State-County Functions Working Group (Transient Accommodations Tax)

The State-County Functions Working Group on Transient Accommodations Tax examines how revenue from Hawaii's hotel and short-term rental tax is distributed between the state and counties and whether the current allocation adequately funds county services related to tourism impacts. The working group reviews the fiscal relationship between state and county governments on tourism-related revenues and recommends changes to how TAT funds are shared and used. Its recommendations inform legislation governing one of Hawaii's largest sources of government revenue.

Transient accommodations tax revenue funds county services in every community in Hawaii, including roads, parks, and emergency services that all residents use. Community members who feel their county is not receiving adequate support for tourism-related costs can engage with the working group's public process.