Lingle tax plan
empowers countiesHer proposal would allow
the counties to raise taxes
for a mass transit plan
Gov. Linda Lingle says she will ask the Legislature to approve a new Oahu mass transit plan that gives counties the option to raise taxes.
Lingle told reporters yesterday that her tax proposal would likely be similar to one the Legislature passed in 1991. That plan gave each county the option of raising the excise tax 0.5 percent for 10 years, with the money going to build a transit system. Honolulu, at the time, was considering a 15-mile, $1.7 billion transit system.
Lingle's proposed $2.6 billion, city-state plan calls for 22 miles to be built by 2018. It would run from Kapolei to downtown, with the first link to be built between Leeward Community College and Aloha Stadium.
"Nobody likes to talk about a tax increase, but I also believe it is very important to be honest with the public at the earliest possible moment," Lingle said.
Twelve years ago, former Gov. John Waihee urged the Legislature to give the counties authority to increase the excise tax on their islands. The City Council killed an Oahu tax hike, and the transit plan, in a 5-4 vote.
Next year, Lingle will be in the politically uncomfortable position of being a Republican asking a Democratic Legislature for a possible tax increase.
"I will go to the Legislature and ask them to give the counties authority, just as they got before, to levy some level of tax to pay for transit," Lingle said.
Each county's tax proceeds would go for their own transit programs.
The governor also defended her claim that the transit task force had developed a consensus for the route and the tax increase to pay for it, although key members of her own party have reservations.
"I would still characterize it as a fairly general consensus," Lingle said.
But Sen. Fred Hemmings, Senate GOP leader, said he and the other four Republican senators are against a tax increase.
"We all signed the pledge not to raise taxes, and the Senate Republicans are going to honor that pledge," Hemmings said earlier this week.
Also, House Republican leader Rep. Galen Fox said that he would like to see a study of different routes to include both Waikiki and the University of Hawaii at Manoa.
Lingle, however, says that she feels a responsibility to push the program even if it has opposition.
"I'm the leader. ... Now I will find out from the leaders of both parties, both House and Senate, what form will work for them," Lingle said.
