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The Honolulu Advertiser
Posted on: Sunday, February 15, 2009

COMMENTARY
What's in it for Hawaii?

By U.S. Sen. Daniel K. Inouye

Hawaii news photo - The Honolulu Advertiser

Everyone must work together to ensure that state spends its recovery funds wisely and gets more.

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Americans are struggling with the painful effects of an economic crisis, the likes of which have not been experienced since the Great Depression. If we are to renew the promise of prosperity and opportunity in our nation, we must first halt the downward economic spiral we now confront. There must be an urgency to our actions to send a clear signal to the American people that their government will not stand idly by as this economic crisis continues to worsen.

The American Recovery and Reinvestment Act of 2009 combines tax relief and government spending for a total investment of $787.2 billion. As chairman of the Senate Appropriations Committee, working with the House and the Obama administration, I tried my best to craft a legislative package that will put people back to work, invest in critical infrastructure such as roads and schools, prevent cuts to basic services, reduce the tax burden on working families, and then to position our nation for the future in the areas of renewable energy and broadband connectivity that will help enable our economy to thrive once again.

Throughout this whirlwind of discussion and debate, compromise and concession on the stimulus plan in our nation's Capitol, I always had one eye firmly on my beloved Hawai'i to be sure that we not only got at least our fair share, but have a strategic plan of action to compete for additional federal funds that we desperately need to put Hawai'i back on more solid economic footing.

For this reason, I have worked to include our legislators, county, state and federal officials on a series of working groups to be sure that we have shovel-ready projects so that the federal resources can be invested quickly and responsibly. There are formula allocations and competitive grant opportunities, and Hawai'i must be ready to execute what's been given to us and to compete vigorously for more. This will ensure the most effective and timely economic impact in our communities.

The total formula funding for Hawai'i is $678 million. There is $169.5 million in road and bus funds headed to Hawai'i, and we will be competing for airport and harbor funds, as well as more highway dollars and a rural bus upgrade for our Neighbor Islands. There is $25.9 million for public housing funds coming to Hawai'i, together with low-income housing tax credits to spur on development. There is $50.5 million coming to Hawai'i for repairs and upgrades to our wastewater and sewage systems. Hawai'i also stands to receive $30.3 million in energy grants, and there are billions more for both renewable energy and broadband deployment, for which Hawai'i can be competitive. We need to lean forward and go for it, and I will do everything I can to support those efforts.

In the area of education, Hawai'i stands to receive $247.4 million, with $158.2 million specifically for preventing cutbacks and layoffs, and for school modernization.

Additionally, $360 million over the next 27 months will increase the federal government's share of the Medicaid costs to care for our needy. And $127 million in social service grants will assist children, the poor and others struggling to put food on the table or a roof over their heads. Labor grants in the amount of $39.6 million will support those in need of a new skill or trade to improve their prospects for gainful employment, including approximately $30 million in extended unemployment benefits.

I am hopeful that these funds will help to cushion the severity of the cuts to education and social services, and will hopefully make state budget deliberations a bit less painful. The counties will receive $4.1 million in Community Development Block Grant funds, and together with our Legislature and the Lingle administration must all work to ensure that these dollars are well-used and assist those most in need in our community.

There are many more projects and opportunities for Hawai'i that will be announced in the weeks ahead as our federal agencies make their own decisions as to how best to spend their stimulus funds to jump-start the economy and to accelerate their missions. I trust you will be pleased with the supportive role our federal partners will play in Hawai'i's economic recovery. Stay tuned.

We are all in the same canoe — we will rise or sink together. It is our defining moment. While there is no quick fix or easy answer, working as a team for the betterment of Hawai'i, I believe we will pull through together and look forward to a brighter tomorrow.

Reach Daniel K. Inouye at (Unknown address).

U.S. Sen. Daniel K. Inouye, a Democrat, is Hawai'i's senior senator and chairman of the Senate Appropriations Committee. He wrote this commentary for The Advertiser.