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HomeMy WebLinkAbout2024-04-15 Bill 121 Jaclyn MacKinnon From: Jaclyn MacKinnon To: LPCtestimony Subject: TAR Bill 121 Testimony Date: Monday,April 15,2024 4:26:05 PM Attachments: Vacation Rental Testimony-Jaclyn MacKinnon and Stephen Erb.pdf Thank you for hearing us! J Jaclyn MacKinnon 0 (808) 936-2792 4/15/2024 Testimony from Jaclyn MacKinnon and Stephen Erb, Ahualoa HI A brief introduction to us: we are residents of the Big Island, living in Ahualoa and we own one vacation rental in Waikoloa, as well as a long term rental in Hakalau. We farm both the Ahualoa and Hakalau properties, and our Waikoloa property helps us get out of the rain when it's not rented. First, I must be clear that I only bring up our involvement as owners of a Short Term Vacation Rental is to establish understanding of the process currently in place. I would like to also establish that we have never been fined or sanctioned for mismanagement or any form of mis-step. This is not a testimony to state how hurt our income would be if we were to lose our vacation rental; that's been covered by others in their testimonies. While it's a valid point, there's more to be said. I want to focus on visitor experience. A stay in a hotel is generic. Vacation rentals are unique. The personal touch many owners add to their units makes guests feel special, welcome, included here when they visit. We don't send a "Leave your money and go" vibe that many hotels and attractions do; we want to say "We take pride in our unit and care about the quality of your stay, we hope you enjoy it." We want everything to be perfect, not because of a company policy or for reviews, but because we actually care. I firmly believe this is the sentiment of the majority of vacation rental owners and to place additional obstacles in our way of running a good business is both unnecessary and depriving to the tourism industry, as well as to the county and state in the form of the taxes they receive from us. We would do well not to forget that tourism is our number one industry here in Hawaii. We can't deny that and should not resent it. We should be striving to improve visitor experience in an organic way; showing a side of what's real here, to help dispel the unintended ignorance that many travelers accidentally arrive with, and unfortunately, leave with, thanks to large resorts that make it possible to to spend a week without leaving the property. Should we not be trying to increase understanding of island culture and awareness of what Hawaii is actually like? If so, we need to be getting visitors out of the resorts. A vacation rental almost always provides visitors a full kitchen. Eating out every meal is prohibitive and has become even more expensive due to inflation. Try feeding a family three meals a day in Kona or Waikoloa areas. Hotel rooms have also become costly to the point of prohibitive; don't even try to get yourself a suite with a kitchenette if you're on any sort of budget, might as well buy every meal out. Attacking vacation rentals and making it harder to operate/comply/stay in business only prices more good visitors out of the Hawaii vacation they want. They still spend money when they stay in vacation rentals. Let's not make it so it's out of reach. Another point that hits home for us, since we have both: it's near-impossible to maintain a long term rental the way it should be maintained, especially during a lengthy tenancy. A tenant stays ten years, say. Even with walkthroughs and regular communication, maintenance items are likely piling up that require more than a quick, supervised walkthroughs to see. An owner tries to turn a long term rental around after a long tenancy likely finds a prohibitive list of repairs and maintenance items that hinders their getting the property rented again. Short term rentals allow owners to take better care of their investments, since they are able to gain access when the unit is not booked. It's short term or sell for many owners who have had negative experiences with long term, even if those experiences were not deliberately malicious on the part of the tenants. A few other points: -Owner vs Operator-Operated: Who cares? If the property is providing full-time lodging for someone, who cares if they're the owner? They're a Hawaii resident with a job and a place to live. They should be treated the same under laws that govern transient rentals. -Per Heather Kimball at the Windward Meeting early April: "If you've got an issue with these fees, do you plan on actually violating the law???" I mean, kinda, yeah. Not intentionally, but have you ever missed a safety check? Just forgot? Or you had a family emergency and missed your appointment? Most have. We're not criminals, even though we have technically broken the law. -The Director of Planning has enough to do without verifying complaints as violations. The Third Circuit Court has enough to do without processing appeals to complaints. -It's not the fault of good owners who pay their taxes and fees that Bill 108 is not being enforced. Don't make us the cash cow that funds that. If it was not enforceable when it was passed, that is not our fault. -What do you mean, Ms. Kimball, that consumers have a right to stay in lodgings that are confirmed to be safe? Who makes sure that long term rental is safe? Who checks that hotel room is safe? So owners have to file an affidavit, under penalty of perjury, that their unit meets health, safety and code requirements. Generally, owners aren't experts in any of these things. What if the code has changed since their unit was built? They don't necessarily know if they're perjuring themselves here. Don't put that on us. Does that safety check mean my car is safe? The mechanic checks that my brake lights work, not that my brake lights won't fail a mile down the road. My conclusion: this bill is an insult to not just those of us trying to run a good business, but to the tourism industry, to visitor relations here in Hawaii, to private property rights and to housing security. The narrow approach this bill takes, focusing on one group of property owners in attempt to free up long term housing, is misguided at best and very damaging at worst. I hope the overwhelming testimony of the community at large allows the County Council to do better. Mahalo for hearing us, Jaclyn MacKinnon Stephen Erb (808) 936-2792