HomeMy WebLinkAboutCOM 0926.004 2018-2020 jet
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Mon 5/11/2020 9:28 AM Y'
Luxury Home Class Bill Testimony
To: Council Testimony
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Dear Hawaii County Council:
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This letter is public testimony regarding the bill to create a special luxury home class so a higher
property tax rate can be assigned. We oppose this for the reasons stated below.
Our family purchased land in Hawaii to build a home that would later become a retirement
home, with our sons using it in the meantime while they attend the University of Hawaii at Hilo.
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While we do not know if the final value will place this in the new proposed class, the prospect of €
higher taxes in the future is discouraging, and we would rather see the county budget balanced
through other means. Once this class exists, it will be only a matter of time before the threshold
is lowered and/or additional classes are created in the future.
Although we had planned to begin building by now, we have put the project on hold due to the
current travel and quarantine restrictions, as well as concerns about future property tax rates. If
things improve, we may still continue with this, but the property tax increase proposal is a step in
the wrong direction.
If we do resume the project at some point, the construction costs alone will total more than half a
million dollars with much of it going to local building contractors and suppliers. The existing
property tax rates for non-residents already provide a substantial benefit to the county. Our kids
would pay out of state tuition rates. Over the past 10 years, we have spent many thousands of
dollars each year while visiting and that would only increase if we complete the house and are
able to travel unrestricted, living part-time within the state. However, if the situation does not
improve or gets worse, none of this is going to happen.
Please be aware that measures which discourage investment and reduce confidence do have a
profound, rapid, and long-teen dampening economic effect.
Thanks for your consideration.
Kris and Patty Breland
Comm.
Ref.To: ® nU
Ref. Date MAY 13 2020