Forwarded to supporters by Aiona-Ahu Campaign....

Aiona: Cut taxes to make Hawaii more affordable

by Nancy Cook Lauer, Hawaii Tribune-Herald, October 12, 2014

Hawaii’s high cost of living is a prime target in former Lt. Gov. James “Duke” Aiona’s plans for improving the state.

Aiona, running for governor on the Republican ticket, says high taxes and high prices for housing, food and energy are among the factors leading to a Hawaii that’s too pricey for all but the wealthy. He thinks the state can lower costs and improve quality of life without raising taxes.

“The cost of living is a huge issue in Hawaii,” he said. “I just want to make things better.”

...

Cutting taxes on the middle class is one component of Aiona’s plan to make the state more affordable.

He advocates increasing the standard deduction for state income-tax filers. Raising the deduction would lower taxes for those who don’t itemize their returns. Hawaii’s standard deduction is currently $2,200, compared to $6,100 for federal taxes.

Aiona wants to increase affordable housing opportunities as a way to reduce homelessness and also make housing more affordable for working families.

He proposes dedicating a full 25 percent of corporate tax income revenues to the Rental Housing Trust fund. This would enable those who can’t afford home ownership to at least have a place to live. He would use existing state lands and innovative modular building materials to stretch that money further.

“Within seven years, an estimated 19,500 people will have stable, affordable housing, even when they are not able to buy a home,” he said.

He also would create a “homeless court” — modeled after the state’s successful drug court — that would allow homeless people facing criminal charges and their family members to petition for entry into the program in order to get them off the streets and closer to services that can help them.

In addition, he would use the National Guard to reach out to homeless veterans to help them get assistance.

Aiona said he would eliminate sales taxes on food and medicine.

“We’re actually one of only seven states that tax food and medicine,” he said.

Another way to improve the quality of life is what’s known as Early College, targeting lower-income high school students for mentorship programs with businesses, where they would take college-level classes and learn to work in today’s business environment. The program would concentrate on students on the free and reduced lunch program, many of whom would be the first generation in their families to seek a college degree.

Aiona aims to start with 300 students and pay for the program at least 90 percent through business partnerships, community foundations and federal dollars.

“It’s not just college credit,” Aiona said. “It’s a pathway into a career.”

One quick way to bolster the budget is to collect some $500 million in taxes that are due but not paid, he said.

...

To read the entire article, click here.