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Maui’s rosy
economic forecast
mirrored in
budget increase

Record April tourism

By Gary T. Kubota
Maui correspondent

WAILUKU -- With the economy apparently on the upswing, the Maui County Council yesterday passed a $215.6 million budget for fiscal 2000-2001 -- $3.7 million more than the last fiscal year.

About $74,000 of the increase will be used toward paying a 3 percent increase in salaries for the mayor, department heads, and deputies.

Effective July 1, Mayor James Apana will be receiving an annual salary of $89,711, up from $87,098.

The Council did not raise property tax rates. But revenues are expected to increase due to rising property assessments in some areas and a growing tax base.

Forecasts for annual property tax revenues improved in the past few months from $83.3 million to $87.8 million, enabling Council members to forgo some budget cuts.

"We basically had an easier time than we had last year," Councilwoman Charmaine Tavares said.

Council Budget Chairman Wayne Nishiki said property values have been increasing in Wailea in south Maui and Kaanapali and Kapalua in west Maui.

"It looks like the economy is on the rebound in those areas," Nishiki said.

Apana pointed out that the budget was $17 million less than fiscal 1998-99, a period before he took office.

He said the budget generally reflected his plan to keep the county fiscally sound while maintaining human services, including assistance to the elderly.

The Council approved $750,000 toward the purchase of buses for Maui Economic Opportunity Inc., which provides the elderly with transportation services.

Apana said the administration expects Maui Economic Opportunity to receive two government grants to make up the remainder of its $1.6-million request.

The county is also planning to spend some $2.9 million to buy equipment that will enable it to move toward computerization of the real property tax system.

Part-time residents will be subject to a $14-a-round fee at the county's municipal golf course -- up from the $8 per round, which full-time residents will still pay. Developers will be paying higher fees for shoreline permits.