HLU-4 Bill 9 (2025) BILL 9 (2025), AMENDING CHAPTERS 19.12, 19.32, AND 19.37, MAUI COUNTY CODE, RELATING TO TRANSIENT VACATION RENTALS IN APARTMENT DISTRICTS (HLU-4)
I’m Cindy Nakea, and I own two vacation rentals in Lahaina. I’m opposed to the proposal to prohibit short-term rentals.
I’m very much for rebuilding the community following the wildfires. However, this will harm local workers that do cleaning, maintenance, etc., with a sudden loss in income. It would create hardship for my family as well.
I urge you to take an approach that will not suddenly undercut livelihood but work with all the varied voices in the issue to protect jobs as well as help the community to once again grow.
Aloha Chair, Vice Chair, and Committee Members,
My name is Rebecca Douglas. My in-laws own a STR condo in Maui County that has been a blessing for our family. The legislation that is being introduced would be detrimental to their ability to keep this second home for our family. When we've been able to visit we've loved getting to visit all of the local restaurants and shops (my husband even got a large tattoo from a local last time we were there). We got to immerse our children in the Hawaiian culture and left feeling so much more connected to your people and land. My in-laws have a great love for Maui and have ohana there who they visit frequently. They have spend a great deal of money already not just purchasing the condo, but updating it and maintaining it, while keeping it available for ohana and tourists who want to visit the island. Them being forced to sell this property - that isn't even a viable layout or price point for a single family occupant home - would end our ability to visit your wonderful island and their ability to spend time with their ohana. This condo was purchased as a retirement home for them to spend a great deal of time at and to share with their children and grandchildren. Its heartbreaking to think about this being torn from them, and us, because of legislation that truly does not have the best interest, both personal and financial, for the residents of your great island. I hope and pray that the voices of the thousands and thousands of residents, who see the terrible effect this would have on your economy and tourism, are heard. This legislation does not seem to take the best interests of your people to heart. Please reconsider for the sake of your people.
Thank you for your time and efforts,
Aloha,
My wife and I bought a one bedroom condo in Maalaea 10 years ago with plans to live on Maui part time. We are both retired and on a fixed income. Our STR helps supplement our retirement income and allows us to live on island part time. We bought the condo as part of our long term plan for retirement income. If the county bans STR’s it will impact our retirement income and affect our life long plans.
Thank you,
Mike
Dear Chair Kama, Vice Chair Uʻu-Hodgins and Members of the Housing and Land Use Committee:
As owners of a condominium at Kaanapali Royal, we are writing to you to respectfully oppose the proposed short-term rental ban as drafted in Bill 9. The detrimental impact of this bill is clear and unsupported by evidence of meaningful benefit.
We are concerned that Bill 9 will only exacerbate the affordable housing issue and lead to financial ruin for Maui county and economic hardship for local residents in the years to come. Please consider the following:
1. Economic Devastation: Multiple studies, including the latest UHERO study, have been performed over the past few years and all of them have consistently shown a devastating impact to the local Maui economy from $900M to $1.3 billion, with 1,900-7,500 job losses, and significant tax revenue reductions.
2. Legal and Reputational Risks: The bill would lead to prolonged, expensive litigation against Maui County, harm Maui's reputation, and discourage tourism, all while negatively impacting residents. We have already seen some of the impacts since the announcement by Mayor Bissen last year.
3. TVR/STRs are an Inappropriate Option for Affordable Housing: Short-term rental properties, such as those in in Kaanapali Royal, are inappropriate for affordable housing due to high association dues, special assessments, and maintenance costs. For example, we estimate monthly rent for a 2-bedroom Kaanapali Royal unit at $7,300 (minimum) to cover mortgage payment ($3,500), AOAO dues ($1,600), insurance ($1,500 and likely to increase significantly), taxes ($400), and utilities ($300). Using HUD’s definition of affordable housing (30% of gross income), that would equate to a required yearly income of $288,000 for a long-term renter. Additionally, available home and condominium inventories have increased significantly over the past year but purchases have been stagnant.
4. Local Economic Support: Established resort areas, such as Kaanapali Royal, contribute significantly to local tax revenue while being compliant with local laws and professionally managed for nearly 50 years, supporting many local jobs and businesses. Additionally, vacation rental owners like ourselves support hundreds of local workers and businesses, from property management and maintenance to local artists and restaurants. Some examples include: My Perfect Stays, Allens Plumbing, CPR Air Conditioning, Honu, Times Market, Aloha Mix Plate, Whalers Village (all shops and restaurants), Joey’s Kitchen, Boss Frog’s, Fish Market Maui, Miso Phat, wood and hook carvers at the local farmers markets, and many of the shops that were in Lahaina (which we continue to support in other forms and look forward to supporting again when they rebuild).
We respectfully suggest looking at alternative solutions such as eliminating Maui’s red tape for building permits associated with affordable housing and streamlining permit processes. Other approaches include encouraging new construction methods and transforming underutilized commercial and government land for housing.
The proposed bill threatens local jobs and the economic welfare of our community. Punishing local business and residents by removing a source of revenue divides the community and puts more at risk than just the economic impacts.
For these reasons, we urge you to reject Bill 9 and ensure a strong future for Maui businesses and residents who are dependent on the income from TVR/STRs.
Aloha ia oukou. My name is Gabriel and I wish to forward my opposition to this bill. I work in construction and maintenance company that provides service to 8 resorts along Ka’anapali, Honaopi’ilani and Napili. Our company employs around 30 people and the owners of these STS contribute a lot of financial revenues not only to the county but to local businesses. I strongly believe this bill will NOT or ever bring affordable housing to the residents of the island. Cost of regular upgrades to these units and buildings are staggering to say the least. Plus their HOA fees alone are often out of reach…that does not even cover the other costs like utilities, taxes and insurance. I can only imagine how the cost oft the rent will be just be break even!
I urge the county to vote this bill down and use the property taxes to build affordable and sustainable housing.
Mahalo nui!
Aloha Members of the Housing and Land Use Committee,
I am writing to respectfully oppose the proposal to phase out short-term rentals (STRs) in apartment-zoned buildings on Maui. I was raised in Lahaina and attended King Kamehameha III Elementary School, Lahaina Intermediate School and Lahainaluna High School. We also lost our home in the Lahaina fire. My family and I have now relocated to Kahana to stay on the Westside of Maui so we can stay close to our family and friends while we wait to rebuild.
I work for a short-term property management company in Kapalua. Our company employs 13 happy local employees who we provide with competitive pay, 401k, medical, dental, and vision insurance. In the years that I have worked with this company, I have worked together firsthand with local small businesses, vendors, plumbers, handymen, cleaners, groundskeepers, pest treatment companies and other management companies on the daily basis. If Bill 9 passes, it will hurt our economy way harder than the Lahaina fire and Covid had already done. Some of us are still trying to recover and stay afloat from these tragedies, but if you take away our means of living, it will make life way more difficult than it already is. A lot of these small local businesses like ours will be forced to close down. If that happens rebuilding in Lahaina may not be a possibility my family, friends and colleagues who rely heavily on this economy. Please reconsider this phase out for I believe it will do more harm than good to hard working local people.
My husband and I own a 400sq ft studio condo in Wailea at Wailea Ekahi Village that we have operated as a legal short term rental since 2007. This is our only rental property and we purchased it so that we could live in Maui for a few months each year. We utilize short term rentals to cover the high operating and maintenance costs. Most of the rental income we collect goes directly back to Maui through spending at vendors, stores and taxes. While we are on Maui, we frequent local restaurants, groceries, farmers markets, home good shops, gyms, massage therapists, urgent cares, pharmacies and more. Our rental property helps support our local husband and wife cleaning team who provide work for 10 other cleaners.
Prior to us, the studio had one owner who purchased the property when it was built in 1976 and had used it for personal use a few months a year and vacation rentals since the time it was built.
Typically, the people we host are:
Retirees who come for a month or longer and want the comforts of home that a hotel does not provide
Family from the mainland coming to visit - for example, we’ve had mothers who live on the mainland who are returning home for the birth of a grandbaby and staying for several weeks (and couldn’t afford hotel rates and those returning for weddings and family celebrations
Couples who have been staying in our complex for 20+ years and have an emotional connection to this property
Honeymooners who can’t afford hotels and shop at the Wailea Market for groceries and cook at home or frequent Monkey Pod for a few happy hour dinners while spending their wedding money on a once-in-a-lifetime snorkel or fishing excursion with local businesses
I truly understand and appreciate the need for more affordable housing on Maui. It has been and continues to be our hope that our tax dollars would be supporting the construction of more permanently affordable housing and infrastructure.
Banning short term rentals will move Maui further away from achieving its housing goals by hurting the economy and not creating new housing. If short term rentals were disallowed, in our complex it would be highly unlikely that units would convert to long term rentals. The maintenance fees, periodic assessments and high costs make even a studio unit here unaffordable for long term rentals (and of course, very few people would live full time in a studio with no bedroom). Instead, it is likely that people far richer than us would purchase our studio and let it sit empty for 11 months a year. As a result, all of the spending that our studio currently generates to support local businesses would disappear.
All of this is without considering the loss of accommodation taxes that would result from a decrease in tourism. Our guests are unlikely to go to hotels instead - they are much more likely to go to another island or destination.
It is our sincere hope that the planning commission will reconsider its approach by not supporting a short term rental ban and instead direct the Counties time and financial resources toward building more permanently affordable housing for Maui.
Maui’s economy is tightly intertwined with tourism. The county depends on transient accommodation taxes for funding, and local businesses—whether restaurants, tour companies, or shops—rely heavily on visitor spending. Eliminating STRs abruptly could erode this revenue stream and jeopardize countless jobs supported by the tourism sector.
If county revenues and local employment dry up, essential services could suffer—schools, healthcare, infrastructure, public safety. My fear is that without those resources, towns like Kihei could begin to resemble a favela: underfunded, underserved, and increasingly divided.
Aloha Council Members,
Mahalo for allowing my wife and I to provide testimony in opposition to Bill 9 (2025), which would eliminate timeshares among other long-standing, legally operating short-term rentals. We recently celebrated our 30th anniversary at Kuleana Club--one such property--where we've owned a week since our honeymoon. Timeshare owners like us are not investors; we enjoy our week as often as possible, supporting local businesses, faithfully pay taxes and fees annually, all contributing to Maui's economy. And like so many others like us, we contributed to help the relief efforts after the devastating 2023 wildfire.
However, should the Bill pass, please, please, please retain the CD1 amendment, which would exempt timeshares. It is a fair and lawful solution, and at a minimum, safeguard to prevent serious harm to owners, workers, and the local economy.
Sincerely,
Stephen and Audrey Vrattos
Whitestone, New York
Kuleana Club Timeshare Owner: Unit 513, Week 19
The vision behind Polynesian Shores was brought to life by the late Senator Wadsworth Yee, who aimed to boost tourism in Maui and create job opportunities
for the community. Senator Yee, who passed away on May 9, 2012, was honored by Governor Neil Abercrombie, who ordered flags to be flown at half-staff in
recognition of his impactful leadership. As a veteran, public servant, businessman, and developer, Senator Yee's legacy continues to shape Hawaii today,
and he is greatly missed.
Polynesian Shores has always been intended for vacation rental use. It opened as
VACATION CONDOMINIUM APARTMENTS 1972
1. **One Bedroom (2 people)**
- $22.00 per day or $150 per week
- Minimum 3-day stay with a charge of $25 per day
2. **Two Bedroom (4 people)**
- $35.00 per day or $235 per week
- Minimum 3-day stay with a charge of $40 per day
Affordability for locals to rent is in excess of ability.
Legality of taking the fiduciary rights from the owners.
Financial collapse to our economy which in turn would end any need for additional affordable housing as no one would be here to work if the economy was reduced by 40+%.
Undesired by us locals who were in the fire and lost our homes. We don’t want to live in hotel style condos.
End this without any extensions or modifications and allow affordable housing to be built immediately. This is not a feasible option and is ruining our economy.
Mahalo
Kevin Eliason
Maui Paradise Properties
808-757-5222
Testimony Opposing Bill 9 – Short-Term Rental Phase-Out
Aloha Chair, Vice Chair, and Committee Members,
My name is Annette. My husband and I are both part-time Maui residents and the owners of a permitted short-term rental property in Maui County. I’m writing today to express our deep concern and strong opposition to Bill 9, which seeks to phase out more than 7,000 legal vacation rentals in apartment-zoned areas.
We are owners at Kahana Reef, a property that was built in 1972 specifically as a vacation apartment rental complex. It was originally zoned as a condo-hotel and has been used accordingly from the start. In 1989, the complex was rezoned as part of an apartment district and formally placed on the Minatoya list alongside other long-established condo-hotels that qualified for the apartment district exemption. Kahana Reef has operated as a legal short-term rental property for its entire existence, in compliance with zoning, tax, and operational requirements.
We have personally owned and operated our STR for over eight years, and in that time, we’ve established a loyal clientele with a significant percentage of repeat guests who return every year. Many of them come to participate in cultural events, surf contests, music festivals, and whale-watching tours. Others volunteer their time to local nonprofits and community cleanups, reflecting the kind of responsible tourism we should be encouraging.
We have worked hard to be responsible, community-minded owners. Our welcome guide highlights local restaurants and activity providers. We contract directly with local cleaning crews, electricians, and tradespeople who rely on STRs like ours for steady, year-round work. Over the years, these workers have become like family. Our guests consistently tell us that staying in a rental like ours gave them a more personal, authentic connection to the island. Many say they wouldn’t have visited at all if not for this kind of lodging option.
But this issue is much bigger than just our unit.
Independent studies from UHERO, TravelTech, and others paint a stark picture of what this bill would do to Maui’s economy:
Visitor spending would fall by approximately $900 million per year, according to UHERO. That is about 15 percent of the island’s tourism economy.
That drop would shrink Maui County’s GDP by roughly 4 percent.
At least 1,900 jobs would be lost, many of them held by the exact workers and small business owners this bill claims to protect.
County tax revenue could decline by $60 million annually in property taxes alone. Add in GET and TAT losses, and the total impact could reach $281 million in lost annual county revenue.
State tax losses could exceed $137 million.
Realtor.com estimates that eliminating legal STRs would reduce vacation lodging capacity by up to 47 percent, driving tourists elsewhere and concentrating demand into already stressed resort zones.
Meanwhile, a 2024 SMS Research poll found that only 12 percent of Maui residents support eliminating all legal vacation rentals. In that same survey, 77 percent expressed concern that removing STRs would significantly reduce the tax revenue used for essential public services.
We understand that housing availability is a crisis on this island but removing thousands of legal units that are not zoned for residential living and cannot easily or affordably be converted will not solve the problem. What it will do is damage the livelihoods of working people, reduce public revenue, and push visitors’ dollars toward other islands or out of the state entirely.
There are smarter solutions:
Allow all codified legal STRs to continue operating as originally intended
Cap total legal STRs at current levels
Enforce the shutdown of illegal STRs
Continue building affordable housing units using STR tax dollars, and ensure those funds are used only for housing
In addition, the County of Maui has the ability to build its way out of the housing shortage if it chooses to. The county already collects substantial revenue through the General Excise and Transient Accommodations Tax. These funds can be used to incentivize and subsidize affordable housing development. The tools are in place. The county has the authority to fast-track permitting, ease zoning restrictions, and prioritize housing construction. What is missing is not the ability, but the political will.
Finally, this bill sets a dangerous precedent. The Mayor and County Council are actively picking winners and losers in the economy. Legal STR owners who have followed the rules and invested in their properties will suffer serious financial harm, and the effects will ripple across the entire Maui economy. From workers and small businesses to public services, this bill risks creating more harm than it claims to prevent.
This bill feels rushed, punitive, and based more on politics than data. I respectfully urge the Council to stop this bill and review the economic consequences carefully, and work with owners like us and the local community to find a balanced path forward that protects our economy, supports the workforce, and ensures STRs meet high community standards.
During the meeting last year with the Mayor's committee while I was giving testimony the members muted their microphones while members of Lahaina Strong threatened to kill me online. I could see the members laughing and talking amongst themselves. They were not interested in listening or even trying to understand what is happening or paying attention to the online abuse from LS. I urge you to start the meeting encouraging people to be respectful. We all want housing for the locals, and honestly we should be way further along than we are currently. Lets work together for a real solution. The hotels should be tasked with drilling wells and building local affordable housing since they send all their money back to the mainland. Please don't kill me physically, mentally, or financially.
Dear Chair Kama and Members of the Housing and Land Use Committee,
Maui is facing a serious housing crisis, and it's clear that action is needed. But banning short-term rentals (STRs) across the board is not the answer. Tourism remains the backbone of our local economy, and STRs play a key role—not only in generating transient accommodation tax revenue, but also in supporting local jobs, services, and small businesses that rely on visitor spending.
The idea that converting STR units into long-term rentals will fix our housing shortage overlooks a critical issue: these units were never intended for full-time living. They often lack the space, layout, and functionality required for families or working residents. Turning them into long-term housing may offer short-term political satisfaction, but it won’t deliver the lasting solutions our community needs.
Real progress requires long-term thinking. If we want to reduce our reliance on tourism, we need to invest in new economic pathways through education, infrastructure, and workforce development. That’s a decades-long effort, not a quick fix.
Instead of dismantling parts of the tourism economy, we should harness it. By reinvesting transient tax revenue into long-term bonds and funding purpose-built workforce housing, we can meet our housing needs without undermining the island’s primary economic engine. This type of housing—designed specifically for local residents—offers a far more realistic and effective solution.
Ultimately, we need balance: addressing housing needs without destabilizing the very economy that supports so many of our residents. Let’s focus on creating new opportunities, not simply shifting existing ones around.
Ron Rascia
I am an owner in The Makani A Kai AOAO. I have been an owner since 2003. We have been a short term rental since that time. The prior owner is a relative and they were a short term rental for the 12 years prior. Since day one, I have been a registered tax payer for TA and GE. I agree that all short term rentals should be compliant with the tax collection obligation. Ma'alaea is a unique, self contained visitor orientated community. The most recent continued allowance features such as length of time prior rental history and tax ccompliance all apply to my unit. An extension and modification of the implementation of the proposed bill will aid in the stabilization of the market. Further the combined effect from the Ma'alaea street buildings is several million dollars. Thank you for your time.
Ronald Rascia Makani A Kai A-10
county.clerk@mauicounty.us
1:00 PM, Jun 8 at 1:00 PM
Aloha Chair, Vice Chair, and Council Members,
Mahalo for the opportunity to testify. My name is Satti Brown, a Maui homeowner and taxpayer, here to voice my strong opposition to Bill 9, which seeks to remove approximately 2,000 units from the Minatoya list by banning their use as short‑term rentals.
1. Property rights are at stake. These units were legally permitted and grandfathered. Revoking their use now amounts to an uncompensated, government-imposed taking—one that penalizes responsible homeowners and erodes confidence in our local democracy.
2. Bill 9’s housing benefits are small and misdirected.
Across the U.S., nearly half of renters pay over 30% of their income toward housing. Inflation has dramatically outpaced wage growth, exacerbating housing insecurity nationwide.
In Lahaina, post-fire rent increases reached 6–14%, with 91% of displaced households still lacking permanent housing—a stark reflection of supply shortages, not STR allocation .
3. Past STR bans offer limited lessons.
• In New Orleans, banning STR near the French Quarter led to a 30% drop in housing prices—but STR simply migrated to adjacent areas without easing overall supply or rental costs.
• In Berlin and Barcelona, despite early full bans, housing prices and displacement persisted, as platforms and investors outmaneuvered local enforcement .
⇒ These cases teach us that bans on existing, legally operated STRs often shift rather than solve housing issues, and unintentionally disadvantage local homeowners.
3. Maui is approving new hotel and recovery-centered housing developments—yet Bill 9 strips rights from private homeowners without addressing the underlying supply crisis. For example, state-supported projects like repurposing the former Maui Sun Hotel and approving teacher housing are direct solutions already underway.
Fact-based alternative solutions, with international success:
Cap non-primary residence STRs, not legal owners.
Seattle introduced a two‑unit cap per host and paired it with affordable‑housing incentives; while not perfect, it contained investor conversions without punishing owner-occupied rentals.
British Columbia restricted STRs in principal homes only—leading to average rent declines: in Vancouver, rents dropped by \$147/month after implementation.
Implement graduated permit caps with enforcement.
Amsterdam and Paris limit STRs to 30 – 120 nights/year with strict registration—which helped contain declines in full-time housing stock
Use STR tax revenues to fund affordable housing.
Montreal and Tokyo have successfully redirected tourist and STR taxes into emergency and long-term housing programs
These models avoided blanket bans, preserving owner flexibility while directly targeting investor-driven STR growth, and funding new affordable units.
Key takeaways Maui can learn from:
What Maui Should Do | Why It Matters
Cap non-primary STRs | Preserves homeowner rights while limiting investor conversions.
Impose permitting + registration | Enables tracking and enforcement of stock and compliance.
Levy transient-rental tax | Raises revenue to directly fund housing and enforcement budgets.
Pair with focused housing projects | Builds supply to meet short- and long-term needs without expropriating private owners.
In summary:
Bill 9 is a forced taking, breaking trust by punishing grandfathered homeowners. Evidence from case studies shows that bans have limited effect and often misfire—displacing STRs or destabilizing markets. Balanced, targeted policies—like caps, taxes, and better enforcement—offer a proven path forward without stripping rights or destabilizing owner equity.
Mahalo nui loa for your time. I strongly urge Council Members to vote NO on Bill 9 and adopt balanced, data-driven policies that protect property rights and meaningfully expand housing for Maui’s families and fire survivors.
Dear Honorable Council Members,
My name is Dianne Rascia. I have been an owner of a STR condo in Maui County since 2002, and I oppose HLU-4 Bill 9. The operation of this condo supports the local economy through the use of local vendors, vendors we consider to be friends. One of the vendors has already begun to move off island due to the very likely negative impact on their business and available work if this bill is passed. I don't see this bill as a long-term solution to a housing issue that was in existence before the wild fires, and it is unfair to shift new problems to local residents who will be left to look for work elsewhere. It is too great an impact to them.
Thank you for your consideration of this opposition viewpoint.
To: Chair Kama, Co-Chair U’u-Hodgins, and Committee Members,
I respectfully ask you to oppose Bill 9, which seeks to phase out legally operating short-term rentals in apartment zoned districts. I see the intent of this bill address our affordable home crisis, but this bill does not guarantee one affordable unit for a local family. This bill will cause only cause devasting financial hardship to local families participating in our number one industry, tourism, many of these folks are entrepreneurial small business owners who have reached a financial threshold to be able to afford to live on Maui by running their own businesses. These are $40.00 an hour or higher paying jobs. These jobs allow for folks to have flexible schedules for their families. A flexible schedule allows time for kids in school, to caretake for a senior, and participate in volunteering or community driven activites, or just find time for yourself. Entrepreneurs are doers, busy folks, and contributing so much to the community that is being unsaid in this conversation.
I read the Mayor’s talking points regarding this phase out bill, and most don’t match the data:
The claim that “TVR’s have displaced local families and driven up rents.”
According to UHERO, even with a 25% decline in prices the units affected by this policy would unaffordable to over 80% of Maui households.
The claim that, “These jobs will shift to the hotels, or other jobs such as healthcare, construction, agriculture, education, County jobs, or such.
While shifting to these jobs may be possible, Hotel jobs have decreased since 2001 by 24%, according to DBEDT, while TRV’s support somewhere between 10,000-15,000 local jobs that root in to every job sector such as grocery store jobs, food preparation, local products and goods, accommodations, cleaning of so many levels, construction and repair, agriculture, fruit and flowers, landscaping, accounting, air conditioning, pool service, cafes and on and on. Every store on Maui relies on tourism in some way.
What bothers me most is the fact that all of the hotels are owned by folks by off island corporations that reap money in and move it off island. While most of the STR units are owned by folks out of state, the fact that 15-20% are owned by Hawaii folks is important, as this is one sector that local folks can participate in tourism. Additionally, all of these STR units are all managed by folks that like here! Hotels have spent over 2 billion dollars lobbying in the last 5 years, and I can see how this bill is part of their 2 billion lobbying efforts. Their real property tax rate is set lower that any STRH/STR rate. You voted to a raise of .25 cents to $12.00 this year, while not knowing how the Hotel appeals will turn out for this year as every year they appeal and get their assessed rates lowered.
What happened to be local, buy local, support local? Small businesses should be celebrated and congratulated if they are operating, contributing to the economy and supporting their family.
Aloha Chair Kama, Co-Chair Uʻu-Hodgins, and Members of the Housing and Land Use Committee,
Mahalo for the opportunity to provide testimony in STRONG OPPOSITION to Bill 9, CD1, which phases out nearly 7,000 transient vacation rentals (TVRs) in apartment districts by 2030 (Section 19.12.070). Airbnb understands the need to balance fair vacation rental policies with effective housing policies. While we commend the Council’s reasonable decision to extend the time period for action, Bill 9 still risks catastrophic economic and housing consequences.
Vacation rentals are an important part of Maui’s economy, with guest spending generating more than $2.2 billion in economic activity for the island. What’s more, numerous studies have concluded there will be devastating economic losses if TVRs are phased out. Conservative estimates from the UHERO Report commissioned by Mayor Bissen estimates a 4% reduction of real GDP. Additionally, a 2024 Travel Tech report found a phase-out of Minatoya listings could slash more than $1.3 billion in annual economic output, devastating Maui’s small businesses and restaurants. This law would destroy enormous amounts of the island’s economic activity while creating additional costs to implement, with no clear indication it would improve long-term housing availability.
More than 20 months ago, New York City passed one of the most restrictive short-term rental laws in the world with the promise of improving housing availability and affordability. It has failed on that promise and instead, rents continue to increase hitting record highs and vacancy rents remain unchanged, while hotel prices surge to record heights, pricing out visitors including families. While many communities continue to benefit from short-term rentals, a new study by leading economic consulting firm Charles River Associates found that over-regulation may cost some major cities billions of dollars – including New York City who alone forfeited an estimated $82 million that could have been used to build more affordable housing and help alleviate the ongoing housing crisis. With Bill 9, Maui risks stalling economic recovery, prioritizing the business interests of hotels over local small businesses.
TVR’s are vital to Maui County’s ability to keep taxes low for residents while funding essential public services. UHERO estimates that property tax receipts would fall by $60 million annually and total tax receipts would fall by $75 million annually. This revenue allows Maui to maintain some of the nation’s lowest owner-occupied property tax rates, easing the burden on local homeowners and supporting schools, housing programs, and fire recovery. Without these funds, residents face higher taxes or reduced services, threatening the county’s fiscal stability. Bill 9’s phase-out would carve a gaping hole in the budget, starving the very funds needed to build more housing.
Bill 9 jeopardizes local jobs supported by guests. Vacation rentals support local jobs through businesses that provide cleaning, maintenance, and hospitality. The UHERO report conservatively estimates a minimum of 1,900 job losses from a 7,000-unit phase-out. The 2024 Travel Tech report estimates a loss of 7,800 jobs. Bill 9 would shutter small businesses - family-owned restaurants, tour boats, flower shops - that rely on guests welcomed by local hosts. While we understand the need to address housing concerns,
Bill 9 delivers few homes, massive job losses, and vacant condos, repeating the misguided policies of other jurisdictions like New York. We urge the Council not to pass this bill and instead pursue policies that deliver real meaningful housing solutions, such as using TVR tax revenue to fund affordable workforce housing construction and critical infrastructure. This approach preserves local jobs and strengthens Maui’s economy.
Aloha Chair, Vice-Chair, and Committee Members,
I’m Cindy Nakea, and I own two vacation rentals in Lahaina. I’m opposed to the proposal to prohibit short-term rentals.
I’m very much for rebuilding the community following the wildfires. However, this will harm local workers that do cleaning, maintenance, etc., with a sudden loss in income. It would create hardship for my family as well.
I urge you to take an approach that will not suddenly undercut livelihood but work with all the varied voices in the issue to protect jobs as well as help the community to once again grow.
Mahalo for your consideration.
Sincerely,
Cindy Nakea
Kahana Vacation Rentals
Aloha Chair, Vice Chair, and Committee Members,
My name is Rebecca Douglas. My in-laws own a STR condo in Maui County that has been a blessing for our family. The legislation that is being introduced would be detrimental to their ability to keep this second home for our family. When we've been able to visit we've loved getting to visit all of the local restaurants and shops (my husband even got a large tattoo from a local last time we were there). We got to immerse our children in the Hawaiian culture and left feeling so much more connected to your people and land. My in-laws have a great love for Maui and have ohana there who they visit frequently. They have spend a great deal of money already not just purchasing the condo, but updating it and maintaining it, while keeping it available for ohana and tourists who want to visit the island. Them being forced to sell this property - that isn't even a viable layout or price point for a single family occupant home - would end our ability to visit your wonderful island and their ability to spend time with their ohana. This condo was purchased as a retirement home for them to spend a great deal of time at and to share with their children and grandchildren. Its heartbreaking to think about this being torn from them, and us, because of legislation that truly does not have the best interest, both personal and financial, for the residents of your great island. I hope and pray that the voices of the thousands and thousands of residents, who see the terrible effect this would have on your economy and tourism, are heard. This legislation does not seem to take the best interests of your people to heart. Please reconsider for the sake of your people.
Thank you for your time and efforts,
Rebecca Douglas
Aloha,
My wife and I bought a one bedroom condo in Maalaea 10 years ago with plans to live on Maui part time. We are both retired and on a fixed income. Our STR helps supplement our retirement income and allows us to live on island part time. We bought the condo as part of our long term plan for retirement income. If the county bans STR’s it will impact our retirement income and affect our life long plans.
Thank you,
Mike
Dear Chair Kama, Vice Chair Uʻu-Hodgins and Members of the Housing and Land Use Committee:
As owners of a condominium at Kaanapali Royal, we are writing to you to respectfully oppose the proposed short-term rental ban as drafted in Bill 9. The detrimental impact of this bill is clear and unsupported by evidence of meaningful benefit.
We are concerned that Bill 9 will only exacerbate the affordable housing issue and lead to financial ruin for Maui county and economic hardship for local residents in the years to come. Please consider the following:
1. Economic Devastation: Multiple studies, including the latest UHERO study, have been performed over the past few years and all of them have consistently shown a devastating impact to the local Maui economy from $900M to $1.3 billion, with 1,900-7,500 job losses, and significant tax revenue reductions.
2. Legal and Reputational Risks: The bill would lead to prolonged, expensive litigation against Maui County, harm Maui's reputation, and discourage tourism, all while negatively impacting residents. We have already seen some of the impacts since the announcement by Mayor Bissen last year.
3. TVR/STRs are an Inappropriate Option for Affordable Housing: Short-term rental properties, such as those in in Kaanapali Royal, are inappropriate for affordable housing due to high association dues, special assessments, and maintenance costs. For example, we estimate monthly rent for a 2-bedroom Kaanapali Royal unit at $7,300 (minimum) to cover mortgage payment ($3,500), AOAO dues ($1,600), insurance ($1,500 and likely to increase significantly), taxes ($400), and utilities ($300). Using HUD’s definition of affordable housing (30% of gross income), that would equate to a required yearly income of $288,000 for a long-term renter. Additionally, available home and condominium inventories have increased significantly over the past year but purchases have been stagnant.
4. Local Economic Support: Established resort areas, such as Kaanapali Royal, contribute significantly to local tax revenue while being compliant with local laws and professionally managed for nearly 50 years, supporting many local jobs and businesses. Additionally, vacation rental owners like ourselves support hundreds of local workers and businesses, from property management and maintenance to local artists and restaurants. Some examples include: My Perfect Stays, Allens Plumbing, CPR Air Conditioning, Honu, Times Market, Aloha Mix Plate, Whalers Village (all shops and restaurants), Joey’s Kitchen, Boss Frog’s, Fish Market Maui, Miso Phat, wood and hook carvers at the local farmers markets, and many of the shops that were in Lahaina (which we continue to support in other forms and look forward to supporting again when they rebuild).
We respectfully suggest looking at alternative solutions such as eliminating Maui’s red tape for building permits associated with affordable housing and streamlining permit processes. Other approaches include encouraging new construction methods and transforming underutilized commercial and government land for housing.
The proposed bill threatens local jobs and the economic welfare of our community. Punishing local business and residents by removing a source of revenue divides the community and puts more at risk than just the economic impacts.
For these reasons, we urge you to reject Bill 9 and ensure a strong future for Maui businesses and residents who are dependent on the income from TVR/STRs.
Respectfully,
Michael
Aloha ia oukou. My name is Gabriel and I wish to forward my opposition to this bill. I work in construction and maintenance company that provides service to 8 resorts along Ka’anapali, Honaopi’ilani and Napili. Our company employs around 30 people and the owners of these STS contribute a lot of financial revenues not only to the county but to local businesses. I strongly believe this bill will NOT or ever bring affordable housing to the residents of the island. Cost of regular upgrades to these units and buildings are staggering to say the least. Plus their HOA fees alone are often out of reach…that does not even cover the other costs like utilities, taxes and insurance. I can only imagine how the cost oft the rent will be just be break even!
I urge the county to vote this bill down and use the property taxes to build affordable and sustainable housing.
Mahalo nui!
Aloha Members of the Housing and Land Use Committee,
I am writing to respectfully oppose the proposal to phase out short-term rentals (STRs) in apartment-zoned buildings on Maui. I was raised in Lahaina and attended King Kamehameha III Elementary School, Lahaina Intermediate School and Lahainaluna High School. We also lost our home in the Lahaina fire. My family and I have now relocated to Kahana to stay on the Westside of Maui so we can stay close to our family and friends while we wait to rebuild.
I work for a short-term property management company in Kapalua. Our company employs 13 happy local employees who we provide with competitive pay, 401k, medical, dental, and vision insurance. In the years that I have worked with this company, I have worked together firsthand with local small businesses, vendors, plumbers, handymen, cleaners, groundskeepers, pest treatment companies and other management companies on the daily basis. If Bill 9 passes, it will hurt our economy way harder than the Lahaina fire and Covid had already done. Some of us are still trying to recover and stay afloat from these tragedies, but if you take away our means of living, it will make life way more difficult than it already is. A lot of these small local businesses like ours will be forced to close down. If that happens rebuilding in Lahaina may not be a possibility my family, friends and colleagues who rely heavily on this economy. Please reconsider this phase out for I believe it will do more harm than good to hard working local people.
Mahalo for your time,
Gerald Castaneto
My husband and I own a 400sq ft studio condo in Wailea at Wailea Ekahi Village that we have operated as a legal short term rental since 2007. This is our only rental property and we purchased it so that we could live in Maui for a few months each year. We utilize short term rentals to cover the high operating and maintenance costs. Most of the rental income we collect goes directly back to Maui through spending at vendors, stores and taxes. While we are on Maui, we frequent local restaurants, groceries, farmers markets, home good shops, gyms, massage therapists, urgent cares, pharmacies and more. Our rental property helps support our local husband and wife cleaning team who provide work for 10 other cleaners.
Prior to us, the studio had one owner who purchased the property when it was built in 1976 and had used it for personal use a few months a year and vacation rentals since the time it was built.
Typically, the people we host are:
Retirees who come for a month or longer and want the comforts of home that a hotel does not provide
Family from the mainland coming to visit - for example, we’ve had mothers who live on the mainland who are returning home for the birth of a grandbaby and staying for several weeks (and couldn’t afford hotel rates and those returning for weddings and family celebrations
Couples who have been staying in our complex for 20+ years and have an emotional connection to this property
Honeymooners who can’t afford hotels and shop at the Wailea Market for groceries and cook at home or frequent Monkey Pod for a few happy hour dinners while spending their wedding money on a once-in-a-lifetime snorkel or fishing excursion with local businesses
I truly understand and appreciate the need for more affordable housing on Maui. It has been and continues to be our hope that our tax dollars would be supporting the construction of more permanently affordable housing and infrastructure.
Banning short term rentals will move Maui further away from achieving its housing goals by hurting the economy and not creating new housing. If short term rentals were disallowed, in our complex it would be highly unlikely that units would convert to long term rentals. The maintenance fees, periodic assessments and high costs make even a studio unit here unaffordable for long term rentals (and of course, very few people would live full time in a studio with no bedroom). Instead, it is likely that people far richer than us would purchase our studio and let it sit empty for 11 months a year. As a result, all of the spending that our studio currently generates to support local businesses would disappear.
All of this is without considering the loss of accommodation taxes that would result from a decrease in tourism. Our guests are unlikely to go to hotels instead - they are much more likely to go to another island or destination.
It is our sincere hope that the planning commission will reconsider its approach by not supporting a short term rental ban and instead direct the Counties time and financial resources toward building more permanently affordable housing for Maui.
Mahalo,
Laura and David Hutchings
Maui’s economy is tightly intertwined with tourism. The county depends on transient accommodation taxes for funding, and local businesses—whether restaurants, tour companies, or shops—rely heavily on visitor spending. Eliminating STRs abruptly could erode this revenue stream and jeopardize countless jobs supported by the tourism sector.
If county revenues and local employment dry up, essential services could suffer—schools, healthcare, infrastructure, public safety. My fear is that without those resources, towns like Kihei could begin to resemble a favela: underfunded, underserved, and increasingly divided.
John Steinbach
Aloha Council Members,
Mahalo for allowing my wife and I to provide testimony in opposition to Bill 9 (2025), which would eliminate timeshares among other long-standing, legally operating short-term rentals. We recently celebrated our 30th anniversary at Kuleana Club--one such property--where we've owned a week since our honeymoon. Timeshare owners like us are not investors; we enjoy our week as often as possible, supporting local businesses, faithfully pay taxes and fees annually, all contributing to Maui's economy. And like so many others like us, we contributed to help the relief efforts after the devastating 2023 wildfire.
However, should the Bill pass, please, please, please retain the CD1 amendment, which would exempt timeshares. It is a fair and lawful solution, and at a minimum, safeguard to prevent serious harm to owners, workers, and the local economy.
Sincerely,
Stephen and Audrey Vrattos
Whitestone, New York
Kuleana Club Timeshare Owner: Unit 513, Week 19
The vision behind Polynesian Shores was brought to life by the late Senator Wadsworth Yee, who aimed to boost tourism in Maui and create job opportunities
for the community. Senator Yee, who passed away on May 9, 2012, was honored by Governor Neil Abercrombie, who ordered flags to be flown at half-staff in
recognition of his impactful leadership. As a veteran, public servant, businessman, and developer, Senator Yee's legacy continues to shape Hawaii today,
and he is greatly missed.
Polynesian Shores has always been intended for vacation rental use. It opened as
VACATION CONDOMINIUM APARTMENTS 1972
1. **One Bedroom (2 people)**
- $22.00 per day or $150 per week
- Minimum 3-day stay with a charge of $25 per day
2. **Two Bedroom (4 people)**
- $35.00 per day or $235 per week
- Minimum 3-day stay with a charge of $40 per day
The. Hotels. Provide the. Locals. With. Proper.benefits
Paid vacation.sick leave
Maternity.etc..retirement Plans
Equal opportunity..Promotions
And raises..healthy work.places..and proper.management and oversight..AirBnB..give the
Locals. Zero. Career. Opportunity..zero..retirement
Health. Dental. Vision.plans
Zero..nothing..only.under.the
Table.cash..and tax evasion.
Just.taking advantage.or the poor..workers..only the put of
State..owners of AirBnB.are
Laughing.in the.Bank lines
The..workers.are. paid crumbs
And. Zero..benefits..
Thank God for. Proper providers..like..Kealani.4Seasons.Hyatt.RitzCarlton.Marriot.Sheration.Andaz..the list goes. On..
I oppose this based on the following:
Affordability for locals to rent is in excess of ability.
Legality of taking the fiduciary rights from the owners.
Financial collapse to our economy which in turn would end any need for additional affordable housing as no one would be here to work if the economy was reduced by 40+%.
Undesired by us locals who were in the fire and lost our homes. We don’t want to live in hotel style condos.
End this without any extensions or modifications and allow affordable housing to be built immediately. This is not a feasible option and is ruining our economy.
Mahalo
Kevin Eliason
Maui Paradise Properties
808-757-5222
Testimony Opposing Bill 9 – Short-Term Rental Phase-Out
Aloha Chair, Vice Chair, and Committee Members,
My name is Annette. My husband and I are both part-time Maui residents and the owners of a permitted short-term rental property in Maui County. I’m writing today to express our deep concern and strong opposition to Bill 9, which seeks to phase out more than 7,000 legal vacation rentals in apartment-zoned areas.
We are owners at Kahana Reef, a property that was built in 1972 specifically as a vacation apartment rental complex. It was originally zoned as a condo-hotel and has been used accordingly from the start. In 1989, the complex was rezoned as part of an apartment district and formally placed on the Minatoya list alongside other long-established condo-hotels that qualified for the apartment district exemption. Kahana Reef has operated as a legal short-term rental property for its entire existence, in compliance with zoning, tax, and operational requirements.
We have personally owned and operated our STR for over eight years, and in that time, we’ve established a loyal clientele with a significant percentage of repeat guests who return every year. Many of them come to participate in cultural events, surf contests, music festivals, and whale-watching tours. Others volunteer their time to local nonprofits and community cleanups, reflecting the kind of responsible tourism we should be encouraging.
We have worked hard to be responsible, community-minded owners. Our welcome guide highlights local restaurants and activity providers. We contract directly with local cleaning crews, electricians, and tradespeople who rely on STRs like ours for steady, year-round work. Over the years, these workers have become like family. Our guests consistently tell us that staying in a rental like ours gave them a more personal, authentic connection to the island. Many say they wouldn’t have visited at all if not for this kind of lodging option.
But this issue is much bigger than just our unit.
Independent studies from UHERO, TravelTech, and others paint a stark picture of what this bill would do to Maui’s economy:
Visitor spending would fall by approximately $900 million per year, according to UHERO. That is about 15 percent of the island’s tourism economy.
That drop would shrink Maui County’s GDP by roughly 4 percent.
At least 1,900 jobs would be lost, many of them held by the exact workers and small business owners this bill claims to protect.
County tax revenue could decline by $60 million annually in property taxes alone. Add in GET and TAT losses, and the total impact could reach $281 million in lost annual county revenue.
State tax losses could exceed $137 million.
Realtor.com estimates that eliminating legal STRs would reduce vacation lodging capacity by up to 47 percent, driving tourists elsewhere and concentrating demand into already stressed resort zones.
Meanwhile, a 2024 SMS Research poll found that only 12 percent of Maui residents support eliminating all legal vacation rentals. In that same survey, 77 percent expressed concern that removing STRs would significantly reduce the tax revenue used for essential public services.
We understand that housing availability is a crisis on this island but removing thousands of legal units that are not zoned for residential living and cannot easily or affordably be converted will not solve the problem. What it will do is damage the livelihoods of working people, reduce public revenue, and push visitors’ dollars toward other islands or out of the state entirely.
There are smarter solutions:
Allow all codified legal STRs to continue operating as originally intended
Cap total legal STRs at current levels
Enforce the shutdown of illegal STRs
Continue building affordable housing units using STR tax dollars, and ensure those funds are used only for housing
In addition, the County of Maui has the ability to build its way out of the housing shortage if it chooses to. The county already collects substantial revenue through the General Excise and Transient Accommodations Tax. These funds can be used to incentivize and subsidize affordable housing development. The tools are in place. The county has the authority to fast-track permitting, ease zoning restrictions, and prioritize housing construction. What is missing is not the ability, but the political will.
Finally, this bill sets a dangerous precedent. The Mayor and County Council are actively picking winners and losers in the economy. Legal STR owners who have followed the rules and invested in their properties will suffer serious financial harm, and the effects will ripple across the entire Maui economy. From workers and small businesses to public services, this bill risks creating more harm than it claims to prevent.
This bill feels rushed, punitive, and based more on politics than data. I respectfully urge the Council to stop this bill and review the economic consequences carefully, and work with owners like us and the local community to find a balanced path forward that protects our economy, supports the workforce, and ensures STRs meet high community standards.
Mahalo for your time and consideration.
Annette Welpman
STR Owner and Part-Time Maui Resident
During the meeting last year with the Mayor's committee while I was giving testimony the members muted their microphones while members of Lahaina Strong threatened to kill me online. I could see the members laughing and talking amongst themselves. They were not interested in listening or even trying to understand what is happening or paying attention to the online abuse from LS. I urge you to start the meeting encouraging people to be respectful. We all want housing for the locals, and honestly we should be way further along than we are currently. Lets work together for a real solution. The hotels should be tasked with drilling wells and building local affordable housing since they send all their money back to the mainland. Please don't kill me physically, mentally, or financially.
Dear Chair Kama and Members of the Housing and Land Use Committee,
Maui is facing a serious housing crisis, and it's clear that action is needed. But banning short-term rentals (STRs) across the board is not the answer. Tourism remains the backbone of our local economy, and STRs play a key role—not only in generating transient accommodation tax revenue, but also in supporting local jobs, services, and small businesses that rely on visitor spending.
The idea that converting STR units into long-term rentals will fix our housing shortage overlooks a critical issue: these units were never intended for full-time living. They often lack the space, layout, and functionality required for families or working residents. Turning them into long-term housing may offer short-term political satisfaction, but it won’t deliver the lasting solutions our community needs.
Real progress requires long-term thinking. If we want to reduce our reliance on tourism, we need to invest in new economic pathways through education, infrastructure, and workforce development. That’s a decades-long effort, not a quick fix.
Instead of dismantling parts of the tourism economy, we should harness it. By reinvesting transient tax revenue into long-term bonds and funding purpose-built workforce housing, we can meet our housing needs without undermining the island’s primary economic engine. This type of housing—designed specifically for local residents—offers a far more realistic and effective solution.
Ultimately, we need balance: addressing housing needs without destabilizing the very economy that supports so many of our residents. Let’s focus on creating new opportunities, not simply shifting existing ones around.
Sincerely,
Raphael Wellerstein
Maui Resident since 1992
Ron Rascia
I am an owner in The Makani A Kai AOAO. I have been an owner since 2003. We have been a short term rental since that time. The prior owner is a relative and they were a short term rental for the 12 years prior. Since day one, I have been a registered tax payer for TA and GE. I agree that all short term rentals should be compliant with the tax collection obligation. Ma'alaea is a unique, self contained visitor orientated community. The most recent continued allowance features such as length of time prior rental history and tax ccompliance all apply to my unit. An extension and modification of the implementation of the proposed bill will aid in the stabilization of the market. Further the combined effect from the Ma'alaea street buildings is several million dollars. Thank you for your time.
Ronald Rascia Makani A Kai A-10
Opposition to Bill 9
county.clerk@mauicounty.us
1:00 PM, Jun 8 at 1:00 PM
Aloha Chair, Vice Chair, and Council Members,
Mahalo for the opportunity to testify. My name is Satti Brown, a Maui homeowner and taxpayer, here to voice my strong opposition to Bill 9, which seeks to remove approximately 2,000 units from the Minatoya list by banning their use as short‑term rentals.
1. Property rights are at stake. These units were legally permitted and grandfathered. Revoking their use now amounts to an uncompensated, government-imposed taking—one that penalizes responsible homeowners and erodes confidence in our local democracy.
2. Bill 9’s housing benefits are small and misdirected.
Across the U.S., nearly half of renters pay over 30% of their income toward housing. Inflation has dramatically outpaced wage growth, exacerbating housing insecurity nationwide.
In Lahaina, post-fire rent increases reached 6–14%, with 91% of displaced households still lacking permanent housing—a stark reflection of supply shortages, not STR allocation .
3. Past STR bans offer limited lessons.
• In New Orleans, banning STR near the French Quarter led to a 30% drop in housing prices—but STR simply migrated to adjacent areas without easing overall supply or rental costs.
• In Berlin and Barcelona, despite early full bans, housing prices and displacement persisted, as platforms and investors outmaneuvered local enforcement .
⇒ These cases teach us that bans on existing, legally operated STRs often shift rather than solve housing issues, and unintentionally disadvantage local homeowners.
3. Maui is approving new hotel and recovery-centered housing developments—yet Bill 9 strips rights from private homeowners without addressing the underlying supply crisis. For example, state-supported projects like repurposing the former Maui Sun Hotel and approving teacher housing are direct solutions already underway.
Fact-based alternative solutions, with international success:
Cap non-primary residence STRs, not legal owners.
Seattle introduced a two‑unit cap per host and paired it with affordable‑housing incentives; while not perfect, it contained investor conversions without punishing owner-occupied rentals.
British Columbia restricted STRs in principal homes only—leading to average rent declines: in Vancouver, rents dropped by \$147/month after implementation.
Implement graduated permit caps with enforcement.
Amsterdam and Paris limit STRs to 30 – 120 nights/year with strict registration—which helped contain declines in full-time housing stock
Use STR tax revenues to fund affordable housing.
Montreal and Tokyo have successfully redirected tourist and STR taxes into emergency and long-term housing programs
These models avoided blanket bans, preserving owner flexibility while directly targeting investor-driven STR growth, and funding new affordable units.
Key takeaways Maui can learn from:
What Maui Should Do | Why It Matters
Cap non-primary STRs | Preserves homeowner rights while limiting investor conversions.
Impose permitting + registration | Enables tracking and enforcement of stock and compliance.
Levy transient-rental tax | Raises revenue to directly fund housing and enforcement budgets.
Pair with focused housing projects | Builds supply to meet short- and long-term needs without expropriating private owners.
In summary:
Bill 9 is a forced taking, breaking trust by punishing grandfathered homeowners. Evidence from case studies shows that bans have limited effect and often misfire—displacing STRs or destabilizing markets. Balanced, targeted policies—like caps, taxes, and better enforcement—offer a proven path forward without stripping rights or destabilizing owner equity.
Mahalo nui loa for your time. I strongly urge Council Members to vote NO on Bill 9 and adopt balanced, data-driven policies that protect property rights and meaningfully expand housing for Maui’s families and fire survivors.
Mahalo,
Satti Brown
Dear Honorable Council Members,
My name is Dianne Rascia. I have been an owner of a STR condo in Maui County since 2002, and I oppose HLU-4 Bill 9. The operation of this condo supports the local economy through the use of local vendors, vendors we consider to be friends. One of the vendors has already begun to move off island due to the very likely negative impact on their business and available work if this bill is passed. I don't see this bill as a long-term solution to a housing issue that was in existence before the wild fires, and it is unfair to shift new problems to local residents who will be left to look for work elsewhere. It is too great an impact to them.
Thank you for your consideration of this opposition viewpoint.
To: Chair Kama, Co-Chair U’u-Hodgins, and Committee Members,
I respectfully ask you to oppose Bill 9, which seeks to phase out legally operating short-term rentals in apartment zoned districts. I see the intent of this bill address our affordable home crisis, but this bill does not guarantee one affordable unit for a local family. This bill will cause only cause devasting financial hardship to local families participating in our number one industry, tourism, many of these folks are entrepreneurial small business owners who have reached a financial threshold to be able to afford to live on Maui by running their own businesses. These are $40.00 an hour or higher paying jobs. These jobs allow for folks to have flexible schedules for their families. A flexible schedule allows time for kids in school, to caretake for a senior, and participate in volunteering or community driven activites, or just find time for yourself. Entrepreneurs are doers, busy folks, and contributing so much to the community that is being unsaid in this conversation.
I read the Mayor’s talking points regarding this phase out bill, and most don’t match the data:
The claim that “TVR’s have displaced local families and driven up rents.”
According to UHERO, even with a 25% decline in prices the units affected by this policy would unaffordable to over 80% of Maui households.
The claim that, “These jobs will shift to the hotels, or other jobs such as healthcare, construction, agriculture, education, County jobs, or such.
While shifting to these jobs may be possible, Hotel jobs have decreased since 2001 by 24%, according to DBEDT, while TRV’s support somewhere between 10,000-15,000 local jobs that root in to every job sector such as grocery store jobs, food preparation, local products and goods, accommodations, cleaning of so many levels, construction and repair, agriculture, fruit and flowers, landscaping, accounting, air conditioning, pool service, cafes and on and on. Every store on Maui relies on tourism in some way.
What bothers me most is the fact that all of the hotels are owned by folks by off island corporations that reap money in and move it off island. While most of the STR units are owned by folks out of state, the fact that 15-20% are owned by Hawaii folks is important, as this is one sector that local folks can participate in tourism. Additionally, all of these STR units are all managed by folks that like here! Hotels have spent over 2 billion dollars lobbying in the last 5 years, and I can see how this bill is part of their 2 billion lobbying efforts. Their real property tax rate is set lower that any STRH/STR rate. You voted to a raise of .25 cents to $12.00 this year, while not knowing how the Hotel appeals will turn out for this year as every year they appeal and get their assessed rates lowered.
What happened to be local, buy local, support local? Small businesses should be celebrated and congratulated if they are operating, contributing to the economy and supporting their family.
With aloha,
Amy Ramos
Resident of Maui County
Aloha Chair Kama, Co-Chair Uʻu-Hodgins, and Members of the Housing and Land Use Committee,
Mahalo for the opportunity to provide testimony in STRONG OPPOSITION to Bill 9, CD1, which phases out nearly 7,000 transient vacation rentals (TVRs) in apartment districts by 2030 (Section 19.12.070). Airbnb understands the need to balance fair vacation rental policies with effective housing policies. While we commend the Council’s reasonable decision to extend the time period for action, Bill 9 still risks catastrophic economic and housing consequences.
Vacation rentals are an important part of Maui’s economy, with guest spending generating more than $2.2 billion in economic activity for the island. What’s more, numerous studies have concluded there will be devastating economic losses if TVRs are phased out. Conservative estimates from the UHERO Report commissioned by Mayor Bissen estimates a 4% reduction of real GDP. Additionally, a 2024 Travel Tech report found a phase-out of Minatoya listings could slash more than $1.3 billion in annual economic output, devastating Maui’s small businesses and restaurants. This law would destroy enormous amounts of the island’s economic activity while creating additional costs to implement, with no clear indication it would improve long-term housing availability.
More than 20 months ago, New York City passed one of the most restrictive short-term rental laws in the world with the promise of improving housing availability and affordability. It has failed on that promise and instead, rents continue to increase hitting record highs and vacancy rents remain unchanged, while hotel prices surge to record heights, pricing out visitors including families. While many communities continue to benefit from short-term rentals, a new study by leading economic consulting firm Charles River Associates found that over-regulation may cost some major cities billions of dollars – including New York City who alone forfeited an estimated $82 million that could have been used to build more affordable housing and help alleviate the ongoing housing crisis. With Bill 9, Maui risks stalling economic recovery, prioritizing the business interests of hotels over local small businesses.
TVR’s are vital to Maui County’s ability to keep taxes low for residents while funding essential public services. UHERO estimates that property tax receipts would fall by $60 million annually and total tax receipts would fall by $75 million annually. This revenue allows Maui to maintain some of the nation’s lowest owner-occupied property tax rates, easing the burden on local homeowners and supporting schools, housing programs, and fire recovery. Without these funds, residents face higher taxes or reduced services, threatening the county’s fiscal stability. Bill 9’s phase-out would carve a gaping hole in the budget, starving the very funds needed to build more housing.
Bill 9 jeopardizes local jobs supported by guests. Vacation rentals support local jobs through businesses that provide cleaning, maintenance, and hospitality. The UHERO report conservatively estimates a minimum of 1,900 job losses from a 7,000-unit phase-out. The 2024 Travel Tech report estimates a loss of 7,800 jobs. Bill 9 would shutter small businesses - family-owned restaurants, tour boats, flower shops - that rely on guests welcomed by local hosts. While we understand the need to address housing concerns,
Bill 9 delivers few homes, massive job losses, and vacant condos, repeating the misguided policies of other jurisdictions like New York. We urge the Council not to pass this bill and instead pursue policies that deliver real meaningful housing solutions, such as using TVR tax revenue to fund affordable workforce housing construction and critical infrastructure. This approach preserves local jobs and strengthens Maui’s economy.
Mahalo,
Janel Cozzens (née Denny)
Sr. Policy Manager, Hawaiʻi
Airbnb