HRS §39A-235
Tax exemption for department project property
This section says the state department's income from a project and its ownership interest in the project are free from state, county, and city taxes. But a private partner or user does not get any extra tax break beyond what they would have if they paid for the project directly.
everyone
The statute, as written — ‑235] Exemption from taxation of department property
All revenues derived by the department from any project or under the project agreement pertaining thereto shall be exempt from all state, county, and municipal taxation. Any right, title, and interest of the department in any project shall also be exempt from all state, county, and municipal taxation. Except as otherwise provided by law, the interest of the project party or user of such project in a project or under the project agreement or related agreement shall not be exempt from taxation to a greater extent than it would be if the costs of the project were directly financed by the project party or other user.
LawTrove is not legal advice. The summary above is a computer-generated restatement — the authoritative text is the official version linked above.