STAND. COM. REP. NO. 1238

Honolulu, Hawaii

, 2019

RE: H.B. No. 908

H.D. 2

Honorable Scott K. Saiki

Speaker, House of Representatives

Thirtieth State Legislature

Regular Session of 2019

State of Hawaii

Sir:

Your Committee on Finance, to which was referred H.B. No. 908, H.D. 1, entitled:

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

begs leave to report as follows:

The purpose of this measure is to address the impacts of homelessness on Hawaii's tourism industry by:

(1) Allocating $1,000,000 from transient accommodations tax revenues to the Hawai‘i Tourism Authority (HTA), working in conjunction with the Hawai‘i Lodging and Tourism Association (HLTA), for the implementation of initiatives to address homelessness in tourist and resort areas; provided that no funds shall be released unless matched dollar-for-dollar by the private sector; and

(2) Requiring HTA to submit a report to the Legislature prior to the convening of the Regular Session of 2020 that includes the current status of any initiatives implemented during the last three years; future initiatives that are planned to address homelessness in tourist and resort areas; and initiatives that were or will be executed in conjunction with HLTA, respectively.

HTA, Council Member representing District 9 of the Hawai‘i County Council, Land Use Research Foundation of Hawaii, HLTA, Kohala Coast Resort Association, and Maui Hotel & Lodging Association provided testimony in support of this measure. A concerned individual provided testimony in opposition. Tax Foundation of Hawaii provided comments.

Your Committee has amended this measure by:

(1) Changing the amount allocated from transient accommodations tax revenues to the Tourism Special Fund for the use of the HTA from $1,000,000 to an unspecified amount;

(2) Changing the appropriation amount out of the Tourism Special Fund from $1,000,000 to an unspecified amount; and

(3) Making technical, nonsubstantive amendments for clarity, consistency, and style.

As affirmed by the record of votes of the members of your Committee on Finance that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 908, H.D. 1, as amended herein, and recommends that it pass Third Reading in the form attached hereto as H.B. No. 908, H.D. 2.

Respectfully submitted on behalf of the members of the Committee on Finance,

____________________________

SYLVIA LUKE, Chair