Hilo residents clash over bill 47 regulating short term rentals in Hawaii

The Hawaii County Policy Committee on Planning, Land Use, and Economic Development convened on May 6, 2025, to discuss Bill 47, which addresses regulations for short-term rentals. The meeting featured a series of public testimonies reflecting a range of opinions on the proposed legislation.

The session began with a brief introduction to the bill, which aims to ensure that all short-term rental operators are registered and compliant with local tax regulations. The committee emphasized the importance of public input on the bill, encouraging residents to testify.

Heather Corote, a resident from Captain Cook, expressed support for Bill 47, highlighting that registration would create a fair environment for all operators and ensure compliance with tax obligations. She stressed the necessity of allowing unpermitted structures that meet health and safety standards to continue operating in agricultural zones, as many small farms rely on short-term rental income.

In contrast, Joy Dillon from Hilo opposed the bill in its current form. She urged the council to defer action until the completion of an economic impact study commissioned by the county, which is expected within 60 days. Dillon argued that the proposed registration requirements and penalties could foster mistrust among homeowners, particularly those renting out portions of their properties to make ends meet.

Gordon Lindquist, a Kailua Kona resident, echoed Dillon's concerns, questioning the rationale behind the proposed penalties and the timing of the bill. He argued that the council should wait for the economic impact study before proceeding with any new regulations.

Carol Burns, also from Kona, criticized the bill as being premature and overly broad. She expressed disappointment that the council would consider the legislation before the economic study's findings were available, emphasizing that many homeowners could be adversely affected by the proposed requirements.

The committee continued to hear from additional testifiers, including Stephanie Donahoe and John Casey, who also provided their perspectives on Bill 47. The discussions highlighted a significant divide among residents regarding the regulation of short-term rentals, with many calling for a more cautious approach until further data is available.

As the meeting progressed, the committee acknowledged the importance of balancing regulation with the economic realities faced by residents dependent on short-term rental income. The session concluded with a commitment to consider all testimonies before making any decisions on the bill. The next steps will involve reviewing the feedback received and awaiting the results of the economic impact study to inform future discussions.