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HomeMy WebLinkAboutREP FC 188 2024/08/21 (2022-2024)REPORT OF THE COMMITTEE ON FINANCE DATE: August 21, 2024 PLACE: Council Chambers Kailua-Kona, Hawaii TIME: 9:02 a.m. Council Chair and Members Hawaii County Council Hilo, Hawaii 96720 Re: Comm. No. 968/Bill No. 189 Your Committee on Finance, to which was referred Bill No. 189, reports as follows: Bill No. 189, transmitted by Committee Members Heather Kimball and Michelle Galimba via Communication No. 968, dated July 31, 2024, amends Chapter 19, Article 1, Section 19-2, Article 7, Section 19-53, and Article 8, Section 19-61, of the Hawaii County Code 1983 (2016 Edition, as amended), relating to Real Property Taxes. This bill amends definitions for "Community food sustainability use" and "Diversified agriculture", allows for properties under the Community Food Sustainability Use Assessment and Short -Term Commercial Agricultural Use Dedication programs to be eligible for the Homeowner tax classification if the property is used as the owner's primary residence, and removes the limit of three consecutive, three-year terms for dedication in the Short -Term Commercial Agricultural Use program. Committee Member Heather Kimball provided background on this measure explaining that it reflects some of the recommendations and comments received by the public at its July 18, 2024 meeting. Ms. Kimball stated that one of the amendments is the addition of pasture usage to its Community Food Sustainability Use and suggested that these individuals apply for the short-term or long-term program as it will better benefit them. Committee Member Holeka Goro Inaba suggested reviewing the financial part of the Community Food Sustainability Use specifically addressing individuals who do not sell but donate their produce to local nonprofits, indicating that individuals who don't profit from their produce may not qualify for these tax benefits. Ms. Kimball replied that this was another area of misinformation. She stated that those individuals still qualify, but there will need to be some accounting to prove that they provide these items to nonprofits. Committee Member Rebecca Villegas commented on the dynamic between the current western land management tax structure and the local families that have maintained their lands for generations and commended Ms. Kimball and Ms. Galimba for putting this legislation forward. Ms. Galimba thanked Ms.Villegas for her comments and stated that the Real Property Tax office has multiple programs that could benefit the community and suggested that everyone look into these programs. FC Report No. 188 FC-188 Page 2 August 21, 2024 Your Committee on Finance is in accord with the purpose and intent of Bill No. 189, and recommends its passage on first reading. 1kh AYES NOES ABS EX EVANS x GALIMBA x INABA x KAGIWADA x KANEALI`I-KLEINFELDER x KIERKIEW ICZ x KIMBALL x LEE LOY x VILLEGAS x Respectfully submitted, COMMITTEE ON FINANCE FC REPORT NO.: 188 ADOPTED: SE�2024