While the Legislature is entering its third phase at the Capitol as bills have crossed over and back to the originating chamber where the legislation was initially introduced, the nonprofit sector as an industry continues its ramp-up of fundraising activities
While the Legislature is entering its third phase at the Capitol as bills have crossed over and back to the originating chamber where the legislation was initially introduced, the nonprofit sector as an industry continues its ramp-up of fundraising activities during the second quarter of this calendar year.
As an industry sector, collectively, this is another important leg of our economy where residents and visitors contribute the highest per capita of giving throughout the state of Hawaii. This is indeed a very rich and proud tradition of Kauai and what makes our giving culture a strong community and sense of place with the highest values practiced from child to adulthood.
Many businesses from individual to small, medium and large size often donate, both in goods and services, in addition to time and talent. Businesses are led by leaders, employees, and owner-entrepreneurs from entry level to management. During the recession, which is just ending, what really needs to be remembered was that no matter how tough it was (such as individuals being laid off, homes being foreclosed, or everyone really pinching their nickels and dimes) the community’s priorities remained the same: Find a way to help and give back to our community, especially, those less fortunate who need a helping hand.
Let’s not forget the recent recession experience as our economy continues to move forward and recoup the losses of the previous six years. Unbelievably, many businesses are still trying to recover despite the April data and perception that business is improved/recovered (in reality, not yet for many throughout the island, just ask the small business owner from the North Shore to Westside).
Economic reports including the Council on Revenues (which provides a forecast for the Legislature to determine economic policy/activity/budget planning) forecast a downtrend.
April showers the island with various fundraisers including school-related (high schools project graduations) and industry-related (Hawaii Tourism & Lodging Association-Kauai Chapter Visitor Industry Charity Walk Bowling Tournament), to the annual Hawaii Food Bank Statewide Food Drives.
May will be the continuation of the HTLA’s big event – Charity Walk on May 17 and followed by the start of several golf tournament fundraisers including the Kauai Chamber’s 11th annual Golf Scholarship Tournament, Easter Seals (June 22), Kauai United Way (July 20), and Kauai Filipino Chamber of Commerce (Sept. 1).
The recent Chamber Business After Hours hosted by Hawaii Food Bank-Kauai reminded attendees to not forget that the need is still great as many individuals and families are still struggling to have food on their tables, most of all, in their stomachs.
Mahalo to everyone who made the event a very heartfelt effort in which 259 pounds of food was collected and greenbacks collected and donated and thus added additional funds that will help leverage more buying power for food and produce.
Additionally, mahalo nui loa to the dedicated staff and board, volunteers and food and beverage donors, plus, the entertainment and others who made the evening an important reminder about continuing our culture of aloha of giving back to our community. Mahalo to Kauai’s many nonprofits/nongovernmental agencies who fill an all-too-important gap where government cannot be all things to everyone and be the cavalry.
While the Legislature and nonprofits continue to do their part at the local and county level government, the business community/taxpayers are also reviewing this fiscal year’s upcoming 2015-2016 budget.
The chamber continues to monitor the Legislature’s committee meetings and the potential outcome/impact of various pieces of legislation.
Of importance to everyone at all of the county levels is the potential and hopeful lifting of the Transient Accommodations Tax (TAT/Hotel Room Tax) cap which saw a cap/limit/maximum of how much TAT would be passed over to the counties as additional revenue and thus offset the costs of counties paying for services often used by visitors, including parks and recreation.
During the recession, as the Legislature and executive branches were looking for more revenue to offset the state budget revenue reductions, the visitor industry sector saw the TAT increase from 7.25 to 8.25 and, more recently, 9.25 percent. Compounding this effect was while the increase occurred, the contrarian effect was less TAT to Kauai County and thus in this year’s budget, the potential increase in real property taxes being levied on hotel/resort properties.
How much more goose is golden when there will be no more silver lining for the state’s No. 1 industry, after defense, construction and retail? The chamber as a member of the Kauai Business Council will meet with the executive branch to talk about the proposed budget and budget priorities.
Hopefully, before the meeting, the TAT cap will be lifted and a forward-thinking business climate will prevail on Kauai, which balances budget realities to budget theories expounded by everyone in government, local and state.
Furthermore, stay tuned for what the final result will be of the increase in the minimum wage, which will be a challenge for not only businesses, especially the small ones, but ultimately, consumers.
• Randy Francisco is president of the Kauai Chamber of Commerce
