Chapter 31 Enterprise Zone Program

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ENTERPRISE ZONE PROGRAM § 31-1 CHAPTER 31 ENTERPRISE ZONE PROGRAM Section 31-1. Purpose. The council finds that the State of Hawaii, through chapter 209E, Hawaii Revised Statutes, and chapter 6 of title 15, Hawaii Administrative Rules, has established procedures for the designation of enterprise zones for the purpose of stimulating business and industrial growth. Pursuant to said chapter and rules, qualified businesses in enterprise zones shall be entitled to the following State incentives: a seven-year exemption from general excise taxes on gross proceeds from all business conducted within an enterprise zone; an eighty percent income tax abatement the first year, decreasing ten percent each year thereafter over the next six years; and an income tax credit in an amount equal to eighty percent of the unemployment taxes paid during the first year, decreasing ten percent each year thereafter over the next six years. The council further finds that the County may nominate up to six enterprise zones for designation by the governor. Following designation of the nominated enterprise zone or zones, the State will accept applications from qualified businesses interested in participating in the enterprise zone program. The purpose of this chapter is to set forth County procedures for the nomination, designation, amendment, provision of County incentives, and other requirements for enterprise zones. (1994, ord 94-8, sec 1.) Section 31-2. Definitions. Unless it is plainly evident from the context that a different meaning is intended, words and phrases used in this chapter are defined as follows: "Council" means the council of the County of Hawai`i. "DBEDT" means the department of business, economic development and tourism, State of Hawaii. "Qualified business" means any corporation, partnership, or sole proprietorship authorized to do business in the State which is: (1) Subject to the State corporate or individual income tax under chapter 235, Hawai`i Revised Statutes; the public service company tax under chapter 239, Hawai`i Revised Statutes; or the bank and financial corporation tax under chapter 241, Hawai`i Revised Statutes; (2) Engaged in manufacturing, the wholesale sale of tangible personal property, or a service business or calling; (3) Qualified under section 209E, Hawaii Revised Statutes. "Service business or calling" means any corporation, partnership, or sole proprietorship that acts upon or processes tangible personal property, such as cleaning, repair and maintenance, and does not mean activities which are not performed upon tangible personal property. (1994, ord 94-8, sec 1.) 31-1