HomeMy WebLinkAboutREP FC 126 08/02/2005 2004-2006 REPORT OF THE
COMMITTEE ON FINANCE
DATE: August 2, 2005 Re: Comm. No. 370/Res. No. 138-OS
PLACE: Council Chambers
TIME: 9:01 a.m.
Council Chair and Members
Hawaii County Council
Hilo, Hawaii 96720
Your Committee on Finance, to which was referred Resolution No. 138-05, reports as follows:
Resolution No. 138-05, transmitted by Director of Finance William Takaba via Communication No. 370,
dated July 19, 2005, authorizes [he Director of Finance to compromise real property taxes owed by the
California Institute of Technology on a parcel identified as Tax Map Key: (3) 6-5-004-057.
The California Association for Research in Astronomy ("CARA") is anot-for-profit corporation that
operates the W.M. Keck Observatory in Kamuela. In June 2001, CARA purchased aone-half acre parcel,
TMK: (3) 6-5-004-057, adjacent to the W.M. Keck Observatory to help settle a community concern over
the proposed uses of this parcel. Although this parcel would have yualified for an exemption from real
property taxes except for the minimum tax, it was being taxed without the exemption since no application
was filed with the Real Property Tax Division by the parcel's legal owner, the California Institute of
Technology ("Caltech"). Caltech is one of the parent organizations of CARA.
Since all property tax bills were being sent to the Caltech headquarters in Pasadena, California, the
Director of CARA states that he was unaware that the parcel was not receiving a tax exemption and that
its property taxes were not being paid. Upon discovering this, he immediately arranged to pay its
delinquent taxes.
Fhe Director of CARA has requested that the County approve the parcels tax exempt status as of
June 2001, refund the resulting overpayment in taxes for the 2001-02 to 2004-OS tax years, and adjust its
property tax bill for the 2005-06 tax year.
Section 19-77, Hawai' i County Code, exempts property from real property taxes which is used
exclusively for nonprotit or for school purposes, except for the minimum property tax fee.
Your Committee on Finance is in accord with the purpose and intent of Resolution No. 138-OS and
recommends its adoption.
smc
nvES Noes nee ex Respectfully submitted,
ARA KAKI X
HtcA X COMMITTEE ON FINANCE
HOFFMANN X
HOLSCHUH X "
IKEDA X ~
ISBELL X
~ACOBSON x VIRGI A ISBELL, CHAIR
FtLACO X FC REPORT N~~I1 126
SAFARIK X ADOPTED: HU
COMMITTEE ON FINANCE
REPORT 126
(AMENDED)
Finance Committee Chair Virginia Isbell stated that information was inadvertently left
out in FC Report 126 (relating to Resolution 138-OS) and requested that it be reflected in
the Report. With no objection, the County Council amended Finance Committee
Report 12Fi to incorporate the following information:
The amended Report would add an additional paragraph located after the fifth
paragraph, which would read as follows: "The reimbursement and adjustment of
these taxes would not take place until such time that California Association for
Research in Astronomy or "CARA" apply for and receive approval of the
consolidation of these parcels."
I hereby certify that amended Finance Committee Report 126 was adopted by the
Hawaii County Council on August 17, 2005.
` ~
COUNTY CLERK ~i COUNCIL CHAIR
FC REPORT NO. l 26 (AMENDED)
ADOPTED: August 17, 2005