In what was his final State of the State address, Gov. David Ige hit a few populist notes. His proposals included a $100 tax refund to each taxpayer, making progress toward universal preschool, and a $400 million investment in broadband infrastructure that, as the online demands of COVID-19 have taught everyone, Hawaii does need.
The catch is that there’s a real mismatch between Ige’s wish list and what the Legislature’s leadership has asserted that it wants.
And some of his bullet points are short on details, particularly the one on preschools. Monday’s speech cited the distribution of $80 million largely to support childcare businesses weathering the pandemic challenges and to keep their doors open. We hope that’s not all there is.
The governor delivered his address in true pandemic fashion: quietly, from the ceremonial room in his office. Before the coronavirus upended everything, tradition had him facing the legislators, in person.
That setting might have been awkward, in any case, because there isn’t much alignment between the priorities of the executive and legislative branches. If there’s to be a future for his own agenda, Ige will have to bridge the gulf between his plans and those of the lawmakers who will need to pass his bills.
For example, the governor in recent weeks has urged that much of the budgetary surplus, enabled by federal aid and a fair degree of economic recovery, be used to replenish the state’s rainy-day fund. Ige had talked about dedicating about $1 billion to that purpose.
Legislators have not been so inclined, preferring to sequester about $600 million for a proposed program to get many of the thousands of Native Hawaiian beneficiaries off the Department of Hawaiian Home Lands waiting list.
But that imperative doesn’t seem to figure in the governor’s calculus at all.
Meanwhile, there hasn’t been an upswell of support for the fulsome, billion-dollar rainy-day infusion.
“That number may be too high,” Carl Bonham, executive director of the University of Hawaii Economic Research Organization, said Wednesday on the Honolulu Star-Advertiser’s Spotlight Hawaii webcast, who pointed out there were other cuts that should be restored. “It would be nice to have it (the ‘rainy day’ amount) be based on real analysis. Clearly there are needs amongst the most vulnerable in our society.”
Ige appears to have recalibrated, on the basis of this or other advisers, which is a good thing. Reversing past cuts from schools and other agencies, and repaying loans to the Unemployment Trust Fund, tapped out by pandemic job losses, also have the governor’s attention here.
He announced his new plan to issue tax refund checks of $100 to each taxpayer and each dependent, seen as a way to pump an estimated $110 million back into the economy. For families in need, even that modest outlay of cash would be welcome.
There was no talk of a renewed push for affordable housing here. That’s disappointing. Ige may see the Democratic legislators’ $600 million DHHL initiative as sufficient to make inroads on the state’s housing deficit. It’s not.
Ige also was silent about the proposed increase in the minimum wage — another reason to engage in a healthy dialogue with lawmakers.
And the public needs to hear more about the planned broadband internet infrastructure initiative, which Ige said would narrow the divide between those with good net connectivity, and those without.
The governor has talked about making such improvements for nearly all of his two terms in office, so it would be good to see some of that pledge fulfilled.
And none of these promises can be kept without meeting in the middle with legislators. Last chance to have those big talks, Governor.