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1 <br /> Program and provide guidance to the Division. The Review Group fiu-ther recommends the <br /> meetings to be held on a quarterly basis or as needed to ensure continuity and momentum. <br /> In regard to the prior recommendations provided previously in reports to County Council,the <br /> Review Group is aware Corporation Counsel has provided ordinance changes to the <br /> Department of Finance Administration.With the busy fiscal year end and budget complete for <br /> 2019-2020,we are hopeful Administration will submit the recommended changes to the <br /> County Council or County Council will introduce legislation in time to be effective within the <br /> next tax year 2020-2021. _ <br /> The prior recommendations provided previously by the Review Group include the following: <br /> 1. The Veterans Disability Exemption annual real property tax to be $0. This <br /> would require a change to the Hawa'i'i County Code.Recommendation is to change <br /> for tax year 2018, however, it may be more realistic to have this done for tax year <br /> 2019 due to budget deadlines.To receive this benefit,the current program requires <br /> the Veteran be 100%disabled due to a service related injury and the property needs <br /> to be the Veteran's primary residence. This program currently has 609 parcels and <br /> At the current $200 minimum tax, the County receives $121,800 in revenue <br /> annually. There was much discussion regarding the value of the properties in this <br /> category, the potential increase in properties that could end up qualifying for this <br /> substantial discount and the concern with the loss of revenue during a time when <br /> the County is having difficulty balancing the budget. The consensus is these are <br /> 100% disabled Veterans due to a service related injury and they have already paid <br /> the ultimate price. <br /> Update: Bill No. 165 introduced by CM Dru Kanuha was passed, Ordinance 18- <br /> 88 became effective July 1, 2019 resulting in the reduction of the minimum tax to <br /> fifty percent for the Veteran's Disability Exemption. <br /> 2. Repeal the Non Speculative Residential Use program. Recommendation for <br /> Administration or County Council to look into an ordinance to change the Hawaii <br /> County Code. Recommended steps include informing all owners .currently with <br /> parcels in this program of the repeal for tax year 2019, allow all parcels currently <br /> in this program to automatically convert these parcels to the Homeowner <br /> Exemption program (by virtue of the program they already technically are part of <br /> the Homeowner class) at the 2019 frozen value and explain the 3% CAP would <br /> then be applied to the tax year 2020 (first year they would see the increase). This <br /> has been a recommendation the Real Property Tax Board of Review has reported <br /> for several years as this program does not allow new applicants into this program <br /> therefore it is not considered to be fair and equitable. It is our understanding when <br /> the County Council approved the 3% CAP and the additional 20% homeowner <br /> exemption (up to $80,400) there was discussion to have this program completely <br /> repealed however it ended up being an "optional out" for those in the program. <br /> There are currently 483 parcels in this program. The impact to the real property tax <br /> revenue in tax year 2020 based on the current frozen non spec values would be <br /> 2 <br /> 1 <br />