On Thursday, the enormity of Honolulu’s rail project problems smashed through the state Legislature.
Political careers were ended, others were re-arranged and all discovered the political danger of both action and inaction as the city’s staggeringly overbudget rail project is now the state’s biggest problem.
Easily the biggest victim was Maui Rep. Joe Souki, who was finishing his 35th year in the Legislature and 12th as speaker of the House.
A wily, colorful liberal Democrat, Souki was a passionate supporter of rail and also a friend of the hotel industry — and when his own Finance Committee Chairwoman, Rep. Sylvia Luke, pushed through a proposal to raise the hotel room tax to pay for the new rail charges, Souki resisted and was ousted.
“The Speaker resigned this morning as a result of a request that we elect a new speaker,” said the newly elected Speaker Rep. Scott Saiki, a Kaakako Democrat, on Thursday. “That request came from a majority of the House Democratic caucus.”
In the Senate, Windward Democratic Sen. Jill Tokuda was finishing just her third year leading the Ways and Means Committee, when leadership signaled that she would either step down from her leadership position or get the boot. Tokuda had initially convinced the Senate to take an even tougher position against rail, offering no new money and then relenting to call for an extension of the general excise tax surcharge. Still, Honolulu Mayor Kirk Caldwell said not even that would be enough to fill in the gaps in his rail budget.
“I had a strong position on rail and I would not agree to extend the tax for a long period of time,” Tokuda said in an interview as she was cleaning out her WAM office Thursday.
Tokuda, however, comes from a district that has not historically supported rail and she figures she may have a chance at a higher office.
“I’ve gained a broad spectrum of knowledge about the state while serving as WAM chair and I think 2018 would give me the chance to take the next step,” said Tokuda, who has previously been mentioned as a possible candidate for governor or lieutenant governor.
The person occupying the position of lieutenant governor also includes much uncertainty, because the current LG, former Senate President Shan Tsutsui, said he is thinking about resigning to run for mayor of Maui. If the slot opens, state law says it is then offered to the Senate president, but Sen. Ron Kouchi said he doesn’t want it. It then would go to new House Speaker Scott Saiki, who said he wants to stay in the House.
Next in line would be Doug Chin, Hawaii’s attorney general. If he takes the position, it would be assumed that he would then run with Gov. David Ige as a team. That could be a strong partnership; Chin has received positive national publicity after he successfully won Hawaii’s suit against President Donald Trump’s executive order blocking the foreign travel ban. Chin also has some political experience as the former Honolulu managing director.
What remains is the grossly overbudget rail project, which has soared from $5.26 billion in late 2014 to nearly $10 billion today, including financing costs.
Legislators can’t figure out if or why the state should pick up the extra costs.
“The city really pulled a fast one by saying one budget and one price, and then changing,” said rail supporter Sen. Donna Mercado Kim. She now says Caldwell should redo the plans and stop the train at Aloha Tower downtown.
“We have to stop the bleeding — to have this unlimited deep black hole of costs and expense makes no sense for anyone,” Kim said in an interview.
Perhaps the best advice on what to do on both the cost and fate of the rail project came from Sen. Laura Thielen in a closing-day floor speech. She said Honolulu’s civic leaders, the bankers, real estate developers and union leaders should “bear the responsibility of saying ‘Build rail to Ala Moana at all costs.’”
She pointed out that if the state now joins in paying for rail, the city and state cannot also build the sewers and streets and parks needed.
“We need to air condition the schools, build shelters for the homeless, provide mental health and substance abuse,” Thielen said.
“The question is whether we should allow rail to put the state in a position where we forego all these other needs. Civic leaders, this is your opportunity to do it right.”
Richard Borreca writes on politics on Sundays. Reach him at 808onpolitics@gmail.com.