HomeMy WebLinkAboutCOM 0217.010 2022-2024 P/Council
P5i(I u3
COMM.217
From: Donald Rudny
Sent: Tuesday,July 04, 2023 6:52 AM
To: Kimball, Heather; Villegas, Rebecca; Inaba, Holeka; Galimba, Michelle M.; 6ggiwa59,
Jennifer; Kanealii-Kleinfelder, Matt Lee Loy, Sue; Evans, Cynthia F.W.; KierWewic
Ashley; Council Testimony ,
Cc: Miura, Lisa; Roth, Mitch D •
Subject: Bills 43 and 44 (43-Support, 44-Opposed) '•-''t c
Aloha Honorable Council Members,
+s�
I wish to testify regarding both bills 43 and 44. I support Bill 43, but strongly oppose Bill 44.
For the past ten years or more, I have written numerous emails and letters to the Mayor and Council members regarding the unfair
taxation of property in the County. I even had a meeting with former Mayor Kim about my concerns. I received almost no response
from anyone,including Mayor Kim. The unfairness is rampant in the County as wealthy property owners, many who reside on the
mainland,invest in large tracts of property and apply for the non-dedicated use program to reduce their real estate taxes. Many
have no visible ag use,while some may put a horse or cow on the property,without any intent of a real farm or ranch operation. I
call them fake farms. I personally had an exemption shortly after we purchased our five acre parcel in Pepeekeo. My taxes were
$1800. A lady at the County tax office told me that if I had it fenced and had livestock on the property,I would get an Ag exemption
with lower taxes. I found someone who needed a place for his horse. He agreed to fence in the property and keep the horse on it
with no cost to me. My taxes went down to the minimum at the time of$100. Once we built our house several years later,we
realized what was going on and switched to a homeowner's classification.
A number of years ago, I met with Heather Kimball before she was a Council Member to discuss my concerns. She promised that if
she were elected she would try to do something. I believe Bills 43 and 44 are the result of her efforts as a newly elected Council
Member. I did at one point meet with Lisa Miura and her staff to discuss my concerns. Heather was also present. Lisa agree with
me that there were serious problems with the present system. My recollection is that she wanted the non-dedicated use program
ended. Seemed to make sense to me. I showed her the one cow farm pictured below. She said she denied that exemption, but was
overruled on appeal. I have great admiration for Lisa and the job she does for the County. She always responds to my questions and
provides logical explanations to answer them. I sense that she is limited in correcting this situation with the present system in place.
Bill 43 does a good job of requiring proof of a legitimate farm operation. The establishment of the shorter three year dedicated use
enables many to get an exemption even if they are unsure of a long term operation. It truly eliminates the need for the non-
dedicated use program.
My primary objection to Bill 44 is that it creates yet another mechanism for abuse. The Community Food Sustainability Use
Assessment may sound good, but will be use as another means to fraudulently lower taxes on more valuable properties. Based on
what's written in Bill 44, I believe I even qualify for the exemption. I have an orchard and all I need to do is come up with a farm
plan. I also have more than$10k in farm equipment. I regularly donate all or most of my crop to the local community.With lychee
selling for$7 a pound, I probably meet the$1000 threshold just on that alone.
Bill 44 is again tying Lisa's hands as any denial she makes will likely generate an appeal. The requirements for the Community Food
Sustainability use are so vague,the appeals will likely be granted in most cases. Most people like myself who grow fruit or crops for
the community do so because we want to help our neighbors, especially the less fortunate. We don't do it to get a tax break. I can
assure you the wealthy landowners will use every resource at their disposal to get their taxes reduced using this loophole.They will
be the ones who apply for the Community Food Sustainability Use. If they don't get it,they will appeal. The new category will likely
generate far more work for Lisa's department as well.
I urge you to pass Bill 43 in it's present form and amend Bill 44 to simply end the non-dedicated use program. Remove the
Community Food Sustainability Use Assessment program. It's simply not needed.
Please keep in mind that any tax reductions given for properties based on false pretenses shifts the burden for those to -sin the
1 Comm.No_ '
10
Ref.To: MUM
1
Ref.Date !4I'alati'Iikt
rest of us,many of whom are in lower income brackets. I hear the term "equity" used recently in discussions on Bill 48. There is no
greater inequity in the County right now than our property tax policy. Here's a chance to right a wrong that has existed for many
years. The one cow farm is just one example. I can give you many more. The passing of Bill 43 and eliminating the NDA without
creating another loophole program will generate considerable new revenue for the County while creating a more equitable taxing
policy.
Mahalo for you timeand consideration.
Don
2
„Al .,� v+. C .
> ` l j.1 -4,.. .0 , .$1+ ,.11 •• •. kr*, •a..., 'Y • a ; or•
• ..°�'�I •
.• �., •
�4N.
.1•4.-,--., ?4.1. • {`. ,tf'1. ti !1 •r' ti,•• -
” *:..P.,v,.:4,-. ...' ...',. ,„ '... -. .,"t•'' e .. ''''t• '4.• ''' r IL, ••' ...': .:;;4 . ...:. -.' 11:?:1
•
' ' 1• ,R, 4'" i. f 3"'� A ', a e�'4`'4 ''- i. '�t. ' •• , .
( Ms >•• ? w •i r 1, `.. ! � •"ti tl. .•F .• '
,' t.\ • a C \ • lt".. a. 1 I t ;•:`,.i.s., -•fir tf^ ...
0d1 1 ij
Z.
1 •i` _-...,4.-::-..-,...,,,•,...;,,,„ ;-..„--.%‘-‘,,... '! • S--,...r,� ' 1 1yt �"�t %. Y • .13... ''•\.4.k y
•
y-w -
4., r. y• u.
' Y - t � tetE ` +
•
•
e #. - �� L ; � s S - t �— ; '
• � s_yxg $ r ; '` ,7j ••.
•r • ;wr'
1-.;.'1';'-'..'.-rAt . ' 1 x� ,I 1«' \l, vt, - n `, ._x.„•
+`+r~
wyr _£ • :, Ann 111F11
11111111 .
. 11111M
`���.
." . 11111111111 1
1111111111111111,.
s 111111111111■■
,`'
•
Tiktolit
;� t .
}
'
Or r
...CSr r` . •. ' *': a ,.
.
•
.
s
•
il
1r ���[;Y
t
e-e
' . te I- '•i _ �t ,a.e e . ..
4.411
` �f•,••JyFe�Tf,.. • J r y .lJ' y • .5../s+ • ',14 II'.
•
3
The picture depicts the one cow farm. They had the cow tied to that axle shaft embedded in the ground. He knocked over the
water bucket and you could tell he was really thirsty. No one was home and the gate was locked, so I called the humane society and
they took care of the problem. I checked and this property still gets the Ag exemption,saving about$5000 a year on their tax bill. I
don't think they even have the cow anymore.
Don Rudny
P.O. Box 106
Pepeekeo, HI 96783-0106
312-209-5870
4