When the American Rescue Plan Act set aside funds for local governments to handle
pandemic-induced needs, city officials nationwide hoped that, by now, the country would have put more distance between its people and COVID-19.
Unfortunately, that has not been the case, in Honolulu or any other municipality. As they wrestle with spending plans for Honolulu’s $386 million in ARPA funds, city officials should be guided largely by the more immediate needs the crisis has left in its wake. It should not target enhancements that will commit the city to ongoing expenses it may not be able to afford in the future.
The money comes from a dedicated Coronavirus Local Fiscal Recovery Fund; the first $193 million arrived in June, with the balance expected to arrive this year. So far, the city has spent only $10.1 million on COVID-19 test kits and call center services for the facilities used for isolation.
Between now and Feb. 14, Mayor Rick Blangiardi is seeking general opinions and proposals about spending plans, posting an online portal at oneoahu.org/frf allowing taxpayers to take a survey. The questions gauge each poll-taker’s priorities on subjects ranging from public health to climate change, and has them rank programs within their top category selections. Names or other identifying details are not required.
This is plainly only advisory — the city already has its own priorities roughed out, and the broad categories seem to have the proportions right.
The largest share — $156 million — would go to “support equitable economic recovery,” followed by “provide community support and address economic impacts” ($110 million), “modernize city operations” ($70 million) and “invest in critical island infrastructure” ($50 million).
The suggestions already are rolling in. The labor unions seem to have registered their desires, loud and clear. Andrew Kawano, budget and fiscal services director, said there’s a possibility some funds could be tapped for collective bargaining as the city negotiates public employee contracts.
This would be a mistake. Allowing special-purpose federal funds to be factored into contract talks could lock the city into a higher outlay for labor that is not sustainable. The city should base its budgeting for labor on its regular property taxes, revenue that is under its control.
First, the city should consider what its residents and businesses need to navigate the pandemic waters that are still churning. Using some to underwrite the costs of quarantine/isolation units for the COVID-infected, currently in short supply, is one option worth evaluating.
There are vulnerable communities on Oahu, where families live in tight quarters, that could be especially helped by these accommodations.
The Micronesian community on Oahu is one such vulnerable community, confronting barriers of language and poverty. It and similar communities need outreach to gain access to vaccines and boosters, and could use support in finding space to isolate COVID-infected family members.
That would be a more practical use of relief funds than the proposal by City Councilmember Esther Kia‘aina, who suggested using funds to cover safety-net gaps because the migrants do not qualify for many federal relief programs. Again, this would be an ongoing obligation that can’t be met with a funding source that is not sustained.
Finally, there should be special grants set up to help businesses on the brink overcome pandemic losses and stay afloat. Even resurrecting successful programs such as the state’s restaurant cards could provide a shot in the arm many businesses would appreciate now.
The pandemic is not over, and offsetting critical economic losses is where the city’s focus belongs.
