HOUSE OF REPRESENTATIVES
THIRTIETH LEGISLATURE, 2020
STATE OF HAWAII
A BILL FOR AN ACT
relating to the transient accommodations tax.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
SECTION 1. The purpose of this Act is to allocate funds from transient accommodations tax revenues to the Hawaii tourism authority for the implementation of initiatives, in conjunction with the Hawaii Lodging and Tourism Association, to address homelessness in tourist and resort areas.
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:
(1) $1,500,000 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
(2) $16,500,000 shall be allocated to the convention center enterprise special fund established under section 201B-8;
(3) $79,000,000 shall be allocated to the tourism special fund established under section 201B-11; provided that:
(A) Beginning on July 1, 2012, and ending on June 30, 2015, $2,000,000 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 $79,000,000 allocated:
(i) $1,000,000 shall be allocated for the operation of a Hawaiian center and the museum of Hawaiian music and dance; and
(ii) 0.5 per cent of the $79,000,000 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;
(4) $103,000,000 shall
be allocated 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; [
(5) $3,000,000 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[
(6) Beginning on July 1, 2020, $1,500,000 shall be allocated to the tourism special fund established by section 201B-11; provided that the Hawaii tourism authority shall use the funds, in conjunction with the Hawaii Lodging and Tourism Association, to address homelessness in tourist and resort areas; provided further that no funds shall be released unless matched dollar-for-dollar by the private sector.
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. The Hawaii tourism authority shall submit a report to the
legislature at least twenty days prior to the convening of the regular session
of 2021, which shall include:
(1) The current status of any initiative implemented in conjunction with the Hawaii Lodging and Tourism Association during the three-year period prior to the date of the report to address homelessness in tourist and resort areas, including the costs thereof, source of funding, and participating entities; and
(2) The current status of any plans to implement future initiatives, in conjunction with the Hawaii Lodging and Tourism Association, to address homelessness in tourist and resort areas, including the estimated costs thereof, potential sources of funding other than legislative appropriations, and anticipated participating entities.
4. There is appropriated out of the tourism
special fund the sum of $1,500,000 or so much thereof as may be necessary for fiscal year 2020-2021
for the Hawaii tourism authority, in conjunction with the Hawaii Lodging and
Tourism Association, to address homelessness in tourist and resort areas; provided
that no funds shall be made available unless matched dollar-for-dollar by the
The sum appropriated shall be expended by the Hawaii tourism authority for the purposes of this Act.
Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.
This Act shall take effect on July 1, 2020.
Transient Accommodations; Tax Revenue Allocation; Hawaii Tourism Authority; Homelessness; Appropriation
Allocates TAT revenues into the tourism special fund and appropriates funds for the Hawaii tourism authority (HTA) and Hawaii Lodging and Tourism Association to address homelessness in tourist and resort areas, subject to private matching funds. Requires HTA to report to the 2021 legislature.
The summary description
of legislation appearing on this page is for informational purposes only and is
not legislation or evidence of legislative intent.