By TREENA SHAPIRO By TREENA SHAPIRO ADVERTISING Associated Press HONOLULU — Hawaii ranks fifth in per capita federal spending, which makes the state particularly vulnerable to attempts to deal with the nation’s deficit. As a result, the state should be
By TREENA SHAPIRO
Associated Press
HONOLULU — Hawaii ranks fifth in per capita federal spending, which makes the state particularly vulnerable to attempts to deal with the nation’s deficit.
As a result, the state should be proactive and prepare for possible reductions in federal funding, said Michael Bird, senior affairs counsel for the National Conference on State Legislatures.
Bird came to Honolulu to talk to policymakers about possible impacts on Hawaii’s budget under the federal Budget Control Act of 2011. Since solutions to the national debt crisis are still fluid, he didn’t offer firm projections on cuts.
However, he did tell House and Senate money committee members that under the current proposal for across-the-board cuts, or sequestration, Hawaii could lose about $45 million in funding.
Members of the public may find it difficult to see what the national debt crisis means to them. “It’s hard to even comprehend something that’s trillions of dollars,” Bird said.
He said lawmakers need to explain to constituents that funding for schools, transportation, health and human services, and justice programs could see significant cuts.
Since 82 percent of federally funded areas are left out under sequestration, programs that fall under the federal government’s discretionary spending are most at risk.
“The public generally partakes in services and structures that government provides — whether it’s public education, community hospitals and childcare programs, highways, bridges,” Bird explained. “Government is in the middle of everyone’s life, though they may not realize it.”
Defense spending cuts could also have a significant impact on Hawaii’s budget.
Bird’s presentation brought more clarity to an issue lawmakers have already been grappling with as they work to balance a budget without knowing whether they will get the federal funding they need to operate programs that receive grants or matching funds.
After the briefing, Rep. Isaac Choy, D-Manoa, commented, “As state lawmakers, we have a big question. It’s guaranteed the federal government is going to be cutting funds. What programs will the state have to step in and fund or fill in the gaps?”
His colleague on the House Finance Committee, Rep. Ty Cullen, D-Waipahu, Waikele, noted that the House has already been taking a conservative approach to balancing the budget in order to be as prepared when the cuts come.
“We’re watching every penny we spend,” Cullen said.
