STAND. COM. REP. NO. 117

Honolulu, Hawaii

, 2023

RE: H.B. No. 1374

H.D. 1

Honorable Scott K. Saiki

Speaker, House of Representatives

Thirty-Second State Legislature

Regular Session of 2023

State of Hawaii

Sir:

Your Committee on Tourism, to which was referred H.B. No. 1374 entitled:

"A BILL FOR AN ACT RELATING TO THE COUNTIES,"

begs leave to report as follows:

The purpose of this measure is to:

(1) Make explicit the counties' authority to regulate hosting platforms providing booking services for short-term rentals; and

(2) Expand the definition of "short-term rental".

Your Committee received testimony in support of this measure from the Hawai‘i Tourism Authority and Keep It Kailua.

Your Committee finds that while each county allows permitted short-term rentals to operate in the State, there are still many illegal short-term rentals that are being promoted through booking services and hosting platforms. Your Committee further finds that each county has different problems in dealing with illegal short-term rentals and that each individual county is better equipped and has a better understanding of the solutions it can deploy to combat its unique problems with illegal operations. Your Committee believes providing the counties with the authority to adopt ordinances that regulate hosting platforms promoting illegal short-term rentals will reduce the prevalence of illegal short-term rentals throughout the State without imposing a one-size-fits-all approach in all counties.

Your Committee has amended this measure by:

(1) Changing the effective date to June 30, 3000, to encourage further discussion; and

(2) Making technical, nonsubstantive amendments for the purposes of clarity, consistency, and style.

As affirmed by the record of votes of the members of your Committee on Tourism that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 1374, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 1374, H.D. 1, and be referred to your Committee on Consumer Protection & Commerce.

Respectfully submitted on behalf of the members of the Committee on Tourism,

____________________________

SEAN QUINLAN, Chair