HOUSE OF REPRESENTATIVES

H.C.R. NO.

88

TWENTY-SEVENTH LEGISLATURE, 2013

 

STATE OF HAWAII

 

 

 

 

 

HOUSE CONCURRENT

RESOLUTION

 

 

requesting the department of commerce and consumer affairs and the department of taxation to conduct a study examining the parity of the current tax fee structure imposed on video programming service providers.

 

 

 


     WHEREAS, video programming service providers deliver video programming service, usually for a subscription fee; and

 

     WHEREAS, all companies that provide video programming service benefit from state and local laws and policies that facilitate the provision of programming signal to paying customers; and

 

     WHEREAS, in Hawaii, providers of cable video programming service are required to pay a franchise fee based on income received from cable service subscribers; and

 

     WHEREAS, because franchise fees were established prior to technological advances that permit a variety of methods for delivering video programming service, only some providers are subject to franchise fees; and

 

     WHEREAS, increasing competition among video programming service providers will require state regulatory agencies to keep pace with the rapidly changing market; and

 

     WHEREAS, the State should "level the playing field" for all video programming service providers and require all providers to pay the franchise fee; and

 

     WHEREAS, Hawaii consumers should be provided a tax- and fee-neutral choice among video programming service providers with functionally equivalent service taxed in a similar manner, regardless of the provider's method of delivery of service; now, therefore,

 

     BE IT RESOLVED by the House of Representatives of the Twenty-seventh Legislature of the State of Hawaii, Regular Session of 2013, the Senate concurring, that the Department of Commerce and Consumer Affairs and the Department of Taxation are requested to conduct a study to review the parity of the current tax and fee structure applicable to all video programming service providing service to Hawaii customers; and

 

     BE IT FURTHER RESOLVED that it is requested that the study identify all video programming service providers that provide service to Hawaii customers and a comparison of each provider's tax and fee structure as required by Hawaii state laws; and

 

     BE IT FURTHER RESOLVED that the Department of Commerce and Consumer Affairs and the Department of Taxation are requested to submit a report of their findings and recommendations, including any proposed legislation, to the Legislature no later than twenty days prior to the convening of the Regular Session of 2014; and

 

     BE IT FURTHER RESOLVED that certified copies of this Concurrent Resolution be transmitted to the Director of Commerce and Consumer Affairs and the Director of Taxation.

 

 

 

 

OFFERED BY:

_____________________________

 

 

Report Title: 

Video Programming Service Providers; Study