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.

This bill requests the Department of Business, Economic Development, and Tourism to conduct a study on how state and county tax structures affect Hawaii's long-term economic growth. The study will examine factors such as business formation rates, startup survival, and self-employment levels, which are currently lower than national averages. It will also analyze operational costs including taxes, energy, labor, and imported goods to understand their impact on the business climate. The department will work with the University of Hawaii's Economic Research Organization to provide policy recommendations on aligning tax structures with state and county programs to support economic development.