LIHU‘E — The County of Kaua‘i has released its Comprehensive Annual Financial Report for fiscal year 2011, which began July 1, 2010, and ended June 30, 2011. FY2011 began with a $68.9 million surplus and ended with a $57.26 million
LIHU‘E — The County of Kaua‘i has released its Comprehensive Annual Financial Report for fiscal year 2011, which began July 1, 2010, and ended June 30, 2011.
FY2011 began with a $68.9 million surplus and ended with a $57.26 million surplus, according to the CAFR prepared by N&K CPAs, an accountant firm based in Honolulu, and issued Dec. 15.
The CAFR’s statistics show Kaua‘i and Ni‘ihau have approximately 68,000 residents combined. Kaua‘i measures 549 square miles and has 137 miles of coastline. Ni‘ihau measures about 70 square miles.
The County of Kaua‘i is the smallest in size, population and operating budget among all four counties in Hawai‘i. The county has operated under a mayor/county council form of government since 1969.
The island’s economy has shown a more upbeat trend compared to other Neighbor Island counties. Since 2009, Kaua‘i’s economy has shown a slight but positive trend.
Tourism
Kaua‘i’s largest industry is tourism.
The latest reports from the state Department of Business, Economic Development and Tourism and the Hawai‘i Tourism Authority show that in October 2011, the number of visitor arrivals for the previous 12 months was 900,000, an increase of 4.7 percent from the previous year.
Overall visitor spending and overall spending per person per day increased in October (year-to-date) to $990 million, up 19.3 percent, and to $172.80, up 13.1 percent, respectively.
Film
There were at least 75 films produced on Kaua‘i since 1933’s Cane Fire. In 2010, four major Hollywood productions were filmed on Kaua‘i — “Soul Surfer,” “The Descendants,” “Just Go with It” and “Pirates of the Caribbean: On Stranger Tide.” Three TV shows were also filmed on Kaua‘i in 2010.
Film expenditures totaled approximately $40 million, which included the hiring of more than 250 island residents as film crew, cast, security, staff, caterers and others.
Real estate
A significant portion of real estate transactions were foreclosures and short sales, creating a downward pressure on prices.
The number of Realtors dropped by 40 percent from the industry’s peak in 2008.
Sales of single-family homes remained the same, but latest projections show median prices on the rise.
The construction industry benefited from resort-related building and public sector projects, adding more than 100 jobs last year.
Agriculture, energy
Kaua‘i’s agricultural industries are the production of seed crops, coffee, cattle and other livestock, and food crops, including fruits and vegetables.
With 3,400 acres, Kaua‘i Coffee is still the largest coffee plantation in the U.S. The island produces two-thirds of the state’s taro and poi.
The largest solar farm in the state is in Kapa‘a. The project was completed December 2010. There are other renewable energy projects — some larger than Kapa‘a’s project — in discussion and planning phases in Koloa and Kekaha.
Initiatives
Out of 32,993 taxable parcels, 9,310 parcels qualified for FY2011 tax relief programs, which provided tax credits totaling $6.6 million to residents.
The Department of Public Works issued 8,721 credits at $20 per month to eligible residents who use sewer lines, totaling approximately $200,000 in savings to households. The general fund subsidized the sewer relief program.
Long-term financial planning
No new general obligation bonds have been issued in the current fiscal year. The appropriated balance in the bond fund amounts to $71 million.
The county has appropriated funding for many projects, including alternative energy, the acquisition of a landfill site, an adolescent drug treatment center, the Wailua emergency bypass improvements, ‘Aliomanu Road erosion and a materials recycling facility, among others.
Employee union contract
With the exception of Hawai‘i Government Employees Association, all other union contract information is not available, as negotiations are continuing.
Per supplemental agreement between the county and HGEA, effective July 1, 2011, through June 30, 2013, employees shall remain at the salary rate in effect on June 30, 2009.
Visit www.kauai.gov/finance to download the CAFR from previous years. The current CAFR is not yet available online.
