‘Where is our taxpayer money going?’ Legislative session ends with heated debate over State’s budget

HONOLULU (KHON2) — The legislative session has come to an end Thursday, May 4.

After months of debate, Legislators have passed hundreds of bills that could change the landscape of Hawaii. However, on the final day, there was a heated debate over the State’s budget.

Fireworks ignited on the House floor over what’s considered the most important piece of legislation, the State’s budget.

“Where is our taxpayer money going? What’s being funded and what is not being funded?” questioned Rep. Della Au Bellati, (D) Makiki, Punchbowl.

“There are things that are grossly overfunded, and there are things that are grossly underfunded,” said Rep. Adrian Tam, (D) Waikiki.

Critics of the budget said that it doesn’t support working families enough while there’s a budget surplus and cuts millions of dollars from the Department of Education and the University of Hawaii.

“We need more teachers, not less,” said Rep. Justin Woodson, (D) Kahului, Pu’unene, Wailuku. “We need more support, not less.”

Supporters said there were other wins.

“We’re doing $15 million for Ohana Housing Zones to take care of the most vulnerable population in addition to another $5 million for permanent supportive housing for pepole who earn 30% median income and below,” said Rep. Troy Hashimoto, (D) Waiehu, Wailuku, Waikapu.

“It doubles the earned income tax credit. It doubles the food excise tax credit, and it almost quadruples the child and dependent tax credit,” said Rep. Nadine Nakamura, (D) House Majority Leader.

The budget passed both the House and Senate Thursday, but there were some questions about the originally proposed tax breaks.

“The only thing that survived was credit enhancements in three tax credits that are used by people lower on the income spectrum but only for five years,” said Tom Yamachika of Tax Foundation of Hawaii.

“So, there is some caution in this first year of the biennium and a lot of the surplus generated was from federal money that will not be recurring revenue to sustain recurring costs in the budget,” said Sen. Ron Kouchi, (D) Senate President.

Meanwhile, Senate leadership said it’s hopeful that they can take another look at more tax relief next session.

The bills that have made it through this session will now head to the Governor’s desk. If the Governor intends to veto any bills, he must notify the Legislature by June 26.