The Maui County Carnival scheduled for earlier this month , with organizers blaming skyrocketing state government fees as one reason.

In April 2016, E.K. Fernandez Shows brought the carnival to Maui for four days at聽the War Memorial Complex in Wailuku. The inaugural event featured rides, games,听food, entertainment and special attractions. The Boys & Girls Club on Maui was the聽primary nonprofit beneficiary of the carnival.

This year, E.K. Fernandez Shows announced that it was cancelling the carnival, citing聽huge increases in shipping rates, over 40 percent in the past three years,听which they said made it almost impossible to ship the necessary equipment from Oahu聽to Maui. They said that they tried unsuccessfully to negotiate a more competitive聽shipping rate with the shipper.

Young Brothers is the only company licensed to provide interisland shipping. Cory Lum/Civil Beat

In Hawaii, there is only one company licensed to provide interisland shipping,听Young Brothers. A company spokesman said that E.K. Fernandez was offered聽a special charter voyage to take all the equipment over on a single trip, the rate for聽which was about 9 percent 聽higher than it was in 2016. More than half of the increase, around聽5 percent, was blamed on an increase in state wharfage fees.

Wharfage fees are what the state Department of Transportation, Harbors聽Division, charges shippers using the harbors in Hawaii. Wharfage fees charged by the Harbors Division were hoisted 17 percent on Feb. 1, 2017,听with two more double-digit increases swiftly coming down the river: 15 percent to hit on聽Oct. 1 and another 15 percent on July 1, 2018.

At our Governor鈥檚 Office, no one seems to be fazed by the magnitude of the聽increases. Instead, in a news release dated Feb. 7, the governor聽commended the Department of Transportation when Standard & Poor鈥檚 upgraded its聽rating of Hawaii鈥檚 harbor system revenue bonds.

Per the release, the upgraded rating聽鈥渞eflects a positive view鈥 of the Harbors Division鈥檚 actions, including 鈥(r)ecent and聽frequent tariff increases that have allowed for consistently strong debt service coverage聽given rising costs,鈥 and 鈥(e)xceptional liquidity position in unrestricted cash, equal to聽almost five years of operating expenses.鈥

If we are holding five years of operating expenses in unrestricted cash, why聽aren鈥檛 we considering paying down some of these bonds (which represent borrowed聽money)? Money sitting around in the bank is certainly not drawing more interest income聽compared with the interest expense we are paying to float the bonds. In addition, the聽last thing we want to do is have a wad of cash sitting around waiting for some legislators聽to think up ways to raid it as they have tried to do with other programs such as the Hawaii Green Energy Market Securitization (GEMS) Program (which also involves lots of borrowed money).

And then, does anyone realize that these recent and frequent tariff increases get聽baked into the costs of the clear majority of goods and many of our services? If these聽are praiseworthy in our government鈥檚 mind, then it is no wonder we have an聽astronomical cost of living.

The Maui County Carnival may be one casualty caused by this mentality. Let鈥檚聽hope that our policymakers can take a more expansive view of what it takes to boost the聽general welfare of our state.

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