Honolulu leaders say an arbitrator’s decision to award police officers throughout the state a nearly 17 percent pay raise over four years is "far more than we anticipated," and they warn residents that cuts in services, an increase in property taxes or both may be needed to cover the costs.
The arbitrator’s award, announced Friday afternoon and effective retroactive to Monday, covers 2,900 police personnel with the City and County of Honolulu and the counties of Kauai, Maui and Hawaii from lieutenants to the newest recruit. The officers are represented by the State of Hawaii Organization of Police Officers.
SHOPO President Tenari Ma‘afala said the arbitrator’s decision, rendered Wednesday after a monthlong hearing, was close to what his union requested.
"I’m happy with the arbitrator’s decision," he said.
He said his union had been without a contract and pay increases since 2011 and that preparation for the arbitration case took the union about 30 months.
Mayor Kirk Caldwell said in a news release that the 16.8 percent wage increase will mean changes to the city budget.
"Supporting our police officers and paying them competitive salaries is very important to recruiting and maintaining the strongest police force for Honolulu and keep us one of the safest big cities in America. However, the wage increases set by the arbitration panel are far more than we anticipated."
Caldwell said that while his administration continues to focus on improving core services such as road repaving and sewer infrastructure, "it is clear that the city administration and the Honolulu City Council will need to address revenue enhancements while looking for additional cost savings if we are going to meet our financial obligations."
He could not be reached for further comment.
City Councilman Ikaika Anderson told the Star-Advertiser that the city should be able to cover the officers’ increased pay through the 2013-2014 fiscal year, which began Monday, but would likely need to cut costs in other areas or raise additional revenue thereafter.
Anderson said measures could include reducing or eliminating services or increasing real property taxes, proposals for which are up for first reading at the City Council this month.
"The arbitrators’ decision is more than we anticipated, but we are obligated to pay it and we should pay it," Anderson said. "Our police officers, firefighters and other first reponders are at the center of the core services provided by the county government, and without them our safety would be severely compromised. Although this is more than we anticipated, I can’t say that it is undeserved."
Calls to neighbor island county mayors for comment were not returned last night.
There were no immediate estimates on how much the pay raises will cost the counties.
Ma‘afala said he can’t disclose any numbers on the contract until SHOPO’s board of directors, which governs the union, has a chance to convene in a couple of weeks and look at the details of the arbitrator’s decision.
He said his union asked for salary increases as well as benefits.
"I still have to address the board," he said. "They haven’t had a chance to look at it. They haven’t had a chance to … authorize going forward with a public announcement."
