The following testimony was submitted by the Grassroot Institute of Hawaii for consideration by the Honolulu City Council Committee on Budget on July 22, 2025.
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July 22, 2025, 9 a.m.
Honolulu Hale
To: Honolulu City Council Committee on Budget
Val Okimoto, Chair
Scott Nishimoto, Vice Chair
From: Grassroot Institute of Hawaii
Ted Kefalas, Director of Strategic Campaigns
RE: Bill 49 (2025) — RELATING TO PROPERTY TAXATION
Aloha Chair Okimoto, Vice Chair Nishimoto and other members of the Committee,
The Grassroot Institute of Hawaii supports Bill 49 (2025), which would increase the real property tax homeowner exemption for those 65 years old and older from $160,000 to $180,000 beginning in fiscal 2028.
Increasing the homeowner exemption by $20,000 would save each homeowner $70 at the current residential tax rate of $3.50 per $1,000 in assessed value.[1]
The exemption was last increased in 2023, for the tax years beginning with fiscal 2024.[2] Passing Bill 49 (2025) now would head off possible increases in property values that could occur in the next two years.
Because many older folks rely on fixed incomes, increasing the amount of property tax relief they receive can reduce the “tax shock” of significant increases in property values.
Thank you for the opportunity to testify.
Ted Kefalas
Director of Strategic Campaigns
Grassroot Institute of Hawaii
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[1] “Real Property Tax Rates for Tax Year July 1, 2024 to June 30, 2025,” City and County of Honolulu, accessed July 3, 2025.
[2] Ordinance 23-33, Honolulu Records Collection, accessed Feb. 21, 2025.
