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HomeMy WebLinkAboutBIL 108 Draft 01 2016-2018 ' OF ' ''''1y'', COUNTY OF HAWAII *� �''��' � * STATE OF HAWAII ;__,_..,,,�,�, 'f OF'H'• BILL NO. 108 ORDINANCE NO. AN ORDINANCE AMENDING CHAPTER 25,ARTICLE 1,ARTICLE 2,ARTICLE 4, AND ARTICLE 5, OF THE HAWAII COUNTY CODE 1983 (2016 EDITION, AS AMENDED),RELATING TO SHORT-TERM VACATION RENTALS. BE IT ORDAINED BY THE COUNCIL OF THE COUNTY OF HAWAII: SECTION 1. Findings and Purpose. The short-term rental of residential units, as an alternative to traditional resort and hotel accommodations, is an emerging trend in the visitor industry that continues to grow in popularity. The purpose of this ordinance is to manage the impacts of these short-term vacation rentals by: 1) defining where this use will be allowed; 2) establishing provisions and standards to regulate this use; and 3)providing an avenue for an existing use deemed to be improper by this ordinance,to apply for a nonconforming use certificate that would allow them to continue to operate in a non-permitted district. SECTION 2. Chapter 25, article 4, division 1, of the Hawai`i County Code 1983 (2016 Edition, as amended), is amended by adding the following new sections to be appropriately designated and to read as follows: "Section 25-4- . Short-term vacation rentals. (a) Short-term vacation rentals shall be permitted in the: (1) V, CG, and CDH districts; (2) CV district,provided that a use permit is obtained for each use; and (3) General Plan Resort areas and Resort Node, except that RS districts in the General Plan Resort areas and Resort Node shall require a use permit. (b) Private covenants prohibiting use of any unit as a short-term vacation rental shall not be invalidated by this chapter. (c) Registration of all short-term vacation rentals. (1) Short-term vacation rentals in existence on or before the effective date of this ordinance, shall register with the planning department on a form prescribed by the director no later than one hundred eighty days after the effective date of this ordinance, if they exist within the following zoning districts: (A) The V, CG, and CDH; or (B) The general plan resort areas and resort node, in any district other than RS. (2) Any new short-term vacation rental established in a zoning district after the effective date of this ordinance, where such use is permissible pursuant to this section, shall register with the director prior to use of such rental. (3) The registration form, at a minimum, shall require verification that State of Hawai'i general excise tax and transient accommodations tax licenses are in effect, and certification that the requisite amount of parking pursuant to section 25-4-51, is available. (4) Upon change in ownership, the registration shall automatically continue, subject to termination by the new owner. (5) Any short-term vacation rental operating outside a permitted zoning district shall be registered only with a nonconforming use certificate obtained pursuant to section 25- 4- .1 (6) Any short-term vacation rental that has not lawfully registered within the deadlines set forth in this section, whether in a permitted district or nonconforming, shall be considered an unpermitted use and subject to the penalties set forth in this chapter until such time proper registration and compliance with applicable requirements of this section is obtained. (d) A short-term vacation rental shall be subject to the following standards: (1) The owner, operator, or designated contact person shall be available on a twenty-four hour, seven days-per-week basis. The owner or operator shall notify the planning department of any changes to their registration information forthwith. (2) All print and internet advertising short-term vacation rentals, including listings with a rental service or real estate firm, shall include the registration or nonconforming use certificate number. (3) A copy of the registration or nonconforming use certificate, as well as the designated contact person's name and phone number, shall be displayed in the back of the front door of the sleeping quarters. (4) Off-street parkingshall meet the requirements set forth in section 25-4-51(a)(8) and q applicable parking standards in this chapter. Section 25-4- .1. Short-term vacation rental nonconforming use certificate. (a) The owner or operator of any short-term vacation rental which operated outside of a permitted zoning district prior to January 20, 2018 shall obtain a nonconforming use certificate issued by the director no later than one hundred eighty days after the effective date of this ordinance. (b) Good standing. The applicant seeking a short-term rental nonconforming use certificate shall have the burden of proof in establishing that the property was in use and in good standing prior to January 20, 2018. Evidence of prior use that shall be provided to the director may include tax documents for the relevant time period, including: State of Hawai`i general excise tax filings; transient accommodations tax filings; and federal and State of Hawai`i income tax returns. Other reliable information may also be provided. Based on the evidence submitted, the director shall determine whether to issue a short-term vacation rental nonconforming use certificate for the short-term vacation rental. (c) Special permit. If located in the State land use agricultural or rural district, in addition the applicant shall provide evidence that: the building site existed prior to June 4, 1976, allowing the first dwelling unit to be a single-family dwelling; or that a special permit under section 205-6, Hawai`i Revised Statutes,was obtained within six months of the effective date of this ordinance. If the special permit has been denied or not timely 2 obtained, the nonconforming use certificate shall not be issued and the short-term vacation rental operation must immediately cease. (d) Display. Current nonconforming use certificates shall be displayed in a conspicuous place on the premises that is readily visible to an inspector. In the event that a single address is associated with numerous nonconforming use certificates, a listing of all units at that address holding current certificates may be displayed in a conspicuous, readily visible common area instead. (e) Annual renewal. Nonconforming use certificates must be renewed every year on or before the expiration date indicated on the certificate. At the time of renewal, if it has been determined that the short-term rental use has been abandoned pursuant to section 25-4-62 or the applicant has violated provisions of this chapter or other pertinent zoning laws, including section 25-4-62, the director may deny approval of a renewal application and issue a cease and desist notice to the applicant. (f) Renewal fee. The applicant shall pay a renewal fee of$500 to the director of finance. (g) Revocation. If the short-term vacation rental nonconforming use fails to comply with conditions in this section or chapter, the short-term vacation rental nonconforming use certificate shallbe revoked by the director. Section 25-4- .2. Prima facie evidence short-term vacation rentals. Advertising of any sort that offers a property as a short-term vacation rental shall constitute prima facie evidence that a short-term vacation rental is operating on that property. The burden of proof shall be on the owner or operator to establish either that the property is not being used as a short-term vacation rental or that it is being used for such purpose legally. If any unit is found to be operating unlawfully, enforcement shall be pursuant to article 2, division 3. Section 25-4- .3. Short-term vacation rental enforcement account. (a) Pursuant to section 10-12, Hawai`i County Charter, a special fund to be known as the "short-term vacation rental enforcement fund is created. This fund shall be administered by the director. (b) The purpose of the fund is to support efforts to enforce the County's short-term vacation rental law. (c) This account shall be funded by fees collected in connection with nonconforming use certificate renewal applications. (d) The funds in this account shall be utilized to pay for expenses that facilitate inspection and enforcement of the County's short-term vacation rental enforcement law." SECTION 3. Chapter 25, article 1, section 25-1-5, of the Hawai`i County Code 1983 (2016 Edition, as amended), is amended by adding new definitions to be appropriately inserted and to read as follows: 'Transient"means any person who rents or uses a lodge, hotel, time share unit, bed and breakfast, residential dwelling unit, or a portion thereof for less than one hundred eighty days. This definition shall not apply to nonpaying guests of the family occupying the unit; patients of clients in health care facilities; full-time students; employees who receive room and/or board as part of their salary or compensation; military personnel. low-income renters receiving rental subsistence from State or Federal governments; or overnight accommodations provided by 3 nonprofit corporations or associations for religious, charitable, or educational purposes where no rental income is transacted." "Short-term vacation rental"means a residential dwelling of which the owner or operator does not reside on the building site, that has no more than five bedrooms on the building site for transient use, and is rented to transients for a period of thirty consecutive days or less. The term does not include: (1) Transient use of a dwelling unit that is the owner's primary residence under the Internal Revenue Code; (2) Hosted rentals, meaning transient use of a single room or sleeping area of a residential dwelling unit or guest house with the owner or operator residing on the building site; and (3) Bed and breakfasts, whether or not food is served, meaning transient use of more than one room or sleeping area of a residential dwelling unit or guest house with the owner or operator residing on the building site." SECTION 4. Chapter 25, article 2, division 3, section 25-2-30, of the Hawai`i County Code 1983 (2016 Edition, as amended), is amended to read as follows: "Section 25-2-30. Violations. Any approval or permit issued pursuant to the provisions of this chapter shall comply with all applicable requirements of this chapter. Failure to comply with any provision of this chapter, any rule adopted pursuant to this chapter, or with conditions imposed as part of any approval [er],.permit, [including variances] or variance from the provisions of this chapter, shall constitute a violation of this chapter." SECTION 5. Chapter 25, article 2, division 6, section 25-2-61, of the Hawai`i County Code 1983 (2016 Edition, as amended), is amended by amending subsection(a)to read as follows: "(a) The following uses shall be permitted within designated County zoning districts only if a use permit is obtained for the use from the commission: (1) Bed and breakfast establishments in RS, RA, FA, and A districts,provided that the property is within the state land use urban district. (2) Crematoriums, funeral homes, funeral services and mortuaries in RS, RD, RM, RCX, RA, FA, A and V districts. (3) Churches, temples and synagogues, including meeting facilities for churches, temples, synagogues and other such institutions, in RS, RD, RM, RA, FA and A districts; provided that a minimum building site area of ten thousand square feet is required within the RS, RD, RM, and RA districts. 4 (4) Day care centers in RS, RD, RM, RA, FA and A districts,provided that a minimum building site area of ten thousand square feet shall be required within the RS, RD, RM, and RA districts. (5) Golf courses and related golf course uses including golf driving ranges, golf maintenance buildings, and golf club houses in the RS, RD, RM, RCX, RA, FA, A, V, CG, CV, and 0 districts,provided that the property is within the state land use urban or rural district. Golf courses and golf driving ranges shall not be permitted within the state land use agricultural district unless approved by the County before July 1, 2005. (6) Group living facilities that exceed the criteria in subsection 25-1-5(b), paragraph(b) of the definition of"group living facility" in the RS, RD, RM, RCX, RA, FA,A, CN, CG, CV, and V districts. (7) Hospitals, sanitariums, old age, convalescent,nursing and rest homes, and other similar uses devoted to the care or treatment of the aged,the sick, or the infirm in the RS, RD, RM, RCX, RA, FA, A, and V districts, provided that a minimum building site area of ten thousand square feet shall be required within the RS, RD, RM, RCX and RA districts. (8) Major outdoor amusement and recreation facilities in RS, RD, RM,RCX,RA, A, CN, CG, CV, MCX, ML, MG and 0 districts. (9) Schools in RS, RD, RM, RA, FA, A, V, MCX, ML, and MG districts,provided that a minimum building site area of ten thousand square feet shall be required within the RS, RD, RM, and RA districts. (10) Short-term vacation rentals in the RS district in the general plan resort and resort node and in the CV district. (11) Telecommunication antennas and towers in RS, RD, RM, RCX, RA, FA, A, IA and 0 districts. R11)1(12) Yacht harbors and boating facilities in the RS, RD, RM, RCX, RA, V, CG, CV, MCX, ML, MG and 0 districts. [(12)](13) Wind energy facilities in the 0 district; provided that the property is within the state land use agricultural district. [(13)1(14) Other unusual and reasonable uses which are not specifically permitted in any zoning district with the approval of the director and the concurrence of the council by resolution." SECTION 6. Chapter 25, article 5, division 1, section 25-5-3, of the Hawai`i County Code 1983 (2016 Edition, as amended), is amended by amending subsection(b)to read as follows: "(b) In addition to those uses permitted under subsection(a) above, the following uses may be permitted in the RS district, provided that a use permit is issued for each use: (1) Bed and breakfast establishments as permitted under section 25-4-7. (2) Care homes. (3) Churches, temples and synagogues. (4) Crematoriums, funeral homes, funeral services, and mortuaries. (5) Day care centers. (6) Golf courses and related golf course uses, including golf driving ranges, golf maintenance buildings and golf club houses,provided that the property is within the 5 state land use urban or rural district. Golf courses and golf driving ranges shall not be permitted within the state land use agricultural district unless approved by the County before July 1, 2005. (7) Hospitals, sanitariums, old age, convalescent, nursing and rest homes. (8) Major outdoor amusement and recreation facilities. (9) Schools. (10) Short-term vacation rentals in the general plan resort and resort node. (11) Telecommunication antennas and towers. [(11)1(12) Yacht harbors and boating facilities." SECTION 7. Chapter 25, article 5, division 12, section 25-5-122, of the Hawai`i County Code 1983 (2016 Edition, as amended), is amended by amending subsection (b)to read as follows: "(b) In addition to those uses permitted under subsection (a) above,the following uses may be permitted in the CV district, provided that a use permit is issued for each use: (1) Golf courses and related golf course uses, including golf driving ranges, golf maintenance buildings and golf club houses,provided that the property is within the state land use urban or rural district. Golf courses and golf driving ranges shall not be permitted within the state land use agricultural district unless approved by the County before July 1, 2005. (2) Major outdoor amusement and recreation facilities. (3) Short-term vacation rentals. (4) Yacht harbors and boating facilities." SECTION 8. Material to be repealed in bracketed and stricken. New material is underscored. In printing this ordinance, the brackets, bracketed and stricken material, and underscoring need not be included. SECTION 9. Severability. If any provision of this ordinance, or the application thereof to any person or circumstance, is held invalid, the invalidity does not affect other provisions or applications of the ordinance that can be given effect without the invalid provision or application, and to this end the provisions of this ordinance are severable. 6 SECTION 10. This ordinance shall take effect upon approval. INTRODUCED BY: COUNCIL MEMBER, CO TY OF HAWAII COUNCIL MEMBER, COUNTY OF HAWAII , Hawai`i Date of Introduction: Date of 1st Reading: Date of 2nd Reading: Effective Date: REFERENCE Comm. 739 7