We are off to a good start in 2002 and optimistic that small business leadership will help Hawaii not only recover, but prosper. Meaningful political and economic changes are on the horizon.

Your legislature is in session again (until May 2) so keep both hands on your wallet!

After 10 years of legal sabre rattling by the State Attorney General's office aimed at Chevron and other gasoline refiners, and promises of a $2 billion settlement, the AG'S office secretly, settled for 1% of that amount - $20 million. Millions were spent in fees and as is all too common in Hawaii, only the lawyers made out. Former AG Margery Bronster should be held accountable, but won't be.

A special City Council election Jan. 26 to replace convicted felon Councilmember Andy Mirikitani (now serving time near Las Vegas) produced a 26% turnout and a win for former Senator and Democrat Party leader Ann Kobayashi who finished 1st in the 14-person "non-partisan" race - and spent the most.

Their recall effort failed last year, so a citizens group petitioned the Hawaii Supreme Court to remove Councilmember Rene Mansho. Mansho was found guilty of campaign spending violations and repaid a reported $80,000. Her term ends in November.

Mayor Jeremy Harris, a no show at the SBH and nearly all candidate forums, is in bigger trouble by the day with investigations ongoing by the Campaign Spending Commission, FBI, and IRS. Most now believe he will not file for Governor. Harris protege' Councilman Duke Bainum may withdraw from the race for Mayor - assuming there is such a race.

Outrigger Hotels has a great concept for modernizing Waikiki. The problem is that they couldn't reach terms with 4 small parcel landowners, so they chose to get power of government to take the land for them. The City Council went along with the scheme to use "eminent domain" condemnation power - usually reserved to take private property for a public purpose - to snatch the property then turn around and sell it to Outrigger. The vote in committee was 5-3. Bad idea, bad economics. The "new" Pacific Business News, endorsed the idea saying, while individual rights are important, this is an OK use of government power. An editorial penned by PBN's Larry Fuller, fired years ago from the Honolulu Advertiser. Maybe PBN might support the idea that first amendment rights are a good idea too but should be tempered by government.

Larry Meacham and his Common Cause Hawaii - a far cry from the group once respected for the integrity of the late Des Byrne - continues to show selective concern for ethics and money influence, trashing Republicans while looking the other way at Democrats.

PAQ, Inc. of California bought the 13 Times Food Markets, founded in 1949, by the Teruya family. Local businesses keep going.

Any truth to the rumor Steve Forbes (SBH keynote speaker in 2001) would like to be Secretary of the Treasury? Currently Paul O'Neill, a holdover from the Clintonesque era is becoming less popular daily, but there is not strong support for Forbes-as yet.

SBH mourned the death of long time member Fritz Vincken Dec. 8 in Salem, OR. Vincken owned Fritz's European Bakery for many years in Honolulu before moving. He was 69. Best known for his quality bakery, Vincken was also known for a remarkable act during WWII. During Christmas eve of '44 in the Ardennes Forest by the German-Belgian border - site of the "Battle of the Bulge" - the then 12-year old Fritz and his mother, Elisabeth, provided a most unusual holiday dinner for US and German combatants. Seven soldiers - 3 Americans and 4 Germans - put their weapons down and accepted hospitality of the Vinckens. The event is referred to as, "the night God came to dinner." An LA-based film company will make a movie tentatively titled, A Silent Night. Roscha Woodwork owners Martin and Margot knew Fritz and family quite well and have many other interesting stories about the remarkable man.

Sorry to report Aiea-Pearl City's (NFIB & SBH too) Bill Sullivan, died January 27.

Member attorney Fritz Rohlfing tapped by President Bush to be a federal court judge. Rohlfing has been a successful attorney and small businessman. Senate must confirm.

The choice of Joyce and Bill Edwards of the Systemcenter, Inc., as SBH's "Small Business Persons of the Year" at the SBH Annual Conference couldn't have been better. And, it is a family affair with sons and daughter actively moving the dynamic company forward.

Special mahalos for those who made the Industrial Show such a success: producer Mike Rossel and staff, Wayne Fukuda, Jay McWilliams, Roger Potter, Susie Sadur, Malia Zimmerman, and Brian Zinn.

Biz still needs tax, regulatory and employer mandate relief - especially workers' compensation - so get involved with SBH's legislative coalition. Call SBH today!

Sam Slom is also a State Senator representing the 8th district in the East Oahu area.

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