Report Title:

Enterprise Zones; University of Hawaii School of Medicine

Description:

Includes services provided by a university medical school constructed in the Kakaako community development district as defined in 206E-32, HRS; includes architect and engineering services in general excise tax exemptions for construction of university medical school project in Kakaako.

HOUSE OF REPRESENTATIVES

H.B. NO.

936

TWENTY-SECOND LEGISLATURE, 2003

 

STATE OF HAWAII

 


 

A BILL FOR AN ACT

 

RELATING TO STATE ENTERPRISE ZONES.

 

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

SECTION 1. Section 209E-2, Hawaii Revised Statutes, is amended by amending the definition of "disease management services", "education and training services", "medical and health care services" to read as follows:

""Disease management services" means patient self-management education services, which may include primary prevention, behavioral modification, compliance/surveillance, and routine reporting and feedback including communication with patients, physicians, health plans, or ancillary providers[.], and which may be provided by a university medical school located in the Kakaako community development district.

"Education and training services" means courses and programs for international business executives in business management, marketing, financial services, human resources, risk management, [and] for technicians in environmental sciences and remediation[.], and for disease management, medical, and health care services which may be provided by a university medical school located in the Kakaako community development district.

"Medical and health care services" means medical research, clinical trials, and telemedicine, but not routine medical treatment or services[.], and which may be provided by a university medical school located in the Kakaako community development district."

SECTION 2. Section 209e-11, Hawaii Revised Statutes, is amended to read as follows:

"209E-11 State general excise exemptions. (a) The department shall certify annually to the department of taxation that any qualified business is exempt from the payment of general excise taxes on the gross proceeds from the manufacture of tangible personal property, the wholesale sale of tangible personal property, the engaging in a service business by a qualified business, or the engaging in research, development, sale, or production of all types of genetically-engineered medical, agricultural, or maritime biotechnology products.

(b) The gross proceeds received by a contractor licensed under chapter 444, or by an architect or professional engineer licensed under chapter 464, shall be exempt from the general excise tax for construction projects performed within an enterprise zone [performed] for a university medical school located in the Kakaako community development district or for a qualified business [within an enterprise zone.] as defined in this chapter. The exemption shall extend for a period not to exceed seven years[.]; provided that no contractor, architect, or professional engineer claiming a tax credit under this subsection shall include a general excise tax amount in its contracts, estimates, or requests for payment for construction projects performed under this subsection."

SECTION 3. This Act, upon its approval, shall apply to taxable years beginning after December 31, 2002.

INTRODUCED BY:

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