Kauai budget up LIHUE >> Kauai Mayor Maryanne Kusaka yesterday handed the County Council an updated budget request seeking a 19.6 percent increase in spending next year instead of the 18.4 percent hike originally sought on March 15.
by $13.7 million
The increase is partly for
more lifeguards on
county beachesBy Anthony Sommer
Star-BulletinThe mayor traditionally sends a revised budget to the Council immediately after the Legislature adjourns to reflect any funding changes made by the state and any updates in tax revenue forecasts.
The latest request is for $83.7 million in operating funds for fiscal year 2002, which begins July 1.
That's up from a $70 million operating budget this year.
Kusaka's original March 15 request for the coming year was for $82.9 million.
The major increases are for more lifeguards at county -- but not state -- beach parks and privatization of janitorial services at county parks under a new state law.
It also requests an unspecified amount of money to retain Billy Swain again next year as a legislative lobbyist for the county. Swain, who was thrown off the County Council by voters last year, was hired by Kusaka this year -- without seeking bids, without informing the Council and with no money in the budget for a lobbyist.
Although the county raised residential property taxes 21 percent several years ago when property valuations tumbled, there is no request for a tax cut to reflect the real-estate boom that has increased property values the past two years.
The total valuation of all real property in Kauai County is forecast to increase to $5.9 billion next year from $5.5 billion this year, a 7.3 percent increase, largely due to a continuing increase in real estate prices.
Wally Rezentes Sr., Kusaka's administrative assistant, said there is a "read between the lines" warning to the Council that it can expect a $4.5 million increase in costs in two years because of collective-bargaining agreements the county already has approved.
That figure is strictly payroll and does not reflect the cost of new fringe benefits.
"I'm sure there is a temptation to lower the tax rates, so we're trying to remind them what's coming the following year," Rezentes said.
The recent legislative session did little to hurt or help Kauai County.
To resolve a lengthy legal battle between the public utilities and all the counties, lawmakers exempted the utilities from property taxes while requiring them to pay a percentage of their revenues to the counties.
Kauai County will lose $1.6 million in property tax revenues from the utilities but gain $2.2 million in payments directly from the utilities, a gain of about $600,000.
Kauai County
