Hawaiʻi hotels oppose increased visitor tax for climate efforts

Hawaiʻi hotel operators are opposing a proposed increase in the visitor tax, arguing it is not an effective way to fund climate mitigation. They emphasize that the hotel industry is still recovering from the impacts of COVID-19 and faces significant economic challenges. The hotel sector reports a decline in visitor numbers, particularly from Japan and Canada, which has affected occupancy rates. They highlight inequities in tax collections between hotels and short-term rentals, with hotels bearing a larger tax burden. The Hawaiʻi Hotel Alliance supports climate initiatives but suggests alternative funding methods, such as using existing tax revenues. They stress the need for better enforcement of regulations on short-term rentals to ensure fair competition and tax compliance.