HomeMy WebLinkAboutCOM 0569.000 2002-2004 vv or
Harry Kim ~j~: William Takaba
Mayor Director
Nancy E. Crawford
r•" y+~ Depury Director
~}~•Y~•M~,+
County of Hawaii
Finance Department
25 Aupuni Sheet, Room ll8 • Hilq Hawaii 96720
(R08) 961-8234 • Fax (808) 961-87A8 o c i
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March 23, 2004 ~ N rv=-
s s;_,
Honorable James Arakaki, Chairperson and _ _
Members of the County Council ~ ~
Hawaii County Council ~ - _
25 Aupuni Street ~
Hilo, Hawaii 96720
Re: Proposed Fuel Tax Increase
The Public Works department and Mass Transit Agency propose a fuel tax increase of six (6)
cents per gallon. This fuel tax increase will be used for highway maintenance projects and
mass transit expansion. Specifically, four (4) cents per gallon will be designated for highway
improvements and two (2) cents per gallon for mass transit expansion.
The county's current fuel tax was set in 1988, and has not been increased for sixteen years.
The following is a summary of the county's fuel tax history. The relevant resolutions are
attached for your ease of reference.
Resolution No. Date of Ado tion Fuel Tax Rate Set A re ate Chan e
147 06-05-57 3.0 cents er allon
129 09-07-77 5.0 cents er allon +2.0 cents er allon
397-88 03-15-88 8.8 cents per gallon +3.8 cents per gallon
(diesel, gasoline); (diesel, gasoline);
6.8 cents per gallon +1.8 cents per gallon
(liquified petroleum (LPG)
gas "LPG")
effective until 03-15-98
192-97 01-16-98 Extended fuel tax rate
(specifies adoption until 06-30-08:
date of 03-15-98) 8.8 cents (diesel, gas);
6.8 cents LPG
241-98 05-06-98 LPG rate of 6.8 cents
per gallon was
corrected to 6.0 cents
er allon. ~ "q
R e ~ . / 73 - O Comm. No.~„~Yt.1.~--
Ref. To: v
Ref. Date
Honorable James Arakaki, Chairperson
Page 2
March 23, 2004
The enclosed resolution proposes an increase in the county fuel tax of:
Proposed Resolution 14.8 cents per gallon +6.0 cents per gallon
diesel, asoline
The fuel tax rates for liquified petroleum gas ("LPG") and other alternative fuels are set forth in
Section 243-4(c)(2), Hawaii Revised Statutes. All the fuel tax rates for alternative fuels are a
percentage of the fuel tax rate for diesel. These percentages may be amended by the
legislature, as has occurred in the past. Therefore, this proposed resolution refers to the
relevant statutory section but does not compute the fuel tax rates for LPG or other alternative
fuels.
If there are any questions, please do not hesitate to call the Department of Public Works and the
Mass Transit Agency.
illia Takaba
Director of Finance
APPROVED:
~~,e,~
Harry Kim
~ Mayor
Enc.
cc: Public Works, Mass Transit
Form B-52
7/18/91
DEPARTMENT OF FINANCE
REQUEST FOR COUNCIL ACTION
DEPARTMENT: Public Works DATE: 3-19-04
STAFF CONTACT: Bruce C. McClure /Tom Brown PHONE: 961-8324 / 961-8343
A. REQUEST:
The Department of Public Works and Mass Transit Agency propose a fuel tax increase of six (6)
cents per gallon. Four (4) cents per gallon will be used for highway maintenance projects and
two (2) cents per gallon for mass transit expansion.
B. BACKGROUND AND JUSTIFICATION (USE ADDITIONAL SHEETS AS NEEDED):
The County's current fuel tax was set in 1988, and has not been increased for sixteen years.
From 1997 to 2003, over 58 miles of roads (including drainage facilities) were dedicated to the
County with no additional personnel.
The Transit Agency's request is for increased bus service around the island, funding of Council
transportation grants, bus parts, and for use as a local match for equipment purchased with
Federal funds.
SIGNED: e- ~"~c ~-u-- DATE: 3123~~{G
' Department Head
r
~i
COUNTY OF HAWAII - TERRITORY OF HAWAII
RESOLUTION N0. 1~
/ ~ f,'(
WHEREAS, the provisions of Section 123-3.1 of the
Revised Laws of Hawaii 1955 enable. empower and authorize
each of the boards of supervisors of the city and county
of Honolulu and the counties of Maui, Kauai and Hawaii,
to determine the amount of the county fuel text and
WHEREAS, 1t is provided in said section that the
amount of the county fuel tax shall be determined by
resolution to be adopted by the respective boards of
supervisors in the manner provided by lax, relating to
resolutions involving the expenditure of public money,
and the amount so fixed maybe, per gallon, one or more
cents or a fraction of a cent or both, or zero; and
WHEREAS, the said section further provides that no
such resolution shall be adopted until the board of
supervisors shall conduct a public hearing on the amount
of the proposed tax after a notice of such hearing shall
~ have been published in a newspaper of general circulation
wi4hin the county at least twice during a period of
thirty days immediately preceding the date of such i
hearing; and
WHEREAS, on the 29th day of May, 1957. a public
hearing concerning the amount of the county fuel tax
to be fixed was regularly held by this board after due
notice within the period as aforesaid; and
WHEREAS, the existing county fuel tax imposed upon
the sale or use of gasoline and other liquid fuel has been
and is now set at one cent per gallon; and
WHEREAS, the board of supervisors of the county of
~~7
Hawaii. after consider±,~q,g;~~he_vaxi,pua._and numerous highway
tel. I;. ,ao.--.-....
needs and improvements to be made within the county of
Hawaii, believes that the county fuel tax should be
increased by an additional two cents per gallon, thereby
making the aggregate county of Hawaii fuel tax on
liquid fuel three cents per gallon.
NOW, THEREFORE, BE IT RBSOLVED by the board of
supervisors of the county of Hawaii that it does hereby
fix, determine and set the amount of the county of
Hawaii fuel tax to be levied and collected by the
tax commissioner of the Territory of Hawaii. in accordance
with law. at three cents per gallon, effective as of
July 1, 1957.
BE IT FURTHER RESOLVED that the county clerk be and
he is hereby instructed and directed to send a copy each
of this resolution to the Honorable Earl W. Fase, Tax
Commissioner of the Territory of Hawaii, and to the
Honorable Kam Tai Lee, Treasurer of the Territory of
Hawaii.
Dated at Hilo, Hawaii, this 5th day of June, 1957.
Introduced byo
~
Supervisor. Representa~ve
District.
Seconded by• Pip ~
Su visor,~~~ esentat ve
District.
~f i r
~ .
p~
! . c.
_...JU9_~,,_.~g5Z,_JUh! 1(' I~JSr
Si.,..
BOARD OF SUPERVISCftS Ayes Noes Ab. Ex
JAMES KEALOHA, Chairman %
THOMAS K. C(XX %
HELENS H. HALE X .
IKUO HISACiCA %
HIROSHI TANAKA g
Wm. THOMPSCN
x
R~ERT M. YAMADA %
lCe;~. Nu._..._.__~~~__-
Pile 24'0.-.
:~+~~:._-..~:;dl___.1957___aUM In 1957
County of Hawaii-State of Hawaii
Resolution No. 129
WHEREAS, the provisions of Section 243-5, Hawaii Revised
Statutes, enable, empower and authorize the Council of the
County of Hawaii to determine the amount of the county fuel
tax; and
WHEREAS, it is provided in said section that the amount
of the county fuel tax shall be determined by resolution to be
adopted by the Council in the manner provided 'by law, relating
to resolutions involving the expenditure of public money, and
the amount so fixed may ~b e, per gallon, one or~more cents or
a fraction of a cent or 'both, or zero; and
WHEREAS, the said section further provides that no such
resolution shall be adopted until the Council shall conduct
a public hearing on the amount of the proposed tax after a
notice of such hearing shall have been published in a newspaper
of general circulation within the county at least twice during
a period of thirty days immediately preceding the date of such
hearing; and
WHEREAS, the existing county fuel tax imposed upon the
sale or use of gasoline and other liquid fuel has been and is
now set at three cents per gallon by Resolution No. 147 (1957);
and
WHEREAS, the Council, after considering the various and
numerous highway needs and improvements to be made within the
county of Hawaii, believes that the county fuel tax should be
increased by an additional two cents per gallon, thereby
making the aggregate county of Hawaii fuel tax on liquid fuel
five cents per gallon,
' NOW, THEREFORE, BE IT RESOLVED by the Council of the
County of Hawaii that it does hereby fix, determine and set the
amount of the county of Hawaii fuel tax to be levied and
collected by the Department of Taxation of the State of Hawaii,
in accordance with law, at five cents per:gallon, effective at the
earliest possible date as provided in Section 243-5, HRS.
BE IT FURTHER RESOLVED that if any provisions of this
resolution or the application thereof to any person or
circumstances is held invalid, such invalidity shall not affect
other provisions or applications of this resolution which can
be given effect without the invalid provision or application,
and to this end the provisions of this resolution are declared
to 'be severable; and
BE IT FURTHER RESOLVED that the county clerk be and he
is hereby instructed and directed to send a copy of this
resolution to Gordon Y. H. Wong, State Director of Taxation,
and Eileen R. Anderson, State Director of Finance.
Dated this 7th day of September 1877
INTRODUCED BY:
~ ~
Councilman, CouaYy o Hawaii
ROLL CALL VOTE
COUNTY COUNCIL Ares NOES ASE
County of Hawaii Dahlberg X
Hilo, Hawaii Domingo X
FuIII X
I hereby <ertily Ihot the foregoing RESOLUTION was by the vote indicated fo Garcia X
the right hereol adopted by the COUNCIL of the County of Hawaii on Kawahara _
September 7, 1977 I_aI x
Sameshima
X
ATTEST: Yamashlro X
/n~ ~ q Chr.Tajlri X
(qc. 'g 4XC~~Ss~y - ~ Rclc,c~a ~-~39 Fc-17
R.B. LEGASPI HARVEY
COUNTY CLERK CHAIRMAN 6 PRESIDING OFFICER ~ Mee. No.
129
RESOLUTION NO
• CC". Ei~S~"~o C~s t'-IAt~~n~i@I S r ATE OF HAVIlAiI
R[ui3Lt1TIQN No. 397 8$
(Draft 3)
WHEP.EAS, the provisions of Section 243-5, Hawaii Revised
Statutes, er.•,.ble, emr.otiver, and authorize the Council of the County
of Hac:aii to determine the amount of the County fuel tax; and
WHEREAS, it is provided in said section that the amount of the
County fuel tax. shall be determined by resolution to be adopted by
the Council in the manner provided by law, relating to resolutions
involving the expenditure of public money, and the amount so fixed
may be, per gallon, ot:e or more cents or a fraction of a cent or
both, or zero; and
• WHEREAS, the said section further provides that no such
resolution shall be adopted until the Council shall conduct a public
hearing on the amount of the proposed tax after a notice of such
hearing shall have been published in a netiaspaper of general
circulation within the County at least twice during a period of
thirty days immediately preceding tkie date of such hearing; and
WHEREAS, the existing County fuel tax imposed upon the sale or
use of gasoline and other liquid fuel had been set ten years ago at
5 cents per gallon by Resolution No. 129 (1977); and
WHEREAS, the Council, after considering the various and numerous
highway needs and improvements to be made within the County of
Hawaii, believes that the County fuel tax should be increased by an
•
• additional 3.6 cents per gallon, thereby making the aggregate County
of Hawaii fuel tax for dies~i on-highway, gasoline, and all others,
8.8 cents per gallon and for LPG on-highway, 6.8 cents per gallon;
and
WHEREAS, it is anticipated that the increase in the County fuel
tax will generate a projected $1.5 million increase in highway fund
revenues annually; and
WHEREAS, it is the intent of the Council that expenditures of
all revenues generated by the fuel tar, increase be based upon the
apportionment formula developed by the Department of Public Works
and be used in accordance with highway improvement projects
incorporated in Exhibit A, herein attached.
• NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE COUNTY OF
HAWAII:
1. That it does hereby fix, determine and set the amount of the
County of Hawaii fuel tax to be levied and collected by the
department of taxation of the State of Hawaii, in accordance with
law, at 8.8 cents for diesel on highway, gasoline on-highway and
others and 6.8 cents for LPG on-highway.
2. That any and all increases in highway fund revenues
generated by the fuel tax increase shall be expended for highway
improvements as delineated in Exhibit A, herein attached.
3. That said expenditures shall also be in accordance with a
district apportionment formula based upon a percentage derived frcm
each district's $ vehicle weight tax and ~ road miles.
• 4. That said apportionment Formula shall be updated bi-annually.
• BE IT FURTHER RESOLVED that this resolution shall take effect in
accordance with provisic~s incorporated in Section 243-5, Hawa:~
Revised Statutes and shall continue in effect for ten years.
BE IT FURTHER RESOLVED that if any provisions of this resolution
or the application thereof to any person or circumstances is held
invalid, such invalidity shall not affect other provisions or
applications of this resolution which can be given effect without
the invalid provision or application, and to this end the provisions
of this resolution are declared to be severable.
BE IT FURTHER RESOLVED that the County Clerk be and he is hereby
instructed and directed to send a copy of this resolution to the
State Director of Taxation and State Director of Finance.
Dated at Hilo, Hawaii, this 15th day of March 1988.
•
RCDUCED BY:
COUNCIL MEMEER, COUNTY OF HAWAII
COUNTI' COUNCIL ROLL CALL VOTE
County of Hawaii -
Hilo, Hawaii APES NOES ABS E\
DAHLBERG
DE LU7_
I hereby certify that the foregoing RESOLUTION was by DO\IINGO
the vote indicated to the right hereoCndopted by the COUNCIL GREENIvELL
of the County of Hawaii on March 15, 1988
JITCII:IRU-INOUI'F. X
KOF:U131"v X
•.TTEST: IJ11 X
SCHi;TTF: X
Y;~A1.4SH11?O
/r 5 4 0 0
Rcferrncc
~G~~9. ~~~ty~,.~„ i 88 ( Dr, f t 3
RESOLLTION NO.
COL'~"I`l' C~.EI?'ri ~:II:~iItV:1.' S I'RI~~~1AG OFPICF.R
I--v
COUNTY OF HAWAII STATE OF EiAWAII
RESOLUTION; fro. Z 9 2 S ~
(DP.AFT 3 )
RL-SOLUTION TO EXTEND THE SPECIAL FUEL TAX PROGRAM.
WHEREAS, the provisions of Section 243-5, Hawaii Revised Statutes, enable, empower,
and authorize the Council of the County of Hawaii to determine the amount of the county fuel
tax; and
WHEREAS, it is provided in said section that the amount of the county fuel tax shall be
determined by resolution to be adopted by the Council in the manner provided by law, relating to
resolutions involving the expenditure of public money, and the amount so fixed may be, per
gallon, one or more cents or a fraction of a cent or both, or zero; and
• \6'IIEREAS, the said section further provides [hat no such resolution shall be adopted
until the Council shall conduct a public hearing on the amount of the proposed tax afrer a notice
of such hearing shall have been published in a newspaper of general circulation within the county
at least twice during a period of thirty days immediately preceding the date of such hearing; and
WHEREAS, the existing county fuel tax imposed upon the sale or use of gasoline and
other liquid fuel had been set almost ten years ago at 8.8 cents per gallon for diesel on-highway
and gasoline and 6.8 cents per gallon for LPG on-highway by Resolution 397-88; and
WHEREAS, the Council, afrer considering the various and numerous highway needs and
improvements to be made within the County of Hawaii, believes that the county fuel tax should
be extended until June 30, 2008; and
•
Cc,' ~UM
Nwy
WHEREAS, it is anticipated that the county fuel tax will generate a projected
• $2.5 million in highway fund revenues annually; and
WHEREAS, it is the intent of the Council that expenditures of all revenues generated by
the fuel tax be based upon the apportionment formula developed by the Department of Public
Works and be used in accordance with highway improvement projects as appropriated.
NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE COUNTY OF
HAWAII:
I. That it does hereby fix, determine and set the amount of the County of Hawaii
fuel tax to be levied and collected by the Department of Taxation of the State of Hawaii, in
accordance with law, at 8.8 cents for diesel on-highway, gasoline on-highway and others and
6.8 cents for LPG on-highway until June 30, 2008.
• 2. That any and all increase in highway fund revenues generated by the fuel tax
increase shall be expended for highway improvements as appropriated.
BE IT FURTHER RESOLVED that this resolution shall take effect in accordance with
provisions incorporated in Section 243-5, Hawaii Revised Statutes, and for the purposes of that
Section, the adoption date shall be March 15, 1998 and shall continue in effect until
June 30, 2008.
BE IT FURTHER RESOLVED that if any provisions of this resolution or the application
thereof to any person or circumstances is held invalid, such invalidity shall not affect other
provisions or applications of this resolution which can be given effect without the invalid
provision or application, and to this end the provisions of this resolution are declared to be
severable.
•
BE IT FURTHER RESOLVED that the County Clerk be and he is hereby instructed and
• directed to send a copy of this resolution to the State Director of Taxation and State Director of
Finance.
DATED: Hilo, Hawaii, January 16, 1998
INTRODUCED BY:
COUNCIL MEMBER, CO ' Y OF HAWAII
a:\dpw\fueltax.res
•
COUNTY COUNCIL ROLL CALL VOTE
County of Hawaii AYES NOES ABS EX
Hilo, Hawaii wxnxaxl X
cxur+c X
[ hcrehy certify that the foregoing RF.SOLiJTION was by the LE[THEanTOOD X
vote indicated to the right hereof adopted by the COUNCIL of the ~Y X
CouotyofIIawaiioo January 16, 1998
REYNOLDS X
ATTEST: snNT.aNCELO X
SMITH X
/ TYLER X
• 1'AL:ONG X
7 2 0 0
Reference f _ 59 S i(1~fr~~ pry
COUNTY CLERK CHAIRMAN & PRESm~IG OFFICER RESOLUTION NO. 1 J ~ ,7 ( ~ DRAFT 3 )
. w
COUNTY OF H"AWAIT STATE OF HAWAII
- °r`
RES01_UTION N0. 241 9g
RESOLUTION AMENDING RESOLUTION N0. 192-97 RELATING TO THE
SPECIAL FUEL TAX PROGRAM.
WHEREAS, Resolution No. 192-97 proposed to fix, determine, and set the amount
of County of Hawaii fuel tax to be levied and collected by the Department of Taxation of
the State of Hawaii pursuant.to Section 243-5, Hawaii Revised Statutes; and
WHEREAS, in accordance with said section, the Council, following two public
heazings, adopted Resolution No. 192-97 on January 21, 1998; and
WHEREAS, Resolution~No. 192-97 set the fuel tax to be imposed on the sale or
use of gasoline and other liquid fuel at 8.8 cents per gallon for diesel on-highway and
gasoline at 6.8 cents per gallon for liquefied petroleum (LPG) on-highway until June 30,
2008; and
WHEREAS, accord}fig to;Section 243-4(c)(2), Hawaii Revised Statutes, the rate
for LPG should be equal to two-thirds of the applicable diesel oil rate, rounded to the
neazest cent; therefore, acca5Ti7inp-to the following formula, the rate for LPG is limited to 6
cents per gallon (8.8 cents~2%3:-=5:8666 = 6).
NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE
COUNTY OF HAWAII that the LPG rate fixed, determined and set in Resolution No.
192-97 shall be amended from 6.8 cents to 6 cents per gallon.
BE IT FURTHER RESOLVED that this resolution shall take effect in accordance
with provisions incorporated in Section 243-5, Hawaii Revised Statutes, and shall continue
.r~-in effect until June 30, 2008.
• BE IT FURTHER RESOLVED that if any provisions of this resolution or the
-'::=application thereof to any person or circumstances is held invalid, such invalidity shall not
=affect other provisions or applicationsof this resolution which can be given effect without
'"the invalid provision or applicatiota; and to this end the provisions of this resolution aze
declared to be severable.
1
cam; H D ri
FINALLY, BE IT FURTHER RESOLVED that the County Clerk transmit copies
of this resolution to Chief Engineer Donna Kiyosaki, Finance Director Harry Takahashi,
and Ray Kamikawa, State Director of Taxation.
Dated at Hilo, Hawaii this 6th day of Mav , 1998 ,
INTRODUCED BY:
COUNCIL MBER, O OF HAWAII
COUNTY COUNCII, ROLL CALL VOTE
Couuty of Hawaii AYES NOES ABS EX
Hilo, Hawaii wRAtcwta X
CHUNG
I hereby certify that the fore~sig RESOLUTION was by the LEITFIEAI170DD 7{
vote iedicated to the right hereof aioptM Dy the COUNCII, of the RAy 7{
County of Ha~raii oo May 6, 1998
RErnot,ns X
SANTANGEI.O
ATTEST:
snaTS X
TYLER }t
. YAGONG X
C)
Reference C- F -221
COUNTY CLERK CHAIRMAN & PRESIDIIVG OFFICER RESOLUTION NO. 241 9 H