Testimony urges
new isle racetrack

Two measures would aid
in building a new facility
at Kalaeloa

---

By Pat Omandam
pomandam@starbulletin.com

Michael Oakland needs state lawmakers' help to get a new racetrack to replace the 40-year-old, constantly booked Hawaii Raceway Park.

"Since 1993 we have steadily increased the motor sports uses at the current facility for the many who have the desire to race or (be a) spectator," Oakland said. "Because of limited available dates and conflicts with the diverse types of racing vehicles, forms of racing and testing desired, we are at capacity with no room for expansion."

Oakland was among those who offered testimony yesterday and Thursday before House and Senate committees on similar bills, House Bill 1569 and Senate Bill 1919. These measures would grant a 100 percent investment tax credit for the private development of a motor sports facility at Kalaeloa, the former Barbers Point Naval Air Station.

The proposal is similar to last year's controversial 10-year, $75 million tax credit to develop a resort, marine education center and aquarium at Ko Olina.

The motor sports facility credit would be equal to the investment made by the investor for six consecutive years with a maximum of $10 million per year and a cap of $50 million overall.

The Senate Transportation, Military Affairs and Government Operations Committee and the House Committee on Water, Land Use and Hawaiian Affairs will vote separately on these bills Wednesday.

In written testimony, Oakland said the raceway park's use has steadily increased since 1993, and it is now at capacity. Along with weekend drag, motorcycle, sprint car and kart races, the park is booked during the weekdays with training sessions for police and sheriffs, and for a driving school for students interested in competitive driving.

Annual attendance now exceeds 150,000, but the aging facility cannot be expanded because of city land use ordinances. The 1990 state Legislature passed a resolution urging the governor to build a modern racing facility, but it was not until Barbers Point was closed in July 1999 that appropriate lands were found.

Since then, Oakland said he has worked to get the proper federal, state and city approval, and has held community reviews and public hearings on the new motor sports complex.

Scott Waracka, president of the Pacific Karting Club, said a new motor sports complex could be an economic hub for Hawaii, and it could attract a national racing event, such as NASCAR or Champ Car races, both of which are already held in Japan.

Meanwhile, the Tax Foundation of Hawaii testified this proposed tax credit amounts to nothing more than a subsidy, is bad tax policy and sets a bad precedent.