U.S. Senate Race: Who Can Save Hawaii’s Middle Class?
U.S. Sen. Brian Schatz and U.S. Rep. Colleen Hanabusa discuss how to make life more affordable in one of the most expensive places in the country. Solutions are elusive, they say, but job creation, energy efficiencies and food production top the list.
U.S. Rep. Colleen Hanabusa has a utopian vision for Hawaii in which residents can earn more money, cut ties with the local electric utility and eat locally grown Manoa lettuce fertilized by tilapia farms in their backyards.
It鈥檚 part of the congresswoman鈥檚 belief that the most isolated state in the country can create high-paying jobs as well as be more economical for working class families so long as self-sufficiency and sustainability reign.
But when asked how life in the Aloha State can become more affordable for those in the middle class, Hanabusa shrugs.
鈥淵ou know, if I could tell you that I would be president of the United States,鈥 Hanabusa said. 鈥淚t鈥檚 not a simple answer.鈥
Sticking up for working families has been a major talking point in the Democratic primary race between Hanabusa and U.S. Sen. Brian Schatz.
Both candidates have said repeatedly聽they intend to make conditions more livable in a state where the cost of living can be exponentially higher than other parts of the country.
Hanabusa likes to remind people of her upbringing on the Leeward Coast, where she lived behind her parents鈥 gas station and learned about local values.
Schatz, on the other hand, has pushed legislation to help , and often points to clean energy as a way to lower electric bills on the islands.
But in a state where the largest city鈥檚 median home price is $700,000 and the only way to keep all the lights on is to burn massive amounts of oil, an everyday solution to the high cost of living can be elusive.
Where鈥檚 the Money?
Each candidate would like to see job growth, particularly in research and development of new technologies. They say Hawaii鈥檚 military presence and clean energy ambitions are the two obvious places where the state can take advantage.
Schatz looks to the U.S. Department of Defense鈥檚 desire to boost energy conservation as a possible growth sector for Hawaii, particularly when it comes to retrofitting old buildings with more efficient technology.
鈥淭here was a time 15 years ago where diversifying the economy through clean technology was nothing more than a talking point on a politician鈥檚 brochure,鈥 Schatz said. 鈥淏ut now it鈥檚 real money. There are people employed not just in the R&D side, but the installation side.鈥
According to from the Pew Charitable Trusts, efficiency projects at military installations more than doubled between 2010 and 2012. There was also a 54 percent increase in the number of DoD renewable energy projects during that span from 454 in 2010 to 700 in 2012.
“We鈥檙e not really looking at the first fundamental question, which is who needs transit.” 鈥 U.S. Rep. Colleen Hanabusa
Schatz said the University of Hawaii plays a role in whatever new technologies develop on the islands. That鈥檚 why he said it鈥檚 important for lawmakers to help the state secure National Science Foundation grants and other funding to help advance research here.
鈥淭he University of Hawaii, despite all of its recent difficulties, has done very well in terms of increasing extramural research,鈥 Schatz said. 鈥淭hat continues to be our best strategy 鈥 It鈥檚 not just important from the university system standpoint. Now you鈥檙e talking about a real economic driver that鈥檚 on par with some of the perceived bigger industries.鈥
Hanabusa agrees the university is an important cog in fostering research. But she also focuses much of her attention on maintaining Hawaii鈥檚 already strong military presence and the jobs it brings with it.
The congresswoman, who sits on the House Armed Services Committee, highlighted just how much money the military brings to Hawaii in March when her office announced that the Pearl Harbor Naval Shipyard through the National Defense Authorization Act for two construction projects.
In a press statement at the聽time, Hanabusa reiterated the military鈥檚 importance to Hawaii, especially given the Obama administration’s pivot the Asia-Pacific, which includes a refocusing of diplomatic, political and strategic efforts in the region.
She often talks about the pivot and how it can help make Hawaii a focal point of U.S. military action. This could translate into direct funding for innovative research, she said, particularly in the area of renewable energy.
鈥淚 can鈥檛 even begin to say how important the research and develop areas of this whole issue are for us,鈥 Hanabusa said. 鈥淎 lot of military research is what they call dual use so then you鈥檙e able to take it from that and expand it into the commercial arena. We have the potential of being the center of that kind of research.鈥
One project in particular that excites Hanabusa is the U.S. Navy鈥檚 development of wave energy technology in Kaneohe. That research is in partnership with UH, to help with the project.
Hanausa said the amount of money the military can bring to the islands should not be understated. In 2011, RAND Corp. released a study showing that 18 percent of Hawaii鈥檚 economy can be .
Getting ‘Down to Basics’
Neither candidate is delusional about the state鈥檚 high cost of living. In fact, both Schatz and Hanabusa see many of the same pressure points that make living in paradise so spendy, whether related to food, housing or the cost of a gallon of gasoline.
They both see increased density and better community planning 鈥 which are primarily state and county issues 鈥 as possible ways to help people聽stretch their dollars.
For example, Oahu is in which demand is outpacing supply, sending home prices ever higher. What鈥檚 more, according to a recent , many of the units being developed are not for lower-income renters.
鈥淲e have to really consider whether we want to continue to allow suburban sprawl,鈥 Schatz said. 鈥淚t鈥檚 a good business model for the developer but it鈥檚 not necessarily helping local people to be able to afford houses. There is openness in the market toward more density, and not just in urban Honolulu.鈥
Hanabusa hopes the city鈥檚 $5.2 billion rail project can help reduce the financial burden on people who currently need a car to get to work. But she also sees the high-end developments going up in Kakaako near the proposed rail line that she says are out of reach of those who need it most.
鈥淪ometimes we get it all mixed up,鈥 Hanabusa said. 鈥淲e鈥檙e not really looking at the first fundamental question, which is who needs transit. A lot of the rich guys are not going to ride the train. They鈥檙e going to drive around.鈥
Another area where she鈥檇 like to see cost reduction is in the food market. Hanabusa believes that if Hawaii can start producing a larger share of its own food then complaints about how shipping costs affect the price of a gallon of milk could disappear.
And if the state can figure out a way to grow its own grain for cattle and other slaughterhouse animals, that meat could eventually turn into an export.
鈥淟et鈥檚 get down to basics,鈥 she said. 鈥淟et鈥檚 at least try to control the cost of our basic things.鈥
A New Energy Frontier?
A primary concern for both candidates is the cost of energy and how to reduce it. Hawaii is the most oil-dependent state in the country, as we need it to fly our planes, drive our cars and turn on our TVs.
Both candidates agree that weaning ourselves off of oil is the only way to cut energy costs for consumers, but doing so will take some time. The state , but that didn鈥檛 work.
Hanabusa and Schatz say renewable energy should still be the first route of cutting the state鈥檚 use of fossil fuels. The state wants to generate through renewable resources by 2030.
But liquified natural gas is an intriguing option for both candidates, as it burns cleaner than oil and is cheaper too.
The state has of LNG to the isles to determine if it can reduce overall energy prices.
At least one study says the cost savings to Oahu could be up to 50 percent. Projected savings on the neighbor islands ranged from 22 percent to 44 percent.
“There was a time 15 years ago where diversifying the economy through clean technology was nothing more than a talking point on a politician鈥檚 brochure.” 鈥 U.S. Sen. Brian Schatz
鈥淟NG to me is a real alternative,鈥 Hanabusa said. 鈥淲e can live in the interim with something that I believe has 50 percent less carbon emissions and, if done right, the cost should also be substantially less than what we do with fossil fuels.鈥
Some environmental groups including the Sierra Club and Blue Planet Foundation have fought against LNG coming to the islands, saying it just furthers Hawaii鈥檚 dependence on a fossil fuel.
There鈥檚 also concern that switching out oil with LNG will just delay implementation of the state鈥檚 clean energy initiative.
Schatz, who has received the Sierra Club Hawaii endorsement, says LNG should only be pursued if it鈥檚 a temporary solution and the estimated cost savings are substantial.
And while he has some misgivings about the environmental ramifications of extracting natural gas 鈥 specifically through hydraulic fracturing, or fracking 鈥 he says it鈥檚 tradeoff he鈥檇 be willing to accept to cut costs for residents.
鈥淵ou鈥檙e not going to hear me advocating for LNG in the sense of calling it clean energy, you鈥檙e not going to hear me advocating for LNG in the sense that fracking has no implications,鈥 Schatz said. 鈥淲hat you are going to hear me saying is that we ought to look at anything that will reduce prices as we move toward clean energy.鈥
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About the Author
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Nick Grube is a reporter for Civil Beat. You can reach him by email at nick@civilbeat.org or follow him on Twitter at . You can also reach him by phone at 808-377-0246.