REP FC 031 03/15/2011 2010-2012 - Laserfiche WebLink

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REPORT OF THE COMMITTEE ON FINANCE DATE: March 15, 2011 Re: Comm. No. 99 /Res. 38 -11 PLACE: Council Chambers West Hawai`i Civic Center TIME: 2:05 p.m. Council Chair and Members Hawai`i County Council Hilo, Hawai`i 96720 Your Committee on Finance, to which was referred Resolution No. 38 -11, reports as follows: Resolution No. 38 -11, transmitted by Councilmember Dominic Yagong, dated February 14, 2011, rescinds Resolution No. 216 -09 and authorizes the Finance Director or authorized representative(s) thereof to invite proposals for lease by negotiation of certain former Hamakua Sugar Company, Inc. lands now under County ownership. Resolution No. 216 -09, adopted by the County Council on November 18, 2009, approved and directed the Finance Director or authorized representative to proceed with the sale by auction or sale by sealed bid of the 737.302 acres of Hamakua Lands, consisting of 17 parcels ranging from 12.8 to 109.72 acres. The Administration had grouped the parcels into four bundle parcels with four sealed bids that were opened on March 31, April 7, April 14 and May 24, 2010. There were no offers received for the first two bid openings. The Administration cancelled the third and fourth. Retaining the ownership of these parcels will enable the County to lease the land out for the purpose of diversified agriculture, renewable energy development, pastoral use, eco- tourism, workforce housing, and agriculture education and training. The leases shall be conditional to these uses, and the land shall not be used for research, development, production or cultivation of genetically modified organism (GM) products. The Finance Director or authorized representative(s) shall evaluate and select the best proposal within 120 days of the adoption of this resolution and submit a resolution to the Council delineating the proposal. The Council shall then have 60 days to act on the resolution, from its date first appearing on an agenda of the Council or one of its Committees. Council Chair Dominic Yagong seeks the support of the Council for this Resolution. During discussion Your Committee was informed by Mr. Yagong that these parcels are located in Pa'auilo and not in Kapulena. Mr. Yagong stated that during community meetings held in the district, the public expressed an interest placing these lands into production via leasehold, with the County retaining ownership. Also, he said this proposed resolution provides an open and transparent process to the public. FC Report No. 31