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Small Business News
November 2003



Local Recall of Mayor Harris Gets Legs
By Malia Zimmerman, Hawaii Reporter

Never Mind Gray Davis' Recall. Locally some Oahu residents say recall Mayor Jeremy Harris. Those fed up with the multiple scandals taking place under Harris' watch are forwarding the movement. See http://www.recallharris.com.

Some of those scandals include:

  • 8 of 15 liquor inspectors being arrested on federal charges for taking bribes and extorting money from bar owners;

  • Convictions of three city employees of the city's Ala Wai Golf Course taking bribes for favorable tee times;

    Mayor Harris

  • Several arrests and at least one conviction of Harris' major contributors who "paid to play" or gave illegal contributions to Harris by using false names or money laundering. These contributors then received contracts valued at millions of dollars for city construction projects. The investigation, primarily conducted by the Honolulu Police Department, the Honolulu City Prosecutor and the state Campaign Spending Commission involved more than 100 companies, including consultants, construction contractors, attorneys, accountants and private businesses, seeking favorable treatment in permitting, zoning or procurement. Harris reportedly received $3 million during the four-year election cycle between 1998 ‚ 2001, almost one-half of which was illegally contributed.

  • Two police officers arrested and convicted of stealing food from prisoners;

  • Using taxpayer funds to promote his candidacy for mayor and governor at the expense of basic maintenance of the city's infrastructure and safety;

    Other concerns cited in the recall petition of Harris taken directly from the Web site are:

  • Wasteful, Self-Serving Spending: $800,000 for a community sign in Nuuanu, $1.2 million for 54 trees and a median in Hawaii Kai, $20 million wasted on BRT, $295 million on Vision Team projects, etc.

  • Raiding the Sewer Fund: The Harris administration has raided over $100 million from the city sewer fund, leaving just enough in the fund to meet minimum federal requirements and to maintain the city's bond rating. The city is now facing over $1 billion in required sewer repair and maintenance.

  • The Largest Tax Increase in Oahu's History: The Harris administration raised property taxes in 1999 and then again in 2003. City Councilman Charles Djou called Mayor Harris' proposal "the largest tax increase in modern city history."

  • Neglected Roads: The moment Jeremy Harris took office, maintenance of city roads took a nose dive. Hawaii had the worst-maintained roads in the nation, according to a report issued in 2003 by the Surface Transportation Policy Project.

  • Ballooning City Debt: The Harris administration has borrowed money to pay back borrowed money. 18 percent of this year's $1.178 billion city budget will go to pay debt service. It is estimated that by 2008, the city will be paying more for debt service than it will for police and fire or for anything else!

  • Illegal Dumping by the City: The city, was found responsible for illegally dumping of hundreds of tons of crushed appliances at a city base yard in Waipahu and is facing millions of dollars in fines.

  • The Ewa Villages Scandal: The largest theft of city funds ever, almost $6 million, occurred on Mayor Harris' watch. A member of the Harris administration was convicted of the crime.

    Speaking of Pay to Play: Another Contractor is Charged for Laundering Money to Mayor's Campaign City prosecutors charged Edward K. Noda, a recipient of city government contracts, with money-laundering, a felony, for allegedly using false-name contributions to channel $48,000 to the campaigns of Honolulu Mayor Jeremy Harris, former Gov. Ben Cayetano, former Lt. Gov. Mazie Hirono and Gov. Linda Lingle. Noda is the vice president and corporate secretary at Edward K. Noda & Associates, according to records filed with the state Department of Commerce and Consumer Affairs. Noda faces a maximum of five years in prison and fines of $10,000 if convicted on the money laundering charge. He also is charged with making false-name contributions, which could get him another year in jail and $2,000 in additional fines.

    According to a report in the Honolulu Star-Bulletin, Noda was arrested in July but released on money laundering and false-name contribution charges. Noda's firm also paid a fine of $74,000 to the state Campaign Spending Commission for its illegal contributions made through employees, friends and relatives of Noda. According to the state Campaign Spending Commission records, Harris received $48,000, Cayetano received $41,000, Hirono, $25,000 and Lingle, $7,000.

    Lingle's campaign representatives returned the full amount of the contributions to the Hawaii Election Commission the day they learned of the illegal contributions, according to Bob Watada, executive director of the state Campaign Spending Commission. However, Harris, Cayetano and Hirono have not yet returned the illegal funds they received.


    This report originally appeared in HawaiiReporter.com

    RETURN TO NOVEMBER 2003 SB NEWS PAGE


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