Mayor proposes
no fee increasesA rallying economy is one reason
for the change, officials say
Last year, Mayor Jeremy Harris' administration said sewer fees would have to rise by up to 12 percent and that an $8 fee would be needed for a second day of trash pickup in a curbside recycling plan.
A year later, the mayor has not proposed the extra fees.
So, members of the City Council's Budget Committee scratched their heads yesterday wondering why the about-face on balancing the city's operating budget.
"It's very magical," Budget Chairwoman Ann Kobayashi said on the first day of hearings on the mayor's proposed $1.22 billion operating budget for the next fiscal year, which starts July 1. "It's such a change from last year."
But administration officials said it was not magic, but an improving economy and revenue stream that are leading to a less gloomy fiscal picture.
"As we approach this year's budget, we are again attempting to minimize any taxes or fees that might impact the families on this island," Harris told a television audience last night in a paid, pre-taped broadcast on the budget.
Administration officials said last year that sewer fees would need to go up beginning this July 1 because of additional funds required to upgrade the city's aging sewer system. Rates have not gone up since 1993.
But when the mayor sent the budget to the Council last week, he was quick to point out that there is no need to raise sewer fees now.
"I'm delighted that there's not going to be a sewer fee increase, and I'm delighted that you've gone through and found the savings," Councilwoman Barbara Marshall told administration officials. "You'll reassure us that these aren't phony savings."
Budget Director Ivan Lui-Kwan replied, "They are not phony savings."
After the meeting, Lui-Kwan said a combination of holding the line on spending, an improving economy and increasing revenues led to the analysis that sewer fees would not need to be raised.
Lui-Kwan said last year's hike in the fee charged for sewer hookups for new homes also led to the more revenues for the sewer fund.
The mayor's budget also proposes to implement curbside recycling islandwide as early as this summer.
Last year, the administration said $8 million generated from an $8 monthly fee for a second day of trash pickup would help to pay for the recycling program. Most on the Council did not like the fee, and that in part led to the Council killing the idea.
This year, the administration will implement curbside recycling without a fee and will issue each household one to two more carts to collect green yard waste and recyclable items such as aluminum, plastic, paper and glass.
"It's great; I like it, but I'm a little concerned because last year you guys said we needed a fee," Councilman Charles Djou said.
Lui-Kwan said curbside recycling will add up to $3 million in costs but can be handled within the budget.
