The city's Department of Planning and Permitting is responsible for preventing illegal vacation rentals on the island of Oahu, but in the last five years only 88 violation notice or warnings have been issued and only $48,853 in fines have been collected. Critics argue that this is a tiny amount considering that it is currently estimated that there are over 22,000 illegal vacation rentals being operated on the island.
Mayor Kirk Caldwell defended the Department of Planning and Permitting and stated. "The vacation rental issue is highly controversial. We face a huge challenge here, as you know, regulating and enforcing vacation rental issues, and it always comes down to money and whether we have the money to actually do the enforcement." George Atta, the director for the DPP, added, "Quite honestly, operators are smart. They tell their tenants not to answer the door and not to speak to anyone from the city. Because my inspectors don't have a warrant, they can't insist on entering. In a certain sense, we don't have the tools that are necessary to gather evidence."
City Councilman Ikaika Anderson has drafted a proposal that would expand owner-operated bed-and-breakfasts to 1,275 units, with no more than 25 percent of them allowed in one district. Anderson also would punish violators sternly and would not grandfather in current offenders. The fees created by these new bed-and-breakfasts would pay for about a dozen new city inspectors, who would focus on vacation rental enforcement.
The Honolulu City Council plans to meet in the new year to discuss further options.
Source: Honolulu Star Advertiser, 12-29-2014, www.staradvertiser.com
Posted by Jeff Uyemura-Reyes, Principal Broker, REALTOR®
Global Executive Realty, LLC
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