Leaders to further scrutinize rail project

Honolulu City Council Chairman Ernie Martin on Friday reaffirmed Council leadership’s full backing of the city’s $5 billion-plus rail transit project but vowed more scrutiny because of recent news that it will likely cost $550 million to $750 million more than anticipated.

"We are well aware of the financial challenges looming ahead, but this project is crucial for the future sustainability of Oahu," Martin said at the biennial Council inauguration at Hono­lulu Hale. While spending more time talking about rail than any other topic during his 10-minute address, Martin promised that he and his colleagues will press harder to make sure that Hawaii’s largest-ever public works project is done "in a fiscally responsible manner" and by the scheduled completion time of 2019.

The project will add jobs and provide construction, as well as affordable housing and commercial development around train stations, Martin said. He made it a point to acknowledge the presence Friday of Gov. David Ige, who recently spoke of the potential for using state land next to rail stations for government offices and redevelopment.

"We must take advantage of every aspect we can to create broad, public benefits from rail," Martin said, adding that it will concentrate development in the urban area and keep "the country country."

Martin even called on city leaders to begin work on expanding the rail line beyond the 20-mile first phase, from East Kapo­lei to Ala Moana Center, to include a spur to the University of Hawaii at Manoa. "We have the people and the knowledge in place to plan and implement the extension," he said. "It would be wasteful if we don’t take advantage of those resources now rather than later."

After the meeting, Martin said he and other Council leaders were disappointed to learn of a projected shortfall in rail tax revenues.

He and new Council Transportation Chairman Joey Mana­han expect to be "more assertive in bringing the leadership that’s guiding HART before the Council to be more forthright in their representations." Martin said. "Let’s put it this way: The honeymoon is over. It’s inevitable that we’re going to do rail, but I think the general public’s concern is to, wherever we can, curb some of that cost."

After the Council gave the projectthe crucial votes to advance it, "we haven’t been as assertive with respect to rail," he said.

Martin said he wants more answers from HART officials before committing to support extending the 0.5 percent Oahu surcharge on the state general excise tax beyond 2022. The surcharge is supposed to provide the bulk of the money for rail’s construction. He noted that Ige, when he was chairman of the state Senate’s Ways and Means Committee, was always "icy" to extending the surcharge.

Caldwell applauded Martin for devoting much of his speech to his support for rail. The mayor said he will leave it to HART Chief Executive Officer Daniel Grabauskas to lead the charge to extend the surcharge. Caldwell said most major systems have a dedicated funding source that pay for construction, operations and maintenance.

"Any mass transit project needs to be subsidized," he said. "Mass transit is about … transportation equality and social equality. A dedicated funding source would help make sure the system is maintained and operated, and segments are added up to UH, up through Kalaeloa and other areas in the future."

Manahan and other Council members said they expect to see HART officials more often before the Budget and Transportation committees this year.

"I would imagine we’ll have some discussions," Mana­han said.

Both Manahan and Councilman Brandon Elefante said they support more scrutiny of HART but are also inclined to back extending the surcharge beyond 2022.

Councilman Ikaika Anderson said he might support legislation putting an actual dollar amount cap on how much the surcharge can raise and require it to end when that is reached, regardless of when.

Four of the nine Council members won elections in the fall and were sworn in Friday. Elefante and Trevor Ozawa took office for the first time, while Martin and Carol Fuku­naga are returning members.