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<br /> August 1, 2007 <br /> The Honorable Pete Hoffmann and Council Members <br /> Page 2 <br /> Please know that the disapproval of Bill 112 is very difficult for several reasons. First, it is <br /> difficult because I fully support what this bill is trying to do. Second, this is a bill that was <br /> prepared and submitted by my administration. I accept the blame for this situation because of <br /> the neglect to ensure that certain necessary provisions were attached to the bill. <br /> The specific concerns that lead me to feel that this action is necessary are: <br /> • Bill 112 provides no process by which a developer or landowner can request full or <br /> partial relief from the housing requirement such as a reduction in the requirement, <br /> alternatives to the requirement or a waiver of the requirement. <br /> • Bill 112 does not take into consideration or provide a means to credit developers who <br /> have voluntarily provided affordable housing for the County of Hawaii. This <br /> specifically applies to projects that are developed in phases. <br /> • Bill 112 does not consider familial transfers of property. For example: <br /> o Parents own a parcel of land and want to subdivide to give each child a lot. If <br /> the lots in the subdivision aze smaller than five acres in size, the subdivision <br /> will be subject to the affordable housing requirement. <br /> o Pazents own a parcel of land and want to subdivide to give each of their <br /> children a lot, but in order to pay for the required subdivision improvements, <br /> they will need to sell some lots to pay for such improvements. If the lots in the <br /> subdivision are smaller than five acres in size, the subdivision will be subject <br /> to the affordable housing requirement. <br /> • There may be situations in which a developer has not yet received tentative approval <br /> (a case in which the affordable housing requirement would apply) but has vested <br /> property rights. This bill has no provision to address this. <br /> • There are ongoing developments that are under way at various stages and have abuild- <br /> out schedule of several years. There needs to be a fair way to address these <br /> developments to ensure that they remain viable as these large developments aze relied <br /> on to build infrastructure such as water, sewer systems, roadways and drainage <br /> systems for the benefit of the community at lazge. <br /> • It has always been the goal and policy of this administration to ensure that whenever <br /> any major policy changes are pursued, a forum of some sort is to be conducted to <br /> allow those who would be affected an opportunity to air their concerns. This was not <br /> done on this issue. <br /> If this veto is upheld, it is requested that members of the Council work with the Planning <br /> Department, Office of Housing and Community Development, and the community to craft a <br /> bill that will meet the concerns stated above, and help achieve the goal of a bill that would <br /> <br />