Legislators call for
relief fund use

Advocates say the state is going
through an economic disaster

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By B.J. Reyes
Associated Press

Unlike a decade ago, after Hurricane Iniki slammed Hawaii, there are no uprooted trees, torn-away rooftops or shattered windows to serve as physical evidence of the state's current economic devastation.

But to some, the loss of tourism dollars, increase in layoffs and wave of business closings in the aftermath of Sept. 11 amount to nothing short of a natural disaster.

And that, they say, is justification enough for tapping into the $213 million sitting in the Hawaii Hurricane Relief Fund.

"The hurricane has already come and has left devastation in its wake," Rep. Dennis Arakaki, chairman of the House Health Committee, said during floor debate last week.

As the Legislature heads into the second half of the 2002 session, use of the hurricane funds is likely to be a dominant issue in lawmakers' search for ways to make up a projected $330 million shortfall in the state budget.

House members spent four hours last week in strategy sessions and floor debate before approving the use of $100 million from the fund to be put toward essential programs.

The Hawaii Hurricane Relief Fund was enacted in 1993, a year after the devastation caused by Hurricane Iniki prompted some insurers to drop hurricane insurance from homeowners' policies.

The program was suspended Dec. 1 after the HHRF board of directors determined it had fulfilled its original purpose of making insurance available.

Opponents say raiding the fund to offset the budget shortfall is irresponsible because it discounts the possibility of another hurricane hitting Hawaii. Republicans in the state House had pushed to have the money returned to homeowners, but that effort was defeated.

But advocates of using the hurricane funds say the disaster is happening now and that it would be irresponsible to leave the funds alone.

Arakaki (D, Kamehameha Heights-Kalihi Valley) said he realizes that the hurricane fund was established for a physical disaster, but the state's economic situation has the potential for "human disaster."

Rep. Willie Espero (D, Ewa Beach-Waipahu), agreed. The measure tapping into the hurricane fund "is not a bill we all want to take back to our community," Espero said. "But at this stage, our community would understand."

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