2018-09-20 Leeward Exh B (Bill 108 re Short-term Vacation Rentals)

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with Use Permit applications, and I’m thinking this is a pretty straightforward, if zoned commercial, it should allow short-term rentals. JACKSON: Yeah, the Director’s recommendation is in agreement with that; it seems appropriate to allow them without a Use Permit in General Commercial and Village Commercial. But one commercial district that’s left out of this bill is the Neighborhood Commercial district. And Neighborhood Commercial is really meant just for like a little convenience store within more like a residential area, so it’s not meant for real heavy commercial businesses. So that’s probably the reason that the Neighborhood Commercial district was left off of this bill as an unpermitted zoning district for short-term vacation rentals. YEE: I would add that there were some robust debates around CV in including or not including CV, and it ended up not being part of the permitted, and again, I guess I’m taking up the cause again to make the recommendation to put it back in because I think it becomes, you are trying to slice a hotel or B&B being okay and the vacation rental is not, was too kind of final align for me to want to go down that path. So, again, there were robust conversations with Council staff, Mayor staff around this, they forwarded the bill as is, and I’m just further making the recommendation to include CV. JACKSON: Okay, Recommendation No. 5 – let’s see here – that is to change the permitted uses section, and what we would suggest doing is deleting the sentence that is there now, “General Plan Resort areas and Resort Node, except that RS districts in the GP Resort areas and Resort Node shall require a Use Permit,” to, changing the language to focus more on the zoning districts rather than the General Plan area. So the new language would be, “All zoning districts, except Open, situated in the General Plan Resort and Resort Node areas, provided that a Use Permit is obtained in the RS zoning district.” And the reason for that is that the Zoning Code is formatted in a way to focus on zoning districts and list the uses that are permitted in each zoning district. The Zoning Code does not typically reference the General Plan areas as where uses are permitted or not permitted. So this language would fulfill the same intent of Bill 108; it just changes the wording a little bit to focus more on the zoning districts. UNGER: Question. JACKSON: Yes. UNGER: Under General Plan Resort and Resort Node areas with residential zoning district, so I’m envisioning Kūki‘o, Hualālai, Mauna Loa \[sic\] residential areas, Mauna Kea residential neighborhoods. Is that the vision here? Is that what that is? JACKSON: So the way the bill is written now, and even the suggested revision would be, the list that I showed you, so Mauna Kea Resort on the makai side is in the Resort area but on the mauka side it is not. UNGER: So my point is I feel that those areas do not need a Use Permit to operate a short-term vacation rental there because they are heavily managed and heavily regulated and heavily 13 EXHIBIT B