HomeMy WebLinkAboutCOM 0928.004 2022-2024f� j C•1
July 8, 2024
Cindy Evans, Chain
Sue Lee Loy, Vice Chair i
Committee on Governmental Operations and External Affairs ='
Hawaii County Council
Hawaii County Building
25 Aupuni Street
Hilo, HI 96720
Support for Resolution 556-24
Dear Chair Evans, Vice Chair Lee Loy and Members of the Committee on Governmental Operations and External Affairs,
The Kohala Coast Resort Association (KCRA) supports Resolution 556-24, requesting that the Department of
Research and Development procure a comprehensive study on the economic and fiscal impacts of the transient
accommodations rental industry in Hawaii County. We are grateful that you are seeking an assessment and analysis
of rental listings including available rentals, occupancy rates, pricing, geographic distribution, market value of
the land/buildings, proximity of owners, number of structures, and other key metrics; economic contributions of
the transient accommodation rental industry to Hawaii County's economy; the impact on housing availability
and affordability for Hawaii County residents; and the potential feasibility of conversion to long-term housing.
The KCRA conducts an independent economic and community impacts study every few years in partnership with third -
party organizations (SMS Research, First Hawaiian Bank), which we've shared with all of you, and include highlights
from in our testimony. Frankly, it has been challenging to assess the impact of the transient accommodations rental market
properties located within our resorts, as each one is owned and operated independently.
The Vacation Rental Report, produced by the Department of Business, Economic Development and Tourism (DBEDT)
through a contract with Lighthouse Intelligence, Ltd., and shared monthly on the research section of their website by the
Hawaii Tourism Authority (HTA), contains a caveat that their report only represents 33.5% of the estimated transient
accommodations rentals throughout the state.
This resolution is in alignment with Hawaii County's Destination Management Action Plan (DMAP) 2021-2025, which
was completed with community, government and industry stakeholder involvement in partnership with HTA, the Island of
Hawaii Visitors Bureau (IHVB) and County of Hawaii Department of Research and Development. Understanding the
impacts and better management of TARs was identified in the top 10 needs for Hawaii Island and can be found here -
IITA Hawaii Island Action Plan(lrawaiitourisiriauthority.oi:g).
With better information, hard data, and accurate statistics, we can better manage tourism on Hawaii Island together.
The KCRA is a collection of master -planned resorts, situated north of the Ellison Onizuka Kona International Airport at
Kealrole. KCRA's members ernploy more than 5,500 Hawaii Island residents, supporting more than 17,000 family members,
at our hotels, timeshares, golf courses, restaurants, shopping centers and spas. KCRA's members paid nearly $45 million in
GET and $75.7 million in TAT to the State of Hawaii and the County of Hawaii in 2023. KCRA's members, as well as the
businesses and residents within the resorts along the Kohala Coast, paid more than $151 million in property taxes to Hawaii
County in 2023, accounting for more than one-third of all property taxes collected island wide, according to Hawaii County's
f
Real Property Tax office.
We encourage your support of Resolution 556-24.
Sincerely,
A1�4 IV- P f
Stephanie Donoho
Administrative Director, Kohala Coast Resort Association
Craig Anderson, VP Operations, Mauna Kea Resort —President
Pat Fitzgerald, CEO, Hualalai Investors — Vice President
Charlie Parker, Regional VP and General Manager, Four Seasons Hualalai — Secretary
Chris Sessions, DOSM, Fairmont Orchid — Board of Directors
Daniel Scott, Regional VP and Managing Director Rosewood Kona Village — Board of Directors
Scott Head, VP Resort Operations, Waikoloa Land Company — Board of Directors
David Givens, General Manager, Hilton Waikoloa Village — Board of Directors
Rob Guntimer, Area VP Resort Operations, Hilton Grand Vacations — Board of Directors
Pete Alles, General Manager, Mauna Lani, Auberge Resorts Collection — Board of Directors
Michael Howe, Resort Manager, Waikoloa Beach Marriott — Board of Directors