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CARLSMITH BALL LLP <br /> A LIMITED LIABILITY LAW PARTNERSHIP <br /> 121 WAIANUENUE AVENUE �1r ' <br /> P.O.Box 686 HD 47.4 P ENO., <br /> HILO,HAWAII 96721-0686 Iii$*:X12 12 �f�1 <br /> TELEPHONE 808.935.6644 FAX 808.935.7975 <br /> W W W.CARLSMITH.COM <br /> KGOODENOW@CARLSMITH.COM OUR REFERENCE NO.: <br /> 065162-1 <br /> February 2, 2012 <br /> Donny Souza <br /> Melissa Mulliken <br /> P.O. Box 11289 <br /> Hilo, Hawaii 96721 <br /> Re: Proposed Mediation regarding Bill 168 -Change of Zone from RS-10 to C <br /> Dear Mr. Souza and Ms. Mulliken: <br /> At the Planning Committee meeting held on January 19, 2012, Mr. Souza made several <br /> statements in regards to Bill 168 regarding Xtreme Auto Works and his business plans. My <br /> research in regards to Mr. Souza's business directly contradicts some of those statements. I <br /> therefore sent the enclosed letter to all Council members. <br /> After the Planning Committee meeting, I further discussed the possibility of mediation <br /> with you, Charles Umemoto and Diane Van De Car. Ms. Van De Car asked whether I honestly <br /> thought mediation might lead to some agreement whereby Ms. Langer would cease to oppose <br /> Bill 168. <br /> I subsequently discussed Mr. Souza's testimony to the Planning Committee with my <br /> client. Based on what appears to be misleading statements by Mr. Souza and your submissions <br /> to the Planning Department and County Council to date, I questioned whether mediation was still <br /> a viable option. Based on that discussion, it is my opinion that mediating a mutual agreement <br /> which would allow Mr. Souza to obtain his requested rezoning is very unlikely. <br /> Of course, there are other advantages to mediation and my client does not object to <br /> participating in such mediation, especially as she desires to have good relations with all of her <br /> neighbors. Given Mr. Souza's comments about the cost of mediation, however, I felt it only fair <br /> to dispel any unrealistic expectations you may have regarding Ms. Langer's opposition to your <br /> rezoning. <br /> I am also sending a copy of this letter to Mr. Umemoto and Ms. Van De Car. If you still <br /> wish to participate in mediation, please contact me by February 10, 2012. If I do not hear from <br /> EXHIBIT 1 <br /> HONOLULU • HILO • KONA • MAUI • GUAM SAIPAN • LOS ANGELES <br />