Honolulu officials approve tax extension for rail project
HONOLULU (AP) - Honolulu officials have approved a bill that would extend a tax surcharge to pay for the $6.57 billion rail project.
City Council members passed the bill Wednesday, which extends Oahu's 0.5 percent tax surcharge from 2022 to 2027. The measure will now be up for another vote at the council's Dec. 9 meeting.
Wednesday's decision comes days after Mayor Kirk Caldwell announced that $250 million in federal funds would be at risk if the council did not approve an extension.
The $250 million is part of the $1.55 billion that the Federal Transportation Administration promised the city under a grant agreement.
Rail officials say the extra money is needed in order to complete the entire 20-mile project that will run from East Kapolei to Ala Moana Center.
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