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Hawaii State of the State Message
Our new Governor, Neil Abercrombie, delivered his first Hawaii State of the State address January 24.  As reported by the StarAdvertiser.com, he warned "The state is at risk of an economic collapse, called for spending cuts on public workers, welfare and health care for the poor, and new taxes on pensions, alcohol, soda and time shares to balance the budget."
"I will take full responsibility for our current situation, but with that responsibility comes an obligation to tell the truth.  The truth is that our canoe, which is our beloved Hawaii, could capsize. We are in that unnerving moment when we could all huli, when we could turn over. All of us are at risk, and all of us have to face this," he said.  His new administration will have to rely on emergency monies to get through the fiscal year ending in June.  He also projects a two-year budget deficit in excess of $700 million.Here are highlights of the fiscal measures Abercrombie proposed, as printed by the StarAdvertiser.com:
"» Increase taxes on alcohol and explore taxing soda and similar beverages.» Repeal the state tax deduction for state taxes.» Treat pension income the same as other income for state tax purposes.» ... more

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