Complaint against
HMSA dismissed

The spending panel finds
the insurer did not make an
in-kind campaign contribution

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By Rick Daysog
rdaysog@starbulletin.com

The state Campaign Spending Commission has dismissed a complaint against the Hawaii Medical Service Association alleging that the health insurer gave excessive political contributions to state Sen. Ron Menor.

By a 4-0 vote, the commission rejected yesterday a complaint by local attorney Stephen Shaw which alleged that HMSA and its President Robert Hiam made an unreported, nonmonetary contribution to Menor's now-defunct 2002 campaign for lieutenant governor.

"We do not find proof that there has been a contribution," said Robert Watada, the commission's executive director.

Menor (D, Mililani) said the commission's decision vindicates him of any violations of the state campaign spending law.

"The complaint was frivolous, inaccurate, and none of the allegations demonstrated a violation of the campaign spending law," Menor said.

Shaw, a frequent critic of the local health insurer, alleged that HMSA's outside lobbyist, Linda Rosehill, worked on Menor's campaign. According to Shaw, Rosehill's alleged work on behalf of Menor's campaign constituted an unreported contribution that exceeded state campaign contribution limits.

However, Watada said his staff found no evidence that Rosehill served in any official capacity in Menor's campaign. He said a commission staffer also interviewed Rosehill, who said she was not connected to Menor's campaign.

In July, Menor pulled out of the race for lieutenant governor out of consideration for his family.

In a related matter, the commission voted unanimously to approve fines totaling $6,000 against four local companies that gave excessive contributions to the campaigns of Honolulu Mayor Jeremy Harris and Gov. Ben Cayetano.

The companies include:

>> PBR Hawaii, a planning firm.

>> Diversified Energy Services, an engineering firm.

>> Marc Siah & Associates Inc., an environmental consulting firm.

>> Masa Fujioka & Associates, a geotechnical and environmental engineering firm.

According to the commission, PBR was fined $3,500 for overcontributing $8,950 to the mayor's 2000 re-election campaign and $9,750 to Cayetano's 1998 re-election campaign.

Diversified Energy was fined $500 for giving $250 in excess of the limit to the Harris campaign, while Masa Fujioka received a $1,000 fine for contributing $2,500 in excess of the limit to the Harris.

Marc Siah agreed to a $1,000 fine for overcontributing $3,750 to the Harris campaign.