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New ceded-lands
revenue plan tops OHA’s
legislative wish list


By Pat Omandam
pomandam@starbulletin.com

The state Office of Hawaiian Affairs board is not wasting time on its wish list of bills for the 2003 state Legislature, and it is expected to formalize its legislative package in two weeks -- months earlier than it usually does.

OHA logo The list of nine bills includes a new ceded-lands revenue formula to replace a state law, Act 304, that was ruled invalid by the Hawaii Supreme Court in September 2001. There is also a backup interim ceded-lands revenue plan in case no agreement is reached on permanent funding.

Other measures include the agency's $2.7 million general fund request, as well as a bill to change a state law so the board, as a recruiting tool, can increase the pay of the OHA administrator beyond that of state department directors and Cabinet members.

Colette Machado, OHA Legislative and Government Affairs Committee chairwoman, said there is little time to prepare bills following the election of new trustees in November. By the time the board reorganizes and committee leaderships are chosen, it is late December or early January.

Trustees and OHA staff must then scramble to ready bills for the session, she said.

"We want to be really aggressive on the new Act 304," Machado said.

The committee approved the bills yesterday. The full board is expected to vote on them at an Oct. 30 meeting on Kauai. It will be the last meeting of the current board, as five of nine trustees are up for election on Nov. 5.

Clyde Namuo, OHA administrator, said the new ceded-land revenue bill eliminates the clause that led the Hawaii high court to invalidate Act 304. That clause basically said the law was invalid if it conflicted with any federal law, which it did. That federal law dealt with the use of revenue from state airport landing fees.

Last year's ruling put OHA back to where it was in 1980 when a state law said the agency was entitled to 20 percent of revenue generated from ceded or former crown lands.

Act 304, enacted in 1990, set up a way for calculating that revenue and included money from duty-free stands at Honolulu Airport, which sits on ceded land.

OHA tried to get the new law approved in the 2002 session, but lawmakers felt it was too sensitive an issue to tackle during an election year. As a backup, OHA also plans to introduce an interim revenue bill this year, hoping lawmakers will agree to some sort of revenue stream so OHA does not entirely rely on its own trust fund for all of its programs, which help both full and part Hawaiians.

But temporary funding does not sit well with trustee Linda Dela Cruz, who prefers OHA pursue what it is owed.

"I don't favor going for interim funds," she said yesterday. "Let's say it like it is: You owe us that money. That's your bill. Pay it."

Meanwhile, trustees want to change state law regarding the pay of its administrator. Currently, that position pays no more than $85,302 a year.

Namuo, who is in the second year of a two-year contract, said the change is not sought for him. Rather, trustees need it as a recruiting tool to attract the best people.



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