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~®n Jac®bs 1 5-2?22 Popaa Street 808/965-0361 Pahoa, ~°III 96?78 email: donjC~aloha.net ®ecember 5, 2001 To: Chairman ,baron Chung and members of the ~Jawaii County Council Finance Committee. ~ ~rr~ Testimony on Bill 121, Draft 3 n~~.~____________.,~81,•,-,---...---~--~ I oppose Bull 121, Oraft 3, for several reasons. My testimony is in 3 parts and I will ask for questions from the committee after each part. PART 1 In a way, the Big Island is unique. Mack in the 50's and early 60's there was a land boom on the Big Island. Land was cheap There were little or no planning ordinances in effect at that time And the land sharks were out to make a fast buck. Many of them were kama'ainas from Oahu and the Big Island. Most of the "so called" developers just laid out paper subdivisions The extent of the infrastructure was in the form of a rough survey and poorly scratched out cinder roads Just enough to get the buyers out to see their future homesites. liens of thousands of lots were sold with low down payments and easy terms. No disclosures were required in Hawaii in those days. It didn't take long for many of these cinder roads to become overgrown and impassable. Lot owners began building homes and then these folks formed community associations to share the costs of improving and maintaining their private roads. The county did not and does not provide these services. Somewhere way back in time ~s I understand it ~ minimum tax was established to cover the cost of sending out the tax statements. Later the minimum tax was raised to $25 Presumably for the same reason Though 1 seriously doubt that it actually costs that much to send a statement. Please correct me if I am wrong. The proposed boost in the minimum tax to $100 is now being pushed as a means of making up for a real property tax revenue shortfall. That is wrong. $100 for vacant land is too much It's unfair It's discriminatory. It No, F`idc No. - - ~f. ~o: f. ~ 5 ~~1