

Small Business News
January 2006 | Top of the News

Dale Evans (center) of Charley's Taxi received The Brand Strategy Group's "Living the Brand" award at November 17's monthly SBH Sunrise Networking Breakfast. She is shown with the firm's Gloria Garvey (left) and Brook Gramann (right), who were the featured speakers last November. This photo was published on page 3 of January's print edition.

State Audit Critical of Bottle Tax Law
A newly released audit of the States bottle bill program found numerous deficiencies in the operation of the beverage container desposit and recycling program.
Among the numerous points brought out in the auditors report include the following:
Department of Health was not ready to properly and efficiently return consumer deposits, even though they had 2 years time to prepare for the start of the program.
The Health Department lacks an auditable accounting system and cannot ensure that all revenues and payments are accounted for.
The redemption process is confusing
Redemption centers opened late, closed early, or ran out of money or storage capacity
Poor customer service
Consumers view the program as another state tax
Recycling companies used to pay consumers for the scrap value of their containers. They havent since the beverage container deposit bill became law.
Problems with verification of payments made to the Dept. of Health from distributors, importers and manufacturers
The State Auditors office recommends that the Health Department verify the data reported by the various entities and that the handling fees are evaluated to see if acceptable levels of service can be sustained.
The complete report can be viewed and downloaded from the State Auditors website:http://www.state.hi.us/auditor/Reports/2005/05-09.pdf
SBH president and State Senator Sam Slom has maintained that the beverage container recycling program is nothing more than a money grab and tax implemented by the State. He introduced SB 892 to repeal the bottle bill tax.

Legislature Opens January 18
The 22nd State Legislature, 2nd session, begins with pomp and circumstance, Wednesday, January 18 at 10 am. Session will continue for 60 working days until May 4, 2006.
Many old issues remain: taxation, education reform, law enforcement changes and affordable housing/homelessness.
There will be two new faces in the State House: Democrat Bev Harbin who replaced Ken Hiraki and a Republican, as yet unnamed by Governor Lingle, who will fill the remainder of Galen Foxs term in Waikiki.
In December, the Hawaii Rifle Association named Rep. Ken Ito (D-48) and Sen. Sam Slom (R-8)as the HRAs Legislators of the Year (2005).
SBH will be your legislative business advocate and working closely with other organizations such as NFIB, the Hawaii Realtors, Hawaii Restaurant Association and Retail Merchants of Hawaii.
Hawaii State Legislature Website