Government Affairs Update
February 13, 2009
FIRST LATERAL DEADLINE
Friday, February 20, 2009: This marks an important legislative date—first lateral: Bills are assigned to one or more Committees. A bill must be in the last Committee it is assigned to by next week Friday in order for it to continue.
BILLS TO WATCH
SB 646 would create a protected class in real property transactions based on lawful source of income. Source of income is defined as:
1. Any lawful profession or occupation;
2. Any government or private assistance, grant, loan, or rental assistance program, including low-income housing assistance certificates and vouchers under the United States Housing Act of 1937, as amended;
3. Any gift, inheritance, pension, annuity, alimony, child support, or other consideration or benefit; and
4. Any sale or pledge of property or interest in property.
Position
Not all landlords are licensed property managers. Many rent their properties on their own simply as a source of income for themselves and their families. HAR expressed its concerns that this measure as written may have negative consequences, particularly where landlords may not understand its implications and are not properly educated regarding the steps involved in Section 8 Voucher Programs.
SB 1277. Section 4 of this bill would increase the conveyance tax on real property transfers in Hawai‘i. The proposed Conveyance Tax increase will apply to the conveyance of multifamily rentals, land for residential subdivisions, mixed-income and multi-use properties, commercial properties, resort properties, and agricultural lands, as well as condominiums and single-family homes worth more than $1,000,000.
Position
HAR strongly opposed this measure as the Conveyance Tax increase set forth in S.B. 1277 will increase the already high cost of housing and cost of living in Hawai‘i.
SB 279 would provide a vehicle to increase the transit accommodations tax to pay for culturally related programs.
Position
HAR believes that, while culturally related programs have value, in these tough economic times, taxes including the transient accommodations tax should not be increased. This measure has been deferred.