HomeMy WebLinkAbout2017-05-01 Letter to Kouchi, Souki, Tokuda & Luke re SB 1183 - TAT ti-os
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Managing Director
Harry Kim •t 6:.'1':-.',.•
Mayor .`-,-ver Barbara J.Kossow
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Office of fi r 4Crtgur
25 Aupuni Street,Suite 2603 • Hilo,Hawaii 96720 • (808)961-8211 • Fax(808)961-6553
KONA: 74-5044 Ane Keohokalole Hwy.,Bldg C • Kailua-Kona,Hawaii 96740
(808)3234444 • Fax(808)323-4440
May 1, 2017
Honorable Ronald D. Kouchi Honorable Jill N. Tokuda
Senate District 8 Senate District 24
Hawai`i State Capitol, Room 409 Hawai`i State Capitol, Room 207
senkouchia,capitol.hawaii.gov sentokuda(4,capitol.hawaii.gov
Honolulu, HI 96813 Honolulu, HI 96813
Honorable Joseph M. Souki Honorable Sylvia Luke
House District 8 House District 25
Hawaii State Capitol, Room 431 Hawaii State Capitol, Room 306
rensouki@capitol.hawaii.gov repluke Jcapitol.hawaii.gov
Honolulu, HI 96813 Honolulu, HI 96813
Dear President Kouchi, Speaker Souki, Senator Tokuda and Representative Luke:
We understand that the conference committee regarding Senate Bill 1183, agreed to increase the
TAT from 9.25%to 12%, with the increase going to the City and County of Honolulu's rail
system. This increase in TAT would be collected on all islands, even though the rail system is
only located on Oahu. In addition, the TAT cap for the counties was not restored to $103 million
as in previous years. This will reduce our TAT revenue by $1.86 million. This is more than the
entire budget for our Civil Defense department. We cannot eliminate this or any department
from our budget. Without these funds, a significant increase in real property taxes for our
citizens will be necessary. The same citizens that you also represent.
This bill is not fair. All islands will see an increase in the TAT but only one will benefit. We all
will be seeing less TAT in our budgets. We respectfully request that you do whatever you can to
provide the counties with their fair share of TAT and find another way to fund the rail system,
such as continuing the additional GET for Oahu.
We appreciate your consideration as we all attempt to best serve our joint constituents, the
people of Hawaii.
Re tfull jc.,
arry Kim
Mayor
County of Hawaii is an Equal Opportunity Provider and Employer.