Vacation house rules in works: Regulating ‘unhosted’ rentals seen as way to preserve housing for residents

Subscribe Now Choose a package that suits your preferences.
Start Free Account Get access to 7 premium stories every month for FREE!
Already a Subscriber? Current print subscriber? Activate your complimentary Digital account.

Legislation is being drafted to regulate “unhosted” vacation rentals on Hawaii Island.

Legislation is being drafted to regulate “unhosted” vacation rentals on Hawaii Island.

Roy Takemoto, executive assistant to Mayor Harry Kim, said that involves homes that aren’t occupied by the owner or operator.

Issues under consideration include where these type of short-term rentals should be allowed, what exemptions should apply and whether property tax rates should be added or changed to encourage more long-term rentals, he said.

While nothing is drafted yet, Takemoto said Wednesday an option being considered is to limit these rentals, which might be defined as stays of less than 180 days, to resort and commercial zoning areas, with some exceptions. But that’s subject to change, he cautioned.

“We’re still looking at that to see if there are areas in (agriculture) districts that could be permitted,” Takemoto later added. “That’s one of the big ones we’re still trying to figure out.”

The bills would have to be introduced by a Hawaii County Council member.

Kona Councilwoman Karen Eoff is one of the members looking at the legislation. In a text message, she said the county has been receiving input from other agencies for the past six months.

“Our goal is to provide tools that will allow visitors the opportunity to stay in this form of vacation accommodation, while, at the same time, preserving housing for the people who live and work on the island,” Eoff said. She added it will not apply to people renting rooms if they live in their home or traditional bed and breakfast establishments.

Word of the pending legislation already has spread through the coconut wireless. An online petition urging the county to protect short-term rentals received more than 2,800 signatures as of Friday.

Sean King of Leilani Estates said his wife is a co-owner of a vacation rental company, which he asked not to be named, and they’re interested in working with the county on this issue. He said he would like the county to take it to the general public before a bill is introduced.

But King said the county should avoid prohibiting or making it too difficult for people to share their homes with visitors through online booking sites, such as Airbnb.

He noted Hawaii Volcanoes National Park is the island’s biggest attraction but there are few hotels nearby.

“If they make it illegal to operate any kind of Airbnb on (agriculture) land in the County of Hawaii, it is directly affecting the place that has the biggest draw,” King said.

Kim called the proliferation of vacation rentals a “very, very big growing problem” that other counties in the state also are facing.

He said he is concerned about people renting out entire homes in residential neighborhoods to visitors and the availability of affordable housing.

“If you look at it, it’s like a hotel in a small neighborhood,” Kim said.

He hopes to have the legislation ready for council review in about two weeks.

Bed and breakfast establishments are covered by the county code, said Deputy Planning Director Daryn Arai. He said they’re allowed in residential or agricultural areas through a permit approved by the Planning Commission.

But the ease of online booking sites means not everyone is following the rules.

On Oahu, the City and County of Honolulu also is reviewing new regulations that would increase enforcement on operators and internet advertising sites and limit the number of legal bed and breakfast establishments, the Honolulu Star-Advertiser reported Thursday.

In Maui County, homeowners can apply for a short-term rental permit, according to that county’s website.

Email Tom Callis at tcallis@hawaiitribune-herald.com.