  {"id":169191,"date":"2022-11-16T16:00:15","date_gmt":"2022-11-17T02:00:15","guid":{"rendered":"https:\/\/www.hawaii.edu\/news\/?p=169191"},"modified":"2022-11-16T16:00:15","modified_gmt":"2022-11-17T02:00:15","slug":"regenerative-tourism-fee","status":"publish","type":"post","link":"https:\/\/www.hawaii.edu\/news\/2022\/11\/16\/regenerative-tourism-fee\/","title":{"rendered":"Charging only visitors to support natural resources? <abbr>东精影业ERO<\/abbr> experts argue against it"},"content":{"rendered":"<span class=\"span-reading-time rt-reading-time\" style=\"display: block;\"><span class=\"rt-label rt-prefix\">Reading time: <\/span> <span class=\"rt-time\"> 2<\/span> <span class=\"rt-label rt-postfix\">minutes<\/span><\/span><p><img loading=\"lazy\" decoding=\"async\" src=\"https:\/\/www.hawaii.edu\/news\/wp-content\/uploads\/2020\/12\/manoa-uhero-quarter4-2020-forecast.jpg\" alt=\"shot of waikiki beach looking at diamond head\" width=\"676\" height=\"381\" class=\"alignleft size-full wp-image-132317\" srcset=\"https:\/\/www.hawaii.edu\/news\/wp-content\/uploads\/2020\/12\/manoa-uhero-quarter4-2020-forecast.jpg 676w, https:\/\/www.hawaii.edu\/news\/wp-content\/uploads\/2020\/12\/manoa-uhero-quarter4-2020-forecast-300x169.jpg 300w, https:\/\/www.hawaii.edu\/news\/wp-content\/uploads\/2020\/12\/manoa-uhero-quarter4-2020-forecast-130x73.jpg 130w\" sizes=\"auto, (max-width: 676px) 100vw, 676px\" \/><\/p>\n<p><span aria-label=\"Hawaii\">Hawai&#699;i<\/span> Tourism Authority\u2019s <a href=\"https:\/\/www.hawaiitourismauthority.org\/media\/7785\/hta-oahu-dmap.pdf\"><span aria-label=\"Oahu\">O&#699;ahu<\/span> Destination Management Action Plan (<small><abbr title=\"portable document format\">PDF<\/abbr><\/small>)<\/a> proposes to &ldquo;establish a &lsquo;Regenerative Tourism Fee&rsquo; that directly supports programs to regenerate <span aria-label=\"Hawaii\">Hawai&#699;i<\/span>\u2019s resources, protect natural resources and address unfunded conservation liabilities.&rdquo; None of the other islands\u2019 action plans have proposed such a fee, so the fee would only apply to visitors to <span aria-label=\"Oahu\">O&#699;ahu<\/span>. While the proposed fee would be imposed on tourists and not on local residents, a new <a href=\"https:\/\/uhero.hawaii.edu\/\">University of <span aria-label=\"Hawaii\">Hawai&#699;i<\/span> Economic Research Organization<\/a> (<abbr>东精影业ERO<\/abbr>) blog suggests possible alternate fees and ways to collect them.<\/p>\n<p><strong>James Mak<\/strong> (<abbr title=\"东精影业\">东精影业<\/abbr> M\u0101noa emeritus professor of <a href=\"https:\/\/www.economics.hawaii.edu\/\">economics<\/a> and <abbr>东精影业ERO<\/abbr> research fellow) and <strong>Robert D. Ebel<\/strong> (former member of <abbr>东精影业<\/abbr> M\u0101noa\u2019s Department of Economics and lead economist for the World Bank Institute Program on Intergovernmental Relations and Local Public Financial Management) advise against a fee that targets only tourists. They wrote, &ldquo;Protecting <span aria-label=\"Oahu\">O&#699;ahu<\/span>\u2019s (and the state\u2019s) natural resources benefits both residents and tourists, so both should pay. A visitors-only fee may also be illegal.&rdquo;<\/p>\n<p>Suggested possible fee(s):<\/p>\n<ul>\n<li>In 2021, the state allowed the counties to levy their own transient accommodation tax (<abbr>TAT<\/abbr>) capped at 3&#37;. In exchange, the counties no longer get a share of the state\u2019s <abbr>TAT<\/abbr> (currently at 10.25&#37;). State tax officials estimate that the Honolulu County <abbr>TAT<\/abbr> will generate nearly $86 million in the first year rising to more than $99 million in the fiscal year that begins July 1, 2027. In the past, Honolulu received $45 million per year from the state\u2019s <abbr>TAT<\/abbr>. Honolulu County\u2019s ordinance allocates 8.3&#37; of its own <abbr>TAT<\/abbr> revenues to &ldquo;natural resources,&rdquo; including parks and beaches. If that\u2019s not enough, the county can ask the legislature to authorize it to add a per diem tax of &ldquo;x&rdquo; dollars per night (on top of the 3&#37; county <abbr>TAT<\/abbr>), dedicated to natural resource initiatives.<\/li>\n<li>Seek approval from lawmakers to allow Honolulu County to add a surcharge on general excise tax (<abbr>GET<\/abbr>) collections in the county, with revenues dedicated to natural resource management and conservation. The county is already collecting a <abbr>GET<\/abbr> surcharge of .5&#37; effective January 1, 2007 to December 31, 2030 to fund the rail project.<\/li>\n<li>A third option is to raise the real property tax rate. A study by the Lincoln Institute of Land Policy finds that Honolulu property tax rates and bills are low compared to those in other major cities in the U.S. For Honolulu County, there are several advantages of tapping into the property tax. For the present purpose, the most important advantage is that the property tax in <span aria-label=\"Hawaii\">Hawai&#699;i<\/span> is fully under the control of the counties.<\/li>\n<\/ul>\n<p>The authors question why Honolulu County and not the state is being asked to take the lead to levy a new fee\/tax to support natural resource protection.<\/p>\n<p>&ldquo;Perhaps it reflects a limited objective to raise a modest amount of revenue to provide support for Honolulu County government\u2019s natural resource programs only. There is nothing wrong with that, except the intent should be made explicit,&rdquo; they wrote.<\/p>\n<p>Mak and Ebel also noted that the <span aria-label=\"Hawaii\">Hawai&#699;i<\/span> Tourism Authority is not the only advocate of a new visitor green fee\/tax. Other advocates include <a href=\"https:\/\/www.conservation.org\/docs\/default-source\/publication-pdfs\/final-full-report_green-passport_10-2-2019.pdf?sfvrsn=77fe4ae4_2\">Conservation International (<small><abbr title=\"portable document format\">PDF<\/abbr><\/small>)<\/a>, the <a href=\"https:\/\/files.hawaii.gov\/tax\/stats\/trc\/docs2022\/TRC_Report_2022.pdf\">2020&#8211;22 Tax Review Commission (<small><abbr title=\"portable document format\">PDF<\/abbr><\/small>)<\/a> and <abbr title=\"Lieutenant\">Lt<\/abbr>. <abbr title=\"Governor\">Gov<\/abbr>. Josh Green (and his proposed $50 head tax). The proposed fees are statewide fees, and contrary to the authors\u2019 advice, they are meant to be imposed on tourists only.<\/p>\n<p><abbr>东精影业ERO<\/abbr> is housed in <abbr>东精影业<\/abbr> M\u0101noa\u2019s <a href=\"https:\/\/socialsciences.manoa.hawaii.edu\/\">College of Social Sciences<\/a>.<\/p>\n<p><a href=\"https:\/\/uhero.hawaii.edu\/blog-rethinking-htas-regenerative-tourism-fee\/\">Visit <abbr>东精影业ERO<\/abbr>\u2019s website to read the entire blog<\/a>.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The authors said that the state\u2019s natural resources benefit both residents and tourists, so both should pay, and that a visitors-only fee may be illegal.<\/p>\n","protected":false},"author":16,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[30],"tags":[301,197,1467,1363,1314,1026,73,74,9,343],"class_list":["post-169191","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-research","tag-college-of-social-sciences","tag-economics","tag-manoa-excellence-in-research","tag-manoa-research","tag-manoa-sustainability","tag-social-science","tag-sustainability","tag-tourism","tag-uh-manoa","tag-uhero","entry","has-media"],"aioseo_notices":[],"jetpack_featured_media_url":"","_links":{"self":[{"href":"https:\/\/www.hawaii.edu\/news\/wp-json\/wp\/v2\/posts\/169191","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.hawaii.edu\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.hawaii.edu\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.hawaii.edu\/news\/wp-json\/wp\/v2\/users\/16"}],"replies":[{"embeddable":true,"href":"https:\/\/www.hawaii.edu\/news\/wp-json\/wp\/v2\/comments?post=169191"}],"version-history":[{"count":3,"href":"https:\/\/www.hawaii.edu\/news\/wp-json\/wp\/v2\/posts\/169191\/revisions"}],"predecessor-version":[{"id":169194,"href":"https:\/\/www.hawaii.edu\/news\/wp-json\/wp\/v2\/posts\/169191\/revisions\/169194"}],"wp:attachment":[{"href":"https:\/\/www.hawaii.edu\/news\/wp-json\/wp\/v2\/media?parent=169191"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.hawaii.edu\/news\/wp-json\/wp\/v2\/categories?post=169191"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.hawaii.edu\/news\/wp-json\/wp\/v2\/tags?post=169191"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}