Kenoi supports GET increase

[Aaron S]

The county has two primary means to construct new roads; using Federal Highway Administration funds, or floating bonds. Hawaii County receives about 18% of the 160 million dollar yearly FHWA allotment. One major highway project can tie up the county's share of the FHWA funds for several years (i.e Ane K. Highway Phase 3). The county's bonding capacity is nearing the recommended ceiling of 15%, so in a way the county's ability to construct new roads is a bit hamstrung unless a new revenue source is found. If this isn't found, expect more traffic congestion.

[dakine]

As far as I know a shovel ready 2nd highway project in and out of Puna would be a state level project not a county and as such have nothing to do with Billy's fiscal policies. And yeah parks are kind of dorky compared to all the things we need but let's not confuse county level infrastructure with the state's responsibility.

[kalakoa]

a shovel ready 2nd highway project in and out of Puna would be a state level project

Why? Because only State might be able to force the Shipman issue?

In any case, "just about everyone" opposes this tax increase:

http://www.hawaiitribune-herald.com/news...-more-fire

As usual, HTH isn't completely accurate:

The current general excise tax is 4.166 percent. The tax hike would take that to 4.666 percent.

The rate is 4% and would increase to 4.5%; at the point of sale, these rates become 4.166% and 4.732% -- once you've elected to pass the GET along to the customer, it's part of your receipts, and therefore has to be taxed to recover the GET on the GET. Regressive much?

[kalakoa]

The GET surcharge would be established by Bill 165; it's a short read, highlights:

- "Capital costs" explicitly includes debt service on any "transportation" project

- "Authorized purposes" includes any expenses required for ADA compliance

- The 0.5% surcharge applies to all transactions

It would be bad enough to add a half-point to retail sales -- but as written, the wholesale rate would double, to a full 1% -- and there's no way this won't be passed along to the consumer...

[HiloPuna]

doesanyonecare

I see your new, only two postings so far. You wrote;
"...Try to get the County Finance Department to answer a simple question. "How much interest does the County pay on its debt?" You will get the most convoluted response you have ever heard...."


Well, earlier on this forum was this information;


".....65% of our total bond debt of $375mm. This bond issue, when approved by the Council, was originally slated to take the Countys percentage of the budget for debt service from 7.9% to 13.8%. Accepted guidelines (GFOA) suggest prudent levels of 15%, or less. When the Mayor's finance team was finished the percentage of the budget for future debt service will now be just 8.98%....." BTW, the 8.9% debt service amounts to app. $43mm/annum for both principal and interest.

and here's the Trib's article from a few weeks ago (with the MOST pertinent information noted above) .....you'll need some critical reading skills to wade through the reporters cant and understand her canard.

http://hawaiitribune-herald.com/news/loc...-bond-bill

From my readings I've come to believe that the reporter of this article is incredibly in need of an editor, or else she needs counseling. She has been carrying the torch, or should I say buying the barrels of ink, on a vendetta against the Mayor for over a year now. Her mischaracterizations are purposeful, consistent, and therefore malevolent

SO, notwithstanding your experience with the Finance Dept. the information is readily available, AND, wait for it, the payments on the Countys debts are reasonable and it's really, really, not that big of a deal. Though the histrionics on this forum might suggest otherwise.

BTW;
I'm a small businessman with a 1/2 dozen employees here on this island and I support the increase in GET. Just for the record.

[Frank]

@hilopuna...I'm a small businessman with a 1/2 dozen employees here on this island and I support the increase in GET.

just curious, do you sell to mostly locals or tourist? sec question...why do you like the added expense?

[HiloPuna]

Frank
I have a small export business that has local and off shore customers as well as another business that provides services to local business.

I don't "like" any taxes, in fact I find it increasingly difficult to write the checks to meet state and federal requirements. I do accept that taxes are necessary to support the public good. I agree with the Mayor that it is the right moment for the Council to add this option to their "tool" chest and should it be in the County's best interest I hope they use it to our benefit.

I've got a lot of skin in the game on this island and I want it to progress. More roads, more recreational options, better services from the County. These have to be paid for. So we all need to acknowledge that the excise tax and improved RPT collections are the County's best options at this point.

I personally don't see all the "waste and corruption" so commonly referred to on this forum. Lots of these references are only anecdotes and hearsay, as well as ill informed opinions about how "it should be done". Not much substance to them, probably reflecting more on the messengers than the objects of their ire.

[TomK]

HiloPuna - I'm having trouble reconciling these two comments of yours:

"[...]So we all need to acknowledge that the excise tax and improved RPT collections are the County's best options at this point.

"I personally don't see all the "waste and corruption" so commonly referred to on this forum. Lots of these references are only anecdotes and hearsay, as well as ill informed opinions about how "it should be done". Not much substance to them, probably reflecting more on the messengers than the objects of their ire."

You tell us what to accept, complain about anecdotes, hearsay and ill-informed opinions, yet offer nothing to support your view other than your opinion. Whether that's ill-informed as well, you provide no evidence to support it and certainly no substance either.

If you think your view is legitimate because of your own personal observations, please don't complain about others doing the same. Thanks.

[Aaron S]

http://bigislandnow.com/2016/04/20/lette...-increase/

I support proposed Bill 165, which would increase the state general excise tax ½% in Hawaii County. This additional funding would be used to fund transportation projects on the Big Island. The county has limited means to finance new highway projects. Federal Highway Administration funds, and bond floats are the primary sources to pay for these projects.

[Rob Tucker]

The county needs to start taking care of the roads it has first.