HomeMy WebLinkAboutCOM 0360.000 2012-2014 JEFFREY T. KUWADA .o;;::o:M�;,
County Clerk d COUNTY CLERK
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OFFICE OF THE COUNTY CLEFIFC JUL 30 PH 2 47
COUNTY OF MAUI
200 S. HIGH STREET
WAILUKU, MAUI, HAWAII 96793
www.mauicounty.gov/county/clerk
July 25, 2013
Honorable J Yoshimoto, Chair
and Members
County of Hawaii
25 Aupuni Street
Hilo, Hawaii 96720
Dear Chair and Members:
Transmitted herewith is a copy of Resolution No. 13-86, which was
adopted by the Council of the County of Maui, State of Hawaii, on
July 25, 2013.
Res.=ctfully yours,
JEFFREY T. KUWADA
County Clerk
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Enclosure
Comm. No� (0°
Ref.To: JUL 3 6Z`O1 "
Ref. Date
Resolution
No. 13-86
URGING THE PRESIDENT AND THE CONGRESS OF
THE UNITED STATES TO PRESERVE THE CURRENT
TAX-EXEMPT STATUS OF MUNICIPAL BONDS
WHEREAS, the issuance of tax-exempt municipal bonds is the primary method
by which state and local governments finance the nation's critical infrastructure,
including roads, bridges, hospitals, schools, and utility systems; and
WHEREAS, state and local governments have historically saved up to 2
percentage points on their borrowing through the use of tax-exempt municipal bonds; and
WHEREAS, these savings in debt service allow state and local governments to
invest more funds toward critical infrastructure and essential services while minimizing
the costs passed on to taxpayers; and
WHEREAS, several proposals are being discussed in the ongoing Federal budget
negotiations that would either reduce or eliminate the current tax exemption of the
interest earned from tax-exempt municipal bonds; and
WHEREAS, the National Association of Counties, the National League of Cities,
and the United States Conference of Mayors, with assistance from the Government
Finance Officers Association, issued a joint report entitled "Protecting Bonds to Save
Infrastructure and Jobs 2013" ("Report") to determine the impacts of the proposals to
limit or fully eliminate the tax exemption on interest from municipal bonds; and
WHEREAS, the Report shows that if the proposal to establish a 28 per cent cap
on many itemized deductions, including tax-exempt interest earned on municipal bonds,
was in effect over the last decade, it would have cost state and local governments and
their taxpayers an additional $173 billion in interest expense for that same period; and
WHEREAS, the Report further shows that if the tax exemption had been fully
eliminated, it would have cost state and local governments and their taxpayers an
additional $495 billion in interest expense over the last decade; and
WHEREAS, the Federal government should not impair, through a reduction,
elimination, or similar manipulation of the tax exemption provided to municipal bonds,
the ability of state and local governments to economically borrow and provide
infrastructure to their citizens; now, therefore,
•
Resolution No. 13-86
BE IT RESOLVED by the Council of the County of Maui:
1. That it hereby urges the President and the Congress of the United States to
preserve the current tax-exempt status of municipal bonds, which has
successfully provided trillions of dollars in low-cost financing for critical
infrastructure investments that serve citizens in all states and local
communities; and
2. That it hereby urges the President and the Congress of the United States to
reject any proposal that would reduce or eliminate the Federal tax
exemption on interest earned from tax-exempt municipal bonds; and
3. That certified copies of this resolution be transmitted to the President of
the United States; the Hawaii members of the United States Congress; the
Senate President, State of Hawaii; the Speaker of the House of
Representatives, State of Hawaii; the Honorable Members of the Honolulu
City Council, Hawaii County Council, and Kauai County Council; and the
Honorable Mayors of the City and County of Honolulu, Hawaii County,
Kauai County, and Maui County.
paf:skk:13-169a
COUNCIL OF THE COUNTY OF MAUI
WAILUKU, HAWAII 96793
CERTIFICATION OF ADOPTION
It is HEREBY CERTIFIED that RESOLUTION NO. 13-86 was adopted by the
Council of the County of Maui, State of Hawaii, on the 25th day of July, 2013, by
the following vote:
Gladys C. Robert Eleanore Donald G. S.Stacy Donald S. G.Riki Michael P. Michael B.
MEMBERS BAISA CARROLL COCHRAN COUCH,JR. CRIVELLO GUZMAN HOKAMA VICTORINO WHITE
ROLL CALL Aye Aye Excused Aye Aye Excused Aye Excused Aye
COUNTY CLERK