Hawaii island Mayor Harry Kim has cut $40.8 million off the preliminary budget he presented earlier this year due to uncertainties about the new coronavirus.

Kim’s revised budget, released late Tuesday, includes estimated revenues and spending of $585.1 million, 6.5% less than his original proposal and 0.1% lower than the current year. The budget is balanced by cutting some services and by taxing the wealthiest property owners.

The budget includes no property tax hikes except for an additional tax on residential property valued at $2 million or more. Those property owners will pay a rate of $14.60 per $1,000 in value on all value over $2 million, compared with the current tax rate of $11.10 per $1,000. The homeowner rate is $6.15.

“When our economic recovery begins, it is expected to be gradual. The entire world has been affected by this pandemic,” Kim said in a statement.”We need to work together to improve our local economy by infusing much needed dollars and getting people back to work as quickly as possible.”

The budget includes no money from the counties’ share of the state transient accommodations tax — a loss of $19 million — after the administration conferred with the Legislature about its plans. That tax is collected on hotels and short-term rentals.

The new tax on $2 million residences is expected to raise $14 million. The budget also relies on an average 3.9% increase, or $12.8 million, in overall property values, meaning property owners are likely to see a bigger tax bite even without an increase in rates.

The budget now goes to the County Council for further amendments before going into effect July 1. The Council has until June 19 to adopt property tax rates.