Hawaii House Bill HCR66

Hawaii 2026 Regular Session

• Introduced: 3/12/26
• Refer: 3/18/26
• Report Pass: 4/1/26
• Refer: 4/1/26
• Report Pass: 4/9/26
• Engrossed: 4/9/26
• Refer: 4/10/26

Caption

Requesting The Department Of Business, Economic Development, And Tourism To Conduct A Study On The Effect Of State And County Tax Structures And Programs On The Long-term Economic Growth Of The State Of Hawaii.

Impact

The resolution posits that the existing state and county tax structures play a significant role in influencing business investment decisions in Hawaii, which is crucial for fostering economic growth. Given the high operational costs associated with taxes, energy, labor, and other imported inputs, the study aims to assess how these factors relate to Hawaii's overall business climate and economic health. The findings and recommendations from the study could lead to a reassessment of tax structures to better support economic development.

Summary

HCR66 is a House Concurrent Resolution in the State of Hawaii requesting the Department of Business, Economic Development, and Tourism (DBEDT) to conduct a comprehensive study on the effect of state and county tax structures and programs on the long-term economic growth of Hawaii. The resolution highlights the importance of understanding how tax policies impact business formation and sustainability, particularly in light of the state’s low ranking in entrepreneurial success and self-employment rates. It also notes that the growth of new business formations is lagging behind the national average.

Contention

A notable point of contention surrounding HCR66 could stem from differing perspectives on taxation and economic regulation. While many may support a study to reassess tax structures, there could be apprehensions regarding potential changes to current taxation policies that might favor certain business interests over others. Additionally, the need to balance state and county financial responsibilities is critical, especially given the constitutional mandates around taxation. The study is expected to evaluate the equitable distribution of tax burdens and benefits among various stakeholder groups in Hawaii.