Hannemann criticizes 23%
increase in sewer fees

The mayor-elect says Harris' proposal
is unreasonable

Mayor-elect Mufi Hannemann criticized Mayor Jeremy Harris' administration yesterday for contemplating a 23 percent sewer fee increase next fiscal year.

"There's no reason why we should be looking at a 23 percent sewer increase hike," Hannemann said. "That should've been done incrementally. That should've been phased in. That should've been very clear to the taxpayers how much it's going to cost to do that."

Hannemann is planning a review of city government operations, a process he said will help him to formulate the city's budget for the next fiscal year, which begins July 1, and to determine whether things such as a sewer fee increase are necessary.

"I think it'll help, definitely," he said of the review.

Fulfilling a campaign promise to conduct a "fiscal fitness" exam early in his term, Hannemann announced yesterday he is proceeding with what he is calling the "mayor's review."

He is tapping Paul Yonamine, executive vice president of the consulting firm BearingPoint and a campaign supporter, to lead the effort to gather information on the operational and financial status of the city in time for the March 1 submission of the budget to the City Council.

The review will be done in three phases over two years, with the first phase commencing the day after Hannemann is sworn in Jan. 2 and lasting 60 days.

"This isn't an exhaustive process where we're going to get all the answers. It's a real bird's-eye view of the executive-level process," Yonamine said.

Later phases will seek solutions or improvements to any problems or issues identified in the first 60 days. Volunteers from the business sector, unions and city workers will participate.

Hannemann said he has asked Yonamine to focus on roads, sewers and solid-waste issues.

The Harris administration is considering the sewer fee increase to help pay for operating costs and debt connected to sewer construction projects.

The fees would help pay the cost of the debt from $175 million in sewer revenue bonds the administration wants issued. But some members of the City Council are reluctant to approve issuing the bonds if it means sewer fees will climb drastically.

"I don't think the taxpayers want to see a 23 percent increase in one fiscal budget. I think this enables us to take a long-term view and as much as we can project to the Council, to the public, of what it's going to cost to do this," Hannemann said.

Yonamine said the review "is really meant for the mayor-elect's benefit, to get a better understanding of the city and county administration, and luckily if we can find some issues that need to be addressed before the March 1 budget submission, I think that's all the better."