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Thursday, February 8, 2001



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OHA readies
response to audit

The race to answer state criticism
sparks dissent among
board members


By Pat Omandam
Star-Bulletin

The Office of Hawaiian Affairs board is struggling to meet Monday's deadline to respond to a critical audit of its management practices.

Already, the confidential draft report by state auditor Marion Higa has opened old wounds from December's board reorganization, which placed Haunani Apoliona as chairwoman.

At issue is how the board should respond to the audit, which reportedly covers controversial issues of recent years, including the reorganization of the OHA administration, the firing of one of the agency's money managers and the failure of the board to follow through with recommendations from a 1997 state audit.

Apoliona, as chairwoman, wants to reply to the draft audit herself and allow other trustees to provide individual comments that she would attach to the official response.

Others, however, want the board to vote on any response. They also criticized Apoliona's handling of the matter.

At a board meeting yesterday to discuss the report, trustee Clayton Hee likened the situation to nine paddlers on a canoe who are stroking in different directions. As a result, the canoe ends up going sideways, he said.

Hee, who was nominated as chairman last December but lost to Apoliona on a 6-3 vote, staged a short filibuster at the beginning of yesterday's board meeting as he criticized the chairwoman's response, dubbing it the "Apoliona papers."

Hee said her response was full of "half-truths" and "untruths" that, if included in the audit, would hurt the board. "This pathetic document will not be supported by me," he said.

Trustee Rowena Akana questioned why trustees are being denied input on OHA's official response to the audit.

"What is she afraid off?" Akana said to reporters.

Trustee Oswald Stender, however, defended Apoliona's proposal, saying staff as well as trustees spent many hours discussing responses to "very serious" issues raised in the audit.

Stender said that he was insulted by Hee's comments, especially since every trustee could have taken it upon themselves to become involved in the discussions, had they wanted to do so.

"What we need to do is not attack the report, but correct what was blatantly wrong and say how we will do it," said Stender, who as a freshman trustee is still adjusting to vocal board members not afraid of speaking publicly.

Apoliona said board minutes from the past decade show the board has never taken action on the agency's response to a state audit prior to its submittal to the state auditor.

"I provided every trustee the opportunity for input into OHA's response through submission of their comments," Apoliona said.

Trustee Colette Machado called Hee's criticism of the chairwoman petty politics.

The board recessed yesterday's meeting after discussing the issue behind closed doors. Apoliona hopes there will be an agreement when the board reconvenes tomorrow afternoon.

Normally, an agency has 10 days to respond to a draft report by the state auditor's office. OHA received the draft audit on Jan. 30.

Higa this past Monday granted OHA's request for an extension, pushing the response deadline to 4:30 p.m. Monday from 4:30 p.m. yesterday.



Office of Hawaiian Affairs



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