Bill > SB492

This bill extends and modifies the county surcharge on state general excise taxes in Hawaii, primarily by changing the sunset date for these surcharges from December 31, 2030, to December 31, 2045. For counties that had already established a surcharge on state tax before July 1, 2015, they can now extend their surcharge until December 31, 2045, by adopting an ordinance before January 1, 2028. For counties that did not have a surcharge before July 1, 2015, they are still prohibited from levying a surcharge before January 1, 2019, and must do so before December 31, 2045. The bill also removes previous restrictions on how counties with populations of 500,000 or less can use these surcharge revenues for housing infrastructure costs, eliminating the requirement that counties cannot pass these costs on to housing developers. The surcharge is intended to support various public transportation infrastructure needs, including roadways, buses, trains, ferries, pedestrian paths, and bicycle paths, as well as expenses related to compliance with the Americans with Disabilities Act. The bill will take effect on May 13, 2040, providing a long-term framework for counties to continue funding transportation and housing infrastructure through this specific tax mechanism.

Budget and Finance, Government Affairs

https://www.capitol.hawaii.gov/session/measure_indiv.aspx?billtype=SB&billnumber=492&year=2025