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Council to consider regulating vacation rentals
The value of short term/vacation rentals on the Big Island outside of the resort zoned areas
(we submitted this to Council through AirBnB)

We have vacation property in Hawaiian Paradise Park in Puna, Hawaii. We refer to it as our ‘impractical dream’. We would not consider renting out our property on a long-term basis as we live on the property 2 or 3 times a year. For the last five years we have been renting out our property on a short-term basis while we are not there.

We collect all GET and TAT taxes and submit them regularly. We also have an appropriate insurance rider for liability/property insurance on our home insurance policy for short-term rentals. We have strict ‘good neighbor’ policies in place (e.g. no parking on the street, no parties etc.).

Many of our neighbors have rented our property for ‘over flow’ guests and family, on a short-term basis. Most of our guests typically fly to Hawaii from North America, Asia or Australia/New Zealand to experience Hawaii in its beauty. They are responsible people spending significant money to experience Hawaii and its many riches. Some of our guests are future purchasers of property in Puna and want to experience the neighborhood they are interested in. Currently we have guests staying that have a home in the ‘evacuated’ area and, also we have guests staying that are studying the volcano/eruption.
For many of our guests coming to the Puna/Hilo side is a ‘side trip’ to other travels in Hawaii (e.g. Kona side, Oahu or Maui), again adding to the amount of time spent by visitors in Hawaii and the amount of money they spend. In Puna, vacation rentals are almost the only option for spending time there.

Our property is ‘family friendly’ with many multi generational guests staying at our property: they can cook, they can play in the yard etc. Our property has easy access for wheelchair-bound and elderly guests that appreciate the quieter surroundings of the neighborhood and have more direct access to family members for personal care assistance if required.
Renting the property out short-term while we are not there is better for the neighborhood (e.g. less crime/break ins) and the home (e.g. property is aired out and used), than leaving it vacant while we are not there.

We have a small orchard on our property with tropical fruits that our guests and neighbors utilize in season. Our guest shop for food locally and eat at the restaurants etc.

Our property is zoned ‘agricultural’ and there are other users that are much more disturbing to the neighbors than short-term rentals (e.g. rooster farms, commercial farms with ongoing customers throughout the day and with commercial delivery vehicles). Agriculturally zoned land already allows for additional users (e.g. ag workers). Allowing for short term rentals on agricultural land does not add a burden beyond what is already allowed on the land.

We used local people to build our home and we continue to hire local people to manage our property, including: cleaning our home, meeting with our guests as required, taking care of the yard and grass, and carrying out ongoing maintenance to our home to ensure a strict standard of quality. Also, the garbage and recycling is handled efficiently by local haulers.

We know of other property owners in residential or agricultural zoned properties that rely on the income from short-term rentals to stay and live in Hawaii. Jobs are hard to come by, especially in Puna, so this is revenue that helps them to stay and live in the Puna/Hilo area.

We suggest allowing short term rental in agricultural zones at least and hopefully also in residential zones. There is no urgent need to further ‘control’ short-term rentals on the Big Island especially since they:
• Do not take away from long term rentals in many cases, as they would not be rented out long term, but would sit vacant which is not good for the neighborhood or the property
• Bring in extra revenue to the State and County
• Bring in extra money to the local economy in an area where jobs are hard to come by
• Have well behaved guests that come to stay from all over the world, taking back their experiences for further visitors
• Are no more, and probably less, burdensome to the neighborhood than other already permitted users (e.g. rooster farms and commercial nurseries).
• Are the only option to stay in the Puna for most guests.

We add alternatives to travelers looking for experiences not available in hotels or resort zoned areas. This does not take away from the Hawaiian economy but rather adds to it. In most cases, it is a complementary service, not a competing one.
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There is no urgent need to further 'control' short-term rentals on the Big Island

Unfortunately that's the only thing Hawaii (either County or State) knows how to do: institute a system where you register and pay a fee, such that the fees pay for the new staff positions required to process the registrations.

In this particular case, County should be focused on creating a property tax class for short-term rentals. Helping State collect more TAT doesn't do anything for our local budget.
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In this particular case, County should be focused on creating a property tax class for short-term rentals.
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They already do since they can't get any deductions. They already pay full price.
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They already pay full price.

They should obviously be paying more. Or I should be paying less.
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Yes, they are going to try again. County Council will take up vacation rentals once again. Can someone please explain how a Council member, who happens to own a rental, is allowed to propose regulations on rentals? Yes, I'm talking about Ms Eoff?
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Lolo, it also should be mentioned that Eoff neglected to report a significant chunk of vacation rental income on her financial disclosure form. So there's a serious conflict of interest and a major disclosure issue, but we're supposed to accept it and shut up because believe it or not, the "Ethics" Commission said it was fine.
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Yes Chunkster, it should be mentioned but it certainly wont at the County Council. Really disheartening, when the majority of taxpayers pay their fair share.
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Lolo, you can go in front of the council and plead your case. Its a some what free (sic) country?county?


HPP

HPP
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"Its a some what fee country" dan d

I don't know if that was a typo, but it sure hit the nail on the head, except for the some what part.
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the majority of taxpayers pay their fair share

Which "share" is currently subsidized by the "extra" revenue that vacation rentals bring.

I propose an addendum: County can shut down vacation rentals just as soon as replacement room capacity is built, with totals measured on a per-district basis.
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