HomeMy WebLinkAboutREP FC 111 05/31/2007 2006-2008 REPORT OF THE
COMMITTEE ON FINANCE
DATE: May 31, 2007 RE: Comm. No. 438Bi11 No. 106
PLACE: Council Chambers
333 Kilauea Avenue
Hilo, Hawaii
TIME: 10:00 a.m.
Council Chair and Members
Hawaii County Council
Hilo, Hawaii 96720
Your Committee on Finance, to which was referred Bill No. 106, reports as follows:
Bill No. 106, transmitted by Director of Finance William Takaba, via Communication No. 438, dated May 9,
2007, amends Chapter 19, Hawaii County Code 1983 (1995 Edition), Article 1 (Administration), Section 19-2,
and Article 7 (Tax Maps; Valuations), Section 19-53, as amended, relating to affordable rental housing.
The purpose of this measure is to increase the availability of affordable rentals on the Big Island by offering tax
incentive t owners of properties rented at "affordable rates." The following are highlights of the proposal: (1)
Affordable Rental Rate, defined as a monthly rent not to exceed 75% of the Payment Standards as established
by the Office of Housing and Community Development, (2) Property Classification: anew class of property
called "affordable rental housing" will be established, with the qualification requirement being that all rental
units on the property must be rented at the affordable rental rates, (3) Benefits: recommends properties in the
affordable rental housing class receive a tax rate similaz to the homeowners class. States that this proposal takes
a giant step in getting property owners to lower their rents to more affordable levels on the Big Island.
Council Member Bob Jacobson submitted a communication for amendments to Bill No. 106, but failed to
garner a majority vote.
Housekeeping amendments to Bill No. 106 was brought forth by Ms. Leslie Chow, of the Legislative Reseazch
Branch.
Your Committee on Finance is in accord with the purpose and intent of Bill No. 106 as amended to Draft 2, and
recommends it pass first reading.
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AYES NOES A&E EX Respectfully submitted,
FORD X
HIGA x CO ITTEE ON FINANCE
HOFFMANN X
H{EDA X
JACOBSON X W~.~---~
NAEOLE x DOMINIC YAGON ,
PILAGO x FC REPO N 111
YAGONG X
YOSHIMOTO x ADOPTED: JUN 2 O 2OOI