Hearing Set for Proposed Phase Out of Minatoya STVRs

We want to provide an important update on a piece of legislation that could drastically reshape the short-term rental (STR) landscape in Maui County. The long-awaited hearing on Bill 9, which proposes the phase-out of short-term rentals in properties known as Minatoya STRs, has officially been scheduled.

Hearing Date: Monday, June 9, 2025
Time: 10:00 a.m. HST
Location: Maui County Council – Housing and Land Use Committee (HLU)
Expected Duration of Testimony: 2–3 days

This legislation, if passed, will significantly impact the future of STRs in apartment-zoned properties across Maui, potentially eliminating more than 6,000 currently permitted units by 2030.

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What You Need to Know

For those directly affected—or simply invested in the broader economic and community impacts—here are the key resources and facts:

• [View the List of Affected Properties]
  The properties at risk are located in A1 and A2 apartment zoning districts, often referred to as the “Minatoya List.” These STRs were granted legal use under a 2001 legal opinion by former Corporation Counsel Richard Minatoya, which allowed transient vacation rentals in apartment-zoned areas under certain conditions.
• [Read the Latest Version of Bill 9]
  The newly revised draft of the bill proposes a full phase-out of transient vacation use by June 30, 2030. Our team is currently reviewing the latest language, but initial analysis suggests the revisions maintain the core intent of the bill: to remove STR use from A1 and A2 zones over a set period.
• Not All STRs Are Affected
  Importantly, this legislation does not impact STRs in hotel/resort-zoned properties, which will continue to operate under existing regulations.

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What Is Bill 9?

Bill 9 was introduced by Mayor Richard Bissen as part of a broader effort to address Maui’s housing crisis by returning STR units to the long-term housing market. While increasing access to housing for local residents is a widely supported goal, this particular bill has sparked significant concern within the business community, the tourism sector, and among individual property owners.

The bill seeks to amend county zoning laws to eliminate transient vacation rentals in apartment-zoned properties, which have been legally operating for years under the “Minatoya” interpretation. These properties currently provide a significant portion of the island’s legal STR inventory and contribute millions annually in tax revenue.

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Why This Matters

At the June 25, 2024 hearing before the Maui Planning Commission, our team, along with numerous community members, testified in strong opposition to the bill. Here are just a few of the concerns raised:

• Economic Impact: Eliminating over 6,000 STRs would result in a substantial loss of property tax revenue, estimated in the tens of millions annually, impacting funding for schools, infrastructure, and essential services.
• Job Losses: Thousands of local jobs—housekeepers, landscapers, property managers, maintenance crews, and more—are supported by the STR economy. Many of these workers could be directly impacted.
• Small Business Recovery: Local shops, restaurants, tour operators, and service providers still recovering from the 2023 Lahaina wildfires rely heavily on visitor traffic tied to STRs.

Despite these concerns, the Planning Commission voted to recommend the bill’s approval, with some suggested amendments. The proposal now heads to the Housing and Land Use Committee for further deliberation and public input.

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How You Can Get Involved

This is a critical moment for our community to engage. Whether you support or oppose Bill 9, your voice matters. Here's how you can participate:

• Submit Testimony: Written and live testimony can be submitted to the Housing and Land Use Committee. Instructions for testimony will be posted on the Maui County Council website as the hearing date approaches.
• Attend the Hearing: If you’re on-island, consider attending in person or watching the livestream to stay informed.
• Spread the Word: Share this post and talk with neighbors, local business owners, and friends who may not yet be aware of the potential impacts.

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Stay Informed

We will continue to monitor this process closely and provide updates as new information becomes available. For questions, media inquiries, or to get involved with advocacy efforts, please contact us directly.

Mahalo for your continued engagement.

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