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2006 Legislative Wrap-up

Thursday, June 15th, 2006

By: TRUSTEE ROWENA AKANA

Source: June 2006 Ka Wai Ola o OHA Column

`Ano`ai kakou…  I had high hopes of a productive legislative session back in January, but my hopes were dashes by mid-session when several bills that were dear to me died in committee.  Here is a brief run-down of three bills that I strongly supported:

Interim Revenue.  Senate Bill 2948 establishes the amount of interim revenue to be transferred to the Office of Hawaiian Affairs from the public land trust, each fiscal year beginning with fiscal year 2005-2006, at $15,100,000.  The bill also appropriates $17,500,000 as the amount of revenues owed to OHA for the underpayment of OHA’s pro rata share of the public land trust revenues between July 1, 2001 and June 30, 2005.  As of this writing, the bill is awaiting signature from the Governor to be enacted into law.

OHA Retirement Bill.  SB916 would have allowed trustees with at least five years of service with the Employees’ Retirement System (ERS) to buy-back credit for their prior service.  SB 916 was just a housekeeping measure that would correct an oversight in a previous bill passed in 2002.  Unfortunately, for the past three years, the ERS board, through its Administrator, has lobbied the House not to pass the bill.  For this reason, the House Hawaiian Affairs Committee Chair, Representative Scott Saiki, refused to even give the bill a hearing.

Property Tax Exemption for Kuleana Lands.  SB914 would have exempted Kuleana lands from real property taxes if the land has been continuously occupied by the original titleholder.  Commercial developments have led to sharp increases in taxes on real property, including Kuleana land, throughout the State.  These increases have adversely affected many Hawaiian families who live on kuleana lands because they are unable to pay for the taxes.  Hawaiian families living on kuleana land now face the loss of their land and legacy that took generations to establish and must confront the possibility of homelessness.

SB914 got a hearing on the Senate side, thanks to the Judiciary and Hawaiian Affairs committee chairman, Senator Colleen Hanabusa, but the bill came up one-vote short of passing.  I tried to convince Senator Donna Mercado Kim, who voted “no,” to change her mind and support the bill.  Unfortunately, she refused to budge from her position that we should first get each county to agree to it.

I am currently working to get a city ordinance passed at the Honolulu City Council.  Bill 25 was introduced on March 15, 2006 and was passed unanimously by the Council’s Budget Committee on April 26, 2006.  It is scheduled to be heard and voted by the full Council on May 17th. 

Ceded Land Revenues.  HB 459 would have clarified the lands comprising and the revenue derived from the public land trust under the state constitution and what is owed to OHA.  Like in past sessions, this bill went no where.  Ever since 2001, when Act 304 was repealed, OHA has tried unsuccessfully to pass legislation that would reestablish the continued funding of OHA from ceded land revenues.  We almost got the bill passed in 2003.  It was passed unamended in the Senate but died in the House Finance committee after the committee changed the bill to leave out money from improvements to the land.

As the campaign season heats this fall, I ask that you question the candidates in your district about their positions on important Hawaiian issues.  It’s time to take a stand against politicians who patronize Hawaiian issues with meaningless words and no positive action.  Politicians like Representative Scott Saiki, who are influenced by lobbyists instead of their constituents, don’t deserve to be re-elected.  In the last election, Rep. Saiki won by only 5,006 votes, while OHA trustees typically win with over 100,000 votes from all voters (not just Hawaiians) state-wide.  It should be obvious who really represents the people.

Let’s remind all elected officials that our issues are important and should never be pushed aside and ignored.  Hawaiians make up 20% of the population and in the last several elections have had a high voter turn-out rate of 75%, despite the fact that Hawaii has one of the lowest voter turn-out rates in the country.  This should be a wake-up call for all elected officials that Hawaiians are aware of their political power at the ballot box.  Imua e Hawai’i nei…

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Posted in Government, Political

Getting nowhere at the ’06 legislature

Monday, May 15th, 2006

By: TRUSTEE ROWENA AKANA

Source: May 2006 Ka Wai Ola o OHA Column

`Ano`ai kakou…  Those of you who have tried to get a bill passed at the state legislature know that it can be an exercise in pure frustration.  You can spend years explaining the facts to legislators and still get absolutely nowhere.  Although the legislative process is supposed to give all ideas a fair shot at getting passed, the brutal truth is that all it takes is one committee chair to ruin years of hard work.

For the past three years, OHA has been lobbying to pass a bill (currently Senate Bill 916) which would allow trustees with at least five years of service with the Employees’ Retirement System (ERS) to buy-back credit for their prior service.  SB 916 is just a housekeeping measure that would correct an oversight in a previous bill passed in 2002.  In my opinion, there shouldn’t be a single reason why the bill shouldn’t pass.  Unfortunately, for the past three years, the ERS board, through its Administrator, has lobbied the House not to pass the bill.  For this reason, the House Hawaiian Affairs Committee Chair, Representative Scott Saiki, refused to even give the bill a hearing. 

This highlights a major flaw in our legislative system.  Obviously, the legislature should not and could not hear all 4,000+ bills that are introduced year-after-year.  However, SB 916 is not a new bill and OHA has been working hard to educate members of the House and Senate about it for the past three years.  The Senate finally agreed that the bill is a good one and sent it over to the House for consideration – and Rep. Saiki promptly ignored it until it missed a deadline and died again in his committee.

It is the height of arrogance for a State Representative to disregard years of hard work by OHA trustees and staff to get the bill passed.  Not to mention the unfairness of not allowing trustees the opportunity to buy-back the years of service when OHA was not part of the state retirement system.  He could have at least given us the courtesy of a straight answer on why he didn’t want to hear the bill, but that’s the problem with politicians nowadays.  They lack courage to state their positions publicly.  Instead of concentrating on doing what is right, they worry about their poll numbers.  I would have respected this Representative more if he’d given the bill a proper hearing and then publicly explained, for the record, why he doesn’t support it.  At least we would have some direction as to how to address his concerns.

One possible explanation for Rep. Saiki’s negative position on the bill is that he mistakenly thinks that it will cost the state money – money they can’t afford.  According to Veryan Allen’s special to the Star-Bulletin (March 5, 2006), “The ERS receives and pays for poor ‘advice’ from a conflicted, mainland consultant that appears to lack the expertise to add value to an institutional portfolio in today’s investment environment.  Back in 1999, ERS assets were $9.7 billion and today they are just $9.6 billion, despite growing liabilities and regular capital contributions, possibly exposing Hawaii taxpayers to having to fund the over $3 billion that is unfunded, according to the most recent ERS financial report.  In six years, a competently advised, properly diversified portfolio should nearly double in asset size.” 

For the record, SB 916 wouldn’t cost the state anything.  The cost for our pension is paid for out of our own pockets and the employer match is paid for by OHA. 

The only way to combat unilateral decisions made by our lawmakers is for all of us to be active and participate in the process.  We need to have the courage to stand up against the abuse of power given to elected officials.  Imua e Hawai’i nei…

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Posted in Government, Political

2005 OHA legislative package needs your support

Tuesday, February 15th, 2005

By: TRUSTEE ROWENA AKANA

Source: February 2005 Ka Wai Ola Article

`Ano`ai kakou…  The State Capitol is buzzing with activity so it must be that time of the year again.  Here are some important bills from our 2005 legislative package that really need your support at the legislature:

Ceded Land Revenues.  Ever since 2001, we’ve tried unsuccessfully to pass legislation that would reestablish the continued funding of OHA from ceded land revenues.

Act 304, which was passed by the legislature in 1990 to clarify and the State’s obligation to transfer ceded land revenues to OHA, was repealed by the Hawaii Supreme Court in the Office of Hawaiian Affairs vs. State of Hawaii (2001) case involving ceded land revenues derived from the Honolulu International Airport.  

We almost got the bill passed in 2003.  It passed unamended in the Senate but died in the House Finance committee after the committee changed the bill to leave out money from improvements to the land.  In other words, if someone was leasing ceded lands for a dollar, but they built a building on it and was making millions of dollars from it, all OHA would get is 20% of just one dollar (20 cents).  In the end, we were forced to oppose our own bill.

The Legislature must define, once and for all, the revenue stream from public trust lands that is to be given to OHA for the benefit of Hawaiians.  Only by this action will the State finally move towards fulfilling its constitutional obligation to our people.

Hawaiian Representation on State Boards and Commissions.  We have submitted individual bills that would ensure Hawaiian representation on the Board of Land and Natural Resources, the Land Use Commission, the public advisory body for the Coastal Zone Management Program, and the Commission on Water Resource Management by specifying that one member of each body shall be appointed from a list of nominees submitted by OHA. 

The board, commission, and advisory body mentioned above regularly make decisions impacting the rights of Hawaiians.  These decisions often have immediate and lasting impacts on matters relating to Hawaiian cultural, economic, social, religious, political and historical concerns, all of which State law recognizes as being attached to the use and management of Hawaii’s natural resources. 

Despite this recognition under State law, Hawaiians have had no more of a voice on these bodies than any other member of the general public.  Our bill addresses this deficiency in the State’s regulatory scheme with respect to issues involving Hawaii’s land and natural resources.

Kuleana Lands.  Commercial developments have led to sharp increases in taxes on real property, including Kuleana land, throughout the State.  These increases have adversely affected many Hawaiian families who live on kuleana lands because they are unable to pay for the taxes.  Hawaiian families living on kuleana land now face the loss of their land and legacy that took generations to establish and must confront the possibility of homelessness.

OHA’s Kuleana land bill proposes to end this injustice by exempting Kuleana lands from real property taxes if the land has been continuously occupied by the original titleholder.

OHA Budget.  The following organizations have received significant boosts in their proposed budgets:  (1) Na Pua Noeau has gone from $581,948 in fiscal year 2005 to $707,208 in fiscal year 2006 – an increase of $125,360; (2) The Native Hawaiian Legal Corporation’s budget has jumped from $776,603 in fiscal year 2005 to $1,184,604 for fiscal year 2006 – an increase of $408,001; (3) Alu Like, Inc.’s budget has increased from $596,000 in fiscal year 2005 to $730,000 for fiscal year 2006 – an increase of $134,000.

I encourage all of you to call or write your legislators and let them know where you stand on all of the issues near and dear to us.  Also, your personal testimony will be very much appreciated when our bills are up for consideration in legislative committee hearings.  I look forward to working with all of you during this session of the legislature.  Imua e Hawai’i nei…

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Posted in Government, Land, Political

Let Down by Legislative Leaders

Wednesday, September 15th, 2004

By: OHA TRUSTEE ROWENA AKANA

Source: September 2004 Ka Wai Ola o OHA Column

`Ano`ai kakou…  Before you head to the ballot box in the coming elections, I’d like to share with you two experiences I had in the past legislative session.

State Senate: 

One of the bills that I really pushed hard for at the legislature this past session was Senate Bill 2759, relating to Kuleana Lands.  Many Hawaiian families who have been caring for their Kuleana Lands for generations face the loss of their legacy as well as the potential for homelessness because mainland and foreign entities are building luxury homes and shopping malls on the adjacent property.  This causes their property value and taxes to skyrocket.  Things are getting so bad that a family has asked OHA to take custody of their Kuleana Lands until they were able to save up enough money to pay off their back taxes.

SB 2759 passed all of its Senate committees and looked set to crossover to the House when it was abruptly “recommitted” or sent back to its original Senate committee.  In all my years of lobbying the legislature, I have never heard of a bill being killed in this fashion.  I later learned that an attorney for the County of Hawaii called the Chairman of the Senate Judiciary Committee and got the bill killed.  In the mean time, Hawaiian families on Kuleana Lands continue to suffer.

State House:

On April 1, 2004, Board of Trustees voted unanimously to support Governor Linda Lingle’s proposals to reform the public education system in Hawaii.  The Board took this position because of OHA’s constitutional mandate to work for the betterment of the conditions for Native Hawaiians and the findings in Kamehameha School’s PASE (Policy Analysis and System Evaluation) Report.

The PASE Report found that rather than helping underprivileged students, the current system has compounded social and economic disadvantages through its unequal distribution of educational and teaching resources.  A large number of underprivileged children are not getting the help they need.  As a result, Hawaiian children are too often deprived of opportunities for intellectual engagement, social growth, and other aspects of a quality education that provide the keys to lifetime opportunities and fulfillment.

With local school boards, the Hawaiian community will have a more direct say in how educational opportunities are provided to Hawaiian students.  We could also develop culturally appropriate learning models that will allow Hawaiian students to achieve greater success.

Most people know that OHA is a non-partisan entity.  The Trustees would never support the Governor’s proposal based on politics.  Unfortunately, the Democrats in the state legislature didn’t see it this way.

In an April 2, 2004 Advertiser article, Sen. Norman Sakamoto, D-15th (Waimalu, Airport, Salt Lake), questioned whether OHA Trustees even understood the Governor’s proposal and joked about creating more than one Office of Hawaiian Affairs.

Our Board Chairman sent a letter to the editor (Advertiser, April 16, 2004) clearly explaining that OHA took its position for the educational welfare of Hawaiian children and not for political reasons.  But that explanation wasn’t good enough for the House Democrats.  They wanted payback.

OHA introduced Senate Bill 1155 to help Trustees receive proper service credit for retirement purposes.  The bill seemed all set to pass out of the House Finance committee.  Then, shortly after OHA took its position supporting the Governor’s plan for educational reform, the bill suddenly died.  Coincidence?  Not a chance.  The Committee chose to punish the Trustees for supporting the Governor’s position on local school boards.

I encourage everyone to carefully consider the candidates’ stand on issues important to the Hawaiian community.  It’s time to help our friends and “crush” our enemies, regardless of their political affiliation.  We must collectively show all elected officials that Hawaiian votes count by making our voices heard!  Imua e Hawai’i nei…

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Posted in Government, Land, Political

This and that…

Saturday, May 15th, 2004

By: TRUSTEE ROWENA AKANA

Source: May 2004 Ka Wai Ola o OHA Column

Goldman Sachs Reduces Fees: 

`Ano`ai kakou… Back in March I questioned why one of OHA’s two investment managers, Goldman Sachs, charged us $53,878 more for their services than our other investment manager, Frank Russell, despite the fact that as of December 31, 2003, Frank Russell Company made $500,000 more for OHA.

I’m pleased to report that on April 6, 2004, our new Chief Financial Officer reported that Goldman Sachs has “reviewed their fee schedule which provided annual savings of $50,000.”  I can’t say for certain whether my complaints had any impact on their decision, but it was more than a coincidence that they immediately matched Frank Russell’s fees within a three week time frame.  I’m glad that Goldman Sachs has provided OHA with some relief from their high fees.

Federal Recognition: 

A substitute version of the Akaka bill has been drafted to clarify its language and to address concerns about the suggested process for recognition.  The administration has drafted a side-by-side comparison of the new and old versions of the bill and an electronic version is available at nativehawaiians.com.

OHA Legislative Package: 

One of the bills that I really pushed hard for at the legislature this session was Senate Bill 2759 – Relating to Real Property Taxes on Kuleana Land.  Many Hawaiian families living on kuleana lands face the loss of their legacy as well as the potential for homelessness because they cannot afford the property tax assessments based on the supposed “fair market value.”  For example, the heavy development of the Kona coastline is causing property values to sky-rocket and forcing families on kuleana lands to pay higher property taxes.  There has even been a case where a family has asked OHA to take custody of their Kuleana Lands until they were able to save up enough money to pay off their back taxes.  Further delays will only worsen their suffering.

The bill passed all of its Senate committees and looked set to cross over to the House for consideration when suddenly, without explanation, it was “recommitted” or sent back to its original Senate committee.  I have never heard of a bill being killed in this fashion.  I know that most people are frazzled and dazzled by the convoluted legislative process, but let me assure you that it can even happen to elected officials.

Through the grapevine, I heard that one of the neighbor island counties commissioners had some concerns about the bill’s impact on county property tax revenues and without any hearing to discuss their concerns, SENATOR HANABUSA recommitted the bill to her committee.  It has been estimated (though not yet confirmed) that kuleana lands make up less than 15,000 acres or less than 0.5% of the total state acreage.  The impact to county tax revenues would be miniscule at best.

Getting all four counties to agree to exempt Kuleana Lands from property taxes could take years to accomplish.  If anyone knows of a faster way to provide Hawaiian families on kuleana lands with immediate relief other than passing a bill, I’d like to hear it.

Report Card for Legislators: 

I’m not sure whether our state legislators are aware of this but, at the end of this session, OHA plans to grade each Senator and Representative based on how they voted on Hawaiian issues.  Their grades will be published here in the Ka Wai Ola before the election.  I encourage our regular readers to keep a look out for it and help our friends and crush our enemies.  We must collectively show all elected officials that Hawaiian votes will count in the next and future elections.  Our voices will be heard!  Imua Hawaii Nei…

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Posted in Government, Political, Sovereignty

Quotables: Honolulu Star-Bulletin

Saturday, May 17th, 1997

By Various
May 17, 1997

Source Honolulu Star-Bulletin

“I think we have their attention. They are going to have to do something.”
-Roy Benham, a Kamehameha Schools alumnus and leader of a group protesting Bishop Estate trustees’ policies on the schools.

“It is obvious that the economy is not rebounding and that it is in serious trouble. It’ll take leadership to get the economy back on track.”
-Maui Mayor Linda Crockett Lingle.

“What we saw during the legislative session this year can only be described as one of the worst assaults on Hawaiian entitlements in OHA’s 17 years.”
-Office of Hawaiian Affairs Trustee Rowena Akana.

“What I need to do is be convinced that no woman will be grievously harmed by this legislation.”
-President Clinton, indicating he would veto a bill that prohibits a late-
term abortion procedure.

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Posted in Government, Historical, OHA, Political

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