HomeMy WebLinkAboutCOM 0236.080 2024-2026/ C40WCA [
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From:
Joia
Sent:
Tuesday, May 6, 202S 3.46 PM
To:
Council Testimony
Subject:
Opposition to bill 47
I am writing to voice my strong opposition to Bit[ 47. Below are outlined my reasons why.
Thankyou,�
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Concerned resident,
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Joia
Bill 47 - Another Flawed Attempt that Regulates Families Out of Business
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As with Bill 121, Bill47 has several major problems: lai
1. It makes no accommodation for the 4 in 10 Hawaii homeowners (2,600 family rental operators) who
have significant unpermitted improvements.
2. It makes no accommodation for farmers who house temporary workers or other industries that
depend on short term housing.
3. It remains a complete ban on operating in agricultural zoning.
4. The fines for non-compliance are catastrophic and enforcement lacks due process
1. By law and convention when a bill fails at the County Council'it cannot be re -introduced for two years.
Heather and Ashley are using a technicality to re -introduce this bill less than 6 months after the prior bill
failed. The public has a right to enjoy our lives without being constantly assaulted with unpopular
Legislation.
1. After broad opposition to Bill 121 the County has commissioned an economic impact study to
determine the size and scope of the industry as well as the likely effects of new legislation. We deserve to
have the results of that study before moving forward with any new regulations.
1. Changes to borders and customs enforcement,'new tariffs and changes to national economic policy
are already resulting in a significant reduction in future reservations. Families dependent on tourism are
about to undergo a period of hardship. Now is not the time to impose new costs and regulat'o s on
families that are already struggling. Comm. NoJ&
Ref. To:
1 Ref. Date��� � 1 2025
1. This bill is overly broad. The definition of TVR in Section 6-40 sweeps up anyone who is providing short
term housing including leases regulated under HRC 521 that have expired and are now month -to -month,
farmers providing housing for workers, construction companies providing housing for contractors and
even young families who are providing housing for a nanny. Couple this with a $10,000 fine for failure to
file and you have created a huge headache for industries and families across the islands.
1. The legislation makes it impossible to continue operations with unpermitted improvements. Four out
of ten properties on the Big Island have significant unpermitted improvements due to historic problems
with Planning and Permitting including rampant corruption, lack of resources, lack of leadership, low pay
and low morale.
This legislation requires property owners to disclose all of the unpermitted improvements to their
properties ( Section 6-45 (A) 3-4 ), then requires the Planning department to revoke their registration if
there are any unpermitted improvements on the property ( Section 6-48 (B) 1 ).
By the County's own estimate, 2,600 families will be swept up by these two Sections. Even if it was
financially possible for these families to navigate the County's as -built permitting process in the 90 days
provided by this bill, Hawaii County does not have the personnel or resources to process 2,600 as -built
permits in a timely way. As of today it takes nearly 2 years to obtain and close one of these permits.
Taking away the livelihood of 2,600 local families due to a systematic failure in the County's Planning and
Permitting process is unjust and inequitable.
1. This bill continues to be a complete ban for farmers who operate hosted rentals in agricultural zoning.
Even if every improvement on the farm is properly permitted, Section 6-48 (B) 1 requires the Planning
Director to revoke registrations if any "structure used therefor or any activity on the property in
connection therewith, being in violation of any applicable law;"
Since Hawaii Revised Statutes §205-4.5 forbid the use of agricultural zoned land for rentals of less than
21 days, all rentals on agricultural land would be considered "illegal". This is the logic Hawaii County
used when they refused to issue permits under Bill 108 to non -hosted rentals operating'in agricultural
zoning. The County won the resulting lawsuit on appeal and there is no reason to believe that the County
has changed its position.
The most likely outcome of this bill for families on agricultural zoning is that the County will issue the
registration initially, then revoke it due to "violations of the law" and fine the family $10,000.
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1. This brings us to the enforcement mechanisms which are clearly out of proportion to the violation of
failing to register. According to the Federal Reserve, 37% of American families cannot raise $400 in an
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emergency without going into debt. Hosted vacation rental operators aren't in it to get rich. Inmost cases
they are local families who are just trying to make ends meet. A $10,000 fine would be catastrophic for
most of these families.
This begs the question "Well, if the fine is too large, just follow the law!". The corollary is that we should
allow the death penalty for J-walking. If you don't want to be executed by lethal injection, you shouldn't J-
walk. This is an extreme example, but it makes the point. The fine for violating the law should be
proportional to the law being broken. Failing to register a vacation rental should not result in bankruptcy.
The other problem with the enforcement mechanism is the lack of due process. The process proposed in
Bill 47 allows the Planning department to fine homeowners $10,000 then assess daily fines of twice their
nightly rate on the presumption of guilt. If the homeowner then appeals the fines, it may take months or
years to resolve. During this time the Planning Director can continue assessing daily fines. This can lead
to fines of hundreds of thousands of dollars.
Homeowners shouldn't have to face hundreds of thousands of dollars in fines or lost revenue simply to
challenge an unfair or erroneous finding by the Planning Director. This is especially true in Hawaii County
where the Planning Department has a long history of corrupt practices. Fines should not be implemented
until the homeowner has had the opportunity to appeal them and have their appeal fully adjudicated.
There are other problems with this bill, but these are the major ones. If you want to protect yourself and
your family from unnecessary regulations, catastrophic fines and arbitrary closure please take the time
to write to your County Councilor and raise some of these points.
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