Monday sees start In an effort to deal with the economic crisis triggered by the Sept. 11 terrorist attacks, Gov. Ben Cayetano has called the state Legislature into a special session to start Monday at 10 a.m.
of special session
Legislators add bills to Cayetano's
original batch to help the state's economyBy Richard Borreca
rborreca@starbulletin.comCayetano has sent lawmakers nearly two dozen bills asking for new construction funds, new powers to waive taxes and new money to increase tourism and airport promotion.
Legislators have added bills to set up an environmental work force of contract laborers, extended hotel renovation tax credits, more money for social service agencies and unemployment, and unemployment benefits for small-business owners.
House and Senate leaders have been meeting unofficially in private sessions for the past two weeks in an attempt to reach agreement before the Legislature starts.
How much of Cayetano's $1 billion construction request will actually be approved remains uncertain.
To pay for the new construction, the state would float bonds, but to back up the bonds, the state plans on taking most of the money in the Hurricane Relief Fund and moving it to the state's emergency fund. House Speaker Calvin Say is against that, and there also is opposition in the Senate.
The governor also is hoping to get money for a new medical school and a West Oahu University of Hawaii campus during the special session, but those projects also are still under debate.
Meanwhile, House and Senate Republicans have failed to get the majority Democrats to consider a series of tax breaks, including a retail tax holiday and general excise tax cuts.
"The big thing we see missing is tax relief," said Rep. Galen Fox (R, Waikiki), GOP leader. "We should get the economy moving as fast as we can."
The legislative reaction, however, is patterned after the Cayetano administration proposals to speed up the way the state awards construction contracts, extend unemployment benefits and beef up security at state airports and harbors.
Because of the dramatic increase in unemployment due to layoffs at hotels, restaurants and airlines, the administration is also proposing temporary health insurance coverage for displaced workers.
Finally, Cayetano's proposal for emergency powers during financial emergencies has failed to attract much support at the Legislature.
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