HB1736 HD1

SECTION 1. Chapter 36, Hawaii Revised Statutes, is amended by adding a new section to part I to be appropriately designated and to read as follows:

"§36- Spay and neuter special fund. (a) There is established in the state treasury the spay and neuter special fund to be administered by the department of budget and finance.  Moneys received by the department of budget and finance from:

(1) State income tax refund designations to the special fund pursuant to section 235- ; and

(2) Legislative appropriations, private gifts or donations, and other sources,

shall be deposited into the special fund. All interest earned or accrued on moneys deposited into the special fund shall become part of the special fund.

(b) The director of finance shall disburse moneys from the special fund quarterly to the counties. The amount disbursed shall be prorated based on each county's share of the state population. The counties shall expend the disbursed funds to reduce pet overpopulation, including the free-roaming cat population, by providing spaying and neutering surgery and associated veterinary care; provided that spayed or neutered animals shall not be re-released into the environment."

SECTION 2. Chapter 143, Hawaii Revised Statutes, is amended by adding a new section to be appropriately designated and to read as follows:

"§143- Cat sterilization. (a) It shall be unlawful for any person to:

(1) Own a cat over the age of five months, unless the cat is surgically sterilized; or

(2) Bring a cat that is not surgically sterilized into the State.

(b) A cat may be exempt from the sterilization requirement under subsection (a) if:

(1) A duly licensed veterinarian certifies in writing that the cat is not suitable for sterilization due to health or age considerations; provided that the certification shall be applicable for a period of up to one year, as specified in writing by the veterinarian, and contain the veterinarian's license number;

(2) Arrangements have been made to sterilize the cat within sixty days after the date the person assumes ownership of the cat and the cat is sterilized within that sixty-day period; or

(3) The owner of the cat can provide verifiable proof upon request by the applicable county animal control authority that the cat is approved by and registered with a national or international breed registry or association that, at minimum, requires verification of:

(A) Breed;

(B) Date of birth;

(D) Name of the breeder; and

(E) Other information related to breeding, transfer or ownership, and death.

(d) This section shall not apply to cats brought into the State exclusively for the purpose of entering the cats in a cat show or exhibition and not allowed to run at large."

SECTION 3. Section 235-102.5, Hawaii Revised Statutes, is amended to read as follows:

"§235-102.5 Income check-off authorized. (a) Any individual whose state income tax liability for any taxable year is $3 or more may designate $3 of the liability to be paid over to the Hawaii election campaign fund, any other law to the contrary notwithstanding, when submitting a state income tax return to the department. In the case of a joint return of a husband and wife having a state income tax liability of $6 or more, each spouse may designate that $3 be paid to the fund. The director of taxation shall revise the individual state income tax form to allow the designation of contributions to the fund on the face of the tax return and immediately above the signature lines. An explanation shall be included which clearly states that the check-off does not constitute an additional tax liability. If no designation was made on the original tax return when filed, a designation may be made by the individual on an amended return filed within twenty months and ten days after the due date for the original return for such taxable year. A designation once made whether by an original or amended return may not be revoked.

(b) Notwithstanding any law to the contrary, any individual whose state income tax refund for any taxable year is $2 or more may designate $2 of the refund to be deposited into the school-level minor repairs and maintenance special fund established by section 302A-1504.5, when submitting a state income tax return to the department. In the case of a joint return of a husband and wife having a state income tax refund of $4 or more, each spouse may designate that $2 be deposited into the special fund. The director of taxation shall revise the individual state income tax return form to allow the designation of contributions to the special fund on the face of the tax return and immediately above the signature lines. If no designation was made on the original tax return when filed, a designation may be made by the individual on an amended return filed within twenty months and ten days after the due date for the original return for such taxable year. A designation once made, whether by an original or amended return, may not be revoked.

(c) Notwithstanding any law to the contrary, any individual whose state income tax refund for any taxable year is $5 or more may designate $5 of the refund to be paid over to the libraries special fund established by section 312-3.6, when submitting a state income tax return to the department. In the case of a joint return of a married couple having a state income tax refund of $10 or more, each spouse may designate that $5 be deposited into the special fund. The director of taxation shall revise the individual state income tax form to allow the designation of contributions to the fund on the face of the tax return and immediately above the signature lines. If no designation was made on the original tax return when filed, a designation may be made by the individual on an amended return filed within twenty months and ten days after the due date for the original return for that taxable year. A designation once made, whether by an original or amended return, may not be revoked.

(d) Notwithstanding any law to the contrary, any individual whose state income tax refund for any taxable year is $5 or more may designate $5 of the refund to be paid over as follows:

(1) One-third to the Hawaii children's trust fund under section 350B-2; and

(2) Two-thirds to be divided equally among:

(A) The domestic violence and sexual assault special fund under the department of health in section 321-1.3;

(B) The spouse and child abuse special fund under the department of human services in section 346-7.5; and

When designated by a taxpayer submitting a state income tax return to the department, the department of budget and finance shall allocate the moneys among the several funds as provided in this subsection. In the case of a joint return of a husband and wife having a state income tax refund of $10 or more, each spouse may designate that $5 be paid over as provided in this subsection. The director of taxation shall revise the individual state income tax form to allow the designation of contributions pursuant to this subsection on the face of the tax return and immediately above the signature lines. If no designation was made on the original tax return when filed, a designation may be made by the individual on an amended return filed within twenty months and ten days after the due date for the original return for such taxable year. A designation once made, whether by an original or amended return, may not be revoked.

(e) Notwithstanding any law to the contrary, any individual whose state income tax refund for any taxable year is $5 or more may designate $5 of the refund to be deposited into the spay and neuter special fund established by section 143- , when submitting a state income tax return to the department. In the case of a joint return of a married couple having a state income tax refund of $10 or more, each spouse may designate that $5 be deposited into the special fund. The director of taxation shall revise the individual state income tax form to allow the designation of contributions to the fund on the face of the tax return and immediately above the signature lines. If no designation was made on the original tax return when filed, a designation may be made by the individual on an amended return filed within twenty months and ten days after the due date for the original return for that taxable year. A designation once made, whether by an original or amended return, shall not be revoked."

SECTION 4. There is appropriated out of the general revenues of the State of Hawaii the sum of $ or so much thereof as may be necessary for fiscal year 2026-2027 to be deposited into the spay and neuter special fund established by section 36- , Hawaii Revised Statutes.

SECTION 5. There is appropriated out of the spay and neuter special fund established by section 36- , Hawaii Revised Statutes, the sum of $ or so much thereof as may be necessary for fiscal year 2026-2027 to reduce pet overpopulation, including the free-roaming cat population, by providing spaying and neutering surgery and associated veterinary care; provided that the sum shall be expended as follows:

(1) $ for the city and county of Honolulu;

(2) $ for the county of Maui;

(3) $ for the county of Kauai; and

(4) $ for the county of Hawaii.

The sum appropriated shall be expended by the counties for the purposes of this Act.

SECTION 6. New statutory material is underscored.

SECTION 7. This Act shall take effect on July 1, 3000; provided that:

(1) Section 3 of this Act shall apply to taxable years beginning after December 31, 2026; and

(2) Sections 4 and 5 of this Act shall take effect on July 1, 2026.

HOUSE OF REPRESENTATIVES	H.B. NO.	1736
THIRTY-THIRD LEGISLATURE, 2026		H.D. 1
STATE OF HAWAII