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<br /> i <br /> <br /> 1)h <br /> <br /> To: the members of the Hawaii County Council Hilo <br /> <br /> Re: PROPOSED UNWARRANTED GIFT OF TAXPAYERS MONEY TO OCEANSIDE 1250. <br /> BY RESOLUTION 30~-98, DRAFT 2. IN the SUM OF $4463 FOR TMK 7-9-12:003 <br /> <br /> 10 September 1998 <br /> Some veks ago your Finance Committee considered the first draft of this resolution and I tes- <br /> tified a ainst the ORIGINAL AMOUNT OF $41,105 TO BE GIVEN TO OCEANSIDE as per your <br /> Comm. No. 942, on the attached recommendation of Deputy Finance Director S.K. Schutte who <br /> based this on some scribbled figures in a letter from Mike McCall (also attached), which looks to <br /> me as a falsified government document, while all of that seemed originated by an also enclosed <br /> letter from Oceanside 1250 of 3 June 1998, mentioning the TMK above but no specified amount. <br /> If I remember correctly former council chair Spencer K. Schulte (ending1994) was given a job as <br /> Deputy Finance Director 1 or 2 years ago by our Mayor Yamashiro, whom he had devotedly sup- <br /> ported for many years on the Council. This will boost his council pension. He got an office in the <br /> property tax division and was touted as an expert in tax matters. He is a Kamuela rancher. <br /> <br /> Draft 2 with the reduced amount was on your recent Finance Committee agenda and after I test- <br /> ified again against any give-away, you voted (per your committee report FC269, containing some <br /> contorted language stating that per the county code no more than $2766 could ever qualify for <br /> refund) to recommend adopting Draft 2 of the Resolution for $4463. 1 note that Chung and Tyler <br /> voted NO! The YES voters are in accord with the Resolution's "INTENT"to what some people <br /> call STEALING TAXPAYERS MONEY, while others use a milder term of "playing Santa Clause" <br /> with public money, maybe hoping for campaign contributions, now that the elections are upon us. <br /> <br /> IN THE FIRST PLACE YOU CANNOT CHANGE ORDINANCES (the County Code) WITH A <br /> RESOLUTION. But you would also be violating YOUR OATH OF OFFICE and possibly state <br /> law, AND in my opinion Charter provisions 3-8, 3-10(c), 3-14, 3-16, 5-3.3(0, 10-1, 10-11. <br /> <br /> Just this last April, all of you except Tyler approved, RESOLUTION 244-98, that was followed by <br /> the Mayor and Oceanside 1250 signing a-Development Agreement, and its fourth WHEREAS <br /> reads inter alia (and reflects language in the DEVELOPMENT AGREEMENT, that is a contract): <br /> OCEANSIDE 1250 IS THE OWNER IN FEE SIMPLE AND LESSEE OF CERTAIN <br /> LANDS SITUATED IN HAWAII COUNTY TMK (3) 7-9-12- 03 (all accents added). <br /> The County Code 19-84&85 provides that public lands used and/or occupied on a lease or <br /> otherwise shall be taxed on the fee simple value thereof and private persons shall pay the <br /> taxes thereon at the highest and best value and shall be deemed the owners thereof for <br /> tax purposes. (It is thus not impossible that Oceanside 1250 owes the State lease rent). <br /> <br /> All the above shows that no tax credits are allowable to Oceanside 1250 at all and signing of <br /> the Resolution by any Council member could result in IMPEACHMENT for malfeasance and <br /> maladministration under Charter section 12-2.1, and also other court actions in which case they <br /> would be held responsible in person and for abuse of power in their capacity as Council member. <br /> <br /> It is interesting to cite Supreme Court case First Trust Co. v. Reinhardt, 3 Haw. App. 589, 655 <br /> P.2d 891 (1982), where the buyer of land bears the risk and was solely responsable for his own <br /> mistakes in speculating and determining the value and possible or impossible uses of the land. <br /> <br /> <br /> <br /> 7 td. Too PjB'°wf96 Co ~N ~JL <br /> CFA I R AM <br />