Upon returning to his business in Honolulu, Heftel decided to run for political office. In
1970, Heftel was the Democratic nominee for the
U.S. Senate, but lost to incumbent Republican
Hiram Fong by a margin of 52%–48%. He became a delegate to the 1972 Hawai'i Democratic State Convention. There, he was elected in caucus as a delegate to the
Democratic National Convention. In
1976, Heftel was elected to the
U.S. House from the state's
1st congressional district, and was re-elected four times thereafter. While in office, Heftel was part of a U.S. fact-finding mission to the Philippines, largely responsible for the forced ouster of dictator
Ferdinand Marcos. Heftel voted for the
Economic Recovery Tax Act of 1981. The Act aimed to stimulate economic growth by significantly reducing
income tax rates. It passed the House of Representatives in a 323–107 vote, the Senate via a
voice vote, and it was signed into law by President
Ronald Reagan on August 13, 1981. However, Heftel voted against the
Omnibus Budget Reconciliation Act of 1981. The Act decreased federal spending and increased military funding. Despite his vote against it, the bill passed the House of Representatives in a 232–193 vote, the Senate via a voice vote, and it was signed into law by President Ronald Reagan the same day. Heftel resigned on July 19, 1986, to run for
governor, but lost the Democratic primary to
John Waihee. Heftel blamed the loss on a smear campaign accusing him of involvement in drugs and sexual relations with "young males and females," suggesting that Heftel was a bisexual pedophile. Democrats long have asserted that the smear came from Republicans looking to run against Waihee as an easier-to-defeat opponent. Many in Hawaii political circles, however, believe the smear was orchestrated by a more powerful political machine that was afraid of Heftel's honest, no-nonsense approach. ==Post congressional career==