Bullet points to keep it condensed:
1. Our condo has been a vacation rental for 50+ years, before the advent of AirBnb and VRBO.
2. We purchased in 2008 and at no time was the Minatoya List mentioned or were we informed this vacation rental would be in question to operate as such.
3. Real Estate Information Form stated at time of purchase 4% of the property was owner-occupied, the rest vacation rentals.
4. Title Guaranty Escrow Company listed the Land Classification: Hotel and Resort.
5. We were told by the Pacific Island Home Loans' Officer our loan rate was increased above the normal because we were classified a Hotel/Condo.
6. In 9/22/08 there was a Title Change. Document says: "County of Maui Real Property Tax, Section 3.48.305 of the Maui County Code pertaining to real property tax valuation and classification of land states that when property is subdivided into condominium units, each unit shall be classified for tax purposes as Apartment, Commercial, Homeowner, Time Share, or Hotel/Resort based upon its actual use. For the assessor to comply with this mandate, it is necessary to make a determination as to the actual use of a condominium unit." HOTEL/RESORT was checked and it was "Received" by the Division.
7. Our condo has been in the AAA Travel Tour Book for decades.
** We have supporting documents of the above but did not attach them for privacy reasons.
We purchased this condo because we love Maui and have memories of bringing our little hapa kids here where they felt welcome. We also wanted to spend more time here when we retired, and we now bring our whole family here so they can experience what we love.
We couldn't afford the mortgage, HOA fees and assessments without it being a vacation rental. To date, our condo is not worth more than what we have put into the condo and the property in the last 17 years to keep it up.
Our guests review us and love the island. In our description of the property, we foster respect for the island, its people and culture.
Banning Vacation Rentals will have a dire effect on Maui and places we recommend to our guests: Coffee shops, restaurants, excursions, small businesses from t-shirt shops to massage and nail salons. It will funnel tourists to the big hotels and restaurants owned with deep pockets.
Our property manager, housekeepers, handymen, furniture shops (to keep our unit nice) are worried. Some do not have the mental strength, wherewithal or they fear speaking up. Some owners of our property have expressed their opinion on social media and have been threatened.
Many of us pray the Council will do the right thing for the island. Ban the illegals but keep the tax paying ones that have contributed to the island for decades.
My name is Tammy Estrada and I work full-time as a reservation booking agent for the Makani Sands Condominiums in Lahaina, which is on the Minatoya List. I have lived on Maui for 6 years. I oppose the proposed legislation, Bill 9. If this bill is passed, I will lose my job. Please vote against this legislation.
I oppose Bill 9. I am very worried about what will happen to the employees of the STRs on the Minatoya list. Our employees have families to support. The hotels will not have enough available jobs for everyone in the hospitality industry that were at STRs. Please consider the intended use of the properties on the list before you get rid of STRs. Thank you, Susan Kuehne, Kahana Village
Hello Chair, Vice Chair and Committee Members
My name is Chris Markell and my mother, and I each own a condo which we have had in the short-term rentals at Maui Kamaole since the early 2000’s. We are very concerned about the proposed legislation, and we strongly oppose its passage.
We have worked hard to be part of the community and have been using local companies for all the work done on our units. If these units go to long term rentals or sold this will eliminate a lot of local jobs and tax revenue. Even after the fires we opened up one of our units to a fire victim and her husband. We kept the other unit in the short-term rental market so that the locals would still have work. We also have guests that come back year after year and they have told me that they would not be coming if it was to a hotel.
It has not been easy keeping these units through the pandemic and then the fires and the negative news stories about Maui, but we believe in Maui, the people and all the local stores we have continued to support over the years. It has also been sad to see some of them close after what has happened over the past few years. I would hate to see what would happen if these STR were turned into long term what would happen to all of the people who we have supported over the years?
I have read the studies that have been done and removing the STR will create an economic downturn that maybe very difficult for Maui to recover from. Maui’s economy is built on tourism and if we lose all of these rentals then we will lose a lot more. There are better solutions to help the need for more long-term housing for locals.
In conclusion, I want to strongly oppose this proposed legislation.
Thank you
My name is Robert McCann and I have owned a condo on Moloka'i at Wavecrest for over 25 years and I live there full time. Wavecrest was never intended for Hawaiian Families. It consists of primarily 700 Sq. Ft. 1-bedroom condos with only 1 parkign space. How in the world are you thinking that will work for a local Hawaiian family?
I oppose Bill 9 because it will hurt local residents and does not solve the housing crisis.
There’s no evidence this bill will lead to more long-term rentals—but there’s guaranteed economic harm to jobs and families.
This bill, if passed, will very quickly destroy the entire economic position of Maui County and unless you have your head in the sand or you are only depending on what the proponents are saying in their inaccurate lies voting for this bill will have terrible consequences for all of Maui County.
Moloka'i condos should have never been included it this bill as it will only have a very negative impact on Moloka'i and will not help any current local family on Moloka'i to gain affordable housing.
PLEASE THINK ABOUT WHAT YOU ARE ACTUALLY VOTING ON AND OPPOSE THIS BILL!
My name is Heather Quesada, I and own a grand champions in Wailea. An area that was always intended for resorts and housing visitors.
I deeply worry about Maui’s future as a whole. Just look around at our current situation. Business is doing well right now and if this ban goes into effect I fear things will only continue to get worse and worse creating more and more layoffs and job loss. Maui simply cannot afford to lose 7000 STRs and the revenue they bring to our island. Not to mention the unaffordability of the condos on the list to be phased out. My unit due to the rising costs of insurance ($6000 annually) , HOA costs ($1,750 monthly) and tax rate increases ($24,000 annually). The monthly costs NOT including my mortgage is over $4,000 monthly. Add in my mortgage payment the minimum I would be able to accept for rent will be $8,000 a month and that’s with a $2,000 loss due to my mortgage being $6,000 a month. No local family will be able to afford that for a small condo.
I’m convinced this bill will do more harm than good. I worry that our already closed small businesses will be one of many to be forced to close if this bill passes. I worry about our cleaners, a 3 three generational team made up by a grandmother, daughter and granddaughter. The almost all their properties they clean are on this bill to be removed. I also worry about our handyman and many others who jobs servicing STRs depend on.
I strongly oppose bill 9 because I’m convinced this bill will do more harm than good. I worry that my already closed small businesses will be one of many to be forced to close if this bill passes. I worry about my cleaners, a 3 three generational team made up by a grandmother, daughter and granddaughter. Almost all their properties they service are on this bill to be removed. I also worry about our handyman and many others who jobs servicing STRs depend on.
One thing I ask the council to keep in mind If we don’t have tourists bringing money here from elsewhere then we are just passing funds around. If buy $100 necklace at your store and then you come eat at my restaurant with it then we are just playing hot potato on who gets to hold it that day.
Will locals eat at restaurants in Kihei and Wailea?
Yes, every once in a while but not at the volume tourist do.
And unless it’s outside money coming in it does nothing for our economy
I am a resident of Lahaina and I am opposed to Bill 9. I believe it will cause worsening economic problems for an island that is already in a precarious position. I see friends and acquaintances who work in hotels, restaurants and real estate who are already on part time status and worried about how they will continue to afford to live here. If Bill 9 passes many will lose jobs and have to leave not because of housing issues but because they cant afford to live here. Tourism impacts so many other industries besides rental properties. Retail clerks, restaurant employees, rental car companies, tour companies. It's huge. In addition I dont believe that eliminating short term rental properties will greatly increase long term affordable housing. Im sure you have been made aware of the monthly costs associated with condos in Maui. Simply saying you wont maintain the exterior of the property in order to reduce costs is unreasonable. I lived in a condo here for years. Even with the ground maintained and pest control enforced we had huge problems with rodents and cockroaches inside the condos. I cant imagine what would happen if they weren't maintained. Telling people they can switch to another type of employment on a small island isn't reasonable either. There are only so many jobs in Healthcare or education and unless we build a bunch more hospitals and schools there wont be a need for more people and we know we cant even get one hospital built on the west side after trying for many years. These types of jobs also dont bring needed revenue to the county while tourism does. You can only raise property taxes so many times and personally I think we are about at our limit . For these and many more reasons I truly believe passing this Bill would be a big mistake. The state encouraged tourism in the past and built condos to house tourists because people were leaving the islands and an industry was needed. It is still the economic engine of the islands and as much as some people may wish for something else, I dont believe you can just snap your fingers, pass a Bill and make it happen. Again I oppose Bill 9
Thank you
I oppose Bill 9 because it will hurt local residents and does not solve the housing crisis.
We are a family of three living full-time on Maui, with a new baby on the way. Our livelihood depends on the short-term rental (STR) industry—we rely on cleaning and hosting work to help cover our basic living expenses, including housing, food, and childcare. STRs provide steady income that helps many local families like ours stay rooted here. Removing this legally codified use—approved by the County and supported in our condo’s governing documents—introduces financial instability at a time when many residents are already struggling to stay afloat.
There’s no evidence this bill will result in more long-term rentals, but there is clear and immediate economic harm. Most STRs in apartment-zoned areas are small studios or one-bedroom condos with high HOA fees and minimal amenities, making them unsuitable and unaffordable for long-term renters. According to County data, less than 10% of STR owners say they would convert to long-term rental use if forced out—meaning the vast majority would remain empty, be sold to second homeowners, or fall into disrepair. Meanwhile, STRs generate over $60 million annually in property taxes and contribute nearly $900 million in visitor spending. That revenue funds schools, parks, road repairs, and county jobs. Losing that would create more harm than good.
STR owners and operators are not the problem—we are part of the solution. We are regulated, pay taxes, and follow the rules. The better path forward is enforcement against illegal operators, not punishing legal ones. Maui needs real housing policies: fast-tracked development, affordable housing incentives, and cost-reduction programs for residents. Bill 9 doesn’t solve the housing crisis—it destabilizes local families and undermines our island economy. I oppose Bill 9 and ask you to protect Maui’s working families.
Aloha,
I am a STR owner. I employ local helps to manage, clean, upkeep my unit. All supplies are purchased from local stores. This helps local business and residents to better their lives. My tiny unit does not provide enough space for a family to live long term. However with this Bill's passing, it will certainly cut off the revenue from STR that I use to pay my suppliers. Please allow it continue to be STR.
The company I work for purchased a failing business with 3 locations in Hawaii including 1 on Maui. Since then the businesses in Hawaii have turned around and we have added an additional location in Honolulu. The Maui location sells much of its products to contractors doing remodels and repairs to short term rentals. This company has never laid off an employee in its 30 year history the Maui location has over 20 well paid local employees who receive great benefits. My concern is if bill 9 passes the contractors will slow down causing and business will drop and we may not be able to keep all the hard working employees. I oppose bill 9 please vote no.
Deleted User
15 days ago
Written Testimony in Support of Bill 9
To the Maui County Housing and Land Use Committee
I. Introduction and Context
Aloha Council Members,
I submit this testimony in strong support of Bill 9, which seeks to close longstanding zoning loopholes related to short-term vacation rentals (STRs) operating within apartment-zoned properties. The County’s kuleana is to serve the people of Maui by prioritizing the wellbeing of the community and protecting both affordable housing and the environment.
The Minatoya Opinion, issued in July 2001 by Deputy Corporation Counsel Richard K. Minatoya, clarified that apartment-zoned units legally operating as STRs before April 1989 are exempt from certain restrictions. This was later codified in Maui County Code §19.12.020(G), recognizing roughly 83 such properties islandwide, affecting approximately 7,000 units. While this was a reasonable accommodation at the time, its expansion has severely undermined the fundamental intent of apartment zoning—to provide stable, long-term housing for Maui residents.
Bill 9 appropriately restores zoning integrity, aiming to phase out these exemptions and return apartment zones to their original residential purpose.
II. Dispelling Misconceptions About Housing Affordability
Opposition testimony often claims that because prices for two-bedroom condos in complexes like Harbor Lights, Maui Sands, and West Maui Trades were relatively low prior to and even after COVID-19, local families should have purchased these units by now. This argument ignores critical economic realities:
Affordability is about income, financing, and total cost of living. While a Harbor Lights two-bedroom condo sold for an average of \$135,000 in 2019, median household income in Maui County has not kept pace with even these prices, especially for Native Hawaiian and lower-income families. UHERO reports consistently show that fewer than 30% of households can afford median-priced homes.
The presence of listings with no buyers signals deeper systemic barriers, not a lack of demand. Financing difficulties, high debt-to-income ratios, and the precarious financial situation of many locals limit their ability to purchase, regardless of listing prices.
Rising prices and out-of-state investment have further restricted local access. Recent data shows 25–30% of home sales in Maui are to out-of-state buyers, increasing competition and pushing prices higher.
Native Hawaiian displacement is a documented crisis. According to the Office of Hawaiian Affairs, 55% of Native Hawaiian residents have reported relocating off-island due to housing unaffordability.
This evidence demonstrates that simply “waiting” for prices to drop or assuming local residents do not want to buy is disingenuous. The market dynamics are complex and deeply affected by speculation, investment behaviors, and limited affordable supply.
III. Environmental Impacts and Infrastructure Strain
The environmental impacts of allowing hotel-level intensity of use in apartment-zoned areas are well documented by County records and lived community experience:
Wastewater infrastructure is overwhelmed, contributing to coastal pollution and degradation of coral reefs and marine habitats, which are vital to Maui’s ecological health and tourism economy.
Water resources are under severe stress. Maui’s aquifers are overdrawn, stream diversions and Upcountry rationing are ongoing issues, worsened by the high water usage associated with transient occupancy in units originally designed for long-term residents.
Traffic, noise, and parking congestion have increased significantly in residential neighborhoods, eroding quality of life and community cohesion.
The cumulative environmental degradation from STR proliferation—including increased solid waste and shoreline impacts—is a threat to Maui’s sustainability.
These issues are not speculative but have been consistently raised by environmental advocates, cultural practitioners, and residents in numerous community plan meetings, Planning Commission hearings, and County Council sessions.
IV. Legal and Policy Framework
Bill 9 is grounded in a strong legal and policy foundation:
The *Minatoya Opinion and subsequent codifications reflect a historical accommodation, not a permanent loophole.
Maui County ordinances clearly define apartment zoning as intended for long-term residential use. Bill 9 restores these provisions consistent with the County’s General Plan and community plans.
Hawai‘i’s public trust doctrine, embedded in its Constitution, demands that land-use decisions balance private benefit with the public good, including environmental stewardship and housing access.
Courts have not overturned the ordinances affected by Bill 9, underscoring its legal viability.
V. Economic Arguments and Job Preservation
Some opposition arguments suggest Bill 9 will cause economic disaster by eliminating jobs tied to the short-term rental industry and reducing funds for affordable housing. These claims merit critical examination:
While STRs do generate jobs, many are seasonal and low-wage, often contributing to housing insecurity for workers themselves.
The long-term economic health of Maui depends on stable communities with affordable housing, not on an over-reliance on speculative short-term rentals that fuel volatility and displacement.
Revenue currently generated by STRs is inconsistent and often does not flow adequately into affordable housing programs or community benefits.
Bill 9 encourages investment in sustainable housing solutions that prioritize local families and workforce stability, which in turn supports economic resilience.
VI. Recommendations and Closing
Bill 9 represents a necessary step toward:
* **Reclaiming apartment zones for long-term housing.**
* **Protecting Native Hawaiian families and all local residents from displacement.**
* **Preserving Maui’s environmental health and cultural heritage.**
* **Supporting a sustainable, equitable economy rooted in community wellbeing.**
I urge the Council to reject arguments based on misleading assumptions about local buying behavior and economic fears unsupported by data. Instead, affirm Bill 9 and complement it with:
Increased funding for affordable housing development targeting residents.
Enforcement of existing zoning regulations.
Transparent reinvestment of STR revenues into community programs and infrastructure.
Mahalo for your leadership and commitment to Maui’s future.
I cannot provide my name and information because I am a realtor and have been harassed for our support of this bill.
I am writing to oppose Bill 9. I am the broker of a property management company that has been doing business on Maui for 42 years and employs 14 people. We also contract about 50 vendors that assist with cleaning, maintenance and renovations. We buy local supplies and use local resources as much as possible. We manage both long term rentals and short-term rentals on 5 islands. The majority of our portfolio are long term rentals.
Currently we are experiencing the highest vacancy rates in our long-term rentals that we have seen since 2008-2010. Our population is not making enough money to afford rent due to the decreased tourism. Restaurant, shops, hotels and activities to name a few are suffering. Also, Federal workers are in fear of losing their jobs and don't want to commit to a long-term lease. Our population will not be able to pay for their mortgages, taxes, insurance, car loans, food or staycations if there is no tourism.
I have been in this business for over 17 years. I joined this industry before the OTA's started to take our profits with their large commissions. Once Booking.com, Air BnB, VRBO (to name a few) started taking over bookings, the dynamics changed, the pricing changed, the market changed, and regulating the volume of visitors changed.
In my opinion the better way to regulate STR is to put bookings back in the hands of the on-island property management brokerages so there is balance. Do no allow the large OTA's who do not reside on the island to make all the money with the huge marketing campaigns and hefty commissions. They don't care what they are doing to our islands. Banning OTA's would restore a more even playing field with high seasons and low seasons. A good portion of the investors who own STR would go back to renting their properties as long term rentals. We may have a better chance to expose the illegal STRs because they would not be able to use OTA's. The locals would have a chance to breath, relax and have the island to themselves during low season, and to make money during high season.
Since we are going backwards let's do it right and with balance. Ban OTA's not STR's.
I am born and raised here on Maui, and I strongly oppose Bill 9. I work for a property management company that manages short term rentals, long term rentals, FEMA properties, and more. Our company employs nearly 70 local residents here on Maui, and additionally we work with and support over 130 local vendors for our cleaning and maintenance needs that our rentals have. Yearly, we contract out roughly $2.7 million in repairs and maintenance through local vendors that our short term rental properties require. In 2024, we paid out over $2 million to locally owned and operated cleaning companies for our short term rentals.
This industry has provided an opportunity for countless residents to create and run their own businesses from, whether it’s a professional cleaning company, local plumbing company, window washers, appliance technicians and more- this industry not only supports thousands of local residents, it also has created opportunity that they may not have had without vacation rentals to service. Many of these vendors solely rely on vacation rental property needs.
It was mentioned in a presentation at the beginning of the hearing that 94% of lodging revenue from STRs are lost as it is taken off island by a non-resident, but that is not true- local management companies charge anywhere from 20-30% of that rental income to manage these properties. In addition to that are the separate cleaning fees and maintenance expenses that are collected and paid out here on Maui.
The UHERO report quotes staggering economic implications from this Bill if it should pass- losses that will affect us as local residents. Losses for our schools, our infrastructure, our roads, our services, our affordable housing fund… the State and County revenue generated by vacation rentals on the Minatoya list is significant… its substantial, and its loss would be devastating to Maui residents- and even with that sacrifice, this proposal does not guarantee housing for residents.
Mayor Bissen is suggesting properties should apply to be rezoned to short term use, which would protect county revenue streams in the future, but will it actually be achievable? What are the requirements, the process, the implications? Can this be done in a reasonable amount of time? It’s a compromise that may make sense for properties that should remain as vacation rentals, but not with unreasonable requirements and an endless timeline to achieve re-zoning.
I ask that you consider the impact this will have on Maui residents, and how many rely on this industry to support their families. We want new housing for our residents, we want opportunities to run our own local businesses, and keep the profits here on Maui.
Strongly oppose this poorly conceived bill. For those who say let’s correct mistakes of the past or housing before profit or any other similar statements.Can Paltin or Fernandez ask if they can make a 6k rental payment? Do they understand that if every unit was gifted to a red shirt activist that skill set consisting of lei making or teaching dancing or planting taro that all though wonderful skills don’t produce an income to pay 6k. Look at Redfin or Zillow and you can see the factual cost of every unit on Maui. How will HOAs go down??? Perhaps the county can buy a complex or by way of eminent domain secure a building. Houses in developments on the Island have HOAs. They won’t be going lower simply because a few condo associations will get a few of “our” people on the boards. Can anyone on the council simply look at facts. Perhaps Chelsea Davis or Brian Perry could write a story while visiting a few condos and report that yes, it is true, condos cost about 5/6k per month. This is such a waste of time. No 2 working people want to pay 6k for rent. Does Maui think fed funds will be contributing to the economy of Maui? Trump wants FEMA to permanently end after hurricane season. Troops in LA. RFK getting rid of 17 vaccine panelists. The money is drying up. Don’t flush what remains of Maui’s economy. Locals going to go to HONU and do the $210 wine night. Doubtful.
Wake up. Gifting 400k condos to a population isn’t go to stand up in the courts. Right now, probably some wealthy owner on his way to give Trump a 1m donation to put a stop to this.
Build buildings taller than a coconut tree by the airport. Take the tax money and build.
Maui, you really are turning into a banana republic. Get smart. Think outside the box. Pay for experts, become modern. Try to look at what is best for all the people, not just “our” people.
Mahalo for the opportunity to share my testimony. My name is Susie Pu, and I am the General Manager of Hana Kai Maui. I’m writing in opposition to this legislation as it applies to Hana Kai.
As a lifelong resident of Hana, I have a deep connection to this community. Hana is unique—geographically, culturally, and economically—what works elsewhere on Maui may not be suitable here. Hana cannot afford to lose any viable local business, especially one that has employed our residents and contributed to the local economy for more than 50 years.
Hana Kai Maui was built in the early 1970s as a short-term rental property and has operated as such ever since. We provide year-round employment for 10–15 Hana residents. We are locally managed and we strive to give back to our community through free accommodations for local events, silent auctions, charitable donations, and annual scholarships for our graduates. We also support community gatherings such as the Taro Festival, Limu Festival, and Aloha Week by providing much-needed lodging for participants and organizers.
The need for more affordable housing in Hana and across Maui is undeniable, and we fully support efforts to address this. However, reclassifying the 19 units at Hana Kai is not the appropriate solution. In recent years, many single-family homes that once housed local families have transitioned to short-term rentals. While we understand how this shift came about, placing families in units designed for visitors and visitors in homes meant for residents does not serve the best interests of our community.
In this light, we’re encouraged by the Department of Hawaiian Home Lands' proposed 653-acre residential development in Hana. This project seems like a more effective path forward for addressing Hana’s housing needs.
It’s also important to recognize the operational and financial realities of this property. We are the only property in East Maui with a wastewater treatment plant. The current system cannot adequately support long-term housing without major upgrades. Loan repayment alone averages $465 per unit per month, with annual operational costs exceeding $30,000. Other challenges include limited parking, aging infrastructure, and limited electricity supply.
Overnight guests in Hana help support the local economy by staying in our hotels, dining at our restaurants and food trucks, shopping at our stores, and booking experiences with local guides; unlike many day visitors who strain our infrastructure but contribute little in return.
We recognize the difficult decision in front of the Council. Still, we ask that you consider the distinct nature of Hana and explore the possibility of exempting the Hana Community Plan area from this legislation. Our goal is to continue operating in a way that supports our employees, community, and visitors—while honoring the unique character and needs of Hana.
With gratitude and respect,
Susie Pu
General Manager, Hana Kai Maui
My name is Alan Iwasaki and I am a STR owner and a part time Maui resident.
Respectfully, I would like to express my opposition to this bill.
I am not a Maui voter, so you may be inclined to discount what I have to say, but I want you to know that I am a stakeholder and invested in the bright future of Maui.
I would like to make 3 points:
1. I believe this bill is an attempt to solve the affordable housing problem in Maui. While well intentioned, it is fraught with unintended consequences which I believe will make the problem worse.
2. There are other alternatives to provide short term and long term affordable housing in Maui.
3. If this bill passes, I will not rent out my condo for long term use.
I will elaborate on each point:
1. Unintended consequences: Without STR’s, tourism, the driving force of Maui’s economy, will suffer as thousands of STR tourists are unable to afford more expensive hotel rooms. The drop in tourism will lead to a significant decline in tax revenue, jobs, small business income and personal income. The only positive result of this bill is that resort hotel rates will increase and hotel corporate income will skyrocket. STR’s that will be forced into long term rentals will be unaffordable to the population who need affordable housing. The current affordable housing gap will only increase.
2. There are no easy or cheap alternative solutions to affordable housing. A short term option is for the Maui government to increase subsidies to renters, owners and/or developers. This is extremely costly and the current STR tax revenue, along with other revenue sources, will be needed to fund this option. The longer term solution is to kick start sustainable economic growth of diverse business sectors and entrepreneurship to complement the legacy tourism based economy. A growing, vibrant and balanced economy is key to long term prosperity.
3. Personally I will not rent out my condo for long term use because the rent will be unaffordable. This is a shared view by the vast majority of STR owners. Because of this, I believe this bill will not achieve it’s original intent of providing affordable housing in Maui.
In summary, I believe we all want to improve the affordable housing situation, but in my opinion, this bill will not work. I strongly urge the Committee and the Council to vote against this measure.
Aloha ia oukou! My name is Kalae and my brothers and myself have a local small business offering small renovations and repair to a lot of these STR units. We are given work regularly and the compensation we get is more than decent considering the very high cost of living here. We know transferring all these units to long term rent will not help the situation. The cost of upkeep to these places are very high since most of them were built 40 to 50 years ago. These costs will often be higher than what an average person can afford for a monthly rent. Better to use the high property taxes to look into better options than taking away property rights from law-abiding people.
If this bill is implemented thousands will lose their jobs. How is that supposed to help them afford to live on Maui? Without some sort of industry coming to Maui to replace the visitor industry those people will not be able to pay for any place to live. And I am not even talking about the homeless but people who are now employed in the visitors industry who will lose their jobs. Please find another way to fix this problem so that you don’t create more homeless people. I am an owner of a condo that is on the short term rental list but I don’t rent my unit. I live there.
With due respect, we oppose Bill 9.
Bullet points to keep it condensed:
1. Our condo has been a vacation rental for 50+ years, before the advent of AirBnb and VRBO.
2. We purchased in 2008 and at no time was the Minatoya List mentioned or were we informed this vacation rental would be in question to operate as such.
3. Real Estate Information Form stated at time of purchase 4% of the property was owner-occupied, the rest vacation rentals.
4. Title Guaranty Escrow Company listed the Land Classification: Hotel and Resort.
5. We were told by the Pacific Island Home Loans' Officer our loan rate was increased above the normal because we were classified a Hotel/Condo.
6. In 9/22/08 there was a Title Change. Document says: "County of Maui Real Property Tax, Section 3.48.305 of the Maui County Code pertaining to real property tax valuation and classification of land states that when property is subdivided into condominium units, each unit shall be classified for tax purposes as Apartment, Commercial, Homeowner, Time Share, or Hotel/Resort based upon its actual use. For the assessor to comply with this mandate, it is necessary to make a determination as to the actual use of a condominium unit." HOTEL/RESORT was checked and it was "Received" by the Division.
7. Our condo has been in the AAA Travel Tour Book for decades.
** We have supporting documents of the above but did not attach them for privacy reasons.
We purchased this condo because we love Maui and have memories of bringing our little hapa kids here where they felt welcome. We also wanted to spend more time here when we retired, and we now bring our whole family here so they can experience what we love.
We couldn't afford the mortgage, HOA fees and assessments without it being a vacation rental. To date, our condo is not worth more than what we have put into the condo and the property in the last 17 years to keep it up.
Our guests review us and love the island. In our description of the property, we foster respect for the island, its people and culture.
Banning Vacation Rentals will have a dire effect on Maui and places we recommend to our guests: Coffee shops, restaurants, excursions, small businesses from t-shirt shops to massage and nail salons. It will funnel tourists to the big hotels and restaurants owned with deep pockets.
Our property manager, housekeepers, handymen, furniture shops (to keep our unit nice) are worried. Some do not have the mental strength, wherewithal or they fear speaking up. Some owners of our property have expressed their opinion on social media and have been threatened.
Many of us pray the Council will do the right thing for the island. Ban the illegals but keep the tax paying ones that have contributed to the island for decades.
Thank you for your consideration.
My name is Tammy Estrada and I work full-time as a reservation booking agent for the Makani Sands Condominiums in Lahaina, which is on the Minatoya List. I have lived on Maui for 6 years. I oppose the proposed legislation, Bill 9. If this bill is passed, I will lose my job. Please vote against this legislation.
I oppose Bill 9. I am very worried about what will happen to the employees of the STRs on the Minatoya list. Our employees have families to support. The hotels will not have enough available jobs for everyone in the hospitality industry that were at STRs. Please consider the intended use of the properties on the list before you get rid of STRs. Thank you, Susan Kuehne, Kahana Village
For the record, I oppose Bill 9 because it harms local residents without offering a real solution to the housing crisis.
This bill threatens the livelihoods of local families, small vendors, and employees who rely on the vacation rental industry to make ends meet.
There is no evidence that Bill 9 will increase long-term rental availability but the economic damage to our community is certain.
Our condominium declarations explicitly allow for vacation rental use, a use that was approved by the County at the time of development.
Karen Laustrup
Property Owner at Kamaole Sands 3-206
Hello Chair, Vice Chair and Committee Members
My name is Chris Markell and my mother, and I each own a condo which we have had in the short-term rentals at Maui Kamaole since the early 2000’s. We are very concerned about the proposed legislation, and we strongly oppose its passage.
We have worked hard to be part of the community and have been using local companies for all the work done on our units. If these units go to long term rentals or sold this will eliminate a lot of local jobs and tax revenue. Even after the fires we opened up one of our units to a fire victim and her husband. We kept the other unit in the short-term rental market so that the locals would still have work. We also have guests that come back year after year and they have told me that they would not be coming if it was to a hotel.
It has not been easy keeping these units through the pandemic and then the fires and the negative news stories about Maui, but we believe in Maui, the people and all the local stores we have continued to support over the years. It has also been sad to see some of them close after what has happened over the past few years. I would hate to see what would happen if these STR were turned into long term what would happen to all of the people who we have supported over the years?
I have read the studies that have been done and removing the STR will create an economic downturn that maybe very difficult for Maui to recover from. Maui’s economy is built on tourism and if we lose all of these rentals then we will lose a lot more. There are better solutions to help the need for more long-term housing for locals.
In conclusion, I want to strongly oppose this proposed legislation.
Thank you
Chris Markell
Aloha Chair, Vice Chair, and Committie Members,
My name is Robert McCann and I have owned a condo on Moloka'i at Wavecrest for over 25 years and I live there full time. Wavecrest was never intended for Hawaiian Families. It consists of primarily 700 Sq. Ft. 1-bedroom condos with only 1 parkign space. How in the world are you thinking that will work for a local Hawaiian family?
I oppose Bill 9 because it will hurt local residents and does not solve the housing crisis.
There’s no evidence this bill will lead to more long-term rentals—but there’s guaranteed economic harm to jobs and families.
This bill, if passed, will very quickly destroy the entire economic position of Maui County and unless you have your head in the sand or you are only depending on what the proponents are saying in their inaccurate lies voting for this bill will have terrible consequences for all of Maui County.
Moloka'i condos should have never been included it this bill as it will only have a very negative impact on Moloka'i and will not help any current local family on Moloka'i to gain affordable housing.
PLEASE THINK ABOUT WHAT YOU ARE ACTUALLY VOTING ON AND OPPOSE THIS BILL!
MAHALO
Aloha Chair, Vice Chair, and Committee Members,
My name is Heather Quesada, I and own a grand champions in Wailea. An area that was always intended for resorts and housing visitors.
I deeply worry about Maui’s future as a whole. Just look around at our current situation. Business is doing well right now and if this ban goes into effect I fear things will only continue to get worse and worse creating more and more layoffs and job loss. Maui simply cannot afford to lose 7000 STRs and the revenue they bring to our island. Not to mention the unaffordability of the condos on the list to be phased out. My unit due to the rising costs of insurance ($6000 annually) , HOA costs ($1,750 monthly) and tax rate increases ($24,000 annually). The monthly costs NOT including my mortgage is over $4,000 monthly. Add in my mortgage payment the minimum I would be able to accept for rent will be $8,000 a month and that’s with a $2,000 loss due to my mortgage being $6,000 a month. No local family will be able to afford that for a small condo.
I’m convinced this bill will do more harm than good. I worry that our already closed small businesses will be one of many to be forced to close if this bill passes. I worry about our cleaners, a 3 three generational team made up by a grandmother, daughter and granddaughter. The almost all their properties they clean are on this bill to be removed. I also worry about our handyman and many others who jobs servicing STRs depend on.
I strongly oppose bill 9 because I’m convinced this bill will do more harm than good. I worry that my already closed small businesses will be one of many to be forced to close if this bill passes. I worry about my cleaners, a 3 three generational team made up by a grandmother, daughter and granddaughter. Almost all their properties they service are on this bill to be removed. I also worry about our handyman and many others who jobs servicing STRs depend on.
One thing I ask the council to keep in mind If we don’t have tourists bringing money here from elsewhere then we are just passing funds around. If buy $100 necklace at your store and then you come eat at my restaurant with it then we are just playing hot potato on who gets to hold it that day.
Will locals eat at restaurants in Kihei and Wailea?
Yes, every once in a while but not at the volume tourist do.
And unless it’s outside money coming in it does nothing for our economy
Mahalo for your time and consideration
I am a resident of Lahaina and I am opposed to Bill 9. I believe it will cause worsening economic problems for an island that is already in a precarious position. I see friends and acquaintances who work in hotels, restaurants and real estate who are already on part time status and worried about how they will continue to afford to live here. If Bill 9 passes many will lose jobs and have to leave not because of housing issues but because they cant afford to live here. Tourism impacts so many other industries besides rental properties. Retail clerks, restaurant employees, rental car companies, tour companies. It's huge. In addition I dont believe that eliminating short term rental properties will greatly increase long term affordable housing. Im sure you have been made aware of the monthly costs associated with condos in Maui. Simply saying you wont maintain the exterior of the property in order to reduce costs is unreasonable. I lived in a condo here for years. Even with the ground maintained and pest control enforced we had huge problems with rodents and cockroaches inside the condos. I cant imagine what would happen if they weren't maintained. Telling people they can switch to another type of employment on a small island isn't reasonable either. There are only so many jobs in Healthcare or education and unless we build a bunch more hospitals and schools there wont be a need for more people and we know we cant even get one hospital built on the west side after trying for many years. These types of jobs also dont bring needed revenue to the county while tourism does. You can only raise property taxes so many times and personally I think we are about at our limit . For these and many more reasons I truly believe passing this Bill would be a big mistake. The state encouraged tourism in the past and built condos to house tourists because people were leaving the islands and an industry was needed. It is still the economic engine of the islands and as much as some people may wish for something else, I dont believe you can just snap your fingers, pass a Bill and make it happen. Again I oppose Bill 9
Thank you
I oppose Bill 9 because it will hurt local residents and does not solve the housing crisis.
We are a family of three living full-time on Maui, with a new baby on the way. Our livelihood depends on the short-term rental (STR) industry—we rely on cleaning and hosting work to help cover our basic living expenses, including housing, food, and childcare. STRs provide steady income that helps many local families like ours stay rooted here. Removing this legally codified use—approved by the County and supported in our condo’s governing documents—introduces financial instability at a time when many residents are already struggling to stay afloat.
There’s no evidence this bill will result in more long-term rentals, but there is clear and immediate economic harm. Most STRs in apartment-zoned areas are small studios or one-bedroom condos with high HOA fees and minimal amenities, making them unsuitable and unaffordable for long-term renters. According to County data, less than 10% of STR owners say they would convert to long-term rental use if forced out—meaning the vast majority would remain empty, be sold to second homeowners, or fall into disrepair. Meanwhile, STRs generate over $60 million annually in property taxes and contribute nearly $900 million in visitor spending. That revenue funds schools, parks, road repairs, and county jobs. Losing that would create more harm than good.
STR owners and operators are not the problem—we are part of the solution. We are regulated, pay taxes, and follow the rules. The better path forward is enforcement against illegal operators, not punishing legal ones. Maui needs real housing policies: fast-tracked development, affordable housing incentives, and cost-reduction programs for residents. Bill 9 doesn’t solve the housing crisis—it destabilizes local families and undermines our island economy. I oppose Bill 9 and ask you to protect Maui’s working families.
Aloha,
I am a STR owner. I employ local helps to manage, clean, upkeep my unit. All supplies are purchased from local stores. This helps local business and residents to better their lives. My tiny unit does not provide enough space for a family to live long term. However with this Bill's passing, it will certainly cut off the revenue from STR that I use to pay my suppliers. Please allow it continue to be STR.
The company I work for purchased a failing business with 3 locations in Hawaii including 1 on Maui. Since then the businesses in Hawaii have turned around and we have added an additional location in Honolulu. The Maui location sells much of its products to contractors doing remodels and repairs to short term rentals. This company has never laid off an employee in its 30 year history the Maui location has over 20 well paid local employees who receive great benefits. My concern is if bill 9 passes the contractors will slow down causing and business will drop and we may not be able to keep all the hard working employees. I oppose bill 9 please vote no.
Written Testimony in Support of Bill 9
To the Maui County Housing and Land Use Committee
I. Introduction and Context
Aloha Council Members,
I submit this testimony in strong support of Bill 9, which seeks to close longstanding zoning loopholes related to short-term vacation rentals (STRs) operating within apartment-zoned properties. The County’s kuleana is to serve the people of Maui by prioritizing the wellbeing of the community and protecting both affordable housing and the environment.
The Minatoya Opinion, issued in July 2001 by Deputy Corporation Counsel Richard K. Minatoya, clarified that apartment-zoned units legally operating as STRs before April 1989 are exempt from certain restrictions. This was later codified in Maui County Code §19.12.020(G), recognizing roughly 83 such properties islandwide, affecting approximately 7,000 units. While this was a reasonable accommodation at the time, its expansion has severely undermined the fundamental intent of apartment zoning—to provide stable, long-term housing for Maui residents.
Bill 9 appropriately restores zoning integrity, aiming to phase out these exemptions and return apartment zones to their original residential purpose.
II. Dispelling Misconceptions About Housing Affordability
Opposition testimony often claims that because prices for two-bedroom condos in complexes like Harbor Lights, Maui Sands, and West Maui Trades were relatively low prior to and even after COVID-19, local families should have purchased these units by now. This argument ignores critical economic realities:
Affordability is about income, financing, and total cost of living. While a Harbor Lights two-bedroom condo sold for an average of \$135,000 in 2019, median household income in Maui County has not kept pace with even these prices, especially for Native Hawaiian and lower-income families. UHERO reports consistently show that fewer than 30% of households can afford median-priced homes.
The presence of listings with no buyers signals deeper systemic barriers, not a lack of demand. Financing difficulties, high debt-to-income ratios, and the precarious financial situation of many locals limit their ability to purchase, regardless of listing prices.
Rising prices and out-of-state investment have further restricted local access. Recent data shows 25–30% of home sales in Maui are to out-of-state buyers, increasing competition and pushing prices higher.
Native Hawaiian displacement is a documented crisis. According to the Office of Hawaiian Affairs, 55% of Native Hawaiian residents have reported relocating off-island due to housing unaffordability.
This evidence demonstrates that simply “waiting” for prices to drop or assuming local residents do not want to buy is disingenuous. The market dynamics are complex and deeply affected by speculation, investment behaviors, and limited affordable supply.
III. Environmental Impacts and Infrastructure Strain
The environmental impacts of allowing hotel-level intensity of use in apartment-zoned areas are well documented by County records and lived community experience:
Wastewater infrastructure is overwhelmed, contributing to coastal pollution and degradation of coral reefs and marine habitats, which are vital to Maui’s ecological health and tourism economy.
Water resources are under severe stress. Maui’s aquifers are overdrawn, stream diversions and Upcountry rationing are ongoing issues, worsened by the high water usage associated with transient occupancy in units originally designed for long-term residents.
Traffic, noise, and parking congestion have increased significantly in residential neighborhoods, eroding quality of life and community cohesion.
The cumulative environmental degradation from STR proliferation—including increased solid waste and shoreline impacts—is a threat to Maui’s sustainability.
These issues are not speculative but have been consistently raised by environmental advocates, cultural practitioners, and residents in numerous community plan meetings, Planning Commission hearings, and County Council sessions.
IV. Legal and Policy Framework
Bill 9 is grounded in a strong legal and policy foundation:
The *Minatoya Opinion and subsequent codifications reflect a historical accommodation, not a permanent loophole.
Maui County ordinances clearly define apartment zoning as intended for long-term residential use. Bill 9 restores these provisions consistent with the County’s General Plan and community plans.
Hawai‘i’s public trust doctrine, embedded in its Constitution, demands that land-use decisions balance private benefit with the public good, including environmental stewardship and housing access.
Courts have not overturned the ordinances affected by Bill 9, underscoring its legal viability.
V. Economic Arguments and Job Preservation
Some opposition arguments suggest Bill 9 will cause economic disaster by eliminating jobs tied to the short-term rental industry and reducing funds for affordable housing. These claims merit critical examination:
While STRs do generate jobs, many are seasonal and low-wage, often contributing to housing insecurity for workers themselves.
The long-term economic health of Maui depends on stable communities with affordable housing, not on an over-reliance on speculative short-term rentals that fuel volatility and displacement.
Revenue currently generated by STRs is inconsistent and often does not flow adequately into affordable housing programs or community benefits.
Bill 9 encourages investment in sustainable housing solutions that prioritize local families and workforce stability, which in turn supports economic resilience.
VI. Recommendations and Closing
Bill 9 represents a necessary step toward:
* **Reclaiming apartment zones for long-term housing.**
* **Protecting Native Hawaiian families and all local residents from displacement.**
* **Preserving Maui’s environmental health and cultural heritage.**
* **Supporting a sustainable, equitable economy rooted in community wellbeing.**
I urge the Council to reject arguments based on misleading assumptions about local buying behavior and economic fears unsupported by data. Instead, affirm Bill 9 and complement it with:
Increased funding for affordable housing development targeting residents.
Enforcement of existing zoning regulations.
Transparent reinvestment of STR revenues into community programs and infrastructure.
Mahalo for your leadership and commitment to Maui’s future.
I cannot provide my name and information because I am a realtor and have been harassed for our support of this bill.
Aloha,
I am writing to oppose Bill 9. I am the broker of a property management company that has been doing business on Maui for 42 years and employs 14 people. We also contract about 50 vendors that assist with cleaning, maintenance and renovations. We buy local supplies and use local resources as much as possible. We manage both long term rentals and short-term rentals on 5 islands. The majority of our portfolio are long term rentals.
Currently we are experiencing the highest vacancy rates in our long-term rentals that we have seen since 2008-2010. Our population is not making enough money to afford rent due to the decreased tourism. Restaurant, shops, hotels and activities to name a few are suffering. Also, Federal workers are in fear of losing their jobs and don't want to commit to a long-term lease. Our population will not be able to pay for their mortgages, taxes, insurance, car loans, food or staycations if there is no tourism.
I have been in this business for over 17 years. I joined this industry before the OTA's started to take our profits with their large commissions. Once Booking.com, Air BnB, VRBO (to name a few) started taking over bookings, the dynamics changed, the pricing changed, the market changed, and regulating the volume of visitors changed.
In my opinion the better way to regulate STR is to put bookings back in the hands of the on-island property management brokerages so there is balance. Do no allow the large OTA's who do not reside on the island to make all the money with the huge marketing campaigns and hefty commissions. They don't care what they are doing to our islands. Banning OTA's would restore a more even playing field with high seasons and low seasons. A good portion of the investors who own STR would go back to renting their properties as long term rentals. We may have a better chance to expose the illegal STRs because they would not be able to use OTA's. The locals would have a chance to breath, relax and have the island to themselves during low season, and to make money during high season.
Since we are going backwards let's do it right and with balance. Ban OTA's not STR's.
Valkyrie Smith
AA Oceanfront Rentals and Sales
Aloha Chair, Vice Chair and Committee Members,
I am born and raised here on Maui, and I strongly oppose Bill 9. I work for a property management company that manages short term rentals, long term rentals, FEMA properties, and more. Our company employs nearly 70 local residents here on Maui, and additionally we work with and support over 130 local vendors for our cleaning and maintenance needs that our rentals have. Yearly, we contract out roughly $2.7 million in repairs and maintenance through local vendors that our short term rental properties require. In 2024, we paid out over $2 million to locally owned and operated cleaning companies for our short term rentals.
This industry has provided an opportunity for countless residents to create and run their own businesses from, whether it’s a professional cleaning company, local plumbing company, window washers, appliance technicians and more- this industry not only supports thousands of local residents, it also has created opportunity that they may not have had without vacation rentals to service. Many of these vendors solely rely on vacation rental property needs.
It was mentioned in a presentation at the beginning of the hearing that 94% of lodging revenue from STRs are lost as it is taken off island by a non-resident, but that is not true- local management companies charge anywhere from 20-30% of that rental income to manage these properties. In addition to that are the separate cleaning fees and maintenance expenses that are collected and paid out here on Maui.
The UHERO report quotes staggering economic implications from this Bill if it should pass- losses that will affect us as local residents. Losses for our schools, our infrastructure, our roads, our services, our affordable housing fund… the State and County revenue generated by vacation rentals on the Minatoya list is significant… its substantial, and its loss would be devastating to Maui residents- and even with that sacrifice, this proposal does not guarantee housing for residents.
Mayor Bissen is suggesting properties should apply to be rezoned to short term use, which would protect county revenue streams in the future, but will it actually be achievable? What are the requirements, the process, the implications? Can this be done in a reasonable amount of time? It’s a compromise that may make sense for properties that should remain as vacation rentals, but not with unreasonable requirements and an endless timeline to achieve re-zoning.
I ask that you consider the impact this will have on Maui residents, and how many rely on this industry to support their families. We want new housing for our residents, we want opportunities to run our own local businesses, and keep the profits here on Maui.
Strongly oppose this poorly conceived bill. For those who say let’s correct mistakes of the past or housing before profit or any other similar statements.Can Paltin or Fernandez ask if they can make a 6k rental payment? Do they understand that if every unit was gifted to a red shirt activist that skill set consisting of lei making or teaching dancing or planting taro that all though wonderful skills don’t produce an income to pay 6k. Look at Redfin or Zillow and you can see the factual cost of every unit on Maui. How will HOAs go down??? Perhaps the county can buy a complex or by way of eminent domain secure a building. Houses in developments on the Island have HOAs. They won’t be going lower simply because a few condo associations will get a few of “our” people on the boards. Can anyone on the council simply look at facts. Perhaps Chelsea Davis or Brian Perry could write a story while visiting a few condos and report that yes, it is true, condos cost about 5/6k per month. This is such a waste of time. No 2 working people want to pay 6k for rent. Does Maui think fed funds will be contributing to the economy of Maui? Trump wants FEMA to permanently end after hurricane season. Troops in LA. RFK getting rid of 17 vaccine panelists. The money is drying up. Don’t flush what remains of Maui’s economy. Locals going to go to HONU and do the $210 wine night. Doubtful.
Wake up. Gifting 400k condos to a population isn’t go to stand up in the courts. Right now, probably some wealthy owner on his way to give Trump a 1m donation to put a stop to this.
Build buildings taller than a coconut tree by the airport. Take the tax money and build.
Maui, you really are turning into a banana republic. Get smart. Think outside the box. Pay for experts, become modern. Try to look at what is best for all the people, not just “our” people.
Vote No
June 17, 2025
Aloha County Council Members,
Mahalo for the opportunity to share my testimony. My name is Susie Pu, and I am the General Manager of Hana Kai Maui. I’m writing in opposition to this legislation as it applies to Hana Kai.
As a lifelong resident of Hana, I have a deep connection to this community. Hana is unique—geographically, culturally, and economically—what works elsewhere on Maui may not be suitable here. Hana cannot afford to lose any viable local business, especially one that has employed our residents and contributed to the local economy for more than 50 years.
Hana Kai Maui was built in the early 1970s as a short-term rental property and has operated as such ever since. We provide year-round employment for 10–15 Hana residents. We are locally managed and we strive to give back to our community through free accommodations for local events, silent auctions, charitable donations, and annual scholarships for our graduates. We also support community gatherings such as the Taro Festival, Limu Festival, and Aloha Week by providing much-needed lodging for participants and organizers.
The need for more affordable housing in Hana and across Maui is undeniable, and we fully support efforts to address this. However, reclassifying the 19 units at Hana Kai is not the appropriate solution. In recent years, many single-family homes that once housed local families have transitioned to short-term rentals. While we understand how this shift came about, placing families in units designed for visitors and visitors in homes meant for residents does not serve the best interests of our community.
In this light, we’re encouraged by the Department of Hawaiian Home Lands' proposed 653-acre residential development in Hana. This project seems like a more effective path forward for addressing Hana’s housing needs.
It’s also important to recognize the operational and financial realities of this property. We are the only property in East Maui with a wastewater treatment plant. The current system cannot adequately support long-term housing without major upgrades. Loan repayment alone averages $465 per unit per month, with annual operational costs exceeding $30,000. Other challenges include limited parking, aging infrastructure, and limited electricity supply.
Overnight guests in Hana help support the local economy by staying in our hotels, dining at our restaurants and food trucks, shopping at our stores, and booking experiences with local guides; unlike many day visitors who strain our infrastructure but contribute little in return.
We recognize the difficult decision in front of the Council. Still, we ask that you consider the distinct nature of Hana and explore the possibility of exempting the Hana Community Plan area from this legislation. Our goal is to continue operating in a way that supports our employees, community, and visitors—while honoring the unique character and needs of Hana.
With gratitude and respect,
Susie Pu
General Manager, Hana Kai Maui
My name is Alan Iwasaki and I am a STR owner and a part time Maui resident.
Respectfully, I would like to express my opposition to this bill.
I am not a Maui voter, so you may be inclined to discount what I have to say, but I want you to know that I am a stakeholder and invested in the bright future of Maui.
I would like to make 3 points:
1. I believe this bill is an attempt to solve the affordable housing problem in Maui. While well intentioned, it is fraught with unintended consequences which I believe will make the problem worse.
2. There are other alternatives to provide short term and long term affordable housing in Maui.
3. If this bill passes, I will not rent out my condo for long term use.
I will elaborate on each point:
1. Unintended consequences: Without STR’s, tourism, the driving force of Maui’s economy, will suffer as thousands of STR tourists are unable to afford more expensive hotel rooms. The drop in tourism will lead to a significant decline in tax revenue, jobs, small business income and personal income. The only positive result of this bill is that resort hotel rates will increase and hotel corporate income will skyrocket. STR’s that will be forced into long term rentals will be unaffordable to the population who need affordable housing. The current affordable housing gap will only increase.
2. There are no easy or cheap alternative solutions to affordable housing. A short term option is for the Maui government to increase subsidies to renters, owners and/or developers. This is extremely costly and the current STR tax revenue, along with other revenue sources, will be needed to fund this option. The longer term solution is to kick start sustainable economic growth of diverse business sectors and entrepreneurship to complement the legacy tourism based economy. A growing, vibrant and balanced economy is key to long term prosperity.
3. Personally I will not rent out my condo for long term use because the rent will be unaffordable. This is a shared view by the vast majority of STR owners. Because of this, I believe this bill will not achieve it’s original intent of providing affordable housing in Maui.
In summary, I believe we all want to improve the affordable housing situation, but in my opinion, this bill will not work. I strongly urge the Committee and the Council to vote against this measure.
Thank you for the opportunity to share my views.
100 percent support bill 9 as an owner of an illegal stvr.
Raymond Felando
Aloha ia oukou! My name is Kalae and my brothers and myself have a local small business offering small renovations and repair to a lot of these STR units. We are given work regularly and the compensation we get is more than decent considering the very high cost of living here. We know transferring all these units to long term rent will not help the situation. The cost of upkeep to these places are very high since most of them were built 40 to 50 years ago. These costs will often be higher than what an average person can afford for a monthly rent. Better to use the high property taxes to look into better options than taking away property rights from law-abiding people.
If this bill is implemented thousands will lose their jobs. How is that supposed to help them afford to live on Maui? Without some sort of industry coming to Maui to replace the visitor industry those people will not be able to pay for any place to live. And I am not even talking about the homeless but people who are now employed in the visitors industry who will lose their jobs. Please find another way to fix this problem so that you don’t create more homeless people. I am an owner of a condo that is on the short term rental list but I don’t rent my unit. I live there.