COM 0706.000 2008-2010 - Laserfiche WebLink

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Hawai`i State Association of Counties Counties of Kauai, Maui, Hawai`i and City and County of Honolulu RESOLUTION URGING THE GOVERNOR AND THE STATE LEGISLATURE TO MAINTAIN THE COUNTIES' SHARE OF THE TRANSIENT ACCOMMODATIONS TAX WHEREAS, the transient accommodations tax is a tax levied by the state on the proceeds derived from furnishing transient accommodations; and WHEREAS, in the 1990 legislative session, the Hawaii state legislature enacted Act 185 which gave the counties a share of the transient accommodations tax; and WHEREAS, according to Conference Committee Report 207, the purpose of Act 185 was to provide a more equitable method of sharing state revenues with the counties rather than continuing with the system existing at the time whereby the counties requested financial assistance through grants in aid from the state; and WHEREAS, in Conference Committee Report 207, it was acknowledged that many of the burdens imposed by tourism fall on the counties including the costs of providing police and fire protection, maintaining county parks, beaches, water systems, roads, sewer systems and other tourism related infrastructure; and WHEREAS, the county share of the tax also provides more stability to county finances and enables improved budgeting and planning; and WHEREAS, 44 8% of the total transient accommodations tax collected by the state is distributed to the counties and allocated as follows: and Kauai County Hawaii County City and County of Honolulu Maui County WHEREAS, on Kauai the transient accommodations tax accounts for approximately 7 8% of Kauai's general fund budget, on Hawaii the transient accommodations tax accounts for approximately 5.5% of Hawaii County's general fund budget, on Oahu the transient accommodations tax accounts for approximately 3.2% of Honolulu's general fund budget, and on Maui the transient accommodations tax accounts for approximately 3.9% of Maui's general fund budget, and OCS/010410/11 36 /HM 1 14.5% 18.6% 44.1% 22.8%