HomeMy WebLinkAboutCOM 0304.007 1998-2000 ~ ME
Worktng Together LOCAL 152, AFL-CIO
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Hawaii Government Employees Association
Charles R. Kendall Building, 888 Mililani St., Suitc 601, Honolulu, HI 96813, Phone (808) 536-2351, FAX (808) 528059
Hawaii County Council
County of Hawaii
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Testimony by - \
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HGEA/AFSCME Local 152 p~___.~~E ~l._..._._.~
June 8, 1999 County Council
Resolution No. 89-99 Approval of the Cost Items Agreed Upon by the
Employers and the Hawaii Government Employees Association
Affecting HGEA Bargaining Units 02, 03, 04, 13 and Employees
Excluded from Those Bargaining Units, for the Contract Period July 1,
1997 Through June 30 1999
Resolution No. 97-99 Approval of the Real Property Tax Rates for the
County of Hawaii for the Fiscal Year July 1 1999 to June 30 2000
The Hawaii Government Employees Association, AFSCME Local 152, AFL-CIO requests your
support of Resolution 89-99 which funds the collective bargaining cost items for employees in
bargaining units 02, 03, 04 and 13 and those employees excluded from these units.
HGEA/AFSCME negotiated the contracts in good faith. And, the employees in the bargaining
units have overwhelmingly ratified the contracts. While the 1998 Legislature deferred funding the
monies, each of the four (4) county councils took action to approve our agreements and
appropriated the necessary funds for the cost items. Subsequently, the 1999 Legislature funded the
affected contracts and Governor Benjamin J. Cayetano recently signed the respective legislation to
fund the pay increases.
HGEA/AFSCME aggressively supported Senate Bill 1518 which provides needed financial
assistance to the counties by reducing the employees retirement contributions to fund the
retroactive pay raises. We worked cooperatively with the employers and Legislature to craft a
reasonable formula to assist the counties by reducing your Employees' Retirement System
contributions. Earlier, in January 1999, the ERS "smoothed" the four (4) years average actuarial
Comm. No. 3 a5~• 00,
NSIe No. P~ S
Ref. To• Fres•nfad CovNCrr_
Ref. Date ~ 1999 _
Hawaii County Council
June 8, 1999
Page 2
assumptions regarding salaries beginning June 30, 1998 to save the County of Hawaii $2,204,100 in
FY 2000 and $1,628,200 in FY 2001 for a total savings of $2,832,300 in employer contributions.
This savings are in addition to the SB-1518 ERS savings of $7.9 million. The County of Hawaii will
save a total of $11.7 million in its contributions to the retirement system over the next biennium.
Therefore, funding of our pay raises should not be tied to the real property tax increases.
Resolution No. 97-99 to adjust the real property tax rates for the County of Hawaii for the 1999-
2000 FY is necessary because the county should become fiscally independent and not rely upon the
State of Hawaii for monies to fund its operations. The other county councils are including real
property tax and user fee increases to maintain essential county services. The County of Hawaii
should also consider raising its taxes or user fees now.
Adjusting the real property taxes effective July 1, 1999 will provide the county with needed
revenues to maintain essential public services. The Hawaii County Council should also clearly
express to the public that the ERS contributions savings are sufficient to fund our pay raises. The
real property increases on the other hand are necessary to fund and maintain essential county
services.
HGEA/AFSCME urges your support of Resolution Nos. 89-99 and Resolution No. 97-99.
Mahalo a nui loa.
s ctfully s bmitted,
~C!
Russell K. Okata