On May 26th, the Maui County Council’s Housing and Land Use Committee voted to advance Bill 88 by a 6-1 margin. The Bill, proposed by South Maui County Council Member Tom Cook, would establish the H3 and H4 zoning classifications. These zoning classifications mirror the current A-1 and A-2 zoning classifications with one key distinction: the right to conduct short-term rentals.
Background on Bill 88
Bill 88 is a complementary piece of legislation to Bill 9, which became law in December 2025. That law sunsets short-term rentals in apartment-zoned condos in West Maui on January 1, 2029, and throughout the rest of the island on January 1, 2031. Bill 88 would provide a path for some of the island’s apartment-zoned condos to continue offering vacation rentals. To be clear, it would not automatically rezone any condos impacted by Bill 9. Impacted condos would still need to apply to rezone to H3/H4 zoning.
Maui County Council’s Temporary Investigative Group (TIG) recommended creating H3/H4 zoning last fall. The TIG, composed of four council members, was tasked with assessing the economic impact of Bill 9 and the suitability of the condos for long-term rentals. Their report included a recommendation to create H3/H4 zoning and a list of condos better suited to remain short-term rentals. Costs of ownership and future exposure to sea level rise were two of the main criteria used to assess suitability.
There was talk of adding the TIG group’s recommendations to Bill 9 or of establishing H3/H4 zoning before the Bill’s passage. Bill 9 ultimately passed “cleanly” in December 2025.
Since then, the path to the proposal of Bill 88 has had its share of twists and turns. Within just days of Bill 9’s passage, the county council began discussing Resolution 25-230, which would refer a bill to Maui County’s Planning Commissions to create H3/H4 zoning. The first attempt to pass the resolution fell short by one vote, with the council short-staffed after the passing of council member Tasha Kama.
The second attempt to pass Resolution 25-230 in January was successful, passing by an 8-1 margin. From there, the Maui, Lanai, and Molokai planning commissions all took turns debating the creation of H3/H4 zoning. None of the three planning commissions recommended creating the new zoning.
The three planning commissions’ votes did not doom H3/H4’s prospects. They just changed the math on any future council vote. The county council could still create H3/H4; they would just need six votes instead of a simple 5/4 majority.
The Land Use and Planning Committee Review Bill 88
That brings us to the last meeting of the Maui County Council’s Housing and Land Use Committee. The committee consists of all members of the Maui County Council. They heard public testimony, provided their own opinions, and presented potential amendments to the Bill before voting.
The prospects for Bill 88 looked promising when Mayor Richard Bissen led off testimony with strong support for the Bill. Mayor Bissen proposed Bill 9 after the Lahaina Fire. It was his proposed solution to the island’s housing crisis. In his testimony, he described Bill 88 as an important part of Bill 9’s implementation, as it establishes a framework for determining whether certain apartment-zoned condos may be appropriate for hotel zoning.
The rest of the public testimony included a mix of supporters and opponents of the Bill. Impacted condo owners and local business owners were among the advocates for the Bill, while members of Lahaina Strong provided passionate testimony against the Bill, expressing concerns that it would dilute Bill 9.
Most of the council spoke in favor of the Bill, with Molokai Council Member Keani Rawlins-Fernandez the only council member outspoken against it. Council member Gabe Johnson from Lanai wanted a more thorough review of the Bill before the Land Use and Planning Committee put the Bill to a vote. Due to other commitments, he left the meeting before the final vote.
Council Member Rawlins-Fernandez proposed an amendment to the Bill to exempt Molokai from implementing H3/H4 zoning. Council member Tamara Paltin from West Maui proposed an amendment requiring that any condo development applying for the new zoning would need to have notified the Department of Planning and the department to have confirmed that TVR use occurred within the complex prior to Sept. 24, 2020. Both amendments passed unanimously before the final vote was held.
Bill 88 Questions and Next Steps
One of the main questions we fielded from clients about Bill 88 is which condos could apply for H3/H4 zoning if and when the Bill passes. Technically, the answer is that any A1/A2 condo confirmed by the planning department as having TVR use within the complex before September 24, 2020. That said, most of the discussion in the Housing and Land Use committee meeting focused on condos previously identified in the appendix to the TIG report.
While condos not listed in the appendix to the TIG report can apply, they will likely face a much harder path to approval. There is some scuttlebutt that additions may be made to the TIG list before Bill 88 comes up for a final council vote. Until we hear it from a member of the county council, I wouldn’t count on any additions.
Condos Recommended for Continued Use as Short-Term Rentals on the TIG Appendix
West Maui
- Ka’anapali Royal
- Maui Eldorado
- Maui Ka’anapali Villas
- Hale Kai
- Hale Mahina
- Hale Ono Loa
- Hono Koa
- Kuleana
- Lokelani
- Maui Sands
- Paki Maui
- Papakea
- Pikake
- Kahana Outrigger
- Kapalua Bay Villas
South Maui
- Hono Kai
- Island Sands
- Lauloa
- Ma’alaea Kai
- Milowai
- Hale Kamaole
- Kamaole Sands
- Kihei Bay Surf
- Kihei Bay Vista
- Maui Hill
- Maui Kamaole
- Maui Sunset
- Maui Vista
- Grand Champions
- Palms at Wailea
- Wailea Ekahi
- Wailea Ekolu
There have also been questions about how long it will take to process rezoning applications. At this point, I don’t think anyone knows the answer. If Bill 88 passes, condo associations will need to file a County of Maui Rezoning application. As it stands, the planning department and the planning commission do not handle many of these applications annually. They would need to review way more applications than they currently process. Each application requires a public meeting of the planning commission.
Needless to say, you can see how applications could get bogged down in the process. For condos in West Maui impacted by Bill 9, it would be a race to get applications approved by the January 1, 2029, sunset date. It will be interesting to see whether any council members propose amendments to the Bill that could streamline the process and whether those amendments would pass.
The next step for Bill 88 is to go before the council for two separate readings before it reaches a final vote. As mentioned above, we may see additional amendments to the proposed Bill. If the County Council approves the Bill, it would then go to the Mayor for his signature. The date of the next county council meeting to discuss the Bill has not been announced. We will continue to provide updates on Bill 88 on this blog. Contact The Maui Real Estate Team if you have questions about Bill 88 or if you are considering buying or selling a vacation rental condo on Maui.
