Ka Wai Ola - Office of Hawaiian Affairs, Volume 26, Number 6, 1 June 2009 — JUST SAY NO [ARTICLE+ILLUSTRATION]

JUST SAY NO

About 400 people gathered at the state Capitol May 7 to cheer on Republican Gov. Linda Lingle as she vetoed three tax bills, whieh Democrats said were necessary to avoid layoffs and avoid raising fhe general excise fax in fhe face of a $2.1 hillion shortfall. Democratic lawmakers "can't tax their way out of this eeonomie crisis," Lingle said to cheers. Her efforts were soon undone. The next day, state lawmakers over-rode her vetoes, allowing the bills to heeome law. "I think by the end of the day the Legislature will look good because they were responsible in balancing their budget," said House Speaker Calvin Say just before Lingle's veto. In the crowd, Kalei Lyman, a hotel manager with the employee-owned Aqua Hotels and Resorts, applauded Lingle's veto of the increased hotel-room tax, whieh he said would hurt tourism and jobs and trickle-down to the entire state. "If l'm not making money, how am I going to spend it at L&L (Drive-lnn) and how am I going to fly to Hilo to go see the Merrie Monarch Festival," he asked. "It affects everybody." The other two over-rides: raises conveyance taxes on real property purchases of more than $2 million and investment properties, with percentages of the money directed to Land Conservation, Natural Area Reserve and Rental Housing Trust funds; and increases ineome tax for those earning more than $1 50,000, among other high earners. All the laws will sunset by 201 5, when lawmakers foresee an eeonomie turnaround. Pictured with Lingle from left are state Sen. Sam Slom, state Rep. Gene Ward (behind Lingle) and Eddie Flores Jr., president of L&L Drive Inn. - Photo: UsaAsato