
Helping Working Families
Our working families are the backbone of our economy. We need to continue to work to make Hawaii an easier place to find good jobs and raise a family. These are some of the important measures that impact the average Hawaii family that came to a vote recently.
Timely Tax Refunds
Everyone looks forward to getting their tax refunds, and many people rely on them to pay the bills. When the budget began to drop into the red, the Governor proposed delaying everyone’s tax refunds to save the state $275 million. While the Legislature doesn’t have the power to stop the Governor, we did pass House Bill 1948 to require that future tax refunds be returned within 90 days, or interest will have to be paid to the taxpayer.
Insurance Tax Increases
Another proposal to balance the budget was House Bill 2851, which would have increased the General Excise Tax on all insurance premiums. This would have raised the cost of insurance for for everyone because insurance companies would have simply passed this cost on to consumers. I opposed this bill because we should look elsewhere to balance the budget. There are easier places to find money that will not impact the average working family.
Senate Bill 2159 is another bill that would add a “pass through” cost to consumers’ bills. This measure increases the fee to request a traffic abstract from $7 to $20. Insurance companies regularly request traffic abstracts to determine insurance rates, and this increase would likely be reflected in everyone’s insurance premiums. I opposed this as well.
Emergency Budget Reserve Fund
The biggest change we can make is to prevent a future recession from having such a heavy impact on our working families and our economy here in Hawaii. Instead of spending any budget surplus in good years, Senate Bill 2807 requires that a portion of the surplus be set aside as a rainy day fund to prevent school furloughs or layoffs from worsening the economy in the next recession. Having a real reserve of emergency funding can allow the state to keep core services intact in a recession. Because government is the only entity that cannot be allowed to fail at any time, and is also the only entity with the resources to truly intervene in an economic crisis, it is important we set aside the resources so we can stop the next recession from impacting our state so badly. The people of Hawaii voted to pass this Constitutional Amendment in the 2010 General Election 59% to 31%.





