HILO — How folks feel about a proposed fuel tax hike may depend on how close they sit to the road.
HILO — How folks feel about a proposed fuel tax hike may depend on how close they sit to the road.
A quick survey Monday of motorists gassing up at two Hilo filling stations found drivers mixed on the idea of an almost 10-cent-a-gallon increase in county fuel taxes to pay for road repairs.
“We feel the road,” said Lyle of Hamakua, filling his motorcycle at the Chevron station on Kamehameha Avenue. “If they’re going to use it to fix the roads, yeah. If my 10 cents can save a life, I’m for it.”
Just across the pumps was another young man with a different viewpoint — and a different ride. Shane, pumping his petrol into the 18-gallon tank of his jacked up pickup truck, said a recent increase in the weight tax is already hitting home.
Shane, of Hilo, said he fills his tank at least twice a week, as he has to shuttle his children twice daily to and from school in Honomu.
“It’s crazy,” Shane said. Like Lyle, he didn’t want his last name used. “They just keep raising everything.”
Under a plan that’s the subject of a public hearing today, the gas tax would rise first from 8.8 cents a gallon to 19 cents, with increases of 2 cents in each of the next two years until it reaches 23 cents. That’s the amount Maui now charges and is the highest rate in the state. The Hawaii County gas tax currently is the lowest in the state, bringing in just over $8 million. It was last raised in 1988.
The County Council will hear public comments on the increase at 5 this evening in council chambers in Hilo. The public can also weigh in from the West Hawaii Civic Center, Naalehu state office building, Pahoa council office and the old Kohala courthouse. A vote will be taken at a later date.
Gas taxes can be used only for road maintenance and repair and mass transit.
The fuel tax is allocated to each transportation district by the Department of Public Works based on the miles of county-owned roads in each district. The increase is projected to more than double the current annual revenue.
Larry, who also didn’t give a last name, took a more nuanced approach as he gassed up his SUV.
“Hawaii County is in sort of an awkward place. It’s so rural, so many roads,” he said. “It’s always at a crisis stage. More people move in and the roads get all beat up. Something like a gas tax increase should help find revenue to fix them.”
The County Council hasn’t yet fully weighed in on the issue. But three council members who returned phone calls and texts Friday seemed ready to support the plan.
“It’s way, way, way overdue,” said Puna Councilwoman Eileen O’Hara in a phone interview. “I find it very unfortunate that we have to play catch-up in our fuel surcharge, but I also see the deficit our mass transit and county roads have experienced.”
Hilo Councilman Aaron Chung agreed. Road maintenance is one of the biggest issues in his district, he said. Everyone wants the potholes fixed.
“People shouldn’t be freaked out by the percentage increase. It does look like a big jump,” Chung said in a phone interview. “But it’s really a reflection of us not keeping up with the times.”
Hilo Councilwoman Sue Lee Loy isn’t quite ready to commit.
“I’m looking forward to hearing from the administration on what the plans are for the use of the money. It would be ideal if they could quantify how many miles of road could be paved or how it could improve our mass transit system,” Lee Loy said in a text message. “I’m also looking forward to hearing the general public thoughts and comments.”
Mayor Harry Kim is also proposing a 6.5 percent increase in property tax rates in all categories except affordable rentals, in addition to the gas tax hike. The council is expected to vote on the property tax hikes next week, after council members amend and finalize the budget for the fiscal year that starts July 1.
Property taxes were last raised in 2013, when they went up 10 percent across the board. Vehicle registration and weight taxes also went up that year.
The double-whammy of property tax increases coupled with other tax hikes is especially difficult, even when necessary, Chung said.
“It’s just a hell of a time to have to do it,” Chung said.