STAND. COM. REP. NO. 4054

Honolulu, Hawaii

RE: H.C.R. No. 73

Honorable Ronald D. Kouchi

President of the Senate

Thirty-First State Legislature

Regular Session of 2022

State of Hawaii

Sir:

Your Committee on Energy, Economic Development, and Tourism, to which was referred H.C.R. No. 73 entitled:

"HOUSE CONCURRENT RESOLUTION URGING EACH COUNTY TO CURB THE PROLIFERATION OF ILLEGAL VACATION RENTALS,"

begs leave to report as follows:

The purpose and intent of this measure is to urge each county to curb the proliferation of illegal vacation rental units by:

(1) Conducting expedited foreclosures on illegal vacation rental properties that have an amount in arrears with the applicable county and the State of over $5,000;

(2) Imposing increased minimum levels of fines to discourage repeat offenses; and

(3) Refraining from reducing fine amounts for violators.

Your Committee received testimony in support of this measure from the Hawaii Tourism Authority.

Your Committee finds that illegal transient vacation units are increasingly located in residential areas, often in violation of zoning laws and in conflict with residential neighbors. Your Committee also finds that illegal transient vacation units negatively impact the quality of life of Hawaii residents by, among other things, removing potential rental properties from the market, increasing traffic and safety concerns in residential neighborhoods, and placing additional burden on infrastructure and facilities. Your Committee notes that the City and County of Honolulu recently passed Bill No. 41, which addresses the proliferation of illegal transient vacation units by increasing the minimum booking period of short-term rentals from thirty days to ninety days in most areas of Oahu. This measure urges other counties to likewise enhance their enforcement efforts to address the proliferation of illegal transient vacation rentals.

As affirmed by the record of votes of the members of your Committee on Energy, Economic Development, and Tourism that is attached to this report, your Committee concurs with the intent and purpose of H.C.R. No. 73, and recommends its adoption.

Respectfully submitted on behalf of the members of the Committee on Energy, Economic Development, and Tourism,

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GLENN WAKAI, Chair