Members of the Honolulu Charter Commission yesterday rejected a proposal that would have put tax relief in the hands of voters, saying that approval ultimately could have "tied the hands of the City Council."

The proposal to change the city charter would have capped assessed property values at 2004 levels. But despite taxpayer outrage over soaring assessments and property tax bills, the measure garnered little support among residents.

In voting unanimously to reject the proposal, the 13-member commission agreed with public officials and the majority of those testifying yesterday. More than 10 people submitted written testimony and seven people spoke before the commission, including Councilman Gary Okino.

Marsha Joyner, a member of Democrats for Property Tax Fairness, said she understands the frustration about property tax, but said the Charter Commission is the wrong avenue to fix the situation.

"The whole system is broken," said Joyner. "If we go forward with (Proposal) 2, it puts a block on fixing the system."

She said the charter change would prevent the Council from exploring the various legislative proposals for tax relief.

Shannon Wood, a Kailua resident, asked the commission to not interfere with the legislative process by allowing the property tax proposal to go to the ballot box.

"This is a legislative battle," said Wood. "It should not be set in stone for 10 years."

Commissioners concurred, with Darolyn Lendio calling the proposal inappropriate for the commission to pass.

Commission Vice Chairman Jeff Mikulina said he opposed the measure because it would "tie the hands of the City Council from making future changes."

The Charter Commission is sifting through dozens of proposals to determine those that will be put on the November ballot for voters to decide. The commission heard discussion yesterday on proposed changes relating to the Ethics Commission, impeachment provisions, budget and tax issues, and the establishment of new agencies and programs.

But it was the tax relief proposal that created the most interest.

Frustration over Honolulu's soaring property tax assessments has generated a variety of relief proposals — some from the council, the mayor, citizens groups and individuals looking for a way to reduce tax bills that have climbed for several years.

Although the city estimates the average increase in assessments this year at 26 percent, numerous homeowners point to tax bills that have doubled, tripled or more over the past three years.

Kailua resident Victor Meyers, 74, said he saw more hope in other tax relief proposals before the council than in placing a charter change proposal on the November ballot.

Meyers attended a citizens meeting last week in Kailua and is following the various proposals closely, watching to see which to support. He did not attend the Charter Commission meeting yesterday.

Meyers is retired, on a fixed income, living in a home he bought in 1989 for just shy of $350,000. City assessors say the house near Lanikai Elementary is now worth more than $1 million.

"It's just an ordinary single-wall construction, junky house," Meyers said. "We like it, but it's not any kind of showplace."

Meyers thought the charter proposal sounded too vague as to where it would cap the values and other key details. "It certainly wouldn't work quickly," he added.

Democrats for Property Tax Fairness spokesman Mike Abe urged the commission to reject the cap proposal at its meeting at Honolulu Hale. Abe said property tax reform is complex and the charter proposal was too vague.

He said residents are searching for help from elected officials who have the power to offer relief. "A lot of people are angry," Abe said. "They're also frustrated. They don't know where to go."

Abe said that depending on a charter amendment also would have postponed relief until after the November election.

An attorney who lives in Kaimuki, Abe also compared changing the charter — which is similar to a constitution — to using a sledgehammer to solve the problem.

It "doesn't offer immediate resolution and you may squish more things than you want," he said.

Council Chairman Donovan Dela Cruz said it's better to have elected officials deal with the issue to allow a balance between city services, revenues and taxpayer needs.

Mayor Mufi Hannemann also favors proposals from elected officials rather than a charter change.

Waiting until after the November election just didn't seem like an option to Dela Cruz.

"We have to address this now," he said.

And that's what Meyers would like to see the council do. "Let the council people sit down and hash through some of these proposals," he said. "And make something happen now."

Reach Robbie Dingeman at rdingeman@honoluluadvertiser.com and Loren Moreno at lmoreno@honoluluadvertiser.com.