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Saturday, March 15, 2014
March 15, 2014 News Read
By Andrew Walden @ 4:43 PM :: 4359 Views

March 14, 2014: Election Commission Releases Updated Candidate List

ACLU Sues Maui County over Employee’s Website

UHERO: Impact of Federal PURPA Subsidies on Hawaii Alternative Energy market

Election Year CIP: Abercrombie Spoons out Another $36.6M

Hawaii lawmakers question Need for health exchange

AP: Hawaii lawmakers questioned the head of Hawaii’s health insurance exchange Friday about how the agency plans to support itself financially, saying the state will consider giving the nonprofit money from its general fund if it can’t come up with a plan to sustain itself.

Lawmakers also have suggested the state insurance commission could levy special sustainability fees on insurance companies that are not participating in the Hawaii Health Connector.

“If the fee does not become a mechanism that we can sustain this Connector with, we are actually looking at the possibility of a general fund appropriation, so that’s a new piece that’s being introduced into this,” said Rep. Della Au Belatti, chairwoman of the House Health Committee. “That’s why it’s so important that we get that information from the Connector about precisely what is needed for operations.”

Rep. Angus McKelvey, chairman of the Consumer Protection and Commerce Committee, asked whether it would be a good idea to shut down the Hawaii Health Connector entirely and to allow the federal government to come in and set up its own exchange….

A Senate bill (SB 2470) suggesting changes to the Health Connector was heard by a joint House committee Friday….Belatti deferred action on the bill until Monday….

Background:  Maui News, Star-Adv Agree: Obamacare Exchange Unnecessary Here

read … Questions

Failed Obamacare Exchange becomes Issue in Oregon Gubernatorial Race

TL: Cover Oregon received more than $300 million in federal grants and was to be a model state exchange. Reportedly built from scratch, not with licensed software, it launched in October but still doesn't work, enrolling 100,000-plus people via paperwork and phones handled by hastily added staff.

Republican state lawmaker Dennis Richardson, who's running against three-term Democrat Gov. John Kitzhaber, wants a federal audit of the website, and a campaign aide of Mr. Richardson's has asked the FBI about a possible probe, The Washington Free Beacon reports.

In Massachusetts, the “prototype” for government health care, that state's health exchange has the worst enrollment percentage in the country.

Americans shouldn't be forced to trust their health care to a government “exchange,” state or federal, that debuts in a clown suit and then acts the part.

Read … Campaign Issue

$1.56B budget estimated for rail: HART Has no Idea How Much to Borrow

SA: As work accelerates on Hono­lulu's multibillion-dollar rail transit system, the upcoming fiscal year will be the "single largest" for issuing construction awards — and the massive project will need to borrow hundreds of millions of dollars when revenues don't keep pace with costs, rail officials say.

They add, however, that they still don't know exactly how much will have to be borrowed, in bonds leveraged against the city's general fund.

The 20-mile, 21-station rail transit system will require a $1.56 billion capital budget for fiscal year 2015, Honolulu Authority for Rapid Transportation Executive Director Dan Grabauskas told the City Council's Budget Committee on Friday.

Four construction contracts to build the second 10-mile leg of rail will comprise the bulk of that, at $1.2 billion, he said. Many of those dollars will actually be spent in subsequent years, but HART, a semiautonomous government agency overseeing the project, needs the authorization for that spending in 2015, Grabauskas added.

The city is slated to issue as much as $787 million in bonds to cover the project's cash flow, although HART officials said it would likely be less than that.

On Friday, they delivered repeated assurances that city tax dollars would not be used to repay those bonds. Instead, they said, the general excise tax surcharge and federal funding used to pay for rail's construction would cover repayment of the bonds.

But HART finance officials also said they didn't know exactly how much in city bonds they would need because they're still working out the best strategy with the least borrowing. That left several Council members expressing frustration.

"I don't even know where to start. You have no idea right now?" Councilman Joey Manahan said at Friday's budget meeting, pressing Grabauskas for more details. "I know you've been working on it, but it's been a year."

read … Rail

Bills to raise general excise tax stalling

HTH: Bills SB 2115 and HB 1606 would have allowed the counties an extra penny on the dollar, a 25 percent increase in the tax. Neither bill was heard by a single committee, thus missing the deadline to be sent to the other chamber.

The prospects are brighter for the transient accommodations tax, known as the TAT. That money, collected as a surcharge on hotels and lodging rentals of less than 180 days, primarily comes from island visitors.

The Legislature capped it at $93 million about four years ago, costing counties millions in revenues. Mayor Billy Kenoi said the counties agreed to the cap because of the recession, but now that the economy is stronger, it’s time to give it back.

“We’d be glad to give up the request for the GET if the cap could be lifted,” Kenoi said. “We believe it’s a reasonable and fair request.”

House Speaker Joseph Souki, a Maui Democrat, in his opening day speech in January asked House members to consider removing the TAT cap. HB 1671, which removes the cap, passed the House and is now awaiting Senate action. But a recent lowering of the state’s projected revenue by the state Council on Revenues could still put a damper on those plans.

read … Stalling

Wilson weighs whether to release personnel records

LINK: Live Feed of Wilson Re-Hearing

SA: The state Judiciary has provided Circuit Judge Michael Wilson with copies of his personnel file and judicial performance reviews, but sources said Friday evening that the state Supreme Court nominee is wrestling with whether to set a precedent by disclosing the information to the state Senate.

Wilson is expected to appear on Saturday morning before the Senate Judiciary and Labor Committee for a second confirmation hearing. The Senate women's caucus wants him to disclose the personnel records because of questions about his conduct toward women in professional contexts.

Politically, some sources say, Wilson is in a no-win situation. Disclosing the records could give senators information that might be used as a reason to vote against his confirmation; withholding the records could suggest he has something to hide….

Thielen, an attorney and former president of Hawaii Women Lawyers, said it is her understanding that judicial performance reviews — gathered under a process known as Rule 19 — are part of the applicant screening potentially available to the state Judicial Selection Commission.

The Senate women's caucus has asked for lawyer comments and other material gathered on Wilson for judicial performance reviews….

Senate Women’s Caucus: Possible unfitting behavior toward women should not be ignored

read … Tough Spot

Disgusting Toxic Mold Growing in Moiliili ‘Health’ Food Store Run by Anti-GMO Activists tied to Tulsi Gabbard

HNN: An Oahu health food store is dealing with the return of a moldy mess. The unsightly growth is covering part of the air conditioning system inside Down to Earth in Moiliili.

Barry Nutter shops at the store often for organic and natural foods, but now the chiropractor is concerned.

"It's really gross. You wonder, wow, this is a health food store, and they're concerned about our health, but then it makes me think they're not concerned about our health," said the Kaimuki resident.

Some of the mold is above part of the produce section.

"Any mold can be toxic. It just depends on your individual sensitivity," said Russell Okoji of Environmental Risk Analysis. …  Okoji said that people with weak immune systems, such as seniors and young children, are most vulnerable to respiratory issues and allergic symptoms.

"I think they should be concerned about the health of their workers and of their patrons," Okoji said.

Store officials said the mold first appeared within the last year….

Related: Tulsi Gabbard Office Manager tied to Chris Butler Cult

read … About the Disgusting and Unhealthful Habits of Anti-GMO Activists

Challenge Highlights Flaws in Hawaii's Anti-GMO Law

Reason: Last week a Hawaii state judge issued an injunction halting enforcement of a key component of a new anti-GMO law. The judge ruled after a farmer sued the county government of the eponymous "Big Island" of Hawaii, seeking to halt enforcement of the legislation.

The law, passed late last year, bans growing and field testing of nearly all GMO crops. The anonymous papaya farmer argues that the law "sharply conflicts with federal and state law."

While the Hawaii ordinance exempts GMO papaya farmers—because, well, papayas!—it requires them to register annually at a cost of $100 for every farmed location, explains Hawaii land use attorney Robert Thomas.

read … Challenge Highlights Flaws

Matson Could be Fined $80M to $400M for Molasses Spill 

Barron’s: Matson, a Honolulu-based shipper, enjoyed smooth sailing in recent years as the global economy strengthened. But a molasses spill last fall in Honolulu harbor has put Matson in choppy legal waters, and uncertainty about its financial liability could dent its richly priced shares….

Based on Barron's analysis, Matson's tab could run from roughly $80 million to nearly $400 million. "There is no Blue Book value for a coral reef," says Robert Richmond, principal investigator at the Kewalo Marine Laboratory at the University of Hawaii.

Coral covers 20% to 80% of many harbors, Richmond says. In previous cases of coral damage, he notes that courts around the world have assessed coral values at between $304 and $1,586 per square meter, based on sale prices, restoration costs, and other factors. Using the midpoint of that range, or $945 per square meter, and assuming coral covers half of Honolulu's 810,000-square-meter harbor, its reef would be valued at $383 million. Using the low point, or $304 per square meter, yields a value of $123 million, not including punitive damages.

Matson's shares trade at a premium to the S&P 500, but could sell off as investors begin to discount the possibility that the shipper will be hit by large costs to clean up a spill.

Robert Harris, director of the Sierra Club's Hawaii chapter, cites a "slightly analogous" case in which the U.S. Navy, having grounded a ship on a coral reef near Oahu in 2009, paid Hawaii an $8.5 million settlement and spent $6.5 million to repair between six and 10 acres of damaged reef. A similar valuation, assuming again that coral covers 50% of the 200-acre harbor, would yield a repair cost of $81 million before any fines.

MATSON FACES OTHER headaches, too. Hawaii's economy has been weaker than expected, partly because of a slowdown in Japanese tourism. That is giving some traction to attempts to reform the Jones Act, even if outright repeal is unlikely. Any change in the act that makes it easier to get into the business would threaten Matson's dominance on the mainland. One group pushing for a change is the Hawaii Shippers Council, which represents retailers such as Safeway and Costco, and auto makers. The group proposes that shippers be exempt from the U.S.-build requirement, given the costs.

Even so, privately held Pasha Group plans to introduce a new ship this year that Matson believes could increase capacity by 5% to 10%. Other carriers are considering getting back into the Guam business, sources say.

read … Barron’s  

HB2205: Property crime bill toughens penalties for repeat offenders

SA: Community Alliance on Prisons coordinator Kat Brady said she opposed an earlier draft of Lee's bill that would have imposed mandatory minimum sentences on habitual property crime violators, because she believes mandatory minimums set by the Legislature are ineffective, expensive and "lazy justice."

Brady said the current draft also concerns her because imprisoning offenders for longer periods of time without offering rehabilitation programs could breed better criminals.

Lee disagrees.

"The point (of the bill) is to take those people who have failed to reform themselves and have failed rehabilitation and treatment and probation and continue to be a threat to the community, and keep those people off the streets," he said.

The bill remains alive and is waiting to be heard by the Senate Judiciary and Labor Committee.

read … Tough on Crime

Kaneshiro: Murderers, Rapists Among 200 Hardened Criminals Given Phony Work Release to Ease Overcrowding, Balance Budget 

HNN: "Don't come to these community meetings and give them this BS and don't answer the questions," said Keith Kaneshiro, Honolulu Prosecutor.

Kaneshiro is mad because he feels criminals aren't spending enough time locked up. Right now there are 200 men on Oahu doing work furlough instead of behind bars. Michael Lee Carter was one of them. He had been in prison since the mid 90's for rape and kidnapping. Last August he went on work furlough. A month later he was accused of raping another woman.

"They're trying to rush guys out of prison. That's why you have 200 guys on work furlough. Plus I guarantee you those 200 guys don't have work," said Kaneshiro.

"It's bad when it happens, but it is an anomaly," said Ted Sakai, Department of Public Safety Director.

The state says Carter was a year away from maxing out of his prison term so they wanted to ease him back into society while they could still have supervision.

"Overcrowding is an issue but we don't release people simply because of overcrowding. Public safety is always first and foremost for us," said Sakai.

"Oh I definitely disagree. That's why people are being released," said Kaneshiro.

The state wants to bring home its inmates in Arizona and build another prison in Hawaii, but Kaneshiro says it won't get done.

"How long more should we go on deceiving the public? Tell the public like it is, if you're not going to build tell them you're not going to build," said Kaneshiro.

read … Kaneshiro

UH Puts out Surprise Request for New Stadium

HNN: The school surprised some lawmakers this week when it put out a request for price quotes on what would be the biggest building project in UH history.

UH isn't saying where or when the new stadium would be built. But one reason for the university to build its own stadium is that it wouldn't have to pay rent to use the aging Aloha Stadium.

The request from the UH Manoa Athletics Department asks for architects to come up with designs and a price tag for a 30,000-seat "multipurpose event facility," big enough for football games and concerts.

"It's a surprise. We had no knowledge of this," said state Senate President Donna Mercado Kim. "I checked with our Ways and Means chair, I checked with the House chair, I checked with our Higher Ed chair -- nobody knows anything about this."

SA: UH athletics looks into constructing own stadium

read …  Surprise!

How has dam safety changed since Kaloko’s deadly breach?

KHON: In 2006, exactly eight years ago, the Kaloko dam burst on Kauai, sending a wall of water into Kilauea town. Seven people were killed, including a child and a pregnant woman.

The state has not done any official enforcement actions in the years reviewed besides some late-fee follow-ups, but officials say they have issued many letters of deficiency. However, none of those letters are easily accessible to the public.

When asked if there is a better way to track and share data about deficiencies, Edwin Matsuda, head of the Dam Safety Program, said, “We’re looking at ways that we can incorporate it into our database so it can flag up on a schedule.”

Meanwhile officials say the every-two-year cycle will also catch any follow-ups that could fall through the cracks. They recently did return visits to check up on several sites that needed work, and said they’ll press owners who are late with emergency response plans, like what they’d do if their dam breached.

Dam safety officials admit they do not yet have an Emergency Action Plan from every regulated dam and reservoir. “There are still a handful that are out,” Matsuda said. “We just sent out some notices last week and we gave them 30 days to come in.”

Three of the state’s five largest dams have Emergency Action Plans that are still due for updating….

The number of dams and reservoirs is shrinking in part because the regulations, fees and fix-it requirements are mounting costs for the owners, many of whom are shutting them down or dropping the water below regulated levels.

“Now that we’re requiring annual fees of owners, they’re a little more motivated to take these structures off their books and reduce their liabilities,” Matsuda said.

The trend is a problem for farmers and sustainability plans that rely on more, not less, water, especially since the state has less stored surface water than eight years ago.

“We have less, but our goal through making financing available is to increase that,” Aila said.

The department is again trying to get a constitutional amendment vote on the ballot to let dam owners get state bond funding. It first has to clear the legislature (SB 2876).

“The one place that you should really care is when you go to the supermarket,” Aila said. “With adequate surface-water supplies that are held safely, we can keep the cost of food down in Hawaii.”

HR: Familes still waiting for justice 8 years after Ka Loko Dam breach killed their loved ones

read … Kaloko?

Charges still pending for Iolani Palace vandal suspects

KHON: After a court hearing for unrelated charges, KHON2 asked Paahao why she did it and she didn’t deny it, saying “”Cause that’s my house. Yeah, that’s my house.”

The lack of charges has some people angry, including palace volunteer Joan Ciampa. She wrote a scathing letter to the Attorney General’s office, saying, “I find it incomprehensible that your office requires more evidence than the palace security video.”

Kippen de Alba Chu, executive director of the palace, says many others share that feeling. “People have expressed frustration and so I think Joan put in her letter what a lot of people are thinking: Why is this taking so long and what’s going to happen?” he said.

The two suspects haven’t exactly shied away from the palace. Security guards spotted them just outside the gate near the Queen Liliuokalani statue. “They wander through this area,” de Alba Chu confirmed. “We’ve been worried that they might come back and try to do something else.”

read … What Else do they need?

Council toughens rules on food trucks

SA: With virtually no input from food truck vendors, the Honolulu City Council has amended and passed a measure that would bar any food trucks without the proper permits from selling food during lunchtime hours in the area around the state Capitol and City Hall.

That measure, Bill 1, originally would have just allowed food trucks to bid on special spaces to serve lunch customers in what's described as the "Hawaii Capitol special district." The area includes the state Capitol and Hono­lulu Hale, a small part of downtown and stretches south to the waterfront.

However, last month the bill was changed to further prohibit any trucks without those permitted spaces from operating in the district from 10:30 a.m. to 1 p.m.

The bill, introduced by Council Chairman Ernie Martin, was approved 7-2 despite an absence of testimony from the mobile vendors. It now goes to Mayor Kirk Caldwell's desk. If Caldwell signs it into law, it will create a two-year pilot program that city officials could eventually use as a model to regulate lunch trucks across Oahu if they deem it successful.

Some food truck operators this week were critical of the proposed two-year pilot program, saying it's not properly thought out and could drive the food trucks that don't get the necessary permits out of business.

"It's going to be interesting, because I think a lot of trucks are going to be put out of business. There are only so many places you can go," said Harris Sukita, co-owner of Simply Ono.

read … No Input

Legislative Motion:

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