New Hawaii tourist tax expected to generate $100 million for climate projects

Hawaii Gov. Josh Green (D) has signed into law a “Green Fee” bill that will raise tourist taxes to help fund “climate-change” mitigation.
Senate Bill 1396 raises the tourist tax on Hawaii hotels to 11% starting Jan. 1 — which would then increase to 12% the following year, according to the text of the bill.
Portions of the revenue raised would go into the “Climate Mitigation and Resiliency Special Fund” and the “Economic Development and Revitalization Special Fund,” according to the bill.
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The bill addresses invasive species, wildlife conservation and beach management and restoration.
It will also help fund a “green jobs youth corps” and areas of environmental concern.

Hawaii Gov. Josh Green has signed a “Green Fee” bill raising tourist taxes to fund environmental initiatives. (Kevin Carter/Getty Images)
“Hawaiʻi is at the forefront of protecting our natural resources, recognizing their fundamental role in sustaining the ecological, cultural and economic health of Hawaiʻi,” said Gov. Green in a press release.
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The Aloha State governor added, “The fee will restore and remediate our beaches and shorelines and harden infrastructure critical to the health and safety of all who call Hawaiʻi home, whether for a few days or a lifetime.”

The funds will go toward climate mitigation, economic revitalization, and environmental conservation. (iStock)
In 2023, 9.6 million visitors traveled to Hawaii, according to the Hawaii Tourism Authority.
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Hawaii already has a 10.25% tax on short-term rentals.
The state’s counties each add their own 3% surcharge on top of the state’s tax, according to FOX 13.

In 2023, 9.6 million visitors traveled to Hawaii, according to the Hawaii Tourism Authority. (iStock)
“Hawaii already imposes what some believe are high taxes on the hospitality sector and short-term stays,” said Travel Tomorrow.
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The Green Fee is projected to generate $100 million annually, according to the release.