The state’s mismanagement of our general fund and its failure to diversify our economy years ago are not an excuse to rob millions of dollars from the county via the hotel tax. The county is going to have a hard
The state’s mismanagement of our general fund and its failure to diversify our economy years ago are not an excuse to rob millions of dollars from the county via the hotel tax.
The county is going to have a hard enough time balancing its own budget after not adequately planning ahead last year for an expected economic shortfall this year (Tens of thousands of dollars for reusable bags? Really?). The last thing the county needs is the state to cut 10 percent of its overall budget by yanking the transient accommodations tax money.
As such, we support Mayor Bernard Carvalho Jr.’s call this week asking the state to not touch the TAT and to avoid reducing other funding sources and transferring services. Shifting the responsibility from one governmental entity to another solves no problem. As the mayor says, the impacts on residents and visitors remain the same.
We urge the state to enter into a collaborative relationship with the county and find a responsible way to weather this economic storm.
That said, we’re unsure about the mayor’s request for the state to match the county with $7 million in capital improvement money. The four projects Carvalho cites are questionable at this time, given our financial challenges.
There is no doubt that ‘Aliomanu Road is in disrepair. But to invest $3 million on a 500-foot revetment on a street with so few homes does not seem to be a top priority at a time when children are out of school on Fridays and government offices are closed due to furloughs.
Similarly, the time is not ripe to commit $1 million to develop a sports facility at Kapa‘a New Park. Needed? Yes. Can it wait? Yes.
Preserving open space and protecting beach access will always remain a top priority on Kaua‘i and in the state. But asking for $4 million to do $8 million worth of work is tough to sign off on when other core functions are being cut left and right. We’re on board for expanding Black Pot Park, securing a route to Kauapea Beach and improving the path to Papa‘a Bay. But timing is everything.
The fourth project the mayor asks the state to match the county on is the Kilauea Agricultural Park Development at a combined $2.6 million. This project seems to have the most worth on its face, given its sustainability-mindedness and the anticipated 100 jobs that would be created in the beat-up agricultural sector. But is Kilauea really a good place to devote such resources? Wouldn’t the acreage behind Kalepa Ridge be more ideally suited? Location is everything. Resources are slim. Let’s utilize them wisely.
The state Legislature, which begins its session in a couple weeks, and the county, whose department heads have started their budget process, must really examine what public health and safety programs are critical moving forward and separate those from the programs created when we were flush with money.
It’s time to scale back now in order to set ourselves up for a prosperous future. Our over-reliance on tourism is taking its toll as we speak. Let’s make smart decisions now, create a healthier business climate and diversify our economy to position ourselves for a successful future.
We can’t rely on increased taxes and fees to bail ourselves out of difficult times, especially in a state that already leads the nation in such categories.
The mayor’s proposed increases in wastewater and vehicle registration fees only hurt those least able to afford it. And let’s not even talk about the plans being developed for two-day-per-month furloughs for county employees.
We can enter 2010 with optimism if we balance long-term solutions with short-term realities and commit ourselves to making the tough decisions when benefit goes to those most in need.
