With pronouncements already from Gov. David Ige that excessive government spending must stop and the state must live within its means, lawmakers are taking the cue and preparing for a low-key 2015 legislative session.
Leaders in both the Senate and House say they are expecting a "creative" and "calm" session that will focus on strengthening existing programs and upgrading current facilities while also addressing issues that have festered in past years with no real action taken.
"I would say we’re going to have a very creative session," Sen. J. Kalani English, the Senate majority leader, said last week. "The trend that I see is that in the years there is money, it’s very easy to create new programs and spend.
"In the years that there’s no money, creativity comes out. People find ways to do things. … Look for people coming together that we would normally not see coming together to work on issues."
The session opens Wednesday and runs through May 7.
In unveiling his two-year budget last month, Ige noted that obligations to state workers such as pay raises, retirement and health benefits were driving up the cost of government. With a proposed $12.6 billion budget for the current fiscal year, he pledged little in the way of new initiatives and made the case for making more efficient use of revenue without calling for any broad-based tax hike.
"The leadership is in line with that," said Rep. Scott Saiki, House majority leader. "We know that there are some long-term expenses that have to be paid before we can create new programs, so we’re hoping that the finance committee can help balance out some of these long-range cost terms to give us some more flexibility."
Both House and Senate leaders outlined priorities focused on sustainability and working with existing resources without looking at raising taxes.
"I would say, generally, that the inclination is to not raise taxes," Saiki (D, Downtown-Kakaako-McCully) said.
Republicans applauded the call to rein in spending.
Sen. Sam Slom, the Senate’s lone Republican, said his office would be preparing an "alternative state budget" that would be posted online highlighting areas that could be trimmed or cut to reduce spending.
"The difference between our state budget and that proposed by the majority in the Legislature is that it goes in a different direction," Slom (Diamond Head-Kahala-Hawaii Kai) said. "We don’t believe we can continue to have increases in spending and debt and so we’ve found ways of cutting what we consider to be programs that are questionable or can’t be defended.
"We want to reduce that spending and leave more money in the pockets of individuals."
Rep. Beth Fukumoto Chang, the House minority leader, expressed similar sentiment.
"Focusing on improving existing programs, infrastructure and limiting new spending are all important goals that we share with the majority. However, it’s only half of the picture," Fukumoto Chang (R, Mililani-Mililani Mauka) said. "With a potential military downsizing on the horizon, we need to get serious about job creation and diversifying our economy."
Slom said he would keep a watchful eye on whether Democrats’ actions match their speeches.
"We don’t want to just make proposals. We don’t want to just talk," he said. "We want results and we want results that are going to be beneficial to all residents in the state of Hawaii."
English (D, East Maui-Upcountry-Molokai-Lanai) said the Senate majority package would focus on three key areas: energy and food resiliency, community well-being and smart growth, and government effectiveness.
"It’s taking care of those things that we know we need to deal with," he said. "What we’re trying to put out here is: People are demanding food security. People are demanding food safety. They’re wanting clean electricity. They’re wanting well-being issues to be dealt with.
"So many of the senators have heard that and that’s why we’re reaching this consensus."
Saiki last week said the House majority was still working on its package, but added that it would be "thematic" and not focus on any specific piece of legislation.
"I think the inclination is that we want to work on fixing existing infrastructure and programs that have not really been improved over the years," Saiki said. "We feel that we have a good opportunity to do this because we can work with the new administration on prioritizing some of these areas."
Items he expected to address early on include the troubled Hawaii Health Connector established under the Affordable Care Act, the Hawaii Health Systems Corp. and the aging Oahu Community Correctional Center.
"I think the most immediate (concern) is OCCC, because it’s right smack in the middle of the rail line — the anticipated rail line — but also because OCCC is antiquated," Saiki said. "So the Legislature will have to work with the administration on identifying a relocation site for OCCC, and then what is more feasible: Is it more feasible to build a replacement facility or should we send more inmates to the mainland?
"So there will have to be an analysis of the feasibility of the different options."
Other priorities are expected to arise after the governor delivers his State of the State speech on Jan. 26, highlighting his administration’s goals and priorities.
One issue both English and Saiki expect to come up this session is a discussion of whether to extend the half-percent Oahu surcharge on the state general excise tax beyond 2022 to help pay for Honolulu’s rail transit system. Rail officials have floated the idea as one way to cover cost overruns of up to $700 million.
"We would like to have much more information before we can get to the point of saying yes or no to extending the GE tax," English said. "I think you’re going to see a lot of senators saying, ‘What are the alternative plans? What are their financing plans? Why do you want to start now?’
"We need to have projections. We need to have costs."
English can expect opposition from Slom every step of the way.
"Extension of GET? Not on my watch. Over my dead body," Slom said. "They don’t deserve it. They shouldn’t have it. You run deficit after deficit after deficit and come to the taxpayers — not the Legislature, the taxpayers — and say, ‘Bail us out, pay for our mistakes.’
"Not going to happen."
