HomeMy WebLinkAboutCOM 0706.000 2008-2010DENNIS "FRESH" ONES!!!
Council Alen her
Council Di,sinc( 4
Attultng Addrese.
(1-orni _r County Building)
25 cl upum Street
lido. Ilmrm'r 96720
MEMORANDUM
Hawaii County Council
County of Hau'ai
TO: J Yoshimoto, Council Chair
and Council Members // •• ..''
FROM: Dennis "Fresh" Onishi, Council Member Ci`�
DATE: February 2, 2010
SUBJECT: Legislation for Inclusion in the 2010 1 -ISAC Legislative Package.
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Serrmt thr /Mere. 1: of the People of Our island
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Phone (808) 961-8571
Fun (8081 961 -8912
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At the January 19, 2010 Hawai'i State Association of Counties (HSAC) Executive Committee
Meeting, the following resolution was approved and referred back to each respective County for
discussion:
• Resolution to urge the Governor and State Legislature to maintain the Counties' share of the
Transient Accommodation Tax (TAT).
Comm. No. lob
Ref. To: F C.,
Ref. CJote, FEB 0 4 2019
Hawai`i State Association of Counties
Counties of Kauai, Maui, Hawai`i and City and County of Honolulu
RESOLUTION URGING THE GOVERNOR AND THE STATE LEGISLATURE TO
MAINTAIN THE COUNTIES' SHARE OF THE TRANSIENT ACCOMMODATIONS TAX
WHEREAS, the transient accommodations tax is a tax levied by the state on the
proceeds derived from furnishing transient accommodations; and
WHEREAS, in the 1990 legislative session, the Hawaii state legislature enacted
Act 185 which gave the counties a share of the transient accommodations tax; and
WHEREAS, according to Conference Committee Report 207, the purpose of Act
185 was to provide a more equitable method of sharing state revenues with the counties
rather than continuing with the system existing at the time whereby the counties
requested financial assistance through grants in aid from the state; and
WHEREAS, in Conference Committee Report 207, it was acknowledged that
many of the burdens imposed by tourism fall on the counties including the costs of
providing police and fire protection, maintaining county parks, beaches, water systems,
roads, sewer systems and other tourism related infrastructure; and
WHEREAS, the county share of the tax also provides more stability to county
finances and enables improved budgeting and planning; and
WHEREAS, 44 8% of the total transient accommodations tax collected by the
state is distributed to the counties and allocated as follows:
and
Kauai County
Hawaii County
City and County of Honolulu
Maui County
WHEREAS, on Kauai the transient accommodations tax accounts for
approximately 7 8% of Kauai's general fund budget, on Hawaii the transient
accommodations tax accounts for approximately 5.5% of Hawaii County's general fund
budget, on Oahu the transient accommodations tax accounts for approximately 3.2% of
Honolulu's general fund budget, and on Maui the transient accommodations tax
accounts for approximately 3.9% of Maui's general fund budget, and
OCS/010410/11 36 /HM
1
14.5%
18.6%
44.1%
22.8%
WHEREAS, in her press release on December 21, 2009, detailing her plans to
balance the state budget for the fiscal biennium 2009 -2011, the governor proposes to
suspend the counties' allocation of the transient accommodations tax, thus keeping
state revenue that would otherwise go to the counties; and
WHEREAS, maintaining the current allocation of the transient accommodations
tax would allow the counties to continue providing essential government services to
visitors and residents without significantly raising property taxes; now, therefore,
BE IT RESOLVED by the Hawaii State Association of Counties that it urges the
governor and the state legislature to maintain the current allocation of the counties'
share of the transient accommodations tax; and
BE IT FINALLY RESOLVED that copies of this Resolution be transmitted to the
the governor, the president of the state Senate, and the speaker of the House of
Reprrsnt ives.
DEREK
President
DENNIS ONISHI
Secretary
2
STOR GARCIA
Vice President
SEP• ONTANILLA
reasurer