HomeMy WebLinkAboutBIL 163 Draft 01 2024-2026,IV OF
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COUNTY OF HAWAI`I STATE OF HAWAI`I
art OF.N',I
BILL NO. 163
ORDINANCE NO.
AN ORDINANCE AMENDING CHAPTER 19, ARTICLE 8, OF THE HAWAI`I
COUNTY CODE 1983 (2016 EDITION, AS AMENDED), RELATING TO REAL
PROPERTY TAXES.
BE IT ORDAINED BY THE COUNCIL OF THE COUNTY OF HAWAPI:
SECTION 1. Chapter 19, article 8, of the Hawaii County Code 1983 (2016 Edition, as
amended) is amended by adding a division to be appropriately inserted and to read as follows:
"Division . `Aina Kupuna Dedication.
Section 19- `Aina kupuna dedication; definitions
For the purposes of this division:
"Agriculture" means the production and cultivation of plant and animal life
for food, fiber, or raw materials for processed products, including but not limited
to, forestry, aquaculture, beekeeping, grazing, dairying, agricultural tourism farm
stays, roadside stands for the sale of agricultural products grown on the same
property, the growing of fruits, vegetables, and flowers, and accompanying services
and facilities.
"Commercial purposes" includes:
(1) The production, processing, manufacturing, warehousing, distribution
sale, or offer for sale of goods; and
(2) Residential rental uses for a term less than six months.
This definition does not include agriculture.
"Descendant" means the same as defined in the Hawaii Revised Statutes.
section 560:1-201.
Section 19- . `Aina kupuna dedication; establishment, eligibili
(a) There is established a special land reserve to enable the owner of a parcel of land to
dedicate it as `aina kupuna for a dedication period of ten years, during which time
the property is:
(1) Subject to the minimum tax; and
(2) Exempt from penalties or interest due to delinquency, including any incurred
during the two tax years immediately preceding dedication as `aina kupuna
(b) A propert is is eligible for dedication as `aina kupuna, if.
(1) The property is not larger than twentyares;
(2) The property is owned in fee simple, whether in whole in partor held in
trust, bv.
(A) One or more descendants of a person who owned the propert at t any
time prior to January 1, 1926; or
(B)Aprivately held corporation, limited liability company, or other entity in
which:
(i) More than fifty percent of the ownership interest is owned by one
or more descendants of a person who owned the propeLty at any
time prior to January 1, 1926; and
GO Stock is not owned by, sold to, or offered for sale to the public,
(3) The total amount of real property taxes assessed on the property for the ten tax
years immediately preceding_ a petition for dedication as `aina kupuna is more
than $10,000;
(4) The owner of the property does not own an other ther property dedicated as `aina
kupuna; and
(5) At least one owner or trustee or member of the board of the directors on
behalf of an owner, as the case may be, resides within the County_
Section 19- . `Aina kupuna dedication; conditions, termination
(a) With respect to a property dedicated as `aina kupuna, the following are prohibited:
(1) Conveyance of the property to any person other than another descendant of a
person who owned the property at any time prior to January 1, 1926;
(2) Use of the property for commercial purposes beyond thirty days after a
warning notice has been issued to the owner by the director or other later date
as the director may specify in the notice, and
(3) Any other action that results in the property ein nglonger eligible for the
dedication.
(b) Failure to comply with the prohibitions set forth in subsection (a) shall terminate the
dedication retroactive to the date of the initial dedication or, if applicable, the date
of the most recent renewal; in which case all differences in the amount of taxes that
were paid and those that would have otherwise been due from assessment, absent
the dedication, will be due and payable with a ten percent penalty from the
respective dates that these payments would have been due.
(c) The additional taxes and penalties, due and owing as a result of a termination of the
dedication will be a paramount lien upon the property as provided in this chapter.
Section 19- `Aina kupuna dedication; petition process.
(a) No later than September 1 immediately preceding the first tax vear in which the
dedication is to be applied, any owner who desires to dedicate real property as `aina
kupuna shall petition the director, in a form prescribed by the director, including
(1) A signed acknowledgement of and agreement to comply with all restrictions,
conditions, and provisions applicable to the dedication; and
Sufficient information or documentation to establish eli ig bili , for the
dedication.
(b) The director may require the petitioner to provide, at the petitioners' expense,
supplemental or additional information or documentation as may be necessar�to
verify ownership of the property, descendancy, or other eligibility under this
division, including, but not limited to deeds, court orders, wills, trusts, birth
certificates, death certificatesgenealogical verification by the Office of Hawaiian
Affairs, and other legally valid records
(c) Upon determination that the petitioner and property are eligible for dedication under
this division, the director shall declare the property to be dedicated as `aina ku una
and notify the petitioner thereof. The petitioner shall at the petitioner's expense,
record the dedication with the State bureau of conveyances or land courtas
applicable. The director shall prescribe the form of the dedication to be recorded
(d) Upon determination the petitioner or the property is not eligible for dedication as
`aina kupuna the director shall notify the petitioner no later than October 15
immediately following when the petition was made The petitioner maappeal the
determination as in the case of an appeal from an assessment
Section 19- `Aina kupuna dedication; renewal
(a) If an owner fails or declines to renew the dedication by September 1 of the final tax
year of the dedication period:
(1) The dedication will terminate at the end of the final tax year; and
(2) The director shall thereafter tax the property as otherwise provided in this
chapter.
(b) No later than March 1 immediately preceding the final tax year of the dedication
period, the director shall notify the owner, by mail of the provisions of subsection
(a) and the form in which the renewal must be made."
SECTION 2. New material is underscored. In printing this ordinance, the underscoring
need not be included.
SECTION 3. Severability. If any provision of this ordinance, or the application thereof
to any person or circumstance, is held invalid, the invalidity does not affect other provisions or
applications of the ordinance which can be given effect without the invalid provision or
application, and to this end the provisions of this ordinance are severable.
SECTION 4. This ordinance shall take effect upon its approval.
Hawaii
Date of Introduction:
Date of I st Reading:
Date of 2nd Reading:
Effective Date:
REFERENCE Comm. 909
INTRODUCED BY:
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L MEMBER, COUNTY OF HAWAI`I