Tax relief needed
With all of the attention that’s been given to affordable rentals on this island over the last several years, one area that’s been sorely neglected is the influence of real property taxes on rents. Having worked for the County of Hawaii Real Property Tax Office for 22 years as a real property appraiser (retired now), I benefit from a unique perspective.
Of course, most people realize rents on this island have escalated tremendously in recent years. There are a number of reasons for this, including the lack of inventory and almost no new construction at the affordable level. Additionally, the onslaught of vacation rentals have tremendously drained the rental supply for local residents.
We cannot ignore the impact of the escalating real property taxes on rents. Oftentimes, as real property taxes rise, the landlords will pass this increase onto the tenants in the form of increased rents.
There is a land class identified as affordable rental housing which has been in existence in this county for about 10 years. The property will enjoy benefits similar to the homeowner class. The owners have to apply for it annually.
The current tax rate for the residential class and the apartment class in this county is much higher than that of the other islands. Additionally, Hawaii County taxes long-term rentals and vacation rentals at the same real property tax rate.
The deadline for the County Council to set the tax rates is June 20. Unless the county administration is advocating an increase in the rate, this deadline will come and go with almost no notice. If the council takes no action, the rate remains the same as the previous year.
Two components make up the tax amount, the assessed valuation and the tax rate. Since valuations and assessments are rising, most owners will see another increase on their next bill.
The County Council could take the initiative and adjust the rate downward. Such action could provide relief for a wide range of owners and tenants.
John Totten
Kailua-Kona
Invasion of lawyers
Is it any wonder that Congress does a bad job?
Lawyers will work for whoever pays them. Lawyers will work for the worst people on the planet.
Lawyers will try to keep murderers, rapists, child molesters out of jail and on our streets.
Nearly half of Congress is made up of lawyers.
So when both sides of the aisle take money from corporations, special interests groups, Russia, China, Saudia Arabia and every other country that poses a threat to the United States, it’s not much different, in their minds, from taking money from murderers, rapists and child molesters — it’s business as usual.
And this needs to change. Or the swamp can continue, on both sides — the millionaire lawyers vs. America.
None of them are really Democrats or Republicans. They just pretend to be, so people will vote them back in. They work for themselves, not America.
And if you keep voting them in, you reap what you sow, and you can stop complaining, because you are the problem.
Dennis Chaquette
Keaau