‘I’m sick of words on paper’: Hilton Head evictions spark call for tangible action
Dozens of Hilton Head residents packed into the Town Council chambers for Tuesday morning’s special meeting called to address the Aug. 12 evictions at Chimney Cove Village, and the shortage of affordable housing on the island.
Many in attendance were community leaders eager to share what they or their groups had done — or could do — for residents still in need of aid. Others simply shared suggestions for council leaders to consider as the town navigates what Ward 2 Councilman Bill Harkins called an “immediate crisis” of housing on the island.
Suggestions differed in how exactly to solve Hilton Head’s housing issue, with some championing public-private partnerships and others acknowledging the impact escalating short-term rentals have had on driving up rents across Hilton Head. Each attendee shared the sentiment that tangible action is needed quickly.
No one highlighted that more poignantly than Ward 1 Councilman Alex Brown. While Hilton Head has been quick to address problems like beach erosion on the island and its potential impact to tourism, he said, “Time and time again” [the] Town Council has put off swift action on housing.
“When we start to talk about having an equitable situation for all of our residents on Hilton Head, from the highest to the lowest income levels, we do nothing,” he said. “We’ve got $1 million in the bank that we’re going to put towards North Point (workforce housing), but that’s not our money. The feds sent us that money.”
‘This is not a new subject’
Assistant Town Manager Shawn Colin reported on some of the steps Hilton Head has previously taken to assuage housing needs. In 2020, the council approved incentives for developers to repurpose underutilized commercial spaces to housing. It also amended town codes in 2021 to allow higher-density housing under certain conditions.
“Obviously (the town’s previous efforts) weren’t enough, because if it was, we wouldn’t have a room full of people standing in front of us this morning,” Brown said. “Quite frankly, I’m sick of words on paper. I’m ready for us to start taking some action.”
Colin acknowledged there is a housing need at all income levels. He’s worked for Hilton Head for 16 years, he said, and has commuted to the island the entire time.
Ward 6 Councilman Glenn Stanford echoed Brown’s frustrations.
“I’ve been on council now for about four years, we’ve been talking about workforce housing during all of that time,” Stanford said. “This is not a new subject.”
Stanford said he feels the town should prioritize purchasing land to be used for another public-private partnership, similar to the workforce housing project on the island’s North End.
Town Manager Marc Orlando said proposals from the final seven firms being considered for the project are due the first week of October.
Impact fees associated with building housing could be another obstacle to development, Stanford said.
“I am willing to support eliminating some of those fees, reducing some of those fees, (or) supplementing some of those fees in order to promote and encourage housing,” Stanford said.
He also suggested eliminating problems in the town’s land management ordinance, including issues on the definition of a unit.
There is still a number of “not in my back yard” residents on the island who won’t be in favor of building workforce and affordable housing, Harkins acknowledged. The council and other residents in favor of the developments will need to serve as “catalysts and conveners” to bring others on board, he said.
Economically, Harkins said there is a tangible impact to keeping workers on the island — and a substantial penalty for not investing in workers.
That investment will have to come quickly, he said. Although the residents of Chimney Cove were given a reprieve after their eviction notices were rescinded on Sept. 1, Harkins said the property is still likely to sell in the future, and tenants will be forced to leave.
“It’s going to happen. Once an owner decides to liquidate, the first buyer didn’t work out, I’m sure there are others in the queue,” Harkins said. “We have an immediate crisis. ... That gives us the opportunity and the facility, maybe, to cut through some of the morass we have to follow as part of government and do something immediately.”
Chimney Cove residents were given 30 days notice to get out. When that sale does eventually come however, Orlando said the town must reinforce that 30-days notice isn’t acceptable.
“The message needs to be loud and clear, 30-days notice to residents is not enough notice in our community, plain and simple,” Orlando said.
Impact of short-term rentals
The impact of property owners using their apartments or homes solely for short-term rentals has been linked to rising rent costs by studies from the Economic Policy Institute and Harvard Business Review. Orlando said this effect has been apparent on Hilton Head.
“It’s obvious. I do not have an agenda here, but short-term rental conversion on Hilton Head Island has affected the long-term rental options,” Orlando said. “I have nothing against the rental market ... but that has affected a supply-and-demand issue on our island.”
The town has passed minor regulations on short-term rentals, including requirements for property owners to buy a $250 annual permit for each property being rented short-term. Orlando said further solutions could include adjusting a millage rate for property taxes.
There is still a balance to be struck for respecting property rights, Orlando said, and the nature of property transactions.
‘Contingency plan’ needed
Orlando called upon council to formalize a town plan for situations such as Chimney Cove to give residents more security.
The town could utilize the federal Housing Choice Voucher Program, which aids very low-income, disabled and elderly residents in need of affordable housing.
“We need to sign a letter and ask for some vouchers,” Orlando said. “We know that there’s some funds out there.”
As the meeting’s final speaker, Mayor John McCann reflected on how the severity of the situation at Chimney Cove is one of the only reasons the community has engaged with difficult realities that many islanders don’t often think about.
“There’s still a lot of people that are hungry ... there’s still a lot of homeless people. We don’t even talk about those things,” McCann said. “We don’t talk about anything that makes us uncomfortable. We talk about Chimney Cove because it’s in the paper.”
The remaining few months of his mayoral term should focus on “one or two big things,” McCann said.
“We need something that we can feel and touch, so the community can say, ‘God, they really are doing something.’”
McCann said the town should hold a referendum for residents to decide how much funding is set aside each year toward housing costs, like buying land and construction of units.
“We need an action,” the mayor said. “We need a win for the town — not for us, because we’re leaving — but a win for the town.”
This story was originally published September 6, 2022 at 2:16 PM.