Hawaii governor spends political capital on tax hikes, pay cuts
Hawaii Gov. Neil Abercrombie, elected just over a year ago with 58 percent of the vote, is now the least-popular governor in the nation, with a 30 percent approval rating, according to Public Policy Polling. The governor attributes the friction to the budget he signed in June, which involved tax hikes and spending cuts, including a 5 percent salary reduction for state workers, Bloomberg said. “I told everyone when I ran, I’m going to tell you exactly what needs to be done,” said Abercrombie, who previously served on the Honolulu City Council, in the state Senate and in Congress. When Abercrombie took office, the state faced a $1.26 billion deficit. To help fill the gap, he proposed a 10-cent per can tax on sugary beverages such as pop, a 50 percent boost in alcohol levies and taxes on the pensions of people making more than $100,000 a year. Hawaii tied with Oregon for the highest individual income tax rate at 11 percent as of Jan. 1, according to the Tax Foundation.