HomeMy WebLinkAboutCOM 0091.044 2016-2018 tY OF M'•
°'�•' '''''+�' Phone: (808)961-8564
County of Hawai r -cp.•',,; •. •.;,�'-.
�,�1. (808)887-2069
Council District 9- — .
North and South Kohala ;*; � -.:r•* ' Email:tim.richards@hawaiicounty.gov
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HERBERT M. "TIM" RICHARDS, III
HAWAII COUNTY COUNCIL
District 9
25 Aupuni Street, Ste. 1402, Hilo, Hawai`i 96720t.. C'S
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DATE: June 5, 2017
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TO: Council Chair Poindexter and
The Hawai`i County Council Members ,
FROM: Tim Richards, Council Member IP
Council District 9 -North and South Kohala
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SUBJECT: Comments and bullet point narrative of recommended amendments to the
FY 2017-2018 Budget
The initial DRAFT of FY 2017-2018 Budget dated March, 2017 was for approximately$474
million. This was revised up to $491 million in the May 5th version with the increases coming in
new positions, collective bargaining responsibilities, and other increases. This is a 6% increase
over last year's budget and being funded largely by real property tax increases.
Our County's budget has increased by 150% since 2000 with most of that burden being carried
by real property tax increases. My proposal for a balanced budget includes the following
elements:
1) Reduce the proposed budget to $489 million(increase of 5%over last year)
- Decreases the Real Property Tax revenue account by $6,039,231;
- Decreases the Clerk-Council Svc S&W account by $23,704 by reducing the
Council Members' wages by 5%;
- Decreases the Contingency Relief account by $225,000;
- Increases the'Mass Transit OCE, Equipment Repairs/Maintenance (Bus Repairs)
account by $130,000;
- Decreases the Mass Transit OCE, Misc. Contract Services (Bus Contract
Increase from Highway Fund) account by$1,402,773;
- Decreases the Mass Transit-Equipment(Bus Replacement) account by
$450,000; -
- Decreases the Transfer to Public Access/Open Space Preservation Fund account
by$120,785;
- Decreases the Transfer to Public Access/Open Space Preservation Maintenance
Fund account by $15,098; and
- Defund vacant positions (savings of approximately $610,000). COMM N®. I•l�l.f
Hawai'i County is an Equal Opportunity Provider and Employer Ref. To:
Ref. Date JU• 0 5 2Q10
2) Reduce proposed tax rate by $0.20/$1000 essentially across the board(this decreases tax
collections approximately roxl $6 2017-2018). Furthermore,the intent is to then
y million for
have the increase on real property tax sunset after 1 year which will give the Council the
time to revamp our tax codes and collections;this to include real property tax, fuel tax,
and revenues sources from the state like Transient Accommodation Tax.
3) Replace some of the funding for Mass Transit from revenues generated by an increase in
the Fuel Tax (current revenues are approximately $8 million, my proposal will include an
increase from the $0.088/gal to $0.13/gal increasing revenues to $12 million per year).
The intent is to exercise fiscal responsibility while not severely impacting the services of the
County of Hawai`i for our people.
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