StarBulletin.com

Economics no barrier to HB 444


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POSTED: Friday, May 28, 2010

The fate of House Bill 444 should not rest on economic factors, on whether the granting of same-sex civil unions costs the state money, or generates new revenue for Hawaii.

That said, it is reassuring that a new analysis concludes that Hawaii would not be adversely affected financially if Gov. Linda Lingle approves the measure, as she should.

“;The Impact of Civil Unions on Hawaii's Economy and Government,”; written by University of Hawaii-Manoa economics professor Sumner La Croix and Kimberly Burnett, an assistant specialist with the Hawaii Economic Research Organization, finds that Hawaii's adjustment to approval of civil union legislation should be smooth and cost little.

The researchers based their analysis on a variety of economic and census data and, most significantly, on the experiences of other U.S. states that already have similar laws on the books.

Hawaii's tourism industry could expect a $7 million annual increase in spending by same-sex couples who travel here to celebrate, and the state also could expect small increases in revenues via civil union registration fees, excise taxes, and state income taxes stemming from new spending on ceremonies and celebrations by both visitors and residents, the study predicted.

Approval of the measure, meanwhile, is unlikely to substantially increase the percentage of Hawaii's population covered by public and private health insurance, or therefore to drive up health insurance costs for public or private employers, it said.

The UH researchers are to be commended for a careful analysis that effectively dispels any economic argument for opposing HB 444, which grants to same-sex couples who enter into civil unions the same rights, benefits and protections enjoyed by married heterosexual couples.

The bill is a civil rights measure and should be decided on that moral basis, not on any perceived financial risk or benefit that passage poses for the state.

By addressing the pocketbook issues, though, and putting to rest any financial fears, the study makes it easier for Gov. Lingle to focus on the central issues of fairness and equity and to sign HB 444.