HCR 219 Summary

• Requests the Office of the Auditor to conduct an audit of the Department of Taxation regarding collection of the 0.5 percent county general excise tax (GET) surcharge authorized by Act 247, Session Laws of Hawaii 2005.

• Directs audit to examine collection amounts of the 0.5 percent county GET surcharge, the ten percent administrative fee collected by the state, and the actual costs incurred for assessment, collection, and disposition of the surcharge.

• Addresses concerns that the ten percent administrative fee ($21.2 million in 2012) appears to exceed reasonable costs, as it nearly equals the entire $23.7 million budget of the Department of Taxation.

• Notes that the Honolulu Authority for Rapid Transit (HART) has experienced problems with the timeliness and accuracy of surcharge payments distributed by the Department of Taxation.

• Requires certified copies be transmitted to the Governor, Mayor of the City and County of Honolulu, and the Acting Auditor.