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<br /> <br /> <br /> <br /> <br /> <br /> REPORT OF THE <br /> COMMITTEE ON FINANCE <br /> <br /> DATE: December 15, 2009 Re: Comm. No. 643/Res 284-09 <br /> PLACE: Sheraton Keauhou Bay Resort and Spa <br /> 78-128 `Ehukai Street <br /> Kailua-Kona, Hawaii <br /> TIME: 11:47 a.m. <br /> <br /> Council Chair and Members <br /> Hawaii County Council <br /> Hilo, Hawaii 96720 <br /> <br /> Your Committee on Finance, to which was referred Resolution No. 284-09, reports as follows: <br /> <br /> Resolution 284-09, transmitted by Council Member Dominic Yagong, via Communication <br /> No. 643, dated December 3, 2009, requests the Mayor to immediately implement a zero-hiring <br /> policy for the remainder of Fiscal Year 2009 - 2010. <br /> <br /> Council Member Yagong said any savings gained with the furloughs will be lost if we continue <br /> to hire people onto the payroll. <br /> <br /> Council Member Enriques said, while he agrees that we must be extremely prudent in hiring, a <br /> zero hiring policy is too absolute and may cause some problems down the line. <br /> <br /> Finance Director Nancy Crawford said the sixth "Whereas" in the resolution incorrectly states <br /> that labor costs and benefits represent approximately 70% of the operating budget. The correct <br /> figure is 56%. She also said the Administration has already implemented a virtual freeze on <br /> hiring. Every vacant position must go through a review committee, who makes a <br /> recommendation which goes to the Mayor's office for final approval, with the Department Head <br /> having to justify the request. <br /> <br /> Ms. Crawford said there are several reasons for not implementing a blanket freeze on hiring. <br /> There are union considerations about who can be required to perform certain duties. There are <br /> specialized positions, for which she cited an example of several revenue producing positions in <br /> the Real Property Tax Division which will be vacated in the upcoming months due to <br /> retirements. These are appraiser positions, and typically it takes four years to reach the <br /> Appraiser IV level. Police and Fire require civilian support staff, for example, dispatchers. <br /> There are grant funded positions and special revenue funded positions (i.e., liquor inspectors, <br /> sewer positions) which are not funded from the County's General Fund and may be considered <br /> essential. <br /> <br /> <br /> <br /> <br /> <br /> FC Rept. No. 130 <br />