HomeMy WebLinkAboutCOM 0739.006 2016-2018B -I ods IPL
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CITY OF NA.fi
April 21, 2018
1018 APR 27 AN 8+ -00
TO: MEMBERS OF HAWAII COUNTY COUNCIL:
RE: Amendments to Bill 108
Dear Hawaii County Council Members:
I wish to share my personal perspective and along with some questions
about the amendments made to Bill 108, Transient Vacation Rental Regulations.
My name is Kristina Anderson and I reside in South Kona. I have owned
my own home here since 2004. I'm a single mom with two boys in college at UH
Hilo. For many years, I have rented a room of my primary residence to short-
term guests, nearly 100 percent of whom are couples or singles visiting the
Islands. I have a TAT and excise license and I collect 14.45% from the guests to
remit to the state. As I have stated in previous testimony, this income stream is
one of three (the other two are writing and teaching) that I use to sustain our
small family's numerous expenses. We've been able to save our home from
foreclosure, pay our loan modification payments and stabilize our lives after a
really rough time during the recession and its aftermath.
appreciate that my type of STR will be protected in this legislation but I
still have concerns about the bill's overreach in general.
While I agree that new measures should probably be taken to prevent
new, excessively blatant commercial and outside/offshore investors from buying
up large swaths of property and turning them into STRs, I believe that the rentals
that are already in place should be permitted with no further expenses or
permits required. These can be proven legal if need be with proof of excise and
TAT payments.
Any regulations you enact should apply ONLY to new rentals.
The reason is this. The measures that you are proposing are simply going
to discourage a lot of the present rentals from continuing and this may create a
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large negative impact on our economy. Cleaners, groundskeepers, maintenance
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folk, property managers and many, many others will lose their employment. I
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can think of an example or two in my own neighborhood where the current
offshore owners will be discouraged at all the red tape, give up and just sell
their homes. The new owners won't be able to get theermit and then won't be
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able to rent their homes, which will devalue and tank real estate for the
secondary buyers' market. How could it not? But I actually think this is the effect
you are aiming for: To reduce or eliminate STIR rentals by introducing lots of red
tape and making it difficult so people will give up.
I also think the measure reaches way too far into regulating the rights of
private property owners. Why can't these owners rent their houses in the manner
that best suits them? Many are planning to retire here and want to rent out their
homes until they get here. Others want a home to vacation in a few times a year
and help with expenses by renting them out. In case you haven't heard, renting
long term as a landlord in Hawaii County is a nightmare. No one wants to rent
long term anymore. Not when you have to pay sheriffs to come from Maui to
evict. Landlords have no protections anymore.
If we discourage these owners of STIR, many will simply quit. Visitors will
have less choice for places to stay and will just head to Mexico or other budget
friendly destinations. Many have already done so due to the high costs of
traveling here.
As for your amendment itself, .I do not like the idea of, charging $500 for
renewal. Also, did anyone think of the fact that the process of obtaining NUC
permits could take a while? We all know that permits are granted at the speed
of a glacier. My neighbors have waited six months for their construction permit
and are still waiting. What will the mad rush of STIR owners running to get their
permits look like? How long will the line be? Anything like the same line to get
your driver license in Kona_? It seems to me this process needs to be extended
by a tong time to encourage compliance and adjustment. There needs to be
much more grace period.
I really feel like your bill marginalizes those folks living in ag and rural
areas. Why are they so harshly punished? Why can't Puna and Hamakua have
STRs? There's plenty of visitor traffic but not enough hotel rooms to
accommodate, so the need is there.
Lastly, I am still really bothered by the behavior of Ms. Eoff. Her behavior
toward and lies to a constituent and her denials of owning a place at the
Islander along with her confusion at the seemingly non -profitability of her rental
is really unacceptable. That she sponsored legislation that benefits her
personally while signing her name to outlaw the same kinds of rentals elsewhere
on the island is just wrong and looks bad. I don't care that your ethics
committee found in her favor. In my view, she is operating unethically and with
a substantial conflict of interest. She should resign or recuse on this particular
issue.
In closing... PLEASE be aware that what you are doing will have an
adverse effect on local families and others who are getting by with income from
or as employees of the many STRs around the island. Many will shut down and
that is going to tank our economy and depress our robust real estate market.
We are going to lose visitors who can't afford the Sheraton or other hotels. They
won't be eating at our restaurants, buying our souvenirs, renting our cars,
shopping in our markets and taking our visitor tours and activities.
Why not? Because they won't be coming
It's all going to be on you when it does.
Sincerely,
KRISTINA ANDERSON
South Kona
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