Small Business Hawaii
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Small Business News
March 2004 | Online Edition


Small Business Views
By Sam Slom, President and Executive Director of Small Business Hawaii


Sam Slom

Now that homosexual/lesbian marriages have become reality in San Francisco, Hawaii could leapfrog ahead. Many politicians are so in love with themselves that our legislature should legalize self marriage. Think of the economic benefits

Ho hum, HMSA will raise its insurance premium rates on small business yet again by another double digit (12 – 14%). What’s new? Cost drivers include the additional medical mandates added annually by the state legislature. Hopefully, competition here soon.
The Democrats suggest state-run medical.

There is still debate about Hawaii’s beverage container deposit tax passed two years ago but not effective as yet. However, COSTCO started collecting the fee last year—whether you buy soda, beer or water—and then applies the 4% General Excise Tax on top of this tax too. They neglect to tell you how to “return” your containers for a refund. Just the kind of Ponzi scheme the state will play if the tax becomes effective this year.

Then there is still the gas cap bill also passed two years ago but not effective until July1 of this year. It will harm small gas station owners most—especially those on the Neighbor Islands. The Lingle Administration appears to have backed away from an assault on this costly anti-consumer, anti-business measure although a bill from last year is alive (barely) at the Legislature.

Happy 15th anniversary to Roy’s restaurant. Chef Roy Yamaguchi, our corporate neighbor in Hawaii Kai, is known nationwide.

The state’s bank regulator, Nick Griffin, last month gave state approval to the proposed CPB hostile takeover of City Bank. The state action follows similar fed approval. See related story on page 5.

SBH member Rep. Barbara Marumoto (R-19th), looked closely at the 50th anniversary ad for Japan Airlines first flight to Hawaii and recognized herself in the photo that was actually taken in San Francisco, not Honolulu. Barbara knows because standing with her in front of the plane in the photo was friend Suzie Kobuchi Okazaki. Marumoto showed lawmakers the original photo from her scrapbook.

In the movie, “Along Came Polly,” which was partly filmed on Windward Oahu, the honeymoon scene was labeled as the Bahamas. Chinaman’s Hat is in Kaneohe, not the Caribbean. “50 First Dates” filmed mostly here.

Lee Cataluna, Pat Hamamoto and Marion Higa. What do they have in common? The Advertiser columnist, DOE Superintendent, and Legislative Auditor have all suddenly been on the attack against Governor Lingle and her policy for change, with aid from the Democrats. No one Democratic male seems up to the task, but three women?

Mel Kahele, combative boss of the Teamsters & Allied Workers Local 996 union, who brought Oahu the bus strike three months ago, now brings the state the current cement strike, crippling the improving economy and booming construction industry. It’s a tossup who dislikes Kahele the most: employers or other union members being laid off.

Charley’s Taxi chief Dale Evans had a nice leadership column written about her in The Honolulu Advertiser last month but the article never mentioned Dale had been named SBH’s “Small Business Person of the Year” at our January Annual Conference.

The NFL Pro Bowl will remain in Honolulu for another 5 years. A contract was negotiated by the Hawaii Tourism Authority’s
Larry Johnson. The February 2004 game, the 25th anniversary event in Honolulu, was probably the best Pro Bowl ever played (from a fan’s perspective) and thank to Janet Jackson’s Super Bowl boob, local entertainers Amy and Willie K. were showcased at halftime. The state currently pays the NFL $5.3 million for the game.

A labor bill, SB 2353, that established a new employee cause of action against the employer—for psychological damages in an abusive workplace environment—was quietly put to sleep in committee Feb. 18.

AdWorks and Becker Communications will serve as the pro bono advertising and public relations firms, respectively for the Aloha United Way (AUW) campaign for 2004. Meanwhile, the AUW announced that “Company of the Year,” awards went to bank of Hawaii and First Hawaiian Bank for 2003.

State Labor Director Nelson Befitel offered a good, workable, omnibus Workers’ Compensation reform bill that was met with lukewarm enthusiasm from majority lawmakers. Business needs work comp reform. Hawaii’s WC rates are the 3rd highest in the U.S. and unfair. Many businesses also hit by negative changes in laibility insurance rates, especially for small contractors.

Business must be at the Legislature. Call SBH or visit our website for alerts.


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Copyright 2004 Small Business Hawaii. Last update: March 1, 2004