New Rules To Fight Illegal Short Term Vacation Rentals in Maui

Efforts are on the table and being considered that would bring about changes to make it much more problematic to operate and profit from an illegal unpermitted short-term vacation rental suite in Maui’s residential areas. However, instead of heavier fines and stronger laws, the suggested course of action is to place the burden of proof that there is no illegal short-term rental operation onto the property owner, as opposed to the present system of requiring the government agency to prove there is an alleged illegal unpermitted short-term vacation rental suite available on the property.

As it currently stands, the process of investigating a complaint about an illegal rental suite operation is to have a government inspector visit the residence. If no one answers when they knock, the agent will file a “No suspicious activity” report and be done with it. However, with a simple change in current procedure requiring a bit of online research, it is very possible to find an ad for the alleged offending property and build a proper case. Though private renters traveling to Maui may be both unaware of the illegality of their stay and actually be gone from Maui once the proceedings are underway, changes allowing the government inspector’s “hearsay” as admissible evidence would make requiring the actual renters’ presence at proceedings a moot point. Removing the burden of proof from the government and placing it upon the property owner, allowing inspector hearsay to be admissible, and continuing the $1000 a day fine would go a long way to getting illegal short-term rental property owners to seek the proper channels to make their operation legal and above-the-table.

Deputy Corporation Counsel and Board of Variances and Appeals adviser James Giroux says that stronger laws and heavier fines are not needed. Rather, simply providing proof that the owners were offering short-term rentals over the specific period of time of the complaint, whether the property owners had takers or not, is all that is needed. Trying to catch renters is secondary when online ads featuring full descriptions and addresses are available to be scoured regularly. When such evidence is presented, it will be the property owner’s requirement to prove they were not operating an illegal unpermitted short-term vacation rental suite in Maui’s residential areas, removing the task of having to prove such matters from the government.