REP GOEAC 141 2026-06-16 2024-2026

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REPORT OF THE COMMITTEE ON GOVERNMENTAL OPERATIONS AND EXTERNAL AFFAIRS DATE: June 16, 2026 Re: Comm. No. 935/Res. No. 592-26 PLACE: Council Chambers Kailua-Kona, Hawai‘i TIME: 9:01 a.m. Council Chair and Members Hawai‘i County Council Hilo, Hawai‘i 96720 Your Committee on Governmental Operations and External Affairs, to which was referred Resolution No. 592-26, reports as follows: Resolution No. 592-26, transmitted by Deputy Corporation Counsel Diana Mellon-Lacey, via Communication No. 935, dated June 3, 2026, authorizes the Mayor to enter into an amended administrative order on consent agreement with the United States Environmental Protection Agency (EPA) under Section 309 of the Clean Water Act. Resolution No. 592-26 authorizes the Mayor to enter into an agreement with the EPA for a five-year extension for the Kula‘imano Waste Water Treatment Plan Rehabilitation and Replacement Project and a three-year extension for the Pāpaʻikou Waste Water Treatment Plan Rehabilitation and Replacement Project. Ms. Mellon-Lacey was present in the Kona Chambers to share slides regarding this resolution. She said this is an amendment to a previously agreed upon consent agreement from 2022. She said this request for extended time requirements was initiated by the County. She went over the proposed amended deadlines for three-year extensions for these two projects. She said that these time extensions were primarily due to financial concerns. Finance Director Diane Nakagawa was present in the Kona Chambers to further explain the proposed schedule and financial implications to help even out the spending across the course of the next decade. She explained how this will help decrease the expected debt service payments. Committee Member James E. Hustace asked to clarify if the scale was in the thousands of dollars. Ms. Nakagawa said it is millions of dollars. Committee Member Dennis “Fresh” Onishi asked several questions about anticipation of additional changes in price. Ms. Nakagawa said that this project does account for inflation over the next decade. Member Onishi asked Environmental Management Director Daniel Girvan, who was present in the Hilo Chambers, if his office will be making sure that this project doesn’t go over budget. Mr. Girvan said yes, they would do that. Member Onishi asked about accountability for these assurances. Mr. Girvan said that the funds in the repair budgets would be covering some of the upcoming work that is planned. GOEAC Report No. 141