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HomeMy WebLinkAboutCOM 0739.039 2016-2018MOM Y, CLERK 23 April 2018 Planning Committee 10%!0 APR 27 .8' 06 .711 Hawaii County Council Re: Bill 108 related to short-term vacation rentals Dear Chair Eoff, Vice -Chair O'Hara, and committee members My name is Kevin Hopkins, and together with my wife, Margarita, we provide short-term vacation rentals through Airbnb at two of our family-owned properties. Airbnb provides us a means to cover the mortgages and maintain the houses for our relatives return from the mainland. Before we started these rentals, we went to the County Planning office in Hilo and asked what we needed to do to provide legal short-term rentals. We were told to pay our excise tax and TAT and make sure that not more than five unrelated persons stay in the house at any one time. And now, because some County lawyer has decided to change their interpretation of regulations, we are being told we are not in compliance with zoning (regulations). That makes me very angry, particularly as we went out of our way to try to be legal and have paid thousands of dollars in excise and TAT taxes. I realize that the off -shore corporations which will benefit from restrictions to short-term vacations rentals do not care about our people or economy, but you do. Be careful and reasonable in regulating these rentals. And be fair to those of us who have obeyed the rules as told to them by Planning. I support the following: 1. Short-term vacation rentals in which the host resides on the property will be exempt from registration; 2. Short-term vacation rentals which have been in operation before the passage of these new regulations will be "grandfathered" at no charge (to obtain the non -conforming use permits). In order to do so, the owners will have to submit copies of their excise and TAT licenses and evidence that they have been paying their excise tax and TAT. Such submission must occur no later than 180 days after the regulation come into effect; 3. Do not make anything retroactive as that just opens the County up for legal action. Just pass good legislation expeditiously. 4. Trying to restrict short-term rentals to resort -zoned areas may be advantageous to those owning property in those zones but what about the other areas such as the east side of the island which have very limited resort zoning. Consider each district's needs for short-term rentals. 5. Do not try to gouge owners of short-term rentals with exorbitant fees for renewal of non -conforming permits or new taxes. We already pay over 13% of our gross income in excise tax and TAT. And if we have any profit, there is State and Federal income taxes. 6. Work with the State to allow the hosting sites such as Airbnb to collect and remit excise and TAT on behalf of the owners. Lastly, we have hosted well over 100 groups, typically families of 3 or 4 persons each. Almost all say that they want the personal touch that short-term vacation rentals can provide and the family -friendly ambience. Many of these families would/could not have come to the Big Island if they had to stay in hotels. Thank you for considering my concerns, Kevin Hopkins 746 Hele Mauna St Hilo, HI 96720 Comm. No. Ref. To: r` Ref. cote APR 2 4., 018