HOUSE OF REPRESENTATIVES	H.B. NO.	2488
TWENTY-FIFTH LEGISLATURE, 2010
STATE OF HAWAII

A BILL FOR AN ACT

relating to the homeless.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

     SECTION 1.  The legislature finds that homelessness continues to be a major concern for the State.  Although there has been some success providing shelters and services for the homeless, there appears to be an identifiable segment of the homeless population that has had difficulties transitioning into those shelters.  These independent individuals appear to prefer the freedom and openness of the outdoors and are drawn in growing numbers to local parks and beaches.

     The legislature also finds that providing the financing to acquire and maintain state parks to serve this segment of the homeless population will reduce many of the problems evident in several parks and beaches across the State.

     The purpose of this Act is to increase the conveyance tax on the sale of luxury homes to finance the purchase, acquisition, design, and maintenance of state or county parks to serve the homeless population.

     SECTION 2.  Chapter 184, Hawaii Revised Statutes, is amended by adding a new section to be appropriately designated and to read as follows:

     "§184-    Parks for homeless special fund. (a)  There is established in the state treasury, the parks for homeless special fund, into which shall be deposited the designated portion of the conveyance tax under section 247-7(4).

(b)  Moneys in the parks for homeless special fund shall be administered by the finance department of any county with a population greater than five hundred thousand that receives funds under this section, and shall be used pursuant to sections 184-2 and 184-3 to acquire, convert, or maintain parks under the jurisdiction of the department to service the homeless, including providing open structures or shelters to protect park users from the wind and rain, providing basic services such as showers, toilets, drinking fountains, coin-operated washers and dryers, lockers, and providing accommodations for overnight camping, one shopping cart per person for personal possessions, and not more than one small pet.  Park users shall relinquish the park for maintenance from 9:00 a.m. to 4:30 p.m. daily and tents shall be removed during the day."

     SECTION 3.  Section 247-2, Hawaii Revised Statutes, is amended to read as follows:

     "§247-2  Basis and rate of tax.  The tax imposed by section 247-1 shall be based on the actual and full consideration (whether cash or otherwise, including any promise, act, forbearance, property interest, value, gain, advantage, benefit, or profit), paid or to be paid for all transfers or conveyance of realty or any interest therein, that shall include any liens or encumbrances thereon at the time of sale, lease, sublease, assignment, transfer, or conveyance, and shall be at the following rates:

     (1)  Except as provided in paragraph (2):

         (A)  Ten cents per $100 for properties with a value of less than $600,000;

         (B)  Twenty cents per $100 for properties with a value of at least $600,000, but less than [$1,000,000;] $700,000;

(C) Twenty-two cents per $100 for properties with a value of at least $700,000, but less than $1,000,000;

        [(C) Thirty] (D)  Thirty-three cents per $100 for properties with a value of at least $1,000,000, but less than $2,000,000;

        [(D) Fifty] (E)  Fifty-five cents per $100 for properties with a value of at least $2,000,000, but less than $4,000,000;

        [(E) Seventy] (F)  Seventy-seven cents per $100 for properties with a value of at least $4,000,000, but less than $6,000,000;

        [(F) Ninety] (G)  Ninety-nine cents per $100 for properties with a value of at least $6,000,000, but less than $10,000,000; and

         [(G)] (H)  One dollar and ten cents per $100 for properties with a value of $10,000,000 or greater; and

     (2)  For the sale of a condominium or single family residence for which the purchaser is ineligible for a county homeowner's exemption on property tax:

         (A)  Fifteen cents per $100 for properties with a value of less than $600,000;

         (B)  Twenty-five cents per $100 for properties with a value of at least $600,000, but less than [$1,000,000;] $700,000;

(C) Twenty-eight cents per $100 for properties with a value of at least $700,000, but less than $1,000,000;

        [(C) Forty] (D)  Forty-four cents per $100 for properties with a value of at least $1,000,000, but less than $2,000,000;

        [(D) Sixty] (E)  Sixty-six cents per $100 for properties with a value of at least $2,000,000, but less than $4,000,000;

        [(E) Eighty-five] (F)  Ninety-four cents per $100 for properties with a value of at least $4,000,000, but less than $6,000,000;

          [(F)] (G)  One dollar and [ten] twenty-one cents per $100 for properties with a value of at least $6,000,000, but less than $10,000,000; and

          [(G)] (H)  One dollar and [twenty-five] thirty-eight cents per $100 for properties with a value of $10,000,000 or greater,

of such actual and full consideration; provided that in the case of a lease or sublease, this chapter shall apply only to a lease or sublease whose full unexpired term is for a period of five years or more, and in those cases, including (where appropriate) those cases where the lease has been extended or amended, the tax in this chapter shall be based on the cash value of the lease rentals discounted to present day value and capitalized at the rate of six per cent, plus the actual and full consideration paid or to be paid for any and all improvements, if any, that shall include on-site as well as off-site improvements, applicable to the leased premises; and provided further that the tax imposed for each transaction shall be not less than $1."

     SECTION 4.  Section 247-7, Hawaii Revised Statutes, is amended to read as follows:

     "§247-7  Disposition of taxes.  All taxes collected under this chapter shall be paid into the state treasury to the credit of the general fund of the State, to be used and expended for the purposes for which the general fund was created and exists by law; provided that ten per cent of all taxes collected under section 247-2 (1)(C) to (H) and (2)(C) to (H) for properties with a value of at least $700,000 shall be deposited into the parks for homeless special fund under section 184-   ; and provided further that of the remaining taxes collected each fiscal year:

     (1)  Ten per cent shall be paid into the land conservation fund established pursuant to section 173A-5;

     (2)  Twenty-five per cent from July 1, 2009, until June 30, 2012, and thirty per cent in each fiscal year thereafter shall be paid into the rental housing trust fund established by section 201H-202; [and]

     (3)  Twenty per cent from July 1, 2009, until June 30, 2012, and twenty-five per cent in each fiscal year thereafter shall be paid into the natural area reserve fund established by section 195-9; provided that the funds paid into the natural area reserve fund shall be annually disbursed by the department of land and natural resources in the following priority:

         (A)  To natural area partnership and forest stewardship programs after joint consultation with the forest stewardship committee and the natural area reserves system commission;

         (B)  Projects undertaken in accordance with watershed management plans pursuant to section 171-58 or watershed management plans negotiated with private landowners, and management of the natural area reserves system pursuant to section 195-3; and

         (C)  The youth conservation corps established under chapter 193."

     SECTION 5.  Statutory material to be repealed is bracketed and stricken.  New statutory material is underscored.

     SECTION 6.  This Act shall take effect upon its approval.

INTRODUCED BY:

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Report Title:

Homelessness; Conveyance Tax; Parks; DLNR

Description:

Increases by 10% the conveyance tax on the sale of luxury homes over $700,000 to finance the purchase and maintenance of state parks to serve the homeless.

The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.