COMM. 177 Planning Dept - CA-15 Land Fund

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William P. Kenoi Mayor January 21, 2010 County of Hawaii PLANNING DEPARTMENT Aupuni Center • 101 Pauahi Street, Suite 3 • Hilo, Hawaii 96720 Phone (808) 961-8288 • Fax (808) 961-8742 Edmund Haitsuka, Chairman and Members Hawai'i County Charter Commission County Council Chambers 25 Aupuni Street Hilo, Hawaii 96720 BJ Leithead Todd Director Margaret K. Masunaga Deputy RE: Planning Director BJ Leithead Todd's Testimony in Opposition to Charter Amendment Proposal No. CA -15 Set-aside Of A Percentage Of Real Property Tax Revenues For Land Acquisition Dear Chairman Haitsuka and Members: This letter is submitted in opposition to the proposed Charter amendment to set aside a percentage of real property tax revenues for the purpose of acquiring land for open space and creating a related fund and commission. This proposal as drafted would amend the Charter by adding a new section to provide for the "Public access, open space, and natural preservation fund or Land Fund." There are a number of concerns that I have over the proposal and therefore ask the commission to not put this proposal on the ballot. MANDATORY SET ASIDES IN THE CHARTER DIMINISH BUDGETARY FLEXIBILITY, ESPECIALLY IN A DOWN ECONOMY I share the Finance Department's concerns over the establishment of this fund in the Charter. Mandated funding, set asides and special funds for specific purposes in the Charter takes away the flexibility of the administration to administer the budget and meet other obligations of the county, especially during tough economic times. The county is currently undergoing an unprecedented decrease in revenues. Having mandatory set -asides may force the county to raise taxes or other revenues to meet its obligations that are required by federal law, state law, other rules and regulations and union contracts. Hawaii County is an Equal Opportunity Provider and Employer