STAND. COM. REP. NO. 3618
RE: H.B. No. 2587
Honorable Ronald D. Kouchi
President of the Senate
Twenty-Ninth State Legislature
Regular Session of 2018
State of Hawaii
Your Committee on Ways and Means, to which was referred H.B. No. 2587, H.D. 1, S.D. 1, entitled:
"A BILL FOR AN ACT RELATING TO TAXATION,"
begs leave to report as follows:
The purpose and intent of this measure is to address the county surcharge on state tax.
More specifically, this measure:
(1) Extends by three months the period in which a county may adopt a surcharge on state tax, under certain conditions, from March 31, 2018, to June 30, 2018; and
(2) Requires that for a county with a population equal to or less than five hundred thousand that adopts a county surcharge on state tax:
(A) No less than sixty percent of the surcharge revenues shall be used for transportation purposes; and
(B) No more than two percent of the surcharge revenues may be used on any roadway used by the general public.
Your Committee received written comments in support of this measure from the Mayor of the County of Hawaii.
Your Committee received written comments on this measure from the Department of Taxation and Tax Foundation of Hawaii.
Your Committee finds that this measure will provide the counties with additional time necessary to adopt county surcharge on state tax ordinances.
Your Committee has amended this measure by changing the effective date from January 1, 2100, to upon approval.
As affirmed by the record of votes of the members of your Committee on Ways and Means that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 2587, H.D. 1, S.D. 1, as amended herein, and recommends that it pass Third Reading in the form attached hereto as H.B. No. 2587, H.D. 1, S.D. 2.
Respectfully submitted on behalf of the members of the Committee on Ways and Means,
DONOVAN M. DELA CRUZ, Chair