Historic homes property tax enforcement bill signed

HONOLULU—On Wednesday, Acting Mayor Douglas Chin signed Bill 3, which improves the administration’s ability to enforce the requirements of the historic homes property tax exemption. Bill 3, which becomes Ordinance 11-7, is now effective.

The intent of Ordinance 11-7 is to clarify and standardize conditions, which the historic homeowner must follow to qualify for the exemption.  These conditions include specifying how visual access to the historic homes will be determined and the minimum condition at which the historic property must be maintained.

“The City administration intends to enforce violations of all exemptions and dedications,” Chin said.

These new positions allow the City to proactively verify compliance among the approximately 144,000 home exemptions, the 7,500 non-profit exemptions, and the 1,800 dedications by comparing data from other sources or by making visual inspection. Those found violating the conditions of their dedication or exemption can be required to pay back taxes and penalties.

The administration also intends to actively work with the Oahu Real Property Tax Advisory Commission, which is tasked to review the City’s real property tax system (classes, exemptions, credits, and minimum property tax) and determine the equity, validity and the amounts of exemptions and dedications.