COM 0140.010 2002-2004 - Laserfiche WebLink

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April 15, 2003 The Honorable Aaron Chung Page 2 Status of ERS Suit: The County's share of the Employees Retirement System payment has already been established and approved by the ERS trustees for FY 2003-04 and FY 2004-05. These amounts are included in our proposed budget. While the case will be appealed, we do not feel it is necessary at this time to include any provision for payment in our current budget plans. Supplemental Budget Requests: You ask what we propose as priority spending in the Prosecuting Attorney's OfJ-ice, Fire Department and Police Department. Our priorities in spending aze reflected by what is included in the budget that was presented to you. There is no argument that these departments make "enormous contributions to public safety, a core function of county government." However, public safety is not the sole core function that must be addressed. Any funds to increase the amounts already allocated to these departments will Gave to be taken from other departments. While these three departments presented important supplemental requests that were not funded, so did all other departments. I assure you that public safety agencies aze already receiving the lion's share of the departmental increases that have been included in the proposed budget. Additional Considerations: You requested my position on the following: • Fees for various permits, licenses, etc. -Departments are evaluating the fees chazged and will be proposing adjustments as appropriate. • Fuel tax increase - A proposal to increase the fuel tax will be presented to the Council by the Department of Public Works. • Public Service Company tax - AT&T Wireless appears to be overpaying the PSC tax to Hawaii County. We have contacted them twice to discuss the payments, with no change resulting. We continue to accept payment. Additionally, we have estimated what we think is a more appropriate tax amount and record that as revenue. We have not recorded the full amount as revenue, so if they make a refund request we will not incur a financial impact. Verizon Hawaii made a major reduction in PSC tax payments beginning July 2002. Their payments are down by over $50,000 per month, resulting in approximately $600,000 shortfall in estimated revenues from PSC tax this fiscal year. Payments were reduced to all counties. Maui County wrote to Verizon and requested an accounting of the tax calculation and payment, but has received no response. We are requesting our Corporation Counsel to draft a letter to Verizon to follow up on this matter. • Sales of Hamakua lands: We are proceeding with sales of Hamakua lands. Three properties are currently in escrow and a fourth property is in the County negotiation process. Some of the funds from sales will be used to cover costs to sell the remaining properties. An estimates sales schedule is attached.