H.B. 604 Summary

• Increases transient accommodations tax (TAT) rates by 1 percentage point beginning January 1, 2026, raising the rate from 9.25% to 10.25% for standard accommodations and from 9.25% to 10.25% for resort timeshare units.

• Directs excess TAT revenues generated by the new 10.25% rate (above revenues collected at the previous 9.25% rate) to be deposited quarterly into the Hawaiian Home General Loan Fund established under the Hawaiian Homes Commission Act, 1920.

• Amends Section 213 of the Hawaiian Homes Commission Act to authorize the Hawaiian Home General Loan Fund to receive moneys from TAT revenues pursuant to Section 237D-2(f) of Hawaii Revised Statutes.

• Maintains existing TAT revenue allocations to the Turtle Bay conservation easement special fund, convention center enterprise special fund, tourism emergency special fund, and special land and development fund from revenues at the base tax rates.

• Takes effect July 1, 3000.