HI SB408

Amends Hawaii Revised Statutes Section 237D-6.5(b) to change how transient accommodations tax revenues are allocated to counties from fixed dollar amounts to a percentage-based formula.

Changes county allocation from $103,000,000 (fiscal year 2014-2015 and 2015-2016) and $93,000,000 (subsequent years) to 44.8 percent of total revenues collected, distributed as: Kauai 14.5%, Hawaii County 18.6%, City and County of Honolulu 44.1%, and Maui County 22.8%.

Requires that beginning in fiscal year 2018-2019, the state director of finance will retain and deposit funds equal to the difference between a county's annual required pension contribution and actual contributions into each county's separate trust fund under Section 87A-42, if the county fails to pay its full required amount.

Maintains existing allocations to the convention center enterprise special fund ($26,500,000), tourism special fund ($82,000,000), Turtle Bay conservation easement special fund ($3,000,000), and natural resources protection ($3,000,000).

Takes effect upon approval.