HI SR137

Request the State Auditor to conduct an audit of the Department of Taxation and Department of Budget and Finance regarding collection and timely distribution of county surcharge on state excise tax to the City and County of Honolulu

Examine concerns that the 10 percent administrative fee deducted from the one-half percent general excise tax surcharge may exceed reasonable costs of assessment, collection, and disposition

In 2012, the State collected $21,200,000 in general excise tax surcharge administrative fees, which comprised nearly the entire Department of Taxation operating budget of $23,700,000

Auditor must submit findings, recommendations, and any proposed legislation to the Legislature no later than 20 days before the 2014 Regular Session convenes

Direct distribution of certified copies to the Director of Taxation, Director of Finance, City and County of Honolulu officials, and the Honolulu Authority for Rapid Transportation (HART)