Hawaii Governor Josh Green recently signed legislation clarifying county authority on short-term rental regulation.
Hawaii Governor Josh Green recently signed Senate Bill 2919, which, among other things, underlines county authority to regulate short-term rentals (STRs). STR legislation has grown in popularity nationally, mainly due to the housing affordability crisis. While the situation is both complex and multifaceted, in some communities, STRs are putting significant upward pressure on the cost of housing. The Hawaii bill clarifies counties’ authority to control the time, place, manner, and duration of land uses, particularly transient accommodations, including short-term rentals.
According to the press release:
By addressing the issue of illegal short-term rentals, SB 2919 aims to alleviate Hawaiʻi’s housing crisis and increase housing levels throughout the state. This bill provides counties with home rule authority to see that vacation rentals are not allowed in communities that do not want them. It will help clear up any issues of state preemption, but counties will still need to craft their policies to avoid other legal or constitutional issues. This will help against the adverse impacts of non-resident ownership of short-term rentals, which impedes housing supply for residents and emphasizes the unique needs of each county in regulating such accommodations.
As part of our 2024 legislative initiatives, MACo proposed similar legislation to advance comprehensive housing solutions. A significant component of the MACo housing package was underlining county authority regarding short-term rental regulation. While charter counties essentially already have express authority to regulate STR, MACo’s bill would have clarified any remaining ambiguity for non-charter counties to enact similar policies. Unfortunately, while certain components of the package were able to advance via other vehicles, the STR component failed to pass before the crossover deadline.
Read about the MACo Housing Package.
