INSTITUTE FOR THE ADVANCEMENT OF HAWAIIAN AFFAIRS 86-649 Puuhulu Road Wai`anae, Hawaii 96792-2723 Tel: (808) 696-5157 Fax: (808) 696-7774 23 May 1993 The nation of Hawaii will reemerge from the present relationship with the United States of America to its full independence of a hundred years ago. The process of decolonization can be one of rancor, divisiveness, and violence. It can be a process of aloha, of growing in understanding, in full respect for human rights and fundamental freedoms of all people. Whichever road is taken, independence is inevitable. The Institute for the Advancement of Hawaiian Affairs is committed to the path of aloha. Following from that commitment, we have formulated our proposal for the foundation of Hawaii's economy. For us, addressing the topic of Hawaii's economy is a difficult one. It is difficult because we are attempting to find new ways of integrating peace, environmental sanity, cultural & religious values, human rights, and respect for the special place of the indigenous people of Hawaii within the economic flow of our communities and nation. We are seeking to achieve not necessarily an ever-increasing gross national product but an ever improving human condition. For us, the study of Hawaii's economy must begin not from an assessment of the monetary flow between Hawaii and the United States of America, Japan, and other foreign countries; nor the assessment of monetary flow within Hawaii and its people. The place of the human being is central to economics. The study of Hawaii's economy must begin in the eyes of a hungry child. There are, of course, many things for which the child in each one of us hunger. We can begin with the fulfillment of basic needs - fulfilling the requirements of the mind, the eyes, ears, nose, mouth, stomach, genitals. We must provide an environment where each child will be able to obtain education, beauty, food, clothing, shelter, love, wellness and family. Meeting such basic needs are the responsibility of every person in the society, expressed most often through the voice of government. But the histories of governments have often times been stories of outcomes which have not met these basic needs of its people. Somewhere along the process, the goal of meeting such basic needs have been corrupted, usually by placing individual or societal wants above basic needs. How does a nation build within its structures the best assurances of meeting such basic needs? Usually, in a constitutional-based society, the guarantee is to ingrain such assurances within the fundamental document of such society such as its constitution. While constitutional protection and guarantees are indeed the best formal assurances obtainable, they are still susceptible to being ignored, re-interpreted by "changing realities", or deleted. The most effective and permanent assurance of the continuity of aloha is by ingraining it into the deep culture of the Hawaiian society. Only when it is so implanted into Hawaii will that spirit permeate the activities of governments as well as individual actions between one another. Until that happens, the positive aspects of Hawaiian cultural values will remain manufactured on paper and in broadcast studios to be spread around Hawaii and the world like nothing more than plastic flowers made in Hawaii. To ingrain such values into the deep culture of our society will of course be challenging. Questions of individual liberties and the common good, exploitation for immediate gains as opposed to the protection of the seventh generation, preservation of cultural and historic symbols versus the "progress" of society, and many more questions must be examined and reexamined. So while we may be limiting our inquiry only to the question of economics, we find that economics can not be considered in isolation to those other on-going factors in a society, factors heavily influenced by a people's deep culture. What is or should that culture be? Perhaps the more important question is "How do we assure a process by which everyone in this new society plays a significant role in formulating such a culture?" Decolonization of Hawaii, therefore, is not only in the exercise of political independence from the United States of America, but must go hand in hand with the exposure and examination of our current values and a communal dreaming of a richer society in which the basic needs of the hungry children of Hawaii will be met. This communal dreaming will of course integrate factors of the indigenous Hawaiian culture, Hawaii's history, the realities of our geography, basic human rights and fundamental freedoms internationally respected, as well as the multi-cultural and racial mix of our present society. It is from this belief that the Institute for the Advancement of Hawaiian Affairs offer the following thoughts and opinions on the questions presented. 1. Politically, which model of sovereignty is closest to your group's position? "We favor: completely independent nation model 2. In your group's model of nationhood, how does the Hawaiian nation relate to: -- the United States government: as equally as we would any other foreign nation. -- the State of Hawai‘i: The state would cease to exist. -- County governments: as possible levels of government below the national one. 3. Who are citizens of the Hawaiian Nation? What is the process of naturalization? Citizenship must be an individual choice. We can only describe those eligible to chose Hawaiian citizenship. Eligibility for citizenship is founded upon Hawaii's history & culture. The right to citizenship must be extended to all those who would have been Hawaiians had the U.S. not intervened in Hawaii's independence. Thus, all who were or could show ancestors who were Hawaiian citizens (irrespective of race) are eligible. Additionally, every child born in Hawaii, parents of Hawaiian citizens born in Hawaii, spouses of Hawaiian citizens, and those who have resided in Hawaii over a period of time sufficient to show that they have become acculturated to the people and cultures of this place and being able to show that "kama‘_ina-ness" (generally through examination and sponsorship) could also be naturalized citizens. To chose Hawaiian citizenship, one must relinquish any foreign citizenship. The formality of naturalization will develope as the nation becomes empowered. What is the status of non-citizen residents? Can they vote, own homes and land, own businesses, or not? Provided they fall within populations criteria of the national policy, non-citizens may be Hawaii residents. They should not, however, vote in Hawaiian elections. Their ownership of homes and land, if at all, should be only for their actual residence and not for investment purposes. Their transaction of business would be permissible provided they fell within the allowable foreign activities and quotas. Disengaging non-citizens from their investment properties should be over a period of time in which they would be afforded ample notice and opportunity to relinquish such properties to citizens or Hawaii business entities. 4. What is your form of governance? The form of government? Who makes the policy decisions? Is there a legislature, elections, a monarch, etc.? Governance will be by democracy. The form will be a graduated level of control whereby communities or ahupua‘as would have jurisdiction of locally based activities and issues, islands governing island specific activities and the national government concerning itself with foreign relations, population policies, governance of the ocean within the exclusive economic zone, environmental protection, etc. (See Q. 9) At the national level, the legislative responsibility would be in a representative forum. However, direct citizens participation in many of the discussions and decisions should be part of the norm. The chief executive officer may be selected by the representative forum or by general elections. A system of traditional chiefs paralleling the electoral system may also be instituted to insure the continuity of the indigenous Hawaiian culture and the protection of rights of the indigenous people. A paramount chief may also take the role of the national symbol of Hawaii, especially for purposes of international protocol and other relations. 5. Land and water are two basic natural resources that the Hawaiian Nation will be based on. In your group's model, what will be the territory over which the Nation will have jurisdiction? Jurisdiction will extend over the full Hawaiian archipelago including the 200 miles international exclusive economic zone of the ocean. We also assert our jurisdiction and ownership of Kalama (Johnston atoll), Midway & Palmyra and the exclusive economic zones around them. Will there be shared jurisdiction with the U.S. Government, the State, the County? No. Any activity permitted or authority transferred to the U.S. Government will emanate from the Hawaiian nation through bilateral treaty or executive agreement processes. The State would cease to exist. The counties powers would be redefined as reflected in responses to question 4. What will be the government-owned lands of the new nation? All lands not privately owned. What would happen to military lands? Those not under lease from private owners would become lands of the Hawaiian nation. Private leases (if any) would revert to private owners. What would happen to land occupied by State or County facilities, such as the University of Hawai‘i, Hilo airport, . . .? Become government owned. Usage of such lands would probably continue under current usage with changes made as decided by national policy-makers. 6. Regarding private property within the territory of the new nation, how will the new nation treat lands and improvements built on lands -- now owned by its citizens? -- now owned by its non-citizen residents? -- now owned by Hawaiian Trusts or Foundations? -- now owned by locally owned corporations? -- now owned by non-resident foreign individuals? -- now owned by international conglomerates? Are there any distinctions that should be made above regarding improvements owned by one party on land leased from another? Are there distinctions that should be made regarding future buyers or regarding grand fathering- in present owners? Are there distinctions that should be made between homes and businesses? Generally, Hawaii's lands should be kept in Hawaiian citizens' hands. Foreign owners of property should be encouraged to transfer those properties to Hawaiian citizens. Long term leases to foreigners of over two generations (50 years) should be suspect and reviewed to determine if, in essence, it is merely a method of circumventing the policy of Hawaii's lands in Hawaiian citizens' hands. For resident foreigners, however, certain exceptions should be made, permitting individual ownership of their residence. Ownership and its multiple forms which seems to be the heart of this inquiry, should not be the only issue regarding land policies. The physical, cultural, and social attributes as well as use of land must also be considered in setting land policies. To the extent possible, lands must be put to purposeful use to benefit the larger community. Lands left unused or held merely as investments for future sale should be discouraged. Lands placed in hands of the people for food production wherever appropriate to the physical and cultural environment, should be encouraged. Encouragements & discouragements can be achieved through various techniques including taxation, penalities, zoning and nationalization. 7. What about water rights? Who will control underground and surface water? The current system of water rights which attach to the land serviced by the natural flow of water would continue. Interference of such flow, without sufficient public purpose, should, of course, be curtailed. 8. What about Off-shore Ocean resources and fisheries? All of this would fall under the jurisdiction of the Hawaiian nation to the extent recognized under international law. Care and protection of our ocean resources, collection for royalties of any taking of such resources, controlling the over-fishing of the ocean, prevention of hazardous waste dumping, etc. would all fall under the jurisdiction of Hawaii. The ocean holds vast potential for economic support of Hawaii still untapped. Already, it contributes more to Hawaii's economy than does agriculture. 9. Would the Hawaiian Nation provide public services to its citizens? Or would they share responsibility with the County, State or the U.S? The Hawaiian national government would provide services which the island and ahupua‘a governments are not able to provide effectively or services which require some minimum level of uniformity. Generally, those activities would include basic and higher education opportunities, national parks, unified judicial/dispute resolution services, national environmental protection, regulations of communications, national security, airports & harbors, foreign/international relations, ocean governance, and immigration & naturalization. The islands or ahupua‘a governments may be more appropriate in providing for welfare & social security, corrections and rehabilitation, shelter, travel-ways, water & sewer, electricity, local parks, fire and transport. 10. How would these public services be funded? Multiple funding mechanisms would be implemented. Taxation, user fees, royalties and even government operated enterprises could be methods of funding. Especially at the ahupua‘a level, it is anticipated that through a revamping of community consciousness and values, costs for social welfare, wellness, education, rehabilitation, shelter and other human needs will be far less than as presently the case in Hawai‘i. 11. Will there be a tax system and how will it operate? Who pays, based on what? Taxation will continue to exist in Hawaii. However, a shift of the burden from individual income to enterprises which extract from the common heritage would have to be made. Thus, greater government income should be made from fishing royalties within our 200 mile exclusive economic zone, for enterprises which sell our common environment and exposure to our multi-cultured society, fees for use of the common air-waves, uses of our harbors, etc. Income and wealth transfer taxes would still remain, to a limited extent. 12. Will citizens of the Hawaiian Nation pay County, State & Federal taxes. No. 13. Name the ten major resources that will form the economic base of the nation. 1. Lands; 2. Ocean; 3. People; 4. Agriculture; 5. Healthy Environment; 6. Education; 7. Internationalization of financial institutions; 8. Specialization in high technology; 9. Cultural treasures between East and West; 10. Showcase for human rights. 14. How would citizens of the Hawaiian Nation earn a living? What would be their source of income & jobs? Most, if not all of the jobs we are now engaged in would continue to exist. However, a noticeable change from employment in non-agricultural activities to livelihood based on agriculture and aquatic activities would take place as land reforms and policies of national self-sufficiency are undertaken. 15. What currency would be used for money. Hawaiian money. What kind of financial institutions will operate in the Hawaiian Nation? Profitable kind! Current financial institutions would need to invest in major retraining of their employees to develop expertise in international finance, especially as Hawaii's independent status becomes recognized as an opportunity for a high-tech, easily accessible, secure places of deposits and for transacting world-wide business. Hawaii's role as a world trade center would flourish. Community development at the grass-roots level, financed through cooperatives such as the "tanamoshi" (Japan)/"the committee" (Pakistan), collective ownership of equipment and buildings ("kompang"), financing based upon reputation for hard work and strong character instead of accumulated wealth ("Grameen Bank" (Bangladesh), etc. will also develop. 16. What about treaties? Treaties of all different kinds would have to be negotiated affecting foreign trade and investments from abroad. A system of tariffs and outright prohibitions of certain trade items would be followed such that Hawai‘i self-sufficiency would always be assured. 17. Who will set the national economic policies in your model of the Hawaiian Nation? Under a democratic form of government, such decisions would have to devolve to the citizens themselves. 18. What will the immigration policies of the nation be? Such policies would have to be guided by the impact immigration will have to the quality of life in Hawaii, especially respecting the sufficiency of land and housing. Other factors to consider will be the security of the national existence with the presence of a great number of foreigners having too great an influence over one or another segment of the community's life; humanitarian concerns for areas of the world undergoing extreme trauma for which temporary relief can only be accomplished by immigration to Hawaii, etc. 19. Under your model of Hawaiian sovereignty, will the cost-of-living in these Islands be affected? How? Hawaii's cost of living would be decreased as the shift in land availability comes about by the departure of U.S. military, distribution of sugar and pineapple lands to communities, decrease in population through the anticipated voluntary departure of U.S. citizens (especially related to U.S. military) freeing up the competition for limited resources and open space in Hawaii. 20. What changes would happen in tourism according to your model of nationhood? What would be the economic impact? Hawai‘i would assume greater control over tourism, starting with issuance of Hawaiian visas to management of the numbers of Hawaiian businesses which would take a role in a visitor's stay in Hawaii. Thus, foreign visitors would have greater economic and cultural interaction with Hawaii's people. Under Hawaiian control, visas would be issued not strictly for economic purposes but taking into consideration the cultural experience, new knowledge flow, and the development of Hawai‘i's international personality in the homeland of the visitors. Hawai‘i's economic situation alone would greatly improve. At a net profit of $10 per five year tourist visa with discounts for families, Hawaii's national budget would increase greatly. 21. What about changes in agriculture and their economic impact? Hawaii would and in fact is moving away from the dual-agriculture of sugar and pineapple. It must move into diversified agriculture, not only in terms of the crops produced but even more important, in diversified ownership, where people can plant for themselves and their neighbors and neighborhoods. The formal economic exchange would decrease; however, the informal economic, social and cultural exchange would bloom - the people would more greatly benefit. 22. What changes would come about regarding the military, and what would be the economic impact? To the extent we determine necessary, the Hawaiian military would take over operation of U.S. military bases. Much of the lands would be turned back to the government which would be available for distribution to Hawaiian citizens. The overall impact will be an improvement in the economic condition of Hawaii. Lands unproductive under U.S. military control would return to local production. The myth of U.S. military contribution to the Hawaii economy will be burst once and for all. 23. What changes would take place regarding housing and further development? What would be the economic impact on housing costs? On the cost of living? Cost of housing will immediately decrease with the exodus of U.S. military personnel and U.S. citizens deciding to return to their homelands. With the further control over immigration, further decrease in demands on housing and other limited resources would occur. Independence would also foster independent thinking, reconsidering the need for constructing American standard houses and buildings for Hawaii's environment. Energy costs would decrease by building to Hawaii's environmental advantages. Housing costs and cost of living would decrease. 24. What financial advantages do you think your preferred sovereignty model has over competing models? Hawaiian independence offers us the opportunity to develop a new economic ethic, giving credence not only to individual liberties and capitalism, but to consider cultures, social well-being, strong values of sharing and caring for one another, etc. in the development of an economy. Independence provides real control over Hawaii's internal activities as well as greater control over the external influences upon Hawaii. Our population, foreign relations, environment, education, and values all become part of the tapestry of an economic system in the control of our own citizens. We become masters of our financial well-being. The "nation within the U.S. nation" model fails to provide those important self-determining factors and instead fosters continuing reliance on the political, economic or racial whim of the United States government. It lacks capacity to control the quality of life in Hawaii. It will become a vain attempt to draw make-believe lines around indigneous communities, pretending to have sovereignty over a territory but having no effective impact to protecting the long term well being of the people within. Special federal programs may appear financially advantageous but in the long run, will create dependency and become counter-productive to economic self- sufficiency.