DPP reports short‑term rental enforcement progress and challenges; committee hears calls to enforce 90‑day rule

The Department of Planning and Permitting (DPP) briefed the Committee on Zoning on Jan. 16 about the status of short‑term rental (STR) registration and enforcement, outlining registration totals, enforcement metrics, staffing and operational challenges and planned next steps while members of the public and industry groups urged the council to prioritize stricter enforcement of a 90‑day minimum stay.

DPP summary of activity and enforcement numbers

DPP reported that as of Jan. 14, 2025 it had approved 1,289 STR registrations and collected $2,610,025 in registration fees (October 2022–Jan. 14, 2025). In 2024 the department recorded 1,345 requests for investigation (RFIs), issued 795 Notices of Violation (NOVs) and 425 Notices of Order (NOOs). The STR enforcement branch includes four investigator positions (two vacant at the time of the briefing), a filled Planner 7 branch chief position, and two Planner 4 positions (one vacancy).

Fines and collections

DPP presented fiscal‑year fine totals on the record (transcript figures): FY2023 fines $29,700,000; FY2024 fines $29,800,000; current FY2025 fines to date $28,900,000. The department said collections are rising but are substantially lower than total fines issued; DPP uses an outside collections contractor (Argonne) for some collection activity.

Legal and practical enforcement limits

DPP staff explained why the department is enforcing the 30‑day minimum stay while working toward administrative steps that would enable enforcement of a 90‑day minimum without violating a federal court order. Director Dawn Takeuchi Apuna and staff explained that the federal district court ruling in December 2023 requires the city to treat STRs that operated before Ordinance 22‑7 as nonconforming uses in the manner they previously operated. To implement a 90‑day standard, DPP said it would need to identify pre‑ordinance operators and determine each operator’s prior operating pattern (a resource‑intensive administrative process that could create a large number of appeals and increase Zoning Board of Appeals workload). DPP said that shifting to a 90‑day enforcement approach requires time, staff, rules and a phased administrative process.

Operational challenges cited by DPP

DPP listed enforcement impediments on the record: staffing shortages and difficulty filling investigator positions; proving service to out‑of‑state or nonresident owners; evasive advertising (phony or missing tax IDs, misleading photos, shifted listings and foreign websites); social media postings; failure of some platforms to fully cooperate with information requests; and a substantial backlog at the Zoning Board of Appeals that complicates appeal schedules.

Public testimony and stakeholder views

Industry and advocacy speakers urged different directions. The Hawaii Hotel Alliance (Ivan Louie Kwan) and other industry representatives told the committee the state’s Act 17 (2024) clarified that counties may treat STRs as nonresidential uses and phase out short‑term rentals, and recommended a 90‑day minimum as a better enforcement standard. Community groups (Save Oahu’s Neighborhoods, Kim Moa and others) urged stricter enforcement and stronger collection and legal action against serial violators; they recommended automated detection, immediate face‑value NOV/NOO issuance for unlawful listings and stronger interagency coordination for collections and foreclosures. Several on‑record testifiers described local examples where operators use 30‑day lease paperwork to claim legal status while effectively offering shorter stays.

DPP next steps

DPP told the committee it is implementing new software (vendor platform referenced in the presentation) to help identify noncompliant listings, is drafting administrative rules to clarify interpretations of Ordinance 22‑7, and plans to pursue additional interagency or contractual enforcement tools. DPP noted it will continue work on Memoranda of Understanding with platforms and pursue strategies to improve collections.

Why it matters

Short‑term rental enforcement intersects housing availability, neighborhood quality of life, tax compliance and public safety. The committee hearing underscored the practical gap between ordinances, court rulings and the administrative resources needed to translate legal standards into enforceable action on the ground.

(Reporting note: the transcript records the raw fine figures and enforcement counts as presented by DPP; the department acknowledged collection challenges and that many enforcement cases are appealed or involve out‑of‑state owners.)