THIRTIETH LEGISLATURE, 2019
STATE OF HAWAII
A BILL FOR AN ACT
RELATING TO Counties.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
SECTION 1. The purpose of this Act is to eliminate the cap established for the distribution of transient accommodations tax revenues to the counties.
SECTION 2. Section 237D-6.5, Hawaii Revised Statutes, is amended by amending subsection (b) to read as follows:
"(b) Except for the revenues collected pursuant to section 237D-2(e), revenues collected under this chapter shall be distributed in the following priority, with the excess revenues to be deposited into the general fund:
$ shall be allocated to the Turtle
Bay conservation easement special fund beginning July 1, 2015, for the
reimbursement to the state general fund of debt service on reimbursable
general obligation bonds,
including ongoing expenses related to the issuance of the bonds, the proceeds
of which were used to acquire the conservation easement and other real property
interests in Turtle Bay, Oahu, for the protection, preservation, and
enhancement of natural resources important to the State, until the bonds are
shall be allocated to the convention center enterprise special fund established
under section 201B-8;
shall be allocated to the tourism special fund established under section 201B‑11;
(A) Beginning on July
1, 2012, and ending on June 30, 2015, [
shall be expended from the tourism special fund for development and
implementation of initiatives to take advantage of expanded visa programs and
increased travel opportunities for international visitors to Hawaii;
(B) Of the [
shall be allocated for the operation of a Hawaiian center and the museum of
Hawaiian music and dance at the Hawaii convention center; and
(ii) 0.5 per cent of
shall be transferred to a sub-account in the tourism special fund to provide
funding for a safety and security budget, in accordance with the Hawaii tourism
strategic plan 2005-2015; and
(C) Of the revenues remaining in the tourism special fund after revenues have been deposited as provided in this paragraph and except for any sum authorized by the legislature for expenditure from revenues subject to this paragraph, beginning July 1, 2007, funds shall be deposited into the tourism emergency special fund, established in section 201B-10, in a manner sufficient to maintain a fund balance of $5,000,000 in the tourism emergency special fund;
44.8 per cent of the revenues collected after revenues have been deposited
as provided in this section shall be allocated to the counties and distributed
as follows: Kauai county shall receive
14.5 per cent, Hawaii county shall receive 18.6 per cent, city and county of
Honolulu shall receive 44.1 per cent, and Maui county shall receive 22.8 per
cent; provided that commencing with fiscal year 2018-2019, a sum that
represents the difference between a county public employer's annual required
contribution for the separate trust fund established under section 87A-42 and
the amount of the county public employer's contributions into that trust fund
shall be retained by the state director of finance and deposited to the credit
of the county public employer's annual required contribution into that trust
fund in each fiscal year, as provided in section 87A-42, if the respective
county fails to remit the total amount of the county's required annual
contributions, as required under section 87A-43; and
shall be allocated to the special land and development fund established under
section 171-19; provided that the allocation shall be expended in accordance
with the Hawaii tourism authority strategic plan for:
(A) The protection, preservation, maintenance, and enhancement of natural resources, including beaches, important to the visitor industry;
(B) Planning, construction, and repair of facilities; and
(C) Operation and maintenance costs of public lands, including beaches, connected with enhancing the visitor experience.
All transient accommodations taxes shall be paid into the state treasury each month within ten days after collection and shall be kept by the state director of finance in special accounts for distribution as provided in this subsection.
As used in this subsection, "fiscal year" means the twelve-month period beginning on July 1 of a calendar year and ending on June 30 of the following calendar year."
SECTION 3. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.
SECTION 4. This Act shall take effect on July 1, 2019.
Transient Accommodations Tax; Revenue Distributions; Counties
Amends the distribution of transient accommodations tax revenues.
The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.