STAND. COM. REP. NO. 3628

Honolulu, Hawaii

RE: H.B. No. 2012

H.D. 2

S.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Twenty-Ninth State Legislature

Regular Session of 2018

State of Hawaii

Sir:

Your Committee on Ways and Means, to which was referred H.B. No. 2012, H.D. 2, S.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO THE TRANSIENT ACCOMMODATIONS TAX,"

begs leave to report as follows:

The purpose and intent of this measure is to allocate a portion of transient accommodations tax revenues to the Hawaii Tourism Authority for the provision of social services, in conjunction with the Hawaii Lodging and Tourism Association, to address homelessness in tourist and resort areas; provided that funds shall only be released if matched by the private sector.

Your Committee received written comments in support of this measure from the Hawaii Lodging and Tourism Association, IMUAlliance, Kohala Coast Resort Association, Land Use Research Foundation of Hawaii, Maui Hotel & Lodging Association, and

Oahu County Committee on Legislative Priorities of the Democratic Party of Hawaii.

Your Committee received written comments on this measure from the Governor's Coordinator on Homelessness, Hawaii Tourism Authority, and Tax Foundation of Hawaii.

Your Committee finds that the measure provides additional resources to mitigate homelessness in areas of the State inhabited and frequented by visitors.

Your Committee notes that the Governor's Coordinator on Homelessness has requested greater clarity as this measure moves forward in the legislative process regarding how funding for homeless initiatives will be procured and contracted, including whether the intent is to support programs currently funded through the Hawaii Lodging and Tourism Association's visitor industry charity walks.

As affirmed by the record of votes of the members of your Committee on Ways and Means that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 2012, H.D. 2, S.D. 1, and recommends that it pass Third Reading.

Respectfully submitted on behalf of the members of the Committee on Ways and Means,

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DONOVAN M. DELA CRUZ, Chair