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EXHIBIT B <br /> JUSTIFICATION SHEET <br /> PROPOSER: Hawai`i State Association of Counties <br /> TITLE: RELATING TO INCREASED GALLONAGE TAX ON LIQUOR. <br /> PURPOSE: To increase gallonage tax on liquor by 30%, collect and transfer this <br /> additional revenue to the respective counties, and partially reimburse <br /> counties for cost of handling crashes and crash fatalities involving driving <br /> under the influence of an intoxicant. <br /> MEANS: Amend HRS Chapter 244D-4 to increase the gallonage tax on liquor by <br /> 30%. <br /> JUSTIFICATION: The high rate of crashes and crash fatalities involving driving under the <br /> influence of an intoxicant(alcohol), and the cost of resolving the crash and <br /> fatalities falls on the counties which justifies an increase in gallonage tax <br /> for liquor. Gallonage tax on liquor has not increased since 1998 while the <br /> Consumer Price Index has increased more than 35% in the same period of <br /> time. Resolving the crash involves police, fire, EMS, traffic division to <br /> clear the wreckage, and prosecution of the case in each county. These <br /> costs could be partially covered by an increase in gallonage tax for liquor. <br /> 3 <br />