HomeMy WebLinkAboutREP FC 078 09/10/1985 1984-1988 4
REPORT OF THE 111
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COMMITTEE ON FINANCE
Date: September 10 , 1985
Place: Councilroom
Time: 9 :00 a . m.
Chairman and Members
Hawaii County Council
Hilo, Hawaii 96720
Your Committee on Finance, to which was referred Communication 288, a
report of the HSAC Real Property Tax Committee meeting of August 19 ,
1985 , reports as follows:
The purpose of Communication 288 is to inform the Finance Committee
of recent action taken by the Hawaii State Association of Counties '
Real Property Tax Committee and to solicit comments regarding
legislation now before that committee .
Bill 83-HSAC-3 relating to grounds of appeal , proposes to amend the
real property tax law to allow taxpayers to appeal their assessment
if it exceeds the market value assessment by more than 10 percent,
rather than the current 20 percent deviation allowed .
Bill 85-HSAC-2 provides for the creation of an additional Tax Review
Board. This request came from the City and County of Honolulu due to
the substantial number of appeals awaiting hearing. This measure
proposes to segregate the responsibilities of the boards . One board
would review residential appeals, the other commercial and
agriculture. Although uniformity amongst the counties is not
required for this proposal , the HSAC Real Property Tax Committee
suggested that each county enact enabling legislation .
During committee discussion regarding proposed Bill 83-HSAC-3
(grounds of appeal ) , the Finance Director cautioned that a
substantial increased staff would be needed if appraisals are to be
more rigidly scrutinized. The concerns of the committee were that
the public deserves to have the closest appraisal to the actual value
and a 10 percent deviation would better achieve this goal .
FC REPORT No , 78 (AMENDED)
ADOPTED: SEP 18 1985
( 411
•
FC-78 Page 2 September 10 , 1985
(Amended)
In response to the proposed additional Tax Review Board
(Bill 85-HSAC-2) , the committee felt the Boards ' responsibilities
would lead to less continuity amongst the settlements in appeals .
The Finance Director commented that the present board is adequate in
servicing the number of appeals although, due to absences of board
members , finding a quorum has become a problem. The Finance Director
suggested alternates being appointed to fill the board's gaps in
these situations. The committee questioned the commitment these
alternates would have and that perhaps a larger board should be
appointed. It was brought to their attention by the Finance Director
that by increasing the membership on the board, they would also be
increasing the quorum votes needed to act on the appeals .
In light of the foregoing discussion, your Committee on Finance
recommends that Hawaii County continue to maintain one Tax Review
Board at this time but concurs with the adoption of enabling
legislation to allow for a second board in the event one is needed .
In addition, Bill 83-HSAC-3, relating to grounds of appeal, should be
strongly considered by the full Council to allow taxpayers to appeal
their real property tax assessment if it exceeds the market value
assessment by more than 10 percent .
FRANK DE LUZ III, CHAIRMAN
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ORR INE R I AKU, VICE CHR. _ AAL
L. K. DAHLBERG, MEMBEA6
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TAKASHI DOMINGO, ME BER R SSELL S. KOKUB , MEMBER
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MERL K. LAI, MEM: ``ENCER K. SCHUTTE, MEMBER
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REPORT OF THE S
COMMITTEE ON FINANCE
Date: September 10 , 1985
Place: Councilroom
Time: 9: 00 a . m.
Chairman and Members
Hawaii County Council
Hilo, Hawaii 96720
Your Committee on Finance, to which was referred Communication 288 , a
report of the HSAC Real Property Tax Committee meeting of August 19 ,
1985 , reports as follows:
The purpose of Communication 288 is to inform the Finance Committee
of recent action taken by the Hawaii State Association of Counties '
Real Property Tax Committee and to solicit comments regarding
legislation now before that committee .
Bill 83-HSAC-3 relating to grounds of appeal , proposes to amend the
real property tax law to allow taxpayers to appeal their assessment
if it exceeds the market value assessment by more than 10 percent,
rather than the current 20 percent deviation allowed .
Bill 85-HSAC-2 provides for the creation of an additional Tax Review
Board. This request came from the City and County of Honolulu due to
the substantial number of appeals awaiting hearing. This measure
proposes to segregate the responsibilities of the boards . One board
would review residential appeals, the other commercial and
agriculture . Although uniformity amongst the counties is not
required for this proposal , the HSAC Real Property Tax Committee
suggested that each county enact enabling legislation .
During committee discussion regarding proposed Bill 83-HSAC-3
(grounds of appeal ) , the Finance Director cautioned that a
substantial increased staff would be needed if appraisals are to be
more rigidly scrutinized. The concerns of the committee were that
the public deserves to have the closest appraisal to the actual value
and a 10 percent deviation would better achieve this goal .
FC REPORT No. 78
ADOPTED:
l 1 1
t + •
0i
a
FC-78 Page 2 September 10 , 1985
In response to the proposed additional Tax Review Board
(Bill 85-HSAC-2) , the committee felt the Boards ' responsibilities
would lead to less continuity amongst the settlements in appeals .
The Finance Director commented that the present board is adequate in
servicing the number of appeals although, due to absences of board
members , finding a quorum has become a problem. The Finance Director
suggested alternates being appointed to fill the board's gaps in
these situations. The committee questioned the commitment these
alternates would have and that perhaps a larger board should be
appointed. It was brought to their attention by the Finance Director
that by increasing the membership on the board, they would also be
increasing the quorum votes needed to act on the appeals .
In light of the foregoing discussion, your Committee on Finance
recommends that Hawaii County continue to maintain one Tax Review
Board in response to Bill 85-HSAC-2 and that the appeal by the
taxpayer on a margin of 10 percent or greater , as described in
Bill 83-HSAC-3, be strongly considered by the full Council .
iika 1141.11J
FRANK DE LUZ III, CHAIRMAN
1\\\. ISNAN. lh!OW%
OR'AINE R i ✓ HAKU, VICE CHR. JA L. K. DAHLBERG, MEMB'
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‹*-C;11-4 ..-es-v.TAKASHI DOMINGO, MEMBER ,'U-SELL S. KOKUB7N, MEMBER
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MERLE K. LAI, MEM ` SPENCER K. SCHUTTE, MEMBER
LA/MS