HomeMy WebLinkAboutCOM 0675.108 2022-2024 From: April Nelson
Sent: Friday, January 19, 2024 2:06 PM �•-- ' �'
To: Council Testimony
Cc: April Nelson
Subject: TAR Bill 121 Testimony
Aloha,
My name is April Nelson. My partner and I began renting two bedrooms in our Kona home on Airbnb in 2015 (in
addition to both working full time in the tourism industry). We paid correct property taxes, GET,TAT, and complied with
all hosted vacation rental laws from day one.
The extra short-term rental income:
• Helped us afford our mortgage,
• Kept us afloat during maternity/paternity leave when our son was born in 2016,
• Helped us build savings and an emergency fund,
• And helped us pay off debt.
In 2021, my partner and I separated. He moved out and lived in his car for months due to lack of affordable
rentals. This was not a stable way for him to live, and for our son to visit him. We discussed, pooled our money, and
had JUST ENOUGH to buy the cheapest fee simple condo in town. We would not have had enough money to do this
without years of renting out rooms in our home. WE BOTH HAVE STABLE HOUSING BECAUSE OF OUR SHORT-TERM
RENTAL INCOME.
In 2022, work and parenting got busier for me, and it was no longer worth doing Airbnb with the TAT increase and
property tax differential—especially losing the 3%cap on assessed value as property values continued to rise. I made
the difficult decision to stop renting out the extra rooms.
Did my rooms become long term rentals? NO. I need a place for family to stay when they visit. And, I saw many
friends and neighbors struggle with long term tenants that destroyed their properties, didn't pay rent for months, and
cost thousands of dollars to evict. My extra rooms now sit EMPTY and money is tighter.
I continued to work very hard and bought a foreclosure condo. I spent many hours fixing it up and furnishing it. I
elected not to do STVR and instead rent it for one to six months at a time.
Who have been my tenants?
• Traveling nurses
• Mauna Loa helicopter student
• Mother and son in transition, needing housing for a month between rentals
Under the new bill, I would NO LONGER BE ABLE TO RENT TO THE MOTHER AND SON IN TRANSITION without
registering for a permit.
If Bill 121 passes, I will likely sell my condo. Who will be the buyer? Likely a mainland investor looking for a vacation
rental.
Finally, I still do not understand the purpose of this bill and its complicated requirements,fees and penalties. I h�/
Comm. No.`/TS. IVb
1 Ref. To: P
Ref. Date 4M9 2 3 2024
Is it to address noise and parking complaints? This can be solved by enforcing existing ordinances and laws equally for
all residents.
Is it to add housing? I believe very little housing will be created as a result of this bill. To the contrary, housing will be
lost and economic stability for local families will be threatened.
To help with housing,we NEED:
• Landlord Tenant Code improvements to protect landlords and encourage families to rent their spaces long term
• Tax incentives for long term rentals
• Zoning changes
• Infrastructure to support our growing community
Bill 121 will hurt our island economy and invite lawsuits. This is why I strongly OPPOSE Bill 121.
Sincerely,
April Nelson
808-202-3441
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