Ka Wai Ola - Office of Hawaiian Affairs, Volume 11, Number 6, 1 June 1994 — OHA Education Foundation: another promise broken! [ARTICLE+ILLUSTRATION]

OHA Education Foundation: another promise broken!

bv The Rev. Nloses K. Keale, Sr. Trustee, Kaua'i & Moloka'i ls it a dreani? Is it a reality? Is it an illusion? Or could it be just words on paper? Promises without reality? Just another promise broken? In the closing days of March 1994, your OHA ehaiiman, vice-chairman (and head of the Budget and Financc committee). Trustees Frenchy DeSoto, Sam Kealoha and Moanike'ala Akaka voted to reverse a decision made and confumed by the Board of Tmstees, not just onee but several times over the last two and a half years. That reversal made a promise to the Hawaiian people nothing more than an illusion. Education is the single commitment that we should and couldmake to our Hawaiian people's future. The

Hui Imi Task Force of Hawaiian Agencies and Organizations identified education as its num-ber-one eoneem. OHA was created to reflect and serve the concerns of the Hawaiian people. So we. the trustees of the 1988 board (Akaka. Burgess, Ching, DeSoto. i Hao, Kahaiali'i, Kaulukukui, I Mahoe and Keale) entered into j negotiations with the state to win ■

our proper a!lotment of monetary assets so that we could accomplish the goals of the Hawaiian people. The settlement is not yet completed and negotiations continue. but we do have sizeable assets in our possession. At the Oct. 23, 1991 BOT meeting a motion was made by Trustee Aiona, seconded by Trustee Akana, "to adopt the matter of establishing an education foundation." whieh carried unanimously. We committed ourselves to the creation of an education foundation to serve the educational needs of our Hawaiian youngsters. The members of the present board adopted and ratified this action and. to show their commitment, agreed to fund the foundation with $10 million from our settled entitlements. Although the funds were not received at the time of this commitment, it was anticipated that at least a $5 million "good faith" deposit was forthcoming. OHA did receive $134 million, but the $10 million was not set aside for the Education Foundation, from whieh the inter-

est could be used. For investment purposes, we will invest with the OHA portfolio for a better return. All of this infonnation is a matter of publie record. You ean see for yourself who voted for these actions by requesting the public records to

whieh you are entitled, as beneficiaries, to receive upon request.

Let's get on with the task. Give the foundation its funding.

But the real issue is, "What in the world happened?" The minutes of the March 1994 board meeting reflect what happened and who initiated

and instigated the reversal of this position. The Education Foundation has no money! No money has been transferred to it. And further. the proposai presently on the table is to give no endowment at all. The only money now authorized Ito be given to the foundation is the interest on $10 million squirreled away to various money managers, for whieh the foundation board must give OHA three months' notice that they need the money.

If there is no money for the endowment of the foundation, then there is really no foundation. As to the question of whether we would breach our fiduciai7 responsibility by allowing the foundation board of directors, appointed by the OHA trustees, to handle this money, that begs the issue of whether we "trust" these "blue ribbon eommunity leaders." These people have demonstrated impeeeahle leadership and have held high positions of trust in our community. I trust them. And I think we should execute what we have promised to execute. Leadership is demonstrated by straight talk, proper monitoring and willingness to take appropriate risks. Let's get on with the task. Give the foundation its funding. We approved the inles. We appointed the directors. And we have control of the overalI accomplishments of the foundations. It should not take three years to do what it took only three months to approve. .....