HomeMy WebLinkAboutRES 556 Draft 01 2022-2024
A RESOLUTION REQUESTING THE DEPARTMENT OF RESEARCH AND DEVELOPMENT TO PROCURE A COMPREHENSIVE STUDY ON THE ECONOMIC AND FISCAL IMPACTS OF THE TRANSIENT ACCOMMODATION RENTAL INDUSTRY
IN HAWAI‘I COUNTY.
WHEREAS, over the years, Hawai‘i’s tourism industry has evolved with the onset of hosting and booking apps, expanding the variety of available accommodations to meet diverse traveler
needs and price points; and
WHEREAS, transient accommodation rentals provide an opportunity for residents to become entrepreneurs by leveraging their properties to generate additional income, which can be used
to support their families, invest in their homes, and contribute to the local economy; and
WHEREAS, Kloninger & Sims Consulting LLC prepared a report dated June 12, 2024, for The Travel Technology Association titled State of Hawai‘i and Maui Economic and Fiscal Impacts of
the Short-Term Rental Industry, which states that in 2023, 43.7% of all visitors to Hawai‘i Island stayed in transient accommodation rentals, contributing an estimated $1.3 billion
to the local economy, resulting in more than $17.7 million in transient accommodations tax revenue and more than $7.1 million in general excise tax revenue; and
WHEREAS, there is a need to understand the broader economic and fiscal impacts of transient accommodation rentals in Hawai‘i County, including potential impacts on tax revenue, employment,
economic activity, housing affordability, neighborhood character, infrastructure, public services, and local businesses; and
WHEREAS, there is a belief that existing transient accommodation rentals, if phased out or restricted, will be converted to long-term housing units, thereby increasing the availability
of housing for residents and potentially alleviating housing affordability issues; and
WHEREAS, it is important to assess the validity of this assumption and understand the actual likelihood of existing vacation rentals being converted into long-term housing; and
WHEREAS, an economic and fiscal impacts study would provide valuable insights and data to inform additional policy decisions and regulatory measures for transient accommodation rentals
in Hawai‘i County that work for residents, taxpayers, transient accommodation rental hosts, and visitors alike; now, therefore,
BE IT RESOLVED BY THE COUNCIL OF THE COUNTY OF HAWAI‘I that the Department of Research and Development is hereby requested to engage an economist to conduct a comprehensive study on
the economic and fiscal impacts of the transient accommodation rental industry in Hawai‘i County.
BE IT FURTHER RESOLVED that this study shall assess and analyze:
The daily data on AirDNA, a third-party data and analytics firm, relating to the transient accommodation rental listings in Hawai‘i County, including types of available rentals, occupancy
rates, pricing, geographic distribution, market value of the land/building, proximity of the owner, number of structures, and other key metrics;
The direct and indirect economic contributions of the transient accommodation rental industry to Hawai‘i County’s economy;
The impact of transient accommodation rentals on housing availability and affordability for residents of Hawai‘i County; and
The potential and feasibility for transient accommodation rental units to be converted into long-term housing units.
BE IT FURTHER RESOLVED that the study shall include engagement with relevant stakeholders, including transient accommodation rental hosts, local businesses, housing advocates, and industry
representatives, to gather input and ensure a comprehensive analysis.
BE IT FURTHER RESOLVED that the Department of Research and Development and the contracted economist are requested to report their findings and recommendations to the County Council by
February 28, 2025.
BE IT FINALLY RESOLVED that the County Clerk shall transmit a copy of this resolution to the Honorable Mayor, the Director of Research and Development, and the Director of Finance.
Dated at _____________, Hawai‘i, this ______ day of ___________________, 20___.
INTRODUCED BY:
_______________________________________
COUNCIL MEMBER, COUNTY OF HAWAI‘I
COUNTY COUNCIL
County of Hawai‘i
Hilo, Hawai‘i
ROLL CALL VOTE
AYES
NOES
ABS
EX
EVANS
GALIMBA
I hereby certify that the foregoing RESOLUTION was by
the vote indicated to the right hereof adopted by the COUNCIL of the
County of Hawai‘i on _____________________________________.
INABA
KAGIWADA
KĀNEALI‘I-KLEINFELDER
KIERKIEWICZ
ATTEST:
KIMBALL
LEE LOY
VILLEGAS
Reference:
COUNTY CLERK CHAIRPERSON & PRESIDING OFFICER
RESOLUTION NO.