Mr. Speaker,

I rise with reservation on HB 2200 HD1. The people of Hawaii are looking to us to create an efficient government, define core services, and do everything possible to live within our means. Although I will be supporting this budget, I have reservations as I think we have not done a good enough job at accomplishing the goals that I stated.

All members of this body are aware of the significant budget predicament that Hawaii currently finds itself in. No one disagrees on this point. Mr. Speaker, where the members of this body disagree is their belief of how to best weather this storm. When it comes down to it we really have to ask ourselves whether we're willing to take the appropriate actions necessary by asking tough questions. In short, the Administration has taken steps to reinvent government versus temporarily tinker with it.

As members of the Executive Branch, each Department Director performed their executive branch responsibility by reviewing its own strengths and weaknesses, eliminating redundancies and inefficiencies, and making needed adjustments. Indeed, the Administration performed a programmatic analysis of its own operations, taking into account the resulting impact on services of lay-offs. In the Legislature's attempts to undo the Administration's efforts to become more efficient and reinvent government, we've reversed some of their work because of philosophical disagreements or some think partisan jockeying. Case in point, this measure restores 1,012 positions in spite of the reality that labor costs contribute to 70% of the State's budget. Most of these positions are not funded, but their restoration implies their future potential to be filled. This means that despite the needs that come around when times get better, the Legislature is giving the signal to fill positions from an old plan. This is not reinventing government. Now is the time to really reinvent and reform government versus temporarily tinkering with it to achieve the façade of reform.

Departmental leadership is closest to the everyday running and management of the executive branch. Often, when this Administration and its Departments try to innovate or streamline their delivery of services and programs, the legislature has an immediate gut reaction. The Department of Human Services epitomizes the Legislature's often negative knee-jerk reaction to reinventing government. Nationally, Director Koller has been honored for her work as Governing Magazine's "Public Official of the Year." DHS has made a genuine effort to increase the quality of services and care while reforming the bureaucratic red tape that can often hamper the agency's mission.

There are a few strong criticisms of the Department of Human Services and the management decisions of Director Koller. The criticisms center around two programs, the Eligibility Processing Operations Division (EPOD) reorganization and the Child Welfare Services division. These two divisions service people in our state who are considered some of the most vulnerable. I am going to focus on these two areas as examples of how difficult it is to re-invent and create an efficient government.

Upon careful review of the proposed RIFs in this area that handles the EPOD program, I have come to the conclusion that we are making the wrong decision by restoring these positions in the HD1. One would think that eliminating positions in these areas would lessen services. I’m going to take the time to explain why the opposite is true.

Over the weekend I read the “Program Acccess Toolkit” for 2010 provided by the federal government, a guide for States Agencies on Improving Access to the Supplemental Nutrition Assistance Program or SNAP. The guidebook focuses on eligibility and access for this program.

EPOD opponents are saying that customers could no longer receive in-person help when applying for benefits. Not true. Customers could still receive in-person help on all Islands from DHS staff and community partners. Customers would have the added options of applying online or by phone, which will make it faster and more convenient to apply.

EPOD opponents are saying that customers would get trapped in an automated phone system. Again, not true. Customers who call DHS would speak directly with an eligibility worker, just as they do now. Customers could also communicate with eligibility workers via a Webcam, if they prefer. The federal government encourages phone interviews for the Supplemental Nutrition Assistance Program (SNAP).

EPOD opponents are saying that fraud would increase if interviews are not conducted in-person. Again, not true. The federal government points out that telephone interviews in the SNAP program have not produced increases in fraud, contrary to a common myth. In fact, a customer's telephonic signature (a voice recording) is considered more reliable than an electronic signature.

HGEA and certain Legislators are opposing EPOD because it would mean the loss of around 230 public sector union jobs. These positions would no longer be needed because EPOD would significantly improve the workflow in processing applications.

It is unfortunate that some union workers would face layoffs. However, we must remain focused on the prime mission of delivering benefits and services to customers as quickly and efficiently as possible.

EPOD would also generate significant cost savings for taxpayers during the worst economic downturn in State history. That would free up money to be used for other important needs.

This past Saturday there was an opinion editorial on this EPOD program stating that “Hawaii can no longer afford a ‘horse-and-buggy’ government that is labor-intensive, costly, and slow” and also states “Reform comes with a price. In this case, her proposal would close 31 offices and eliminate 230 jobs, while retaining 289 staffers. That is making her unpopular among those who would lose their jobs and the Hawaii Government Employees Association, which represents them.” Speaker, I would like to ask permission to insert this article into the journal.

The committee report also finds that DHS has used questionable judgment and quotes an article about consultant, SANDIE HOBACK. The media article this report cites is a small, online publication and they quoted a long-term welfare recipient who doesn’t like how the system works. That is no basis for calling the consultant’s competency into question. She is a nationally respected consultant who has helped many states upgrade their human services. This consultant helped Director Koller develop the SEE Hawaii Work (Supporting Employment Empowerment) program that was launched in 2005. Nearly 2000 welfare recipients have participated. 921 completed their SEE assignments and 783 or 85% have successfully obtained unsubsidized employment – many of them for the first time in their lives – and are no longer on the welfare rolls.

The second area and example of major disagreement is in the Child Welfare Division. Under Director Koller’s leadership and management the number of children in state foster care has decreased by 50%, from about 3000 in 2003 to 1400 children today – the lowest number since 1993. More importantly, Hawaii now has one of the lowest rates of child re-abuse rates in the country. Prior to implementing this new direction in 2003, DHS removed children from their biological families at up to four times the national average with no improvement in their safety. The HD1 reverses the nationally recognized strategy that was implemented by Koller by cutting purchase of contract agreements that provide prevention services that are proven to keep children safe. Remember former Rep. Mike Kahikina and the cries for help as kids were being ripped from their home.

So let’s address some comments in the committee report.

• Child Welfare Services (CWS) caseloads have not quadrupled, as claimed in a House Finance Committee report.

•The CWS intake data shows about a 20 percent increase in referrals being assigned for investigation, but that is nowhere near a 400 percent increase, as stated in the House report.

• More significantly, child abuse or neglect was only confirmed in about 38 percent of the investigated cases.

• In other words, no safety issues were identified in 62 percent of the investigated cases, so these cases were closed and do not require further CWS intervention.

• DHS reviewed intake data in February 2010 and found that many of these cases did not have safety issues that warranted an investigation. These reports should have been responded to by community providers.

• Part of the problem was that some CWS employees were not applying our standardized intake and assessment tool correctly.

o This tool – which determines the most appropriate response to a report of abuse or neglect – was developed by DHS with support from the Federal Administration of Children and Families, in partnership with the National Resource Center of Child Protection.

• Another reason for the 20% increase in investigations was the Family Court’s bypassing of CWS triage procedures.

• These court-ordered investigations, which stemmed from temporary restraining orders and divorce proceedings, should have been addressed by providing family strengthening and voluntary case management services. Investigations were not appropriate.

CWS Investigations are Timely

• For cases that are not assessed as having safety concerns, investigations should take place within five working days.

• In fiscal year 2009, CWS conducted a face-to-face contact for all cases assigned for investigation within 3.72 days – a significant improvement from the 15 days between the acceptance of the report and face-to-face contract in FY 2002.

• The volume of intakes assigned for investigation without safety concerns, plus the unexpected retirement and departure of employees, are having an impact on the current CWS response time.

• However, CWS is looking at strategies to ensure appropriate assignments by intake workers and to decrease assignment of intakes that can be triaged or do not require an investigation.

CWS Positions Should Not be Restored by Decreasing Contracted Services

• CWS would appreciate more staffing, but taking services away from families and children to fund staff positions is the wrong approach.

• In July 2003, Hawaii’s results from the first Federal Child and Family Services Review (CFSR), a federal audit of state’s child welfare systems, were dismal.

• A major finding was that Hawaii removed children from their biological families up to four times higher than the national average without meeting safety outcomes.

• Furthermore, many of these children were returned to their families within 100 days, meaning they should not have been removed in the first place.

• To address these problems, Hawaii launched an aggressive, federally mandated Program Improvement Plan (PIP) for CWS.

• One of the improvements was the implementation of a Differential Response System to better assess each report of child abuse or neglect and then determine the most appropriate, most effective and least intrusive response by CWS or a community partner.

• CWS also expanded its partnerships with community groups to expand the array of services to support and strengthen families.

• Because of the PIP, Hawaii passed all six national standards, which are: Recurrence of maltreatment, incidence of child abuse and/or neglect in foster care, foster care re-entries, length of time to achieve reunification, length of time to achieve adoption and stability of foster care placement.

• More importantly, CWS has safely reduced the number of children in foster care to a 16-year low. The number dropped from about 3,000 children in 2005 to 1,400 currently.

• Hawaii also has one of the nation’s lowest rates of child re-abuse, meaning our children are among the safest in America.

• It would be counterproductive for the Legislature to cut CWS purchase of service contracts, which have significantly helped at-risk families.

• These programs include: `Ohana conferencing, youth circles, family finding, family strengthening, comprehensive counseling, child protective multidisciplinary team, sex abuse treatment, Neighborhood Places, domestic violence shelters, teen shelters, substance abuse assessment and monitoring, training and support of resource families, recruitment and training of adoptive families for difficult to place children, and fingerprinting of resource families.

• These contract cuts would impede the ability of CWS to minimize foster care placements and to reunify families, as required by federal statutes.

• Hawaii stands to lose $35 million in federal Title IV-E funding if the Legislature cuts these community-based services.

• Without an adequate array of services for at-risk families, an increasing number of children will be removed unnecessarily from their biological parents. That happened previously when services were slashed.

o In 1995 and 1996, when purchase of service contracts were decreased significantly, workers were not able to refer families for services to prevent removal by ensuring the children’s safety in the home.

• Unnecessary removal is harmful to children and is contrary to national best practices.

• Without adequate services, even a fully staffed CWS would not be able to ensure the safety of children and comply with state and federal requirements.

• As a result, Hawaii would be at risk of losing federal funds, and possibly facing costly legal challenges similar to the Felix case, when families are not provided access to necessary services.

Opponents Question Upcoming Furlough Fridays

 

As students face another furlough Friday in two days parents are more and more frustrated and so are their elected representatives.

 

Opponents Question Upcoming Furlough Friday

 

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Hawaii students are caught in the middle as the Legislature tackles a host of reform bills

House Minority Leader Lynn Finnegan favors the governor's plan as the first step toward eventual decentralization because it defines clear responsibility.

"You cannot get reform, or even a direction toward reform, if you continue to operate in a system where there is no accountability," she said.

A charter school parent, Finnegan wants all public schools to have more control over their own budgets, describing the current weighted student formula as inadequate.

Hawaii Students Are Caught In The Middle as the Legislature Tackles a Host of Reform Bills

 

 

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Moanalua Elementary Visits the State Capitol

 

 

On February 1, 2010 the students of Moanalua Elementary visited the State Capitol.  During their visit at the State Capitol, students took a tour of the capitol and were introduced on the floor by Representative Finnegan.

 

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Rep. Finnegan Urges Citizens of Hawai'i to Help the Children of Hawai'i

 

Time to STAND UP AND ACT for our KEIKI!

I believe that we have a great opportunity to make effective changes to our state educational system that will result in a better education for our keiki. Unfortunately, the Democrats have excluded the Lingle-Aiona proposals that best represent clear and direct accountability. We should not stand for these arrogant tactics. Given that the Democrats have control of the scheduling, our best response at this time is to push for the language from our proposals to replace the language in the bills being heard tomorrow by proposing amendments.

 

I am asking for your support by testifying on bills to be heard TODAY, February 1, 2010 on education governance. 

 

 

HB2552 RELATING TO EDUCATION GOVERNANCE - Establishes accountability for public education by making the Department of Education a cabinet agency headed by a superintendent appointed by and responsible to the governor of the State of Hawai‘i.

 

HB2553 PROPOSING AMENDMENTS TO THE CONSTITUTION OF THE STATE OF HAWAI‘I TO MAKE THE DEPARTMENT OF EDUCATION A PRINCIPAL DEPARTMENT OF STATE GOVERNMENT - Allows the voters of Hawai‘i to decide in November 2010 whether they would like to abolish the elected Board of Education and make the Department of Education answerable to the governor and headed by an appointed superintendent.

 

Hawaii’s public school system sorely lacks direct and clear responsibility and accountability. Decade after decade the legislature has promised to change public education and each time enacted fake reform. In an article in the Honolulu Advertiser 1/29/10 entitled, "Hawaii's school board needs to be fixed, say three ex-governors", Governors Ariyoshi, Waihee, and Cayetano state all the problems that Republicans have fought to fix for years. Unlike the previous Governors, the elected Hawaii Republicans are pushing for more direct accountability. 

Below is sample testimony for HB1988, HB1989, HB 2177, HB 2178, HB 2376, HB 2377, HB 2424, HB 2428. All of these bills call for changes to the Board of Education and are on the agenda for today.

Submit email testimony to EDNtestimony@Capitol.hawaii.gov by TODAY, January 31, 2010.

Late testimony will be accepted until the Committee on Education hears the bill.

 

****SAMPLE TESTIMONY begin***

 

To: COMMITTEE ON EDUCATION, Rep. Takumi, Chair & Rep. Berg, Vice Chair

HOUSE OF REPRESENTATIVES, THE TWENTY-FIFTH LEGISLATURE, REGULAR SESSION OF 2010

Testimony for: HB1988, HB1989, HB 2177, HB 2178, HB 2376, HB 2377, HB 2424, HB 2428

DATE: Monday, February 1, 2010

TIME: 2:00 p.m.

PLACE: Conference Room 309, State Capitol, 415 South Beretania Street

 

Dear Chair Takumi, Vice Chair Berg, and members of the Education Committee,

 

Hawaii’s public school system sorely lacks direct and clear responsibility and accountability.

Your committee is reviewing many bills on education governance but is failing to consider the ideas contained in the Lingle-Aiona package. Please gut and replace HB 2177, HB 2376, or HB 2424 and replace it with the contents of HB 2553 in its entirety. Also, please gut and replace HB 1989, HB 2178, HB 2377, or HB 2428 and replace it with the language of HB2552 in its entirety.

Of all the bills being heard today, I believe the suggestions in HB 2552 & HB2553 would help students, teachers, principals, parents, and community members to know who to hold accountable in our public education system. I am not in support of measures that make our public education system more convoluted than it already is.

I would also support the language found in HB 2376 that states “restructure the department of education to ensure that it is decentralized in a manner to promote student growth and achievement and greater accountability, monitor and protect student rights provided by law” but give this authority to the Superintendent under the governance structure of HB 2552 and HB 2553.

***ADD ADDITIONAL COMMENTS HERE***

Sincerely,

**Name and Address**

*****End of Sample Testimony*****

 

 

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Rep. Finnegan Uses Correct Figures

 Representative Finnegan was accused by the BOE blog spot for falsifying numbers.

"Here are some inaccuracies found in opening day speeches, followed by a correction:

From House Minority Leader Lynn Finnegan:

ʻDespite the $2 billion we spend on education, the current DOE system continues to favor adults above students.'

Correction: The DOE budget for fiscal year 2011 is $1.66 billion, including all means of financing and federal economic stimulus funds." 

Representative Finnegan's Response to BOE blog spot

"The BOE is playing a game, misleading the public, and ignoring reality in its critique of my Opening Day Speech.  In all actuality, the cost of education in Hawaii includes the sizeable costs of medical and retirement benefits for Department of Education (DOE) employees as well as the costs of the Department's debt service. For instance, those expenses amounted to $644 million in FY10  and  $673 million for FY11. The accounting for these expenditures began under Governor Cayetano, and they were included as part of the DOE's budget.   

The Legislature's money committees in the 2009 Legislature technically shifted those expenditures away from the DOE to B&F for accounting purposes.  As a result of that move, DOE's budget shows $1.6 billion only on an accounting balance sheet.  But in reality, the sum total of the money expended by taxpayers on all education-related expenses is more than $2 billion."

 

 Original story found at  Hawaii BOE Blog

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Rep. Finnegan in the News 

THE 26TH HAWAIʻI LEGISLATURE

Who's Who in the House
Lynn Finnegan (R) 32nd: Mapunapuna-Aiea Minority Leader Member: Finance; Health; Interim Task Force on Standards of Conduct Room: 328; office: 586-9470; ...

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WOMEN LEGISLATORS 2010

National Conference of Legislators

Representative Lynn Finnegan (R). Senator Colleen Hanabusa (D). House Minority Leader. President of the Senate. Idaho. Senator Kate Kelly (D) ...

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TIME TO REASSESS CORE GOVERNMENT FUNCTIONS

State Budget Shortfall

By Lynn Finnegan | Posted: Tuesday, January 19, 2010 12:00 am | (1) Comments

Although there are signs of hope that the worldwide recession...

 

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Representative Finnegan's Opening Day Speech

  

"Welcome Lt. Governor and Mrs. Aiona, Speaker Say, members of the House of Representatives, and all of you who took the time to be here today.

I think it's fair to say that the mantra of the majority of people in this chamber this past year has been "hope" and "change." Your House Republicans agree with the majority! It's time to fundamentally CHANGE the way we do things in Hawaii. The severity of our economic and budgetary challenges leaves us with no other alternative. Failure to change would be just that…a FAILURE. It's time to make a difference in the two main areas that dominate the hearts and minds of Hawaii's people: education and the economy.

Education
We've spent decade after decade trying to figure out how to fix education. Despite the $2 billion we spend on education, the current DOE system continues to favor adults above students. I'm tired of hearing about Hawaii's education being ranked 47th in the nation. And you should be too! We can't fail our children AGAIN. It is time to end Furlough Fridays and other symptoms of our broken system and improve education. We are offering changes to instructional days, DOE accountability, the collective-bargaining process and public charter schools.

All of the legislative measures we will introduce focus on putting students and their needs first. Remember, the fundamental purpose of our educational system is to educate…not just to employ. Furlough Fridays demonstrate that we are not succeeding in our mission to put students first.

Economy/Budget
I believe that all of us want to improve our economy. The primary difference between the political parties lies in HOW we do it. It's a matter of survival – economic survival that doesn’t cause this fragile recovery to crumble. The challenges and hurdles that lie ahead in the path of full economic recovery require prudent decision-making and a long-term vision for sustainable economic growth. Our posture for economic recovery will include protecting residents from higher taxes and a higher cost of living, improving the business climate that includes decreasing the soaring unemployment insurance tax premiums, and promoting job growth measures that shape our vision for Hawaii’s future. The House Republicans are committed to providing that kind of leadership here at the State Capitol. Although there are signs of the economy turning around, the Republican Caucus believes that raising taxes to balance the budget is the wrong decision. We are one of the highest taxed states in the nation. The more we tax, the less our hardworking people and their families have to manage their family budgets. The higher the taxes, the bigger the government. The bigger the size of government, the more it contributes to inefficiency and the more it curtails personal freedom for our tax-paying residents. Answer this question, if we are to raise taxes to deal with the budget shortfall, would we decrease taxes when the economy improves? The answer is no. In times like these, people are looking for ways to be self-sufficient, to succeed. Raising taxes penalizes self-sufficiency and success and is completely counterproductive during a recession. Its time that our state government lives within its means and makes sure that we still fund priorities like instruction days for students.

We can't fix our economic problems by increasing the taxes on businesses. Businesses don't have more money to give to the government especially during these times. Small businesses are the engine of economic growth. Shirokiya's recent announcement of laying off 71 employees in anticipation of the increasing unemployment insurance tax serves as powerful evidence of what businesses will and must do when taxes are increased. One of the fundamental differences between the majority and minority is the recognition that innovation in the private sector grows the economy far better than government can.

Conclusion
Fundamentally, the more you tax people, the more we become dependent on government. The more we become dependent on government, the less opportunity and personal liberty we have. There is the enduring nature of America's promise of opportunity. The continuing immigration to America is powerful testimony that people are still seeking that kind of opportunity and promise, even today. These immigrants are consciously choosing to pursue opportunity, just like my dad and grandparents, and many of your family members before you. We, too, must consciously foster opportunity. The hope of Hawaii's future lies NOT in enabling inefficiencies and dependency. By embracing change and opportunity, Hawaii's best days lie ahead. It's time for things to change. It's time to put students and families first.

Thank you, Mr. Speaker and colleagues; we look forward to working with you. To our guests who made it a point to come and talk story the Republican members wanted me to invite you our offices."

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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Or view the pdf version in the attachments section at the bottom of this page.