Hawaii could soon take serious action against the kind of political patronage that has come to define local politics for generations.
Two decades ago, in the wake of a series of scandals in Honolulu, lawmakers vowed to reduce campaign contributions from government contractors, saying they were seen as corrupt. But Congress created a loophole that would still allow donations from corporate presidents and their families.
An investigation by Civil Beat and the New York Times earlier this year found that nearly $1 in every $5 donated to political campaigns since 2006 came from people with ties to government contractors. . The Times/Civil Beat article also exposed fundraising parties attended by contractors and state employees, revealing how the law was egregiously circumvented.
Lawmakers who received the information said they planned to reconsider the ban on contributions from contractors when Congress convenes in January.
Momentum is also building in other areas aimed at combating public corruption. The agency, which oversees political contributions, has been proposed for increased funding, as well as new ethics rules aimed at cracking down on relationships between contractors and state employees.
A coalition of good government advocates is rallying support for these and other reform measures aimed at changing the way Hawaii’s political campaigns are funded.
The new move comes after a panel of experts, now known as the Foley Commission, aimed at increasing government transparency after the conviction of two former state lawmakers in a bribery scandal. This comes after more than two years of proposing a number of corrective actions.
Many of the panel’s most meaningful proposals failed to pass Congress during the past two sessions.
Better execution of campaign spend
The State Elections and Expenditures Commission, which is tasked with overseeing political contributions in Hawaii, is once again urging lawmakers to ban campaign contributions by government contractor executives and their families.
Under the committee’s proposed bill, these individuals would not be able to make donations during their contract with the company. They will also no longer be able to contribute to political action committees.
Rather than an outright ban, Rep. David Tarnas is considering limiting the amount people associated with contractors can donate. He also wants restrictions placed on corporate lobbyists and their immediate family members.
Tarnas said he would like to see stronger enforcement action than what has been proposed in recent years. He is considering a Connecticut law that could serve as a model for the Hawaii proposal.
Connecticut also extends its ban on contributions from contractors to potential bidders, and Ternas hopes it will be adopted in Hawaii.
A similar proposal to ban contributions from contractors died in 2023 after lawmakers were unable to reach an agreement.
Tarnas said he faced pushback from unpaid directors of nonprofits who said they were not financially benefiting from the government grants they received. He said he would like to see this Congress’ bill focus on commercial enterprises.
The committee is also proposing legislation that would prohibit all elected officials from receiving campaign contributions while Congress is in session.
The committee, which has a staff of just five and is responsible for overseeing millions of dollars in donations each year, could be expanded for the first time in nearly 30 years.
The governor’s proposed budget includes at least $200,000 in permanent funding for two additional positions. Christine Izumi Nitao, the commission’s executive director, said that will include poll workers and election assistants.
Assistants will respond to calls from candidate committees and assist with administrative tasks, while investigators will actively investigate campaign spending violations.
Although the commission is required by law to investigate campaign finance irregularities, it currently does not have a full-time investigator.
“I can’t think of any other enforcement agency tasked with investigative duties that doesn’t have investigators,” Izumi Nitao said. “Don’t you think that’s easy?”
Ethics committee considers tightening rules
The Hawaii Ethics Commission, which oversees the conduct of state employees, is proposing new rules that would prohibit state employees from soliciting campaign contributions from state contractors.
The commission spent much of last year focusing on the issue after a Times/Civil Beat article detailed political contributions made by state transportation contractors at a party hosted by a former state transportation official. I spent a lot of time thinking about how to deal with this.
The committee examined regulations in all 50 states, with particular attention to regulations in Kentucky and Ohio. However, none of them seemed appropriate for Hawaii, and some excluded most government employees.
At its November meeting, committee staff recommended new rules to limit political activity by state employees and government contractors. The rules stipulate that members and officials must not:
“Using one’s official position to solicit, request, or elicit political contributions or support for a candidate, campaign, or political party from vendors, contractors, or other individuals or businesses engaged in procurement with state entities; or to any person or entity over which they exercise supervisory, regulatory, inspection, or public authority.”
The rules being considered by the Ethics Commission would put an end to these types of functions, Robert Harris, the commission’s executive director, said at its November meeting.
Congress does not need to approve the rules. However, they will be subject to a lengthy public comment process and ultimately require the governor’s signature, a process that could last until 2025.
Neighborhood groups send message to politicians
Meanwhile, a coalition of good government groups is rallying support for these measures among Oahu’s communities, along with other measures aimed at fundamentally changing how political campaigns are funded.
Ten of Oahu’s 36 councils, representing communities from Diamond Head to Waianae, will make the legislative process smoother and more transparent by requiring timely publication of bill testimony and removing chairperson authority. adopted a resolution calling for changes to the internal rules of the House of Representatives to achieve this goal. unilaterally kill the bill.
Some versions of the resolution also express support for closing the contractor contribution loophole and creating a comprehensive public funding system for political campaigns.
The McCurry-Moiriri Neighborhood Council passed a resolution in October expressing support for these changes.
“This is a start,” board member Wookiee Kim said during the meeting. “Our boards need to take steps to put pressure on those in power to make our governance processes better, more transparent, and more accountable.”
Alia Castillo, a program advisor for the Hawaii Alliance for Progressive Action, is part of the coalition pitching the resolution to neighborhood boards.
She said many communities face similar challenges in the legislative process, including not being able to get testimony in a timely manner and bills dying without public hearings. She hopes the rule changes will lead to some of the more aggressive reforms being passed, and she hopes support from neighborhood boards will send a message to politicians.
“We hold our legislators accountable by telling them that the community supports these rule changes,” she says. “And it empowers them by making sure that their community supports these as well.”
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