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WHEREAS, prior to July 1, 2013, Hawai`i Revised Statutes, Section 237D-6.5,
<br /> subsection (b),paragraph (3), stated that 44.8 percent of the revenues collected from the TAT
<br /> shall be transferred to the four counties, and of that 44.8 percent, Hawai`i County shall receive
<br /> 18.6 percent (this section was also amended to establish a temporary cap of$93,000,000 for the
<br /> period of July 1, 2011 to June 30, 2015); and
<br /> WHEREAS, on June 21, 2013, the Governor signed into law Act 161, which removed
<br /> the temporary cap and its sunset date and replaced the counties' share of TAT revenues of 44.8
<br /> percent to a fixed amount of$93,000,000, of which 18.6 percent goes to Hawai`i County; and
<br /> WHEREAS, according to the Tax Research and Planning Office of the State of
<br /> Hawai`i, the TAT revenue collected for fiscal year 2012-2013 was $368,556,000 and the
<br /> estimated revenues for fiscal years 2013-2014 and 2014-2015 are $391,000,000 and
<br /> $412,000,000, respectively; and
<br /> WHEREAS, using the figures from the Tax Research and Planning Office of the State
<br /> of Hawai`i, the following chart illustrates the counties' lost revenues based on 44.8 percent of
<br /> the TAT revenues:
<br /> Fiscal Year TAT Revenues 44.8 Percent of Counties' Lost
<br /> TAT Revenues Revenues
<br /> (based on the
<br /> $93,000,000 cap)
<br /> 2012-2013 $368,556,000 $165,113,088 $72,113,088
<br /> 2013-2014 $391,000,000 (estimate) $175,168,000 $82,168,000
<br /> 2014-2015 $412,000,000 (estimate) $184,576,000 $91,576,000
<br /> ; and
<br /> WHEREAS, with Hawai`i County facing increased costs to provide vital services,
<br /> limiting our TAT revenues may necessitate curtailing and possibly eliminating services that
<br /> impact the health, safety, and welfare of our community; and
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