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For nonresident vacation rental owners
#50
I have heard both sides of the Oahu argument over and over as I know people there very involved with the politics.

The situation on Oahu is very different. What happened there is that very little outside of Waikiki and Honolulu was ever zoned for transient accommodations. In spite of that, not surprisingly. a cottage industry sprang up of B&B's.

Back in the 80's, there was a crackdown on the zoning violations. The outcome was that existing operations that were willing to become legalized were grandfathered and were issued TVU licenses (transient vacation unit, called TVR on Kaua'i and Maui).

Since 1989 (I think that is the date, but it might be a little off), NO new licenses have been issued. All the other B&B's and rentals in residential zoning are operating illegally as far as the County is concerned.

But again, it was not much enforced, so many people were doing both mom and pop ohana type rentals and all the way to grand estate oceanfront properties, and all in-between. Kailua and Lanikai were especially impacted, and those neighborhoods organized and began turning in operators who received complaints for excessive noise, inconsiderate parking, etc..

Basically they want to take back the neighborhood and have people on the street whom they know. (It is not like Puna, not all spread out. In recent years, many off-island owners bought large houses with mortgages that could only be paid by getting hundreds or thousands per night, and they are at risk of losing the properties if shut down, so it's quite the battle.

There was an attempt to unfreeze the prohibition on issuing new licenses a couple years back, which was eventually rejected, not supported by a majority of Council members.

The County began issuing violation citations which are quite hefty, and per night, which can quickly add up to thousands of dollars in fines.

In the last few years, Kaua'i and Maui have taken steps to cut down on vacation rentals outside of VDA's ... (Visitor Destination Areas). Here is an article that explains the controversy on Kaua'i.
http://thegardenisland.com/news/opinion/...03286.html

And on Maui:
2008 law
http://archives.starbulletin.com/content...ts_demands
2011 revision
http://www.mauinews.com/page/content.det...51282.html

So what does this all have to do with HB 1707? Primarily, to put in context that it is Counties that determine zoning issues and license rental units, and the Big Island has been rather free of all the brouhaha that has been going on with the other three major islands. Hawaii Island chose to impose regulations on B&B's but not on vacation rentals. Every rental on ag land is illegal, but it's not enforced. Currently.

So keep in mind that this bill is a state law, and the state rarely works seamlessly hand in hand with the counties on this issue. For example, the state has routinely issued GE and TAT licenses for rental business that were illegal under County law, and has left them alone as long as taxes were paid.

If fact, the State is not even allowed to share with the Counties the tax info on who is paying TAT, as that info is between the taxpayer and the state -- which has left the Counties to pay people to comb over Craigslist and VRBO if they wished to identify illegal rentals.

Just be clear on what this bill is and what it is not. This bill affects all the islands, regardless of their individual handling (or non-handling) of the rental business.
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Messages In This Thread
For nonresident vacation rental owners - by jerry - 02-21-2012, 10:19 AM
RE: For nonresident vacation rental owners - by missydog1 - 02-21-2012, 01:45 PM
RE: For nonresident vacation rental owners - by missydog1 - 02-21-2012, 10:02 PM
RE: For nonresident vacation rental owners - by missydog1 - 02-22-2012, 07:02 AM
RE: For nonresident vacation rental owners - by missydog1 - 02-22-2012, 08:06 AM
RE: For nonresident vacation rental owners - by missydog1 - 02-22-2012, 09:26 AM
RE: For nonresident vacation rental owners - by missydog1 - 02-22-2012, 11:10 AM
RE: For nonresident vacation rental owners - by missydog1 - 02-22-2012, 11:17 AM
RE: For nonresident vacation rental owners - by missydog1 - 02-22-2012, 11:20 AM
RE: For nonresident vacation rental owners - by missydog1 - 02-22-2012, 11:53 AM
RE: For nonresident vacation rental owners - by missydog1 - 02-23-2012, 11:35 AM
RE: For nonresident vacation rental owners - by missydog1 - 02-24-2012, 10:38 AM

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