WASHINGTON, D.C. — Members of Hawaii’s congressional delegation on Wednesday had mixed feelings about a budget proposed by President Barack Obama that, according to Sen. Mazie Hirono’s aides, would increase federal defense contracts in the state.
However, the proposal also calls for cutting about $230 billion by reducing cost-of-living adjustments for federal entitlement programs like Social Security.
Although it will take days for congressional staff to analyze the proposal, Hirono and Rep. Tulsi Gabbard criticized Obama’s plan to use a new method of calculating increases in benefits.
In a prepared statement, Hirono said she doesn’t support what Obama is calling “Chained CPI,” which would change how Social Security, veterans’ and other benefits are calculated.
“I understand that President Obama has been pushed hard to include this change by Republicans, however, it amounts to a benefit cut to Hawaii seniors and veterans that I cannot support,” Hirono said. “Undermining the vital lifeline that these programs represent for many of our kupuna and veterans is not the way we should go about getting our fiscal house in order.”
Gabbard, while calling a proposal that makes cuts and raises taxes on the wealthy a “measured approach,” said in a statement, “I have serious reservations about some elements of the President’s budget, such as proposed cuts to Social Security.”
Rep. Colleen Hanabusa late Wednesday night also weighed in with a statement, saying, “I find things I like, things I disagree with, and things that I feel we can build on.” She also cited the proposed change in calculating Social Security and other cost-of-living increases as a concern.
AARP Hawaii spokesman Bruce Bottorff strongly opposed the Social Security reduction last week, saying, “AARP will stand up against the proposed cuts to seniors and some of the most vulnerable among us … Americans strongly oppose cuts to the Social Security benefits they’ve earned, and the veterans who served our country honorably shouldn’t face one, let alone the two cuts that chained CPI would inflict. Additionally, widows, children and people with disabilities don’t deserve this.”
Though Hawaii’s congressional staff was still poring over the budget Wednesday night, here are some highlights:
According to Hirono’s office, the proposal includes $44 million more than this year in federal military construction for the state. The totals are $75 million for Fort Shafter, $237 million for Kaneohe Bay, $30 million for Pearl City, $58 million for Pearl Harbor, $4.8 million for Pearl Harbor-Hickam, $2.6 million for Ford Island and $2.8 million for Joint Base Pearl Harbor-Hickam.
The East-West Center received the $10.8 million recommended by the federal Office of Management and Budget. It would be less than the $16.7 million the center received this year, said spokeswoman Karen Knudsen. She said, though, that OMB typically recommends less than what Congress ultimately provides. “We’re obviously hoping they plus us up,” she said.
If not, she said, “it would be very difficult for us.”
Hanabusa said she is circulating a letter already signed by more than 20 members of Congress, requesting that the center be funded at a minimum of $20 million. “This is no time to cut a program with a successful record of fostering international cooperation and understanding of our increasingly connective global community, especially while we focus on the Asia Pacific region,” she said.
According to the Defense Department, the proposal includes funds to emphasize the military’s shift to the Pacific and Asia by hardening of airfields, protection of critical strike capabilities such as bombers and F-22 squadrons, and developing Guam as a strategic hub.
Hanabusa praised the shift. “It’s important that the proposal specifically addresses the nation’s refocus on the Pacific region and the combined focus on security and economic issues, and funds critical investments in the region to further these objectives,” she said.
Sen. Brian Schatz highlighted the inclusion of the $250 million in federal funding expected by the Honolulu rail project. “This is great news for Oahu’s rail project,” Schatz said in a press release. “I will continue to work with the Federal Transit Administration and the Senate Appropriations Committee to ensure the project receives this full funding in the final 2014 appropriations bill and necessary support until completion.”
According to the Defense Department release, the proposal lays out base alignment and closures over the next five years. A statement said base closures are “the only effective means of achieving infrastructure consolidation. This BRAC round adds $2.4 billion to costs in the next five years, but would eventually save substantial sums. The actual closing of bases would involve a multiyear process that would not start until 2016, after the economy is projected to have more fully recovered.”
However, both the House and Senate Armed Services Committees last year added lines in the military budget authorization act forbidding base closures.
According to the Defense Department, military personnel will receive only a 1 percent pay increase, which Stars and Stripes said is “the lowest annual raise in the history of the all-volunteer force.
Medical personnel, particularly working-age retirees will pay more for health insurance.
Native Hawaiian programs received the same amount as they had been getting, according to Hirono’s office.
The proposal includes $34 million for the Native Hawaiian Education program, a competitive grant program administered by the United States Department of Education — the amount at which this program has been funded since FY 2012, according to Hirono’s office.
The President also requested $28 million for Alaska Native and Native Hawaiian Serving Institutions of Higher Education. This is the same amount as appropriated for this program in fiscal year 2013, and is $3 million more than FY 2012. In addition, the President requested $13 million for the Native Hawaiian Housing Block Grant (NHHBG), a grant program administered by the federal Department of Housing and Urban Development. Hirono’s office said the proposal also includes $2 million for payments to the State of Hawaii for the treatmet of Hansen’s disease.
In her statement, Hirono said, “the increased funding that the President requested for construction on Hawaii’s military installations is good news for our state, especially considering the fiscal realities our country faces. It is a sign that Hawaii is in a key position to play a major role in the military’s rebalance to the Pacific. The Asia-Pacific region is vitally important to our nation’s strategic interests, and I’m glad to see the President’s budget reflects that national security imperative.
She also praised Obama’s proposal to provide federal matching funds to states to expand and improve quality preschool for 4-year-olds from low-income and middle-class families. She said Hawaii could apply for $750 million next year for Preschool Development Grants, “which could help states like Hawaii that don’t yet have a state program get up to speed.”
Gabbard, noting the proposal ends the sequestration budget cuts, said in a statement, ”This budget represents a sincere effort to encourage economic recovery and create conditions for job growth.”
Where the budget will ultimately end, though, is unclear. House Republicans who are seeking deeper entitlement cuts and no tax increases aren’t on board with Obama’s proposal.
The Hill quoted House budget chairman Paul Ryan, R-Wisc., as saying, “Fixing the (deficit) problem requires fundamental entitlement reform, and the president and Senate Democrats have shown absolutely no indication of being willing to do so.“
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