LIHU’E — The Kaua’i County Council passed on first reading a proposed draft money bill seeking $165,000 for a feasibility study on ownership of Kaua’i Electric Thursday. The bill was passed with minimal discussion. But that doesn’t mean the funding
LIHU’E — The Kaua’i County Council passed on first reading a proposed draft money bill seeking $165,000 for a feasibility study on ownership of Kaua’i Electric Thursday.
The bill was passed with minimal discussion. But that doesn’t mean the funding request, which could lead to county ownership of the utility, will pass without debate.
“There is little discussion on first readings of bills. If we don’t pass on first reading, the public is cut off” from discussion, said Councilman Kaipo Asing. He said the intent of first-reading passage is to “get it out” into the public.
Council chairman Ron Kouchi set the April 5 council meeting as the time to take public input on the administration’s funding request, which suited Councilman Randal Valenciano.
“One of the difficulties as a council member on this issue is some of it is discussed in executive session and some is not. It is difficult for us as council members to discern what is appropriate for public discussion. It would be easier for us if it was all public. It needs to be out in the public. It is not a secret,” Valenciano said.
County finance director Wally Rezentes Jr. submitted the request, Wally Rezentes Sr., assistant to Mayor Maryanne Kusaka, explained yesterday before the council met why the money was needed.
“The county pays an annual utility bill of more than $4 million. It has a vested interest in the outcome of this sale,” Rezentes Sr. said. “We also feel we have an obligation, on behalf of the ratepayers of this island, to ensure that due diligence is complete and thorough. The appraisal and feasibility must be completed so that we will know what purchase price to support, regardless of who ultimately purchases Kaua’i Electric.”
The feasibility study sought would have a professional firm investigate the eventual ownership of the utility from at least three perspectives, according to Kouchi: Municipal (county) ownership, investor-owned and a cooperative ownership.
Kaua’i Island Utilities Cooperative tried to buy Kaua’i Electric last year for $270 million, but the proposal was turned down by the state Public Utilities Commission.
Staff writer Dennis Wilken can be reached at 245-3681 (ext. 252) and mailto:dwilken@pulitzer.net
