Hawaii already is reeling from years of national reports and ratings about our poor investment climate and growing divisiveness in our state.

The recent Milken Institute annual rating of costs to do business put Hawaii at the top (highest cost) for the third consecutive year. But there is more than ratings to prove the point.

While we improved parts of our economy and benchmark statistics during the past 5 years, we still trail most other states in attracting and holding long-term investment. Capital continually overflies the Islands.

But the Hawaii Superferry investors believed in Hawaii and that the service and product they have to offer is truly a good match with the people of Hawaii.

The Hawaii Superferry is a monumental private investment of more than $350 million. The new business employs over 300 people, purchases local goods and services, and is the first truly integrated (passenger and vehicle) inter-island transportation alternative ever introduced here.

But the business is in mortal danger, not by the market and passenger estimates, but by individuals and groups who vowed to stop it before it ever got here this past July.

We can talk all we want about how great Hawaii is, about our diversity, and, as Gov. Linda Lingle said in her 2002 inauguration speech, "The open for business sign is turned on in Hawaii."

But investment and economic opportunity is determined not by “talk,” but by an actual economic track record.

Hawaii's past performance in this regard is telling.

A quick review of key recent private investment attempts, reveals a pattern of hostility toward private business and entrepreneurs, bombarded with arguments and debate about local protectionism, provincialism, and even hints of racial discord.

For example,

• The idea, decades ago, to position Hawaii as a private spaceport launch site on the Big Island;
• A proven, working, alternative energy source from geothermal energy;
• Reducing astronomy and space exploration, including construction of the world's largest telescope;
• Ending the Hokulia residential/commercial project (Big Island);
• Stopping the Nukolii residential/commercial project on Kauai;
• Neighbor Island protests against American, NCL and other cruise lines;
• A private hospital on Maui to add choices to residents and to compete with the government hospital;
• Private, toll roads and "hot lanes" to alleviate traffic congestion on Oahu;

These are private, non-taxpayer funded projects and industries that would have catapulted Hawaii into greater economic growth, self-sufficiency and worldwide prominence as a place to do business.

Instead, like the case with the Hawaii Superferry, these innovative, leading edge private investments were stopped by a gaggle of professional protesters, disrupters, lawbreakers and willing accomplice lawyers and justices.

Were there serious and legitimate issues raised with most of these projects?

Yes, and all were answered to the satisfaction of any rational individual. But therein lies the rub.

Many of the attacks in the past and at present on business have been emotional, irrational and just plain dumb. That includes the argument by some Kauai residents that "we need to keep the Superferry out of Kauai to keep out drugs” when just days later, led by the U.S. attorney’s office, the biggest drug bust in Kauai's history took place.

Lack of information, misinformation and outright lies mark the debate on Hawaii Superferry's future.

Embroiled in legal challenges on Kauai and Maui, years after the state gave the project its blessing and the statute of limitations should have run, the Superferry investors -- and the estimated 75 percent to 85 percent of Hawaii residents who support the ferry service -- watch the ship mired in bureaucracy while its costs escalate daily.

An original court challenge in 2005 was adjudicated in favor of the ferry and the state.

The state continues to maintain all laws were obeyed.

The ferry altered times, schedules, routes and speeds, as well as hiring whale watchers to placate the "environmentalists."

But all this adjustment and accommodation on the Hawaii Superferry’s part has been to no avail.

A vacuum of leadership, evident in the past, is in the forefront of this controversy.

The governor has been slow and indecisive in taking action. She has made decisions for the Superferry (including a Sept. 26 sail date with a totally altered arrival time) and tried to "balance" the economic hardships between protesters and the ferry.

The mayor of Kauai, Bryan Baptiste, and the island’s local law enforcement are so far ineffective.

The Hawaii State Legislature has been divided, mostly along political lines, with many in the majority Democrat leadership opposing the ferry and the competition and choices it brings.

However, several key lawmakers, notably from Kauai and Maui, have been the cheerleaders actively fighting the Superferry.

The U.S. Coast Guard was "unprepared" to take on several surfers, kayakers and boaters in Nawiliwili Harbor.

And the courts, especially Hawaii's unique Supreme Court, appear dysfunctional.

Timing of the most recent 5-0 Supreme Court decision against the Superferry, days before start of scheduled service, saying in effect the state erred in not requiring an Environmental Assessment, is questionable at best.

What about the economic interests and clout of competitive inter-island transportation systems such as Aloha Airlines, Matson, Young Brothers, etc.?

Conjecture abounds, but it doesn't answer the basic economic issues relating to Hawaii Superferry.

The public? They say they support Superferry, but they are frustrated as to what to do. The public relies on their leaders and there is a lack of leadership. Of course when only 36 percent of eligible voters take time to vote, there should be no surprise as to the type of monopoly, noncompetitive leadership that prevails in Hawaii.

What should be done?

Wait for the courts? (A decision is expected Monday as to whether Superferry can proceed while an Environmental Assessment is conducted.) There are other challenges pending. It seems never ending.

The governor should call a Special Session of the Legislature, with prepared legislation, not to specifically aid the Superferry, but to make crystal clear Hawaii's laws in regard to Environmental Assessments, Environmental Impact Statements and the like so this will not happen in the future.

The U.S. Coast Guard, and state and local law enforcement must not just rattle sabers, but enforce existing laws and punish those that hold the rest of us hostage.

The alternative is everyone could just continue to wait and do nothing.

If the Environmental Assessment is required prior to any scheduled sailing, or if protesters continue to block harbors, it will be a moot point.

The Hawaii Superferry will be gone, disrupters will be further emboldened, and with it, any hope of future economic revitalization and major private investment will also disappear. This, as Hawaii approaches its 50th year of statehood.

The only option for the Superferry at that point will be a lawsuit against the state. That is bad enough, but if the Hawaii Superferry goes, it also leaves taxpayers on the hook for $40 million in bonds backed by the state.

We can make a difference now -- and in the 2008 elections -- or pay for our indecision later.

This turmoil and debate is not really about the Superferry.

It’s about economic sovereignty, about the future of Hawaii, and who gets to make choices.

Sam Slom is a professional consulting economist and sits on GRIH’s Board of Advisors. He is president and executive director of Small Business Hawaii, and a Republican State Senator from the 8th district Oahu, Hawaii Kai to Diamond Head. This piece originally appeared on HawaiiReporter.com.