City Council in Hawaii Advances Vacation Rental Bills

April 22, 2019

The Honolulu City Council has advanced two bills aimed at providing regulations on short-term vacation rentals on Oahu.

Both bills now go back to the Council Planning Committee, as interim Council Chairwoman Ann Kobayashi proposes a new draft of Bill 89, the Honolulu Star-Advertiser reported on Friday.

Bill 85 calls for no new vacation rentals to be permitted but allows a neighbor to seek legal action against a bed-and-breakfast or transient vacation unit operator who is violating city laws. It also would make hosting platforms liable for illegal transactions.

Bill 89 would allow up to 4,000 bed-and-breakfast operations, those run by owner-occupants, across Oahu but no new “whole home” vacation rentals, also known as TVUs, where there is no owner-occupant present.

Bill 89 is supported by hotel-resort industry representatives who think it’s a fair compromise.

Kobayashi’s proposal would allow for some whole-home vacation rentals, so long as the operators can prove they live in another Oahu residence they own by providing a homeowner exemption.

The draft also calls for these operators to pay the same tax rate as owners of hotels and resorts instead of a new vacation rental rate for B&Bs, and wants the operator to submit a telephone number for neighbors to voice their concerns 24 hours a day.

Kobayashi said she’s not a fan of whole-home TVUs, but wants councilmembers to at least address concerns raised by local residents who said they want to be able to hold onto their family home.

Was this article valuable?

Here are more articles you may enjoy.