Honolulu Council Passes Budget, Mayor Eyes Veto

Summary

Honolulu’s council approved a $4 billion budget, and Mayor Rick Blangiardi said he plans to veto cuts to the economic revitalization office.

Why this matters

The budget sets city spending priorities for services, transit, policing, and debt payments. A veto fight over the Office of Economic Revitalization could determine whether those job cuts take effect.

The Honolulu City Council on Wednesday passed a $4 billion operating budget, prompting Mayor Rick Blangiardi to say he would line-item veto cuts to the city’s Office of Economic Revitalization.

“This is nonsensical,” Blangiardi said after the vote.

The council passed the budget with six votes, enough to override a mayoral veto. Council Chair Tommy Waters and Budget Chair Val Okimoto voted yes, along with council members Andria Tupola, Esther Kiaʻāina, Scott Nishimoto, and Radiant Cordero.

Blangiardi had proposed a budget slightly smaller than last year’s, citing flat city revenue and higher costs. His plan cut $50 million from vacant city positions. The council made additional reductions.

The budget included more than $160 million for culture and recreation, nearly $500 million for public transit, and more than $725 million for debt service, including about $218 million for sewer projects. It also funded 10 new deputy prosecutor positions in Prosecuting Attorney Steve Alm’s office.

A proposal to create a $41 million provisional account controlled by the council for lawsuit settlements, energy costs, and disaster response was dropped after opposition from the administration. A Blangiardi proposal to expand the Homeless Outreach and Navigation for Unsheltered Persons program also was not included.

The sharpest dispute centered on the Office of Economic Revitalization, created during the COVID-19 pandemic. The budget eliminated 15 of its 24 positions.

Executive Director Amy Asselbaye said the cuts would end initiatives involving business support, local agriculture, workforce development, strategic tourism planning, and economic forecasting. She said about 6,000 residents had been helped by the Good Jobs Oʻahu job training program.

Blangiardi told council members in a Friday letter that he would veto the reduction if it remained in the final budget. After Wednesday’s vote, he said he would look for cuts elsewhere to restore the positions, but did not say where.

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