HB2230 HD1

SECTION 1. The legislature finds a debt of gratitude is owed to those who incur wounds while serving as members of the nation's armed forces, especially those wounds resulting in life‑long disabilities.

The legislature also finds that if our armed forces are to remain an all-volunteer force in the future, we must take care of our veterans now. Taking care of veterans is critical to the future defense of our nation and should be considered an investment.

The legislature further finds that it can never fully repay veterans for their service, but it can offer certain exemptions to disabled veterans as a means of showing gratitude. Disabled veterans currently receive an exemption from annual vehicle registrations fees; however, they must still pay the annual weight tax. The purpose of this Act is to extend the exemption for disabled veterans to the annual vehicle weight tax.

SECTION 2. Section 249-31.5, Hawaii Revised Statutes, is amended to read as follows:

"§249-31.5 Exemptions from registration fees and annual weight tax for certain vehicles; disabled veterans. (a) A disabled veteran who:

(1) Is a resident of Hawaii;

(2) Has been other than dishonorably discharged from the United States uniformed armed forces; and

(3) Is determined by the United States Department of Veterans Affairs or its predecessor to have a service-connected one hundred per cent disability rating for compensation or a service-connected disability rating of one hundred per cent,

shall be exempt from payment of all annual vehicle registration fees and annual vehicle weight tax as required by [~~section~~] sections 249-31[;] and 249-33; provided that [~~this exemption~~] these exemptions shall not extend to any vehicle used for commercial purposes or to more than one vehicle owned by the disabled veteran.

(b) The director of the office of veterans' services, in consultation with the policy advisory board on [[]veterans'[]] services, shall submit a report to the legislature and the department of taxation no later than twenty days prior to the convening of each regular session providing the legislature and the department of taxation with the total number of disabled veterans who qualify under this section for the exemption from annual vehicle registration fees[.] and the annual vehicle weight tax."

SECTION 3. Section 249-33, Hawaii Revised Statutes, is amended to read as follows:

"§249-33 State vehicle weight tax, exemptions. (a) All vehicles and motor vehicles in the State as defined in section 249-1, including antique motor vehicles, except as otherwise provided in sections 249-4, 249-5.5, 249-6, [~~and~~] 249-6.5, and 249-31.5, in addition to all other fees and taxes levied by this chapter, shall be subject to an annual state vehicle weight tax. The tax shall be levied by the county director of finance at the rate of 1.75 cents a pound according to the net weight of each vehicle as the "net weight" is defined in section 249-1 up to and including four thousand pounds net weight; vehicles over four thousand pounds and up to and including seven thousand pounds net weight shall be taxed at the rate of 2.00 cents a pound; vehicles over seven thousand pounds and up to and including ten thousand pounds net weight shall be taxed at the rate of 2.25 cents a pound; vehicles over ten thousand pounds net weight shall be taxed at a flat rate of $300.

(b) The tax shall become due and payable in each year together with all other taxes and fees levied by this chapter on a staggered basis as established by each county as authorized by section 286-51, the state vehicle weight tax shall likewise be staggered so that the state vehicle weight tax is collected together with the county fee. The state vehicle weight tax shall be deemed delinquent if not paid with the county registration fee. The tax shall be paid by the owner of each vehicle to the director of finance of the county in which the vehicle is registered and shall be collected by the director of finance of such county together with all other fees and taxes levied by this chapter from the owner of each vehicle and motor vehicle registered in the county.

By the fifteenth day of the month following the month in which taxes under this section are collected, the director of finance of each county shall transmit the taxes collected to the state director of finance for deposit into the state highway fund.

[(c) The exemptions provided by sections 249-3 to 249-6 shall apply to this section. The provisions for refunds, and taxes for fraction of years for vehicles removed from or brought into the State and for junked vehicles, contained in sections 249-3 and 249-5 shall apply to the tax levied by this section.

~~(d)~~] (c) If it is shown to the satisfaction of the department of transportation of the State, based upon proper records and from such other evidence as the department of transportation may require, that any vehicle with a net vehicle weight of six thousand pounds or over is used for agricultural purposes the owner thereof may obtain a refund of all taxes thereon imposed by this section. The department of transportation shall prescribe rules to administer such refunds.

[~~(e)~~] (d) The counties shall be reimbursed the incremental costs incurred in the collection and administration of taxes and fees imposed under section 249-31 and this section; the amount of reimbursement shall be determined by the director of transportation."

SECTION 4. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.

SECTION 5. This Act shall take effect upon its approval.

HOUSE OF REPRESENTATIVES	H.B. NO.	2230
THIRTIETH LEGISLATURE, 2020		H.D. 1
STATE OF HAWAII