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HomeMy WebLinkAboutCOM 0386.000 2016-2018 JKZYOFyi Go. .+..,'',, Wil Okabe ihli• •�, Managing Director ce,:• Harry Kim • *:is%.���*' Mayor Barbara J.Kossow �r ; "I`_o•JtYO •��q HarryKim , Gregory Henkel,Chair ,I `�� Myles Miyasato,Vice Chair Mayor Joseph Clarkson Donn Dela Cruz • ................ Donald Ikeda County of Hawaii WINDWARD PLANNING COMMISSION Aupuni Center • 101 Pauahi Street,Suite 3 • Hilo,Hawai`i 96720 Phone(808)961-8288 • Fax(808)961-8742 JUL 2 6 2017 Valerie Poindexter, Council Chair and Members of the County Council County of Hawai`i 25 Aupuni Street Hilo, HI 96720 Dear Chair Poindexter and Council Members: SUBJECT: State Land Use Boundary Amendment (SLU 17-000047) Request: Agriculture to Urban Change of Zone Application (REZ 17-000218) Request: A-20a to MG-20 Applicant: Hawaii Island Distilling, LLC Tax Map Key: 1-6-141:002 The Windward Planning Commission, at its duly held public hearing on July 6, 2017, voted to recommend for your approval the proposed legislative bills to change the State Land Use district from Agricultural to Urban and a Change of Zone from Agricultural-20 acres (A-20a) to General Industrial-20,000 square feet (MG-20) for approximately 6.505 acres of land. The property is located east of Highway 11 (Volcano Highway), west of Railroad Avenue, and north of Highway 130 (Kea`au-Pahoa Highway), Kea'au, Puna, Hawai`i The Commission concurs with the following Planning Director's reasons for recommending favorable consideration of the requests: State Land Use Boundary Amendment The applicant requests a State Land Use Boundary Amendment from an Agricultural to an Urban district for approximately 6.505 acres of land. The applicant has submitted a concurrent request for a Change of Zone from Agricultural - 20 acres (A-20a) Hawai`i County is an Equal Opportunity Provider and Employer Valerie Poindexter, Council Chair and Members of the County Council Page 2 to General Industrial - 20,000 square feet (MG-20). The property is located east of Highway 11 (Volcano Highway), west of Railroad Avenue, and north of Highway 130 (Kea'au-Pahoa Highway), Kea'au, Puna, Hawai`i, TMK: (3)1-6-141:002. The applicant is requesting a Change of Zone and State Land Use Boundary Amendment to establish a 7,500+/- square-foot beverage processing facility (microbrewery) that will include a 2,000+/- square-foot supportive visitor/retail sales/tasting center with a 300 square-foot kitchen, as well as required improvements to the access road and parking areas. The approval of the reclassification from the State Land Use Agricultural to the Urban District for approximately 6.505 acres will not be in violation of Section 205-2, Chapter 205, Hawaii Revised Statutes, nor will it be inconsistent with the Land Use Commission Rules, the County General Plan and the Hawaii State Plan. Under the Land Use Commission Rules, one of the standards for considering an area for urban reclassification states that "In determining urban growth for the next ten years, or in amending the boundary, land contiguous with existing urban areas shall be given more consideration than non-contiguous land, and particularly when indicated for future urban use on state or county general.plans." Although the subject property is not contiguous to Urban designated lands, the project site lies about 2,000 feet northwest of the HELCO Kea'au power plant site and the Ulu Pono Town Center, which are on lands designated Urban by the State Land Use Commission. Additionally, the subject property has historically been used for industrial purposes by the Puna Sugar Company. The reclassification action also conforms to the goals, policies and standards of, among others, the Land Use and Economic Elements of the General Plan and the General Plan Land Use Pattern Allocation Guide (LUPAG) Map which identifies the area for Industrial uses. The Industrial designation includes uses such as manufacturing and processing, wholesaling, large storage and transportation facilities and light industrial uses. Since 1971, the area of the old Puna Sugar Mill has been designated as Industrial in the LUPAG. During the 1989 General Plan Comprehensive Review, the Industrial designation was expanded by re-designating lands in the vicinity from Intensive Agricultural and Orchards to Industrial. This area was considered for industrial expansion as a variety of industrial uses were established in the vicinity through the Special Permit process. The County had determined that the industrial designation would promote and encourage additional utilization of the area. The reclassification action would be consistent with the goals, objectives and policies of the Hawai`i State Plan and Valerie Poindexter, Council Chair and Members of the County Council Page 3 Puna Community Development Plan by providing future employment opportunities and improved living standards and stimulating the development and expansion of economic activities. The Urban classification conforms to the standard that the development is within reasonable proximity to centers of trading and employment and to basic services such as schools, police and fire protection, transportation systems and water. Currently, the roads and County water system in the area to not meet industrial zoning and urban standards. However, conditions of the Change of Zone approval will require that the applicant provide an industrial standard roadway within a 60-foot wide right-of-way, and make improvements to the existing County water system to provide adequate fire flow to meet the standards for industrial land uses. As municipal sewer is not available in the area, the applicant will install a wastewater system meeting with the requirements of the Department of Health. The property is located less than one mile from the village retail and employment center of Kea'au. Schools and medical, police and fire services are also located within Kea`au. Urban Districts shall include lands characterized by"city-like" concentrations of people, structures, streets, urban level of services and other related land uses. Several commercial and industrial uses have been established over the years on surrounding properties and the adjacent properties through Special Permits. Recently, four properties immediately adjacent to the subject property have received a Special Permit to establish a brewery, distillery, and water bottling facilities. Between 2004 and 2016 four State Land Use Boundary Amendments from Agricultural to Urban, and concurrent requests for Industrial zoning have been approved on lands north of the Milo Street extension and east of the Kea`au-Pahoa Bypass. As industrial and industrial= commercial uses already exist in the immediate area, the urbanization of the project site will not contribute towards scattered urban development. There are no severe geological or topographical problems which cannot be properly rectified or which would render the land unusable. The Federal Emergency Management Agency designates the subject property as Zone "X", areas outside of the 500-year flood plain and it is not known to be prone to flooding. The property is relatively flat and is not located in the tsunami inundation area. All project generated runoff will be disposed of on-site, so as not to impact surrounding properties. Thus, the Valerie Poindexter, Council Chair and Members of the County Council Page4 reclassification meets the standard which states that the lands included within the urban district, "...shall be those with satisfactory topography and drainage and reasonably free from the danger of floods, tsunami and unstable soil conditions and other adverse environmental effects." While the subject property is located within the State Land Use Agricultural and County's Agricultural (A-20a) zoned district, it is not currently being used for active agricultural purposes. The State of Hawai`i Agricultural Lands of Importance to the State of Hawai`i (ALISH)Map classifies the subject property as Unclassified. The Land Use Study Bureau's Overall Master Productivity Rating for the western portion of the property is classified as "D" or"Poor" soils. The eastern half of the property is classified as "C" or "Fair" soils. The U.S.D.A. Soil Survey classifies the soil on the subject property as Ola`a (OID) and Keaukaha(rKFD) Series. Immediate surrounding properties are in the State Land Use Agricultural district and are zoned A-20a, A-5a and FA-2a and are developed with agricultural processing facilities and agricultural-industrial uses. The Hawai`i Right to Farm Act, HRS Chapter 165, was enacted to protect farming operations on land in the State Land Use Agricultural District when adjacent land is reclassified out of the Agricultural District. A condition of approval will require the applicant notify prospective purchasers, tenants or lessees of the Hawai`i Right to Farm Act. Therefore, the reclassification of this 6.505-acre area from the Agricultural to the Urban designation will not be detrimental to the reduction of this area from the agricultural land inventory in the County of Hawai`i. Furthermore, an Urban classification would complement the existing and future land use pattern of the surrounding area in view of the urban uses already in existence in close proximity to the subject properties. Based on the above, the approval of the State Land Use Boundary Amendment from the Agricultural to the Urban District complements the State Land Use District Regulations and County General Plan and is supportive of the Hawai`i State Plan. The accompanying draft bill to amend the State Land Use Boundaries Map is provided for your favorable consideration. Please note the proposed conditions of approval attached to the draft bill. Valerie Poindexter, Council Chair and Members of the County Council Page 5 Change of Zone The applicant requests a Change of Zone from Agricultural - 20 acres (A-20a) to General Industrial - 20,000 square feet (MG-20) for approximately 6.505 acres of land. The applicant has submitted a concurrent request for a State Land Use Boundary Amendment from an Agricultural to an Urban district. The property is located east of Highway 11 (Volcano Highway), west of Railroad Avenue, and north of Highway 130 (Kea`au-Pahoa Highway), Kea'au, Puna, Hawai`i, TMK: (3)1-6-141:002. The applicant is requesting a Change of Zone to establish a 7,500+/- square-foot beverage processing facility(microbrewery) that will include a 2,000+/- square-foot supportive visitor/retail sales/tasting center with a 300 square-foot kitchen, as well as required improvements to the access road and parking areas. In order to consider an area for any type of zoning designation, the applicable goals, policies and standards of the General Plan must be adequately addressed. It is only through such a comprehensive policy analysis approach that evaluations and decisions can be made to better time and stage developments to achieve growth determined by the General Plan and related planning documents. The implications of these evaluations and decisions must also be considered as they may have an impact on similar areas in the County. The Change of Zone request from A-20a to MG-20 conforms to the goals, policies and standards of the General Plan. The General Plan is intended to be used as a policy guide for the coordinated growth and development of all sectors of the County. It sets forth goals, policies, standards and courses of action to accommodate growth without congestion, to designate and preserve the lands needed for residential use, commercial and visitor services, industry, agriculture and open space, and to coordinate these uses with the County's service and circulation systems. The overall goals, policies and standards are set forth to physically plan the lands in the County in the best interest of the island's residents. Surrounding properties are zoned A-20a, A-5a and FA-2a. Parcel 1, which the subject parcel was once a portion of, is the site of a water bottling facility and zoned A-5a. The three properties to the south are vacant and zoned FA-2a. To the north, is the site of two agricultural warehouse structures and zoned A-20a. There are various Special Permits approved in the area, including several processing facilities for papaya, pickled Valerie Poindexter, Council Chair and Members of the County Council Page 6 vegetables, fruit and macadamia nut. One is across from the Kea'au HELCO substation and the other is located on the southeast corner of the East Milo Street Extension/Railroad Avenue junction. Between 2004 and 2016 there has been four(4) properties rezoned to industrial uses and concurrent state land use boundary amendments to urban in the general area east of the Keaau Bypass. Thus, the applicant's request is consistent with surrounding land uses and zoning. The Land Use Pattern Allocation Guide (LUPAG) Map component of the General Plan is a representation of the document's goals and policies to guide the coordinated growth and development of the County. It reflects a graphic depiction of the physical relationship among the various land uses. The LUPAG Map establishes the basic urban and non-urban form for areas within the County. In the past, former Planning Directors have applied a broad brush interpretation for this area as Industrial, which includes uses such as manufacturing and processing, wholesaling, large storage and transportation facilities, light industrial and industrial-commercial uses. In addition to being consistent with the LUPAG Map, the request would also support the following goals and policies of the General Plan Land Use and Economic elements: • Designate and allocate industrial areas in appropriate proportions and in keeping with the social, cultural, and physical environments of the County. • Industrial development shall be located in areas adequately served by transportation, utilities, and other essential infrastructure. • Require developers to provide basic infrastructure necessary for development. The request to change the zoning district from agricultural to industrial would be a more appropriate land use pattern for the property as the immediate surrounding area has' been transitioning towards industrial uses with the establishment of water bottling facilities nearby. It is unlikely that any noise, odor or lighting from the proposed MG-20 zoning will adversely affectresidential areas since the closest residential community is located about 1,500 feet to the south in Keaau Town. The applicant will provide improvements to the water and road system to meet industrial standards for roadways and fire protection. Valerie Poindexter, Council Chair and Members of the County Council Page 7 The applicant's request is not contrary to the goals of the CDP for this area. The Puna Community Development Plan (CDP) translates the broad General Plan statements to specific actions for the Puna district. The Puna district in general lacks industrial areas suitable for small-scale industry. Nearby Shipman Industrial Park contains large lots that cater more to large-scale industrial uses. The General Plan Course of Action for Puna states "identify sites suitable for future industrial activities as the need arises." An action of the Puna CDP would be achieved by the proposed project in that it would provide additional lands for commercial and industrial activities that help to provide a wide range of services and provide jobs for the Puna District. Therefore, the requested General Industrial zoning is consistent with the General Plan All utilities and services are available to the site. In 2007, the Hawai`i County Council requirements in the Zoning Code to ensure that roads, water systems and civil defense sirens are developed or improved concurrently with the private development approved through a change of zone. There is an existing civil defense siren in Shipman Business Park that provides coverage to the subject property. The Department of Public Works did not recommend improvements because access to the property is over private lots with utility and roadway easements. However, several of the industrial rezonings previously approved along Milo Street required the applicant to comply with the standards outlined in Standard Details for Public Works Construction R-33 and R-34. Standard Detail R-33 identifies the street cross section for business & industrial standards, which is a 60-foot wide right of way with 12-foot wide paved travel lanes, 8-foot wide paved shoulders and 10-foot wide paved drainage swales. In a letter dated March 22, 2017, the applicant indicated they will increase the existing 50-foot wide easement fronting the subject property by ten additional feet and make the appropriate improvements therein. Thus, the Director is recommending conditions of approval be included to provide for access to the property meeting industrial road standards. Regarding water systems, Section 25-2-46(m) (Concurrency) of the Zoning Code states "A change of zone application shall not be granted unless: (1) the department of water supply has determined that it can meet the water requirements of the project and issue water commitments using its existing system; or(2) specific improvements to the Valerie Poindexter, Council Chair and Members of the County Council Page 8 existing public water system, or a private water system equivalent to the requirements of the department of water supply will be provided to meet the water needs of the project and conditions of zoning delay occupancy until the necessary improvements are actually constructed." The applicant proposes to use an onsite water well for the water bottling facility (microbrewery) production. The Department of Water Supply(DWS) has indicated that County water cannot be used for any production at the proposed facility, and the onsite well and County water system cannot be interconnected in any way. Potable water from the County is currently available to the property via a 5/8-inch meter limited to an average usage of 400 gallons per day. This water can only be used for non-production purposes, such as handwashing, restroom and for employees to drink. Additionally, should the applicant develop a different industrial use on the property than the proposed microbrewery, they will be required to submit estimated water usage calculations and DWS will determine if additional or larger water meter(s) will be required for the industrial land use. DWS system standards require that a minimum flow of 2,000-gallons per minute for a 2-hour duration and a pipeline velocity of less than 10-feet per second be available at the site for fire protection for industrial land uses. The existing 4-inch waterline fronting the property is inadequate for fire protection and the nearest fire hydrant is more than the required 150 feet from the property. To meet the concurrency standards in the County Code for water related to fire protection, the applicant will need to provide a fire hydrant within 150 feet of the property, and either upgrade the existing 4-inch waterline to a 12-inch waterline for a distance of approximately 800 feet or provide a private water system capable of providing a minimum flow of 2,000-gallons per minute for a 2-hour duration and a pipeline velocity of less than 10 feet per second. In a letter dated March 22, 2017, the applicant's representative stated that the applicant will comply with these requirements for industrial zoning. The Director is recommending conditions of approval be included to provide for County water system improvements meeting industrial fire protection standards. There is no municipal wastewater system in the area. According to the applicant, an enhanced septic system meeting with the requirements of the Department of Health will be required. The applicant indicated that the solid waste will be handled through commercial haulers and deposited in authorized landfill sites. Valerie Poindexter, Council Chair and Members of the County Council Page 9 • The property has no severe geological or topographical problems which cannot be rectified or which would render the land unusable. The project site is located within Zone "X", areas determined to be outside the 500-year floodplain. All development generated storm run-off shall be disposed of on-site and not allowed onto adjacent properties or roadways. Electricity, cable and telephone are available to the site. Police, fire protection and emergency medical services are located in Kea'au, less than two miles from the property. The request is not contrary to Chapter 205A, Hawaii Revised Statues, relating to Coastal Zone Management. The subject property is not in the Special Management Area and is located more than three miles from the shoreline. Therefore it will not be impacted by coastal hazards or affect beach erosion, coastal ecosystems and marine resources. There is no record of a designated public access to the shoreline or mountain areas that traverses the property. There is no evidence of any valued cultural or natural resources existing on the site and there is no evidence of any traditional and customary Native Hawaiian rights being practiced on the property. No formal archaeological study was conducted. A SHPD staff site visit in 2014 identified no historic properties within the parcel and their 2017 letter indicated no historic properties will be affected by the proposed rezoning. Thus, the proposed request is not contrary to Chapter 205A, Hawai`i Revised Statutes. A condition of approval will be added for the protection of inadvertent finds should any remains of historic sites, such as rock walls, terraces, platforms, marine shell concentrations or human burials be encountered. The US Fish and Wildlife Service (USFWS) has not commented on this particular project; however, it is common for the endangered Hawaiian hoary bat, Hawaiian hawk, Hawaiian petrel, band-rumped storm-petrel, and the Newell's shearwater to transit this general area. Therefore, the Director recommends including conditions of approval that reduce any adverse impacts on these endangered species. Lastly, this approval is made with the understanding that the applicant remains responsible for complying with all other applicable governmental requirements in connection with the approved use, prior to its commencement or establishment upon the subject properties. Additional governmental requirements may include the issuance of building permits, the installation of approved wastewater disposal systems, compliance with the Fire Code, installation of improvements required by the American with Valerie Poindexter, Council Chair and Members of the County Council Page 10 Disabilities Act (ADA), among many others. Compliance with all applicable governmental requirements is a condition of this approval; failure to comply with such requirements will be considered a violation that may result in enforcement action by the Planning Department and/or the affected agencies. Based on the above, approval of this change of zone request from an Agricultural 20-acre (A-20a) to a General Industrial-20,000 square feet (MG-20) zoned district would result in an appropriate land use pattern that is consistent with the General Plan, and will further benefit the general public. The accompanying draft bill to amend Section 25-8-22 (Puna District Zone Map), Article 8, Chapter 25 (Zoning Code) of the Hawai`i County Code 1983 (2005 Edition), is provided for your favorable consideration. Please note the proposed conditions of approval attached to the draft bill. We are enclosing copies of the staff Background, Planning Director's Recommendation, Powerpoint presentation and a draft transcript of the hearing for your information. Sincerely, Gregory Henkel, Chairman Windward Planning Commission LHlislanddistillingSLU 17-047REZ 17-218wpc2 Enclosures cc: Sidney Fuke, Planning Consultant Hawai`i Island Distilling, LLC Department of Public Works Department of Water Supply Department of Land &Natural Resources-HPD State Land Use Commission Amy Self, Esq., Corporation Counsel 1 , . RHawai`ilslandDistillingSLU.mjjshw 6/27/17 COUNTY OF HAWAII PLANNING DEPARTMENT RECOMMENDATION HAWAII ISLAND DISTILLING, LLC STATE LAND USE BOUNDARY AMENDMENT APPLICATION (SLU 17-000047) Upon careful review of the request, the Planning Director is recommending that a favorable recommendation for the State Land Use Boundary Amendment be forwarded to the County Council. Since this recommendation is made without the benefit of public testimony, the Director reserves the right to modify and/or alter this position based upon additional infoimation presented at the public hearing. The favorable recommendation is based on the following findings: The applicant requests a State Land Use Boundary Amendment from an Agricultural to an Urban district for approximately 6.505 acres of land. The applicant has submitted a concurrent request for a Change of Zone from Agricultural - 20 acres (A-20a) to General Industrial - 20,000 square feet (MG-20). The property is located east of Highway 11 (Volcano Highway), west of Railroad Avenue, and north of Highway 130 (Kea'au-Pahoa Highway), Kea'au, Puna, Hawai`i, TMK: (3)1-6-141:002. The applicant is requesting a Change of Zone and State Land Use Boundary Amendment to establish a 7,500+/- square-foot beverage processing facility (inicrobrewery) that will include a 2,000+/- square-foot supportive visitor/retail sales/tasting center with a 300 square-foot kitchen, as well as required improvements to the access road and parking areas. The approval of the reclassification from the State Land Use Agricultural to the Urban District for approximately 6.505 acres will not be in violation of Section 205-2, Chapter 205, Hawai`i Revised Statutes, nor will it be inconsistent with the Land Use Commission Rules, the County General Plan and the Hawai`i State Plan. Under the Land Use Commission Rules, one of the standards for considering an area for urban reclassification states that "In determining urban growth for the next ten years, or in amending the boundary, land contiguous with existing urban areas shall be given more -1- consideration than non-contiguous land, and particularly when indicated for future urban use on state or countygeneral plans." Although the subject property is not contiguous to Urban designated lands, the project site lies about 2,000 feet northwest of the HELCO Kea'au power plant site and the Ulu Pono Town Center, which are on lands designated Urban by the State Land Use Commission. Additionally, the subject property has historically been used for industrial purposes by the Puna Sugar Company. The reclassification action also conforms to the goals, policies and standards of, among others, the Land Use and Economic Elements of the General Plan and the General Plan Land Use Pattern Allocation Guide (LUPAG) Map which identifies the area for Industrial uses. The Industrial designation includes uses such as manufacturing and processing, wholesaling, large storage and transportation facilities and light industrial uses. Since 1971, the area of the old Puna Sugar Mill has been designated as Industrial in the LUPAG. During the 1989 General Plan Comprehensive Review, the Industrial designation was expanded by re-designating lands in the vicinity from Intensive Agricultural and Orchards to Industrial. This area was considered for industrial expansion as a variety of industrial uses were established in the vicinity through the Special Permit process. The County had determined that the industrial designation would promote and encourage additional utilization of the area. The reclassification action would be consistent with the goals, objectives and policies of the Hawai`i State Plan and Puna Community Development Plan by providing future employment opportunities and improved livingstandards and stimulating the development and expansion of economic activities. The Urban classification conforms to the standard that the development is within reasonable proximity to centers of trading and employment and to basic services such as schools, police and fire protection, transportation systems and water. Currently, the roads and County water system in the area to not meet industrial zoning and urban standards. However, conditions of the Change of Zone approval will require that the applicant provide an industrial standard roadway within a 60-foot wide right-of-way, and make improvements to the existing County water system to provide adequate fire flow to meet the standards for industrial land uses. As municipal sewer is -2- not available in the area, the applicant will install a wastewater system meeting with the ' requirements of the Department of Health. The property is located less than one mile from the village retail and employment center of Kea`au. Schools and medical, police and fire services are also located within Kea`au. Urban Districts shall include lands characterized by "city-like" concentrations of people, structures, streets, urban level of services and other related land uses. Several commercial and industrial uses have been established over the years on surrounding properties and the adjacent properties through Special Permits. Recently, four properties immediately adjacent to the subject property have received a Special Permit to establish a brewery, distillery, and water bottling facilities. Between 2004 and 2016 four State Land Use Boundary Amendments from Agricultural to Urban, and concurrent requests for Industrial zoning have been approved on lands north of the Milo Street extension and east of the Kea`au-Pahoa Bypass. As industrial and industrial- commercial uses already exist in the immediate area, the urbanization of the project site will not contribute towards scattered urban development. There are no severe geological or topographical problems which cannot be properly rectified or which would render the land unusable. The Federal Emergency Management Agency designates the subject property as Zone "X", areas outside of the 500-year flood plain and it is not known to be prone to flooding. The property is relatively flat and is not located in the tsunami inundation area. All project generated runoff will be disposed of on-site, so as not to impact surrounding properties. Thus, the reclassification meets the standard which states that the lands included within the urban district, "...shall be those with satisfactory topography and drainage and reasonably free from the danger of floods, tsunami and unstable soil conditions and other adverse environmental effects." While the subject property is located within the State Land Use Agricultural and County's Agricultural (A-20a) zoned district, it is not currently being used for active agricultural purposes. The State of Hawai`i Agricultural Lands of Importance to the State of Hawai`i (ALISH) Map classifies the subject property as Unclassified. The Land Use Study Bureau's Overall Master Productivity Rating for the western portion of the -3- property is classified as "D" or"Poor" soils. The eastern half of the property is classified as "C" or "Fair" soils. The U.S.D.A. Soil Survey classifies the soil on the subject property as Ola`a (OID) and Keaukaha(rKFD) Series. Immediate surrounding properties are in the State Land Use Agricultural district and are zoned A-20a, A-5a and FA-2a and are developed with agricultural processing facilities and agricultural-industrial uses. The Hawai`i Right to Faun Act, HRS Chapter 165, was enacted to protect farming operations on land in the State Land Use Agricultural District when adjacent land is reclassified out of the Agricultural District. A condition of approval will require the applicant notify prospective purchasers, tenants or lessees of the Hawai`i Right to Farm Act. Therefore, the reclassification of this 6.505-acre area from the Agricultural to the Urban designation will not be detrimental to the reduction of this area from the agricultural land inventory in the County of Hawai`i. Furtheiuiore, an Urban classification would complement the existing and future land use pattern of the surrounding area in view of the urban uses already in existence in close proximity to the subject properties. Based on the above, the approval of the State Land Use Boundary Amendment from the Agricultural to the Urban District complements the State Land Use District Regulations and County General Plan and is supportive of the Hawai`i State Plan. The accompanying draft bill to amend the State Land Use Boundaries Map is provided for your favorable consideration. Please note the proposed conditions of approval attached to the draft bill. -4- \dlq'..'' COUNTY OF HAWAII STATE OF HAWAII ,lF•OFH1� ' BILL NO. ORDINANCE NO. (Pla h 'll De, 10-0 AN ORDINANCE AMENDING THE STATE LAND USE BOUNDARIES MAPS FOR THE COUNTY OF HAWAII BY CHANGING THE DISTRICT CLASSIFICATION FROM THE AGRICULTURAL DISTRICT TO THE URBAN DISTRICT AT KEA'AU, PUNA, HAWAII, COVERED BY TAX MAP KEY: 1-6-141:002. BE IT ORDAINED BY THE COUNCIL OF THE COUNTY OF HAWAII: SECTION 1. The State Land Use Boundaries Maps for the County of Hawai`i are amended to change the district classification of property described hereinafter as follows: The district classification of the following area situated at Kea'au, Puna, Hawai`i, shall be Urban: LOT 9677: Being a Portion of Land Court Application 1053 as Shown on Map 559 Situated at Kea'au, Puna, Island of Hawaii, Hawai`i Beginning at the southwest corner of this parcel of land and running by azimuths measured clockwise from True South: 1. 183° 24' 04" 99.08 feet along Lot A-31-A-2 of Land Court Application 1053 as shown on Map 134; Thence along Lot 1092-E of Land Court Application 1053 as shown on Map 81 for the next thirteen (13) courses, the azimuths and distances between points being: 2. 196° 06' 14" 74.02 feet; 3. 271° 01' 14" 45.01 feet; 4. 242° 06' 14" 105.03 feet; 5. 279° 01' 14" 45.01 feet; 6. 216° 01' 14" 95.03 feet; 7. 241° 31' 14" 40.01 feet; 8. 3 03° 31' 14" 48.02 feet; 9. 269° 21' 14" 44.01 feet; 10. 214° 01' 14" 130.04 feet; 11. 264° 21' 14" 316.10 feet; 12. 243° 01' 14" 173.06 feet; 13. 208° 31' 14" 55.02 feet; 14. 239° 12' 14" 119.98 feet; 15. Thence along Lot 3 of Land Court Application 1689, along a curve to the left having a radius of 1,168.28 feet, the chord azimuth and distance being: 358° 13' 45" 200.83 feet; Thence along Lot 9678 of Land Court Application 1053 as shown on Map 559 for the next four (4) courses, the azimuths and distances between points being: 16. 56° 01' 18" 286.59 feet; 17. 43° 19' 56" 218.81 feet; 18. 16° 25' 100.00 feet; 19. 90° 40' 32" 644.86 feet to the point of beginning and containing an area of 6.505 acres. -2- All as shown on the map attached hereto, marked Exhibit "A" and by reference made a part hereof. SECTION 2. This change in district classification is conditioned upon the following: A. INSERT CONDITIONS SECTION 3. In the event that any portion of this ordinance is declared invalid, such invalidity shall not affect the other parts of this ordinance. SECTION 4. This ordinance shall take effect upon its approval. INTRODUCED BY: COUNCIL MEMBER, COUNTY OF HAWAII Hilo, Hawai`i Date of Introduction: Date of 1st Reading: Date of 2nd Reading: Effective Date: -3- AGRICULTURAL AGRICULTURAL -7 AGRICULTURAL AGRICULTURAL LOT 9677 AGRICULTURAL TO URBAN 6.505 ACRES 0-0 AGRICULTURAL AGRICULTURAL AGRICULTURAL 0 O Or AGRICULTURAL 10 O \URSA AGRICULTURAL KEA'AU-PAHOA BYPASS RD • . Feet 0 500 1,000 1,500 2,000 AMENDMENT TO THE STATE LAND USE BOUNDARIES MAPS AMENDING THE STATE LAND USE BOUNDARIES MAP FOR THE COUNTY OF HAWAI'I, BY CHANGING THE DISTRICT CLASSIFICATION FROM THE AGRICULTURAL DISTRICT TO THE URBAN DISTRICT AT KEA'AU, PUNA, HAWAI'I MAP PREPARED BY: TMK:(3)1-6-141:002 COUNTY OF HAWAII, PLANNING DEPARTMENT DATE:March 30,2017 Hawaii Island Distilling EXHIBIT "A" Map 17-195 CHawaiillsandDistillingS LU.doc-06/27/2017 HAWAII ISLAND DISTILLING, LLC STATE LAND USE BOUNDARY AMENDMENT APPLICATION (SLU 17-000047) CONDITIONS OF APPROVAL A. The applicant, successors, or assigns shall notify prospective purchasers, tenants, or lessees of all lots that farming operations and practices on adjacent or contiguous land in the State Land Use Agricultural District are protected under Hawai`i Revised Statutes Chapter 165, the Hawai`i Right to Faun Act. This notice shall be included in any disclosure required for the sale or transfer of all of the proposed lots. B. Any action that would interfere with or restrain fanning operations on adjacent or contiguous properties shall be prohibited under Hawaii Revised Statutes Chapter 165, the Hawaii Right to Farm Act; provided the farming operations are conducted in a manner consistent with generally accepted agricultural and management practices on adjacent or contiguous lands in the Agricultural District. RHawaiilslandDistillingREZ.mjjshw-6/27/17 COUNTY OF HAWAII PLANNING DEPARTMENT RECOMMENDATION HAWAII ISLAND DISTILLING, LLC CHANGE OF ZONE APPLICATION (REZ 17-000218) Upon careful review of the request against the guidelines for granting a change of zone, the Planning Director is recommending that a favorable recommendation of the Change of Zone request be forwarded to the County Council. Since this recommendation is made without the benefit of public testimony, the Planning Director reserves the right to modify and/or alter this recommendation based upon additional information presented at the public hearing. This favorable recommendation is based on the following findings: The applicant requests a Change of Zone from Agricultural - 20 acres (A-20a) to General Industrial - 20,000 square feet (MG-20) for approximately 6.505 acres of land. The applicant has submitted a concurrent request for a State Land Use Boundary Amendment from an Agricultural to an Urban district. The property is located east of Highway 11 (Volcano Highway), west of Railroad Avenue, and north of Highway 130 (Kea`au-Pahoa Highway), Kea'au, Puna, Hawai`i, TMK: (3)1-6-141:002. The applicant is requesting a Change of Zone to establish a 7,500+/- square-foot beverage processing facility(microbrewery) that will include a 2,000+/- square-foot supportive visitor/retail sales/tasting center with a 300 square-foot kitchen, as well as required improvements to the access road and parking areas. In order to consider an area for any type of zoning designation, the applicable goals, policies and standards of the General Plan must be adequately addressed. It is only through such a comprehensive policy analysis approach that evaluations and decisions can be made to better time and stage developments to achieve growth determined by the General Plan and related planning documents. The implications of these evaluations and decisions must also be considered as they may have an impact on similar areas in the County. The Change of Zone request from A-20a to MG-20 conforms to the goals, policies and standards of the General Plan. The General Plan is intended to be used as a policy guide for the coordinated growth and development of all sectors of the County. It sets forth goals, policies, standards and courses of action to accommodate growth without congestion, to designate and preserve the lands needed for residential use, commercial and visitor services, industry, agriculture and open space, and to coordinate these uses with the County's service and circulation systems. The overall goals, policies and standards are set forth to physically plan the lands in the County in the best interest of the island's residents. Surrounding properties are zoned A-20a, A-5a and FA-2a. Parcel 1, which the subject parcel was once a portion of, is the site of a water bottling facility and zoned A-5a. The three properties to the south are vacant and zoned FA-2a. To the north, is the site of two agricultural warehouse structures and zoned A-20a. There are various Special Permits approved in the area, including several processing facilities for papaya, pickled vegetables, fruit and macadamia nut. One is across from the Kea'au HELCO substation and the other is located on the southeast corner of the East Milo Street Extension/Railroad Avenue junction. Between 2004 and 2016 there has been four(4) properties rezoned to industrial uses and concurrent state land use boundary amendments to urban in the general area east of the Keaau Bypass. Thus, the applicant's request is consistent with surrounding land uses and zoning. The Land Use Pattern Allocation Guide (LUPAG) Map component of the General Plan is a representation of the document's goals and policies to guide the coordinated growth and development of the County. It reflects a graphic depiction of the physical relationship among the various land uses. The LUPAG Map establishes the basic urban and non-urban fonm for areas within the County. In the past, former Planning Directors have applied a broad brush interpretation for this area as Industrial, which includes uses such as manufacturing and processing, wholesaling, large storage and transportation facilities, light industrial and industrial-commercial uses. In addition to being consistent with the LUPAG Map, the request would also support the following goals and policies of the General Plan Land Use and Economic elements: • Designate and allocate industrial areas in appropriate proportions and in keeping with the social, cultural, and physical environments of the County. -2- • Industrial development shall be located in areas adequately served by transportation, utilities, and.other essential infrastructure. • Require developers to provide basic infrastructure necessary for development. The request to change the zoning district from agricultural to industrial would be a more appropriate land use pattern for the property as the immediate surrounding area has been transitioning towards industrial uses with the establishment of water bottling facilities nearby. It is unlikely that any noise, odor or lighting from the proposed MG-20 zoning will adversely affect residential areas since the closest residential community is located about 1,500 feet to the south in Keaau Town. The applicant will provide improvements to the water and road system to meet industrial standards for roadways and fire protection. The applicant's request is not contrary to the goals of the CDP for this area. The Puna Community Development Plan (CDP) translates the broad General Plan statements to specific actions for the Puna district. The Puna district in general lacks industrial areas suitable for small-scale industry. Nearby Shipman Industrial Park contains large lots that cater more to large-scale industrial uses. The General Plan Course of Action for Puna states "identify sites suitable for future industrial activities as the need arises." An action of the Puna CDP would be achieved by the proposed project in that it would provide additional lands for commercial and industrial activities that help to provide a wide range of services and provide jobs for the Puna District. Therefore, the requested General Industrial zoning is consistent with the General Plan. All utilities and services are available to the site. In 2007, the Hawai`i County Council requirements in the Zoning Code to ensure that roads, water systems and civil defense sirens are developed or improved concurrently with the private development approved through a change of zone. There is an existing civil defense siren in Shipman Business Park that provides coverage to the subject property. The Department of Public Works did not recommend improvements because access to the property is over private lots with utility and roadway easements. However, several of the industrial rezonings previously approved along Milo Street required the -3- applicant to comply with the standards outlined in Standard Details for Public Works Construction R-33 and R-34. Standard Detail R-33 identifies the street cross section for business & industrial standards, which is a 60-foot wide right of way with 12-foot wide paved travel lanes, 8-foot wide paved shoulders and 10-foot wide paved drainage swales. In a letter dated March 22, 2017, the applicant indicated they will increase the existing 50-foot wide easement fronting the subject property by ten additional feet and make the appropriate improvements therein. Thus, the Director is recommending conditions of approval be included to provide for access to the property meeting industrial road standards. Regarding water systems, Section 25-2-46(m) (Concurrency) of the Zoning Code states "A change of zone application shall not be granted unless: (1) the department of water supply has determined that it can meet the water requirements of the project and issue water commitments using its existing system; or (2) specific improvements to the existing public water system, or a private water system equivalent to the requirements of the department of water supply will be provided to meet the water needs of the project and conditions of zoning delay occupancy until the necessary improvements are actually constructed." The applicant proposes to use an onsite water well for the water bottling facility (microbrewery) production. The Department of Water Supply (DWS) has indicated that County water cannot be used for any production at the proposed facility, and the onsite well and County water system cannot be interconnected in any way. Potable water from the County is currently available to the property via a 5/8-inch meter limited to an average usage of 400 gallons per day. This water can only be used for non-production purposes, such as handwashing, restroom and for employees to drink. Additionally, should the applicant develop a different industrial use on the property than the proposed microbrewery, they will be required to submit estimated water usage calculations and DWS will determine if additional or larger water meter(s) will be required for the industrial land use. DWS system standards require that a minimum flow of 2,000-gallons per minute for a 2-hour duration and a pipeline velocity of less than 10-feet per second be available -4- • at the site for fire protection for industrial land uses. The existing 4-inch waterline fronting the property is inadequate for fire protection and the nearest fire hydrant is more than the required 150 feet from the property. To meet the concurrency standards in the County Code for water related to fire protection, the applicant will need to provide a fire hydrant within 150 feet of the property, and either upgrade the existing 4-inch waterline to a 12-inch waterline for a distance of approximately 800 feet or provide a private water system capable of providing a minimum flow of 2,000-gallons per minute for a 2-hour duration and a pipeline velocity of less than 10 feet per second. In a letter dated March 22, 2017, the applicant's representative stated that the applicant will comply with these requirements for industrial zoning. The Director is recommending conditions of approval be included to provide for County water system improvements meeting industrial fire protection standards. There is no municipal wastewater system in the area. According to the applicant, an enhanced septic system meeting with the requirements of the Department of Health will be required. The applicant indicated that the solid waste will be handled through commercial haulers and deposited in authorized landfill sites. The property has no severe geological or topographical problems which cannot be rectified or which would render the land unusable. The project site is located within Zone "X", areas determined to be outside the 500-year floodplain. All development generated storm run-off shall be disposed of on-site and not allowed onto adjacent properties or roadways. Electricity, cable and telephone are available to the site. Police, fire protection p and emergency medical services are located in Kea'au, less than two miles from the property. The request is not contrary to Chapter 205A, Hawai`i Revised Statues, relating to Coastal Zone Management. The subject property is not in the Special Management Area and is located more than three miles from the shoreline. Therefore it will not be impacted by coastal hazards or affect beach erosion, coastal ecosystems and marine resources. There is no record of a designated public access to the shoreline or mountain areas that traverses the property. There is no evidence of any valued cultural or -5- natural resources existing on the site and there is no evidence of any traditional and customary Native Hawaiian rights being practiced on the property. No formal archaeological study was conducted. A SHPD staff site visit in 2014 identified no historic properties within the parcel and their 2017 letter indicated no historic properties will be affected by the proposed rezoning. Thus, the proposed request is not contrary to Chapter 205A, Hawai`i Revised Statutes. A condition of approval will be added for the protection of inadvertent finds should any remains of historic sites, such as rock walls, terraces, platforms, marine shell concentrations or human burials be encountered. The US Fish and Wildlife Service (USFWS) has not commented on this particular project; however, it is common for the endangered Hawaiian hoary bat, Hawaiian hawk, Hawaiian petrel, band-Humped stone-petrel, and the Newell's shearwater to transit this general area. Therefore, the Director recommends including conditions of approval that reduce any adverse impacts on these endangered species. Lastly, this approval is made with the understanding that the applicant remains responsible for complying with all other applicable governmental requirements in connection with the approved use, prior to its commencement or establishment upon the subject properties. Additional governmental requirements may include the issuance of building permits, the installation of approved wastewater disposal systems, compliance with the Fire Code, installation of improvements required by the American with Disabilities Act (ADA), among many others. Compliance with all applicable governmental requirements is a condition of this approval; failure to comply with such requirements will be considered a violation that may result in enforcement action by the Planning Department and/or the affected agencies. Based on the above, approval of this change of zone request from an Agricultural 20-acre (A-20a) to a General Industrial-20,000 square feet (MG-20) zoned district would result in an appropriate land use pattern that is consistent with the General Plan, and will further benefit the general public. The accompanying draft bill to amend Section 25-8-22 (Puna District Zone Map), Article 8, Chapter 25 (Zoning Code) of the Hawaii County Code 1983 (2005 Edition), is -6- provided for your favorable consideration. Please note the proposed conditions of approval attached to the draft bill. -7- COUNTY OF HAWAII •16„..;�,... ..., :' % :. '/�#1, STATE OF HAWAII .•.s. ,.. TE•OF'N r� BILL NO. ORDINANCE NO. • CYIakh'tl Dee— AN ORDINANCE AMENDING SECTION 25-8-22 (PUNA DISTRICT ZONE MAP), ARTICLE 8, CHAPTER 25 (ZONING) OF THE HAWAII COUNTY CODE 1983 (2016 EDITION, AS AMENDED), BY CHANGING THE DISTRICT CLASSIFICATION FROM AGRICULTURAL—TWENTY ACRES (A-20a) TO GENERAL INDUSTRIAL—20,000 SQUARE FEET (MG-20) AT KEA`AU, PUNA, HAWAII, COVERED BY TAX MAP KEY: 1-6-141:002. BE IT ORDAINED BY THE COUNCIL OF THE COUNTY OF HAWAII: SECTION 1. Section 25-8-22, Article 8, Chapter 25 (Zoning Code) of the Hawai`i County Code 1983 (2016 Edition, as amended) is amended to change the district classification of property described hereinafter as follows: The district classification of the following area situated at Kea`au, Puna, Hawai`i, shall be General Industrial—20,000 square feet (MG-20): LOT 9677: Being a Portion of Land Court Application 1053 as Shown on Map 559 Situated at Kea`au, Puna, Island of Hawai`i, H)3y Beginning at the southwest corner of this parcel of land and running by azimuths measured clockwise from True South: 1. 183° 24' 04" 99.08 feet along Lot A-31-A-2 of Land Court Application 1053 as shown on Map 134; Thence along Lot 1092-E of Land Court Application 1053 as shown on Map 81 for the next thirteen (13) courses, the azimuths and distances between points being: -1- ••4oJ�SY of N,�q:. COUNTY OF HAWAII -,• �:` li. STATE OF HAWAII •e- BILL NO. ORDINANCE NO. AN ORDINANCE AMENDING SECTION 25-8-22 (PUNA DISTRICT ZONE MAP), ARTICLE 8, CHAPTER 25 (ZONING) OF THE HAWAII COUNTY CODE 1983 (2016 EDITION, AS AMENDED), BY CHANGING THE DISTRICT CLASSIFICATION FROM AGRICULTURAL—TWENTY ACRES (A-20a) TO GENERAL INDUSTRIAL—20,000 SQUARE FEET (MG-20) AT KEA'AU, PUNA, HAWAII, COVERED BY TAX MAP KEY: 1-6-141:002. BE IT ORDAINED BY THE COUNCIL OF THE COUNTY OF HAWAII: SECTION 1. Section 25-8-22, Article 8, Chapter 25 (Zoning Code) of the Hawai`i County Code 1983 (2016 Edition, as amended) is amended to change the district classification of property described hereinafter as follows: The district classification of the following area situated at Kea`au, Puna, Hawai`i, shall be General Industrial—20,000 square feet (MG-20): LOT 9677: Being a Portion of Land Court Application 1053 as Shown on Map 559 Situated at Kea`au, Puna, Island of Hawai`i, Hawai`i Beginning at the southwest corner of thisparcel of land and runningbyazimuths g g measured clockwise from True South: 1. 183° 24' 04" 99.08 feet along Lot A-31-A-2 of Land Court Application 1053 as shown on Map 134; Thence along Lot 1092-E of Land Court Application 1053 as shown on Map 81 for the next thirteen (13) courses, the azimuths and distances between points being: -1- 2. 196° 06' 14" 74.02 feet; 3. 271° 01' 14" 45.01 feet; 4. 242° 06' 14" 105.03 feet; 5. 279° 01' 14" 45.01 feet; 6. 216° 01' 14" 95.03 feet; 7. 241° 31' 14" 40.01 feet; 8. 3 03° 31' 14" 48.02 feet; 9. 269° 21' 14" 44.01 feet; 10. 214° 01' 14" 130.04 feet; 11. 264° 21' 14" 316.10 feet; 12. 243° 01' 14" 173.06 feet; 13. 208° 31' 14" 55.02 feet; 14. 239° 12' 14" 119.98 feet; 15. Thence along Lot 3 of Land Court Application 1689, along a curve to the left having a radius of 1,168.28 feet, the chord azimuth and distance being: 358° 13' 45" 200.83 feet; Thence along Lot 9678 of Land Court Application 1053 as shown on Map 559 for the next four (4) courses, the azimuths and distances between points being: 16. 56° 01' 18" 286.59 feet; 17. 43° 19' 56" 218.81 feet; 18. 16° 25' 100.00 feet; -2- 19. 90° 40' 32" 644.86 feet to the point of beginning and containing an area of 6.505 acres. All as shown on the map attached hereto, marked Exhibit "A" and by reference made a part hereof. SECTION 2. In accordance with Section 25-2-44, Hawai`i County Code 1983 (2016 Edition, as amended), the County Council finds the following conditions are: (1) Necessary to prevent circumstances which may be adverse to the public health, safety and welfare; or (2) Reasonably conceived to fulfill needs directly emanating from the land use proposed with respect to: (A) Protection of the public from the potentially deleterious effects of the proposed use, or (B) Fulfillment of the need for public service demands created by the proposed use. • SEE ATTACHED CONDITIONS SECTION 3. In the event that any portion of this ordinance is declared invalid, such invalidity shall not affect the other parts of this ordinance. -3- shall take effect upon its approval. 4. This ordinancep INTRODUCED BY: COUNCIL MEMBER, COUNTY OF HAWAII , Hawai`i Date of Introduction: Date of 1st Reading: Date of 2nd Reading: Effective Date: • -4- 1 FA-la A-20. A-20a A-20a A-20a LOT 9677 AGRICULTURAL-TWENTY ACRES(A-20a)TO GENERAL INDUSTRIAL-20,000 SQUARE FEET(MG-20) A-20a 6.505 ACRES A-20a A-20a A-20a A-20a _ A-20a Z A-20a A-20a A-2Oa A-5a O OO A-20a FA-2a FA 2a �1/ O A-20a Oy 7- \ FA-2a ON 1 1 Y O 'AQ ar-7O y MCX-2 L KEA'AU-PAHOA BYPASS RD A-20a III A-5a -'A-20a Feet 0 250 500 1,000 1,500 2,000 AMENDMENT TO THE ZONING CODE, AMENDING SECTION 25-8-22 (PUNA DISTRICT ZONE MAP) ARTICLE 8, CHAPTER 25 (ZONING) OF THE HAWAII COUNTY CODE 1983 (2016 EDITION, AS AMENDED), BY CHANGING THE DISTRICT CLASSIFICATION FROM AGRICULTURAL -TWENTY ACRES (A-20a)TO GENERAL INDUSTRIAL - 20,000 SQUARE FEET (MG-20) AT KEA`AU, PUNA, HAWAII MAP PREPARED BY: TM K:(3)1 6-141:002 COUNTY OF HAWAII, PLANNING DEPARTMENT DATE:March 30,2017 EXHIBIT "A" Hawaii Island Distilling Map: 1389 CHawaiilslandDistillingREZ.mjjshw6/28/17 HAWAII ISLAND DISTILLING, LLC CHANGE OF ZONE APPLICATION (REZ 17-000218) CONDITIONS OF APPROVAL A. The applicant, its successors or assigns shall be responsible for complying with all of the stated conditions of approval. B. Construction of the proposed development, as substantially represented by the applicant, or as permitted by the zoning district classification, shall be completed within five (5) years from the effective date of this ordinance. Prior to construction, the applicant shall secure Final Plan Approval for the proposed development from the Planning Director in accordance with Section 25-2-71, Chapter 25 (Zoning Code), Hawai`i County Code. Plans shall identify all existing and/or proposed structure(s), paved driveway access and parking stalls, fire department access, and landscaping associated with the proposed development. Landscaping shall be indicated on the plans for the purpose of mitigating any adverse noise or visual impacts to adjacent properties in accordance with the requirements of Planning Department's Rule No. 17 (Landscaping Requirements) and Chapter 25 (Zoning Code), Hawai`i County Code. C. The applicant, its successors or assigns shall not use water from the County system for distilling,brewing, or other similar water bottling production facilities. D. The applicant shall provide maximum daily water usage calculations prepared by a professional engineer licensed in the State of Hawai`i and a water commitment deposit in accordance with the "Water Commitment Guidelines Policy" shall be submitted to the Department of Water Supply prior to the submittal of plans for Plan Approval review to the Planning Department. Based upon the calculations, if required, the applicant shall install a larger or additional service lateral or meter, and remit the prevailing facilities charge to the Department of Water Supply. The applicant is responsible for maintaining valid water commitments to support the proposed development until such time that required water facilities charges are paid in full. -1- E. Prior to receipt of a Certificate of Occupancy, the applicant shall provide a fire hydrant within 150 feet of the property, and either upgrade the existing 4-inch waterline to a 12-inch waterline for a distance of approximately 800 feet or provide a private water system capable of providing a minimum flow of 2,000- gallons per minute for a 2-hour duration and a pipeline velocity of less than 10 feet per second. F. Should a larger water meter be required, a reduced pressure type backflow prevention assembly must be installed within five (5) feet of the meter on private property and must be inspected by the Department before water service can be activated. G. Subject to other agencies' requirements to construct improvements within the road right-of-way fronting the property affected by the proposed development, the applicant shall be responsible for the relocation and adjustment of the Department's affected water system facilities, should they be necessary, which may include conveying the water system improvements and necessary easements to the Water Board. H. All driveway connections to Slaughter House Road shall conform to Chapter 22, County Streets, of the Hawai`i County Code. The applicant shall provide a 10-foot wide road and utility easement along the subject property frontage of Slaughter House Road. The easement shall provide reciprocal rights for access to all lots along Slaughter House Road. Prior to receipt of a Certificate of Occupancy, the applicant shall improve the road and utility easements over TMK's 1-6-141:001, 024, 027 and 028 to provide road improvements meeting the County Department of Public Works Standard Details R-33 and R-34 to include paved travel lanes, shoulders and drainage swales within a 60-foot wide right of way. The improvements within the 60-foot wide right-of-way shall be privately owned and maintained unless a road lot is created and dedicated to the County of Hawai`i. J. All development-generated runoff shall be disposed of on site and shall not be directed towards any adjacent properties. -2- 1 1 K. All earthwork and grading shall conform to Chapter 10, Erosion and Sediment Control of the Hawai`i County Code. L. During construction, measures shall be taken to minimize the potential of both fugitive dust and runoff sedimentation. Such measures shall be in compliance with constriction industry standards and practices utilized during construction projects of the State of Hawai`i. M. The applicant shall meet the requirements of Chapter 50, Food Safety Code, of the Department of Health rules related to food manufacturing (including water bottling). N. The method of sewage disposal shall meet with the requirements of the Department of Health. 0. To protect any Hawaiian hoary bats in the vicinity of the property, barbed wire fencing shall not be used in the permit area and woody vegetation over 15 feet in height shall not be disturbed, trimmed or removed during bat birthing and pup rearing season of June 1st to September 15th without first conducting surveys for bat nests and coordinating with US Fish and Wildlife Service (USFWS) if nests are found. Surveys shall be conducted by a qualified biologist. P. To protect any Hawaiian hawks in the vicinity of the property, ground clearing, grubbing activities and construction shall not occur in the permit area during hawk breeding season of March to September without first conducting surveys for hawk nests and coordinating with USFWS if nests are found. Surveys shall be conducted by a qualified ornithologist. Q. To protect any seabirds (Hawaiian petrels, Newell's shearwaters and band- ramped storm petrel) in the vicinity of the property, any lighting shall be fully shielded so that the bulb can only be seen from below bulb height. The lights shall be turned off when human activity is not occurring in the lighted area. R. Should any remains of historic sites such as rock walls, terraces, platfoillis, marine shell concentrations or human burials be encountered, work in the immediate area shall cease and the Department of Land and Natural Resources- State Historic Preservation Division (DLNR-SHPD) shall be immediately -3- notified. Subsequent work shall proceed upon an archaeologicalical clearance from the DLNR-SHPD when it finds that sufficient mitigative measures have been taken. S. Should the Council adopt a Unified Impact Fees Ordinance setting forth criteria for imposition of exactions or the assessment of impact fees, conditions included herein shall be credited towards the requirements of the Unified Impact Fees Ordinance. T. To ensure that the Goals and Policies of the Housing Element of the General Plan are implemented, the applicant shall comply with the requirements of Chapter 11, Article 1 of the Hawai`i County Code relating to the Affordable Housing Policy. This requirement shall be approved by the Administrator of the Office of Housing and Community Development prior to the issuance of Final Plan Approval. U. The applicant, its successors or assigns shall comply with all other applicable laws, codes,rules, regulations and requirements of affected agencies for the development of the subject property. V. An initial extension of time for the performance of conditions within the ordinance may be granted by the Planning Director upon the following circumstances: 1. The non-performance is the result of conditions that could not have been foreseen or are beyond the control of the applicants, successors or assigns, and that are not the result of their fault or negligence. 2. Granting of the time extension would not be contrary to the General Plan or Zoning Code. 3. Granting of the time extension would not be contrary to the original reasons for the granting of the change of zone. 4. The time extension granted shall be for a period not to exceed the period originally granted for performance (i.e., a condition to be performed within one year may be extended for up to one additional year). 5. If the applicant(s) should require an additional extension of time, the • Planning Department shall submit the applicant's request to the County -4- ' a Council for appropriate action. Should any of the conditions not be met or substantially complied with in a timely manner, the Planning Director may initiate rezoning of the area to its original or more appropriate designation. -5- BHawaiiIsland DistillingREZS LU.doc-inj jshw 6/27/17 COUNTY OF HAWAII PLANNING DEPARTMENT BACKGROUND REPORT HAWAII ISLAND DISTILLING, LLC STATE LAND USE BOUNDARY AMENDMENT APPLICATION (SLU 17-000047) CHANGE OF ZONE APPLICATION (REZ 17-000218) HAWAII ISLAND DISTILLING, LLC has submitted applications for a State Land Use Boundary Amendment from Agricultural to Urban and a Change of Zone from Agricultural - 20 acres (A-20a) to General Industrial - 20,000 square feet(MG-20) for approximately 6.505 acres of land. The property is located east of Highway 11 (Volcano Highway), west of Railroad Avenue, and north of Highway 130 (Kea`au-Pahoa Highway), Kea'au, Puna, Hawai`i, TMK: (3) 1-6-141:002. PROPOSED ACTION 1. Applicant's Request: A State Land Use Boundary Amendment from Agricultural to Urban and a Change of Zone from an Agricultural—20 acres (A-20a) to a General Industrial—20,000 square feet (MG-20) for 6.505 acres of land. According to the Zoning Code, the General Industrial zoning district applies to areas for uses that are generally considered to be offensive or have some element of danger. Requirements for establishing a land use in the MG district, including a list of the variety of pennitted land uses, are shown in Section 25-5-150 to 167 of the Zoning Code. (Planning Department Exhibit 1 —Zoning Code Requirements for General Industrial Districts) 2. Reasons for the Request: The applicant is requesting a State Land Use Boundary Amendment and a Change of Zone to establish a 7,500+/- square-foot beverage processing facility (microbrewery) that will include a 2,000+/- square-foot supportive visitor/retail sales/tasting center with a 300 square-foot kitchen, as well as required improvements to the access road and parking areas. (P.D. Exhibit 2 - Change of Zone and State Land Use Boundary Amendment (15-acres or less) Applications dated February 17, 2017 and P.D. Exhibit 3 —Letter dated March 22, 2017 from Sidney Fuke to Planning Department) 3. Landowner: Hawai`i Brewery Dev Co Inc., Care of: Bender Consulting Ltd. BACKGROUND INFORMATION 4. History of the Establishment of Industrial Uses in the Area: Since 1993, one water bottling facility has been established in the immediate area and three other adjacent properties have been permitted to establish brewery, distillery, water and soft drink bottling facilities with accessory visitor and food service facilities. These facilities were permitted on a 14.5-acre property by Special Peinrit No. 842, which was issued on May 27, 1993. The 14.5-acre property has since been subdivided into 4 lots that are all covered by SPP 842 and therefore allow a brewery, distillery, water and soft drink bottling facility on each lot. Currently only one water bottling facility has been established on a 7-acre portion of the 14.5-acre site on TMK 1-6-141:001, which is located to the southeast of the subject property. 5. Current Application: The applicant originally applied for a Special Permit to establish a microbrewery on the subject property in February 2017. The Department rejected the application because the same landowner that holds SPP 842 to develop bottling facilities on the four adjacent parcels, also owns the subject property. The Department felt the Special Permit request was segmenting the overall industrial development of the area since the combined total acreage of the subject property and nearby properties covered under SPP 842 is about 21 acres and therefore should be processed through the Land Use Commission. The Department provided the applicant options for how to proceed to permit the proposed microbrewery, and the applicant chose to apply for a State Land Use Boundary Amendment to Urban and Change of Zone to MG-20. (P.D. Exhibit 4 - Letter dated February 13, 2017 from Sidney Fuke to Planning Department) The applicant was informed by the Planning Department that industrial standard water system improvements would need to be made in order to support industrial uses. (P.D. Exhibit 5- Letter dated March 6, 2017 from Planning Department to Sidney Fuke) STATE AND COUNTY PLANS 6. State Land Use Designation: Agricultural. 7. General Plan LUPAG Map Designation: In February 2017, the Planning Director determined that the General Plan designation for this property is Industrial. Industrial areas include uses such as manufacturing and processing, wholesaling, large storage and transportation facilities, light industrial and industrial-commercial uses. 8. County Zoning: A-20a. 9. Puna Community Development Plan (CDP): The Puna CDP was adopted by the Hawai`i County Council, Ordinance 08 116, on September 10, 2008. The project site is situated just outside the boundaries of the proposed Kea'au Regional Town Center, which is located just to the south and west of the subject property. 10. SMA: The Special Management Area (SMA) is a part of the Coastal Zone Management Program and regulated by the County. The project site is located over three (3) miles from the shoreline and is not situated within the SMA. DESCRIPTION OF PROPERTY AND SURROUNDING AREAS 11. Subject Property: The irregularly shaped 6.505-acre subject property is improved with a permitted 306 kW ground-mounted solar photovoltaic array, which will remain. The PV array was given a final inspection on April 2, 2015, under Building Permit No. BH2014-02033. Additionally, there is an open, active Building Permit No. 991076 for a pre-fabricated storage building that has not yet been built. The remainder of the property is vegetated. 12. Surrounding Zoning and Land Uses: Surrounding properties are zoned A-20a, A-5a and FA-2a. Parcel 1, which the subject parcel was once a portion of, is the site of a water bottling facility and zoned A-5a. The three properties to the south are vacant and zoned FA-2a. To the north, is the site of two agricultural warehouse structures and zoned A-20a. There are various Special Permits approved in the area, including several processing facilities for papaya, pickled vegetables, fruit and macadamia nut. One is across from the Kea'au HELCO substation and the other is located on the southeast corner of the East Milo Street Extension/Railroad Avenue junction. There have also been several rezones to industrial uses and concurrent state land use boundary amendments to urban in the general area east of the Keaau Bypass which include: • May 23, 2016 rezone from A-20a to ML-20 and state land use boundary amendment from Agricultural to Urban for 2.08 acres south of Milo Street and west of Railroad Avenue on TMK 1-6-152:020 (REZ 15-197/ SLU 15-045). • May 20, 2010 rezone from A-20a to ML-20 and state land use boundary amendment from Agricultural to Urban for 1.64 acres south of Milo Street and gr east of the Keaau Bypass on TMK 1-6-152:018 (REZ 09-110/ SLU 09-024). • May 11, 2009 rezone from A-20a to ML-la and state land use boundary amendment from Agricultural to Urban for 10.37 acres south of Milo Street and east of Railroad Avenue on TMK 1-6-003:018 and 023. (REZ 08-085/ SLU 08- 021). • January 7, 2004 rezone from A-20a to ML-20 and state land use boundary amendment from Agricultural to Urban for 14.90 acres north of Milo Street and west of Railroad Avenue on TMK 1-6-003:099. (REZ 1029/ SLU 1230). 13. Agricultural Lands of Importance to the State of Hawaii (ALISH): Unclassified. 14. Flood zone: According to the Department of Public Works (DPW) Engineering Division, the subject parcel is currently designed as Zone X on the Flood Insurance Rate Map (FIRM). Zone X is an area determined to be outside the 500-year flood plain. 15. U.S.D.A. Soil Survey: The property is classified as Ola`a (OID) and Keaukaha (rKFD) Series. 16. Land Study Bureau Soil Productivity Rating: The western portion of the property is classified as "D" or "Poor" soils. The eastern half of the property is classified as "C" or "Fair" soils. 17. Archaeological/Historical Resources: According to the applicant, an archaeological inventory survey of the site was not conducted as the site has already been disturbed. The State of Hawai`i Department of Land and Natural Resources-Historic Preservation Division provided a no-effect letter dated April 19, 2017. 18. Flora/Faunal Resources: No professional floral or faunal surveys were conducted of the project site. The site has been extensively cleared formerly for sugar cane and later as a cattle-holding pen. The site is not known to be a habitat for any rare or endangered animal life. The US Fish and Wildlife Service (USFWS) has not commented on this particular project; however, it is common for the endangered Hawaiian hoary bat, Hawaiian hawk, Hawaiian petrel, band-ruinped storm-petrel, and the Newell's shearwater to transit this general area. 19. Cultural Resources: There is no evidence of any traditional and customary Native Hawaiian rights being practiced on the site, nor existence of any known valued cultural, historical or native resources in the area. 20. Public Access: There is no record of a designated public access to the shoreline or mountain areas that traverses the property. 21. Traffic: No traffic study was prepared for the subject property. The applicant stated that the projected use will not cause any significant increase in the projected traffic flow utilizing the existing improved roadways. It is anticipated that the traffic flow increase will be two (2) to three (3) additional trucks per day, plus possibly up to ten (10) vehicles per hour, during the non-peak hours, for visitors. PUBLIC SERVICES AND FACILITIES 22. Access: Access to the project site is from the Kea`au-Pahoa Bypass onto a frontage road, formerly known as the Old Volcano Highway. The Old Volcano Highway connects to Slaughter House Road (a private road), approximately one mile from the Bypass. Both the Old Volcano Highway and the Slaughter House Road have a pavement width of 20-feet within a 50-foot wide right-of-way. Access from that point to the property is via two side by side 25-foot wide road and utility easements on TMK 1-6-141:001, 1-6- 141:024, 027 and 028. The pavement width within these easements is 20 feet wide. The General Plan and Subdivision Code state that industrial streets shall have a minimum right-of-way width of 60 feet with a minimum pavement width of 24 feet. The Department of Public Works did not recommend improvements because access to the property is over private lots with utility and roadway easements. However, several of the industrial rezonings previously approved along Milo Street required the applicant to comply with the standards outlined in Standard Details for Public Works Construction R- 33 and R-34. Standard Detail R-33 identifies the street cross section for business & industrial standards, which is a 60-foot wide right of way with 12-foot wide paved travel lanes, 8-foot wide paved shoulders and 10-foot wide paved drainage swales. (P.D. Exhibit 6—Standard Details for Public Works Construction R-33 & R-34) 23. Water: The applicant proposes to use an onsite water well for the water bottling facility (microbrewery) production. The Department of Water Supply(DWS) has indicated that County water cannot be used for any production at the proposed facility. There is an existing 5/8-inch meter currently serving the subject parcel, which is limited to an average usage of 400-gallons per day or one (1) unit of water. Potable water from the County can only be used for non-production purposes, such as handwashing, restroom and for employees to drink. DWS has indicated that the onsite well and County water system cannot be interconnected in any way. Should the applicant develop a different industrial use on the property than the proposed microbrewery, they will be required to submit estimated water usage calculations and DWS will determine if additional or larger water nieter(s) will be required for the industrial land use. The County water system in the area includes a 16-inch waterline in the Keaau Bypass right-of-way, which branches off to a 6-inch waterline on Shipman Road but only to the area where the road turns left. At that point it drops down to a 4-inch waterline fronting the subject property. DWS system standards require that a minimum flow of 2,000-gallons per minute for a 2-hour duration and a pipeline velocity of less than 10-feet per second be available at the site for fire protection for industrial land uses. The existing 4-inch waterline fronting the property is inadequate for fire protection and the nearest fire hydrant is more than the required 150 feet from the property. 24. Wastewater: There is no municipal wastewater system in the area. According to the applicant, an enhanced septic system meeting with the requirements of the Department of Health will be required. 25. Solid Waste: The applicant indicated that the solid waste will be handled through commercial haulers and deposited in the Hilo landfill. 26. Other Utilities/Services: Electricity, cable and telephone are available to the site. Police, fire protection and emergency medical services are located in Kea`au, less than • two miles from the property. AGENCIES' COMMENTS 27. Department of Public Works Engineering Division: P.D. Exhibit 7—April 27, 2017 memo 28. Department of Water Supply (DWS): P.D. Exhibit 8—May 1, 2017 memo 29. Department of Water Supply: P.D. Exhibit 9—June 8, 2017 email 30. Police Department: P.D. Exhibit 10—March 6, 2017 memo 31. Fire Department: P.D. Exhibit 11 —April 18, 2017 memo 32. DLNR-State Historic Preservation Division: P.D. Exhibit 12—April 19, 2017 memo 33. Department of Health: P.D. Exhibit 13 —May 17, 2017 memo AGENCIES/ORGANIZATIONS - NO COMMENTS/NO CONCERNS 34. Department of Environmental Management, DLNR-Land & Engineering Divisions. AGENCIES/ORGANIZATIONS - NO RESPONSE 35. Department of Public Works- Building Division. APPLICANT'S RESPONSE TO AGENCIES' COMMENTS 36. P.D. Exhibit 14: May 8, 2017 letter from Sidney Fuke responding to DWS comments PUBLIC COMMENTS As of the date of this writing, the Planning Department has not received any objections from the general public or adjacent landowners on the subject application. 25-5-150 HAWAII COUNTY CODE Division 15.MG, General Industrial Districts. Section 25-5-150. Purpose and applicability. The MG (general industrial) district applies to areas for uses that are generally considered to be offensive or have some element of danger. (1996, ord 96-160, sec. 2; ratified April 6, 1999.) Section 25-5-151. Designation of MG districts. Each MG(general industrial) district shall be designated by the symbol"MG" followed by a number which indicates the minimum land area, in number of thousands of square feet, required for each building site, or if the number is followed by the symbol"a,"by the minimum number of acres required for each building site. (1996, ord 96-160, sec. 2; ratified April 6, 1999.) Section 25-5-152. Permitted uses. (a) The following uses shall be permitted in the MG district: (1) Agricultural products processing, major and minor. (2) Airfields, heliports and private landing strips. (3) Animal hospitals. (4) Animal quarantine stations. (5) Animal sales, stock, and feed yards. (6) Aquaculture activities and facilities. (7) Automobile and truck storage facilities. (8) Automobile body and fender establishments. (9) Automobile service stations. (10) Bakeries. (11) Bars. (12) Breweries, distilleries, and alcohol manufacturing facilities. (13) Broadcasting stations. (14) Bulk storage of flammable products and bulk storage of explosive products. (15) Car washing. (16) Catering establishments. (17) Cemeteries and mausoleums, as permitted under chapter 6, article 1 of this Code. (18) Churches, temples and synagogues. (19) Cleaning and dyeing plants. (20) Commercial parking lots and garages. (21) Community buildings, as permitted under section 25-4-11. (22) Concrete or asphalt batching and mixing plants and yards. (23) Contractors' yards for equipment, material, and vehicle storage, repair, or maintenance. (24) Crematoriums, funeral homes, funeral services, and mortuaries. (25) Day care centers. (26) Dumping, disposal,incineration, or reduction of refuse or waste matter. (27) Expansion of an existing commercial excavation operation,provided that plan approval is secured from the director. (28) Fabricating establishments. (29) Fertilizer manufacturing plants. (30) Financial institutions. (31) Food manufacturing and processing facilities. Planning Dept. Exhibit ! § 25-5-152 HAWAII COUNTY CODE (32) Freight movers. g 33 Greenhouses, plant nurseries. (34) Heavy equipment sales, service and rental. (35) Home improvement centers. (36) Junkyards. (37) Kennels. (38) Laboratories, medical and research. (39) Laundries. (40) Lava rock or stone cutting or shaping facilities. (41) Lumberyards and building material yards. (42) Machine,welding, sheet metal, and metal plating and treating establishments. (43) Manufacturing, processing and packaging establishments, light and general. (44) Marine railways, drydocks, and ship or boat yards. (45) Motion picture and television production studios. (46) Photographic processing. (47) Public dumps. (48) Public uses and structures, as permitted under section 25-4-11. (49) Publishing plants for newspapers,books and magazines, printing shops, cartographing, and duplicating processes such as blueprinting or photostating shops. (50) Recycling centers. (51) Reduction, refining, smelting, or alloying of metals,petroleum products or ores. (52) Repair establishments, major and minor. (53) Restaurants. (54) Saw mills. (55) Self storage facilities. (56) Slaughterhouses. (57) Storage and sale of seed, feed, fertilizer and other products essential to agricultural production. (58) Storage, curing, or tanning of raw, green, or salted hides or skins. (59) Telecommunication antennas, as pennitted under section 25-4-12. (60) Temporary real estate offices, as permitted under section 25-4-8. (61) Transportation and tour terminals. (62) Truck, freight and draying terminals. (63) Utility facilities, public and private, including power plants, offices or yards for equipment, material, vehicle storage, repair or maintenance. (64) Utility substations, as permitted under section 25-4-11. (65) Veterinary establishments. (66) Warehousing. (67) Wholesaling and distribution, including the storage of incidental materials and equipment. (68) Yacht harbors and boating facilities. (b) In addition to those uses permitted under subsection(a) above, the following uses may be permitted in the MG district, provided that a use permit is issued for each use: (1) Commercial excavation. (2) Major outdoor amusement and recreation facilities. (3) Schools. (c) Any other use not otherwise permitted in subsection(a)that relates to the manufacturing, transportation,processing, assembling, distributing, repairing, and storage of goods,products, or materials, shall be permitted in the MG district. § 25-5-152 HAWAII COUNTY CODE (d) The following uses shall be permitted in the MG district as incidental and subordinate to any peiniitted use: (1) Living quarters for watchmen or custodians in connection with the operation of any permitted use. (2) Retail sales. (3) Services for persons working in an MG district which are conducted within an integral part of a main structure with entrances from the interior of the building and which have no display or advertising visible from the street. (e) Buildings and uses normally considered directly accessory to the uses permitted in this section shall also be permitted in the MG district. (1996, ord 96-160, sec. 2; ratified April 6, 1999; am 2005, ord 05-68, sec 2; am 2011, ord 11-26, sec 5; am 2012, ord 12-28, sec. 17.) Section 25-5-153. Height limit. The height limit in the MG district shall be fifty feet. An industrial structure may be built to a height of one hundred feet,provided the extra height is determined by the director to be functionally necessary. (1996, ord No. 96-160, sec. 2; ratified April 6, 1999.) Section 25-5-154. Minimum building site area. The minimum building site area in the MG district shall be twenty thousand square feet. (1996, ord.No. 96-160, sec. 2; ratified April 6, 1999.) Section 25-5-155. Minimum building site average width. Each building site in the MG district shall have a minimum building site average width of one hundred feet. (1996, ord No. 96-160, sec. 2; ratified April 6, 1999.) Section 25-5-156. Minimum yards. The minimum yards in the MG district shall be as follows: (1) Front yard, twenty feet; and (2) Side and rear yards, none, except where the adjoining building site is in an RS, RD,RM or RCX district. Where the side or rear property line adjoins the side or rear yard of a building site in an RS,RD, RM or RCX district, there shall be a side or rear yard which conforms to the side or rear yard requirements for dwelling use of the adjoining district. (1996, ord No. 96-160, sec. 2; ratified April 6, 1999.) Section 25-5-157. Other regulations. (a) All front yards in the MG district shall be landscaped, except for drives and walkways. (b) Where any required side or rear yard in the MG district adjoins a building site in an RS,RD, RM or RCX district, a solid wall six feet in height shall be erected and maintained along the side and rear property lines so adjoining. (c) Plan approval shall be required for all new structures and additions to existing structures in the MG district. (d) Exceptions to the regulations for the MG district regarding heights,building site areas, building site average widths and yards,may be approved by the commission within a planned unit development. (1996, ord 96-160, sec. 2; ratified April 6, 1999; am 2015, ord 15-33, sec 4.) rry.. (;.ji7 FEB 2:7 nm q ^ i!5 APPLICATIONS FOR STATE LAND USE BOUNDARY AMENDMENT (Agricultural to Urban) and COUNTY REZONING (A-20a TO MG-20) HAWAII ISLAND DISTILLING LLC Kea au, Puna, Hawaii TMK: (3) 1-6-141: 002 Prepared For: Hawaii Island Distilling LLC Prepared By: Sidney M. Fuke, Planning Consultant February 2017 Planning Dept. Exhibit 2 STATE LAND USE BC UNDARY AMENDMENTmpurATION (1$ ACRES OR LES) FEB 92 OT L COUNTY OF HAWAII PLANNING DEPARTMENT HiW,1/A (Type or legibly print the requested inforMatiOn) PETITIONER.. Hawaii Island Distillin LEC PETITIONER'S-SIGNATURE,: 1/V).(,11,- .., DATE: Feb: 17:, 2%7 ADDRESS 1188 BishopStreet, Suite 811 Ebricartm, III 96813 PETITIONER'S'INTEREST IF NOT OWNER: TELEPHONE:(Bus,) (808.) 593-7731 (Res.) (Fax) LANDOWNER(S): Brewery Development Co. inc. FO? 'LANDOWNER SIGNATVRE(S): 71 . 2017 May be by letter) ADDRESS: 1188 Bishop St., Suite 811. lidivatibi, NT 96813 TAX MAP KEY: (3) 1-6-141t 002 STREET ADDRESS OF PROPERTY; ZONING A-2Ca SIZE OF PROPERTY: 6.505 acres CURRENT STATE LAND USE DISTRICT CLASSIFICATION: Agricultural REQUESTED STATE LAND USE DISTRICT CLASSIFICATION: urban AGENT: Sidney Fulre Planning Consultant ADDRESS: I00 Panahi Street, Suite 212 Hilo, In 96720 TELEPHONE:(Bus.) (80.8) 90-71.522 (Res.) (Fax) Please indicate to whom original correspondence and copies Should be sent. ORIGINAL Sidney Fuke COPIES: I'4c. MaretIS Bender, Hawaii Island . Dist Ming, Inc. (See Instructions on Reverse Side) CHANGE OF ZONE APPLIC4pcItsi 2 • _ !.! :COUNTY OF HAWAII ti,./:ENT PLANNING DEPARTMENT (Type or legibly print the requested inferrhation) APPLICANT:Hawaii Island Distilling,LI,C APPLICANPS SIGNATURE: DATE:Feb.17,2017 ADDRESS:1M 1160 S-"4'Suite 811 Honolulu,H1.96813 LIST AP?LICANVS.INTqRST IF NOT OWNER: LIST PRINCIPAI(S)INCLUDING NAMES;OF MAIN OFFICERS:Marcus Bender,Pre$ident PHONE:(13-Us.)(8°8)531731 (Res.) wax)(80.8)593,7751 LANDOWNER(S):Hawaii Brewery Development co.,Inc. LANDOWNER SIGNATURE(S): DATE:Feb. 17,2017 (May be by letter) LANDOWNER(S) ADDRESS: U88 Bishop Street,Suite 811 Honolillq,HI 96813 REQUEST:A20a To MG-20 (Existing zoning) (Proposed Zoning) TAX MAP KEY: 1-6-141:002 STREET ADDRESS OF PROPERTY:Slaughterhouse Road SIZE OF PROPERTY OR AFFECTED ARENS)TO BE REZONE):6505*actes- AGENT: Sidney M.Fuke ADDRESS:.IO Pauahi Street,Sit 212 Hilo,HI 96720 IELEPHONE: (Bus)(808)969-1522 (Res.) (Fax) Please indicate to whom original correspondence and copies should be sent, ORIGINAL: Sidney M.Fuke COPIES 'Marcus Bender Hawaii JAW Distilling LLC (See Instructions on Reverse Side) ATTACHMENT Commercial, RM, Resort, & Industrial PLANNING DEPARTMENT COUNTY OF HAWAII APPLICATION FOR CHANGE OF ZONE 1 . if your request is approved, do you intend to subdivide the subject land in accordance with the approved change of zone? No If yes, please answer the rest of question I and then to quest of n 3. a. How many acres of the requested area do you intend to subdivide? b. Into what lot sizes? c. if your request is approved, approximately how long after the date of approval do you expect to submit your subdivision plans to the Planning Department for preliminary approval? If you intend to subdivide, please submit a preliminary schematic subdivision plan together with your change of zone application form. 2. If you nave no firm plans of subdividing the subject area, do you intend to: a. Sell or lease the land to someone who has firm plans? No b. Sell or lease the land to someone who has tentative plans? No c_ Sell or lease the land to someone who has no plans? No d. Keep it? Yes e. other (please state) f. If you intend to do either a, b, or c, please elaborate on the kind of plans the other party has . Please, also, include in your answer approximately how soon after approval of your rezoning do you expect to transfer the subject land to another party. 3. What specific building plans do you have for the subject land? Include in your answer the following: type of building (apartment, office, launderette, etc. ) ; financing arrangement; timetable for construction; and any other information which you feel might help us in evaluating your request. Construct a beverage processing facility with a small visitor center component. See Envirornmental 4. Have you performed any study which would demonstrate a need for your proposed building and/or development? No if so, please elaborate on your findings in the space provided below. -2- 5. Have you performed any study which discusses the environmental impacts your request would nave on the surrounding area and/or the County? Yes If so, please elaborate on your findings in the space provided below. Please refer to attached planning and environmental report 6. Are there any buildings on the subject area? No If so, what kind? However,there is a photovoltaic(solar array)system on the site. What do you intend to do with those buildings if your request is approved? Keep and utilize the solar array system. 7. Is the subject land currently being used for any agricultural activity? No if so, please list the kinds of products grown on and how many square feet or acres of land per product? -3- 8. To your knowledge, has there been any flooding and/or drainage problem on the subject area? No If so, please describe the problem. 9. Do you think that the roads leading to the subject area needs improvement? Yes If so, what kind? Per the industrial zoning,the property frontage may have to be widened. Is the road adequate for the proposed traffic volume or load? Yes 10. What sort of governmental assistance and/or improvements do you feel will be needed in the subject area when developed? yes NO a. Schools X b. Roads X c . Sewer X d.' Drainage X X e. Police Protection X f. Fire Protection X g. Recreational Facilities X h. Recreational Facilities 1. -4- For those ohecked "yes," please elaborate what type Or kinds of improvements and/or assistance are needed. 11. Have you prfprited any historic sistes study anclior survey of the subject area? If so? what were the results? Please, also, submit a copy of the study together with this change of zone supplement. Yes;please refer to environmental report. Signature: Address: 1188 Bishop Street,Suite 811 Hon 96813 Tee ePhone: 808 593-7731 Date: Feb. 17,2017 -5- 6338A/50A P. D. 5/84 COUNTY ENVIRONMENTAL REPORT STATE LAND USE BOUNDARY AMENDMENT REQUEST (Agriculture to Urban) COUNTY REZONING REQUEST (A-20a to MG-20) HAWAII ISLAND DISTILLING, LLC KEA'AU, PUNA, HAWAI'I TAX MAP KEY: (3) 1-6-141: 002 I. INTRODUCTION Hawaii Island Distilling, LLC ("Applicant") is requesting a State Land Use ("SLU") Boundary Amendment from Agriculture to Urban and a concurrent rezoning of Agriculture (A-20) to General Industrial (ML-20) to allow the establishment of a microbrewery and a beverage processing facility with a supportive visitor center component on a 6.505 acre parcel identified by TMK: 1-6-141:002 situated in Kea'au, Puna, Hawai'i. The site of the proposed use is adjacent to and directly west of an existing water bottling facility in Keaau. A Special Permit for also a proposed beverage facility is situated directly south of the subject site. In addition to the microbrewery, the beverage processing facility may include potable water, tropical fruit drinks, and a distillery. It should be noted, however, that depending on demand and spatial considerations, the facility may include some but not necessarily all of the beverages noted above. If approved, the Applicant intends to partner with a group that has the financial and technical wherewithal to establish the facility, particularly the beverage component. This report is intended to support the applicant's request for a SLU Boundary amendment and County rezoning. II. PROJECT LOCATION The subject site is located generally east of the Volcano Highway and (Highway 11) and north of the Keaau-Pahoa Bypass Road (Highway 130). The town of Kea'au is located approximately one (1) mile to the south. (Figure 1) There is a water bottling facility adjacent and directly east of the subject site. Other surrounding uses include a papaya packing plant, the former Keaau Kim Chee factory, a cabinet shop, and scattered residences. There is a valid but undeveloped Special Permit (SPP 842) for a brewery, water, and soft drink bottling facility proposed for a site immediately to the south of the proposed site (TMK: 1-6-141: 024, 027, 028). There is also a 1 • 'xi' aar 6 .- • - t 4 • PROJECT LOCATION - PAN,, .I PARK Stub.ject Site KAIAPANA PANAU - _ .74 NOT TO SCALE _ ,Gjp, • Q (4 •• F f=�[` \f Z, • � `t t r ;£ p G swn�Pr �- _ 'aug• er za • e • • --- ,—, ,.% •a utn.qat, a).C -. c `1:11.,'_.:41..-:1--:::•-.0?;,. ';' • , . . --- ...—. - ..• - - -Tin,-11-V -.A.; se . - •sh• '°'- - edge S• teflishd` �f Sugar ,tuP�' -•• ; s. — ,. KEA4:11_ , • P cLtutibti j...__ _.7. . :,..:. Pili.qua ' '� •a 3 i ,�` ;. ,-z FA' :- • shi.... _ , 4 ! a •k. , • •,.,....... ( i !•i't P•i ard• ,S',hipIDaa .-2 . ..�1f/fjddle.Sd•itool • r t • C znt�? t r.` ' is '- .:EQ• ' . 233r 0 P tic LiUsY ' C 0\- O dale' �1 v. • V�`C4 • Q` F � Pa 'a • s xr��- '!- I •• ; — t e, "Pc � \::S2'. fi . . r�- vLa . • i:d : o or{cicx ` ! f. • I,? k. • E •%.'' cap • . ami, . i ,43,3, �aR�Iiiiih: , • A-4_,,i . Ng' M< . . j ,� ta V, / 6 / •4•sho: ill •N-7•cp, • ,se . `.....1"-'1.7”:--,r.r-r.—........-: r-,-----7-.-t.. .- - ,----re-- •F °. • . 400 - ' - - - gem ' '. CV • 'ig Eleni.11" .� i t .` ., . .Lots SC11001£ •-� ,t 00--.-- ,4).. ..9. - .-,,,,, a e • F+igilt�re 1 z - br 4%,dr•i edsli"-'s - 1 1 o I property less than 1,000 feet from the subject area that was rezoned into the FA-la district. (Figure 2) III. PROJECT DESCRIPTION A. Project Concept Because of the proven quality and quantity of the water source in this area, as evidenced by the adjacent water bottling facility (Hawaiian Spring) to the east and the proposed brewery to the south, the Applicant would like to develop a beverage processing facility focusing principally in a microbrewery with a small visitor/touring component on the subject site. However, because of market sensitivity of a microbrewery, the applicant would also like the potential of producing a distillery, potable water, and/or even tropical fruit beverage. That is the reason for wanting the option to provide all, if not some, of those products. Water for both the potable water and beverage facility would be provided by a well that will be constructed on the site. A well permit has already been issued to better assess the quality and quantity of this well. In terms of production and sales of the proposed beverage(s), they would function no differently than the other water bottling plants in this area. The bottled beverages would be produced, stored, and then distributed to the various markets. There would be limited on site retail sales in conjunction with the planned visitor facility, which will operate only during the day. Relative to the beverage component, it is the Applicant's intent to utilize water from the new well. Theplan is to procure tropical fruits t grown in the area, such as papaya, rambutan, lychee, longlan, and the like to produce a variety of possible microbrew flavors and even the distilled liquor. If approved, the Applicant intends to partner with a group that has the financial and technical wherewithal to establish the facility, particularly the beverage component. B. Project Components As depicted in Figure 3, when fully developed, the beverage processing facility will occur within a 7,500+/- square foot structure. 2 1-8-141 3RD DIV . -......_„,......., . . CI) •,..; C .„„ ---,..„.'..., ... i.; , . • ,........ -,•• ',,. 0 ',..,..., • . •w: Tai ..,, 0 73 M , c ,p, 0 .t. ,,,... •,. A , • : . vv- ,A.O...•-•.”,...2/..• 4 i 1 ../ • ss.78a. Aes. . .• AQ i • ..' . •'):. 171 ........ 20 .,0 • ',. 7. (D 06.61,9 4c.. ..., : * . 11111...i 1 • O in) i6 • \ ,c •% 36.CLAP Aca, „,,tOtc.71 , j'. . o •P ;l•-• Af,":',dr, i . P : / 0\ irtf• i . ;l'., 1 4 40.,. .0)i 17 ,., , • . ".. ..?.c.fli N. 0. ; 4.4''' ,.,•;. '1, i.b .g,” '•. 28 Lis. ..... ,,/, g., • - 0 1; (ilili / 4' % .., ..,. . ,.. -,•-• ....„ ,. .,•°. .......... , -•,,,,,. 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' . .... . „LAT 0., 1 — PC..4r 446 '21 FOR REAL PROP•• .:XATION PURPOSES 1 6 141 i• SUBJECT TO C• ! 1.•- par LO. C7: ARP! /053. KEAAO, NINA, HAWAII. (Formerly par.1-6-03) SCALEI 11 200 FT i • r .. . • . • 17571.7X EN fi7Yfi.]951fi Lot 1092-E (Map 81) r 0 r Lot 9677 .-xr Z (Map 559) L,I 1.0- ilk w COVERED LANAI / PR O SEE HRYAII U SEER SAMPLING AREA 17500 E1 F,1IllirM'i"- APPROX 150.75 SEATS! Y M 12000 9F.1 SMALL PIJ PIJ°KITCHEN 1 1300 SFI I�:411111,1I.�'Ii 11111:11aI'III ° 2 ✓ ' i�id���2���i:�ili. iii (Map 5°2 N Ilr1n * . -gip'' LDIDMO SEALO 972 0 1...: in _„-....,-., er ''.: 7.030 ACRES pp 0. Lot 1150-A-1 Ln Lot /';` aprz v ��O l a C (Map 225) Cl A-31-A-2 t .. P " - 17� e A'YRr�isoo'sC. (Map 134) e ��..(....e,,, * r w .�i '' ''e.n. 2�fr tfr32" 645.64 — - Z p{RC� a Ll .;,....,A...,,... ......„,...• • ,e e 1 2 Plpe seli•f.• ..• 5e�,e 9 O / (�C4J9 C� Lal 1150-8-1 xaRl ao r Pi•e Found 1/2 Pp.R...t N.o Sol 344.56 I/Y Pipe set 614,,••QM/m // .`fop o (Map 457 61 32 9, n^I i 94'14' 93.29 Easement 412 315'40'32" 21.21 x? /j/ 6E 179'36'I/Y Plpe Found')y'„ o n 1 (Map 592) R=15,00 0: // 89'36' m 113 e' O7 1 m M e i 11/ �0 / VA.1, ,7-; o i m T^ 1`t 0'40'32" 219.01 '/ �� `fl �,4�, •` II N ¢ I LOT 9722—A LOT 9722—B -�--- 2,91' / ,��' M 1 I M o 2.410 ACRES I 2.995 ACRES . F—0'40'32" 218.98 do,- a iE Lot 1150-C-1 N7 ui f0 1 t..M n 13 ///// . 122 PIP.Reel ,' d�;'/ (Mop229) 1 a I R. N o e�,ti i I/2.Pipe Set 05 pp) 270'33' 730.99 /2 Pipe Found a 11 �� I'7 e� 5C;111,-, % �1 Xi . O 6a(,/o j/// ",.eV, LOT 9722—C 314'08'28" 96.86 •�' ,A /�// ��` 2.424 ACRES 21.00' 71.36 "' 05 I1 /E/ °4y X11 I Reber Found 288.32 1/z'PIP.5.2...,......'/ 420.06 PK Nog 5.1 731.00 1/2'Pipe Found 11 ,,...,...„.„);-,7)--- 90'33' ---• 1439.38 II f. Lot 9187-8 a. (Map 590) PetE p 0PR0POSED MICRO BREWERY SITE PLAN SCALE:I/64' I, 1.16.H INS.01/14/2017 There will be an additional 2,000+/- square foot area for tasting or sampling and retail sale of the beverages and associated products like t-shirts, mugs, and the like. The tasting area will be able to accommodate 50-75 seats. Also proposed is a 300+/- square area kitchen to prepare pupus or hors d'oeuvres to accompany the tastings. In a sense, it would be similar to many of the wineries where the facility has an area for tasting, with or without light pupus, as well as associated retail sales. The kitchen and tasting will not operate independent of the beverage processing facility. The structures would be less than thirty (30) feet in height. Areas for employee parking, loading and unloading areas, and so forth will be provided, consistent with the County's Zoning Code. As shown on the preliminary site plan (Figure 4), at least twenty (20) parking stalls with two (2) loading zones would be provided. It should be noted that there is an existing array of solar panels on the subject site that is owned by the landowner, Hawaii Brewery Development, Inc. Power from this source is also being utilized by the owner of the adjoining bottling facility, Hawaiian Springs Water, LLC. It is anticipated that this solar system will also service some of the subject project's power needs. C. Project Timetable and Cost The Applicant hopes to finalize its business relationship after the SLU and County rezoning processes and begin immediately to prepare construction plans. Construction is anticipated to begin within eighteen (18) months of favorable approval of this request. The construction timetable is estimated at 10-14 months, with a planned opening by summer of 2019. The estimated construction cost associated with the project is $3.5 million. IV. INSTITUTIONAL CONSIDERATIONS A. State Land Use The State Land Use designation of the subject property is Agriculture. As such, a SLU boundary amendment into the Urban district is required to enable the subsequent consideration of the County rezoning request from A-20a to MG-20. Given that the petitioned area is less than fifteen (15) acres in size, the County Council has the authority to decide upon the SLU boundary amendment request. 3 1 O O 225'-0•' lea'-o° PROPOSED HAWAII I COVERED LANAI MICR❑BREWERY BEER SAMPLING AREA `,k'1II�1��= (7500 SF.) APPROX (50-75 SEATS) (2000 SF.) �•� =_ SMALL PUPU KITCHEN (12------1111111111111111111111111.111111111110arip Zit (300 SF) �� III21111111 I I IIII Ili ` EXISTING.SOLAR ARRAY FARM / _.....,,_ 0 t 91''%-I �' A/C PAVED tII' i�``1/I ' PRKOT ,Ilii o 1\I -71 %�' r? Q y o `\III,- /,� EXISTING.SOLAR ARRAY FARM c ATI% ��i/ ) •CD Lot • ''� '` 4 :Q A-31 —A-2 i. .° II (yap 134) b °. M 1 ,`0-72 �`I46 LOADING c.iT % .HT,,,, tii�' DOCK 1\= ... _.-. —IIIIIIIIIIIIIIIIIIII _ Ind e oun o pilo ound �� fik 4 II' • 645.64 a °Sptk-e- . NMI 271 .08 pi e et 344.56 1/2" Pipe Set /2" Pipe Fouhd °1/2' Pipe Reset Nail Set 1/2" Pipe Set CD in 94°14' 93.29 315°40'32" 21 .21 0 o N Easement 412 R=15.00 ooz z • (yap 592) o o hr) hr) Oi d Lo o 0°40'32" 219.01 I nT q72 � - R} LOT 9722- A B. County General Plan According to a letter, dated February 13, 2017 (Exhibit A), the Planning Director noted that relative to the General Plan Land Use Pattern Allocation Guide ("LUPAG") map, "The General Plan designation for the property can be interpreted to as Industrial and Medium Density Urban given the location of the Industrial node just to the east of the subject property." The Medium Density Urban refers to "Village and neighborhood commercial and residential and related functions (3-story commercial; residential- up to 35 units per acre." More importantly, the Industrial designation refers to areas suitable for uses such as "manufacturing and processing, wholesaling, large storage and transportation facilities, light industrial and industrial-commercial uses." Given the Industrial interpretation, the requested MG-20 zoning would be consistent with the LUPAG map, and no amendment is required. It should be noted that the Hawaiian Springs bottling plant located adjacent and to the east of the subject site as well as a proposed brewery immediately south of the subject site were also favorably considered for a Special Permit. Their industrial and commercial components would be consistent with the Industrial interpretation of the LUPAG map. The requested SLU boundary amendment and County MG-20 rezoning would also be consistent with the goals, policies, and standards of the General Plan document. For one, it will provide limited short-term and considerable long-term economic opportunities. In the short-term, there will be construction work. More importantly, however, longer-term opportunities would be created largely in the form of the proposed brewery and beverage facilities. In so doing, the resultant project should add revenues to the County and State coffers. The project intends to be energy conscious through the use of solar energy as well as design features which take advantage of wind and sun patterns. Maintaining and improving the quality of the environment is important to the success of this project. The General Plan identifies five (5) areas of environmental concerns - air pollution, water quality, soil 4 pollution, solid waste disposal, and noise pollution. As proposed, the project would not be violative of any of those objectives. Aside from vehicular transmission, air pollution associated with the project should be negligible. All wastewater systems would be consistent with the requirement of the State Department of Health. An enhanced or private treatment plant system is needed to mitigate potential impacts to the existing well on the site. Given the concern and the DOH's requirement, any potential groundwater or coastal water impacts should be minimized. If required, a solid waste management plan could be prepared and implemented. The project will also not be a noisy one, except as may be associated with comparable agricultural operations. Any noise- generating facility would be carefully placed to minimize their noise impacts to adjoining properties. The agricultural noise standard will be maintained. The project area is outside of any floodway. Nonetheless, a drainage system will be designed in a manner to protect the property as well as to minimize the volume of surface runoff generated by this development. The site does not have any known archaeological sites, and the State Historic Preservation Division concluded in a letter, dated September 16, 2014, (Exhibit B) that no historic properties would be affected. The site has been fully improved in the past. However, if there are any inadvertent finds, work will cease and resume only after proper clearances from the State and/or County have been received. Being partially disturbed and within a quasi rural/urban area, the prospects of the site serving as a habitat for rare or endangered plant or animal life appear remote. The Plan also emphasizes that developments be mindful of an area's natural beauty. In this situation, the project has been used in a manner where it blends with the existing terrain. As the project site is nearly 6 miles from the ocean, the usual coastal resources concern is not pronounced. There will be no interference with shoreline access. Then, too, through the use of septic system or other acceptable form of wastewater system, impacts to the coastal water will be minimized. 5 There will be little impact to public facilities. The wastewater system will be private. There is a Department of Water Supply-approved water system serving the subject parcel. Road improvements within the site are already improved. Schools and other public facilities are also located proximate to the site, most of them being less than 5 miles away. The requested zoning would be consistent with the goals, policies, and standards of the Economic and Land Use Elements of the General Plan. Specifically, the more pertinent ones follow: 1. Economic Element Goals • Provide residents with opportunities to improve their quality of life. • Economic development and improvement shall be in balance with the physical and social environments of the island of Hawaii. • The County of Hawaii shall strive for diversity and stability in its economic system. • The County shall provide an economic environment which allows new, expanded, or improved economic opportunities that are compatible with the County's natural and social environment. Policies • The County shall provide an economic environment which allows new, expanded, or improved economic opportunities that are compatible with the County's natural and social environment. • The County shall strive for an economic climate which provides its residents an opportunity for choice of occupation. 6 • The County shall strive for diversification of its economy by strengthening existing industries and attracting new endeavors. • The County shall encourage the development of a visitor industry which is consistent with the social, physical, and economic goals of the residents of the County. Discussion The request would provide opportunities for a beverage processing facility in an area that is serviced by a good transportation system. Relatedly, all required infrastructure is there or, if not and/or needed, will be provided by the Applicant without taxing government's servicing ability. Further, the area is located proximate to industrial and business areas, making the site accessible to these uses. At the same time, the requested project would be compatible with existing and planned beverage facilities in this area. 2. Land Use Element (Industrial) Goals • Designate and allocate industrial areas in appropriate proportions and in keeping with the social, cultural, and physical environments of the County. • Promote and encourage the rehabilitation of industrial areas that are serviced by basic community facilities and utilities. Policies • Achieve a broader diversification of local industries by providingopportunities for new industries and strengthening existing industries. • Locate industrial areas convenient to transportation facilities, and provide a variety of industrial zoned districts and lot sizes, depending on the needs of the industries and communities. 7 • Improve the aesthetic quality of industrial sites and protect amenities of adjacent areas by requiring landscaping, open spaces buffer zones, and design guidelines. • Industrial development shall be located in areas adequately service by transportation, utilities, and other essential infrastructure. • Provide flexibility within the Zoning Code to accommodate emerging new industries. Standards • Industrial activities may be located close to raw materials or key resources. • Topography of industrial land shall be reasonably level. • Industrial development shall be conveniently located to its labor resource. Discussion The requested zoning is designed to accommodate a beverage processing facility, one that can be reasonably developed where the resource is situated. Such is the case here. The site has the proven needed resource to support the beverage processing facility. At the same time, all basic infrastructure is or could reasonably be made available by the Applicant. Police and fire protective services are available within a 5-minute response time. As such, this project should not require addition public services to be provided. There is also a good labor pool in this area, one that would not necessitate excessive and long distance commuting. The site does not have any on-site developmental constraints. The land is relatively level and is designated "X" on the FIRM map. As the site has been cleared in the past of its vegetation, 8 • the prospects of the site serving as a habitat for rare or endangered plant or animal life appear remote. There is also little evidence that the site would have any archaeological feature. The site is also adjacent to existing and planned beverage processing facilities. Thus, it would be compatible with the surrounding area. To further mitigate potential visual and noise impact, additional landscaping can be provided. A portion of the soil of the site is classified "C" or fair, suggesting agricultural potential. This request, however, would not compromise the agricultural potential of surrounding areas. It should be noted that with the Applicant's plans to utilize area fruit crops as part of its beverage processing activity, the project could indirectly generate a greater market of these fruits and in turn, help the agricultural industry. In view of the foregoing goals and policies, it is noted that the requested zoning would be consistent with Industrial designation of the LU PAG map. C. Puna Community Development Plan Section 15.1 of the County General Plan called for the development and eventual County Council adoption of Community Development Plans. The General Plan states that the CDP "will translate the broad General Plan statements to specific actions as they apply to specific geographical areas." Pursuant to the above, the Puna CDP was developed and adopted by the County Council on August 27, 2008 to serve as land use guides. The subject area is outside of the Kea'au Regional Town Center. Nevertheless, the CDP established the following three (3) major themes: • Malama I Ka'Aina which "establishes how the contextual natural, historic and cultural features of Puna should be preserved." (emphasis added) • Growth Management which "addresses how the future pattern of human settlement and land use should be shaped to respect that context and support the desired quality of life for Puna's residents." (emphasis added) 9 • Transportation which "focuses on sustainable approaches to transportation to support the goals of the two above themes." Relative to the Malama I Ka'Aina theme, four (4) major elements were identified and assigned goals, objectives, and actions. These elements and their relationship to the proposed action follow: 1. Historic, Cultural, and Scenic Resources The site as confirmed by the State Historic Preservation Division - does not have any historic properties that would be affected by this proposed action. A copy of the "no significant impact" letter is found in Exhibit B. Furthermore, neither the General Plan nor the Community Development Plan identified any scenic or cultural resources on or proximate to the subject site. 2. Native Forests and Geological Features Given the location of the property and the geological condition of the site, the goals and objectives of this element would not be applicable to the proposed project. 3. Aquifers, Coastal Waters and Storm waters The project site is proximate to potable wells in this area. Accordingly, the level of wastewater system to be utilized will be an enhanced septic or aerobic system for the proposed brewery and other facilities. These systems are needed to assure adequate protection of the wells in this area. All storm water generated by the project would be retained on site through a system of drywells, if required for the subdivision. These drywells will require the approval of the State Department of Health and through the NPDES permitting system, the objective of not only storm water containment but protection of groundwater will be fulfilled. Given the above, combined with the fact that the property is about 6 miles from the ocean, the goals and objectives of this element would be fulfilled. 4. Shoreline Area As the site is not a shoreline or coastal property, this element is 10 not applicable. The other theme is Managing Growth. For this, six (6) elements were identified. These elements and their relationship to the project follow. 1. Land Use Pattern In spite of the General Plan LUPAG map's designation of industrial, the CDP notes that one of the goals calls for the retention of the rural character of this area. The project would be generally consistent with both. For one, the project will have some commercial overtones, consistent with the General Plan. Further, the immediate area is being developed into a "camp" of bottling facility, capturing on the area's resources. There are 2+ acre sized lots and Family Agricultural zoning in the vicinity, which would help maintain the rural character. At the same time, another goal calls for expansion of economic opportunity. The proposed brewery and related facilities would provide such an opportunity. 2. Agriculture and Economic Development The subject site, while zoned Agriculture, has not been used intensive agriculture for nearly fifty (50) years. Instead, it has been left fallow. The proposed rezoning to accommodate a beverage facility would foster greater economic use of the site. As such, the requested SLU Boundary amendment and County rezoning should not have an adverse impact on the agriculture industry. 3. Social Services and Housing As this is not a housing project per se, this section is not really applicable. At the same time, the proposed rezoning for this beverage facility would provide greater employment opportunities in an area that would be proximate to Kea'au and the immediately surrounding area. That would help reduce commuting time and expenses. In that regard, it could afford employees and employers to devote more time to their families and the community. 11 • 4. Public Safety and Sanitation Services The subject site is located in an area where basic infrastructure is available. Public cost to extend these needed infrastructures would thus be minimal, if at all. 5. Parks and Recreation This section is not really applicable, as the project would have no direct impacts on parks. Nonetheless, there are existing park facilities in the village of Kea'au. Furthermore, the site is not listed for any future trails or park related uses. 6. Energy Sustainability The Applicant intends to utilize solar and photovoltaic system to help with some of its power needs for the proposed beverage facility. Other means to reduce dependency on the conventional fuel source is being explored. Additionally, the structures would be designed to take advantage of wind and sun patterns for both heating and cooling. The third theme is Transportation. This theme consists of five (5) elements, and their relationship to the project follows. Traffic Demand Management 1. 9 The project's location would help reduce the flow of both potential workers for the proposed brewery and beverage facilities as well as residents requiring certain services from traveling outside of the district. In that regard, it would definitely fulfill two (2) of the major objectives of this theme. For the brewery, the operator intends to encourage its employees to consider car-pooling to the extent feasible. 2. Mass Transit This element is not really applicable. Furthermore, unlike other areas, it would not be feasible to have bus stops at this site, given its location away from major transit routes. 12 3. Roadway Network Likewise, the objectives and policies of this element are not directly pertinent to the project. 4. Highways None of the objectives or goals is applicable to this project. The project does not front any of the major highways and the projected volume of traffic is negligible. 5. Non-Motorized Travel and Scenic Byways The subject site is not part of any proposed non-motorized travel area, such as a bikeway. There are also no known trails within the subject site. Accordingly, the project would not be incongruous with this element. Based on the above, it is concluded that the project is consistent with the Puna CDP as well as the GP LUPAG map. D. County Zoning The County zoning of the subject property is Agriculture (A-20a). The surrounding properties are also zoned A-5a and 20a and FA-2. There is a Single-family Residential (RS-15) zone further south, closer to the town of Keaau. Although zoned A-20, there are lots north of the subject property that vary in size from 1+ to 5+ acres. There is also one parcel that was recently rezoned to FA-1a. Equally important, in spite of the FA-2a and A-5a zonings of the adjoining properties, the i Applicant's. intended for those properties are similar to the Should the requests be approved, subsequent "ministerial" or administrative type of permits such as Plan Approval, if needed, will be complied with. E. Special Management Area The site is not located within the County Special Management Area ("SMA"). As such, no SMA Use Permit would be required. However, as the entire island falls within the State Coastal Zone Management (CZM) Area, some discussion of the request's relationship to the CZM Program follows. 13 The site is not adjacent to the ocean. It is about 6 miles from the shoreline. As such, the proposed action should not have any adverse impacts on the area's coastal recreational and marine resources nor have any impacts on beach protection. The likelihood of this improvement having any impacts to the area's historic resourcesis not likely, as noted in Exhibit A. The site has been extensively cleared, as it was used formerly for sugar cane and later as a cattle-holding pen. A good portion of the site has also been developed with structures and other improvements. Nonetheless, should there be any inadvertent finds during construction of this project, work will stop until clearances are received from the appropriate County and State agencies. The proposed action will involve the construction of improvements in a rural/urban setting. Accordingly, there is a potential visual impact to the area's scenic and open space resources from the Volcano Highway and Keaau By Pass. However, relative to the height of the proposed brewery and other structures, they would be comparable to a residential dwelling (i.e., less than 30 feet tall). At the same time, beyond the site, the view is relatively flat with no direct ocean or mountain views. Thus any visual impact to the near or off shore waters as well as to slopes of Mauna Kea or Mauna Loa would be absent. Relative to the Coastal Ecosystems, impacts should be negligible, if at all, as the site is located about 6 miles from the ocean. Notwithstanding the distance, the nature of the project and the construction of septic wastewater systems are such that potential coastal ecosystem impacts would usually not be found. Although the proposed action will not result in creating more active agricultural use of the land, it will still have economic use. The adjoining existing water bottling plant and soon to be developed micro- brewery, and the planned components of this project will have an economic symbiotic relationship that should help strengthen all uses in the area, which in turn translates to stable employment to area residents. As such, there will be economic uses of the property. Because of its distance from the shoreline, the site should not be subject to coastal hazards. 14 Relative to the managing development objective, this function is more applicable to the "authority" or approving agencies. However, it is noted that the request would operate and be constructed within the scope of the Zoning Code. The requested use and design parameters such as parking, height, setback, and so forth would be consistent with the Zoning Code. In that regard, the project would be consistent with this policy. Finally, in terms of the public participation objective, this is generally a public agency function. This is achieved through the Marine and Coastal Zone Management Advisory Group (MACZMAG) and the public hearing process required pursuant to the Planning Commission's Rules and County Council's meetings on this application. Notices of this application will be sent by the applicant to surrounding property owners of the submittal of the application, and again, prior to the public hearing. Based on the foregoing, it is concluded that the requested improvements would be consistent with the objectives, policies and guidelines of the Coastal Zone Management Policies, as outlined in Chapter 205-A-23, HRS and Planning Commission Rule No. 9 relating to Special Management Area. F. Other Permittinq Considerations As noted earlier, Plan Approval and other ministerial permits to comply with any conditions of the SLU Boundary amendment and County rezoning may still be needed. V. ENVIRONMENTAL CONSIDERATIONS A. General Description The subject parcel is located on the east side of the island of Hawai'i, approximately six (6) miles from the ocean. The parcel is fairly level with no significant on-site undulations. Its elevation ranges between two hundred eighty (280) feet to one hundred ninety (190) feet, above mean sea level. The lowest area of the property is located on the. southeastern boundary, adjacent to the Railroad Avenue right-of-way. The mean annual rainfall in this area ranges between one hundred twenty five (125) to one hundred seventy five (175) inches. The wetter months tend to occur between March through September. The mean annual temperature is about seventy-five (75) degrees 15 Fahrenheit, with the warmer months during the summer. Gentle easterly or trade winds occur during the day, while westerly or mountain winds are prevalent during the evenings. The subject site is somewhat oddly shaped with tapered ends, with widths in excess of three hundred fifty (350) feet. The site is serviced by a private 50-foot wide easement with a 20-foot wide pavement fronting the southern border of the subject site. (Figure 3) With the exception of a solar array, the subject site is vacant of any structures. New structure(s) for the proposed microbrewery and related facilities are planned for the subject site. The structure or structures will include a production building, warehouse structure, laboratory and administration facilities as well as the small visitor center and kitchen. These improvements, as well as the parking and landscaping, will be constructed and operated in a manner consistent with conditions of the SLU Boundary amendment and Rezoning. Further, a new permitted but undeveloped potable water well to service the project's needs will be outfitted in the vicinity of the solar array. Construction will occur subsequent to action on the subject applications. B. Soils and Topography Although the site is fairly level, there is a slight slope running in an easterly direction. The US Department of Agriculture Soil Conservation Service Soil Survey Report classifies the soil to be of the Ola'a (OID) and Keaukaha (KFD) series. The Ola'a series consist of well-drained, extremely stony silty clay foams which formed in volcanic ash. Permeability is rapid, runoff is slow, and the erosion hazard is slight. Sugar cane use was typical of this soil type in this area. The Keaukaha series is also well drained and is rapidly permeable. It is characterized by thin organic soil overlying pahoehoe lava bedrock. Runoff is medium, and the erosion hazard is slight. Although not in this area, most of this soil is found in native forest. The Land Study Bureau Overall Master Productivity Rating for the subject area is essentially Class 'D" or poor (D182). That type of soil is of the Ola'a series, where the depth of the soil is shallow over 16 • pahoehoe. The site is well drained but moist and is not suitable for machine tillability. There is a small portion at the northeastern end of the subject site that is designated Class "C" or fair (C178). That type of soil is of the Oa'a series, where the depth of the soil is moderately deep. The texture is moderately fine, and the drainage well drained but moist. It is poorly suited for machine tillability, and this soil type is typically found in the Puna district. The State of Hawaii's Agricultural Lands of Importance to the State of Hawaii (ALISH) maps classify the area either "Unique" or "Other Important Agricultural Land." C. Natural Hazards 1. Drainage The Federal Emergency Management Agency's Flood Insurance Rate Map (FIRM) designates the project site to be located in Zone X, areas outside the 500-year flood plain. 2. Tsunami Hazard As the site is located about six (6) miles from the ocean, it is located outside of the Civil Defense's Tsunami Evacuation Zone. 3. Volcanic and Earthquake Hazards The United States Geological Survey (USGS) classifies the area as Lava Flow Hazard Zone 3, on a scale of ascending risk 9 to 1. The populated area of the City of Hilo is also in the same zone. There is very little that can be done to mitigate this situation and reflects an ongoing threat to all residents and businesses in these areas. The entire island of Hawaii falls within Earthquake Zone 4, according to the County Building Code. As such, certain structural requirements will be needed and taken during the building permit process to address this seismic hazard. 17 D. Flora/Fauna Although there were no professional surveys conducted of the floral or faunal resources of the site, the applicant does not believe that rare or endangered floral or faunal resources are likely to be found within the subject site. The site has been used for sugar cane and limited cattle grazing in the past. In the areas not associated with the former slaughterhouse, • there is evidence of banana, guava, mango, lychee, avocado, orange & lime trees. A visual inspection of the site confirmed the presence of most of these non-native species. Some of these included the African Tulip (Spathodea campanulata) gunpowder (Trema orientalis), king palm (Archontophoenix alexandre) and monkey pod (Samanea saman) banyan trees. The weedy grass included fallow sugar cane as well as the "California" grass. None of the identified plants are listed on either considered endangered on either the National or State registers. Thus, floral impacts should be minimal. The site is not known to be a habitat for any rare or endangered animal life. Given its elevation, however, it would be possible to find the Hawaiian Hawk /'o) and the Hawaiian Owl Pueo). Further, the disturbed and quasi-urban nature of the surrounding areas would make it less likely to find endangered animal life_in the area. E. Historic/Cultural/Archaeological Resources As the site has already been disturbed, an archaeological inventory survey of the subject site was not performed. When a grading permit for the subject and an adjoining property was issued, the State Historic Preservation Division in a letter, dated September 16, 2014, affirmed that "no historic properties will be affected by the grading permit." (Exhibit B) Furthermore, during the course of improving the site, should any unanticipated archaeological features or sites be uncovered, work will cease and the applicant will immediately notify the Planning Department. F. Valued Cultural Resources In view of the recent Hawaii State Supreme Court's "PASH" and "Ka 18 Pa'akai 0 Ka'Aina decisions, the issue relative to native Hawaiian gathering and fishing rights must be addressed. Specifically, there must be a discussion of the cultural, historical, and natural resources and associated tradition and customary practices of this site. In this situation, the subject site is not adjacent and/or proximate to the shoreline. As such, gathering of marine life and coastal access is not an issue. The applicant neither recalls seeing any native Hawaiians using the subject or immediate surrounding area in the recent past for the gathering of plants nor learning of any information to that effect from area residents. In the unlikely event that legitimate gathering claims are made by native Hawaiians, the applicant intends to respect and honor such claims and provide the needed access within the site. Based on the above, it does not appear that the project would have any potential adverse impact relative to the cultural and historical resources of the area. G. Water and Coastal Resources The subject site is located about six (6) miles from the coastline. As such, coastal impacts resulting from discharge of wastewater systems from the site should not be significant. Further, being a non-coastal property, no coastal access will be affected. Wastewater for the proposed beverage facility will be serviced by an enhanced septic system or a packaged treatment plant meeting with the approval of the State Department of Health. In either event, the ultimate system will be designed to minimize potential adverse impact of the existing potable wells in this area as well as the new well to service the project. H. Noise, Air Quality, and Dust The "Slaughterhouse" Road will serve as the main access to this level in this area is quite low. As project. The existing ambient traffic P 1 . the corresponding noise level is quite low. With the completion such, 9 p of this project, the noise level is not anticipated to increase significantly. There may, however, be short-term noise impacts associated with the construction of the on-site infrastructure (such as drainage, water and road systems) for the proposed brewery and beverage facility. 1.9 Contractors will be required to comply with appropriate noise and related mitigation measures of the State Department of Health. The proposed development should not generate any direct air quality impacts. The facility will be designed and constructed to meet with appropriate State and National air quality or emission standards. Then, too, impacts associated with vehicular traffic to and from the site should not be significant. Given the prevailing tradewinds, projected low volume of traffic, and higher EPA standards for automobile air emissions, the air-quality impact should thus not be significant. As such, with the exception of construction dust in the beginning, long term dust generated by the project should be minimal. However, construction dust (like construction noise) will have to comply with the State Department of Health's regulations. Scenic and Visual Considerations In the Natural Beauty element of the General Plan, there are sites or areas listed as being a scenic resource. The subject site is not listed as a scenic site. However, there were a few examples cited in the Hilo and/or Puna areas. The most notable are the views of Mauna Kea and Mauna Loa. The proposed development would not have any visual impacts on these natural landmarks. The public views of these natural landmarks occur from the roads, and these roads are located mauka of the project site. Then, too, although the property is located makai of the Volcano Highway, it is more than 1,000 feet from the_Highway. Given the distance, the distance of the shoreline (6 miles) and the intervening vegetation, the public views of the ocean should not be affected. VII. SOCIAL AND RELATED CONSIDERATIONS A. Surrounding Land Uses Although the subject site and surrounding areas are zoned A-20a and FA-2a, the land uses are generally rural/agricultural/quasi-industrial in nature. There are scattered residences within 500 feet of the subject site. At the same time, there are abandoned sugar cane fields, as well as industrial-related activities in the form of a papaya packing 20 - -- - --- -- -- _______ _ _ __ -- plant, a cabinet shop. Within a thousand (1,000) feet of the subject site, there is also the former Puna Sugar Mill (which generates power), a papaya treatment facility, and macadamia nut processing plant. Given the existing and zoned conditions, the proposed development would not be incongruous with the emerging rural-agricultural pattern of this area. B. Economic Impacts The requested zoning would have some measure of economic impact, as it would enhance the potential for the subject site to be more intensively utilized as a brewery and associated uses. It is currently not used agriculturally, with the exception of periodic cattle grazing. If not used for the brewery project, the lots could still be used for Family Agricultural activities, such as the raising of some backyard crops that would have some, albeit marginal, agricultural economic impact. Further, there will be some small short-term construction activity during the development of the project. There will also be some mid- to long-term impacts relating to the operation and maintenance of the facilities on the subject site. As such, with the added tax revenues, the project could have some positive influence on the island and area's economy. C. Agricultural Impacts As noted earlier, the site has not been intensively used for agriculture recently. It has been used more for limited cattle grazing and has been generally vacant. If successful, the project could indirectly to service the distilleryand demand for agriculturalproducts create a 9 brewery. VIII. INFRASTRUCTURE CONSIDERATIONS A. Road Access to the project from the Highway would initially be from the Keaau-Pahoa Bypass onto a frontage road. This frontage road was formerly the Old Volcano Highway. This Highway then winds its way to "Slaughterhouse Road", about one mile from the Bypass. Both the Highway and the Road have a pavement width of twenty (20) feet 21 • within a 50-foot wide right-of-way. The Slaughterhouse Road begins to taper near the entrance to the subject site. At that point, the 20- foot wide pavement width continues, as these improvements were made in conjunction with the initial 2-lot subdivision, one of which is the subject parcel. The pavement continues to the bottling plant. There is a 25-foot cross easement on both lots, effectively creating a 50-foot wide right of way to service the subject site. Since the Special Permits were issued for the other properties, the existing traffic conditions have improved considerably with the construction of the Keaau —Pahoa bypass road as well as the realignment of the Old Volcano Highway, which now serves as a frontage road to this area. At this time, the bottling company ships product in and out of its plant on a daily basis. The papaya packing company (Diamond Head Papaya) located near the entrance to the subject site, also ships finished product out on a daily basis, as well as receives raw papaya from many growers in the area. Since the opening of the bottling plant and particularly since the opening of the by-pass, the Applicant has not experienced any traffic problems in this area. ' will not cause The Applicant's projected useanysignificant increase in the projected traffic flow utilizing the existing improved roadways. It is anticipated that the traffic flow increase will be two (2) to three.(3) additional trucks per day, plus possibly up to ten (10) vehicles per hour (largely during the non-peak hours) for visitors. B. Water In addition to the planned potable well, there is a 6-inch County water line fronting the subject site. This line could be used to supplement the project's potable water needs. As such, water for the proposed subdivision and project would be available. C. Wastewater There is no County wastewater system in this area. In that regard, the project will have an enhanced septic system or private treatment plant meeting with the approval of the Department of Health. This will be constructed by the applicant or respective operator in conjunction with the issuance of a building permit for the proposed brewery. 22 D. Solid Waste Solid waste will be handled through commercial haulers who will deposit them in authorized landfill sites. E. Other Government Services As this area is already part of the Keaau urban area, it is already being serviced. No extension of government services would be required. The nearest fire and police stations are located in Keaau, less than 2 miles away. In this area, K-12 public schools are available at Keaau, less than 2 miles from the site. County parks are available in Keaau, Kurtistown, and Hilo. As such, the project should not result in the extension of any government services. Further, the required public facilities are located reasonably proximate to the subject site. F. Other Utilities All other utilities such as telephone, cable, and electrical services are available to the site. IX. JUSTIFICATIONS FOR REQUEST A. State Land Use Urban Standards As the requested area covers less than fifteen (15) acres, the County can process the request. Pursuant to the Planning Commission Rule No. 13, the request must meet certain standards. These standards and their justification follow. 1. Conformity to the General Plan The project's relationship and conformity are discussed in depth in Chapter IV-B above. 2. Relationship to State Land Use Urban District Standards The State Land Use Commission's Rules provide the standards for 23 • determining the Urban district boundaries (Section 15-15-18). Their relationship to this request is noted as follows: a. "City-Like" Characteristics While there is not an excessive concentration of people, structures, streets, and rural/urban level of services in this area, it is slowly evolving. There are residences in this area, as well as other industrial/commercial ventures proximate to the subject site. These include a papaya packing plant, cabinet making shop, and an existing bottling and future beverage producing plants. b. Factors of Urban Characteristics The site is proximate to centers of trading and employment. It is less than a mile from Kea'au Village. Further and as noted earlier, there are some commercial/industrial types of uses adjacent or proximate to the site. . All of the related urban amenities and services are located within the village. Some of these services— like medical — are located at least seven (7) miles away in the City of Hilo. Nevertheless, it is maintained that basic governmental and utility services are readily available to this area, including urgent care and Emergency Medical Services. This reclassification will not necessarily result in providing a sufficient urban reserve area for growth, as the Applicant.intends to develop at least portions of the property immediately. c. Natural Hazards Topographically, the site is suitable for development. It is fairly level and does not have slopes in excess of 20 degrees. The site has no known unstable soil condition. The subject area is designated Zone X on the FIRM map. It is outside of the tsunami zone and is not located within the high volcanic hazard area. It is located within Zone 3, comparable to other parts of this area and the City of Hilo. Although within the highest seismic zone (Zone 4), all improvements will be designed to meet with the prevailing building code. The applicable code is predicated on Zone 4. 24 d. Contiguous to Urban Areas Although the site is not physically contiguous to an urban area, it is functionally contiguous. There are urban types of uses adjacent and proximate to the subject site. Some of these uses were approved through the Special Permit process, whereas others are either permitted in the Agricultural zone or"grandfathered." e. Relationship to County Growth Plans This site does not represent the creation of a new urban concentration, as the surrounding area is already an urban-like environment. The subject site is designated on the General Plan LUPAG map for Industrial uses. The requested General Industrial zone is thus consistent with the General Plan, especially its policies. The project's relationship to this has been covered in Chapter IV-B of this report. • f. "Scatterization" Impact As this will be the first "Urban" classification in this area, it would appear to be a potential "spot" zoning and thereby increasing the need to extend public services at considerable taxpayers' expense. In this situation, the general area is already urban in character, and the subject site is contiguous to this developing area. Its development should thus not result in the expansion or extension of government services. Then, too, this is an area that has been forecast for Industrial uses on the General Plan LUPAG map, and the requested use is heavily reliant on the resource (water) of the site. Thus, it is a type of use that cannot necessarily be universally found. g. Slope of Property The subject property is level. Accordingly, the development of this site would not be violative of the "more than 20% slope" standard. B. County General Plan and Puna Community Development Plan These have been covered in depth in Chapter IV-B and IV-C above, wherein the requests' conformity to those documents have been articulated. 25 Harry Kim -`co!. of"!;�,''. Michael Yee Mayor - yl�, `' Director - ;_ •�s•i_ - Daryn Arai • Deputy Director ��E F-y►'.�r� West Hawai`i Office East Hawai`i Office 74-5044 Ane Keohokalole Hwy • • 101 Panahi Street,Suite 3 Kailua-Kona,Hawai`i 96740 County of Hawaii Hilo,Hawaii 96720 Phone(808)323-4770 Phone(808)961-8288 Fax(808)327-3563 PLANNING DEPARTMENT Fax(808)961-8742 February 13, 2017 • Mr. Sidney M. Fuke Planning Consultant • 100 Pauahi Street, Suite 212 Hilo, HI 96720 • Dear Mr. Fuke: Special Permit Application Applicant: Hawaii Island Distilling, LLC Request: Proposed Beverage Processing and"Bottling Facility With Visitor Center Facility Subject: Return of Application Tax Map Key: 1-6-141: 002 We are returning the above-referenced application. The main reason for returning the application is that the landowner is the same landowner for all parcels affiliated with the approval of Special Permit No. 842 (TMKs: 1-6-141:001, 024, 027 & 028), and the current proposed parcel (TMK: 1-6-141:002). Special Permit No. 842 was approved to allow the establishment of a brewery, water and soft drink bottling facility on 14.5 acres of land. The.same land owner is currently proposing a similar use.(proposed beverage processing and bottling facility with a visitor center facility) on an adjoining property (TMK: 1-6-141:002), which is 6.505 acres in size. This brings the total acreage for all parcels that would be covered under a Special Permit to approximately 21 acres, which requires approval before the State Land Use Commission. After reviewing your application, we are requesting that the applicant choose one of the below listed options to proceed with processing this proposed use: 1. The first option is to submit a Special Permit application that covers all 21+ acres that will go before the Land Use Commission for approval. If approved, Special Permit No. - 842 would be revoked. • EXHIBIT A www_cohplanningdept.com Hawaii County is an Equal Opportunity Provider and Employer planning@hawaiicounty.gov Mr. Sidney M. Fuke Planning Consultant Page 2 February 13, 2017 2. The second option would be to rezone TMK: 1-6-141:002 to the State Land Use Urban district and the County's General Industrial (MG) zoning district, which is the only zoning district that allows breweries, distilleries, and alcohol manufacturing facilities. • The General Plan designation for the property can be interpreted as Industrial and Medium Density Urban given the location of the Industrial node just to the east of the subject property. 3. The last option would be similar to the second option but would include the entire 21 acres. The applicant would need to submit a State Land Use Boundary Amendment • application to the Land Use Commission from Ag to Urban for the 21+ acres and submit a change of zone to General Industrial (MG) zoning district for the 21+ acres. We will hold the filing fee for the resubmitted application. If you have any questions, please feel. free to contact Jeff Darrow at 961-8158. Sincerely, • yMICH' L YEE • . Planning Director • Enclosures: Original and Copies of-Application, Receipt for Filing Fee • JWD:mad . P:\wpwin60\Jeff\Letters\Retum-Review Permit Letters\LFuke-HawaiilslandDistilling-RETSPP.doc WILLIAM J.Al LA,JR. CIWRPERSON NEIL.ABERCROMBIE "<::<-,...--......44 h• . BOARD OE)AND AND NATURAL RESCURCBS ovalNOR OF IIAWAII A.. 1g S 9 ';9 COMMISSION ON%ATER.RESOORCE MANA(iE1.1ENT ,' t:=;'t._-" *,,. - JESSE K.SOUffi c -'t:_.'.e' '•.. y• FIRST DEPUTY o�and ivd - ~ . lR-='I : +' WILLIAM M.TAM C� r4d 'i `'"su `�{ '� �sFE DEPUTYD1RECTOR-KATIM ,S �;1.�= A(jIlA71C 1(!:R(H1RCl:S Q ��h.7�r.,�' G �� �w... BOATING AND OCEAN RECREATION N_ Or: r/;' n !•(:},; .,:'-; � BUREAU OF CONVEYANCES i I'll' COMMISSION ON WATER RESIN IRCE MANAGEMENT' �1'r CONSERVATION AND COASTAL LANDS HISTORIC PRESERVATION DIVISION CONSERVATION AND ENGINEERING ENFORCEMENT' S a DEPARTMENT OF LAND AND NATURAL RESOURCES IBS!UR'IC AND WILDLIFE - BLti!URIC PRESERVATION!`a�e OFHa'�a KAB(H)LAWE ISLAND RESERVE COMMISSION LAND 601 Kamokila Boulevard,Suite 555 STATE PARKS Kapolei,HI 96806 September 16,2014 Maka Andrade LOG NO:2014.04097 do Ludwig Construction DOC NO: 1409SN24 16-211 Mikahala St. Archaeology Keaau,Hawai`i 96749 Cr:ak'c',(i iud i,. consU uciio'nhi_com) . Dear Mr.Andrade: SUBJECT: Chapter 6E-42 Historic Preservation Review • — . • . Hawaii County Grabbing Permit for a Solar Installation at Hawaii Brewery Kea'au Ahupua`a,Puna District,Island of Hawaii TMK: (3)1-6-141:001.and 002 . Thank you for the opportunity to review this grading permit application for Hawai`i Brewery Development Company that was received in our office on August 1, 2014. According to the application, a portion of the two subject parcels totaling 6.5 acres will graded for the installation of a solar PV system.Our.records indicate that.there has been no archaeological inventory survey for the subject parcel. SHPD records indicate that the area has been • subject to previous ground disturbance and it is unlikely that any historic properties remain. On September 9,2014, State archaeologist.Sean Naleimaile conducted a site visit to confirm the presence or absence of historic properties in the area of the proposed project.No surface remains were visible.SHPD has reviewed several County of Hawaii . . . permits regarding the development of the property and determined that it was unlikely that historic properties were - present(Log No. 2003.1883 Doc.No 0310JK03,Log No.200).4038 Doc.No. 0911TD23).No new information has been received since the previous determinations;SHPD believes that no historic properties will be affected by this grading permit. --, - - In the unlikely event that historic properties such as lava tube openings, concentrations of artifacts; structural remains or human skeletal remains are found during construction activities please cease work in the immediate vicinity of the find,protect the find from additional disturbance, and contact the State Historic Preservation Division at(808)933-7651. Please contact Sean Naleimaile at(808) 933-7651 or Scai1?'.i'',ale,ni a i 1 ea=iawaii_[ros if you have any questions or concerns regarding this letter. Aloha, } .)114---- Theresa K.Donham Archaeology Branch Chief .EXHIBIT B SidneyFuke, Planning.Consultant 100 Pauahi Street,Suite 212•Hilo,Hawaii 96720 •Planning•Variance•Zoning Ass5277/k.p.:;•, Telephone:(808)969-1522•Cell:(808)989-0640 •Subdivision•Land Use Permits E-mail:sidfuke@hawaiiantel.net •Environmental Reports March 22,2017 r=te • _i Mr. Michael Yee,Director Planning Department COUNTY OF HAWAII - • 101 Pauahi Street Hilo,HI 96720 =_ • Dear Mr. Yee: C-J Subject: SLU/Rezoning Requests -Hawaii Island Distilling,LLC Kea'au, Puna,Hawai i,TMK: 1-6-141: 002 This is in response to your letter, dated March 6, 2017,requesting additional information relative to the subject applications. In that regard, please note the following: a. The property is recorded under the Land Court system. Pursuant to my discussion with Mr. Gilbert Bailado of your staff and Mr. Robert Shirai of Island Surveys,the descriptions and corresponding map are enclosed. We trust this is satisfactory. b. I discussed the water situation with Mr. Kurt Inaba of the Depaitment of Water Supply. He noted that water is available to service the project. However, to address the fire flow and related requirements of requested industrial rezoning, a 12-inch line has to be extended and/or constructed by a length of 800+/-feet to the subject property. The applicant has informed me that he can and will comply with this requirement. c. In terms of the additional right-of-way, the applicant is willing to increase the existing 50-foot wide right of way fronting his property by ten(10) additional feet and make the appropriate improvements therein. d. As you may be aware,the landowner has considerable experience in the water bottling and beverage production business. It was one of the founders of the Hawaiian Springs bottling plant located next to the subject property. It also had a brewery/restaurant in Honolulu and has a major distillery in Asia(Kai Vodka). Thus, it understands the water and beverage processing operation and business. In that regard and because of the area's resources, the applicant sees this area as having the potential of being a successful center of beverage processing facilities. It is currently negotiating with two (2) firms who are interested in acquiring properties situated on the south or Puna side of the subject site for the purpose of establishing____ their own beverage producing companies. Those properties are currently perjnitted, F -�-;;,.- for such use through a Special Permit. `'" `I `` �` ' '` Planing Dept. Mr. Michael Yee, Director March 22,2017 Page 2 Given that, the applicant believes that it will need additional site/area for its own beverage producing facility. It constructed an array of solar panels that currently provides power to Hawaiian Springs and could be used to support not only its proposed facility but the planned facilities of the other two (2) sites to the south. In sum,the applicant has the wherewithal of experience and knowledge in the beverage processing business and believes,because of the area's resource, that this area can be developed into a conglomeration of micro-beverage processing facilities. We trust that this sufficiently addresses your questions and the metes and bounds requirement. If not or if there are questions relating to this matter,please feel free to direct them to me. Thank you very much. Sincerely, SIDNEY M. FUKE Planning Consultant Enclosure Copy—Hawaii Island Distilling, LLC w/enclosure via email Harry Kim �p;? ............. Michael Yee Mayor \\ idc Director " -", * ft.* �f ~_ Daryn Mai • •-`_ ; •• Deputy Director • West Hawai`i Office East Hawai`i Office • 74-5044 Ane Keohokalole Hwy 101 Pauahi Street,Suite 3 L Kailua-Kona,Hawaii 96740O. County Hawaii. Hilo,Hawaii 96720 Phone(808)323-4770 Phone(808)961-8288 Fax(808)327-3563 PLANNING DEPARTMENT Fax(808)961-8742 • February 13, 2017 Mr. Sidney M. Fuke Planning.Consultant 100 Pauahi Street, Suite 212 Hilo, HI 96720 Dear Mr. Fuke: Special Permit Application Applicant: Hawaii Island Distilling, LLC Request: Proposed Beverage Processing and Bottling Facility With Visitor Center Facility Subject: Return of Application Tax Map Key: 1-6-141: 002 We are returning the above-referenced application. The main reason for returning the application is that the landowner is the same landowner for all parcels affiliated with the approval of Special Permit No. 842 (TMKs: 1-6-141:001, 024, 027 & 028), and the current proposed parcel (TMK: 1-6-141:002). Special Permit No. 842 was approved to allow the establishment of a brewery, water and soft drink bottling facility on 14.5 acresof land. The same land owner is currently proposing a similar use (proposed beverage processing and bottling facility with a visitor center facility) on an adjoining property(TMK: 1-6-141:002), which is 6.505 acres in size. This brings the-total acreage for all parcels that would be covered under a Special Permit to approximately 21 acres, which requires approval before the State Land Use Commission. After reviewing your application, we are requesting that the applicant choose one of the below listed options to proceed with processing this proposed use:- 1. se:-1. The first option is to submit a Special Permit application that covers all 21+ acres that will go before the Land Use Commission for approval. If approved, Special Permit No. 842 would be revoked. www.cohplanningdept.com Hawai'i County is an Equal Opportunity Provider and Employer planning@,hawaiicountyrgov Planning Dept. EEB 15 2017 Exhibit . Mr. Sidney M. Fuke Planning Consultant Page 2 February 13, 2017 2. The second option would be to rezone TMK: 1-6-141:002 to the State Land Use Urban district and the County's General Industrial (MG) zoning district, which is the only zoning district that allows breweries, distilleries, and alcohol manufacturing facilities. The General Plan designation for the property can be interpreted as Industrial and Medium Density Urban given the location of the Industrial node just to the east of the subject property. 3. The last option would be similar to the second option but would include the entire 21 acres. The applicant would need to submit a State Land Use Boundary Amendment application to the Land Use Commission from Ag to Urban for the 21+ acres and submit a change of zone to General Industrial (MG) zoning district for the 21+ acres. We will hold the filing fee for the resubmitted application. If you have any questions, please feel free to contact Jeff Darrow at 961-8158. Sincerely, �IVIICH L YEE Planning Director Enclosures: Original and Copies of Application, Receipt for Filing Fee JWD:mad P:\wpwin60\Jeff\Letteratetum-Review Permit Letters\LFuke-HawaiiIslandDistilling-RETSPP.doc �Zt os y- • Harry Kim •'al3 f -•i;! Michael Yee Mayor •,�' -R l4•' Director ys•r Daryn Arai Deputy Director •* f,oF;M��r West Hawai`i Office East Hawai`i Office 74-5044 Ane Keohokalole Hwy101 Pauahi Street,Suite 3 Kailua-Kona,Hawaii 96740 County of Hawaii Hilo,Hawaii 96720 Phone(808)323-4770 Phone(808)961-8288 Fax(808)327-3563 PLANNING DEPARTMENT Fax(808)961-8742 March 6, 2017 Mr. Sidney M. Fuke Planning Consultant 100 Pauahi Street, Suite 212 Hilo, HI 96720 Dear Mr. Fuke: State Land Use Boundary Application Change of Zone Application Applicant: Hawaii Island Distilling,LLC Request: Proposed Beverage Processing and Bottling Facility with Visitor Center Facility Subject: Request for Additional Information Tax Map Key: 1-6-141:002 This is to acknowledge receipt of the above referenced applications. After reviewing the submitted applications, we are requesting the following additional information to be submitted before we accept the applications for processing: 1. Please submit the metes and bounds in map and written form for the above referenced property. 2. The applicant states that there is a 6-inch County water line fronting the subject property. According to the Department of Water Supply(DWS), a 12-inch water line will be required for the General Industrial zoning request for fire flow requirements, which could include a fire hydrant. DWS states that there is a 16-inch pipeline in the Kea'au Bypass right-of-way, which branches off to a 6-inch line on Shipman Road but only to the area where the road turns left. There is a 4-inch waterline from there to the subject property, which is approximately 100 feet away. Please provide additional information of how the applicant is going to meet these water requirements. The applicant may also want to consult with the Fire Department regarding fire flow requirements as well. www.cohplanningdept.com Hawaii County is an Equal Opportunity Provider and Employer planning@hawaiicounty.gov Planning Dept. MAR 2017 Exhibit s Mr. Sidney M. Fuke Planning Consultant Page 2 March 6, 2017 3. Additionally, the standard right-of-way width for business and industrial streets is 60 feet with paved roadway and shoulders and swales along the entire frontage of the subject property. Please provide information of the applicant's ability to meet these standards. 4. Lastly, the landowner previously received approval(s) to the same uses to be permitted on several lots in the immediate area under Special Permit No. 842. Several of these lots are currently vacant. Please.provide additional information as to why the applicant cannot construct the proposed uses on the vacant lands that have these entitlements currently. We will hold the submitted applications and filing fees for the submittal of the requested information. We are enclosing the receipt for the additional filing fee. If you have any questions, please feel free to contact Jeff Darrow at 961-8158. Sincerely, Of—MICHAEL YEE Planning Director Enclosures: Receipt for Filing Fee JWD:mad P:\wpwin6O\Jeff\Letters\Retum-Review Permit Letters\LFuke-HawaiilslandDistilling-RegAddInfo.doc --- - --- 120' R. 60' 60' 8' 10' 24' 10' 8' 8' _10' 1 24' 10' 8' PRI MARY ARTERIALS 18' 10' 12' 12' I0' 18' fl - SECONDARY ARTERIALS R C R 60' -i lo' 8' 12' _ 12' I 8' f10' _ BUSINESS a INDUSTRIAL STS. R R. 60' 12' 8' 10' lo' 8' 12' 6' URBAN 1.0 1 *12' I .12 I t .10' COLLECTOR STREETS Ft q. . R. 50' 9' _I 6' id I 10' I 6' 9' MINOR 'STREETS a CUL - DE - SAC Provide Parabolic Curve Connection 1 I . 1n in N 45 -o -o _ 54.7.7' R' . kn N , Aji/ ' / / CUL - DE -SAC 1 ,o • NOTE : ig;• / All R/W widths shown hereon ore minimum. 1r/ / See R-34 for Road Pavement and Shoulder Detail. STREET CROSS SECTIONS WITHOUT SIDEWALK - STREET CROSS-SECTIONS COUNTY OF HAWAII WITHOUT SI EWA K STANDARD R-33 Planning Dept. DETAILS NOT TO SCALE SEPTEMBER 1984 )C ! 1 1 I ( 1 Q. It STREET PAVEMENT SHOULDER SWALE 2.-0" MIN. 5'-0" _ SAME AS Q. 6" FINISH GRADE _ 1 i Q.FINISH GRADE 8" MAX. 2"/Fl• 2% --•— I 2%----- 3/4"/n.____ — M —II "II fi CONDITION AT • I The invert shall not FILL SECTION coincide with the 2" Min. Asphaltic Concrete utility pole location. 4" Min. Aggregate Base Course 2" Min. Asphaltic Concrete 1-1/2 Asphaltic Concrete 6" Min. Select Borrow Subbase 4" Min. Aggregate Base or as required by the Engineer. 4" Min. Aggregate Bose HALF SECTION OF STREET WITH SHOULDER STREET PAVEMENT 2.-0" VARIES 2'-0" 1 , y Q_FINISH GRADE — • —2% (Max.) I 2"/Fl• 2% ----- CONDITION AT — CUT SECTION 2" Min. Asphaltic Concrete 4" Thick Class "B" Concrete 4" Min. Aggregate Base Course 4" Min. Aggregate Base 6" Min. Select Borrow Subbase or os required by the Engineer. HALF SECTION OF STREET WITH SIDEWALK ROAD PAVEMENTS AND SHOULDERS R-34 STANDARD ROAD PAVEMENT AND SHOULDERS COUNTY OF HAWAII DETAILS - REVISED MAY 2001 SCALE:NOT TO SCALE DEPARTMENT OF PUBLIC WORKS COUNTY OF HAWAII r" HILO, HAWAII `_ DATE: April 27, 21=7 ' -• 'rte 3..r,• _ .._. _� TO: Michael Yee, Planning Director 4Gc FROM: Department of Public Works, Engineering Division SUBJECT: STATE LAND USE BOUNDARY AMENDMENT APP. (SLU 17-000047) Request: Agricultural to Urban CHANGE OF ZONE APPLICATION (REZ 17-000218) Request: A-20a to MG-20 Applicant: Hawaii Island Distilling, LLC Tax Map Key: 1-6-141: 002 We have reviewed the subject applications forwarded by your memo dated April 3, 2017 and offer the following comments for your consideration. All development-generated runoff shall be disposed of on site and not directed toward any adjacent properties. A drainage plan may be required by the Plan Approval process in accordance with Section 25-2-72(3) of the Hawaii County Code. The subject parcel is in an area designated as Zone X on the Flood Insurance Rate Map (FIRM) by the Federal Emergency Management Agency (FEMA). Zone X is an area determined to be outside the 500-year floodplain. Access to the subject parcel is via the private street Slaughter House Road, identified by tax map key 1-6-141: 022. Questions may be referred to Kelly Gomes at ext. 8327. _a Planning Dept. AP2 8 R 2017 Exhibit 1 . hyo1-1-12 8 7 5,a sr 4 0"1 F W ' t S19 a �a L 49 14 .� • DEPARTMENT OF WATER SUPPLY - COUNTY OF HAWAII 2j� ` P 345 KEKUANAO'A STREET, SUITE 20 • HILO, HAWAI'I 96720 F,HA,Wuj'�:•A TELEPHONE (808) 961-8050 • FAX (808) 961-8657 May 1, 2017 ry • TO: Mr. Michael Yee, Director Planning Department FROM: Keith K. Okamoto, Manager-Chief Engineer SUBJECT: State Land Use Boundary Amendment (SLU 17-000047) - =- Request: Agriculture to Urban =211 -+ Change of Zone Application (REZ 17-000218) Request: A-20a to MG-20 Applicant–Hawaii Island Distilling, LLC Tax Map Key 1-6-141:002 We have reviewed the subject applications and have the following comments and conditions. Please be informed that there is an existing 5/8-inch meter serving the subject parcel, which is limited to an average usage of 400 gallons per day or one (1) unit of water. There is an existing 4-inch waterline fronting the subject parcel. The Department has no objection to the proposed applicants request, subject to the following conditions: 1. The Department understands that the potable water needs for the project will be provided by an on-site potable water well. Therefore, the Department requests estimated maximum daily water usage calculations, prepared by a professional engineer licensed in the State of Hawai`i, showing the anticipated use of water from the Department's water system. It shall be noted that the two sources of water shall not be interconnected in any way. Upon receipt and approval of the water usage calculations, the Department will determine if the existing water allocations are adequate to support the proposed demand. If the proposed demand exceeds the existing allocations, the Department will determine if additional water is can be made available, the meter size and applicable facilities charge. 2. Should a larger meter be required, a reduced pressure type backflow prevention assembly must be installed within five (5) feet of the meter on private property and must be inspected by the Department before water service can be activated. N RAP Mkt 03 2017 Planning Dept- ----�a . . mater, Our Most precious Resource . . . �a WaiA Kdne . �.B514-4-1-3-°= :F_ .: _ -_ Exhibit . The Department of Water Supply is an Equal Opportunity provider and employer. ' Mr. Michael Yee, Director Page 2 May 1, 2017 3. The Department's Water System Standards require that a minimum flow of 2,000-gallons per minute for a 2-hour duration and a pipeline velocity of less than 10 feet per second be available at the site for fire protection for industrial land uses. The existing 4-inch waterline fronting the property is inadequate and the nearest fire hydrant is more than the required 150 feet. We recommend that the applicant consult the Fire Department for any fire protection requirements or alternatives. 4. Subject to other agencies' requirements to construct improvements within the road right-of-way fronting the property affected by the proposed development, the applicant shall be responsible for the relocation and adjustment of the Department's affected water system facilities, should they be necessary. Should there be any questions, please contact Mr. Ryan Quitoriano of our Water Resources and Planning Branch at 961-8070, extension 256. Sincerely yours, WRAY* Keith K. Okamoto, P.E. Manager-Chief Engineer RQ:dfg copy—Hawai`i Island Distilling, LLC Mr. Sidney M. Fuke, Planning Consultant DWS Customer Service Section (Hilo) Cj>I-te,-(LH :Ob2 DIZOO 1-000 ,SU4 -0000 LP Watanabe, Shanc Z �� From: Quitoriano, Ryan <rquitoriano@hawaiidws.org> Sent: Thursday,June 08, 2017 12:58 PM To: Watanabe, Shancy Cc: Darrow,Jeff;Jackson, Maija;Inaba, Kurt Subject: RE: Please see the attached letters and provide your comments Follow Up Flag: Follow up Flag Status: Flagged Hi Shancy, The letters and discussions between the applicant, Planning and Water occurred after the submittal of the application and was not provided with the application we had reviewed. Although our recent memorandum only notes inadequate fire flow,the applicant is willing to do the necessary water system improvements in order to provide adequate fire flow(as stated in the March 22, 2017 letter to your department). Therefore, a revision to our comments is not required. Sincerely, Ryan G. Quitoriano, P.E. [[`' Civil Engineer-Water Resources and Planning Branch C) z Department of Water Supply-County of Hawaii C--- 345 Kekuanaoa Street,Suite 20 Hilo,HI 96720 Phone:808-961-8070 X256 Fax:808-961-8080 Web:www.hawaiidws.orq c - -� 3 The Department of Water Supply is an Equal Opportunity Provider and Employer - - From: Watanabe, Shancy [mailto:Shancy.Watanabe@hawaiicounty.govj —L Sent: Thursday, June 08, 2017 9:06 AM To: Quitoriano, Ryan Cc: Darrow, Jeff; Jackson, Maija Subject: RE: Please see the attached letters and provide your comments Hi Ryan, Good morning. Here is another letter you will need to consider. Attached in this email is a letter response from Sidney Fuke to our office, stating that he had talked with Kurt Inaba from your office. Thank you, Shancy From:Watanabe, Shancy Sent:Wednesday,June 07,2017 4:13 PM To: 'rquitoriano@hawaiidws.org'<rquitoriano@hawaiidws.org> Cc: Darrow,Jeff<Jeff.Darrow@hawaiicountv.gov>; Maija Jackson<maiia.jackson@hawaiicounty.gov> Subject: RE: Please see the attached letters and provide your comments Planning Dept. 112037 Exhibit 9 Hi Ryan, Please note that for a Change of Zone Application, our code (Zoning Code) has concurrency requirements. According to Section 25-2-46(m) of the Hawaii County Code Chapter 25 Zoning basically states that county water is required for industrial uses. Below is the actual verbiage: (m) A zoning amendment application shall not be granted unless: 41) the department of water supply has determined that it can meet the water requirements of the project and issue water commitments using-its existing system: or (2) specific improvements to the existing public water system, or a private water system equivalent to the requirements of the department of water supply will be provided to meet the water needs of the project and conditions of zoning delay occupancy until the necessary improvements are actually constructed. Thank you, Shancy From:Watanabe,Shancy Sent:Wednesday,June 07, 2017 4:06 PM To: 'rquitoriano@hawaiidws.org' <rquitoriano@hawaiidws.org> Cc: Darrow,Jeff<Jeff.Darrow@hawaiicountv.gov>; Maija Jackson <maiia.iacksonPhawaiicountv.gov> Subject: Please see the attached letters and provide your comments Aloha Ryan, Good afternoon. Thank you for returning my phone call regarding your Department's comments for the pending Change of Zone Application for Hawai'i Island Distilling, LLC for TMK: (3)1-6-141:002 from Agricultural District to Iridustrial- Commercial Mixed Use District. Please see the following attachments for the DWS letter dated May 1, 2017 with comments for the pending application (COR-17-111351). The applicant provided their response to the agency comments (COR-17-111462). After our office received the applicant's letter, our staff contacted someone from DWS and received information that was sent back to the applicant (March 6, 2017 letter). Though, there is no confirmation from DWS about the information our office received and interpreted in the Planning Department's letter dated March 6, 2017. Would you please help to clarify which comments are most current? Please note that the DWS comments will be provided to the Planning Commission (public hearing is scheduled for July 6, 2017 in Hilo) and will be available in the file for the public to view. If your office agrees with the information regarding the requirements for DWS in the March 6, 2017 letter, please provide revised comments in writing to our office. Your comments are important, as these will become conditions for the applicant to fulfill should the application be given a favorable recommendation by the Planning Commission, which will then go to the County Council for their review. Should you have any questions, please call me at(808)961-8288 ext. 8144. Thank you, Mahalo nut loa, .)11.6//r r y.it Oi1��Irina/ Land Use Plans Checker III, Temporarily assigned to the Planning Division County of Hawai'i-Planning Department 101 Pauahi Street Suite 3 Hilo,Hi 96720 ph.(808)961-8288 ext.8144 fax(808)961-8742 email:shancy.watanabe@hawaiicounty.gov website:http://www.cohplanningdept.com/ Hawaii County Code Chapter 25 Zoning: http://www.hawaiicounty.gov/Ib-countycode/#countvcode,click on Ch.25 Hawai'i County Code Chapter 23 Subdivision:http://www.hawaiicounty.gov/Ib-countvcode/#countycode,click on Ch.23 "Hawar i County is an Equal Opportunity Provider and Employer." The information contained in this email is intended for the named recipients only,as it may contain confidential or privileged information.If you are not the intended recipient,do not copy,forward,or otherwise distribute this Information.If you received this email in error,please notify the sender immediately via return email and permanently delete the material and any attachments from any computer.Mahalo nut loo. .. 4 , 2 ,.4OJt;- • .01 OF y,, Harry Kim ;c': Paul K.Ferreira ,`I'�' Mayor • Police Chief '� ' Kenneth Bugado Jr. Deputy Police Chief County of Hawai'i POLICE DEPARTMENT - ; 349 Kapiolani Street • Hilo,Hawai'i 96720-3998 , r-- • (808)935-3311 • Fax(808)961-8865 ":- .23 March 6, 2017 = -a 3 TO : MICHA YEE, PLA ING DIRECTOR FROM : HEN . TAVA E: '., ASSISTANT POLICE CHIEF ARE I PERATIO SUBJECT: STATE LAND USE BOUNDARY AMENDMENT (SLU 17-000047) REQUEST: AGRICULTURAL TO URBAN CHANGE OF ZONE APPLICATION (REZ 17-000218) REQUEST: A-20A TO MG-20 APPLICANT: HAWAII ISLAND DISTILLING, LLC. TAX MAP KEY; 1-6-141:002 Staff, upon reviewing the provided documents, does not anticipate any significant impact to traffic and/or public safety concerns. Thank you for allowing us the opportunity to comment. If you have any questions, please contact Captain Samuel Jelsma, Puna District, at 965-2716. SJ:Ili 170329 Planning Dept. Exhibit 0 APR .1 1 2017 "Hawai'i County is an Equal Opportunity Provider and Employer" Harr Kim 40JaS�aF,,,,,411I� Darren J. Rosario Mayor $ '\ r. �l Fire Chief y -- -_: • Renwick J. Victorino ... 4'1 :;;•;::i--"6 ;q_�,FP.= Deputy Fire Chief 11 •••TE OF�HP County of Catlett t HAWAI`I FIRE DEPARTMENT 25 Aupuni Street•Suite 2501•Hilo,Hawaii 96720 (808)932-2900•Fax(808)932-2928 (Th Aril 18, 2017 r1 TO: MICHAEL YEE, PLANNING DIRECTOR 3 FROM: DARREN J.ROSARIO,FIRE CHIEF == ' SUBJECT: State Land Use Boundary Amendment(SLU 17-000047) Request: Agricultural to Urban Change of Zone Application(REZ 17-000218) Request: A-20a to MG-20 Applicant: Hawai`i Island Distilling,LLC Tax Map Key: 1-6-141-002 In regards to the above-mentioned State Land Use Boundary Amendment application, the following shall be in accordance: NFPA 1, UNIFORM FIRE CODE, 2006 EDITION Note: Hawai`i State Fire Code, National Fire Protection Association 2006 version, with County of Hawaii amendments. County amendments are identified with a preceding "C�" of the reference code. Chapter 18 Fire Department Access and Water Supply 18.1 General. Fire department access and water supplies shall comply with this chapter. For occupancies of an especially hazardous nature, or where special hazards exist in addition to the normal hazard of the occupancy, or where access for fire apparatus is unduly difficult, or areas where there is an inadequate fire flow, or inadequate fire hydrant spacing, and the AHJ may require additional safeguards including, but not limited to, additional fire appliance units, more than one type of appliance, or special systems suitable for the protection of the hazard involved. 18.1.1 Plans. 18.1.1.1 Fire Apparatus Access. Plans for fire apparatus access roads shall be submitted to the fire department for review and approval prior to construction. Ts-TX P4N Planning Dept, APR•.•• • Exhibit ,•-;?'°_e� 10 Hawai'i County is an Equal Opportunity Provider and Employer. Michael Yee April 18, 2017 Page 2 18.1.1.2 Fire Hydrant Systems. Plans and specifications for fire hydrant systems shall be submitted to the fire department for review and approval prior to construction. C- 18.1.1.2.1 Fire Hydrant use and Restrictions. No unauthorized person shall use or operate any Fire hydrant unless such person first secures permission or a peiuiit from the owner or representative of the department, or company that owns or governs that water supply or system. Exception: Fire Department personnel conducting firefighting operations, hydrant testing, and/or maintenance, and the flushing and acceptance of hydrants witnessed by Fire Prevention Bureau personnel. 18.2 Fire Department Access. 18.2.1 Fire department access and fire department access roads shall be provided and maintained in accordance with Section 18.2. 18.2.2* Access to Structures or Areas. 18.2.2.1 Access Box(es). The AHJ shall have the authority to require an access box(es) to be installed in an accessible location where access to or within a structure or area is difficult because of security. 18.2.2.2 Access to Gated Subdivisions or Developments. The AHJ shall have the authority to require fire department access be provided to gated subdivisions or developments through the use of an approved device or system. 18.2.2.3 Access Maintenance. The owner or occupant of a structure or area, with required fire department access as specified in 18.2.2.1 or 18.2.2.2, shall notify the AHJ when the access is modified in a manner that could prevent fire department access. 18.2.3 Fire Department Access Roads. (*may be referred as FDAR) 18.2.3.1 Required Access. 18.2.3.1.1 Approved fire department access roads shall be provided for every facility, building, or portion of a building hereafter constructed or relocated. 18.2.3.1.2 Fire Department access roads shall consist of roadways, fire lanes, parking lots lanes, or a combination thereof. Michael Yee April 18, 2017 Page 3 18.2.3.1.3* When not more than two one- and two-family dwellings or private garages, carports, sheds, agricultural buildings, and detached buildings or structures 400ft2 (37 m2) or less are present, the requirements of 18.2.3.1 through 18.2.3.2.1 shall be peiniitted to be modified by the AHJ. 18.2.3.1.4 When fire department access roads cannot be installed due to location on property, topography, waterways, nonnegotiable grades, or other similar conditions, the AHJ shall be authorized to require additional fire protection features. 18.2.3.2 Access to Building. 18.2.3.2.1 A fire department access road shall extend to within in 50 ft(15 m) of at least one exterior door that can be opened from the outside that provides access to the interior of the building. Exception: 1 and 2 single-family dwellings. 18.2.3.2.1.1 When buildings are protected throughout with an approved automatic sprinkler system that is installed in accordance with NFPA 13,NFPA 13D, or NFPA 13R, the distance in 18.2.3.2.1 shall be permitted to be increased to 300 feet. 18.2.3.2.2 Fire department access roads shall be provided such that any portion of the facility or any portion of an exterior wall of the first story of the building is located not more than 150 ft (46 m) from fire department access roads as measured by an approved route around the exterior of the building or facility. 18.2.3.2.2.1 When buildings are protected throughout with an approved automatic sprinkler system that is installed in accordance with NFPA 13, NFPA 13D, or NFPA 13R, the distance in 18.2.3.2.2 shall be permitted to be increased to 450 ft (137 m). 18.2.3.3 Multiple Access Roads. More than one fire department access road shall be provided when it is determined by the AHJ that access by a single road could be impaired by vehicle congestion, condition of terrain, climatic conditions, or other factors that could limit access. 18.2.3.4 Specifications. 18.2.3.4.1 Dimensions. C- 18.2.3.4.1.1 FDAR shall have an unobstructed width of not less than 20ft with an approved turn around area if the FDAR exceeds 150 feet. Exception: FDAR for one and two family dwellings shall have an unobstructed width of not less than 15 feet, with an area of not less than 20 feet wide within 150 feet of the structure being protected. An approved turn around area shall be provided if the FDAR exceeds 250 feet. Michael Yee April 18,2017 Page 4 C— 18.2.3.4.1.2 FDAR shall have an unobstructed vertical clearance of not less then 13ft 6 in. C— 18.2.3.4.1.2.1 Vertical clearances may be increased or reduced by the AHJ, provided such increase or reduction does not impair access by the fire apparatus, and approved signs are installed and maintained indicating such approved changes. 18.2.3.4.1.2.2 Vertical clearances shall be increased when vertical clearances or widths are not adequate to accommodate fire apparatus. C— 18.2.3.4.2 Surface. Fire department access roads and bridges shall be designed and maintained to support the imposed loads (25 Tons) of the fire apparatus. Such FDAR and shall be comprised of an all-weather driving surface. 18.2.3.4.3 Turning Radius. C- 18.2.3.4.3.1 Fire department access roads shall have a minimum inside turning radius of 30 feet, and a minimum outside turning radius of 60 feet. 18.2.3.4.3.2 Turns in fire department access road shall maintain the minimum road width. 18.2.3.4.4 Dead Ends. Dead-end fire department access roads in excess of 150 ft (46 m) in length shall be provided with approved provisions for the fire apparatus to turn around. 18.2.3.4.5 Bridges. 18.2.3.4.5.1 When a bridge is required to be used as part of a fire department access road, it shall be constructed and maintained in accordance with county requirements. 18.2.3.4.5.2 The bridge shall be designed for a live load sufficient to carry the imposed loads of fire apparatus. 18.2.3.4.5.3 Vehicle load limits shall be posted at both entrances to bridges where required by the AHJ. 18.2.3.4.6 Grade. C— 18.2.3.4.6.1The maximum gradient of a Fire department access road shall not exceed 12 percent for unpaved surfaces and 15 percent for paved surfaces. In areas of the FDAR where a Fire apparatus would connect to a Fire hydrant or Fire Department Connection, the maximum gradient of such area(s) shall not exceed 10 percent. Michael Yee April 18, 2017 Page 5 18.2.3.4.6.2* The angle of approach and departure for any means of fire department access road shall not exceed 1 ft drop in 20 ft (0.3 m drop in 6 m) or the design limitations of the fire apparatus of the fire department, and shall be subject to approval by the AHJ. 18.2.3.4.6.3 Fire department access roads connecting to roadways shall be provided with curb cuts extending at least 2 ft (0.61 m) beyond each edge of the fire lane. 18.2.3.4.7 Traffic Calming Devices. The design and use of traffic calming devices shall be approved the AHJ. 18.2.3.5 Marking of Fire Apparatus Access Road. 18.2.3.5.1 Where required by the AHJ, approved signs or other approved notices shall be provided and maintained to identify fire department access roads or to prohibit the obstruction thereof of both. 18.2.3.5.2 A marked fire apparatus access road shall also be known as a fire lane. 18.2.4* Obstruction and Control of Fire Department Access Road. 18.2.4.1 General. 18.2.4.1.1 The required width of a fire department access road shall not be obstructed in any manner, including by the parking of vehicles. 18.2.4.1.2 Minimum required widths and clearances established under 18.2.3.4 shall be maintained at all times. 18.2.4.1.3* Facilities and structures shall be maintained in a manner that does not impair or impede accessibility for fire department operations. 18.2.4.1.4 Entrances to fire departments access roads that have been closed with gates and barriers in accordance with 18.2.4.2.1 shall not be obstructed by parked vehicles. 18.2.4.2 Closure of Accessways. 18.2.4.2.1 The AHJ shall be authorized to require the installation and maintenance of gates or other approved barricades across roads, trails, or other accessways not including public streets, alleys, or highways. 18.2.4.2.2 Where required, gates and barricades shall be secured in an approved manner. q Michael Yee April 18,2017 Page 6 18.2.4.2.3 Roads, trails, and other access ways that have been closed and obstructed in the manner prescribed by 18.2.4.2.1 shall not be trespassed upon or used unless authorized by the owner and the AHJ. 18.2.4.2.4 Public officers acting within their scope of duty shall be permitted to access restricted property identified in 18.2.4.2.1. 18.2.4.2.5 Locks, gates, doors, barricades, chains, enclosures, signs, tags, or seals that have been installed by the fire department or by its order or under its control shall not be removed, unlocked, destroyed, tampered with, or otherwise vandalized in any manner. 18.3 Water Supplies and Fire Hydrants 18.3.1* A water supply approved by the county, capable of supplying the required fire flow for fire protection shall be provided to all premises upon which facilities or buildings, or portions thereof, are hereafter constructed, or moved into or within the county. When any portion of the facility or building is in excess of 150 feet (45 720 mm) from a water supply on a fire apparatus access road, as measured by an approved route around the exterior of the facility or building, on- site fire hydrants and mains capable of supplying the required fire flow shall be provided when required by the AHJ. For on-site fire hydrant requirements see section 18.3.3. EXCEPTIONS: 1. When facilities or buildings, or portions thereof, are completely protected with an approved automatic fire sprinkler system the provisions of section 18.3.1 may be modified by the AHJ. 2. When water supply requirements cannot be installed due to topography or other conditions, the AHJ may require additional fire protection as specified in section 18.3.2 as amended in the code. 3. When there are not more than two dwellings, or two private garage, carports, sheds and agricultural. Occupancies, the requirements of section 18.3.1 may be modified by AHJ. 18.3.2* Where no adequate or reliable water distribution system exists, approved reservoirs, pressure tanks, elevated tanks, fire department tanker shuttles, or other approved systems capable of providing the required fire flow shall be permitted. 18.3.3* The location, number and type of fire hydrants connected to a water supply capable of delivering the required fire flow shall be provided on a fire apparatus access road on the site of the premises or both, in accordance with the appropriate county water requirements. 18.3.4 Fire Hydrants and connections to other approved water supplies shall be accessible to the fire department. Michael Yee April 18,2017 Page 7 18.3.5 Private water supply systems shall be tested and maintained in accordance with NFPA 25 or county requirements as determined by the AHJ. 18.3.6 Where required by the AHJ, fire hydrants subject to vehicular damage shall be protected unless located within a public right of way. 18.3.7 The AHJ shall be notified whenever any fire hydrant is placed out of service or returned to service. Owners of private property required to have hydrants shall maintain hydrant records of approval, testing, and maintenance, in accordance with the respective county water requirements. Records shall be made available for review by the AHJ upon request. C-18.3.8 Minimum water supply for buildings that do not meet the minimum County water standards: Buildings up to 2000 square feet, shall have a minimum of 3,000 gallons of water available for Firefighting. Buildings 2001- 3000 square feet, shall have a minimum of 6,000 gallons of water available for Firefighting. Buildings, 3001- 6000 square feet, shall have a minimum of 12,000 gallons of water available for Firefighting. Buildings, greater than 6000 square feet, shall meet the minimum County water and fire flow requirements. Multiple story buildings shall multiply the square feet by the amount of stories when determining the minimum water supply. Commercial buildings requiring a minimum fire flow of 2000gpm per the Department of Water standards shall double the minimum water supply reserved for firefighting. Fire Department Connections (FDC) to alternative water supplies shall comply with 18.3.8 (1)- (6) of this code. NOTE In that water catchment systems are being used As,-a means of water.supply for firefighting, such systems shall meet the foIlowmg requirements: 1) In that a single water tank is used for both domestic and firefighting water, the water for domestic use shall not be capable of being drawn from the water reserved for firefighting; Michael Yee April 18,2017 Page 8 2) Minimum pipe diameter sizes from the water supply to the Fire Department Connection (FDC) shall be as follows: a) 4" for C900 PVC pipe; b) 4" for C906 PE pipe; c) 3" for ductile Iron; d) 3' for galvanized steel. 3) The Fire Department Connection(FDC) shall: a) be made of galvanized steel; b) have a gated valve with 2-1/2 inch,National Standard Thread male fitting and cap; c) be located between 8 ft and 16 ft from the Fire department access. The location shall be approved by the AHJ; d) not be located less than 24 inches, and no higher than 36 inches from finish grade, as measured from the center of the FDC orifice; e) be secure and capable of withstanding drafting operations. Engineered stamped plans may be required; f) not be located more than 150 feet of the most remote part, but not less than 20 feet, of the structure being protected; g) also comply with section 13.1.3 and 18.2.3.4.6.1 of this code. 4) Commercial buildings requiring a fire flow of 2000gpm shall be provided with a second FDC. Each FDC shall be independent of each other, with each FDC being capable of flowing 500gpm by engineered design standards. The second FDC shall be located in an area approved by the AHJ with the idea of multiple Fire apparatus'conducting drafting operations at once, in mind. 5) Inspection and maintenance shall be in accordance to NFPA 25. 6) The owner or lessee of the property shall be responsible for maintaining the water level, quality, and appurtenances of the system. EXCEPTIONS TO SECTION 18.3.8: 1) Agricultural buildings, storage sheds, and shade houses with no combustible or equipment storage. 2) Buildings less than 800 square feet in size that meets the minimum Fire Department Access Road requirements. f ti Michael Yee April 18, 2017 Page 9 3) For one and two family dwellings, agricultural buildings, storage sheds, and detached garages 800 to 2000 square feet in size, and meets the minimum Fire Department Access Road requirements, the distance to the Fire Department Connection may be increased to 1000 feet. • 4) For one and two family dwellings, agricultural buildings, and storage sheds greater than 2000square feet, but less than 3000 square feet and meets the minimum Fire Department Access Road requirements, the distance to the Fire Department Connection may be increased to 500 feet. 5) For buildings with an approved automatic sprinkler system, the minimum water supply required may be modified. If there are any questions regarding these requirements, please contact the Fire Prevention Bureau at (808) 932-2911. DARREN J. ROSARIO Fire Chief KV:ds 4 ei SUZANNE D.CASE =wt�� CHAIRPERSON DAVID V.TGE BOARD OF LAND AND NATURAL RESOURCES E tiq P,:•° g y g° h'.� GOVERNOR OF HAWAII COMMISSION ON WATER RESOURCE MANAGEMENT � u �..•.-a°'•':� KEKOAK4LUHIWA 45.Ir +`.' .•,s FIRST DEPUTY oE�ynd and Nd` V s ,. :,.i JEFFREY T.PETERSON �d •>:Y,yy - _-3 J : ; DEPUTY DERECTOR-WATER Fac �� :$. ,.^k'A` ;•``2Y i ce . o AQUATIC O RESOURCES ��Irr BOATING AND OCEAN RE-CREATION +Y ':' n -,/ BUREAU OF CONVEYANCES ,� ice ^•�'""I' COMMISSION ON WATER RESOURCE MANAGENIM CONSERVATION AND COASTAL LANDS CONSERVATION AND ENFORCEMENT RESOURCES ENFENFORCEMENTSTATE OF HAWAII ENGINEERING FORESTRY AND WILDLIFE DEPARTMENT OF LAND AND NATURAL RESOURCES HISTORIC PRES ERVAIION State Of Hat7d�� ICAHOOLAWE ISLAND RESERVE CONFESSION LAND • STATE HISTORIC PRESERVATION DIVISION STATE PARIES KAKUHIHEWA BUILDING 601 KAMOKILA BLVD,STE 555 KAP OLE I,HAWAII 96707 April 19,2017 Michael Yee,Planning Director LOG NO:2016.00642 County of Hawaii DOC NO: 1704SN10 101 Pauahi Street, Suite 3 Archaeology Hilo,HI 96720 Attn.Jeff Darrow Dear Mr.Yee: SUBJECT: Chapter 6E-42 Historic Preservation Review— State Land Use and Boundary Amendment(SLU 17-000047) and Change of Zone Application(REZ 17-000218) for Hawaii Island Distilling,LLC Kea'au Ahupua`a,Puna District,Island of Hawai`i TMK: (3)1-6-141:002 Thank you for the opportunity to review this application that was received by our office on April 5, 2017. The applicant,Hawai`i Island Distilling,LLC,proposes to change land use boundaries for the parcel from Agricultural to Urban Use and to rezone the parcel from Agricultural (A-20a) to General Industrial (MG-20). The proposed amendment and subsequent re-zoning will allow for the establishment of a microbrewery, beverage processing facility, and a visitor center on the 6.05-acre parcel. A review of our records indicates that no archaeological inventory survey (AIS) has been conducted of the subject project area. Additionally, a SHPD staff site visit in 2014 identified no historic properties within the parcel (September 16, 2014; Log No. 2014.04097, Doc. No. 1409SN24). Our records also indicate that SHPD staff have previously reviewed several permits for the development of the parcel, each of which indicated that it is unlikely that any historic properties remain on the subject parcel. Based on available information, SHPD's determination is no historic properties affected for the proposed land use and boundary amendment and change in zoning.The permitting process may continue. Attach to permit: If historic properties such as lava tube openings, concentrations of artifacts, structural remains or human skeletal remains are found during construction activities please cease work in the immediate vicinity of the find, protect the find from additional disturbance, and contact the State Historic Preservation Division at(808) 933- 7651. Please contact Sean Naleimaile at (808) 933-7651 or at Sean.P.Naleimaile@hawaii.gov hawaii.gov for any questions or concerns regarding this letter. Aloha, S1A57 adv.\ ` 1-9-16-0 Susan A.Lebo,PhD Archaeology Branch Chief cc. Frank DeMarco (public works(clihawaiicounty.gov) • Jeff Darrow(Jeff.Darrow@hawaiicounty.goy) Planning Dept. Exhibit It' • ,y DAVID Y.IGE ='h VIRGINIA PRESSLER,I'f1.lD. GOVERNOR OF HAWAIIs9 r .• `,!v� DIRECTOR OF HEALTH .c..R.s •. • pj i S ':' '�;!• ';:"'.' 'v STATE OF HAWAII - DEPARTMENT OF HEALTH P.O.BOX 916 HIL O, HAWAII 96721-0916 - - -c ''10 J MEMORANDUM • 03 DATE: May 17,2017 -' TO: Mr. Michael Yee Planning Director, County of Hawaii FROM: Eric Honda At-- District Environmental Health Program Chief SUBJECT: State Land Use Boundary Amendment (SLU-17-000047) Request: Agricultural to Urban Change of Zone Application (REZ-17-000213) Request: A-20z to MG-20 Applicant: Hawaii Island Distilling, LLC TMK: 1-6-141:002 The proposed operation needs to meet the requirements of Chapter 50, Food Safety Code. Please call our office (Ph. 933-0917) for consultation and additional information. Public Water Systems: The Department of health's Safe Drinking Water Branch authority on drinking water quality is based on the definition of a"public water system." Federal and state regulations define a public water system as a system that serves 25 or more individuals at least 60 days per year or has at least 15 service connections. All public water system owners and operators are required to comply with Hawaii Administrative Rules, Chapter 11-20 (HAR 11- 20), and titled"Rules Relating to Public Water Systems". All public water systems are regulated by the Department of Health and shall be in compliance with the Hawaii Administrative Rules, Title 11, Chapter 20. Recommend the subdivision lots be connected to an existing public water system. Concerns on water quality for lead, copper, algae and microbiological and chemical contaminations in private water systems have identified the need for self monitoring. The Department of Health does not support the use of these private rain catchment systems for drinking purposes since the quality may not meet potable water standards. All new public water systems are required to demonstrate and meet minimum capacity requirements prior to their establishment, per HAR 11-20-29.5, titled"Capacity Demonstration and Evaluation." This requirement involves demonstration that the system will have satisfactory technical, managerial and financial capacity to enable the system to comply with safe drinking water standards and requirements. •Planning - Exhibit IV._ _1111104 • Michael Yee MAY 2 3 7017 • May 17,2017 Page 2 of 3 • Projects that propose development of new sources of potable water serving or proposed to serve a public water system must comply with the terms of HAR. 11-20-29. This section requires that water all new publicsystem sourcesapprovedby be the Director of Health (Director) prior to its use. Such approval is based primarily upon the submission of a satisfactory engineering report which addresses the requirements specified in HAR 11-20-29. The engineering report must identify all potential sources of contamination and evaluate alternative control measures which could be implemented to reduce or eliminate the potential for contamination, including treatment of the water source. In addition, water quality analyses for all regulated contaminants, performed by a laboratory certified by the State Laboratories Division of the State of Hawaii, must be submitted as part of the report to demonstrate compliance with all drinking water standards. Additional parameters may be required by the Director for this submittal or additional tests required upon his or her review of the information submitted. All sources of public water system sources must undergo a source water assessment which will delineate a source water protection area. This process is preliminary to the creation of a source water protection plan for that source and activities which will take place to protect the source of drinking water. Projects proposing to develop new public water systems or proposing substantial modifications to existing public water systems must receive construction plans approval by the Director prior to construction of the proposed system or modification in accordance with HAR 11-20-30, titled "New and Modified Public Water Systems". These projects include treatment, storage and distribution systems of public water systems. The approval authority for projects owned and operated by a County Board or Department of Water or Water Supply has been delegated to them. All public water systems must be operated by certified distribution system and water treatment plant operators as defined by HAR 11-25 titled, "Rules Pertaining to Certification of Public Water System Operators". All projects which propose the use of dual water systems or the use of a non-potable water system in proximity to an existing potable water system to meet irrigation or other needs must be carefully design and operate these systems to prevent the cross-connection of these systems and prevent.the possibility of backflow of water from the non-potable system to the potable system. The two (2) systems must be clearly labeled and physically separated by air gaps or reduced pressure principle backflow prevention devices to avoid contaminating the potable water supply. In addition backflow devices must be tested periodically to assure their proper operation. Further, all non-potable spigots and'irrigated areas should be clearly labeled with warning signs to prevent the inadvertent consumption on non-potable water. Compliance with HAR Chapter 11-21,titled Cross-Connection and Backflow Control is also required. All projects which propose the establishment of a potentially contaminating activity (as identified in the Hawaii Source Water Assessment Plan) within the source water protection area of an existing source of water for a public water supply should address this potential and Michael_ Yee May 17, 2017 Page 3 of 3 activities that will be implemented to prevent or reduce the potential for contamination of the drinking water source. For further information concerning the application of capacity, new source approval, operator certification, source water assessment, backflow/cross-connection prevention or other public water system programs, please contact the SDWB at 586-4258. We recommend that you review all of the Standard Comments on our website: http://hawaii.gov/health/environmental/env-planning/landuseIlanduse.html. Any comments specifically applicable to this project should be adhered to. The same website also features a Healthy Community Design Smart Growth Checklist (Checklist) created by Built Environment Working Group (BEWG) of the Hawaii State Department of Health. The BEWG recommends that state and county planning departments, developers, planners, engineers and other interested parties apply the healthy built environment principles in the Checklist whenever they plan or review new developments or redevelopments projects. We also ask you to share this list with others to increase community awareness on healthy community design. SidneyFuke, Planning Consultant 9a4=a;, 100 Pauahi Street,Suite 212• Hilo, Hawaii 96720 •Planning•Variance•Zoning Als77: Telephone: (808)969-1522•Cell: (808)989-0640 •Subdivision•Land Use Permits E-mail:sidfuke@hawaiiantel.net •Environmental Reports May 8, 2017 Mr. Michael Yee, Director --- Planning Department r '77 { COUNTY OF HAWAII 101 Pauahi Street Hilo,HI 96720 _73 Dear Mr. Yee: y _ r C.0Subject: Agency Comments—Hawaii Island Distilling,LLC = State Land Use Boundary Amendment(SLU 17-000047) and Rezoning Application (REZ 17-000218), T]\IIIK: 1-6-141: 002 Thank you for providing me with comments from two (2) agencies to date on this matter. In response to those comments, please note that: a. Police Department did not anticipate any significant traffic or public safety concerns; and b. the Department of Water Supply noted that it had no objections to the request and that there was a possibility that no additional water related infrastructure may be needed. However, before such a conclusion could be reached, it requested that a water usage calculation report be filed. This will be done within six (6) months of the effective date of the Change of Zone application. Should additional improvements be needed, such as a larger meter, it will be done by the applicant. Further, the applicant intends to confer with the Fire Department to determine if additional water infrastructure may be needed prior to submittal of plans for Plan Approval. Given the availability of an on-site well and other building design measures — such as sprinkling and/or constructing an on-site storage tank—there is a possibility that off-site improvements may not be needed. In either event, the Fire Department's requirements need to be addressed and complied with, particularly as that agency is one of several agencies that must review and approve_all building permits for the subject site. I trust that this satisfactorily responds to the comments. If not or if there are further comments, please feel free to direct them to me. Thank you very much. Sincerely, .))(\ILL) SIDNEY M. FUKE ,_,-...::4-.v� Planning Consultant rr, = MAY a.9 2017 . Copy-Hawaii Island Distilling, LLC w/enclosure via email _.�,,e 11 4G 27.. I . .. : Planning Dept. Exhibit,VI_ HAWAII ISLAND DISTILLING, LLC STATE LAND USE BOUNDARY AMENDMENT (SLU 17-000047) CHANGE OF ZONE APPLICATION ( REZ 17-000218) T MAP • \tt . 1 +'-'- j +,4k# ' cr' ---\\ .' . ..'• 1i ,___ vr ,..._____________. . - - ,,,,....„., 0, 4 , , 1 --, „.,..,,,,,. .. , . .....141.14, lip i its ' ,�l_ .. 5 it ....mi .. ■ A STATE LAND USE BOUNDARY AMENDMENT FROM AGRICULTURAL TO URBAN; AND ■ A CHANGE OF ZONE FROM AGRICULTURAL- MINIMUM LOT SIZE OF 20 ACRES (A-20A) TO GENERAL INDUSTRIAL- MINIMUM LOT SIZE OF 20,000 SQUARE FEET (MG-20) FOR 6.505 ACRES OF LAND. ■ THE REQUEST IS BEING MADE SO THE APPLICANT CAN ESTABLISH A 7,500+/- SQUARE FOOT BEVERAGE PROCESSING FACILITY (MICROBREWERY) THAT WILL INCLUDE A 2,000+/- SQUARE FOOT SUPPORTIVE VISITOR/RETAIL SALES/TASTING CENTER WITH A 300 SQUARE FOOT KITCHEN. ■ IMPROVEMENTS TO THE ACCESS ROAD, COUNTY WATERLINE, ON-SITE PARKING AND LANDSCAPING WILL ALSO BE PROVIDED. Applicant's Proposed Site Plan _____ •• PROPOSED HAWAII COVERED LANAI MICROBREWERY SEER SAMPLING AREA `� 17500 SF.) APPROX (50-75 SEATS) y� I_ (2000 SF.) ` ""tipSMALL 'PUPUI KtTCFtEN itri,=111111111 11I1 ,I �Illf l' s j(300 SF) I1 t 1...t CIPIRI.O.IPM.41 401111041,NAM . at,� .."III' ._.... .-s lir /1 rwwL OTT %pc-- $ , -.14• Lotb 4 ' _ A-31—A-2 • g° ; L . It * (Mao 134) 4I A N '' DOOR '; •ur. .4'1'20'011 • - 645.64 . 2 Pipe Se JI -) 2� p"'e Found )/2 Pipe React �� �'WadSet 344.56 1/2" Pape 5 t�'� 94'14' 93.29 315'40'32'" 21.21 II Easement 412 R=15.00 aoz ` � ` (Mop 592} a - co I r,, v (n tri1 0 0'40'32" 219.01 - • 0 M ! LOT 9722—A I CST 0727—R ZONING MAP :.1 ., i71031ipp.. • „,.•;• 'I:, •i 40 N Tt I; f.o....---\•; opi,,,, , , • • ) gi1 \ \. ..,.. • . „,.. ,,, .--..„..:.-,... .. ..........,-.„...„..' . , ....., . .... ,, ,_,,...„,_„.....,,....._,.... .-- .,. MG-1a .,, . M CX-2 „ _,,-.. .,„. , M L-20 ..,-) 1..'-2--.. • am , t fttirlE 4t.,,' 1\1 L-113 ,. ... ._ 0,,mriall1.11...111 •, _,..,. - ' 7 1 '- 4,,m,„.. .._..,... . _. ...-...,....--,- -...,:,..!,...tr:-.,,..T,..-f-1,...,-; .: ,,.,,,,.,,,,„ „,„. . 7.„:,.::„.,.,:„,....,;,:. :,...„. ..„: . .. . .. GENERAL PLAN LUPAG MAP ..._ ,.... , .. ..: \ _ , , , , , ,,..,„ ., .. \,,,.,- \ ) Extensive Agriculture ok, •, +�++�1+1++111111111+111 Industrial:f � ► :al fit •r + .•1 • X t 11111'+i1++1i.++1i1++111i1/l11l+i+++1i• 4. iii \ +i : S rl 1 Illitt MI i;i SS Siti„ Agriculture i i __._ Urban `' ''0- ! — _ --1w I ' i , s .�. -\.. E 1 i t 1� i^'"'" S "" Zt \ t : \ < ‘ II,,----- .±: i \ ‘ i q .:-M 'tsti irir i 1 Yjii"—ir, 11 frr :0------i,..___ , / . , „ , _,,,,___------,, ....., i \ ;. - ,---- ,,,., .\\,_t _____,,—,- it is .... ..„---„ / ,.. ....- 1, r_ ,A,\.—- _\ 4 aft. / • ‘-- ‘ # .00# g:e (IND 0 o1,4 11••11 , 4 7, =MN 110 rt I 41: • iNot tit• 0 0 01.° '4o" • imp SITE PHOTOGRAPHS _ ...z s,'" .. ' _ .0 Y4 ..SGA ipr i it ie t j i:;!•*..'-_,,:,,-;,,,,..t , aft(,ti K v `-. k a' tae r --,-,,-..:-,7-,,,,,' t� � a am b l -.....,-;-4;,..:-."..,.. y w l ''':`u • r. — 41 . ..Ie-.1.,i,!.,:.....,,.,,,,.' Y .L 4, , '4;...*(4'''''';'''.4'.<4.4'V;14t7.....'''''.4, li'''''''' ,:yam * . ��y r i View of access easement looking east View of access easement looking west SITE PHOTOGRAPHS . i,`Ar''. ,, ,'�' ' - '_ . M .. T .. • M e . , View of Property from Slaughterhouse Road access easements PLANNING DIRECTOR ' S RECOMMENDATION : FAVORABLE RECOMMENDATJON FOR STATE LAND USE BOUNDARY AMENDMENT AND CHANGE OF ZONE REQUEST WINDWARD PLANNING COMMISSION COUNTY OF HAWAI`I HEARING TRANSCRIPT JULY 6, 2017 A regularly advertised hearing on the applications of HAWAII ISLAND DISTILLING, LLC (SLU 17-000047/REZ 17-000218) was called to order at 10:13 a.m. in the County of Hawai`i Aupuni Center Conference Room, 101 Pauahi Street, Hilo, Hawai`i with Chairman Gregory Henkel presiding. COMMISSIONERS PRESENT: Gregory Henkel, Donald,=Ikeda, Myles Miyasato, and Thomas Raffipiy. ABSENT &EXCUSED: Joe Clarkson, Donn Dela Cruz. ALSO PRESENT: Michael Yee (Planning Director), Daryn Arai (Deputy Planning Director), Malia Ho Hall (Deputy Corporation Counsel for the Windward Planning Commission), Jeff Darrow (Planning Program Manager)<Maija Jackson-,(Planner); Christian Kay(Planner), Shancy Watanabe (Planner), and Sarah Hata Finley(Commission Secretary).. And 4 members from the public in attendance APPLICANT: HAWAI`I_-ISLAND DISTILLING,LLC (SLU 17-000047/REZ 17-000218) _ Applications for a State Land Use Boundary Amendment from Agricultural to Urban and a Change of Zone from Agricultural 20acres (A-20a) to General Industrial-20,000 square feet (MG-20) for approximately-6 505 acres of Land. The property is located east of Highway 11 (Volcano Highway), west of Railroad Avenue, and north of Highway 130 (Kea`au-Pahoa Highway),-Kea`au, Puna;Hawai`i, TMK: 1-6-141:902. HENKEL: And, next on the agenda Item,No. 3, Hawaii Island Distilling, LLC. That's SLU 17-47, REZ 17-21.8. And, Maij a? JACKSON: Thank you. Okay, -I'll jump right into the location of the property. It is located in the Puna District just north of the town of Kea`au, and the property shown on the slide outlined in red, you have the Volcano Highway running in a north-south direction on the left side of the slide. This area shown in gray is the Shipman Industrial Park, and then Kea`au Town is located just off of the map to the south. You have the Keaeau Bypass coming off to the right side of the slide, and off of that is Kea`au Road, which leads to Railroad Avenue, and it also leads to Shipman Road, which curves around to the subject property. The Applicant is requesting a State Land Use Boundary Amendment from Agricultural to Urban as well as a Change of Zone from Agricultural—20 acres to General Industrial with a minimum lot size of 20,000 square feet for approximately 6-1/2 acres of land. The Applicant's making a request in order to establish a microbrewery that will be about 7,500 square feet in size, and it 1 will include a 2,000-square foot supportive retail sales tasting center with about a 300-square foot kitchen for preparing food for the tasting center and visitors. Other improvements will include improvements to the access road, improvements to the County waterline, and on-site parking and landscaping will be provided. This is the Applicant's proposed site plan. This road here, it's actually not a road lot. It's a series of easements, side-by-side road and utility easements. It's known as Slaughterhouse Road, and this comes off of Shipman Road. The property is currently developed right now with a photovoltaic system field which is in this location here and then the proposed facility would be located kind of in the west corner of the property. So, you would have a circular parking lot, one entrance in, one exit out, and then you can see the proposed microbrewery and then the visitor area. This is the zoning map for the area, and you can see the subject property is zoned Agricultural— 20 acres which is shown in the dark green. To the south are three lots which were recently zoned, rezoned to Family Agricultural—2 acres And, then further down Slaughterhouse Road is a lot that is Agricultural—5 acres, and there's currently an existing water bottling facility on that property. It's known as Hawaiian Springs. This is the General Plan LUPAG Map, and you can see that the subject property is shown in the orange which is Medium Density Urban which usually allows for Commercial and Multi-Family Residential. This area of Railroad Avenue to the east and then a portion of it to the west where the existing HELCO facility is located has been designated for Industrial uses, and the Planning Director has interpreted themap to allow for Industrial uses in this general area of the subject property as well. This is the State Land Use map which shows the property in an Agricultural District. And nearby areas that are in the Urban District are the Shipman Industrial Park, Kea`au, and then some of the industrial areas near the HELCO plant and along Milo Street. And, this is an aerial photo of the property that shows the Shipman Road paralleling the highway. You have the papaya packing facility and a vegetable pickling facility here. And, then, at this point, the road drops down to road easements. This is the Hawaiian Springs water bottling facility, and then this is the general area of the subject property here. So, this is an old aerial photo. It doesn't show the PV field, but that PV field is generally located in this location here, and then the proposed facility would be over on the west end of the property here. These are some site photos of the road. There is about 22 feet of pavement, and you can see the water botting facility at the end of the road here, and then this is looking the other direction back towards Shipman Road. And, these are some views of the property. Hard to see, but you can see the PV field over in this area here. That's on the east side of the property. And, then, this is the middle area and the west side of the property. So, the proposed facility is, would be located in this area here. 2 The Planning Director is recommending a favorable recommendation be forwarded to the County Council for the Change of Zone and the State Land Use Boundary Amendment requests. And, that concludes my presentation. I'd be happy to answer any questions you may have. HENKEL: Thanks, Maija. Any questions from the Commission? All right, will the Applicant and/or representative please come forward? Good morning, Mr. Fuke. Will you raise your right hand, please? FUKE: Sure. HENKEL: Do you swear or affirm to tell the truth in this matter_before the Planning Commission? FUKE: Yes, I do. HENKEL: Thank you. Proceed. FUKE: Sure, thank you very much, Mr Chairman, Members of the Commission: The staff' Background Report, as always, is comprehensive and, you know, you really have very little to add. However, I would like to note initially that I'dlike to apologize for the absence of the Applicant. He's currently in Australia—not,Australia, but in Asia--right now trying to generate funds for some of his planned beverage activities. Just to give you some background as"-far as who the Applicant is, he was one of the original founders of Hawaiian Springs, and he did the facility in Honolulu. It's called Blue Moon. It was a brewery,a microbrewery and a restaurant.as well `He's also the founder of Kai Vodka and, which is distilled primarily in Vietnam right now, and actually this is—you know, he's currently right now in Vietnam. But, the reason why he's doing this is like;:you know, he's had some studies done, and one of the studies showed,-you know, which.was done by the U.S. Geological Survey found that this particular area has,One of the best artisan water system in this area; and hence, you know, you have the Hawaiian Springs. And,--with the growth of the, you know, the microbrewery, you know, the interest in microbreweries, distilled, you know, vodkas, well, you know, you have like Koloa Rum. You have like Maui Vodka. And, you know, it's really becoming a very, kind of like more in vogue, and this site from his perspective is reasonably accessible to a lot of the local, agricultural tropical foods. You know, whether it's papaya, rambutan, lychee, lime. These will be all potentially, can be infused into the various distilled products or let alone, the brewed products. And, so, that's the reason why, you know, this site is selected. The zoning map might seem a little bit deceptive in the sense that you have an area which would show like an Ag-5 acre area. But, that Ag-5 acre area is where the Hawaiian Springs operation plant, operating plant is. The FA-2 acre area was, well actually rezoned to create two-acre lots because previously, there was a Special Permit also issued for brewery or beverage facility. 3 However, to enable the subdivision of different brewery or distillery operations, then the property had to be subdivided and so, as a result, the property was then rezoned into the, at that time FA-2 acre area. So, his vision is actually because of the, the quality of the water in this area is like to kind of like create like a beverage community. You know, ranging from potable water to distilled activity as well as a brewery. So, that's kind of like gradually evolving right now. The staff, you know, like is, you know, in—I'm sorry, if I can just kind of back up. So, in anticipation of creating a so-called, this beverage community,right' he has done is like created this one acre of solar array. You know, and that solar system right now is already on-line, and it currently services the Hawaiian Springs. And, the intent is to also supplement other users, you know, within that so-called beverage community. He recently received a permit and currently is drilling another well just across of this property on one of those areas that currently has a Special Permit. And, depending on what the volume and; again, the quality of.that water, and his ventures out in Asia to find investors to possibly-develop either a brewery or a distilled operation still remains to be seen, but at least the Special Permit and the current zoningrequest will enable all of those different type of options for him. In addition, you know, as the staff's Background Report kind of pointed out, the original plan was to apply for a Special Permit. You know, like just across the street. But, in the discussions with the staff, it was felt like it would be-more appropriate to have this area be zoned General Industrial, you know, rather than continuing._this pattern of Special Permits. The Applicant was totally receptive to that because the General Industrial zone would also enable him to provide areas for warehousing for example,that can be used by the`otherusers in that, you know, other developers in that area: So, that kindof like suits into his overall, what I call, beverage community kind of plan - He's had a chance to-review the.staff's proposed, not only Background Report, but the Recommendation and the conditions and found them to be totally acceptable. So, if you have any more questions other than what I've stated, I'd be more than happy to respond. HENKEL: Thanks, Mr. Fuke. Any questions? You may be seated. FUKE: Okay, thank you. MIYASATO: Chair, I just;have one real quick one. So, you know, for the Industrial zoning portion, Condition C, I'm just assuming that those, that additional well that you're drilling will be providing the water supply for this. Under Condition C that no County water shall be used? FUKE: No, like that condition was made—I think you've read in the paper like there was this one guy who had this water bottling thing, was taking out of the County system and marketing it as like, you know, a private Hawaiian type of water, and so the County just kind of stopped it off. So, that condition was basically saying that, you know, because there's still a need to draw the County water line to this area. And, so what that condition is saying is that you can't use that water and market it as like your own water, yeah. 4 MIYASATO: Okay, thank you. HENKEL: Any other questions? Thank you, Mr. Fuke. I have no one signed as, signed up to testify. Is there anybody out there who would like to contribute? If not, we'll look for a motion. MIYASATO: Chair, I just have one quick question for the Chair [sic-Director]. Is that— Condition C, is that the intent? Just not to resell? The industrial YEE: Maija, did you have a comment? JACKSON: I do—I did. I could try to answer that for you if that's all right. The intent of that condition was to actually not to allow the County water`systetn to;.be used for any production facilities. So, anything that would go into the final product would=-come from the water well, not from the County system. So, the intent, and if you look at I think the next condition, Condition D, the intent was to allow County water to be used for like the`employee areas for handwashing, restrooms, things like that,but not-for water to be used for the;.actual production of any bottled product. MIYASATO: So, is that, does that -1;14j-tic-out for the operation? FUKE: Yes, it does. I mean, that was always the Applicant's understanding. You know, and he was aware that, you know,.they're all competitors, right, and had..this other water company, they was using County water and bottling it as, you know, tleirown precious water, so he absolutely—you know,-it's bad for marketing You know to say that you're gonna use County water and then you're saying that you're going to market that as your own product. So, you know, he's totally aware of;it, and you know, he finds that condition very acceptable. MIYASATO Okay,-thank you HENKEL Thank you. No one signed up to testify. Is there a motion to close that portion of the hearing? MIYASATO: Motion to close public testimony. IKEDA: Second. HENKEL: It's been closed moved and seconded to close public testimony. All in favor say "aye?" COMMISSIONERS: Aye. HENKEL: Opposed? Then, we'll move onto discussion and a motion for action. MIYASATO: Chair, I make a motion. I move that a favorable recommendation be forwarded to the County Council on the application for State Land Use Boundary Amendment SLU 17- 5 , 000047 based on the Planning Director's recommendation, findings, and proposed conditions, which shall be adopted. HENKEL: And, this is just the State Land Use motion. We'll need another one for the Change of Zone. MIYASATO: Yes. HALL: But we can vote, let's vote on this one first, and then— HENKEL: Let's vote on this one. It's been moved— IKEDA: Second. HENKEL: And seconded by Mr. Ikeda. Roll call vote, please? JACKSON: Commissioner Miyasato? MIYASATO: Aye. JACKSON: Commissioner Ikeda? IKEDA: Aye. JACKSON: Commissioner Raffipy? - RAFFIPIY: Aye. JACKSON: And Chair Henkel HENKEL::-Aye. JACKSON: Okay, the motion carries four, zero. HENKEL: Thank you:..You'11 benotified in writing and now— MIYASATO: Chair, Chair? <_. JACKSON: The rezone? HENKEL: Another motion for rezone: MIYASATO: Chair, I make a motion. I move that a favorable recommendation be forwarded to the County Council on the application for Change of Zoning, Change of Zone Docket No. REZ 17-000218 based on the Planning Director's recommendations, findings, and proposed conditions which shall be adopted. 6 IKEDA: Second. HENKEL: It's been moved by Commissioner Miyasato; seconded by Commissioner Ikeda. Roll call vote, please? JACKSON: Okay. Commissioner Miyasato? MIYASATO: Aye. JACKSON: Commissioner Ikeda? IKEDA: Aye. JACKSON: Commissioner Raffipiy? RAFFIPIY: Aye. JACKSON: And Chair Henkel. HENKEL: Aye. JACKSON: Okay, the motion carries four zero for the rezone HENKEL: And, you'll be notified in writing FUKE (from audience) Thank you The discussion ended-at. 10:30 a m. Respectfully submitted, Sarah Y. Hata-Finley, Secretary Windward Planning Commission 7