HomeMy WebLinkAboutBIL 289 Draft 01 1994-1996 -
C®ZJN~'~ O:F ~l.WAII
~IL,L NO. 289
OIZDIN~NC~ NO.
AN ORDINANCE AMENDING CHAPTER 19 OF THE HAWAII COUNTY CODE 1983 (1995
EDITION), RELATING TO REAL PROPERTY TAXATION.
BE IT ORDAINED BY THE COUNCIL OF THE COUNTY OF HAWAII:
SECTION 1. Chapter 19 of the Hawaii County Code 1983 (1995 edition) is amended as
follows:
"Chapter 19
REAL PROPERTY TAXES
Article 1. Administration.
Section 19-1. Purpose.
The purpose of this chapter is to implement the authority granted to the County to assess, impose and
collect real property tax based on an amendment to the State Constitution which was adopted on November 7,
1978, by the electorate. This chapter will provide for the administration, assessment, and collection of real property
tax, including exemptions therefrom, dedication of land, and appeals.
(1981, Ord. No. 613, sec. 1.)
Section 19-2. 19efinitions.
(a) Wherever used in this chapter:
(1) "County" means the County of Hawaii.
(2) "Director" means the director of finance of the County of Hawaii or his authorized
subordinate.
(3) "Property" or "real property" means and includes all land and appurtenances thereof and the
buildings, structures, fences, and improvements erected on or affixed to the same, and any fixture
which is erected on or affixed to such land, building, structures, fences, and improvements,
including all machinery and other mechanical or other allied equipment and the foundations
thereof, whose use thereof is necessary to the utility of such land, buildings, structures, fences,
and improvements, of whose removal therefrom cannot be accomplished without substantial
damage to such land, buildings, structures, fences, and improvements, excluding, however, any
growing crops.
"Dedicated lands" are lands which are restricted in their use for specified periods of time by
covenants executed between the landowners and the director of finance. Such action is
initiated by the landowner filing an a~lication Or aetition for land dedication to a sn
c~ ific
a=ricultural cateeorv under the provisions of the Hawaii County Code used upon
investigations bYvarious,government a eg
ncies~,such a dedication is allowed should the
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intended use st certain requirements. Landowners of ated lands are entitled to
special tax benefits during the.period of dedication.
"Market value" isthe-most ,probable sale. price of a propert~in terms of money in a competitive
and oven market. assuznl~g l~at the buyer and seller are actingaprudently and knowled-geabl;y,
allowing sufficient time for the salmi and assuming that the transaction is not affected by undue
stress.
(1981, Ord. No. 613, sec. 2.)
Section 19-3. Duties and responsibilities of the director.
(a) The director shall have the following duties and powers, in addition to any others prescribed or granted
by this chapter:
(1) Assessment: To assess, pursuant to law, all real property situated within the geographic boundary
of the County for taxation of real property and to make any other assessment by law required to
be made by the director;
(2) Collections: To be responsible for the collection of all taxes imposed by this chapter and for such
other duties as are provided bylaw;
(3) Construction of revenue laws: To construe the provisions of this chapter, the administration of
which is within the scope of the director's duties, whenever requested by any officer or employee
of the County, or by any taxpayer;
(4) Enforcement of penalties: To see that penalties are enforced when prescribed by this chapter (the
administration of which is within the scope of the director's duties) for disobedience or evading
of its provisions, and to see that complaint is made against persons violating any provisions of
this chapter; in the execution of these powers and duties, the director may call upon the
corporation counsel or prosecuting attorney, whose duties it shall be to assist in the institution
and conduct of all proceedings or prosecutions for penalties and forfeitures, liabilities and
punishments for violation of the provisions of this chapter in respect to the assessment and
taxation of real property;
(5) Forms: To prescribe forms to be used in or in connection with the provisions of this chapter
including forms to be used in the making of returns by taxpayers or in any other proceedings
connected with the provisions of this chapter and to change the same from time to time as deemed
necessary;
(6) Maps: The director shall provide for the County maps drawn to appropriate scale, showing all
parcels, blocks, lots, or other divisions of land based upon ownership, and their areas or
dimensions, numbered or otherwise designated in a systematic manner for convenience of
identification, valuation, and assessment. [The maps, as far as possible, shall show the names of
owners of each division of land, and shall be revised from time to time as ownerships change and
as further divisions of parcels occur. The director shall also maintain, as and when such
information is available, maps showing present use, zoning, and physical use capabilities of land
located within the County for the guidance of assessors and the information of various tax review
tribunals and the general public.]
The director shall charge fees for the use and other disposition of tracings of these
maps, including copies or prints made therefrom, by private persons or firms as provided for by
this chapter.
(7) Inspection, examination of records and property: The director shall have the authority to inspect
and examine the records and property of all public officers without charge, and to examine the
books and papers of account of any person for the purpose of enabling the director to obtain all
information that could in any manner aid him in discharging his duties under this chapter.
(8) Inspection, examination ofreal property: To inspect and examine the real property of any person
for the purpose of enabling the director to attain all information that could in any manner aid him
in discharging his duties under this chapter.
(9) Recommendations for legislation: To recommend to the mayor such amendments, changes or
modifications of the provisions of this ordinance or any applicable State statutes as may seem
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proper or nee ..y to remedy injustice or irregularity or b_ litate the assessment of property
under this chapter.
[(10) Report to mayor: To report to the mayor annually, and at such other times and in such manner as
the mayor may require, concerning the acts and doings and the administration of his department,
and such other matters of information concerning real property taxation as may be deemed of
general interest; the mayor shall transmit copies of such reports to the council within thirty days
of receipt.]
[(11)] 10 Rules and regulations: To promulgate such rules and regulations as he may deem proper and to
effectuate the purposes for which his department is constituted and to regulate matters of
procedure by or before him pursuant to the provisions of chapter 91, HRS.
[(12)] 11 [Compromises ] Settlem.,gnts: [With the approval of the corporation counsel to compromise
any claim arising under this chapter not exceeding $500, and if a claim exceeds $500, the
director shall obtain the approval of the council, the administration of which is within the
scope of his duties; and in any such case there shall be placed on file and in his department's
office a statement of (A) the amount of tax assessed, or proposed to be assessed, (B) the
amount of penalties and interest imposed or proposed to be assessed, (C) the amount of
penalties and interest imposed or which could have been imposed by law with respect to the
item (A), as computed by him, (D) the total amount of liability as determined by the terms of
the compromise, and the actual payments made thereon with the dates thereof and (E) the
reasons for the compromise.] The director shall have the authority to settle any ,appeal arising
under this chapter at not less than 80% of the patent in dispute or X1000, whichever is
er~,,.atera, provided that in all other cases the director will secure the prior approval of the
council.
[(13)] 12 Retroactivity of rulings: To prescribe the extent, if any, to which any ruling, regulation, or
construction of the provisions of this chapter shall be applied without retroactive effect.
[(14)] 13 Remission of delinquency penalties and interest: Except in cases of fraud or wilful violation of
the provisions of this chapter or wilful refusal to make a return setting forth the information
required by this chapter (but inclusion in a return of a claim of nonliability for the tax shall not
be deemed a refusal to make a return), he may remit any amount of penalties or interest added,
under this chapter, to any tax that is delinquent for not more than [ninety] one hundred ei h
days, in a case of excusable failure to file a return or pay a tax within the time required by this
chapter, or in a case of uncolleetibility of the whole amount due; and in any such case there shall
be placed on file in his office a statement showing the names of the person receiving such
remission, the principal amount of the tax, and the year or period involved.
[(15)] 14 Closing agreements: To enter into an agreement in writing with any taxpayer or other person
relating to the liability of such taxpayer or other person, under this chapter, the administration of
which is within the scope of his duties, in respect of any taxable period, or in respect of one or
more separate items affecting the liability for any taxable period; such agreement, signed by or
on behalf of the taxpayer or other person concerned, and by or on behalf of the County, shall be
final and conclusive, and except upon a showing of fraud or malfeasance, or misrepresentation
of a material fact, (A) the matters agreed upon shall not be reopened, and the agreement shall not
be modified, by any officer or employee of the County, and (B) in any suit, action or proceeding,
such agreement, or any deternunation, assessment, collection, payment, refund or credit made in
accordance therewith, shall not be annulled, modified, set aside or disregarded.
[(16)] 15 Other powers and duties: In addition to the powers and duties contained in this section, the powers
and duties contained in this chapter for levying, assessing, collecting, receiving, and enforcing
payments of the tax imposed hereunder, and otherwise relating thereto, shall be severally and
respectively conferred, granted, practiced, and exercised for levying, assessing, collecting,
and receiving and enforcing payment of the taxes imposed under the authority of this chapter.
(1981, Ord. No. 613, sec. 3.)
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Section 19-4. Oaths.
The director may administer all oaths or affirmations required to be taken or be administered under this
chapter.
(1981, Ord. No. 613, sec. 4.)
Section 19-5. Hearings and subpoenas.
The director may conduct any inquiry, investigation, or hearing, relating to any assessment, or the amount
of any tax, or the collection of any delinquent tax, including any inquiry or investigation into the financial
resources of any delinquent taxpayer or the collectibility of any delinquent tax. The director may administer oaths
and take testimony under oath relating to the matter of inquiry or investigation, and subpoena witnesses and
require the production of books, papers, documents, and records pertinent to such inquiry. If any person disobeys
such process, or, having appeared in obedience thereto, refuses to answer pertinent questions put to him by the
director or to produce any books, papers, documents or records, pursuant thereto, the director may apply to the
third circuit court setting forth such disobedience to process or refusal to answer, and such court or judge shall cite
such person to appear before such court or judge to answer such questions or to produce such books, papers,
documents, or records, and upon his refusal to do so commit such person to jail until he testifies but not for a
longer period than sixty days. Notwithstanding the serving of the term of commitment by any person, the director
may proceed in all respects as if the witness had not previously been called upon to testify. Witnesses (other than
the taxpayer or his or its officers, directors, agents and employees) shall be allowed their fees and mileage as in
cases in the circuit courts to be paid on vouchers of the County, from any moneys available for expenses of the
director.
(1982, Ord. No. 613, sec. 5.)
Section 19-6. Timely mailing treated as timely filing and paying.
(a) General Rule. Any report, claim, tax return, statement, or other document required or authorized to be filed
with or any payment made to the County which is:
(1) Transmitted through the United States mail, shall be deemed filed and received by the County on
the os ark date [shown by the post office cancellation marked] stamped upon the envelope or
other appropriate wrapper containing it.
(2) Mailed but not received by the County or where received and the [cancellation mark] os ark
date is illegible, erroneous, or omitted, shall be deemed filed and received on the date it was
mailed if the sender establishes by competent evidence that the report, claim, tax return,
statement, remittance, or other document was deposited in the United States mail on or before the
date due for filing; and incases of the nonreceipt of a report, tax return, statement, remittance, or
other document required by law to be filed, the sender files with the County a duplicate within
thirty days after written notification is given to the sender by the County of its nonreceipt of the
report, tax return, statement, remittance, or other document.
(b) Registered Mail, Certified Mail, Certificate of Mailing. If any report, claim, tax return, statement,
remittance, or other document is sent by United States registered mail, certified mail, or certificate of
mailing, a record authenticated by the United States Postal Service of the registration, certification, or
certificate shall be considered competent evidence that the report, claim, tax return, statement, remittance,
or other document was delivered to the director [of department] of finance, and the date of registration,
certification, or certificate shall be deemed the postmarked date.
(1981, Ord. No. 613, sec. 6.)
Section 19-7. Tax collection; general duties, powers of director.
The director shall collect all taxes under this chapter according to the assessments and shall be liable and
responsible for the full amount of the taxes assessed, unless he shall under oath account for the noncollection of
the same, or if he shall be released from accountability as provided in section 19-9. The corporation counsel shall
assist the director in the collection of all taxes under this chapter.
(1981, Ord. No. 613, sec. 7; Am. 1984, Ord. No. 84-10, sec. 2.)
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Section 19-8. District co. judges; misdemeanors and actions for ? .ollections.
Except as otherwise provided in this chapter, the district court judges for the third circuit court for the
State, as authorized in 231-12, HRS, shall have jurisdiction to try misdemeanors arising under this chapter and all
complaints for the violation of this chapter and to impose any of the penalties therein prescribed and shall also
have the jurisdiction to hear and determine all civil actions and proceedings for the collection and enforcement
of collection and payment of all taxes assessed thereunder, and all actions or judgments obtained in tax actions
and proceedings, notwithstanding the amount claimed.
(1981, Ord. No. 613, sec. 8.)
Section 19-9. Director; collection, records of delinquent taxes, uncollectible delinquent taxes.
The director shall be responsible for the collection and general administration of all delinquent taxes. He
shall duly and accurately account for all delinquent taxes collected.
The department of finance shall prepare and maintain a complete record, open to public inspection, of the
amounts of taxes assessed which have become delinquent and the name of the delinquent taxpayer in each case,
but it shall not be necessary to periodically compute on the records the amount of penalties and interest upon
delinquent taxes.
The department may from time to time prepare lists of all taxes delinquent which in its judgment are
uncollectible. Such taxes as the department finds to be uncollectible shall be entered in a special record and be
deleted from the other books kept by the department, and the department shall thereupon be released from any
further accountability for their collection; provided, that no account shall be so deleted until it shall have been
delinquent for at least two years. Any items so deleted may be transferred back to the delinquent tax roll if the
department finds that the alleged facts as previously presented to it were not true, or that such items are in fact
collectible.
(1981, Ord. No. 613, sec. 9; Am. 1984, Ord. No. 84-10, sec. 3.)
Section 19-10. Legal representative.
The corporation counsel or the prosecuting attorney shall assign one of his deputies as attorney and legal
advisor and representative of the director. The corporation counsel or the prosecuting attorney may proceed to
enforce payment of delinquent taxes by any means provided by law. Any legal proceeding may be instituted in
the name of the director or his deputy.
(1981, Ord. No. 613, sec. 10.)
Section 19-11. Abstracts of registered conveyances, copies of corporation exhibits, etc., furnished to
director.
The director may request abstract of titles. For the purpose of assisting the director in arriving at a correct
valuation of the property within each district, the registrar of conveyances, or any other agency so requested by
the department, shall furnish to the department, monthly, quarterly, or as otherwise as required by the department,
an abstract of the conveyances of, or other documents affecting title to, or assessment of, real property in each
district, which have been entered for record at the bureau of conveyances, executed, or filed, as the case maybe,
during the period covered by such abstract. The director of regulatory agencies shall each year furnish the
department as requested, copies of the annual corporation exhibits of any or all corporations owning real property
in any district or any information contained in such exhibits.
(1981, Ord. No. 613, sec. 11.)
Section 19-12. Returns, made when; form; open to public; failure to file.
Whenever the director finds that the filing of returns under this section is advisable for the making of
assessments and so orders, the director shall give, to the taxpayers during the month of December, of the year such
order is made, public notice (by publication thereof, in English, at least three times on different days during the
month, in a newspaper of general circulation in the County of Hawaii, published in the English language) requiring
such taxpayers to file with the director, on or before January 15 of the succeeding year, returns in the manner and
form required by this section. After such publication of notice, every person owning, or having possession, custody
or control of, real property whether entitled to exemption or not, shall during the month of January, file upon forms
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prescribed by the director and . .e manner required by such forms, a retui. maned as provided in section 19-13
setting forth the description and location of all real properly belonging to such person or of which he had
possession, custody or control on January 1, and setting forth the taxpayer's opinion of the [fair] market value
thereof as of January 1. It shall be sufficient to describe his real property by setting forth the location and a brief
description in sufficient detail to identify the real property.
Whenever the director shall determine that there are not sufficient evidences of value to form the basis
of a sound appraisal, for assessment purposes, of the value of the real property or real properties or portions
thereof, of any taxpayer it may, upon notice of not less than thirty days, require the taxpayer to file a return as
described in the foregoing paragraph.
All returns made under this section shall be open to inspection by the public, unless protected from
disclosure by the nl'ovisions of Sec. 92-F-14. HRS, and shall be admissible in evidence against the person making
the return, in any State court in any action wherein the value of the real property, or portion thereof, covered by
the return maybe in dispute.
Returns made under this section shall be taken into consideration by the director in making appraisals for
assessment purposes; the opinion of any taxpayer as to [fair] market value shall not be binding upon the director
but no taxpayer shall be deemed to be aggrieved by any assessment made to his property which is based upon the
opinion of value set forth in his return unless he shows lack of uniformity or inequality as set forth in section
19-93. The opinion of value shall constitute a rebuttable presumption that the [fair] market value of the real
property on the date of the return was not greater than the value stated in such return in any subsequent proceeding
brought to condemn the property or any part thereof for public purposes.
[Failure to file a return required under this section, shall render the taxpayer liable for payment of an added
tax as follows: Incase of failure to file any tax return required to be filed on a day described therefor (determined
with regard to any extension of time for filing), unless it is shown that the failure is due to reasonable cause and
not due to neglect, there shall be added to the amount required to be shown as tax on the return, five percent of the
amount of the tax if the failure is for not more than one month, with an additional five percent for each additional
month or fraction thereof during which the failure continues, not exceeding twenty-five percent in the aggregate.
For the purposes of this section, the amount of tax required to be shown on the return shall be reduced by the
amount of any part of a tax which was paid on or before the date prescribed for payment of the tax and by the
amount of any credit against the tax which may be claimed upon the return.]
(1981, Ord. No. 613, sec. 12.)
Section 19-13. Returns to be signed.
Every return required to be made for real property taxation purposes shall be signed by the person required
to make the return or by some duly authorized person in the taxpayers' behalf.
The director may require that, if any person or persons actually prepare or sign a return for another person,
such form of statement of such facts and of authority to sign such return as may be prescribed by the director shall
be signed by the person so preparing or signing the return, and the director may by regulation define the classes
of persons to whom this provision shall apply.
No oath shall be required upon any real property tax return.
(1981, Ord. No. 613, sec. 13.)
Section 19-14. Returns by fiduciaries.
Every executor, administrator, trustee, guardian, or other fiduciary shall make a return of the real property
represented by him in such capacity in the County in which returns shall be required to be made pursuant to the
provisions of this chapter.
(1981, Ord. No. 613, sec. 14.)
Section 19-15. Returns of corporations and co-partnerships.
The returns, statements or answers required by this chapter shall, in the case of a corporation, be made by
any officer thereof, or, in a case of a co-partnership, by any member thereof.
(1981, Ord. No. 613, sec. 15.)
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Section 19-16. Notices, h~ even.
Unless otherwise provided, every notice, the giving of which by the director is required or authorized, shall
be deemed to have been given on the date when the notice was mailed properly addressed to the addressee at his
last known address or place of business.
(1981, Ord. No. 613, sec. 16.)
Section 19-17. Federal or other tax off cials permitted to inspect returns; reciprocal provisions.
Notwithstanding the provisions of any law making it unlawful for any person, officer, or employee of the
County to make known information imparted by any tax return or permit any tax return to be seen or examined
by any person, it shall be lawful to permit a duly accredited tax official of the United States or of any state or
territory or the Multistate Tax Commission to inspect any tax return of any taxpayer, or to furnish to such official,
commission, or the authorized representative thereof an abstract of the return or supply him with information
concerning any item contained in the return or disclosed by the report of any investigation of the return or of the
subject matter of the return for tax purposes only. The Multistate Tax Commission may make such information
available to a duly accredited tax official of the United States or to a duly accredited tax official of any state or
territory, or the authorized representative thereof, for tax purposes only.
(1981, Ord. No. 613, sec. 17.)
Section 19-18. Records open to public.
A11 maps and records compiled, made, obtained, or received by the director or any of his subordinates shall
be public records, and in case of the death, removal, or resignation of any such officers, shall immediately pass
to the care and custody of their respective successors. The information and all maps and records connected with
the assessment and collection of taxes under this chapter shall, during business hours, be open to the inspection
of the public~aanl~ss protected for disclosure by the provisions of Sec. 92-F-14 of HRS.
(1981, Ord. No. 613, sec. 18.)
Section 19-19. Evidence, tax records as.
In respect of any tax imposed or assessed under this chapter, the administration of which is within the
scope ofthe director's duties and except as otherwise specifically provided in the law imposing the tax, the notices
of assessments, records of assessments, and lists or other records of payments and amounts unpaid prepared by
or under the authority of the director, or copies thereof, shall be prima facie proof of the assessment of the property
or person assessed, the amount due and unpaid, and the delinquency in payment and that all requirements of law
in relation thereto have been complied with.
(1981, Ord. No. 613, sec. 19.)
Section 19-20. Due date on Saturday, Sunday or holiday.
When the due date for any remittance or document required by this chapter falls on a Saturday, Sunday
or legal holiday, the remittance or document shall not be due until the next succeeding day which is not a Saturday,
Sunday or legal holiday.
(1981, Ord. No. 613, sec. 20.)
Section 19-21. Changes, etc., in assessment fasts.
Except as specifically provided in this chapter, no changes in, additions to or deductions from, the real
property tax assessments on the assessment lists prepared as provided in section 19-28 shall be made except to
add thereto properly or assessments which may have been omitted therefrom, or to deduct therefrom adjustments
on account of duplicate assessments and [clerical] de
a~rta~aental errors, such as, but not limited to, transposition
in figures, typographical errors and errors in calculation.
(1981, Ord. No. 613, sec. 21.)
Section 19-22. Adjustments and refunds.
(a) This subsection shall apply to taxes assessed and collected under this chapter.
(1) Iu the event of adjustments on account of duplicate assessments and [clerical] departmental errors,
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such as, ut .imited to, transposition in figures, typog_ .cal errors, and errors in
calculations, the adjustments maybe entered upon the records although the full amount appearing
on the records prior to such adjustment has been paid.
(2) There may be refunded in the manner provided in subsection (b) of this section any amount
collected in excess of the amount appearing on the records as adjusted, or any amount constituting
a duplication of payment in whole or in part.
(3) Whenever any real property is deemed by the director to be exempt, except for the minimum tax_
from taxation under section 19-87, if there shall have been paid prior to the effective date of the
exemption any real property taxes applicable to the period following the effective date of the
exemption, there shall be refunded to the nonprofit or limited distribution mortgagor owning the
property in the manner provided in subsection (b) ail amounts representing the real property taxes,
excgpt for the minimum tax, which have been paid on account of the property and attributable to
the period following the effective date of the exemption.
(4) No such adjustment for refund or taxes owed shall be entered on the records [nor refund made]
except within two years after the end of the tax year in which the amount to be refunded was due
and payable, unless a written application for the adjustment [or refund] has been filed within such
period.
(b) This subsection shall apply to all real property taxes.
(1) All refunds and adjustments shall be paid by voucher approved by the director, setting forth all
the details of each transaction. [Payment of such refund or adjustment shall be made out of the
real property tax trust fund hereinafter created; provided, that] [i]If the person entitled to a refund
or adjustment is delinquent in the payment of the tax, the director, after notice to the delinquent
taxpayer, shall withhold the amount of the delinquent taxes, together with penalties and interest
thereon from the amount of the refund or adjustment and apply the same to the amount owed.
[(2) There is created and established a fund known as the real property tax trust fund to be used for
the purpose of making refunds and adjustments of taxes collected under this chapter. The director
may, from time to time, deposit taxes collected under this chapter to the credit of the real property
tax trust fund so that there maybe maintained at all times a fund not exceeding $50,000.]
(c) This subsection shall apply to a refund for an overpayment of a tax.
(1) If the amount already paid exceeds the amount determined to be the correct amount of the tax
due, and the taxpayer requests a refund of the overpayment, the amount of overpayment together
with interest, if any, shall be refunded in the manner provided in subsection (b) above. If the
director approves the refund voucher within ninety days from the due date or the date the return
is received, whichever is later, no interest on the overpayment will be allowed or paid. However,
if the director exceeds the time allowed herein, interest will be computed from the due date of the
return until the date that the director sends the refund warrant to the taxpayer.
(2) If any overpayment of taxes results or arises from (A) the taxpayer filing an amended return, or
from (B) a determination made by the director and such overpayment is not shown on the original
return as filed by the taxpayer, interest on the overpayment shall be allowed and paid from the
first month after the due date of the original return to the date that the director signs the
refund voucher. If the director does not send the refund warrant to the taxpayer within forty-five
days after his approval, interest will continue until the date that the director sends the refund
warrant to the taxpayer.
(1981, Ord. No. 613, sec. 22.)
Section 19-23. Partial payment of taxes.
Whenever a taxpayer makes a partial payment of a particular assessment of taxes, the amount received by
the director shall first be credited to interest, then to penalties, and then to principal.
(1981, Ord. No. 613, sec. 23.)
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Section 19-24. Abetting, ~ ,misdemeanor.
All persons wilfully aiding, abetting or assisting in any manner whatsoever any person to commit any act
constituted a misdemeanor by this chapter, shall be deemed guilty of a misdemeanor.
(1981, Ord. No. 613, sec. 25.)
Section 19-25. Neglect of duty, etc., misdemeanor.
Any officer or employee of the department of finance, any person duly authorized by the director, or any
police officer, on whom duties are imposed under this chapter, who wilfully fails or refuses or neglects to perform
faithfully any duty or duties of him required by this chapter, shall be deemed guilty of a misdemeanor.
(1981, Ord. No. 613, sec. 26.)
Section 19-26. Penalty for misdemeanors.
[Any person convicted of any misdemeanor under this chapter, for which no punishment is otherwise
prescribed, shall be fined not more than $S 00, or (if a natural person) imprisoned for not more than one year or
both.] Anv
verson convicted of a violation of anv urovi~ign of this: chanter shall be.guilty of a misdemeanor. and
shill be sentenced according to Chapter 706_ of the Hawaii Revised Statutes.
(1981, Ord. No. 613, sec. 27.)
Article 2. Notice of Assessments and Lists.
Section 19-27. Notice of assessments; addresses of persons entitled to notice.
On or before March 15 preceding the tax year, the director shall give notice of the assessment for the tax
year against each known owner, by personal delivery to the owner of or by mailing to him on or before such date
postage prepaid and addressed to him at his last known place of residence or address a written notice identifying
the property involved by the tax key and the general class established in accordance with section 19-53 [(d)]~ and
setting forth separately the valuation placed upon buildings, and the valuation placed upon all other real property,
exclusive ofbuildings, determined pursuant to section 19-53 [(d)] e~,the exemption, if any, allowed or denied, as
the case maybe, and the amount of the exemption applied to the buildings and the amount applied to all other real
property, exclusive of buildings, and the net taxable value of the buildings and the net taxable value of all other
real property, exclusive of the buildings.
In addition to the foregoing, the director shall in each year give notice of the assessments for the year by
public notice (by publication thereof at least three times on different days during the month of March of such year
in a newspaper of general circulation, published in the English language) of a time when (which shall not be less
than a period often days prior to March 31 preceding the tax year) and of a place where the records of taxable
properties maintained for the district maybe inspected by any person for the purpose of enabling him to ascertain
what assessments have been made against him or his property and to confer with the director so that any errors
maybe corrected before the filing of the assessment list.
(1981, Ord. No. 613, sec. 28.)
Section 19-88. Assessment lists.
On or before Apri119 preceding the tax year the director shall have prepared from the records of taxable
properties a list in duplicate of all assessments made, which list shall be signed and sworn to by the person
preparing it. The assessment list shall identify the property assessed by its tax key and shall set forth the general
class of the property established in accordance with section 19-53 [(d)]~ ,the valuation of buildings and the
valuation of all other real properly, exclusive of buildings, the amount of exemption allowed on buildings and the
amount of exemption allowed on all other real property, exclusive of the buildings, and the net taxable value of
the buildings and the net taxable value of all other real property, exclusive of the buildings. The assessment list
shall be the lists in accordance with which taxes shall be collected, subject only to change made by any court or
other tribunal having jurisdiction, where appeals from assessments have been duly taken and prosecuted to final
determination, and subject to section 19-21. There shall be noted upon such lists all appeals taken for the year and
the amount involved in each case. The original of the assessment lists shall be retained by the person preparing
it, and one copy shall be held by the county clerk. [The lists may be made up of a separate sheet or card for each
9
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property. ]
(1981, Ord. No. 613, sec. 29.)
Section 19-29. Informalities not to invalidate assessments, mistakes in names or notices, etc.
No assessment or act relating to the assessment or collection of taxes under this chapter shall be illegal
or invalidate such assessment, levy, or collection on account of mere informality, nor because the same was not
completed within the time required by law, nor, if the notice by publication provided for by section 19-27 has been
given, on account of a mistake in the name of the owner or supposed owner of the property assessed, or failure to
name the owner, or failure to give the notice of assessment by personal delivery or mail provided for by section
19-27.
(1981, Ord. No. 613, sec. 30.)
Article 3. Tax Bills, Payments and Penalties.
Section 19-30. Tax rolls; tax bills.
The director shall prepare tax rolls from the assessment lists provided for by section 19-28, showing
thereon, in each case, names and addresses of the assessed and amount of taxes which shall not be less than [$25]
as provided for in section 19-90.
The director shall mail, postage prepaid, or deliver, each year on or before the billing dates as provided
for by section 19-31, to all known persons assessed for real property taxes for such year, respectively, or to their
agents, tax bills demanding payment of taxes due from each such person respectively, but no person shall be
excused from the payment of any tax or delinquent penalties thereon by reason of failure on his part to receive,
or failure on the part of the director so to mail or deliver such bill. The bill, if mailed, shall be addressed to the
person concerned at his last known address or place of residence. Whenever any bill covers taxes for any real
property owned, as joint tenants or as tenants in common or otherwise, by more than one person, the bill maybe
sent to any one co-owner and upon written request shall be sent to each known co-owner but shall, in any event,
demand the full amount of the taxes due upon such real property.
(1981, Ord. No. 613, sec. 31; Am. 1990, Ord. No. 90-138, sec. 2.)
Section 19-31. Taxes; due when; iaastallment payments; billing and delinquent dates.
All real property taxes shall be due and payable on and after July 1 of each tax year and the payment
thereof shall be determined in the following manner:
All known persons assessed for real property taxes shall be billed not later than the billing date designated
in the schedule listed herein; subject however, to the limitations heretofore provided in section 19-30. Each
taxpayer shall pay the real property taxes due from him for the year in which the taxes are assessed, in two equal
installments on or before the dates designated in the following schedule:
Fiscal Year Schedule
(Billing Date) (1st Payment) (2nd Payment)
July 20 August 20 February 20
All such taxes due on the first payment date of such year from each taxpayer, which remain unpaid after
the date, shall thereupon become delinquent, and the balance of such taxes due on the second payment date of such
year from each taxpayer, which remain unpaid after the date, shall thereupon become delinquent. Anv payment
made to the County which is transmitted throueh the United States mail shall be deemed filed and received by the
County on the postmark date stam ed u on the ~nyelo e or other appropriate wrapper containing it
(1981, Ord. No. 613, sec. 32.)
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Section 19-32. Penalty fog .inquency.
There shall be added to the amount of all delinquent taxes, a penalty of [up to] ten percent of such
delinquent taxes as determined by the director, which penalty shall be and become a part of the tax and be collected
as a part thereof.
All delinquent taxes and penalties shall bear interest at the rate of one percent for each month or fraction
thereof until paid, beginning with the first calendar month following the calendar month designated for payment
in section 19-31. The interest shall be and become a part of the tax and be collected as a part thereof.
No taxpayer shall be exempt from delinquent penalties by reason of having made an appeal on the
assessment, but the tax paid, covered by an appeal duly taken, shall be held in a trust account as provided in
section 19-101.
(1981, Ord. No. 613, sec. 33; Am. 1984, Ord. No. 84-20, sec. 2.)
Section 19-33. Assessment of unreturned or omitted property; review; penalty.
If, when returns aze required under this chapter, any person refuses or neglects to make such returns, or
declines to authenticate the accuracy thereof as provided in section 19-12, or omits any property from a return, the
director shall make the assessment according to the best information available and shall add to the assessment or
tax lists for the year or years during- which it was not taxed, the .property unreturned or omitted. Likewise, if for
any other reason any real property has been omitted from the assessment lists for any year or years, the director
shall add to the lists the omitted property. Notice of the action shall be given the owner, if known, within ten days
after the assessment or addition, by mailing the same addressed to him at last known place of residence. Any owner
desiring a review of the assessment or the addition may appeal to the [panel] board of review by filing with the
director a written notice thereof in the manner prescribed in section [19-97] 19-99 at any time within thirty days
after the date of mailing such notice, or may appeal to the tax appeal court by filing written notice of appeal with,
and paying the necessary costs to, such court within the period and in the manner prescribed in section 19-98.
A penalty often percent shall be added by the director to the amount of any assessment made by him
pursuant to this section, which penalty shall be and become a part of the assessment so made; but no such penalty
shall be imposed where the failure to assess or tax the property was not due to the refusal or neglect of the owner
to return the property or authenticate the accuracy of his return.
For the purpose of deterniining the date of delinquency of taxes pursuant to assessments under this section,
such taxes shall be deemed delinquent if not paid within thirty days after the date of mailing of notice of
assessment, or if assessed for the current assessment yeaz, within thirty days after the date of mailing the notice
or on or before the next installment payment date, if any, for such taxes, whichever is later.
(1981, Ord. No. 613, sec. 34.)
Section 19-34. Reassessments.
Any property assessed to a person or persons who did not have the record title upon January 1 preceding
the tax yeaz in which the assessment was made, may be, and in any case where the attempted assessment of
property is void or so defective as to create no real property tax lien on the property and the taxes have not been
fully collected, the property shall be assessed as omitted property in the manner provided in section 19-33.
(1981, Ord. No. 613, sec. 35.)
Article 4. Remissions.
Section 19-35. Remission of taxes on acquisition by government.
Whenever any real property is acquired for public purposes by the United States, the State or the County,
and whenever any government lease or other tenancy shall terminate, the director is authorized to remit the taxes
due thereon for the balance of the taxation period or year from and after the date of acquisition of the property,
or the termination of the government lease or other tenancy, as the case maybe.
In case the State or the County takes possession of real property which is the subject of eminent domain
proceedings commenced for the acquisition of the fee simple estate in such land by the State or the County, taxes
are authorized to be remitted as provided in sections 101-35 to 39, HRS, subject to section 101-39(1), HRS.
Incase the owner of real property grants to the State or the County a right of entry with respect to such
11
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real property and the State ~ .e County enters into possession under tl. ,thority of the right of entry with
intention to acquire the fee simple estate therein and to devote the real property to public use, the State or the
County shall certify to the director the date upon which it took possession, and upon receipt of the certificate the
director is authorized to remit the real property tax on the parcel of land or portion of a parcel of land so coming
into the possession of the State or the County for the balance of the taxation period which is subsequent to the date
of possession.
In case the United States takes possession of real property which is the subject of eminent domain
proceedings commenced for the acquisition of the fee simple estate in such land, taxes are authorized to be
remitted for the balance of the taxation period or year after such taking, as provided in this paragraph. The
remission shall be allowed conditionally upon the presentation to the director, of a written notice and agreement,
signed by the person, or one or more of the persons, owning the land, stating the date of such taking of possession
by the United States, and agreeing that out of the first funds received by such owner or owners from such
condemnation there shall be paid sufficient moneys to discharge the lien for any real property taxes existing upon
the land prorated up to and including the date of such taking possession of the property; provided that the notice
may be accompanied by payment of the prorated amount of taxes in lieu of such agreement. Section 101-39, HRS,
is hereby made applicable to such land and the owner or owners thereof and to the conditional remission
authorized by this paragraph. It is further provided that in the event the prorated taxes up to the time of such taking
possession shall not be paid by the owner or by one or more of the owners of the land within ten days after receipt
by such owner or owners of the compensation for the condemnation, or within such additional time as shall be
allowed by the director, then the conditional remission of taxes shall be void, and such owner or owners shall be
liable for all taxes, penalties, and interest which would have accrued had no such conditional remission been
allowed.
(1981, Ord. No. 613, sec. 36.)
Section 19-36. Remission of taxes in cases of certain disasters.
In any case of the damage or destruction of real property as the result of a tidal wave, earthquake, fire,
landslides, or volcanic eruption, or as the result of flood waters overflowing the banks or walls of a river or stream,
or other disasters the director is authorized to remit taxes due on such property, to the extent and in the manner
hereinafter set forth:
(1) The director shall determine whether the property was wholly destroyed,or was partially destroyed
or damaged, and in the latter event shall determine what percentage of the value of the whole
property was destroyed or otherwise lost by reason of the disaster.
(2) If the property was wholly destroyed, the amount remitted shall be such portion of the total tax
on the property for the tax year in which such destruction occurred as shall constitute the portion
of the tax year remaining after such destruction. [However, at no time shall the remission
be less than $25.00 as specified in section 19-90.]
(3) If the property was partially destroyed or was damaged, the percentage of the value destroyed or
otherwise lost, determined as provided in paragraph (1), shall be applied to the total tax on the
property and of the amount of tax so determined there shall be remitted such portion as shall
constitute the portion of the tax year remaining after such partial destruction or damage.
[However, at no time shall the remission be less than $25.00 as specified in section 19-90. ]
(4) Application for a remission of taxes pursuant to this section shall be filed with the director on or
before June 30 of the tax year involved, or within sixty days after the occurrence of the disaster,
whichever is the later. Any amount of taxes authorized to be remitted by this section, which has
been paid, shall be refunded upon proper application therefor out of real property tax collections.
(5) The director shall have the authority to extend the period for the remission of taxes for properly
that was wholly or partially damaged or destroyed for the percentage of the property which was
affected by such disaster, for a period not to exceed one year after the tax year in which the
disaster took place.
(1981, Ord. No. 613, sec. 37; Am. 1990, Ord. No. 90-90, sec. 2., Ord No. 95-135, sec. 2.)
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Article 5. Liens, Foreclosure.
Section 19-37. Tax liens; co-ovs~ners' rights; foreclosure; limitation.
Every tax due upon real property, as defined by section 19-2, shall be a paramount lien upon the property
assessed, which lien shall attach as of July 1 in each tax year and shall continue for six years. If proceedings for
the enforcement or foreclosure of the lien are brought within the applicable period hereinabove designated, the
lien shall continue until the termination of said proceedings or the completion of such sale.
Incase of cotenancy, if one cotenant pays, within the period of the aforesaid government lien, all of the
real property taxes, interest, penalties, and other additions to the tax, due and delinquent at the time of payment,
he shall have, pro tanto, a lien on the interest of any noncontributing cotenant upon recording in the bureau of
conveyances, within ninety days after the payment so made by the cotenant, a sworn notice setting forth the
amount claimed, a brief description of the land affected by tax key or otherwise, sufficient to identify it, the tax
year or years, and the name of the cotenant upon whose interest such lien is asserted. When a notice of such tax
lien is recorded by a cotenant, the registrar shall forthwith cause the same to be indexed in the general indexes of
the bureau of conveyances. In case the land affected is registered in the land court, the notice shall also contain
a reference to the number of the certificate of title of such land and shall be filed and registered in the office of the
assistant registrar of the land court, and the registrar, in his capacity as assistant registrar of the land court, shall
make a notation of the filing thereof on each land court certificate of title so specified.
The cotenant's lien shall have the same priority as the lien or liens of the government for the taxes paid
by him, and may be enforced by an action in the nature of suit inequity. The lien shall continue for three years
after recording or registering, or until termination of the proceedings for enforcement thereof if such proceedings
are begun, and notice of the tendency thereof is recorded or filed and registered as provided by law, within the
period.
The director or his subordinate, in case of a goverment lien, and the creditor cotenant, in a case of a
cotenant's lien, shall, at the expense of the debtor, upon payment of the amount of the lien, execute and deliver to
the debtor a sworn satisfaction thereof, including a reference to the name of the person assessed or cotenant
affected as shown in the original notice, the date of filing of the original notice, a description of the land involved,
and the number of the certificate of title of such land if registered in the land court, which, when recorded in the
bureau of conveyances or filed and registered in the office of the assistant registrar of the land court, shall, in the
case of a cotenant's lien, which contains the reference to the book and page of the original lien, be entered in the
general indexes of the bureau of conveyances, and if a notation of the original notice was made on any land court
certificate of title the filing of such satisfaction shall also be noted on the certificate.
This section as to cotenancy shall apply, as well, in any case of ownership by more than one assessable
person.
Upon enforcement or foreclosure by the government in any manner whatsoever, of any such real property
tax lien, all taxes of whatsoever nature and howsoever accruing due at the time of the foreclosure sale from the
taxpayer against whose property such tax lien is so enforced or foreclosed shall be satisfied as far as possible out
of the proceeds of the sale remaining after payment of (1) the costs and expenses of the enforcement and
foreclosure including a title search, if any, (2) the amount of subsisting real property tax liens, and (3) the amount
of any recorded liens against the property, in the order of their priority, provided a claim for the surplus has been
filed with the director within one year from the date of the sale.
The liens may be enforced by action of the director in the circuit court of the third circuit, and the
proceedings had before the circuit court shall be conducted in the same manner and form as ordinary foreclosure
proceedings as provided for in chapter 634, HRS. If the owners or claimants of the property against which a lien
is sought to be foreclosed are at the time out of the County or cannot be served within the County, or if the owners
are unknown, and the fact shall be made to appear by affidavit to the satisfaction of the court, and it shall in like
manner appear prima facie that a cause of action exists against such owners or claimants or against the property
described in the complaint, or that such owners or claimants are necessary or proper parties to the action, the
director may request the court that service be made in the manner provided by sections 634-23 to 634-29, HRS.
In any such case, it shall not be necessary to obtain judgment and have execution issued and returned
unsatisfied, before proceeding to foreclose the lien for taxes in the manner herein provided.
(1981, Ord. No. 613, sec. 38; Am. 1988, Ord. No. 88-74, sec. l.)
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Section 19-38. Tax liens; .closure without suit, notice.
All real property on which a lien for taxes exists may be sold by way of foreclosure without suit by the
director, and in case any lien, or any part thereof, has existed thereon for three years, shall be sold by the director
at public auction to the highest bidder, for cash, to satisfy the lien, together with all interest, penalties, costs, and
expenses due or incurred on account of the tax, lien, and sale, the surplus, if any, to be rendered to the person
thereto entitled. The sale shall be held at any public place proper for sales on execution, after notice published at
least once a week for at least four successive weeks immediately prior thereto in any newspaper with a general
circulation of at least sixty thousand published in the State and any newspaper of general circulation published
and distributed in the County. If the address of the owner is known or can be ascertained by due diligence,
including an abstract of title or title search, the director shall send to each owner notice of the proposed sale by
registered mail, with request for return receipt. If the address of the owner is unknown, the director shall send a
notice to the owner at his last known address as shown on the records of the department of finance. The notice shall
be deposited in the mail at least forty-five days prior to the date set for the sale. The notice shall also be posted
for a like period in at least three conspicuous public places within the County and if the land is improved, one of
the three postings shall be on the land.
(1981, Ord. No. 613, sec. 39.)
Section 19-39. Same; registered land.
If the land has been registered in the land court, the director shall also send by registered mail a notice for
the proposed sale to any person holding a mortgage or other lien registered in the office of the assistant registrar
of the land court. The notice shall be sent to any such person at his last address as shown by the records in the
office of the registrar, and shall be deposited in the mail at least forty-five days prior to the date set for the sale.
(1981, Ord. No. 613, sec. 40.)
Section 19-40. Same; notice, for of.
The notice of sale shall contain the names of the persons assessed, the names of the present owners (so
far as shown by the records of the director and the records, if any, in the office of the assistant registrar of the land
court) the character and amount of the tax, and the tax year or years, with interest, penalties, costs, expenses, and
charges accrued or to accrue to the date appointed for the sale, a brief description of the property to be sold, and
the time and place of sale, and shall warn the persons assessed, and all persons having or claiming to have any
mortgage or other lien thereon or any legal or equitable right, title, or other interest in the property, that unless the
tax, with all interest, penalties, costs, expenses, and charges accrued to the date of payment, is paid before the time
of sale appointed, the property advertised for sale will be sold as advertised. The director may include in one
advertisement of notice of sale notice of foreclosure upon more than one parcel of real property, whether or not
owned by the same person and whether or not the liens are for the same tax year or years.
(1981, Ord. No. 613, sec. 41.)
Section 19-41. Same; postponement of sale, etc.
If at the time appointed for the sale, the director shall deem it expedient and for the interest of all persons
concerned therein to postpone the sale of any property or properties for want of purchasers, or for other sufficient
cause, he may postpone it from time to time, until the sale shall be completed, giving notice of every such
adjournment by a public declaration thereof at the time and place last appointed for the sale; provided, that the sale
of any property maybe abandoned at the time first appointed or any adjourned date, if no proper bid is received
sufficient to satisfy the lien, together with all interest, penalties, costs, expenses, and charges.
(1981, Ord. No. 613, sec. 42.)
Section 19-42 Same; tax deed; redemption.
The director or his subordinate shall, on payment of the purchase price, make, execute, and deliver all
proper conveyances necessary in the premises and the delivery of the conveyances shall vest in the purchaser the
title in fee thereto, and such title shall be free and clear of any lien, claim, or encumbrance against such property
except the lien for real property taxes subsequent to that for which the property was sold, subject only to any
mineral rights of the State and any easements in favor of any governmental entity; provided, that the taxpayer may
14
redeem the property sold by p~._ ant to the purchaser at the sale, within on. ,r from the date of the sale, of the
amount paid by the purchaser, together with all costs and expenses which the purchaser was required to pay,
including the fee for recording the deed, and in addition thereto, interest on such amount at the rate of twelve
percent a year.
(1981, Ord. No. 613, sec. 43; Am. 1988, Ord. No. 88-74, sec. 2.)
Section 19-43. Same; costs.
The director by rules or regulation may prescribe a schedule of costs, expenses, and charges and the manner
in which they shall be apportioned between the various properties offered for sale and the time at which each cost,
expense, or charge shall be deemed to accrue; and such costs, expenses, and charges shall be added to and become
a part of the lien on the property for the last year involved in the sale or proposed sale, the tax for which is
delinquent. Such costs, expenses, and charges may include provision for the making of and the securing of
certificates of searches of any records to furnish information to be used in or in connection with the notice of sale
or tax deed, or in any case where the director shall deem such advisable; provided, that the director shall not be
required to make such searches or to cause them to be made except as provided by section 19-39 with respect to
mortgages or other liens registered in the office of the assistant registrar of the land court.
(1981, Ord. No. 613, sec. 44.)
Section 19-44. Taa deed as evidence.
The tax deed referred to in section 19-42 is prima facie evidence that:
(1) The property described by the deed was duly assessed or taxed in the years
stated in the deed and to the persons therein named;
(2) The property described by the deed was subject on the date of the sale to a lien
or liens for real property taxes, penalties, and interest in the amount stated in
the deed, for the tax years therein stated, and that the taxes, penalties, and interest were due and
unpaid on the date of sale;
(3) Costs, expenses, and charges due or incurred on account of the taxes, liens, and sale had accrued
at the date of the sale in the amount stated in the deed;
(4) The person who executed the deed was the proper officer;
(5) At a proper time and place the property was sold at public auction as prescribed by law, and by
the proper officer;
(6) The sale was made upon full compliance with sections 19-38 to 19-43 and all laws relating
thereto, and after giving notice as required bylaw;
(7) The grantee named in the deed was the person entitled to receive the conveyance.
(1981, Ord. No. 613, sec. 45.)
Section 19-45. Disposition of surplus moneys.
The director shall pay from the surplus all taxes, including interest and penalties, of whatsoever nature
and howsoever accruing, as provided in section 19-37 and further he may pay from the surplus the cost of a search
of any records where such search is deemed advisable by him to ascertain the person or persons entitled to the
surplus; provided, nothing herein contained shall be construed to require the director to make or cause any such
search to be made.
All proceeds remaining after payment of the costs and expenses of the enforcement and foreclosure of the
tax lien, including a title search, and the amount of subsisting real property taxes, shall be distributed to lienholders
of record in the order of their priority who have filed claims for the surplus with the director within one year from
the date of sale. Any lien, claim or encumbrance against the property remaining unsatisfied after the distribution
of the surplus moneys shall be extinguished and unenforceable against the property and the purchaser to whom
the property is conveyed by the director. If, in order to ascertain the person or persons entitled to the surplus, the
director deems it advisable to conduct a search of any records, he may pay from the surplus the cost of such search;
provided, nothing herein contained shall be construed to require the director to make or cause any search to be
made. Any lienholder failing to file a claim for the surplus within one year from the date of the sale shall have no
right to the surplus. The director shall pay from any surplus remaining after distribution to record lienholders who
15
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1
have filed claims, all taxes, in. .ng interest and penalties, of whatsoever _ e and howsoever accruing due at
the time of the foreclosure sale from the taxpayer against whose property such tax lien is so enforced or foreclosed.
If after payment of all taxes surplus funds remain, the director shall pay the surplus to the taxpayer against whose
property the tax lien was foreclosed, provided that the taxpayer has filed a claim for the surplus with the director
within two years from the date of sale. Any surplus remaining after payment to all those entitled as herein set forth
shall be deposited into the County general fund.
If the director is in doubt as to the person or persons entitled to the balance of the fund, he may refuse to
distribute the surplus and any claimantmay sue the director in the third circuit court. The director may require the
claimants to interplead, in which event he shall state the names of all claimants and shall cause them to be made
parties to the action. If there are persons entitled to the fund who have not filed a claim, or if in the director's
opinion there maybe other persons entitled to the fund who are unknown, the director may apply for an order or
orders joining these persons.
Any orders of the court or summons in the matter may be served as provided bylaw or the rules of court,
and all persons having any interest in the moneys who are known, including the guardians of such of them as are
under legal age or under any other legal disability (and if any one or more of them is under legal age or under other
legal disability and without a guardian, the court shall appoint a guardian ad litem to represent them therein) shall
have notice of the action by personal service upon them. All persons having any interest in the moneys whose
names are unknown or who if known do not reside within the State or for any reason cannot be served with process
within the State shall have notice of the action as provided by sections 634-23 to 634-29, HRS, except that any
publication of summons shall be in at least one newspaper of general circulation published in the State and having
a general circulation in the County, and the form of notice to be published shall provide a brief description of the
property which was sold.
All expenses incurred by the director shall be met out of the surplus moneys realized from the sale.
(1981, Ord. No. 613, sec. 46; Am. 1988, Ord. No. 88-74, sec. 3; Am. 1994, Ord. No. 94-60, sec. 2.)
Article 6. Rate; Levy.
Section 19-46. Tax base and rate.
Except as exempted or otherwise taxed, all real property shall be subject to a tax upon one hundred percent
of its [fair] market value determined in the manner provided by ordinance, at such rate as shall be determined in
the manner provided in section 19-90. No taxpayer shall be deemed aggrieved by an assessment, nor shall an
assessment be lowered, except as the result of a decision on an appeal as provided bylaw.
(1981, Ord. No. 613, sec. 48; Am. 1982, Ord. No. 765, sec. 2.)
Section 19-47. Tax year; time as of which levy and assessment made.
For real property tax purposes, "tax year" shall mean the fiscal year beginning July 1 of each calendar year
and ending June 30 of the following calendar year. Real property shall be assessed, and taxes shall be levied
thereon, as of January 1 preceding each tax year upon the basis of valuations determined in the manner and at the
time provided in this chapter.
(1981, Ord. No. 613, sec. 49.)
Section 19-48. Assessment of property; to whom in general.
Real property shall be assessed in its entirety to the owner thereof provided that where improved
residential land has been leased for a term of fifteen years or more, the real property shall be assessed in its entirety
to the lessee or his successor in interest holding the land for such term under such lease and the lessee or successor
in interest shall be deemed the owner of the real property in its entirety for the purpose of this ordinance; provided,
however, that the lease and any extension, renewal, assignment, or agreement to assign the lease (1) shall have
been duly entered into and recorded in the bureau of conveyances or filed in the office of the assistant registrar
of the land court prior to January 1 preceding the tax year for which the assessment is made, and (2) shall provide
that the lessee shall pay all taxes levied on the property during the term of the lease.
"Improved residential land" as used herein means land improved with asingle-family dwelling on it.j
For the purposes of this chapter, life tenants, personal representatives, trustees, guardians, or other
16
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fiduciaries maybe, and person. .ding government property under an agree t for the conveyance of the same
to such persons shall be considered as owners during the time any real property is held or controlled by them as
such. Lessees holding under any government lease shall be considered as owners during the time any real property
is held or controlled by them as such, as more fully provided in section 19-84; and farther, notwithstanding any
provisions to the contrary in this chapter, any tenant occupying government land, whether such occupancy be on
a pernut, license, month to month tenancy, or otherwise, shall be considered as owner where such occupancy has
continued for a period of one year or more, as more fully provided in section 19-84. Persons holding any real
property under an agreement to purchase the same, shall be considered as owners during the time the real properly
is held or controlled by them as such; provided the agreement to purchase (1) shall have been recorded in the
bureau of conveyances, and (2) shall provide that the purchasers shall pay the real property taxes levied on the
property. Persons holding any real property under a lease for a term [to last during the lifetime of the lessee] Qf
ten ear r m re shall be considered as owners during the time the real property is held or controlled by them
as such; provided that the lease (1) shall have been duly entered into and recorded in the bureau of conveyances
or filed in the office of the assistant registrar of the land court prior to January 1 preceding the tax year for which
the assessment is made, and (2) shall provide that the lessee shall pay all taxes levied on the property during the
term of the lease.
(1981, Ord. No. 613, sec. 50.)
Section 19-49. Imposition of real property taxes on reclassification.
A portion of real property taxes shall be imposed upon and paid by the owner or owners thereof when:
(1) The property of the owner has been leased for a term of [fifteen] ten years or more; and
(2) The classification of the property has been changed to a classification of a higher use during the
life of the lease; and
(3) The classification to a higher use has occurred without the lessee[, who occupies the property,]
petitioning for such higher classification. Taxes which are imposed upon the owners of property
under this section shall be paid by the owner of such property without being transferred to the
lessee [who occupies the property] and such tax shall be the difference between the assessed
valuation of the property after the classification change times the applicable tax rate less the
assessed valuation of the property as it existed prior to the classification change times the
applicable tax rate.
(1981, Ord. No. 613, sec. 51.)
Section 19-50. Assessment of property of corporations or co-partnerships.
Property of a corporation or co-partnership shall be assessed to it under its corporate or firm name.
(1981, Ord. No. 613, sec. 52.)
Section 19-51. Fiduciaries, liability.
Every personal representative, trustee, guardian, or other fiduciary shall be answerable as such for the
performance of all such acts, matters, or things as are required to be done by this chapter in respect to the
assessment of the real property he represents in his fiduciary capacity, and he shall be liable as such fiduciary for
the payment of taxes thereon up to the amount of the available property held by him in such capacity, but he shall
not be personally liable. He may retain, out of the money or other property which he may hold or which may come
to him in his fiduciary capacity, so much as may be necessary to pay the taxes or to recoup himself for the payment
thereof, or he may recover the amount thereof paid by him from the beneficiary to whom the property shall have
been distributed.
(1981, Ord. No. 613, sec. 53.)
Section 19-52. Assessment of property of unknown owners.
The taxable property of persons unknown, or some of whom are unknown, shall be assessed to "unknown
owners," or to named persons and "unknown owners," as the case may be. The taxable property of persons not
having record title thereto on January 1, preceding the tax year for which the assessment is made, may be assessed
to "unknown owners," or to named persons and "unknown owners," as the case may be. Such property may be
17
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levied upon for unpaid taxes.
(1981, Ord. No. 613, sec. 54.)
Article 7. Tax Maps; Valuations.
Section 19-53. Valuation; considerations in fixing.
(a) The director of finance shall cause the [fair] market value of all taxable real property to be determined
and annually assessed by the market data and cost approaches to value using appropriate systematic
methods suitable for mass valuation of properties for taxation purposes, so selected and applied to
obtain, as far as possible, uniform and equalized assessments throughout the County[; provided, that
the land value of land classified and used for agriculture, whether such lands are dedicated pursuant to
section 19-55 or not, shall, for real property tax purposes, be the value of such land for agricultural use
without regard to any value that such land might have for other purposes or uses, or to neighboring
land uses, as determined as provided in subsection (f)(1) of this section. Lands classified as native
forest shall be assessed as provided in subsection (h) of this section].
In making such determination and assessment, the director shall separately value and assess, within
each class established in accordance with subsection ([d]~) of this section:
(1) Buildings and]
In determinine the value of btuldings~ consideration shall be given to anv additions.
alterations, rernodeline, modifications or other new construction. improvement or
repair work undertaken u on or made to existine buildings
as
the same may resul in
hi her assess b valuati of sai -boil. 'n s.
(2) All other real property, exclusive of buildings.
(b) [All property shall be valued by appropriate systematic methods so selected and applied so as to
obtain, as far as possible, uniform and equalized assessments throughout the County
(c)] So far as practicable, records shall be compiled and kept which shall show the methods established by
or under the authority of the director, for the determination of values.
~ Whenever land has been divided into lots or parcels as provided bylaw. each such lot or parcel shall
b,~, separately assessed.
[(d) Classification of land]
When property is subdivided into condominium units, each unit shall be classified upon consideration
of its actual use into one of the general classes in the same manner as land.
~ classification of land:
(1) Except as otherwise provided in subsection ((d]~(2) of this section, land shall be classified,
upon consideration of its highest and best use, into the following general classes:
(A) [Improved] Residential Pitt 1
(B) [Unimproved residential] ~artment (Pitt 2),
(C) [Apartment] Commercial itt 31.
(D) [Hotel and resort] Industrial itt 4~,
(E) [Commercial] Agricultural or native forest (Pitt 51.
(F) [Industrial] ons ati n Pitt 6
(G) [Agricultural, or Native Forests] Hotel and Resort (Pitt 7~
18
y ~ e ~
(H) [Conservation] Rural (Pitt 8), and
(I) Homeowner Pitt 9 .
(2) In assigning land to one of the general classes the director of finance shall give major
consideration to the districting established by the land use commission pursuant to chapter
205, Hawaii Revised Statutes, the districting established by the County in its general plan and
zoning ordinance, use classifications established in the general plan of the State, and such
other factors which influence highest and best use, except that parcels which are used
exclusively as the owner's principal residence shall be classified as "Homeowner" without
regard to the highest and best use, provided that the director has granted to the owner a home
exemption in accordance with sections 19-71 to 19-72.
(A) The homeowner class is exclusively reserved for properties which are used as the
owner's principle residence. Uses which shall not qualify as "Homeowner" include:
(i) [Real property which is valued according to its agricultural use pursuant to
subsection 19-53(f)(1) or (h).] Real ~p~ yvhich is dedicated to the
preservation,ofpative forest,pursuant to Section 19-58.4.
(ii) Real property which is dedicated to an agricultural use cateeory [or native
forest use] pursuant to section 19-55 or section 19- (Native Forest
Dedication)].
(iii) Real property which is used for commercial or income producing purposes,
(iv) Real property which is used for residential rental purposes, whether for short
or long term lease,
(v) Real property which is used for any [other] purposes except] other than the
owner's principal residence.
(3) [When property is subdivided into condominium units, each unit shall be classified upon
consideration of its actual use into one of the general classes in the same manner as land
except that units which have been allowed a home exemption for the tax year shall be
classified homeowner] Whenever there is an overlay or contradiction in istrictin or use
classification between the County and the State. zoned districts by the County shall take
precedence.
[(4) "Improved residential" shall mean land which is classified as residential by the department of
finance upon consideration of its highest and best use, and is property which fulfills the
provisions of at least one of the following subparagraphs:
(A) Land which has been subdivided prior to any assessment year as a lot for single- or
two-family residential use in conformity with the then existing County zoning
ordinances, and has been approved for sale or approved as being in conformity with
all of the subdivision requirements of the County, or
(B) Land which is in actual single-or two- family residence use at a density of at least a
single-ortwo-family residential building per acre, or
(C) Land which is sufficiently developed with necessary land improvements to support a
use density of at least asingle-ortwo-family residential building per acre.
(5) "Unimproved residential" shall mean all residential class lands not classified as "improved
residential" or "homeowner".
(e) Whenever land has been divided into lots or parcels as provided bylaw, each such lot or parcel shall
be separately assessed.
(f) (1) In determining the value of lands which are
classified and used for agriculture, whether such lands are dedicated pursuant to section 19-55
or not, consideration shall be given to rent, productivity, nature of actual agricultural use, the
advantage or disadvantage of factors such as location, accessibility, transportation facilities,
19
+ ` r
size, shape, , graphy, quality of soil, water privileges, ability of water and its cost,
easements and appurtenances, and to the opinions of persons who maybe considered to have
special knowledge of land values. Lands classified as tree farm property pursuant to chapter
186, Hawaii Revised Statutes, shall be considered for classification and valuation as
agricultural.
(2) A deferred or roll back tax shall be imposed on the owner of agricultural lands assessed
according to its agricultural use as provided in subsection (a) of this section in the event of a
change inland use classification by the authorized State agency to urban or rural districts or
upon the subdivision of the land into parcels of five acres or less, provided that the tax shall
not apply if the owner dedicates the land as provided in section 19-55 within three years from
the date of the change inland use classification and fulfills all of the requirements of the
dedication. The deferred tax shall be due and payable at the end of the third year following
the change inland use classification provided that the land shall continue to be used for
agriculture during this period. The total amount of deferred taxes shall be computed
commencing at the end of the third year following the change in classification where the land
has continuously been used for agriculture, provided however that where the land has been put
to a higher urban or rural use prior to the expiration of the three-year period the amount of
deferred taxes shall be computed commencing at the end of the year in which the land has
been put to such higher urban or rural use, and shall be retroactive to the date the assessment
was made pursuant to subsection (a) of this subsection provided the retroactive period shall
not exceed ten years. Where the owner has subdivided the land into parcels of five acres or
less, the deferred tax shall commence from the date the conversion was made retroactive to the
date the assessment was made pursuant to subsection (a) of this subsection but for not more
than ten years. Any other provisions to the contrary notwithstanding, the deferred or roll back
tax shall apply only if a change inland use classification has been made as a result of a
petition by any property owner or lessee and shall apply only upon lands owned by the owner
or lessee who has petitioned for the change in classification. The deferred or roll back tax
shall not apply to lands owned by any owner or lessee who has not petitioned for the change
in classification provided the owner or lessee shall continue to use the land in its agricultural
use for a period of three years after the change inland use classification is made, or where the
change in classification or zoning is initiated by any governmental agency or instrumentality.
The deferred or roll back tax shall be based on the difference in assessed value between the
highest and best use and the agricultural use of the land, at the tax rate applicable for the
respective years.
(A) Where the owner subdivides the land into parcels of five acres or less, the deferred tax
shall be due and payable within days of such conversion, subject to a ten percent per
annum penalty.
(B) Where the owner changes the land use classification, the deferred tax shall be due and
payable within three years of such conversion except that where the land has been put
to its higher urban or rural use, the tax shall be due and payable at the end of the year
in which the land has been put to such higher use, subject to a ten percent per annum
penalty.
Any other provisions to the contrary notwithstanding, the land shall continue to be assessed in
its agricultural use as provided in subsection (a) of this section until the land is put to its
higher urban or rural use for a period of three years following the change in classification
whichever is shorter, provided that for the purposes of determining the amount of deferred
taxes to be assessed to the owner or lessee, the retroactive period shall include the period
during which the land is continued to be assessed in its agricultural use following the change
in classification. Any tax due and owing shall attach to the land as a paramount lien in favor
of the County as provided for by ordinance.
(3) Where lands located within agricultural districts are put to agricultural uses, that portion of
20
t ~ i
such lands n, able or suitable for any agricultural use, ,her dedicated pursuant to 19-55
or not, the tax upon such unusable or unsuitable land shall be deferred and shall be payable
upon conversion as provided under this section.
(4) A portion or portions of a parcel of land that is being assessed as pasture, whether it is
dedicated under the provisions of section 19-55 or not, may be taken out of production for a
specified time period, not to exceed 10 years, as part of a good forestry plan in order to restore
a degraded native forest such that it meets the requirements of the native forest category as
stated in section 19-53(h). Such a plan indicating the acreage and area, as well as the specific
forest restoration work to be done, shall be filed with the director of finance by September 1
and approved by the director by December 15. If the plan is approved, the land shall continue
to be given the same pasture assessment.
(A) The owner shall provide to the director of finance yearly evidence that the forest
restoration plan is being implemented, as well as a signed and notarized affidavit by a
recognized forestry professional that the restoration plan is likely to succeed within
the designated time period. The owner shall continue to fulfill all other requirements
of the agricultural assessment, including providing yearly proof that any portion of
the parcel not being restored to a native forest, but still being assessed for an
agricultural use, continues to be used and maintained substantially and continuously
in the approved agricultural use.
(B) If, at the end of the time period designated by the plan, the land meets the
requirements of the native forest category as described in (h) of this section, then it
shall be classified as a native forest. If, at the end of the time period designated in the
plan, the land does not meet the requirements of the native forest category, the land
maybe returned to its designated agricultural use as pasture or it shall be assessed and
taxed at fair market value.
(C) If the land is dedicated according to section 19-55, it shall remain dedicated as pasture
or native forest and shall continue to be subject to all rollback taxes and penalties
applicable to dedications.
(g) In determining the value of buildings, consideration shall be given to any additions, alterations,
remodeling, modifications or other new construction, improvement or repair work undertaken upon or
made to existing buildings as the same may result in a higher assessable valuation of said buildings;
provided, however, that any increase in value resulting from any additions, alterations, modifications
or other new construction, improvement or repair work to buildings undertaken or made by the
owner-occupant thereof pursuant to the requirements of any urban redevelopment, rehabilitation or
conservation project under the provisions of part II of chapter 53, Hawaii Revised statutes, shall not
increase the assessable valuation of any building for a period of seven years from the date of
certification as hereinafter provided.
It is further provided that the owner-occupant shall file with the director of finance, in the
manner and place which the director may designate, a statement of the details of the improvements
certified in the following manner:
1) In the case of additions, alterations, modifications or other new construction, improvement or
repair work to a building that are undertaken pursuant to any urban redevelopment,
rehabilitation or conservation project as hereinabove mentioned, the statement shall be
certified by the mayor or any governmental official designated by the mayor and approved by
the council, that the additions, alterations, modifications, or other new construction,
improvement or repair work to the buildings were made and satisfactorily comply with the
particular urban redevelopment, rehabilitation or conservation act provision, or
(2) In the case of maintenance or repairs to a residential building undertaken pursuant to any
health, safety, sanitation or other governmental code provision, the statement shall be certified
by the mayor or any governmental official designated by the mayor and approved by the
council, that
(A) The building was inspected by them and found to be substandard when the owner-
21
~ ~ a ,
• occ~., made the claim, and
(B) The maintenance or repairs to the buildings were made and satisfactorily comply with
the particular code provision.
(h) "Native[ F]forests" means lands which have 60 percent or greater native species forest cover. Native
species are defined as those indigenous to the Hawaiian islands. Indigenous in this context shall mean
plants that become established or evolved in the Hawaiian islands without the aid of human beings.
The forest cover requirement may be met by native species in either the tree layer or the understory
layer, or a combination of the two; provided a minimum 25 percent of the forest cover shall be tree
cover.
(1) The director of finance shall determine whether or not land qualifies as a [N]native [F] forest
by using current natural resource or vegetation maps or other acceptable evidence. Other
acceptable evidence includes, but is not limited to:
(A) A written affidavit by a recognized professional in the field of natural resources, or
(B) A finding by a county, state or federal agency or department with the relevant
expertise in the field of natural resources.
(2) The following shall also apply to land classified [N] native [ F] forest:
(A) If the cover of native forest species falls blow 60 percent, the [N]native [F] forest
classification shall be rescinded.
(B) Land taxed as [N]native [F] forest shall be maintained according to sound land
management practices such that soil erosion is minimized, foreign species are
controlled, and the watershed is protected.
(C) The [N] native [F] forest-class is available only for parcels which are covered with at
least five intact and contiguous acres of native forest.
(3) In determining the value of lands which are classified [N] native [F]forest, the director shall
assign the value of the lowest agricultural use category that the land could qualify for if it
were to be put into agricultural use.)
(1981, Ord. No. 613, sec. 56; Am. 1982, Ord. No. 834, sec. 2; Am. 1984, Ord. No. 84-21, sec. 1; Am. 1990,
Ord. No. 90-136, sec. 2; Am. 1990, Ord. No. 90-157, sec. 1; Am. 1991, Ord. No. 91-143, sec. 2.,
Ord. No. 95- )
Section 19-54. [Water tanks.
Any provision to the contrary notwithstanding, any tank or other storage receptacle required by any
government agency to be constructed or installed on any taxable real property before water for home and farm
use is supplied, and any other water tank, owned and used by a real property taxpayer for storing water solely
for his own domestic use, shall be exempted in determining and assessing the value of such taxable real
property.
(1981, Ord. No. 613, sec. 57.)]
olf nurse assessm nt.
Property operated and used as a golf course shall be assessed for fro e tax purposes on the
followin basis:
The value to be assessed by the director shall be on the basis of its actual use as a golf course rather
than on the valuation based qn the highest end best use of the land.
In deteir~ing the value of actual use. the: factors to be considered shall includes among others rental
income. cost of development. sales price and the effect of the value of the eolf course on the value of the
s,~,rroun ' 1 n s.
~1981.Ord. No. 613, sec. 59.)
22
~ ~ ~
Article 8. Dedica~ns.
Section 19-55. [Dedicated lands.] Dedication to a r~icult~re.
(a) A special land reserve is established to enable the owner of any parcel of land within an agricultural
district, a rural district, a conservation district or any urban district to dedicate [his] such land for a
specific [ranching or other ]commercial agricultural use category and to have [his] the land assessed at
its value in such use,[provided, that if the land is located within an urban district:
(1) A lessee of the land with a term often or more years remaining from the date of the petition
shall also be deemed an owner of the land within these provisions;
(2) The land dedicated must be used for the cultivation of crops such as sugar cane, pineapple,
truck crops, orchard crops, ornamental crops, or the like, or tree farms;
(3) The land dedicated must have been substantially and continuously used for the cultivation of
crops such as sugar cane, pineapple, truck crops, orchard crops, ornamental crops or the like,
or tree farms, for the five-year period immediately preceding the dedication request; provided
further, that 1]Land situated within an agricultural district may be dedicated for a period of
twenty years and shall be taxed at fifty percent of its assessed value in such use.
The land dedicated must be used for intensive ag,,riculture orchards biomass and aeronomic crops
extensive agriculture or forestry. Within an urban district. the land dedicated rrt~ist have been
substantially and continuously used for the specific agricultural category for the two year period
immediately receding the dedication request.
In order for the land to be valued according to its ~ricultural category. evidence of
commercial farming activities must b~ subr~i
t~„e~i to the director of finance in such form and at
such times as provided for in the administrative rules and re ations of the department.
As proof~,~prior two vears of farming activity, the owner of land in an urban district
shall submit to the director a copy of his rg®oss income license. codes of the two
previous vears schedule F (Farm Profit and Lossl Statements and/or similar evidence
that his farm has been used for commergi~,l agriculture for each of the previous two
vears.
Owners of lands in other zoning"distri~ts must submit evidence of the commercial
nature of the agricultural activity by submitting copies of the documents mentioned
aboXe,~ or a pl r~~ade in cooperation with and ~p~roved by an agency such as the Soil
and Conservation Service, the; Department of Asriculture, or the Department of Land
and Na 1 Resources.
The term owner as used in this section includes lessees of real property whose recorded lease
term extends at least through the term of the approved dedication.
(b) If any owner desires to [use] dedicate his land for a specific [ranching or other] agricultural [use]
Cate org and to have [his] the land taxed at its assessed value in this [use] cage o_r~ or fifty percent of
its assessed value as the case may be, he shall so petition the director of finance and declare in his
petition that [his] the land can [best] reasonably be used for the purpose (for which he requests
permission to dedicate his land] o osed in the etition and that if [his]the petition is approved [he
will use his]the land will be used for this purpose.
(c) [If the owner desires to change from one specific ranching or other agricultural use to another ranching
or other agricultural use he shall so petition the director of finance and declare in his petition that:
(1) His land can best be used for a ranching or other agricultural purpose other than that for which
he originally requested permission; and
23
ti ~
(2) He will use i_ and for that new purpose if his petition is owed.
d)] Upon receipt of a petition [as provided above in subsections (b) and (c)], the director shall make a
finding of fact as to whether the land in the petition area is reasonably well suited for the intended
[use] categorx. The finding shall include and be based upon the productivity ratings of the land in
those uses for which it is [best] reasQr~~bly suited, a study of the ownership, size of operating unit, the
present use of surrounding similar lands and other criteria as may be appropriate.
~ The director shall also make a finding of fact as to whether the intended use is in conflict with the
overall development plan of the State and County. For lands in urban districts the director shall make
further findings respecting the economic feasibility of the intended use of the land. If [both] the
findings are favorable to the owner, the director shall approve the petition and declare that the owner's
land is dedicated land[; provided that for lands in urban districts, the director shall make further
findings respecting the economic feasibility of the intended use of the land. If all three findings are
favorable, the director shall approve the petition and declare the land to be dedicated]. In order to
place prospective buyers on notice of the roll back liability, the petitioner shall within [thirty] six
days of notice of approval record the dedication in accordance with the procedures of the bureau of
conveyances.
(e) The approval of the director of the petition to dedicate shall constitute a forfeiture on the part of the
owner of any right to change the use of [his]the land to a use other than agriculture for a minimum
period often years or twenty years as the case may be,[automatically renewable indefinitely,] subject
to cancellation or renewal as follows:
(1) [In the case of a ten-year dedication, the owner may after the ninth year and years thereafter
give notice of cancellation by filing with the director, a written notice. of cancellation, on or
before December 31, to be effective as of July 1 of the following tax year;
(2) In the case of a twenty-year dedication, the owner may during the nineteenth year and years
thereafter give notice of cancellation as provided by this subsection;
(3) In the case of a change in a major land use classification not as a result of a petition by any
property owner or lessee such that the owner's land is placed within an urban district, the
dedication may be cancelled within sixty days of the change by the owner. Upon any
conveyance or any change in ownership during the period of dedication, the land shall
continue to be subject to the terms and conditions of the dedication unless a release has been
issued by the director. Any other provision to the contrary notwithstanding an approved
change in use as provided in subsections (c) and (d) shall not alter the original dedication
period.]
Each petition for dedication shall be for a ten veer or ~ ent year period. The owner shall
reapply for renewal of the dedication by
fin
ling an ap~ligatiQn with the director on or before
September 1 of the tenth or the twentieth year. The renewal petition shall. in all respects. be
processed si.milarlv,~o an. ori' ig pal petition. Upon approval by the director of succeedine
dedications. the pro~ertv shall continue to be assessed in accordance with the provisions of
the dedication.
([fJ) ~ Failure of the owner to observe the restrictions on the use of [his] the land shall cancel
the dedication and special tax assessment privilege retroactive to the date of the dedication,
but in any event, shall not exceed the term of the original dedication, and all differences in the
amount of taxes that were paid and those that would have been due from assessment in the
higher use shall be payable with a ten percent a year penalty [from the respective dates that
these payments would have been due]. The additional taxes and penalties, due and owing as a
result of a breach of the dedication, shall be a paramount lien upon the property as provided
for by this chapter.
[(1)] Failure to observe the restrictions on the use means failure for a period of twelve consecutive
24
{ ~ ~
months to u~ .:land in that manner requested in the peg or the overt act of changing the
use for any period; provided that [a change inland use classification upon petition by the
owner of such dedicated lands, or] the petition by the owner for a change in use as provided
[in subsection c] herein, and the [owner's] subsequent change in use of such dedicated lands,
shall not be deemed to constitute a failure of the owner to observe the restrictions on use.
If the owner desires to change from one specific agricultural cate~orv to another
agricultural categeor~the owner shall so petition the director of finance and declare in
the petition that: the land-can reasonably be used. for. another...g~icultural~urpose than
that for which it is dedicated, that the land will be used for the.~ro~osed new
category
iif the petition is approved.
[(2)j ~ If an owner is permitted to change [his]the use as provided in subsections (c) and (d)]
Ate, he shall be allowed up to thirty-six months from the date of approval of his
petition to convert to the new [ranching or] agricultural [use] category. If the term of
the current dedication ends within the conversion period. the dedication maybe
extended for up to thirty-;~,ix months. If the owner fails to make the conversion within
the specified time limit he will be subject to the taxes and penalties provided above,
back to the original. Year of the current dedication. [For purposes of assessment of
taxes and penalties, the conversion period shall be considered in addition to the
specified dedication period, except, however, in the case of leased lands whose term
expires prior to or in conjunction with the end of the dedication period, the conversion
period shall be considered as a part of the dedication period.) 'The petitioner shall
submit progress reports of his efforts in converting from one agricultural use to
another agricultural use to the director of finance by the anniversary date of the
petition approval and yearly, thereafter, as long as such conversion period remains.
Any other provisions to the contrary notwithstanding, when a portion of the dedicated land is
subsequently applied to a use other than the use set forth in the original petition, only such
portion as is withdrawn from [the dedicated use] agric ltural_production [and applied to a use
other than ranching or other agricultural use] shall be taxed as provided by this subsection.
l~ In the case of ~ chan eg in ma,~or land use classification not as a result of a petition by any
propert,~own~r or lessee such that the owner's land is placed within a urban district. the
dedication
may
be cancelled within six ays of the Chang
by the owner.
The dedication will be cancelled and retroactive taxes imposed if the dedicated property or
an~portion thereof is sole[ ~v wa~of a conveyance which is subject to conveyance tax under
the terms of chapter 247, Hawaii Revised Statutes. unless the Director af.Finance shall submit
a notarized affidavit si ng ed b,~,~~~ pvyner to the ~~reau of Conveyance stating that the land
shall continue to be subject to the full rec~ements of the dedication. including~anv,penalties
for violation.
The director may
cancel. a dedication without penalty for death, health and employment
relocation cases Supporting documents must be submitted to the director of finance in such
form as rovi ed fir in the ~ inistrative rules and regulations of the department
([g]fJ' The director shall prescribe the form of the petition. The petition shall be filed with the director of
finance by September 1 of any calendar year and shall be approved or disapproved by December 15. If
approved, the [assessment based upon the use requested in the] dedication shall be effective on
[January] 1 of the [next calendar] following t.~ year.
25
~
([h]g) [The]An owner may . ,al any disapproved petition as in the cas, ~n appeal from an assessment.
[(i) The term "owner" as used in this section includes lessees of real property whose lease term extends at
least then years from the date of the petition in the case of a ten-year dedication or lessees of real
property whose lease term extends at least twenty years from the date of the petition in the case of a
twenty-year dedication.
(j) The term "agricultural use" as used in this section shall include aquaculture.
(k) A special land reserve is established to enable the owner of any parcel of land within an urban district
to dedicate his land for a specific livestock use such as feed lots, calf-raising and like operations in
dairy, beef, swine, poultry and aquaculture, but excluding grazing or pasturing, and to have his land
assessed at its value in such use; provided, that
(1) A lessee of the land with a term often or more years remaining from the date of the petition
shall also be deemed an owner of the land within these provisions;
(2) The land dedicated must be used for livestock uses such as feedlots, calf-raising and like
operations in dairy, beef, swine, poultry an aquaculture but excluding grazing and pasturing;
(3) The land dedicated must have been substantially and continuously used in the livestock uses
enumerated in (2) hereinabove;
(4) And such livestock use must be compatible with the surrounding uses.]
The value of land dedicated and used for commercial agr culture shall for r.
eat
mope tax,~ur~oses
be the value of such land for agricultural use without re_,gard to_, nyalue that such land
mieht have for
other puraoses or uses. or to neighb rips Iand uses
e,~cepting that the actual o, r potential homesite
portion of land valued according; to
any f~f the a
ng
•cultur~l catego,~ies shall
b_ a assessed at market value
of a comparably-sized homesite with a minimum homesi a area of 7500 square feet
Five general agricultural
cl
ateaories shall be used in determining the value of lands which are
dedicated for commercial agriculture:
INTENSIVE AGRICULTUREA which includes such crops as vegetables gin
e~taro herbs
nurseries. foliage. cut & potted flowers. genes dairy,, poultry feedlots and
aauaculture~
ORCHARDS which includes such crops as macadamia nuts guava banana papaya avocado
grapes ,passion fruit coffee citrus, cacao pineap~le,andn
tropical specialty fnuts
BIOMASS AND AGRONOMY CROPS which includes forage crops seed crops cane fast
rotation fores . biomassaass s~, etc•.
EXTENSIVE AGRICULTURE which includes pasture honey & honey bees and
FORESTRY which includes slow rotation forestryand r,~
otection forestry
Consideration shall be given to renh}~roductivity the advantage or disadvan~e of factors such as
location accessibility tran~pgrtation facilities size s,
hape topoQranh auali of soil water
privileges. availability of water and its cost. easements and appurtances and o the opinions ofpersons
who may be considered to have ~ ecn ial knowledge of lend values
Thatportion of dedicated lands not usable or suitable for any agricultural use shall be assessed at the
specified agricultural cate,gorv rate. That~ortion of unsuital?le land will be suLject to the retroactive
taxes and ,penalties should the dedication be breached.
26
l1 A portion or portions _ farm taken out of production or fallowe up to three vears as part of a
,good farm management plan or allocated for conservation or waste mans ement practices shall be
considered for classification and valuation as agricultural lands. A plan indicatine the acreage and
areas to be fallowed must be filed wit~i the director of finance. Pasture and intensive animal farming
are not eligible for fallowed land designation without an approved USDA conservation plan.
~ A portion or portions of parcel of land assessed as forestrv may b~ held~as a "land bank" as part of a
Qood forestrv management elan without resulting in the forfeiture of the terms of the dedication. Such
a lan in icat the acres a azeas i f r u h st be ied a roved b the
director of finance. Land banks are those portions of land on a tree farm which are temporarily left
clear of trees in order to facilitate lp
anting .and harvest accor,~ling to a good forestry mans eg_
ment
lean.
(1981, Ord. No. 613, sec. 58; Am 1984, Ord. No. 84-21, sec. 2; Am. 1991, Ord. No. 91-143, sec. 3.)
Bastion 19-56. (Golf course assessment.
Property operated and used as a golf course shall be assessed for property tax purposes on the following
basis:
The value to be assessed by the director shall be on the basis of its actual use as a golf course rather than on
the valuation based on the highest and best use of the land.
In determining the value of actual use, the factors to be considered shall include, among others rental income,
cost of development, sales price and the effect of the value of the golf course on the value of the surrounding lands.
(1981, Ord. No. 613, sec. 59.)) Reserved.
Section 19-57. [Conditions precedent to special assessment of land as golf course.
In order to qualify in having land assessed in valuation as a golf course the owner of any parcel of land
desiring or presently using his land for a golf course shall as a condition precedent qualify as follows:
(1) Dedication of land.
(A) The owner of any parcel of land for a golf course shall petition the director of finance and declare
in his petition that he will dedicate his parcel of land for a golf course.
(B) The approval by the director of finance of the petition to dedicate the land shall constitute a
forfeiture on the part of the owner of any right to change the use of the land for a minimum period
often years, automatically renewable indefinitely, subj act to cancellation by either the owner or
the director of finance upon five years' notice at any time.
(C) The failure of the owner to observe the restrictions on the use of his land to that of a golf course
shall cancel the special tax assessment privilege retroactive to the date of the dedication but not
more than ten years prior to the tax yeaz in which the exemption is disallowed; and all differences
in the amount of taxes that were paid and those that would have been due from assessment in the
higher use shall be payable with a six percent a year penalty from the respective dates that these
payments would have been due. Failure to observe the restrictions on the use means failure for
a period of over twelve consecutive months to use the land in that manner requested in the
petition as a golf course by the overt act of changing the use for any period. Nothing in this
paragraph shall preclude the County from pursuing any other remedy to enforce the covenant on
the use of the land as a golf course.
(D) The director of finance shall prescribe the form of the petition. The petition shall be filed by
September 1 of any calendar year and shall be approved or disapproved by December 15 of such
year. If approved, the assessment based upon the use requested in the dedication shall be effective
on January 1 of the next calendar year.
(E) The owner may appeal any disapproved petition as in the case of an appeal from an assessment.
(F) The term "owner" as used in this section includes lessees of real property whose lease term
extends at least ten years effective from the date of the petition.
(G) The amount of additional taxes due and owing where the owner has failed to observe the
27
~ C
i , ~
restriction o~. ,use shall attach to the property as a pars .nt lien in favor of the County as
provided for by this chapter.
(2) Covenant not to engage in discrimination. The owner shall covenant in his petition with the director
of finance that he will not discriminate against any individual in the use of the golf course facilities
because of the individual's race, sex, religion, color or ancestry.
(1981, Ord. No. 613, sec. 60.)] Reserved.
Section 19-58. Certain lands dedicated for residential use.
(a) The term "owner" as used in this section means a person who is the fee simple owner of real property, or who
is the lessee of real property whose lease term extends at least ten years from the effective date of the
[petition ]dedication.
(b) A special land reserve is established to enable the owner of any parcel of land within a hotel, apartment,
resort, commercial, or industrial district to dedicate his land for residential use and to have his land assessed
at its value in residential use; provided that
(1) The land dedicated shall be limited to a parcel used only for single-family dwelling residential use;
(2) The owner of the land dedicated shall use it as his principal residence [home] and~ualify to be in thg
homeowner's class per Section 19-53 (e)~21(A); and
(3) Not more than one parcel of land shall be dedicated for residential use by any owner.
(c) If any owner desires to use his land for residential use and to have his land assessed at its value in this use,
he shall so petition the director of finance and declare in his petition that if his petition is approved, he will
use his land for single-family dwelling residential use only and that his land so dedicated will be used
exclusively as his principal residence [home].
Upon receipt of any such petition, the director of finance shall make a finding of fact as to whether the
land described in the petition is being used by the owner for single-family dwelling residential use only and
exclusively as his [home ]principal residence. If the finding is favorable to the owner, the director shall
approve the petition and declare the land to be dedicated.
(d) The approval of the petition by the director of finance to dedicate shall constitute a forfeiture on the part of
the owner of any right to change the use of his land for a minimum period of ten years automatically
renewable thereafter for additional periods often years subject to cancellation by either the owner or the
director of finance]. The owner of a dedicated property must renew the dedication on or beforg
September 1 of the tenth year of the on final dedication or antes bsecJuent renewal period in order to
continue the dedication for the next ten years,
(e) Failure of the owner to observe the restrictions on the use of his land or the sale of the property shall cancel
the special tax assessment privilege retroactive to the date of the dedication, or the latest renewal ten-year
period, and all differences in the amount of taxes that were paid and those that would have been due from
assessment in the higher use shall be payable with a ten percent per year penalty from the respective dates
that these payments would have been due. Failure to observe the restrictions on the use means failure for a
period of over twelve consecutive months to use the land in the manner requested in the petition or the overt
act of changing the use for any period, or the sale of the real property. Nothing in this subsection shall
preclude the County from pursuing any other remedy to enforce the covenant on the use of the land.
The additional taxes and penalties, due and owing as a result of failure to use or any other breach of the
dedication shall be a paramount lien upon the property as provided for by this chapter.
(fj The director of finance shall prescribe the form of the petition. The petition shall be filed with the director
of finance by September 1 of any calendar year and shall be approved or disapproved by December 15. If
approved, the [assessment based upon the use requested in the] dedication shall be effective on [January]
J~y 1 of the [next calendar] fol~„~in~ tax year.
(g) The owner may appeal any disapproved petition as in the case of an appeal from an assessment.
(1981, Ord. No. 613, sec. 61.)
Section 19-58.1. Certain lands dedicated to nonspeculative residential use.
(a) The term "owner" as used in this section shall mean the fee owner or the lessee of real property with an
unexpired lease term of not less than ten years from the effective date of the [petition] dedication.
28
~ U
s
(b) Any owner of property ~ qualifies under sections 19-71 and 19- .,r home exemption and uses the
property exclusively for residential use may dedicate said property in its entirety to nonspeculative
residential use and have that parcel assessed in the manner provided by section 19-58.2, except that a
husband and wife, although living separate and apart, shall be entitled to dedicate only one parcel to he
nonspeculative residential use.
Exclusive residential use as used in this section shall not permit the owner to conduct any commercial
or rental activities on the property. Those owners who have dedicated their property to agricultural use [or
received the benefit of the agricultural use assessment] or native forest shall not be eligible for this
nonspeculative residential use dedication.
(c) Any owner who desires to dedicate property to nonspeculative residential use and to have the property
assessed in the manner established by section 19-58.2, shall so petition the director. Upon receipt of any such
petition, the director shall make a finding of fact as to whether or not the property described in the petition
is qualified for a home exemption pursuant to the terms and conditions of sections 19-71 and 19-72. If the
finding is favorable to the owner, the director shall approve the petition and declare the property to be
dedicated to nonspeculative residential use. In order to place prospective buyers on notice of the dedicated
status and the retroactive tax liability, the petitioner shall within sixty days of the notice of approval of the
petition record the notice of dedication in accordance with the procedures established by the bureau of
conveyances. The petitioner shall furnish the director with a copy of the recorded notice. Nonrecordation of
the notice, within the prescribed- period, shall be grounds for disallowance of the dedication.
(d) Each petition for dedication shall be for ten-year periods. The owner shall reapply for renewal of the
dedication by filing an application with the director on or before September 1 of the tenth year. The renewal
petition shall, in all respects, be processed similar to an original petition. Upon approval by the director of
succeeding dedications, the assessed valuation shall continue to be assessed in accordance with the
provisions of the nonspeculative residential use dedication.
(e) In the case of a renewal which immediately follows an expiring term, the assessment base for the new
dedication term shall be the dedicated value on the expiration date plus fifty percent of the amount of
increase between the dedicated value and the fair market valuation as of January 1, following the termination
of the dedication term.
(f) If, during any period of dedication, any breach of the dedication requirements should occur, the special
nonspeculative residential use assessment privilege shall be cancelled and retroactive taxes shall be imposed.
Breach of the dedication shall include the failure to maintain the home exemption status of the property,
violating the exclusive residential use provision, dedicating the property to agricultural use [or receiving the
benefit of the agricultural use assessment], subdivision of the property into condominium units or separate
parcels, or the sale of the dedicated property or any portion thereof sold by way of a conveyance which is
subject to conveyance tax under the terms of chapter 247, Hawaii Revised Statutes. Retroactive taxes due
and owing as a result of the breach shall be a paramount lien on the property.
(1) Provided, that the nonspeculative residential use dedication shall not be breached if the dedicated
property meets the criteria as listed below:
The following also includes provisions that are not subject to the conveyance tax under the terms
of chapter 247, Hawaii Revised Statutes, and are included for further clarification.
(A) Transferred to the owner's heirs by testacy or intestacy,
(B) Jointly owned by spouses and upon the death of one spouse ownership is transferred to the
surviving spouse,
(C) Transferred to a spouse or former spouse in connection with a property settlement agreement or
decree of dissolution of a marriage or legal separation and the new title holder continues to
occu the ~ronertv~s the ~rincinal residence,,
(D) Transferred to a trustee for the beneficial use of a spouse, or the surviving spouse of a deceased
transferor, or by a trustee of such a trust to the spouse of the trustor,
(E) Subject to a title change between spouses and said change does not result in a loss of the home
exemption status,
(F) And the heirs, surviving spouse, divorced spouse, or trustee, within sixty days after receiving title
to the property, petitions the director, in writing, to continue the dedication and the property
29
continues to .ify for the home exemption as defined ir. ,ions 19-71 and 19-72,
(G) The dedication shall not be cancelled if the lessee purchases the leased fee interest from the
lessor.
(2) Provided further that, except as provided herein, retroactive taxes shall not be assessed when:
(A) A person receives title to property dedicated to nonspeculative residential use by ways of testacy
or intestacy and does not petition the director to continue the dedication as provided in section
19-5 8.1(f)(1)(A).
(B) The dedicated property is jointly owned by spouses and upon the death of one spouse, ownership
is transferred to the surviving spouse, and the surviving spouse does not petition the director to
continue the dedication as provided in section 19-58.1(f)(1)(B).
(C) The property is wholly or partially destroyed or damaged as a result of fire, seismic or tidal wave,
volcanic eruption, earthquake, flood waters and wind or rain storm.
The owner may cancel the dedication for the reasons enumerated in paragraph (2)(C) by submitting
written notice of the cancellation within sixty days of the damage or destruction. Cancellations shall become
effective July 1 ofthe next tax year, and the property shall be assessed in accordance with section 19-53(a).
(g) The director shall prescribe the form of the petition. The petition shall be filed with the director by November
1, 1991 and shall be approved or disapproved by December 31, 1991, in order to qualify for the following
tax year. In any year after 1991, the petition shall be filed with the director by September 1 of any calendar
year and shall be approved or disapproved by December [31 ] 15 of that year.
(h) Upon approval, the dedication shall become effective July 1 of the following tax year. In determining the
assessed value, the [fair] market value [the market data approach shall be utilized. ]shall be detertn~ined as
required in Section 19-53 (al. [In the event that the real property tax office is unable to determine the fair
market value for the dedication based on the market data approach, the prior assessed value shall be utilized
until the calculation is completed. Upon completion of the market data approach calculation, then that fair
market value shall be the dedicated value for the remaining term of the dedication.] The owner may appeal
any disapproved petition or cancellation of dedication as in the case of an appeal from an assessment.
(1990, Ord. No. 90-137, sec. 3; Am. 1991, Ord. No. 91-109, sec. 2; Am. 1991, Ord. No. 91-122, sec. 2.)
Section 19-58.2. Nonspeculative residential use assessment.
Properties approved by the director for dedication to nonspeculative residential use shall be assessed for real
property tax purposes in the following manner:
(a) Property, approved for nonspeculative residential use dedication, shall be assessed for real property tax
valuation purposes on its market [data information available on the calendar year of the application.]value
as of [T]the assessment date [shall be] of January 1 of the calendar year following the petition approval. This
assessment shall be frozen for the dedication period, except for adjustments as provided for in this section.
(b) Upon approval by the director of succeeding dedications by the owner of the same property, the assessed
valuation shall continue to be assessed in accordance with the provisions of section 19-58.2(a).
(c) If any improvements are undertaken on the dedicated property, and such improvements increase the [fair]
market value of the dedicated property, the assessment shall be increased based on the [fair] market value
of the improvements undertaken, however, the assessed valuation for ensuing tax years shall be determined
in accordance with the provisions of section 19-58.2(a).
(d) If any improvements are undertaken on the dedicated property, the owner shall obtain the required building
permit for the construction of new or additional improvements or renovations of the dedicated property.
Violation of this reporting requirement will result in cancellation of the dedication and activate payment of
retroactive taxes and penalties.
(e) In the case where additional dwelling units are constructed or asingle-family dwelling unit is renovated or
converted into a two or more family dwelling unit all in accordance with article 25, chapter 25, Hawaii
County Code of 1983, the dedication shall not be cancelled provided the owners within sixty days of the
change submit a written application to continue the dedication and file the claim for home exemption and
the owners would continue to be eligible for the home exemption. If the owner fails to submit the written
application in a timely manner or uses the additional dwelling units or renovated areas for rental or income
producing purposes the dedication shall be cancelled and the retroactive taxes imposed.
30
• ~
Occupanc,
oy f a sew living_unit by an immediate family mei is permissible under this section
and is not considered a breach of dedication provided all other provisions are met For the ,purpose of this
section immediate family is defined as: parents
brothers. sisters. snous~s , children. ,parents-in-law
rg
~dparenls, and grandchildren.
(fj If the dedicated property loses the home exemption under which it was dedicated, or if the dedicated property
or any portion thereof is sold by way of a conveyance which is subj ect to conveyance tax under the terms
of chapter 247, Hawaii Revised Statutes, the dedication shall be deemed breached.
(g) Retroactive assessments shall be imposed upon the breach of the dedication. The retroactive assessment shall
be calculated as the cumulative difference between the amount that should have been owed without the
dedication less the amount actually paid for each of the years deemed to be in breach plus [interest] enal
at a rate often percent per year. If the dedicated property is sold, the retroactive assessment for that year shall
be calculated as the difference between the dedicated value and the higher of either the actual selling price
or the value of the property at its actual use. In the case of properties dedicated to nonspeculative use, notice
of assessment as prepared under section 19-27 shall delineate the dedicated value and [fair] market value,
beginning tax year 1993-94.
(1990, Ord. No. 90-137, sec. 3; Am. 1991, Ord. No. 91-122, sec. 3.)
Section 19-58.3. [Rules and regulations.
The director of finance may promulgate rules and regulations as may be necessary to administer sections
19-58.1 and 19-58.2.
(1990, Ord. No. 90-137, sec. 3.)] Reserved.
Section 19-58.4. Native Forest Iedication.
AnY property five acres or larger within Agricutural. Intensive Agricultural. Open or Unplanned zoned
districts wh' h i r d wit at le s :five int ct nti uous r of n five for st is eli i 1 f r edication
as native forest„property if it meets the classification requirements of native forest as established by the director
of finance.
"Native forests" means lands which have 60 percent or greater native species forest cover. Native species
are defined as those indigenous to the Hawaiian islands. Indigenous in this context shill mean plants that became
estab ' ed or evolved an the Hawaiian islands without the aid of human beings. The forest cover requirement may
be met b native e i in either th tree 1 er or h un " r to la r r a c m ina ' n of the two • rovided a
minimum 25 percent of the forest cover shall contain tree cover. Land taxed as native forest shall be maintained
according to sound land management practices such that soil erosion is minimized. forei
ng,~species are controlled.
and the watershed is protected.
(a) An owner who desires to dedicate the land for [N] native [F] forest preservation for a period of twenty
years shall petition the director of finance and demonstrate in the petition that the land qualifies as [N]
native [F] forest as provided [in section 19-53(h)] herein. The term "owner" includes lessees of real
property whose term extends at least twenty years from the effective date of the [petition] dedication.
(b) The petition shall be filed with the director of finance by September 1 of any calendar year and shall be
approved or disapproved by December 15. If approved, the [assessment based upon the use requested in
the] dedication shall be effective on [January] J~ 1 of the [next calendar] f~ll~win tax year.
(c) The director of finance shall determine whether or not land qualifies as a native forest by
using
current
natural resource or vegetation macs or other acceptable evidence Other acceptable evidence includes
but is n t~ limited to;
A written affidavit by a recognized rn
ofessional...,,Ln the field of natural resources_ or
A finding by a county. state qr federal agency or department with the relevant expertise in the
field of natural resources.
If the director's findings are favorable, the petition shall be approved and the land shall be declared
dedicated. Approval of the petition to dedicate shall constitute a forfeiture on the part of the owner of any
right to change the use of the land to a use other than preservation for a minimum period of twenty years.
The[ N] native jF] forest classification shall be rescinded and all retroactive taxes and penalties due to a
31
v R
breach of the dedica~ shall be imposed if:
(1) The cover of native forest species falls below 60 percent:
(2) The property is rezoned to a higher use at the owner's request:
(3) The property is subdivided into parcels of less than five acres [or less] in size or into
condominium units with an area equivalent to less than five acres in size: or
(4) The dedicated property or any portion thereof is sold byway of a conveyance which is subject
to conveyance tax under the terms of chapter 247, Hawaii Revised Statutes, unless the director
of finance submits a notarized affidavit signed by the owner to the bureau of conveyances stating
that the land shall continue to be subject to the full requirements of the dedication, including the
full penalties and roll back taxes imposed for violation.
In order to place prospective buyers on notice of the roll back tax liability, the owner shall, within
sixty days of notice of approval, record the dedication in accordance with the procedures of the
bureau of conveyances.
(d) Other provisions to the contrary notwithstanding, aportion or portions of a parcel of land that is being
assessed and dedicated as pasture maybe taken out of production as part of an approved forest restoration
plan set forth in this chapter for the duration of the approved restoration period without breaching the
terms of the agricultural use dedication.
1,~ Such a plan indicating the acreage and area. as well as the specific forest restoration work to be
done shall fit d wi an r e b the dire for of ante. If the tan is a rove the land
shall continue to beg:iven-the same pasture assessment.
The owner shall. provide to .the director of ,finance yearly evidence that the forest
restorati n l i ein 'm 1 d well a si ed an n tarized a davit b a
recognized forestry professional that the restoration~lan is likely to succeed within the
desi ated ' ri d. er 1 n i o 1 a1 h r re uire nts of the
'c ltural as m nt in 1 din rovidin e 1 ro f a orti n f arcel
not bei est to a 've f rest '1 in assessed for an a 'cultural us
continues to be used and .maintained substantially and continuously in the aobroved
agricultural use.
If, at the end of the time period designated by the native forest restoration plan, the land meets
the requirements of the native forest [category as]clas described in[(h) of] this [section] chapter,
then it shall be classified an ed icated as a native forest. If, at the end of the time period
designated in the plan, the land does not meet the requirements of the native forest [category]
class, the[land may be returned] owner m return 1 d to its designated[agricultural] use as
pasture or it shall be assessed and taxed at [fair] market value.
(e) [A petition for Native Forest dedication shall be for atwenty-year period, which land shall be taxed at fifty
percent of its assessed value] The owner may reapply for renewal of the dedication by filing an
application with the director on or before September 1 of the twentieth year. The renewal petition shall,
in all respects, be processed in the same manner as an original petition. Upon approval of succeeding
dedications by the director of finance, the property shall continue to be assessed in accordance with the
provisions of this section.
(f) While dedicated, the land shall be assessed at a preferential per acre value in its restricted preservation use
[in amanner set forth in section 19-53(h)]. ln, determining the value of lands which are classified natiy~
forest the director shall assign the value ofthe lowest agricultural use category that the land could uglify
for if it were to be nut into a 'cultural use.
(g) If forest[s] dedicated for [N] native [F] forest preservation is destroyed in whole or in part by fire,
hurricane or other disasters, the director may continue the dedication upon submittal and approval of a
forest restoration plan as provided in this section [19-53(f)(4)].
(h) Failure of the owner to observe the restrictions on the use of the land or the sale of the property shall
cancel the special tax assessment privilege retroactive to the date of the dedication, or the latest renewal
period, and all differences in the amount of taxes that were paid and those that would have been due from
assessment in the higher use shall be payable with a ten percent per year penalty.
(i) The owner may appeal a petition that has been disapproved as in the case of an appeal from an assessment.
(1996, Ord. No. 96-71)
32
[Article 8. V6~asteland Develop.
Section 19-59. [Definitions.
When used in this article:
(1) "Department" means the department of finance;
(2) "Director" means the director of the department of finance;
(3) "Wasteland" means land which is classified as such by the director of the department of finance; and
(4) The term "owner" shall include any person leasing the real property of another under a lease having
a stated term of not less than thirty years.
(1981, Ord. No. 613, sec. 62.)J
Urban district dedications.
~ Anv owner oftaxable real property in an urban district desiring to dedicate a uortion or,portions thereof for
landscaping, open spaces. public recreation- and other similar uses shall petition the director of finance
tati a exact area f th 1 e icate d h t th land is n t within the setback and ens ace
requirements of applicable zoning and building code laws and ordinances. and that the land-shall be used.
imr ved, and maintained in accordance with and for the sole. p~r,~ose fo~,whi~h it was dedicated, except that
land within a historic district may be so dedicated without regard to the setback and oven space requirements
of applicable zoning anal buil~ing„code ~ws and ordinances.
The director shall make a finding as to whether the use to which such land will be dedicated has ~
benefit to tie public at least equal to the value of the-real property taxes for such land. Such findin sQ hall bg
measured b the cost f im r ements th n in 'n mai n e ereof and such oth r factors as the
director may deem pertinent. If the director finds-that the public benefit is at least equal to the value of real.
grope taxed i'Q; such land. he shall approve the,petition and declare such land to be dedicated land.
b~ The approval of the petition by the director shall constitute a forfeiture on the part of the owner of anv right
to change the use of his land for a minimum period often years. The owner of a dedicated property must
renew the dedication on or before September 1 of the tenth year of the original dedication
or
anv subsequent
renewal period in order to continue the dedication for the n@x~ tex~~ears.
~ Failure of the owner to observe the restrictions on the use improvement. and maintenance of his land shall
cancel the special tax exemption privilege retroactive to the date of the original dedication or to the latest
renewal date whichever is later, and all di£ferenees in the ~ unt of taxes that were p,~ and those that would
have been- the asses m n h tax x m ed o i o 's land sh Il be a abl -toe er with
penalty of tecent a veer from the respective dates that these payments would have been due. Failure to
obse a the res 'cti ns n h can a for a e ' f ver twelve o secu ive n hs to use
improve, and maintain th.e land in the manner requested in the petition or anv overt act changing the use for
anX~perigd. Nothing in this parasraph shall preclude the County frompursuing any other remed to~enf.-orce
the covenant Qn the use Qf the land.
The director,~hall prescribe the form of the petition The petition shall be filed with the director by
September 1 o env calendar year and shall be
anmoved or disapproved by December 15 of such year. If
ap rp
owed, the dedication shall become effective July 1 of the following
tax
veer
~ The owner may appeal env disa~~~~ved petition as in the case of an ap ep al from an assessment
f~ The director shall make and adopt necessary rules anti regulations including such rules and regulations
governing minimum areas which maybe dedicated for the improvement and maintenance of such areas
~ "T andscapinQ" means lands which are im
r~
Dyed by landscape architecture~c ltivated pl~n~ings or
gardening.
"Oven spaces" means lands which are open to the public for pedestrian use and momentary repose
relaxation. and contemplation.
"Public recreation" refers to lands which may be used by the public as parks playgrounds historical
sites camp erounds wildlife refuge scenic sites, end other similat uses
"Owner" includes lessees of real property whose lease term extends at least ten years from the effective
date of the dedication.
(1981.Ord. No. 613. sec. 84.)
33
9 ~
Section 19-60. [Eligibility.
Any properly of not less hap twenty-five acres in area is eligible for classification as wasteland development
property if it meets the classification requirements of «asteland properly as established by the director of finance.
No real properly under a lease having an unexpired term of less than thirty years shall be eligible for classification
as wasteland development property.
(1981, Ord. No. 613, sec. 63.)]
Dedication. for historic residential real p~erty ,preservation.
~ An owner of taxable real ro that is the si a of a e i n ial ro ert that has been laced on
the Hawaii. Register of Historic daces after January 1. 1977. desiring to dedicate a portion or portions
thereof for (iistoric preservation,, ~hal~;peti ion the director of finance.
The director of finance shall approve the petition and determine what portion or portions of the real
property shall be exempted except for the minimum tax from real property taxes The director shall
consult with the State Historic Preservation Office. in making this determination. The director may take
into consideration whether the current level ~f taxation is a material factor which threats the continued
existence of the historic properly. and may determine the total area or areas of the real ro erty that shall
be exempted.
~ The approval of the petition of the director shall constitute a forfeiture on the part of the owner of any righht
to change the use of his propertyfor a minimum period often years.
~ Anv
perperson. who becomes an owner of real nr~pe that i,~germitte~ exem,~ti.on under this section shall
bebe subiect to the restrictions and duties imposed under this section.
~f The director sh~11 prescribe the f~mof l,~i~~etition. The petition shall be filed with the director by
September 1 of env calendar year and shall be approved or disapproved by December 15 of such year. If
approved, the dedication shall become effective. July 1 of ~e following tax year
~ An owner ap
lip~cant mma~appeal any determination as in the case of an appeal from an assessment.
Snbiect to chapter 91, Hawaii Revised Statutes. the director shall adopt rules and regulation, decreed
necessary to accomplish the foregoing
(1981.Ord. No. 837, sec. 2.)
Section 19-61. [Application.
The owner of any property may apply to the director of finance for classification of his land as wasteland
development property. The application shall include a description of the property, the manner in which the
property will be developed, and such additional information as maybe required by the director. The application
shall state that all persons having any interest in or holding any encumbrance upon the property have joined in
making the application and that all of them will comply with the laws and regulations relating to the use, building
requirements, and development of real property.
(1981, Ord. No. 613, sec. 64.)] (Reserved)
Section 19-62. (Classification.
Within four months after the filing of the application with the director of finance, the director shall make a
finding of fact as to the eligibility of such land for classification as wasteland development property, whether it
can be developed in the manner specified by the owner, whether the development will add to the development of
the economy of the State, and whether the development will broaden the tax base of the State. The determination
shall be based upon all available information on soils, climate, land use trends, watershed values, present use of
surrounding similar lands, and other criteria as maybe appropriate.
Upon the finding by the director that the properly is eligible for classification as wasteland development
property, that it can be developed in the manner specified by the owner, that the development will add to the
economy of the State, and that it will broaden the tax base of the State, the property shall be classified as wasteland
development property. If the director finds it otherwise for any one of the above criteria, the application shall be
disapproved.
The applicant may appeal any disapproved application as in the case of an appeal from an assessment.
Land classified as wasteland development property shall be administered by the department of finance and
34
i p
the department may from time .me make rules and regulations for their G iistration pursuant to chapter 91,
Hawaii Revised Statutes.
(1981, Ord. No. 613, sec. 65.)] (Reserved)
Section 19-63. [Development and maintenance of wasteland development property.
Within one year following the approval of the application, the owner shall develop that portion of his land
as specified in his application and as approved by the director of finance. Additional areas shall be developed each
year as prescribed by the director.
(1981, Ord. No. 613, sec. 66.)] (Reserved)
Section 19-64. [Special tax assessment.
Any properly classified as wasteland development property by the director of finance shall be, for a period
of five years, assessed for real property tax purposes at its value as wasteland. The five-year period shall
commence from January 1 of the calendar year following the approval of the application.
(1981, Ord. No. 613, sec. 67.)] (Reserved)
Section 19-65. [Declassification.
Thirty days after notification to the owner by the department of finance for noncompliance of any law,
ordinance, rule, or regulation, the director of finance may declassify any land classified as wasteland development
property. The department shall notify the owner of the declassification and in that event, the director shall cancel
the special tax assessment provided in section 19-64 retroactive to the date that the property qualified for special
tax assessment and the difference between the real property taxes that would have become due and payable but
for such classification for all the years the land was classified as wasteland development property and the real
property taxes paid by the owner during such period shall become immediately due and payable together with a
five percent a year penalty from the respective dates that such additional tax would otherwise have been due.
(1981, Ord. No. 613, sec. 68.)] (Reserved}
Section 19-66. [Appeals.
Any person aggrieved by the additional assessment for any year may appeal from such assessment in the
manner provided in the case of real property tax appeals.
(1981, Ord. No. 613, sec. 69.)] (Reserved)
Article 9. Nontaxable Property; Assessment.
Section 19-67. Nontaxable property.
For purposes of accountability, the director of finance shall assess at the nominal sum of [$1] 100 each
parcel of real property which is completely exempt from taxation.
(1981, Ord. No. 613, sec. 70; Am. 1990, Ord. No. 90-138, sec. 3.)
Article 10. Exemptions.
Section 19-68. Claims for certain exemptions.
(a) None of the exemptions from taxation granted in sections 19-71,[ 19-73] 19-76 to 19-78 and 19-89.2 shall
be allowed in any case, unless the claimant shall have filed with the department of finance, on or before
December 31 preceding the tax year for which such exemption is claimed, a claim for exemption in such
form as shall be prescribed by the department.
(b) A claim for exemption once allowed shall have continuing effect until:
(1) The exemption is disallowed;
(2) The assessor voids the claim after first giving no less than thirty days notice (either to the
claimant or to all claimants in the manner provided for by ordinance), that the claim or claims
on file will be voided on a certain date less than thirty days after such notice];
(3) The five-year period for exemption, as allowed in section 19-78, expires; or
35
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(4) The claiman~ .aces the report required by subsection (d).
(c) A claimant may file a claim for exemption even though there is on file and in effect a claim covering the
same premises, or a claim previously filed .and disallowed or otherwise voided. However, no such claim
shall be filed if it is identical with one already on file and having continuing effect. The report required
by subsection (d) may be accompanied by or combined with a new claim.
(d) Any person who has been allowed an exemption under sections 19-71, (19-73] 19-76 to 19-78 or 19-89.2
has a duty to report to the assessor within thirty days after he ceases to qualify for such an exemption for
one of, but not limited to, the following reasons:
(1) He ceases to be the owner, lessee, or purchaser of the exempt premises;
(2) A change in the facts previously reported has occurred concerning the occupation, use, or renting
of the premises, buildings or other improvements thereon; or
(3) Some other change in status has occurred which affects his exemption.
Such report shall have the effect of voiding the claim for exemption previously filed, as provided
in subsection (b)(4). The report shall be sufficient if it identifies the property involved, states the change
in facts or status, and requests that the claim for exemption previously filed be voided.
In the event the property comes into the hands of a fiduciary who is answerable as provided for
by this chapter, the fiduciary shall make the report required by this subsection within thirty days after his
assumption of his fiduciary duties or within the time otherwise required, whichever is later.
Any person who has a duty of making a report as required by this subsection, who within the time
required fails to make a report, shall be liable for a civil penalty. The amount of the penalty shall be $100
[or the amount of the taxes on the property computed without the claim for exemption as of January 1 of
the year in which the report was due, whichever is lesser] . The penalty shall be recovered as provided for
by ordinance. In addition to this penalty, the taxes due on the property plus any additional penalties and
interest thereon shall be collected as property taxes and shall be a lien on the property as provided for by
ordinance.
(e) In addition to any penalty set forth in article 10, any individual who files a fraudulent claim for exemption
or attests to any false statement, with the intent to defraud or to evade the payment of taxes or any part
thereof, or who in any manner intentionally deceives or attempts to deceive the department of finance,
shall be fined $1,000. This fine shall attach as a paramount lien against the property for which the claim
for exemption is filed.
(f) If the assessor is of the view that, for any tax year, the exemption should not be allowed, in whole or in
part, he may at any time within two [five ]years of January 1 of that year disallow the exemption for that
year, in whole or in part, and may add to the assessment list for that year the amount of value involved,
in the manner provided for by ordinance for the assessment of omitted property; provided, that if an
assessment or addition under this subsection is made after Apri19 preceding the tax year, the taxes on the
amount of value involved in the assessment or addition so made shall be made a lien as provided for by
this chapter by recording a certificate setting forth the amount of tax involved, penalties, and interest.
(g) In any case of recordation of a certificate for the amount of the civil penalty under subsection (d), or for
the amount of tax, penalties, and interest assessed or added under subsection (f), a person shall be deemed
to have an interest arising before the recordation of the certificate only if and to the extent that he
acquired his interest in good faith and for a valuable consideration without notice of a violation of the
requirements of subsection (d) having occurred.
(1981, Ord. No. 613, sec. 72; Am. 1987, Ord. No. 87-116, sec. 2; Am. 1990, Ord. No. 90-138, sec. 4; Am. 1994,
Ord. No. 94-24, sec. l.)
Section 19-69. [Dines and regulations.
[The director of finance may promulgate rules and regulations as may be necessary to administer sections
19-70 to 19-84.] (Deserved)
(1981, Ord. No. 613, sec. 73.)
Section 19-70. Assignment of partial exemptions.
Unless otherwise specifically provided, allowable exemptions shall be applied first to the value of the
36
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buildings on the land and the r, ..nder of the unused exemption if any, to clue of the land. (1981, Ord. No.
613, sec. 74.)
Section 19-71. Homes.
(a) Real property owned and occupied only as his or their principal home as of the date of assessment by an
individual or individuals, shall be exempt only to the following extent from property taxes:
(1) Totally exempt where the value of the property is not in excess of $40,000;
(2) Where the value of the property is in excess of $40,000, the exemption shall be the amount of
$40,000.
Provided:
(A) That no such exemption shall be allowed to any corporation, co-partnership, or company;
(B) That the exemption shall not be allowed on more than one home for any one taxpayer;
(C) That where the taxpayer has acquired his home by a deed made on or after July 1, 1951,
the deed shall have been recorded on or before December 31 immediately preceding the
year for which the exemption is claimed;
(D) That a husband and wife shall not be permitted exemption of separate homes owned by
each of them, unless they are living separate and apart, in which case they shall be
entitled to one exemption, to be apportioned eauall~ between each of their respective
homes [in proportion to the value thereof]; and
(E) That a person living on premises, a portion of which is used for commercial or rental
purposes, shall not be entitled to an exemption with respect to such portion, but shall be
entitled to an exemption with respect to the portion thereof used exclusively as a home;
(F) That in the case of a lease of Hawaiian homestead lands, where either a husband or wife
is ofnon-Hawaiian descent, either spouse shall be entitled to the home exemption in the
same manner as if either spouse was considered the owner thereof, rovided roof of
marria a is submitted h dir ctor f ante.
(b) The use of a portion of any building or structure for the purpose of drying coffee and the use of a portion
of real property, including structures, in connection with the planting and growing for commercial
purposes, or the packing and processing for such purposes, of flowers, plants, or foliage, shall not affect
the exemptions provided for by this section.
(c) Where two or more individuals by life interest and remainderman, j ointly, by the entirety, or in common
own or lease land on which their homes are located, each home, if otherwise qualified for the exemption
granted by this section, shall receive the exemption. If a portion of land held by life interest and
remainderman. iointly, by the entirety, or in common by two or more individuals is not qualified to receive
an exemption, such disqualification shall not affect the eligibility for an exemption or exemptions of the
remaining portion.
(d) A taxpayer who is sixty years of age or over and who qualifies under subsection (a) shall be entitled to
one of the following multiples of home exemption:
Multiple to be Used in Computing Home
Age of Taxpayer Exemption Amount
60 years of age or over but
not 70 years of age or over 2.0
70 years of age or over 2.5
For the purpose of this subsection, a husband and wife who own property by life interest and
remainderman, jointly, by the entirety, or in common, on which a home exemption under the provisions
of subsection (a) has been granted shall be entitled to the applicable multiple of home exemption set forth
above when at least one of the spouses qualifies each year for the applicable multiple of home exemption.
(e) For purposes of this section, the term "principal home" is defined as the place where an individual has a
true, fixed, permanent home and principal establishment, and to which place the individual has, whenever
absent, the intention of returning. It is the place in which an individual has voluntarily fixed [their]
habitation, not for mere special, temporary, or vacation purpose, but with the intention of making a
37
o
permanent home.
(1981, Ord. No. 613, sec. 75; Am. 1982, Ord. No. 766, sec. 3; Am. 1990, Ord. No. 90-138, sec. 5.)
Section 19-72. I€oine, lease, lessees defined.
For the purpose of section 19-71 the word "home" includes:
(1) The entire homestead when it is occupied by the taxpayer as such;
(2) A residential building on land held by the lessee or his successor in interest under a lease for a
term of [five] ten years or more for residential purposes and owned and used as a residence by
the lessee or his successor in interest, where the lease and any extension, renewal, assignment,
or agreement to assign the lease, have been duly entered into and recorded prior to January 1
preceding the tax yeaz for which the exemption is claimed, and whereby the lessee agrees to pay
all taxes during the term of the lease;
(3) An apartment which is a living unit (held under a proprietary lease by the tenant thereof) in a
multi-unit residential building on land held by a cooperative apartment corporation (of which the
proprietary lessee of such living unit is a stockholder) under a lease for a term of [five] ten years
or more for residential purposes and which apartment is used as a residence by the
lessee-stockholder, where the lease and any extension or renewal have been duly entered into and
recorded prior to January 1 preceding the tax year for which the exemption is claimed, and
whereby the lessee-stockholder agrees to pay all taxes during the term of the lease,, [provided that:
(A) The exemption shall not be allowed in respect to any cooperative apartment unit where
the owner of the cooperative apartment unit claims exemption on a home or other
cooperative apartment unit; and
(B) The owner or owners of a cooperative apartment building or premises shall not be
pemutted exemptions where a husband and wife owner of a cooperative apartment unit
own separate cooperative apartment units or separate homes owned by each of them,
unless they are living separate and apart, in which case the owner of the cooperative
apartment or premises shall be entitled to one-half of one exemption;]
(4) An apartment in a multi-unit apartment building which is occupied by the owner of the entire
apartment building as his residence[, provided that:
(A) The exemption shall not be allowed in respect to any apartment owner who claims any
other home exemption; and
(B) A husband or wife owner of the aforementioned type of apartment shall not be allowed
a full exemption where the husband and wife are living separate and apart and each is
maintaining an apartment or home entitled to an exemption, in which case they shall be
entitled to one exemption to be apportioned between each of their respective homes in
proportion to the value thereofJ;
(5) That portion of a residential duplex and that portion of land appurtenant to the duplex which are
occupied by the owner of the duplex and land as his residence[, provided that:
(A) The exemption shall not be allowed in respect to any duplex owner who claims any other
home exemption;
(B) The portion of the appurtenant land shall not be exempt unless owned in fee by the
duplex owner; and
(C) A husband or wife owner of the duplex shall not be allowed a full exemption where the
husband and wife are living sepazate and apart and each is maintaining a duplex or home
entitled to an exemption, in which case they shall be entitled to one exemption to be
apportioned between each of their respective homes in proportion to the value thereofJ;
(6) [Premises held under an agreement to purchase the same for a home, where the agreement has
been duly entered into and recorded prior to January 1 preceding the tax year for which the
exemption is claimed, whereby the purchaser agrees to pay all taxes while purchasing the
premises. ]
[(7)] An apartment which is a living unit (held under a lease by the tenant thereof) in a multi-unit
residential building used for retirement purposes under a lease for a term to last during the
lifetime of the lessee and his or her surviving spouse and which apartment is used as a residence
38
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t
by the lesse. .his or her surviving spouse, and where .partment unit reverts back to the
lessor upon the death of the lessee and his or her surviving spouse, and where the lease has been
duly entered into and recorded prior to January 1 preceding the tax year for which the exemption
is claimed, and whereby the lessee agrees to pay all taxes during the term of the lease.
[The subletting by the taxpayer of not more than one room to a tenant shall not affect the
exemption provided for by section 19-71.]
As used in section 19-71, in the first paragraph of section 19-48 and in section 19-68, the
word "lease" shall be deemed to include asub-lease, and the word "lessee" shall be deemed to
include asub-lessee.
(1981, Ord. No. 613, sec. 76.)
Section 19-73. Homes of totally disabled veterans.
Real property owned and occupied as a home by any person who is totally disabled due to injuries
received while on duty with the armed forces of the United States, or owned by any such person together with his
or her spouse and occupied by either or both spouses as a home, or owned or occupied by a widow or widower of
such totally disabled veteran who shall remain unmarried and who shall continue to own and occupy the premises
as a home, is hereby exempted ex~e
t for the minimum tax, from all property taxes, other than special assessments,
provided:
(1) That such total disability was incurred while on duty as a member of the armed forces of the
United States, and that the department of finance may require proof of total disability;
(2) That the home exemption shall be granted only as long as the veteran claiming exemption remains
totally disabled;
(3) That the exemption shall not be allowed on more than one house for any one person;
(4) That a person living on premises, a portion of which is used for commercial or rental purposes,
shall not be entitled to an exemption with respect to such portion, but shall be entitled to an
exemption with respect to the portion used exclusively as a home; provided, that this exemption
shall not apply to any structure, including the land thereunder, which is used for commercial
rental purposes.
For the purposes of this section, the word "home" includes the entire homestead when it is
occupied by a qualified totally disabled veteran as a home; [houses where the disabled veteran owner
sublets not more than one room to a tenant;] and premises held under an agreement to purchase the
same for a home, [where the agreement has been duly entered into and recorded prior to January 1
preceding the tax year for which exemption is claimed,] whereby the purchaser agrees to pay all taxes
while purchasing the premises.
(1981, Ord. No. 613, sec. 77.)
Section 19-74. Persons affected with [leprosy] Hansen'$ Disease.
Any person who. has been declared by authority of law to be a person affected with [leprosy] Hansen's
Disease in the communicable stage and is admitted to a hospital for isolation treatment, shall, so long as he is so
hospitalized, and thereafter for so long as such person has been so declared to be therefrom temporarily released,
shall, so long as he remains or continues under temporary release, be exempted except for~he minimum tax from
real property taxes on all real property owned by him on the date when he was declared to be a person so affected
with [leprosy) Hansen's Disease. up to, but not exceeding, a taxable value of [$25,000] 50 000.
(1981, Ord. No. 613, sec. 78; Am. 1982, Ord. No. 766, sec. 4.)
Section 19-75. Exemption, persons witl? impaired sight or hearing and persons totally disabled.
(a) Definitions as used in this chapter:
(1) "Blind" means a person whose central visual acuity does not exceed 20/200 in the better eye with
correcting lenses, or whose visual acuity is greater than 20/200 but is accompanied by a limitation
in the field of vision such that the widest diameter of the visual field subtends an angle no greater
than twenty degrees.
(2) "Deaf
' means a person whose average loss in the speech frequencies (five hundred to two
thousand Hertz) in the better ear is eighty-two decibels, A.S.A., or worse.
39
~ k
a
4
(3) "Person tote isabled" means a person who is totally a -rmanently disabled, either
physically or mentally, and who except for such total disability would be able to engage in any
substantial gainful business or occupation.
(b) Any person who is blind or deaf, as defined in subsection (a) of this section,[ so] as long as the person's
sight or hearing is so impaired, shall be exempt except for the minimum tax, from real property taxes on
all real property owned by the person up to, but not exceeding a taxable value of $50,000. The impairment
of sight or hearing shall be certified to by a licensed ophthalmologist, optometrist or otolaryngologist, as
the case may be, on forms prescribed by the department of finance.
(c) Any person who is totally disabled, as defined in subsection (a) of this section, as long as the person is
totally disabled, shall be exempt exce t for a minimum taxi from real property taxes on all real property
owned by him up to, but not exceeding a taxable value of $50,000. The disability shall be certified to by
(1) a physician licensed under chapter 453 or 460, or both, (2~, a aualified out-of--state ~hvsician who is
currently lice sed to practice in t_he state in which the phvsician Resides or (3) a commissioned medical
officer in the United States military services- or Public Health Service en~agmed in the discharge of one's
official duty Cer,~ication shall be on forms prescribed by the department of finance. For disabled
veterans the goof of disability submitte for section 19-73 (11 by the Veterans Administration. can be
substituted for-the physician's certification of disability Q~fi~ial documentation from the Social Security
Adrninistratic,~n
can ~1so be substituted for-the p,~sician's certification of disability.
(d) Any person suffering from a temporary or momentary impairment of sight, hearing, or total disability shall
be required to submit an annual certification or recertification,. performed by a qualified ophthalmologist,
optometrist, otolaryngologist, or licensed physician, as the case maybe, attesting to the continued
impairment of sight, hearing, or total disability. The exemption shall be disallowed for failure to submit
the required annual certification or recertification report.
(e) Any person who qualifies for the exemptions identified in subsection (b) or (c) of this section shall be
allowed to apply for only one of the exemptions established in this section.
(fj In the case of a lease of Hawaiian homestead land, where either a husband or wife is of non-Hawaiian
descent, either spouse shall be entitled to the blind, deaf, or totally disabled exemption in the same manner
as if either spouse was considered the owner thereof, ~rovide~proof of marriase is submitted to the
director of finance
(g) In the event that a person qualifies for the home exemption as provided in section 19-71 and the blind,
deaf, or totally disabled exemption as provided in this section, the exemptions shall be granted to the
claimant in the following order. The home exemption shall be granted first, then followed by the
applicable blind, deaf, or totally disabled exemption on the property claimed as the owner's principal
residence. Thereafter, the exemption provided by this section shall be applied to any other property
designated by the claimant.
(1981, Ord. No. 613, sec. 79; Am. 1982, Ord. No. 766, sec. 5; Am. 1989, Ord. No. 89-150, sec. 2; Am. 1990, Ord.
No. 90-152, sec. 2.)
Section 19-76. Nonprofit medical, hospital indemnity associations; tax exemption.
Every association or society organized and operating under chapter 433, HRS, solely as a nonprofit
medical indemnity or hospital service association or society or both shall be, from the time of such organization,
exempt except for the minimum tax, from real property taxes on all real property owned by it.
(1981, Ord. No. 613, sec. 80.)
Section 19-77. Charitable, etc., purposes.
(a) There shall be exempt except fo~he minimum tax. from real property taxes real property designated
in subsection (b) or (c) and meeting the requirements stated therein, actually and (except as otherwise
specifically provided) exclusively used for nonprofit purposes. If an exemption is claimed under one
of these subsections (b) and (c), an exemption for the same property may not also be claimed under the
other of these subsections.
(b) This subsection applies to property owned in fee simple, leased, or rented for a period of one year or
more, by the person using the property for the exempt purposes, hereinafter referred to as the person
claiming the exemption. If the property for which exemption is claimed is leased or rented, the lease or
40
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s
9 f
rental agreement shy in force and recorded in the bureau of c~ fiances.
Exemption is allowed by this subsection to the following property:
(1) Property used for school purposes including:
(A) Kindergartens, grade schools, junior high schools, and high schools, which carry on a
program of instruction meeting the requirements of the compulsory school attendance
law, section 298-9, Hawaii Revised Statutes, or which are for preschool children who
have attained or will attain the age of five years on or before December 31 of the school
yeaz, provided that any claim for exemption based on any of the foregoing uses shall be
accompanied by a certificate issued by or under the authority of the department of
education stating that the foregoing requirements are met;
(B) Junior colleges or colleges carrying on a general program of instruction of college level.
The property exempt from taxation under this paragraph is limited to buildings for
educational purposes (including dormitories), housing owned by the school or college
and used as residence for personnel employed at the school or college, campus and
athletic grounds, and realty used for vocational purposes incident to the school or college.
(2) Property used for hospital and nursing home purposes, including housing for personnel employed
at the hospital; in order to qualify under this paragraph the person claiming the exemption shall
present with the claim a certificate issued by or under the authority of the State department of
health that the property for which the exemption is claimed consists in, or is a part of, hospital
or nursing home facilities which are properly constituted under the law and maintained to serve,
and which do serve the public.
(3) Property used for church purposes including incidental activities, parsonages, and church
grounds, the property exempt except for the mir~~mum tax, from [taxation ]real property taxes
being limited to realty exclusive of burying grounds (exemption for which maybe claimed under
paragraph (4)).
(4) Property used as cemeteries (excluding, however, property used for cremation purposes)
maintained by a religious society, or by a corporation, association or trust organized for such
purpose. Property used as individual or family burial dots sh~il be exempted for the portion that
is actually used for such purposes.
(5) Property dedicated to public use by the owner, which dedication has been accepted by the State
or County, reduced to writing, and recorded in the bureau of conveyances(; and property which
has been set aside for public use and actually used therefor for a period not less than five years].
(6) Property owned by any nonprofit corporation, admission to membership of which is restricted by
the corporate charter to members of a labor union; property owned by any government employees'
association or organization, one of the primary purposes of which is to improve employment
conditions of its members; property owned by any trust, the beneficiaries of which are restricted
to members of a labor union; property owned by any association or league of credit unions
chartered by the United States or the State, the sole purpose of which is to promote the
development of credit unions in the State. Notwithstanding any provision in this section to the
contrary, the exemption shall apply to property or any portion thereof which is leased, rented, or
otherwise let to another, if such leasing, renting, or letting is to a nonprofit association,
organization, or corporation.
(c) This subsection shall apply to property owned in fee simple or leased or rented for a period of one year
or more, the lease or rental agreement being in force and recorded in the bureau of conveyances at the time
the exemption is claimed, by either:
(1) A corporation, society, association, or trust having a charter or other enabling act or governing
instrument which contains a provision or has been construed by a court of competent jurisdiction
as providing that in the event of dissolution or ternunation of the corporation, society, association,
or trust, or other cessation of use of the property -for the exempt purpose, the real property shall
be applied for another charitable purpose or shall be dedicated to the public, or
(2) A corporation chartered by the United States under Title 36, United States Code, as a patriotic
society. Exemption is allowed by this subsection for property used for charitable purposes which
are of a community, chazacter building, social service, or educational nature, including museums,
41
libraries, art . :mies, and senior citizen housing faciliti~. alifying for a loan under the laws
of the United States as authorized by section 202 of the Housing Act of 1959 as amended by the
Housing Act of 1961, the Senior Citizens Housing Act of 1962, the Housing Act of 1964, and the
Housing and Urban Development Act of 1965.
3~ Claimants shall submit to the director Qf finance documentation from the Internal Revenue
Service ver)f~ine their exemption gtatus.
(d) If any portion of the property which might otherwise be exempted under this section is used for
commercial or other purposes not within the conditions necessary for exemption (including any use the
primary purpose of which is to produce income even though such income is to be used for or in
furtherance of the exempt purposes) that portion of the premises shall not be exempt but the remaining
portion of the premises shall not be deprived of the exemption if the remaining portion is used exclusively
for purposes within the conditions necessary for exemption. In the event of an exemption of a portion of
a building, the tax shall be assessed upon so much of the value of the building (including the land
thereunder and the appurtenant premises) as the proportion of the floor space of the nonexempt portion
bears to the total floor space of the building.
(e) The term "for nonprofit purposes," as used in this section requires that no monetary gain or economic
benefit inure to the person claiming the exemption, or any private shareholder, member, or trust
beneficiary. "Monetary gain" includes without limitation any gain in the form of money or money's worth.
"Economic benefit" includes without limitation any benefit to a person in the course of his business, trade,
occupation, or employment.
(1981, Ord. No. 613, sec. 81; Am. 1987, Ord. No. 87-116, sec. 3.)
Section 19-78. Property used in manufacture of pulp and paper.
All real property in the [State] Countv. [both real and personal,) actually and solely used or to be used,
whether by the owner or lessee thereof, in connection with the manufacture of pulp and paper (from bagasse fibre,]
shall be exempt exce,~t for the minimum tax, from property taxes for a period of five years from the first day of
January following commencement of construction of a plant or plants on the property for such purpose.
(1981, Ord. No. 613, sec. 82.)
Section 19-79. Crop shelters.
Any other law to the contrary notwithstanding, any permanent structure constructed or installed on any
taxable real property consisting of frames or supports [and covered by rigid plastic, fiberglass, or other rigid and
semi-rigid transparent or translucent material, and including wooden laths,] used primarily for the protection of
crops shall be exempted in determining and assessing the value of such taxable real property [for ten years or for
a period often years from the first day of January following commencement of construction or installation of the
structure on the property for such purpose; provided that any temporary structure so constructed or installed and
covered by flexible plastic or other flexible transparent or translucent material, used for such purpose, shall be so
exempted not subject to the ten-year limitation; provided, further, that]_ [s] Such exemption shall continue only[
so]as long as the structure is maintained in good condition. [Only structures used for commercial agricultural or
horticultural purposes shall be included in the exemption.]
(1981, Ord. No. 613, sec. 83.)
Section 19-80. Exemption, dedicated lands in urban districts.
[(a)] Portions of [taxable] real property which are dedicated and approved by the director of finance as provided
for by [this] section 19-59 shall be exempted in determining and assessing the value of such taxable]
except fir ~h@ minimum. tax, from real property taxes.
[(b) Any owner of taxable real property in an urban district desiring to dedicate a portion or portions thereof
for landscaping, open spaces, public recreation, and other similar uses shall petition the director of finance
stating the exact area of the land to be dedicated and that the land is not within the setback and open space
requirements of applicable zoning and building code laws and ordinances, and that the land shall be used,
improved, and maintained in accordance with and for the sole purpose for which it was dedicated, except
that land within a historic district maybe so dedicated without regard to the setback and open space
requirements of applicable zoning and building code laws and ordinances.
42
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The director shall ma. .finding as to whether the use to which sup .d will be dedicated has a benefit
to the public at least equal to the value of the real property taxes for such land. Such finding shall be
measured by the cost of improvements, the continuing maintenance thereof, and such other factors as the
director may deem pertinent. If the director finds that the public benefit is at least equal to the value of real
properly taxes for such land, he shall approve the petition and declare such land to be dedicated land.
(c) The approval of the petition by the director shall constitute a forfeiture on the part of the owner of any
right to change the use of his land for a minimum period often years, automatically renewable
indefinitely, subject to cancellation by either the owner or the director upon five years' notice at any time
after the end of the fifth year.
(d) Failure of the owner to observe the restrictions on the use, improvement, and maintenance of his land shall
cancel the special tax exemption privilege retroactive to the date of the original dedication, and all
differences in the amount of taxes that were paid and those that would have been due from the assessment
of the tax exempted portion of his land shall be payable together with interest of five percent a year from
the respective dates that these payments would have been due. Failure to observe the restrictions on the
use means failure for a period of over twelve consecutive months to use, improve, and maintain the land
in the manner requested in the petition or any overt act changing the use for any period. Nothing in this
paragraph shall preclude the County from pursuing any other remedy to enforce the covenant on the use
of the land.
(e) The director shall prescribe the form of the petition. The petition shall be filed with the director by
September 1 of any calendar year and shall be approved or disapproved by December 15 of such year. If
approved, the exemption based upon the use requested in the dedication shall be effective January 1, of
the next calendar year.
(f) The owner may appeal any disapproved petition as in the case of an appeal from an assessment.
(g) The director shall make and adopt necessary rules and regulations including such rules and regulations
governing minimum areas which maybe dedicated for the improvement and maintenance of such areas.
(h) "Landscaping" means lands which are improved by landscape architecture, cultivated plantings, or
gardening.
"Open spaces" means lands which are open to the public for pedestrian use and momentary repose,
relaxation, and contemplation.
"Public recreation" refers to lands which maybe used by the public as parks, playgrounds, historical sites,
camp grounds, wildlife refuge, scenic sites, and other similar uses.
"Owner" includes lessees of real property whose lease term extends at least ten years from the date of the
petition.]
(1981, Ord. No. 613, sec. 84.)
Section 19-81. [Exemptions for air pollution control facility.]
[The value of all property in the County (not including a building and its structural components, other than
a building which is exclusively a treatment facility) actually and solely used or to be used as an air pollution
control facility as the term is defined in chapter 237, Hawaii Revised Statutes, shall be exempted from the measure
of the taxes imposed by this chapter; provided, however, the property exemption shall be applicable only with
respect to a certified facility which is property (1) the construction, reconstruction or erection of which is
completed by the taxpayer after June 30, 1969, or (2) acquired by the taxpayer after June 30, 1969, if the original
use of the property commences with the taxpayer after June 30, 1969; provided, further, the facility is placed in
service by the taxpayer before July 1, 1975.
Application for the exemption provided herein shall first be made with the State director of health who
shall, if satisfied that the facility meets the pollution emission criteria established by the State department of
health, certify to that fact. Upon receipt of the certification from the department of health, the director of finance
shall exempt the facility from the tax imposed by this chapter. A new certificate shall be obtained from the director
of health and filed with the director of finance every two years certifying that the pollution control facility
complies with the pollutant emission criteria established by the department of health. The director of finance shall
furnish all forms required by this section.
The director of finance shall promulgate rules and regulations necessary to administer this section.
(1981, Ord. No. 613, sec. 85.)]
43
a
Water tank
Anv provision to the contrary notwithstanding. an„y tank orQther storage receptacle required b~any
government agenav to be constructed or installed on any taxable real property before water for home and farm use
is sunnlied and anu other water tank owned and used by a real property taxpayer for storing water solely for his
own domestic se shall be exem ted in determini an assessin th value of such taxable real roe
(1981, Ord. No. 613, sec. 57.)
Section 19-82. Alternate energy improvements, exemption.
(a) The value of all improvements in the County (not including a building or its structural components, except
where alternate energy improvements are incorporated into the building, and then only that part of the
building necessary to such improvement) actually used for an alternate energy improvement shall be
exempted from the measure of the taxes imposed by this article.
(b) As used in this section "alternate energy improvement" means any construction or addition, alteration,
modification, improvement, or repair work undertaken upon or made to any building which results in:
(1) The production of energy from a source, or uses a process which does not use fossil fuels, nuclear
fuels, or geothermal source. Such energy source may include, but shall not be limited to, solid
wastes, wind, solar, or ocean waves, tides, or currents.
(2) An increase level of efficiency in the utilization of energy produced by fossil fuels or in the
utilization of secondary forms of energy dependent upon fossil fuels for its generation.
(c) Alternate energy production or energy by-products transferred, marketed, or sold on a commercial basis
shall not qualify for exemption under the provisions of this section. Provided further, that alternate energy
improvements used primarily for personal consumption and producing excess energy incidental to
personal consumption may transfer, market, or sell such excess energy produced and continue to qualify
for the exemption as provided for by the provisions of this section; however, the transfer, marketing, or
sale shall be limited to less thantwenty-five percent of the total energy output produced by such
improvements. Nuclear fission and geothermal energy sources shall be excluded from the provisions of
this section.
(d) Application for the exemption provided by this section shall be made with the director of finance on or
before December 31, preceding the tax year for which the exemption is claimed, except that no claim need
be filed for the exemption of solar water collections, heaters, heat pumps and similar devices. The director
of finance may require the taxpayer to furnish reasonable information in order that he may ascertain the
validity of the claim for exemption made under this section and may adopt rules and regulations to
implement this section.
(1981, Ord. No. 613, sec. 86; Am. 1983, Ord. No. 83-57, sec. 2.)
Section 19-83. [Fixtures used in manufacturing or producing tangible personal products.]
[There shall be exempted and excluded from the measure of the taxes imposed by this chapter, all fixtures
which are categorized as machinery and other mechanical or other allied equipment which are primarily and
substantially used in manufacturing or producing tangible personal products.] (Reserved)
(1981, Ord. No. 613, sec. 87.)
Section 19-84. Public property, etc.
The following real property shall be exempt from taxation:
(1) Real property belonging to the United States, to the State, or to the County; provided, that real
property belonging to the United States shall be taxed upon the use or occupancy thereof as
provided in section 19-85, and there shall be a tax upon the property itself if and when the
Congress of the United States so permits, to the extent so permitted and in accordance with any
conditions or provisions prescribed in such act of Congress; provided, further, that real property
belonging to the State or the County, or belonging to the United States and in the possession, use,
and control of the State, shall be taxed on the fee simple value thereof, and private persons shall
pay the taxes thereon and shall be deemed the "owners" thereof for the purposes of this chapter,
in the following cases:
(A) Property held on January 1 preceding the tax year under an agreement for its conveyance
44
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by ~ wernment to private persons shall be de ~ fully taxable, the same as if the
conveyance had been made;
(B) Property held on January 1 preceding the tax year under a government lease shall be
entered in the assessment lists and such tax rolls for that year as fully taxable for the
entire tax year, but adjustments of the taxes so assessed may be made as provided for by
this chapter so that such tenants are required to pay only so much of the taxes as is
proportionate to the portion of the tax year during which the real property is held or
controlled by them;
(C) Property held under a government lease commencing, after January 1 preceding the tax
year or under an agreement for its conveyance or a conveyance by the government, made
after January 1 preceding the tax year, shall be assessed as omitted property as provided
for by this chapter, but the taxes thereon shall be prorated so as to require the payment
of only so much of the taxes as is proportionate to the remainder of the tax year;
(D) Property where the occupancy by the tenant for commercial purposes has continued for
a period of one year or more, whether the occupancy has been on a permit, license,
month-to-month tenancy, or otherwise, shall be fully taxable to the tenant after the first
year of occupancy, and the property shall be assessed in the manner provided in
subdivisions (B) and (C) of this paragraph for the assessment of properties held under a
government lease; provided that the property occupied by the tenant solely for residential
purposes on a month-to-month tenancy shall be excluded from this paragraph;
(E) In any case of occupancy of a building or structure by two or more tenants, or by the
government and a tenant, under a lease for a term of one year or more, the tax shall be
assessed to the tenant upon so much of the value of the entire real property as the floor
space occupied by the tenant proportionately bears to the total floor space of the structure
or building;
For the purposes of subdivisions (B) and (C) of this subsection: "Lease" means any lease
for a term of one year or more or which is renewable for such period as to constitute a total term
of one year or more. A lease having a stated term shall, if it otherwise comes within the meaning
of the term "lease," be deemed a lease notwithstanding any right of revocation, cancellation, or
termination reserved therein or provided for thereby. Whenever a lease is such that the highest
and best use cannot be made of the property by the lessee, the measure of the tax imposed on such
property pursuant to subdivisions (B) and (C) shall be its fee simple value upon consideration of
the highest and best use which can be made of the property by the lessee.
Provided, further, that real property belonging to the United States, even though not in
the possession, use, and control of the State, shall be taxed on the fee simple value thereof, and
private persons shall pay the taxes thereon and shall be deemed the "owners" thereof for the
purposes of this chapter, in the following cases:
(i) Property held on January 1 preceding the tax year under an agreement for the
conveyance of the same by the government to private persons shall be deemed
fully gable, the same as if the conveyance had been made, but the assessment
thereof shall not impair and shall be so made as to not impair, any right, title,
lien, or interest of the United States.
(ii) Property held under an agreement for the conveyance of the same or a
conveyance of the same by the government, made after January 1 preceding the
tax year, shall be assessed as omitted property as provided by this chapter, but
the taxes thereon shall be prorated so as to require the payment of only so much
of such taxes as is proportionate to the remainder of the tax yeaz, and in the case
of property held under an agreement for the conveyance of the same but not yet
conveyed, the assessment thereof shall not impair, and shall be so made as to not
impair, any right, title, lien, or interest of the United States.
(2) Real property under lease to the State or the County under which lease the lessee is required to
pay the taxes upon such property;
(3) Subject to section 101-39(B), Hawaii Revised Statutes, any real property in the possession of the
45
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State or Coi ,vhich is the subject of eminent domain 1 :dings commenced for the
acquisition of the fee simple estate in such land by the State or County; provided the fact of such
possession has been certified to the director as provided by section 101-36 or 101-38, Hawaii
Revised Statutes, or is certified not later than December 31 preceding the tax year for which such
exemption is claimed;
(4) Real property with respect to which the owner has granted to the State or County a right of entry
and upon which the State or County has entered and taken possession under the authority of the
right of entry with intention to acquire the fee simple estate therein and to devote the real property
to public use; provided the State or County shall have, prior to December 31 preceding the tax
year for which the exemption is claimed, certified to the director the date upon which it took
possession;
(5) Any portion of real property within the area upon which construction of buildings is restricted
or prohibited and which is actually rendered useless and of no value to the owners thereof by
virtue of any ordinance establishing setback lines thereon; provided, that in order to secure the
exemption the person claiming it shall annually file between December 15 and December 31
preceding the applicable tax year a sworn written statement with the director describing the real
property in detail and setting forth the facts upon which exemption is claimed, together with a
written agreement that in consideration of the exemption from taxes he will not make use of the
land in any way whatsoever during the ensuing year. Any person who has secured such exemption
who violates the terms of the agreement shall be fined twice the amount of the tax which would
be assessed upon the land but for such exemption;
(6) Real property exempted by any laws of the United States which exemption is not subject to repeal
by the council;
(7) Any other real property exempt by law.
(1981, Ord. No. 613, sec. 88.)
Section 19-85. Lessees of exempt ublic real property.
(a) When any un
blic real property which for any reason is exempt from taxation is leased to and used or
occupied by a private person in connection with any business conducted for profit, such use or occupancy
shall be assessed and taxed in the same amount and to the same extent as though the lessee were the owner
of the property and as provided in subsection (b), provided, that:
(1) The foregoing shall not apply to the following:
(A) Federal property for which payments are made in lieu of taxes in amounts equivalent to
taxes which might otherwise be lawfully assessed;
(B) Any property or portion thereof taxed under any other provision of this chapter to the
extent and for the period so taxed.
(2) The term "lease" shall mean any lease for a term of one year or more, or which is renewable for
such period as to constitute a total term of one year or more. A lease having a stated term shall,
if it otherwise comes within the meaning of the term "lease," be deemed a lease notwithstanding
any right of revocation, cancellation, or termination reserved therein or provided for thereby.
(3) The assessment of the use or occupancy shall be made in accordance with the highest and best
use permitted under the terms and conditions of the lease.
(b) The tax shall be assessed to and collected from such lessee as nearly as possible in the same manner and
time as the tax assessed to owners of real property, except that the tax shall not become a lien against the
property. In case the use or occupancy is in effect on January 1 preceding the tax year, the lessee shall be
assessed for the entire year but adjustments of the tax so assessed shall be made in the event of the
termination of the use or occupancy during the year so that the lessee is required to pay only so much of
the tax as is proportionate to the portion of the tax year during which the use or occupancy is in effect, and
the director is hereby authorized to remit the tax due for the balance of the tax year. In case the use or
occupancy commences after January 1 preceding the tax year, the lessee shall be assessed for only so
much of the tax as is proportionate to the period that the use or occupancy bears to the tax year.
The assessment of the use or occupancy of real property made under this section shall not be
included in the aggregate value of taxable realty for the purposes of section 19-90 but the council, at the
46
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time that it is furnisl. ith information as to the value of taxabh property, shall also be furnished
with information as to the assessments made under this section, similarly determined but separately
stated.
If a use or occupancy is in effect on January 1 preceding the tax year, the assessment shall be
made and listed for that year and the notice of assessment shall be given to the taxpayer in the manner and
at the time prescribed by this chapter, and when so given, the taxpayer, if he deems himself aggrieved,
may appeal as provided for by this chapter; if a use or occupancy commences after January 1 preceding
the tax year or if for any reason an assessment is omitted for any tax year, the assessment shall be made
and listed and notice thereof shall be given in the manner and at the time prescribed by this chapter, and
an appeal from an assessment so made maybe taken as provided by this chapter.
(1981, Ord. No. 613, sec. 89.)
Section 19-86. Property of the United States leased under the National Housing Act.
Real property belonging to the United States leased pursuant to title VIII of the National Housing Act, as
amended or supplemented from time to time:
(1) Shall not be taxed under this chapter upon the lessee's interest or any other interest therein, except
as provided in paragraph (2).
(2) Shall be taxed under this chapter to the extent of and measured by the value of the lessee's interest
in any portion of the real property (including land and appurtenances thereof and the buildings
and other improvements erected on or affixed on the same) used for, or in connection with, or
consisting in, shops, restaurants, cleaning establishments, taxi stands, insurance offices, or other
business or commercial facilities. The tax shall be assessed to and collected from the lessee. The
assessment of such property shall not impair, and shall be so made as to not impair, any right,
title, lien, or interest of the United States.
(1981, Ord. No. 613, sec. 90.)
Section 19-87. Exemption for low and moderate-income housing.
(a) For the purposes of this section, "nonprofit or limited distribution mortgagor" means a mortgagor who
qualifies for and obtains mortgage insurance under sections 202, 221(d)(3), or 236 of the National
Housing Act as a nonprofit or limited distribution mortgagor.
(b) Real property used for a housing project which is owned and operated by a nonprofit or limited
distribution mortgagor or which is owned and operated by a person, corporation or association regulated
by Federal or State laws or by a political subdivision of the State or agency thereof as to rents, charges,
profits, dividends, development costs and methods of operation, shall be exempt exce for he minimum
t~ from property taxes.
(c) Exemptions claimed under section 53-38, Hawaii Revised Statutes, shall disqualify the same property
from receiving an exemption under this section.
(d) The director of finance shall promulgate rules and regulations necessary to administer this section.
(1981, Ord. No. 613, sec. 91.)
Section 19-88. Claim for exemption.
(a) Notwithstanding any provision in this chapter to the contrary, any real property exempt from property
taxes under section 19-87 shall be exempt from property taxes exc,~,pt for the minim~un tax from the date
the property is qualified for the exemption; provided that a claim for exemption is filed with the director
within sixty days of the qualification. As used herein, the date of the qualification shall be the date when
the mortgage made by a nonprofit or limited distribution mortgagor and insured under sections 202,
221(d)(3) or 236 of the National Housing Act is filed for recording with the registrar of the bureau of
conveyances or the assistant registrar of the land court of the State, whichever is applicable.
(b) After the initial year of the qualification, the claim for exemption shall be filed in the manner provided
by applicable law or rule or regulation.
(c) In the event property taxes have been paid to the County in advance for real property subsequently
becoming qualified for the exemption, the director of finance shall refund to the nonprofit or limited
distribution mortgagor owning the property that portion of the taxes attributable to and paid for the period
47
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after the qualificatio_
(1981, Ord. No. 613, sec. 92.)
Section 19-89. ®ther exemptions.
Exemptions from real property taxes as set forth in chapter 53, [chapter 154], chapter 183, chapter 186,
chapter 234, chapter 239 and chapter [514] 514A_ Hawaii Revised Statutes, and in section 208 of the Hawaiian
Homes Commission Act, and which were enacted prior to November 7, 1978, shall remain in effect and be
recognized by this County in its administration of the real property tax system, provided, that all references to the
director of taxation or the department of taxation shall now be deemed to refer to the designated representative of
the mayor who shall also be subj ect to approval by the council. Hawaiian home lands, as defined in section 201,
Hawaiian Homes Commission Act, 1920, as amended, real property, exclusive of buildings, leased and used as
a homestead (houselots, farm lots, and pastoral lots), pursuant to section 207(a) and subject to the conditions of
sections 208 and 216 of the Hawaiian Homes Commission Act, 1920, shall be exempt from real property taxes,
except for the mininmm tax, and as provided for by this section. Disposition of Hawaiian home lands for other than
homestead purposes is deemed fully taxable and will not qualify for the exemption granted by this section. The
respective homestead lessee of Hawaiian home lands shall continue to qualify and receive other personal
exemptions, provided that claims for the exemptions are timely filed, including the seven-year limitation on the
exemption afforded by section 208 of the Hawaiian Homes Commission Act, 1920.
(1981, Ord. No. 613, sec. 93; Am. 1992, Ord. No. 92-129, sec. 1.)
Section 19-89.1. I~istoric residential real property dedicated for preservation, exemption.
[(a)] Portions of residential real property which are dedicated and approved by the director of finance as
provided for by [this] section 1960, shall be exempt except for the minimum tax_ from real property
taxation [except as provided by section 19-67.] The owners shall assure reasonable visual access to the
public.
[(b) An owner of taxable real property that is the site of a historic residential property that has been placed on
the Hawaii Register of Historic Places after January 1, 1977, desiring to dedicate a portion or portions
thereof for historic preservation, shall petition the director of finance.
(c) The director of finance shall approve the petition and determine what portion or portions of the real
properly shall be exempted, from real property taxes. The director shall consult with the State Historic
Preservation Office in making this determination. The director may take into consideration whether the
current level of taxation is a material factor which threatens the continued existence of the historic
property, and may determine the total area or areas of the real property that shall be exempted.
(d) The approval of the petition of the director shall constitute a forfeiture on the part of the owner of any right
to change the use of his property for a minimum period of ten years, automatically renewable indefinitely,
subject to cancellation by either the owner or the director upon five years notice at any time after the end
of the fifth year.
(e) Failure of the owner to observe the restrictions of subsection (d) shall cancel the tax exemption and
privilege retroactive to the date of the dedication, and all differences in the amount of taxes that were paid
and those that would have been due but for the exemption allowed by this section shall be payable
together with interest at twelve percent per annum from the respective dates that these payments would
have been due, provided the provision in this paragraph shall preclude the County from pursuing any other
remedy to enforce the covenant on the use of the land.
(f) Any person who becomes an owner of real property that is pernutted an exemption under this section shall
be subject to the restrictions and duties imposed under this section.
(g) The director shall prescribe the form of the petition. The petition shall be filed with the director by
September 1 of any calendar year and shall be approved or disapproved by December 15 of such year. The
exemption provided for by this section shall be effective January 1 of the next calendar year.
(h) An owner applicant may appeal any determination as in the case of an appeal from an assessment.
(i) Subject to chapter 91, Hawaii Revised Statutes, the director shall adopt rules and regulations decreed
necessary to accomplish the foregoing.]
(1981, Ord. No. 837, sec. 2.)
48
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Section 19-89.2. Credit u .exemption.
(a) Real property owned in fee simple or leased for a period of one year or more by a Federal or State credit
union which is actually and exclusively used for credit union purposes shall be exempt except for the
minimum tax from real property taxes. If the property for which exemption is claimed is leased, the lease
agreement shall be in force and recorded in the bureau of conveyances at the time the exemption is
claimed. As used in this section, "Federal credit union" means a credit union organized under the Federal
Credit Union Act of 1934, 12 U.S.C. chapter 14, as amended, and "State credit union" means a credit union
organized under the Hawaii Credit Union Act, HRS chapter [410] 412, as amended.
(b) If any portion of the properly which might otherwise be exempted under this section is used for
commercial or other purposes not within the conditions necessary for exemption (including any use the
primary purpose of which is to produce income even though such income is to be used for or in
furtherance of the exempt purposes) that portion of the premises shall not be exempt but the remaining
portion of the premises shall not be deprived of the exemption if the remaining portion is used exclusively
for purposes within the conditions necessary for exemption. In the event of an exemption of a portion of
a building, the tax shall be assessed upon so much of the value of the building (including the land
thereunder and the appurtenant premises) as the proportion of the floor space of the nonexempt portion
bears to the total floor space of the building.
(1987, Ord. No. 87-116, sec. 4.)
Section (19-89.3. Exemptions for Enterprise Zones.
Buildings or other like structures which are built as a result of new construction by a qualified business
within an enterprise zone shall be exempt from real property taxes, except for the minimum tax, for a period of
three years. A qualified business in an enterprise zone must satisfy the requirements of Hawaii County Ordinance
No. 94-8 and section 209E, Hawaii Revised Statutes, as amended.
(1995, Ord. No. 95-14)
Article 11. Determination of Rates.
Section 19-90. Real property tax; determination of rates.
(a) Unless a different meaning is clearly indicated by the context, as used in this section:
(1) "Net taxable lands" means all other real property exclusive of buildings.
(2) "Net taxable real properly" or "net taxable buildings" or "net taxable lands" means, as indicated
by the context, the percentage of the [fair] market value of property determined under section
19-46 which the director of finance certifies as the tax base as provided by this chapter, less
exemptions as provided by this chapter and, in all cases where appeals from the director's
assessment are then unsettled, less fifty percent of the value in dispute.
(b) The council may increase or decrease the tax rate for buildings and for all other real property, exclusive
of buildings for net taxable land and net taxable buildings of each class of property established in
accordance with section 19-53 [(d)]Le,) of this chapter. A resolution setting the tax rates shall be adopted
on or before June 20 preceding the tax year for which property tax revenues are to be raised according to
the following procedures:
(1) The council shall advertise its intention to increase or decrease tax rates and the date, time, and
place of a public hearing in a newspaper of general circulation. The date of the public hearing
shall not be less than ten days after the advertisement is first published and shall set forth the tax
rates to be considered by the council.
(2) After the public hearing provided for in paragraph (1), the council shall readvertise and reconvene
within three weeks to adopt a resolution fixing the tax rates for the tax year for which property
tax revenues are to be raised. The advertisement shall state the new rates to be fixed and the date,
time and place of the meeting scheduled for fixing such rates. The date, time, and place of the
meeting shall also be announced at the public hearing required by paragraph (1). If the resolution
fixing the tax rates is not adopted within three weeks from the public hearing required by
paragraph (1), the council shall again advertise and meet as required by paragraph (1).
49
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(3) If after adopt.. ,n increase or decrease in the tax rates as pi ed by paragraphs (1) and (2), the
council determines that it requires a further increase or decrease in tax rates or fails to act in any
specified period, the council shall readvertise and follow the requirements of paragraphs (1) and
(2).
If no action is taken by the Council to increase or decrease the tax rates then the tax rates as
previously set shall be ap lip cable tQ ~lte subsequent tax year.
(c) The council shall set the tax rates for each class of property using the following method:
(1) Net taxable lands and net taxable buildings within each class of property shall be assigned a
percentage of the total revenue to be derived from real property.
(2) The percentage of revenue to be raised from net taxable lands and net taxable buildings within
each class shall be multiplied by the total revenue to be raised from real property in order to
determine the amount of revenue to be derived.
(3) The amount of revenue to be raised from net taxable buildings within each class shall be divided
by the net taxable value of buildings in that class to determine the tax rate which shall be
expressed in terms of tax per $1,000 of net taxable buildings computed to the nearest cent.
(4) The amount of revenue to be raised from net taxable lands within each class shall be divided by
the net taxable value of lands in that class to determine the tax rate which shall be expressed in
terms of tax per $1,000 of net taxable lands computed to the nearest cent.
(d) Ifthe tax rates for the tax year are increased or decreased the council shall notify the director of finance
of the increased or decreased rates, and the director shall employ such rates in the levying of property
taxes as provided by this chapter.
(e) The director of finance shall on or before May 1 preceding the tax year furnish the council with a
calculation certified by him as being as nearly accurate as maybe, of the net taxable real property within
the County, separately stated for each class established in accordance with section 19-53 [(d)] ~ of this
chapter for net taxable lands and for net taxable buildings plus such additional data relating to the property
tax base as may be necessary.
(f) Insofar as the validity of any tax rate is concerned, the provisions of subsections (b) and (e) of this section
as to dates, shall be deemed directory; provided that all other provisions of subsections (b) and (e) and all
provisions of subsections (c) and (d) shall be deemed mandatory.
(g) Notwithstanding any provision to the contrary, there shall be levied upon each individual parcel of real
property taxable under this chapter a minimum real property tax of $25 per year.
(1981, Ord. No. 613, sec. 94; Am. 1990, Ord. No. 90-138, sec. 6.)
Article 12. Appeals.
Section 19-91. Appeals.
Any taxpayer, who may deem himself aggrieved by an assessment made by the director or by the director's
refusal to allow any exemption, may appeal from the assessment or from such refusal to the board of review or the
tax appeal court pursuant to section 232-16, HRS, on or before April 9 preceding the tax year, as provided in this
chapter. Where such an appeal is based upon the ground that the assessed value of the real property for tax
purposes is excessive, the valuation claimed by the taxpayer in the appeal shall be admissible in evidence, in any
subsequent condemnation action involving the property, as an admission that the [fair] market value of the real
property as of the date of assessment is no more than the value arrived at when the assessed value from which the
taxpayer appealed is adjusted to one hundred percent [fair] market value; provided, that such evidence shall not
in any way affect the right of the taxpayer to any severance damages to which he may be entitled.
(1981, Ord. No. 613, sec. 95.)
Section 19-92. Appeals by persons under contractual obligations.
Whenever any person is under a contractual obligation to pay a tax assessed against another, the person
shall have the same rights of appeal to the board of review and the tax appeal court and the supreme court, in his
own name, as if the tax were assessed against him. The person against whom the tax is assessed shall also have
a right to appeal and be heard on any such application or appeal.
(1981, Ord. No. 613, sec. 96.)
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Section 19-93. Grounds a_ ,,peal, real property taws.
In the case of a real property tax appeal, no taxpayer shall be deemed aggrieved by an assessment, nor shall
an assessment be lowered or an exemption allowed, unless there is shown (1) assessment of the property exceeds
by more than twenty percent the assessment of market value used by the director [as the real property tax base],
or (2) lack of uniformity or inequality, brought about by illegality of the methods used or error in the application
of the methods to the property involved, or (3) denial of an exemption to which the taxpayer is entitled and for
which he has qualified, or (4) illegality, on any ground arising under the Constitution or laws of the United States
or the laws of the State or the ordinances of the County in addition to the ground of illegality of the methods used,
mentioned in clause (2).
(1981, Ord. No. 613, sec. 97; Am. 1982, Ord. No. 766, sec. 6.)
Section 19-94. Second appeal.
In every case in which a taxpayer appeals a real property tax assessment to the board of review or to a tax
appeal court and there is pending an appeal of the assessment, the taxpayer shall not be required to file a notice
of the second appeal; provided the first appeal has not been decided prior to Apri19 preceding the tax year of the
second appeal; and provided further the director gives notice that the tax assessment has not been changed from
the assessment which is the subject of the appeal.
(1981, Ord. No. 613, sec. 98.)
Section 19-95. Small claims.
Any protesting taxpayer who would incur a total tax liability, not including penalties and interest, of less
than $1,000 by reason of the protested assessment on payment in question, may elect to employ the small claims
procedures of the tax appeal court as set out in section 232-5, HRS.
(1981, Ord. No. 613, sec. 99.)
Section 19-96. Appointment, removal, compensation.
There is created a board of review for the County which shall consist of five members who shall be citizens
of the State and residents of the County, shall have resided at the time of appointment for at least three years in
the State, and shall be appointed by the mayor and confirmed by the council as provided by Charter. A chairman
shall be elected annually by members [from the membership] of the board. The vice chairman shall serve as the
chairman of the board during the temporary absence [from the County, illness,] or disqualification of the chairman.
Any vacancy in the board shall be filled for the unexpired term as provided for in the Charter. Each member may
[receive and be paid out of the treasury compensation for his services] be
compensated in the same manner as
board and commission members covered under Section 13-4 ) of the Hawaii County Charter for each day's actual
attendance and his actual traveling expenses. No officer or employee of the County shall be eligible for
appointment to any such board.
(1981, Ord. No. 613, sec. 100.)
Section 19-97. 1$oard of review; duties, powers, procedure before.
(a) The board of review for the County shall hear all disputes between the director and any taxpayer in all
cases in which appeals have been duly taken and the fact that a notice of appeal has been duly filed by a
taxpayer shall be conclusive evidence of the existence of a dispute; provided that this provision shall not
be construed to permit a taxpayer to dispute an assessment to the extent that it is in accordance with his
return unless he shows lack of uniformity or inequality as set forth in section 19-93, The chairperson may
dismiss those appeals which have not beer timely filed or whose
f,
ee pursuant to Section 19-100 has not
been ai .
(b) A second or more boards of review maybe created when in the opinion of the director, the volume of the
work of the existing board (or boards) creates undue delay in the completion of the board's work or undue
hardship upon the members of the existing board (or boards). The provisions of this chapter shall be fully
applicable to each board and each board shall function independently from every other board of review
created under this chapter. The boards of review may provide by rules and regulations for the segregation
of the real property tax appeals to be heard by each of the boards.
(c) The board shall hold public meetings at some central location in the County commencing not later than
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Apri19 of each year a. _~all hear, as speedily as possible, all appe~, asented for each year. The board
shall have the power and authority to decide all questions of fact and all questions of law, excepting
questions involving the Constitution or laws of the United States, necessary to the determination of the
objections raised by the taxpayer or the County in the notice of appeal; provided, that the board shall not
have power to determine or declare an assessment illegal or void. Without prejudice to the generality of
the foregoing, each board shall have power to allow or disallow exemptions pursuant to law whether or
not previously allowed or disallowed by the director and to increase or lower any assessment.
(d) The board shall base its decision on the evidence before it, and, as provided in section 19-19, the
assessment made by the director shall be deemed prima facie correct. Assessments for the same year upon
other similar property situated in the County shall be received in evidence upon the hearing. In increasing
or lowering any real property assessment, the board shall be governed by this chapter. The board shall file
with the director its decision in writing on each appeal decided by it, and a certified copy thereof shall be
furnished by the director forthwith to the taxpayer concerned by delivery thereof to him, or by mailing
the copy addressed to his last known place of residence or business.
(e) Upon completion of its review of the property tax appeals for the current year, the board shall compile and
submit to the mayor and the council, and shall file with the director for the use of the public, a copy of a
report covering such features of its work as, in the opinion of the board, will be useful in attaining the
objectives set forth in this chapter. In this report the board shall additionally note instances in which, in
the opinion of the board, the director, in the application of the methods selected by him, erred as to a
particular property or particular properties not brought before the board by any appeal, whether the error
is deemed to have been byway of underassessment or overassessment. Before commencing this phase of
its work the board shall publish, during the first week of September a notice specifying a period of at least
ten days within which complaints may be filed by any taxpayer. Each complaint shall be in writing, shall
identify the particular property involved, shall state the valuation claimed by the taxpayer and the grounds
of objection to the assessment, and shall be filed with the director who shall transmit the same to the
board. Not earlier than one week after the close of the period allowed for filing complaints, the board shall
[hear the same] hold the hearing on the complaint submitted, after first giving reasonable notice of the
hearing to all interested taxpayers and the director. Like notice and hearing shall be given in order for the
board to include in its report any other property not brought before it by an appeal. The board may proceed
by districts designated by their tax map designation, and may from time to time publish the notice above
provided for as work proceeds by districts. The board shall consider the complaints and testimony!
received in~re~arins
its annual report to the mayor and Council.
(f) The director, in the making of assessments for the succeeding year, shall give due consideration to the
report of the board made pursuant to subsection (e).
(g) The board and each member thereof in addition to all other powers shall also have the power to subpoena
witnesses, administer oaths, examine books and records, and hear and take evidence in relation to any
subject pending before the board. It may request the tax appeal court, to order the attendance of witnesses
and the giving of testimony by them, and the production of books, records and papers at the hearings of
the board.
(1981, Ord. No. 613, sec. 101; Am. 1985, Ord. No. 85-102, sec. 2.)
Section 19-98. Tax appeal court.
An appeal to the tax appeal court maybe filed by a taxpayer or the director as provided in sections 232-8
to 232-14, HRS, and sections 232-16 to 232-18, HRS.
Appeals to the State supreme court shall conform to sections 232-19 to 232-21, HRS.
(1981, Ord. No. 613, sec. 102.)
Section 19-99. Appeal to board of review.
The notice of appeal of a real property assessment must be lodged with the director on or before the date
fixed by law for the taking of the appeal. An appeal to the board of review shall be deemed to have been taken in
time if the notice thereof shall have been [deposited in the mail, postage prepaid,] postmarked and properly
addressed to the director, on or before such date.
The notice of appeal must be in writing and any such notice, however informal it may be, identifying the
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assessment involved in the apr stating the valuation claimed by the taxi .and the grounds of objection to
the assessment shall be sufficient. Upon the necessary information being furnished by the taxpayer to the director,
the director shall prepare the notice of appeal upon request of the taxpayer or County and any notice so prepared
by the director shall be deemed sufficient as to its form.
The appeal shall be considered and treated for all purposes as a general appeal and shall bring up for
deternnation all questions of fact and all questions of law, excepting questions involving the Constitution or laws
of the United States, necessary for the determination of the objections raised by the taxpayer in the notice of
appeal. Any objection involving the Constitution or laws of the United States may be included by the taxpayer in
the notice of appeal and in such case the objections maybe heard and determined by the tax appeal court on appeal
from a decision of the board of review; but this provision shall not be construed to confer upon the board of review
the power to hear or determine such objections. Any notice of appeal may be amended at any time prior to the
board's decision; provided the amendment does not substantially change the dispute or lower the valuation
claimed.
(1981, Ord. No. 613, sec. 103.)
Section 19-100. Costs; deposit for an appeal.
The costs to be deposited by the taxpayer on appeal to the board of review shall be $15 for each real
property tax appeal.
The cost to be deposited by the taxpayer on any appeal to the tax appeal court or the State supreme court
shall be as provided in sections 232-22 and 232-23, HRS.
(1981, Ord. No. 613, sec. 104; Am. 1991, Ord. No. 91-61, sec. 2.)
Section 19-101. Costs, taxation.
In the event of an appeal by a taxpayer to the board of review, if the appeal is compromised, or [sustained]
amended as to fifty percent or more of the valuation in dispute, the costs deposited shall be returned to the
appellant. Otherwise the entire amount of costs deposited shall be retained by the County.
(1981, Ord. No. 613, sec. 105.)
Section 19-102. Taxes paid pending appeal.
The tax paid upon the amount of any assessment, actually in dispute and in excess of that admitted by the
taxpayer, and covered by an appeal to the tax appeal court duly taken, shall be paid by the director into the
"litigated claims account." If the final determination is in whole or in part in favor of the appealing taxpayer, the
director shall repay to him out of the account, or if investment of the account should result in a deficit therein, out
of the general fund of the County, the amount of the tax paid upon the amount held by the court to have been
excessive or nontaxable, together with interest at the rate of six percent a year from the date of each payment into
the litigated claims account, the interest to be paid from the general fund of the County. The balance, if any, of the
payment made by the appealing taxpayer, or the whole of the payment, incase the decision is wholly in favor of
the director, shall, upon the final determination become a realization of the general fund.
In a case of an appeal to a board of review, the tax paid upon the amount of the assessment actually in
dispute and in excess of that admitted by the taxpayer, shall during the pendency of the appeal and until and unless
an appeal is taken to the tax appeal court, be held by the director in the general fund of the County. In the event
of final determination of the appeal in the board of review, the director shall repay to the appealing taxpayer out
of the general fund the amount of the tax paid upon the amount held by the board to have been excessive or
nontaxable, together with interest at the rate of six percent a year from the date of each payment into the general
fund of the County. The balance, if any, of the payment made by the appealing taxpayer, or the whole of the
payment, in case the decision is wholly in favor of the director, shall, upon the final determination become a
realization of the general fund.
(1981, Ord. No. 613, sec. 106; Am. 1991, Ord. No. 91-61, sec. 3.)
Section 19-103. Amendment of assessment list to conform to decision.
The director shall alter or amend the assessment and the assessment list in conformity with the decision of
judgment of the last board or court to which an appeal may have been taken.
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(1981, Ord. No. 613, sec. 10',
SECTION 2. The department of finance is authorized to develop and implement a transitional
program for the amendments relating to dedications and renewals of dedications. Providing a transition
program will allow those affected by the amendments to be notified and to enable them to take
appropriate action relating to the applicable dedication. Said transition shall be completed before the
tax year 1998-99.
SECTION 3. Material to be deleted is bracketed. New material is underscored. In printing
this ordinance, brackets, bracketed material and underscoring maybe deleted.
SECTION 4. In the event, any portion of this ordinance is declared invalid, such invalidity
shall not affect other portions of this ordinance.
SECTION 5. This ordinance shall take effect upon its approval.
INTRODUCED BY:
O CIL ER, COUNTY OF HAWAII
Hilo, Hawaii
Date of Introduction:
Date of 1st Reading:
Date of 2nd Reading:
Effective Date:
REFEREiV
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