Attention all Hawaii Island residents! Hawaii County Council will propose new legislation this legislative session that, if passed, will affect all Short-Term Vacation Rentals.
UPDATED: FEBRUARY 13, 2023
In late January, County Council Members Ashley Kierkiewicz and Heather Kimball hosted another Information Briefing for the Proposed Transient Accommodations Rental Amendment. Council Member Kierkiewicz started the meeting by laying out her goal for this bill – to find the balance between activating the local economy and entrepreneurs and make sure that the county has the long-term housing inventory needed so local families are able to buy a home and stay here. An important thing to note – this amendment has not been formally introduced yet and it is still just a conversation between the council and the community. Draft #3 was released earlier this month and is posted to the Hawaii County TAR website for the community to review and give feedback on.
This zoom meeting went into detail about the changes to the bill that appear in the latest draft, Draft #3. Some of the changes addressed in the newest draft include a definition for “transient”, a breakdown of where TAR will be permitted, a breakdown of TARS on Ag-land, and the management of TARs.
NOW is the time to give your feedback and share your support or opposition to all parts of this bill. To do this, visit their Online Engagement Tool –
These changes are being proposed after Bill 108 regarding Short Term Vacation Rental Legislation was passed nearly four years ago. Because there was little legislation regulating the vacation rental market prior to 2018, the new proposed changes, as well as Bill 108, serve as a way for the county to continue to retroactively manage the impact that vacation rentals have on the Hawaii Island community, both positive and negative. Hawaii County Council Members Ashley Kierkiewicz and Heather Kimball introduced the proposed changes to the community via a ZOOM meeting in late November 2022 which over 500 people virtually attended. The Hawaii County Council is currently asking for community feedback so that they can incorporate it appropriately into the changes that they plan to introduce in the legislative session in January 2023.
Generally, the changes being proposed will address hosted vacation rentals, clarify the existing process for vacation rentals, provide clearer enforcement, and ensure that the rules align with the Hawaii Revised Statutes. While there has been speculation since Bill 108 passed that the rules for hosted rentals would one day change, this meeting was the first time we have heard clear direction from the county on how they plan to regulate them.
Before reading any further – PLEASE NOTE – these are changes that the Hawaii County Council plans to propose to the state legislation and are not currently part of any law. LUVA Real Estate REALTORS are not experts on Hawaii legislation or the short-term vacation rental rules and regulations. However, LUVA Real Estate REALTORS do work to protect private property rights – the right to quiet enjoyment of one’s property and the right to the best and highest use of one’s property. These new regulations and proposed changes will affect private property rights and therefore it is important that we work to inform all Hawaii property owners, both current and future, of the possible changes. The purpose of this post is also to encourage homeowners and residents of Hawaii County to provide their feedback on the county’s proposed changes so that we can work together to make constructive changes to Hawaii legislation that protects the rights of Hawaii property owners as well as the integrity of the Hawaii Island community.
Now that you know that these are changes that are not in effect, you can continue reading the post below – taking note of any questions or concerns you have. At the bottom of this post is a link that will take you to a form where you can submit your feedback on the proposed changes.
One major change would be the repeal of the definition of Short-Term Vacation Rental and the introduction of a new term, Transient Accommodation Rental or TAR. A TAR will be defined as “a dwelling unit or rooming house that provides transient accommodation excluding hotels, apartment hotels, motels, lodges, condominiums, timeshares, and cooperative apartments.” From this definition of a TAR, there will be two further categories – HOSTED TAR and UNHOSTED TAR. A Hosted TAR is a Transient Accommodation Rental with an operator residing onsite during rental operations and an Unhosted TAR is a Transient Accommodation Rental without an operator residing onsite during rental operations.
Transient Accommodation Rentals will be permitted in the V, CG, CN, CV, CDH districts, Residential and Commercial Zoning Districts in Resort & Resort Node, RM district for multi-family dwellings within a CPR, and Vacation Nodes (more on this later). TARs will be permitted when the rented dwelling is HOSTED and serves as a PRINCIPAL home excluding guest houses, ohana units, second dwellings, and additional farm dwellings. A TAR would also be permitted with a Nonconforming Use Certification or NUC.
All TAR, whether hosted or unhosted, must register with the county, pay a registration fee, pay an annual renewal fee, complete a renewal application, and comply with the TAR regulations as detailed in the legislation.
The county plans to have TAR registration exceptions, which you can see below.
TAR registration can be transferred upon the sale of a property and any TAR unregistered is considered unpermitted and will be subject to a $10,000 penalty. Also being proposed are a set of TAR Operation Standards – which are outlined below:
1. Each person may operate no more than one TAR, except their principal home, unless they are a licensed realtor.
2. Operator shall physically reside in Hawaii County during all TAR operations, and be reachable 24/7.
3. Registration, NUC, and hosted NUC shall be displayed on the premises.
4. Guest limit for adult occupants shall be set at initial registration, and be limited to no more than 2 adults per bedroom and additional two adults for unit as a whole.
5. All overnight guests shall be registered with the operator.
6. Gatherings are limited to 2x the guest limit.
7. Commercial weddings, wedding receptions, or events are prohibited unless allowed by special use or use permit.
8. Applicants shall comply with terms of special use or use permit conditions to mitigate the impacts of the event.
9. Quiet hours shall be from 10PM – 7AM, during which time noise from TAR shall not disturb adjacent neighbors.
10. Off-street parking shall meet requirements of 25-4-51 and all guest vehicles shall be parked in the designated onsite parking areas.
11. All TAR advertising (print/online) shall include a registration number, NUC number, or hosted NUC number.
12. Any commercial signage that advertises a TAR shall comply with 22.2. and Ch. 3 of the Hawaii County Code.
Another part of the proposed changes will be where TAR will be permitted and the addition of Vacation Nodes. A Vacation Node would be created by either the Planning Director, Hawaii County Council Member, or a Property Owner and the creation process will differ depending on who is making the creation request. The purpose of the county’s introduction of Vacation Nodes would be to carve out areas of the island that are underserved by hotels and resorts and therefore make vacation rentals more appropriate.
As a reminder – these are changes that will be proposed to legislation in this upcoming session that begins in January. The County Council is looking for feedback on the proposed changes to incorporate the community feedback. Below are helpful resources, please contact your Hawaii County Council Member if you have any specific questions!