HomeMy WebLinkAboutCOM 0675.473 2022-2024Policy Committee onPlanning Land Use, and Development
Havvai'i County Building
25AupuniStreet
Re: BILL 121RELATING TOTRANSIENT ACCOMODATC)NRENTALS AND HOSTING
PLATFORMS
Dear Members of the PCPLUD,
Mahalo for the opportunity to comment on Bill 121, related to transient accommodation rentals
and hosting platforms.
Ajrbnb appreciates the effort the Havva[i County Council has made to create a sustainable
short-term rental program. The Council has recently passed aresolution requesting an
economic impact study on short-term rentals and their effects on the island's economy. We urge
the Council to complete this important study to better understand the negative impacts of Bill
121 before moving toenact further legislation.
Last month, Travel Tech and local economists sdKloningerand Sims released their own
on the |Oce| short-term rental industry. It found that short-term rental guests on
Hawaii Island spent over $1.3 billion in 2023 alone — approximately 10% of the county GDP. In
addition, the same report finds that short-term rental guests represent approximately 43% of the
entire island's tourism and visitor market.
In its current form, EUU 121 creates onerous registration requinannente, unreasonable registration
fees, and confusion for residents who currently host but are unsure ifthey will beable tminthe
future. The measure's economic consequences could be severe and have a lasting adverse
impact on the livelihoods for generations ofresidents who rely on tourism.
We urge the County Council to:
Simplify the rules, license requirements, and registration process-|nour
expehence, a oonno|icetod registration system which requires hosts to obtain avariety of
permits and documentation leads to low compliance and undermines the public's
confidence that short-term rentals are being properly regulated. In order to maximize the
number of hosts who comply with the license registration, the County should consider
creating a licensing system which allows all hosts to submit an application online and
Ref. Too, P WP - 3
Ref. Date Is 2024
creates astraightforward regiotnabonpnnoeaevvdhokearrequirennentnofmpp|inetonmnd
approval.
~ Reduce the initial registration fees. The required initial registration of $500 for a
primary residence host and $1,000 for an un-hosted rental are unreasonably high.For
many cfour hosts, the supplemental income they earn is instrumental in offsetting the
rising costs of living. In mddition, we have seen that other tourist destinations with
reasonable fees no more than $150 — like San Antonio, Texas and Colorado Springs,
Colorado — have higher compliance rahao, as people are more likely to reQiabac
Create clear guidelines for who can host VVehave received feedback indicating that
the following host groups are confused bvwhether ornot they will kmable to continue
hosting under Bill 121.
o Hosts who began sharing their ohana unit as a hosted short-term rental since
January 1.2O24.
m The proposed regulationrequires these hosts toprove that the ohenaunit
was used for hosted TARnaeofJanuary 1.This leaves mgap between
then and whenever the proposed regulation iapassed and takes effect.
o Hosts who have been renting their listing for un-hosted short-term rental stays of
31-100doyo.
m These hosts are currently not subject to registration requirements (and
therefore unlikely to have existing nonconforming use certificates), and
the proposed regulations inBill 121donot allow for the issuance ofnew
nonconforming use certificates for un-hoebad short-term rentals.
We encourage the County of Hawayi to follow through mmits resolution tsconduct an
economic impact study mnshort-term rentals and their effects mnthe Hmwai^ieconomy
before moving forward with Bill 121.
Weare committed to working with lawmakers onfair rules that address local concerns while
also protecting the economic benefits of home sharing for homeowners and local communities
that rely on tourism.
Mahmlo.
Alex Folsom