HomeMy WebLinkAbout2018-04-02 Letter to Donovan M. Dela Cruz and Gilbert S. C. Keith-Agaran re HB 2587, HD 1, SD 1 Relating to GET ExtensionHarry Kim
A /c,or
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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) 323-4444 • Fax (808) 323-4440
Wil Okabe
A fanaging Director
Barbara J. Kossow
Deputy Managing Director
April2, 2018
Senator Donovan M. Dela Cruz, Chair
Committee on Ways and Means
Hawail State Capitol, Room 211
Honolulu, HI 96813
Senator Gilbert S.C. Keith-Agaran„ Vice -Chair
Committee on Ways and Means
Hawaii State Capitol, Roo 211
Honolulu, HI 96813
Dear Chair Dela Cruz, Vice -Chair Keith-Agaran„ and Committee Me bers:
Re: HB 2587, HD 1, SD 1 Relating to GET Extension
Hearing Date: 04/04/2018 — 10:30 am; Conference Room 211
Please accept this testimony in support of HB 2587, HD 1, SD 1, extending the opportuni y for a
county to add a surcharge to the State GET. I regret that I must ask for one further amendment.
I have come to terms with the fiscal vise that makes in nearly impossible to provide the services
that our communities need, without increasing our tax revenue. Furthermore, I have been educated as to
how much revenue can be generated from a small surcharge on the GET, and how much of that revenue
would be paid by non-residents. Therefore, 1 have sent a proposal to our County Council calling for the
surcharge. The Council has postponed action until May.
Since Hawaii County cannot meet the current deadline for deciding whether or not to adopt a
surcharge, HB 2587, HD 1, SD 1 has gone from "nice -to -have" to "must -have" legislation for us.
I also have to reckon with political realities. Asking the Hawaii County Council to increase taxes
between now and June 30 is probably not realistic. Therefore, I have to ask you to indulge us with some
greater flexibility.
Please amend HB 2587, HD 1, S• 1 to allow a county until March 2019 or later to adopt he
surcharge, with the tax being effective in calendar year 2020. That would keep this bill alive for
conference, in case anything changes between now and then.
We appreciate your consideration, and ask for your continued understanding and support.
Raspy subs suhn itted,
Harry Ki
Mayor, County of Hawaii
Co my of Hawaii is an Equal ()pportunity Provider and Employer.