The following testimony was submitted by the Grassroot Institute of Hawaii for consideration by the Honolulu City and County Council on June 7, 2023.
June 7, 2023
Honolulu City Council Chambers
To: Honolulu City and County Council
Councilmember Tommy Waters, Chair
Councilmember Esther Kiaʻāina, Vice Chair
From: Grassroot Institute of Hawaii
Ted Kefalas, Director of Strategic Campaigns
RE: Resolution 2023-33 — DETERMINING THE REAL PROPERTY TAX RATES FOR THE CITY AND COUNTY OF HONOLULU FOR THE FISCAL YEAR JULY 1, 2023 TO JUNE 30, 2024
Dear Chair and Committee Members:
The Grassroot Institute of Hawaii would like to offer its comments on Resolution 2023-33, which would set the property tax rates for fiscal 2024.
As currently written, all the rates would remain the same as last year. However, Council Chair Tommy Waters has proposed an amendment intended to help renters that would decrease the rates on the first tier of Residential A homes from $4.50 to $4.00 per $1,000 and increase rates on the second tier from $10.50 to $11.40 per $1,000.
Residential A homes are non-owner occupied properties worth at least $1 million. Many of them tend to be long-term rental properties, so this proposed rate change could have a beneficial effect for renters, although its net reduction in tax revenues would be about only $68,500.
We look forward to discussing the Residential A issue further once the Council passes the fiscal 2024 budget.
Thank you for the opportunity to testify.
Director of Strategic Campaigns
Grassroot Institute of Hawaii