Bill > HB2147

This bill proposes amendments to the Hawaii State Constitution to address the underfunding of public education by allowing the State Legislature to impose a surcharge on real property taxes. Currently, counties have exclusive authority over real property taxation, but this bill would repeal that exclusivity and grant the Legislature the power to establish a surcharge on residential investment properties valued at $3,000,000 or more. A "residential investment property" is defined as real property used for residential purposes that is not the owner's primary residence, including apartments and condominiums. This surcharge would be an additional tax imposed on top of existing property taxes, and its proceeds would be used to fund public education for all residents, from K-12 through post-secondary institutions. Importantly, the surcharge would not apply to affordable housing developments subject to a regulatory agreement with the State or a county, nor would it apply to a property that serves as the owner's primary residence. The bill also clarifies that the State is responsible for providing public education and that current funding levels are insufficient, leading to various challenges within the school system.

Budget and Finance, Education, Justice

https://www.capitol.hawaii.gov/session/measure_indiv.aspx?billtype=HB&billnumber=2147&year=2026