advisory Group (NRAG). The Hawai‘i Tourism Authority was created in 1998 to ensure a successful visitor industry well into the future. Its mission is to strategically manage Hawai‘i tourism in a sustainable manner consistent with our economic goals, cultural values, preservation of natural resources, community desires, and visitor industry needs. For more information, please visit www.hawaiitourismauthority.org. View the complete list of grants and a description of each funded porogram. (Report Provided by The Hawai'i Tourism Authority)
Defibrillators Recalled for Possible Failures Bothell, WA – Cardiac Science Corporation [NASDAQ: CSCX] is initiating a worldwide voluntary recall after determining that approximately 12,200 automated external defibrillators (AEDs) may not be able to deliver therapy during a resuscitation attempt, which may lead to serious adverse events or death. These AEDs were manufactured in a way that makes them potentially susceptible to failure under certain conditions. The FDA has been informed of this situation. This issue is separate from the Company’s November 13 announcement regarding a voluntary medical device correction. Each of the approximately 12,200 devices affected in this recall can be confirmed at the Cardiac Science Web site at http://www.cardiacscience.com/AED1951. Cardiac Science detected this issue through its internal quality systems and has received no complaints or reports of this problem in the field. The affected AEDs were manufactured or serviced between October 19, 2009 and January 15, 2010 and include the following models: -
Powerheart 9300A, 9300E, 9300P, 9390A, 9390E Customers who received any of these AED models since October 19, 2009 can visit http://www.cardiacscience.com/AED1952 to determine if they have an affected AED. Each affected AED should immediately be removed from service since it may not deliver the expected therapy. All affected AEDs will be replaced at no charge to the customer. Cardiac Science will contact customers by letter and will provide them with replacement AEDs as soon as they are available. Replacement shipments are anticipated to begin February 15. The Company expects to record a charge of between $2.0 and $3.0 million in the fourth quarter of 2009, reflecting its current estimate of the expected costs relating to this action. Actual costs may vary based on a variety of factors. Cash expenditures relating to replacement of the affected AEDs will occur in the first half of 2010. The company does not currently believe this action will have a significant adverse impact on its ability to fulfill AED orders for the first quarter. Customers may contact the Company immediately at 888.402.2484 within the United States. Outside the US, customers can contact +44.161.926.0011 or the local Cardiac Science representative. Customers can also email the company at aed195@cardiacscience.com for more information. (Report Provided by the United States Food and Drug Administration)
Kealia Pond Seeking Local Contractor Bids for New HQ Start sharpening your pencils – the solicitation for bidders to construct a 7,500-square foot headquarters and visitor center at Kealia Pond National Wildlife Refuge on Maui is now available and will close on March 8 at 11 a.m. HST. A prebid meeting for contractors interested in the project will be held at the refuge on February 22. “We’ve been working diligently on the design and specifications for the building,” said Glynnis Nakai, project leader for the Maui National Wildlife Refuge Complex. “Needless to say, we’re excited the project is now out for bid, and look forward to the beginning of construction.” The project is being funded through the American Recovery and Reinvestment Act and is scheduled for completion in June 2011. It will be located off the refuge’s entrance road at milepost 6 of Mokulele Highway on a parcel of land recently acquired from Alexander and Baldwin Properties, Inc. In November 2006, fire destroyed the modular office at Kealia Pond. Since then, the refuge staff has been working from two trailers and three retrofitted metal shipping containers. The new building will include offices, an exhibit hall, and a multi-purpose room and will meet Leadership in Energy and Environmental Design (LEED) criteria. The solicitation is available at http://www.fws.gov/filedownloads/ftp_r1cgs_solicitations/10181rr314/, or go to https://www.fbo.gov/; search for Solicitation # 10181RR314. Questions regarding the construction project and the contract may be submitted to the contracting officer, Karl Lautzenheiser, at Karl_Lautzenheiser@fws.gov prior to midnight on February 23. Prospective bidders are encouraged to attend the prebid site visit on February 22 at 1:30 p.m. Questions regarding that meeting should be addressed to Glynnis Nakai at 808.875.1582. Kealia Pond National Wildlife Refuge was established in 1992 to permanently protect wetland habitat for endangered waterbirds (primarily the ae‘o or Hawaiian stilt and ‘alae ke‘oke‘o or Hawaiian coot), provide dependable habitat for wintering migratory wetland birds, and provide wildlife-dependent public uses. The new facility will enhance refuge operations, increase energy efficiency, and significantly expand opportunities for the public to learn about and enjoy Hawai‘i’s native wildlife. The mission of the U.S. Fish and Wildlife Service is working with others to conserve, protect and enhance fish, wildlife, plants, and their habitats for the continuing benefit of the American people. We are both a leader and trusted partner in fish and wildlife conservation, known for our scientific excellence, stewardship of lands and natural resources, dedicated professionals, and commitment to public service. For more information on our work and the people who make it happen, visit www.fws.gov. (Report Provided by the Kealia Pond National Wildlife Refuge) NEWS FLASH - February 9, 2010 8:50 a.m. Makena Beach Resort Goes on Auction Block The former Maui Prince Hotel, now known as the Makena Beach and Golf Resort, will be offered for sale with its two golf courses and undeveloped land at a public foreclosure auction in April. A Maui circuit judge recently authorized the auction in a foreclosure case initiated in August by lenders holding a $192.5 million mortgage on the luxury hotel and surrounding property. A date for the auction has yet to be set, but it will be handled by local real estate developer and broker Chris Lau, who was named foreclosure commissioner in the case. After the auction, there will be one more chance at a court confirmation hearing to outbid the auction's highest bidder. Often during foreclosure auctions, the mortgage holder can prevent anyone from acquiring the property for less than the amount owed on the mortgage by making a credit bid up to what is owed. A venture including Maui development firm Everett Dowling Co. and a Morgan Stanley real estate fund bought the 310-room Maui Prince, two golf courses and 1,300 acres of undeveloped land in 2007 for $575 million from Japan-based Seibu Group with plans to reposition the property. The buyer financed the purchase with the mortgage plus $200 million in equity and $227 million from other investors that received no security in the property. Wells Fargo is the trustee for the mortgage debt held by a group of lenders. Lau in a statement said the hotel and golf course are expected to operate normally during the sale process. The resort yesterday began marketing a Pride Romance Package geared toward the gay and lesbian community, for $95 per person per night, double occupancy, including breakfast for two. The property is being managed by Benchmark Hospitality International, which in September replaced Prince Resorts Hawaii at the request of Wells Fargo. A court-appointed receiver, attorney Miles Furutani, will continue overseeing operations until a purchase is completed. Reach Andrew Gomes at agomes@honoluluadvertiser.com. (Report Provided by The Honolulu Advertiser)
Home Sales Jump on Maui - Condos Don't Maui's housing market experienced dramatic swings in sales of single-family homes and condominiums in January compared with the same month a year earlier. There were 46 single-family home sales on the Valley Isle last month, a 48 percent rise over 31 in the same month a year before, according to the Realtors Association of Maui. The strong gain coincided with big jumps in January sales reported earlier on O'ahu, Kaua'i and the Big Island. But for Maui the jump came off a dramatic year-ago low. Sales in January 2009 marked a low for any month since February 1997, according to trade association data. Also lackluster was the median sale price that was down 16 percent to $469,000 last month from $558,000 a year earlier. The number of Maui condo sales was down 31 percent to 71 last month, from 108 a year earlier. Again, the year-ago figure was somewhat of an anomaly as the most for any month since 2007 when Hawai'i's housing market was still hot. A new condo project in Ka'anapali called Honua Kai helped produce many of the sales in January 2009, according to Terry Tolman, chief executive of the Realtors Association of Maui, which includes sales of previously owned and new homes in its data, unlike data compiled by the Honolulu Board of Realtors that excludes new-home sales. The median price for Maui condos was down 47 percent to $424,000 last month from $805,000 a year earlier. Again, the swing was influenced by the Honua Kai project. In Ka'anapali, there were eight condo sales last month for a median $722,500. A year earlier, there were 69 sales for a median $1.17 million. The median is a point at which half the sales were for a higher price and half for a lower price, so a large number of new luxury condos will push the median higher. Reach Andrew Gomes at agomes@honoluluadvertiser.com. (Report Provided by The Honolulu Advertiser)
NEWS FLASH - February 9, 2010 8:15 a.m. FBI Warns Isle Residents of Email Scam The Federal Bureau of Investigation is warning Hawai'i residents that scam e-mails purportedly from the FBI are flooding into the state from Nigeria. FBI Special Agent Tom Simon said the bureau has received dozens of complaints about the e-mails in recent months. He said that probably means hundreds or thousands of other e-mail users have also received the fake messages. The scam e-mails tell recipients they have won money and that the FBI is trying to verify the recipient's identity. It includes a picture of a U.S. citizen's passport and a fake FBI agent's name. Special Agent-in-Charge Charlene Thornton of the FBI's Honolulu office said the e-mails are probably an "advance fee scheme" in which recipients are asked to send money to later get a larger sum. (Report Provided by The Associated Press)
GET Hike Part of Delayed Fulough Bill The state Senate's education committee again postponed a vote on a bill that would eliminate the remaining public school teacher furlough days through use of the state hurricane relief fund and an increase in the general excise tax by 1 percentage point. After some committee members expressed concerns about the bill yesterday, Sen. Norman Sakamoto, chairman of the Senate Education and Housing Committee, deferred decision-making until tomorrow to give lawmakers time to discuss how to improve the measure. Senate Bill 2437 calls for use of the state's emergency and budget reserve and federal Troubled Asset Relief Program funds to restore as many instructional days as possible until Jan. 1, 2011. Beginning Jan. 1, 2011, the bill would then use a 1 percentage point increase in the general excise tax to pay for the remainder of the furlough days. The general excise tax on O'ahu would increase from a nominal rate of 4.5 percent to 5.5 percent, although the amount businesses would legally be allowed to charge would actually increase from 4.712 percent to 5.820 percent, to account for the "tax on tax" effect. On the Neighbor Islands, the excise tax would increase from 4 percent to 5 percent (4.166 percent to 5.263 percent). To offset the tax increase, Sakamoto noted that the bill would also increase the state standard income tax deductions and would provide tax credits for the purchase of food items. "If some of the concerns can be addressed, perhaps not all, maybe we can move it forward," said Sakamoto, D-15th (Waimalu, Airport, Salt Lake). Committee members had a wide range of concerns, including opposition to a general excise tax increase and earmarks within the measure. Sen. Fred Hemmings, R-25th (Kailua, Waimanalo, Hawai'i Kai), said he planned to vote against the measure and noted that the Hawaii State Teachers Association has been actively lobbying lawmakers to fund furlough days. "I find it unconscionable that union leadership ... are holding our kids hostage by keeping our kids out of schools, posing tremendous hardship on the working parents of Hawai'i in order to raise taxes that will further exacerbate our economy," Hemmings said. Sen. Shan Tsutsui, D-4th (Kahului), also said he planned to vote no, noting that the bill contained earmarks. "As a member of the Ways and Means Committee, I would support a measure that would not tie our hands to certain programs and services but would give us the flexibility to deal with the current budget shortfall in its entirety," Tsutsui said. The committee also deferred votes on 10 bills that would overhaul the public school system by reestablishing the elected Board of Education as a body that is fully or partially appointed by the governor. Those measures would put a state constitutional amendment on the ballot in November. Reach Loren Moreno at lmoreno@honoluluadvertiser.com. (Report Provided by The Honolulu Advertiser) NEWS FLASH - February 9, 2010 6:55 a.m. State Tax Refunds Will Be Delayed Until July Some Hawai'i residents may not see their state income tax refund checks until the end of August even though they file their taxes on time. The state Department of Taxation yesterday said it will begin issuing the checks in July, but it could be that some refunds won't get sent out until late summer. "It probably won't happen, but it is possible," said Stan Shiraki, the department's deputy director. "We are going to process as quickly as possible." The delaying of refund checks is allowed by state law and is being used this year as Gov. Linda Lingle looks for ways to ease an expected $721 million revenue shortfall in the year that ends June 30. Lingle is pushing some costs into the next fiscal period, which begins in July. Several states, including California, Missouri and Kansas, last year used the tactic of delaying refunds to help with their financial problems. The Department of Taxation said the state should save $275 million with the shift of the refunds. It will go toward balancing the state budget. Many residents interviewed yesterday were unhappy with Lingle's plan. Stephen Salmon, 39, said he depends on his annual refund check each spring to help with his child support payments. "If it doesn't come back to me, it's going throw my budget off," said Salmon, a Waikiki resident who is an independent construction contractor. Salmon relocated from Maui to O'ahu last year to get a job. "It's been a struggle, but I'm still finding work," he said. Delaying tax refunds isn't the right move during a recession, he said. "It's been a difficult time; all my friends are struggling." Sheryl Ah Sam, 51, like Salmon, believes Lingle should have polled the public first before deciding to withhold refund checks. "You'd like to have a choice," said Ah Sam, a Pearl City businesswoman. "It's money that you have a right to have come back to you." While she rarely gets a refund, she said, her daughters look forward to their checks. Ah Sam was resigned to the decision, however. "She's already doing it; what are you going to do?" ECONOMIC IMPACTS Many taxpayers use refunds like a savings plan and look at the checks as a windfall that can be used toward a big purchase or vacation, said David Ramirez, owner of Tax Relief Services in Honolulu. For others, the refund can provide welcome breathing room from day-to-day expenses. "A lot of people are dependent on the refunds, both federal and state," Ramirez said, adding that the state refund is typically much smaller than the federal check, perhaps amounting to several hundred dollars, while the federal refund may be $2,000. "If it was a delay with the federal there would be a big impact." Still, if they came on time, the state refunds would help boost the economy in May and June as people spend their checks, said Lowell Kalapa, head of the Tax Foundation of Hawaii. Moreover, some people may take the state's delay as a warning signal to boost their own savings and not spend the money, Kalapa said. He said this was the first time in the almost 40 years he's been involved in the tax business that he can remember the state delaying paying refunds. The tardy payments will apply to personal and corporate income tax refunds. The state is allowed to take 90 days to process the tax returns after the April 20 deadline for state income tax. The state comptroller has another 45 days to mail the check. That places the deadline for the state issuing checks on about Sept. 2. If it goes past that date the state must pay interest on the refunds. Kalapa said the state pays around 4 percent annually, as opposed to the 8 percent residents must pay if they are tardy with tax payments. "They always have the luxury of the law being on their side," Kalapa said. FIRST IN, FIRST OUT 'Ewa Beach college student John Bogac, 39, said that taxpayers have already had to suffer through furloughs and other cuts in service. Bogac said when he was employed, the refund check was something to look forward to because it amounted to a bonus that would go to a major purchase such as a computer or a car. Henrietta Maka, a 64-year-old McCully resident, said she usually gets about $200 back. "I spent it. I can't do anything else with it," she said with a laugh. Maka said she recently retired from the U.S. Postal Service so a refund check might mean a little more for her this year. "I feel bad (about the delay), but mostly for the others who really expect to have it," she said. Shiraki said the Department of Taxation intends to process returns quickly and have the information to hand over to the state comptroller by July 1 so the checks can be mailed out expeditiously. He said that residents should consider choosing direct deposit to bank accounts since the comptroller's office can only print so many checks each day. In general, though, the refunds will be paid on a first-in, first-out basis. Shiraki said people should keep that in mind if they consider delaying filing their tax returns because their refund checks will be mailed later. He also said it is possible that some refund checks could go out sooner than July 1 if the state's revenue picture unexpectedly improves. Kapolei resident Shannon Tecson said she typically gets a refund of $3,000 to $8,000 each year. But the 36-year-old independent Herbalife distributor said she won't miss the money. "I make money every day," Tecson said. "I feel that us, as citizens, should learn how to sustain ourselves." Tecson said she doesn't mind the state holding onto her money. "I give what's due without complaint," she said. Reach Greg Wiles at gwiles@honoluluadvertiser.com. (Report Provided by The Honolulu Advertiser) |
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