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GE Tax Hike on the move in the legislature
SA: … Legislation that could extend the Honolulu Authority for Rapid Transportation’s tax-based funding sources for years to come is being tracked by the rail agency.
That includes extension to Honolulu’s 0.5% surcharge on the state’s 4% general excise tax. For the 2026 fiscal year, the rail agency’s share of GET money make up about 28% of the more than $1.2 billion in expected funding sources to construct the nearly $10 billion Skyline. The city’s current surcharge runs through Dec. 31, 2030.
But since the Legislature’s session began Jan. 15, several transportation financing bills have materialized….
“It also extends the end date of the 1% transient accommodation tax increase to the same date, Dec. 31, 2056,” he told HART’s board of directors, during a meeting Friday. “This requires the state auditor to conduct an audit and annual review of (HART) until Dec. 31, 2056,” though the agency is currently slated to run until the public opening of Skyline’s Kakaako station in 2031.
SB 220 also will “require the comptroller to certify the HART invoices for capital costs until Dec. 31, 2056,” he said.
He noted the Senate bill has been referred to committees for further review. “This is a straightforward extension bill that extends both the GET and the TAT county surcharges for Oahu,” he added.
Similarly, SB 467 would authorize each county that has established a surcharge on state tax before July 1, 2015, to extend the surcharge until Dec. 31, 2045, at the same rates, if the county does so before Jan. 1, 2028, according to Manahan.
“This is part of the Hawaii State Association of Counties’ package, (with) slightly different provisions,” he said.
He noted SB 467 also provides that no county surcharge on state tax authorized for a county that has not established a surcharge on state tax before July 1, 2015, shall be levied before Jan. 1, 2019, or after Dec. 31, 2045.
“And (it) repeals certain conditions on the use of surcharges received from (the) state for counties having a population equal to or less than 500,000 that adopt a county surcharge on state tax,” he said….
Senate Bill 492, relating to the GET, also has been advanced. “It is a reintroduction of the HSAC package bill on the Senate side,” he added.
House Bill 375 is the “House version” of the HSAC bill introduced by House Speaker Nadine Nakamura, according to Manahan.
The legislative language for HB 375, SB 492 and SB 467 are “identical,” he explained….
BACKGROUND: GE Tax: Audit Shows Tourists Pay 14.1%--not 30%
read … HART reviews state tax extension bills for Honolulu rail | Honolulu Star-Advertiser
GE Tax Hike: Green Wants To Extend Excise Tax Surcharge On Neighbor Islands
CB: … Gov. Josh Green is proposing to extend the half-percent excise tax surcharge on the neighbor islands until 2047, reopening a contentious debate over a tax that was originally imposed only on Honolulu residents to finance the city rail project.
The neighbor island counties were later given authority to impose the tax surcharge on their own residents and visitors as well, and they now rely heavily on that cash flow. It will generate nearly $200 million this fiscal year to help fund projects and operations for Kaua’i, Maui and Hawai’i counties.
The surcharge is scheduled to expire at the end of 2030 for Honolulu and each of the other counties, but House Bill 1014 and Senate Bill 1333 would extend the surcharge for the neighbor island counties until the end of 2047….
SA: HART reviews state tax extension bills for Honolulu rail | Honolulu Star-Advertiser
read … Green Wants To Extend Excise Tax Surcharge On Neighbor Islands - Honolulu Civil Beat
How UPW Negotiating Team Set up Overtime Games Responsible for toxic environment in Hawaii jails
HNN: … A state Senate hearing on the report Wednesday identified another chronic, toxic issue: some guards abusing overtime, and others angry because nothing is done about it.
Johnson said the guard’s union, the United Public Workers, ended an agreement that had been helped manage overtime, and now the union defends the abusers and anyone who is disciplined.
“That’s affecting morale,” Johnson said, “because members are saying ‘Hey, why are you taking up for this guy, this guy who is not coming to work? He’s causing me to stay for overtime but you are defending this person.‘”
(IDEA: Guards should copy Maui Hospital nurses. Decertify the UPW and switch to a guards’ union for better representation.)
Werner said Friday a contract agreement that reduced abuse years ago was dropped during the Ige administration in return for the union accepting a zero-percent raise.
Werner said he warned state negotiators at the time.
“I was a member of the negotiating team at that time, and we even warned them at the table that if you get rid of the attendance program, it would be the Wild West,” he said.
(But UPW bosses wanted it so badly they gave away their pay raise to get it.)
Johnson was not involved back then, but says after discussions about overtime abuse were discussed last year, the union said it would have a new proposal. Johnson said it has not produced anything in writing ….
RELATED: Hospital Crisis: How to Use Union Work Rules for Fun and Profit
read … Report finds toxic environment in Hawaii jails while overtime abuse rises again
Bill proposes Some SMA permit exemptions for rebuilding in Lahaina historic district
MN: … Rebuilding in historic Lahaina town would not require special management area permits, under a bill introduced by West Maui Sen. Angus McKelvey, if the structure was destroyed by the Aug. 8, 2023, wildfire and planned reconstruction stays within the footprint of structure that stood before the disaster.
Senate Bill 1296 also would not exempt properties directly on the shoreline, while recognizing the urgent need to rebuild. The bill also increases the valuation threshold of development subject to a special management area permit from $500,000 to $750,000 when it’s located within the area covered by a federal disaster declaration on Aug. 8, 2023….
MN: Efforts to preserve historic structure progress with Maui officials, landowners working together | News, Sports, Jobs - Maui News
read … Bill proposes SMA permit exemptions for rebuilding in Lahaina historic district
2 arrested in connection with deadly fireworks explosion
HNN: … A man and woman, both 33 years old, were taken into custody Friday afternoon and booked for reckless endangering, endangering the welfare of a minor, and multiple fireworks offenses.
Police say at the gathering, Ruben Mateo and Jewel Cabras ignited illegal fireworks and allowed their three children, ages 15, 10, and 1, to ignite illegal fireworks.
Police say the youngest child was injured during the explosion and taken to a hospital for treatment before being released….
The Honolulu Police Department says more arrests are expected.
The explosion killed three women and a 3-year-old boy and injured more than 20 others.
Six of the victims were so severely burned, they were flown to a special burn center in Phoenix Arizona.
At last check, all six were still in medically induced comas….
read … 2 arrested in connection with deadly fireworks explosion
Federal Government Seeks To Seize Mike Miske's Assets After His Death
CB: … The federal government is seeking to seize more than $20 million of Michael Miske’s assets after the convicted organized crime leader’s death in a federal detention center upended his criminal case.
The U.S. Attorney’s Office for Hawaii filed a civil forfeiture action Wednesday seeking two boats, millions of dollars in cash from various bank accounts, properties in Kailua and Portlock, multiple paintings and sculptures, and five vehicles, including a Ferrari and a 1951 Volkswagen.
The government had been pursuing Miske’s assets through a criminal forfeiture process since he was convicted in July of 13 counts, including racketeering and murder in aid of racketeering in connection to the 2016 killing of Johnathan Fraser. Prosecutors said the assets were either used in the commission of his crimes or purchased with proceeds from his illegal activities….
read … Federal Government Seeks To Seize Mike Miske's Assets After His Death
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