HomeMy WebLinkAboutCOM 0233.002 2008-2010
To: Members of the Hawaii State Senate April 2009
cc: Members of the Hawaii House of Representatives
cc: Mayor Kenoi, Hawaii Council of Mayors
cc: County Council, County of Hawaii
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From: Members of the,f, Community, Big Island Residents I,)1MQ/~(A U
Re: HB1744 [Takes County Revenue to Balance State Budget] (J
PLEASE OPPOSE HB1744, which proposed legislation would take
from the Counties their shares of the TAT -Transient Accommodation
Taxes ("the tourist tax" collected from hotel room accommodations).
Because of the downturn in the economy Hawaii County is already
looking at a 32 million dollar shortfall. If you vote in favor of
HB1744 to take these TAT tax revenues from the Counties, the
additional loss to Hawaii County would amount to about 18 million
dollars, for a total budget shortfall of over 50 million dollars. Without
these TAT revenues, our County economy will suffer greatly.
We certainly expect more of you than what is happening now -
proposing to raid the County's funding and pitting valuable program
against valuable program. This approach is unacceptable. You are
hurting our State, not helping our State. We expect you to be
resourceful. It is the State, not the Counties, which has the authority
to create new revenue initiatives.
The Transient Accommodation Tax was enacted by the State
Legislature in 1990 to provide the Counties with funds to counter the
impact of tourism on public facilities - which public facilities are the
responsibility of the Counties - from infrastructure, to emergency
services, to water availability. When that legislation passed, the State
was to receive 5% of these funds. The remaining 95% of these funds
revenue was to be apportioned among the Counties. Now, in
HB 1744, you want all of these tax funds to go to the State and none
to go to the Counties. Yet you will expect the Counties to still be
responsible for the safety and welfare and comfort of tourists. No.
NO. NO. This is not fair. This is bad economic policy-both short
term and long term.
We ask you our leaders to come to the same table: Governor Lingle,
Legislators, and Mayors. By working together we ask you to 6ddres~s X33. Z
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shared sacrifice savings without layoffs and furloughs of state and
county workers. But even more importantly, at the same time we ask
you to find the funds needed to create new revenue streams-through
grants, borrowing, new programs, every way possible. If we, your
constituents, see hope for the future by way of collective efforts to
find new revenue, we can all - management, employees, retirees,
families, kids - as one community, make shared sacrifices to achieve
long term prosperity - prosperity measured through economic, social
and environmental wellbeing.
We ask that you heed President Obama's warning: government
cannot cut spending, cut workers, and cut programs as the way to
achieve prosperity. We want answers from you that preserve and
create jobs and opportunities, not answers that put more of us on the
unemployment lines and in the offices of welfare safety net services.
Please don't be shortsighted.
Where are the proposed initiatives to create new revenue streams?
We see none. Where is the list of grants from all other government
and private sources (not just from President Obama's stimulus
package)? We don't see such a list.
If immediately there is not enough grant and aide monies available,
then borrow what is needed to keep us afloat until we together have
in place programs to provide the necessary revenues. For example
Hawaii County is now borrowing at the 1211/z% level of general
expenditures. The Government Finance Office says we can prudently
borrow up to 15%. In these times it may be necessary to borrow
more than 15% of general expenditures.
At the same time challenge each of us every individual -every
business - every association - to volunteer time to help fill the gaps
in government services, in the classrooms, and in the community
gardens. Ask everyone to invite five or more out-of-state family
members, or out-of-state friends, or out-of-state business associates,
to visit Hawaii. Push all Hawaii associations to make our state the
educational and business and environmental conference center of the
world. We want to be part of the solution: "Together we can!"
AND FOR THESE REASONS WE ASK THAT YOU STONGLY
OPPOSE H131744, AND OPPOSE ANY DOWNWARD
ADJUSTMENT OF THE PERCENTAGE OF FUNDS NOW
BEING RECEIVED BY THE COUNTIES.
Thank you for hearing our voices. Sincerely,
Letter to Members of the State Senate In Opposition to HB1744
Signature Page:
Name: Address: Email:
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Letter to Members of the State Senate In Opposition to HB1744
Signature Page:
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