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Valerie Poindexter, Council Chair <br />and Members of the County Council <br />Page 2 <br />Completed in 2014 and occupied since then, Phase 1 of the project consists of <br />60 -senior housing units. Phase 1 development cost was $20 million. Phase 2 consists of <br />30 -senior housing units, which finished construction in 2017 and been occupied since, <br />and the Hilo Adult Day Center facility, which is nearing construction completion. <br />Phase 2 development cost for the senior housing units was $11.4 million. The Hilo Adult <br />Day Care facility development cost was $8.8 million and is on schedule to finish later this <br />year. The project was initially separated into four (4) phases for financial reasons. <br />Phase 3 originally consisted of 60 -units and Phase 4 originally consisted of 32 -units. <br />However, when financing was awarded for the combined 92 -units, Phases 3 and 4 were <br />consolidated and referenced as Phase 3, which is currently under construction with a total <br />estimated project cost of $26.4 million. <br />The approval of the reclassification from the State Land Use Agricultural to <br />the Urban District for approximately 9.379 acres will not be in violation of <br />Section 205-2, Chapter 205, Hawaii Revised Statutes, nor will it be inconsistent <br />with the Land Use Commission Rules, the County General Plan and the Hawaii <br />State Plan. Under the Land Use Commission Rules, one of the standards for considering <br />an area for urban reclassification states that, "In determining urban growth for the next <br />ten years, or in amending the boundary, land contiguous with existing urban areas shall be <br />given more consideration than non-contiguous land, and particularly when indicated for <br />future urban use on state or county general plans." The project area confonms to this <br />standard as it is situated adjacent to existing urban -designated lands to the north and is <br />designated as future urban growth (Medium Density Urban) on the County's Land Use <br />Pattern Allocation Guide (LUPAG) map in the General Plan. On April 20, 2010, <br />Resolution No. 328-10 designated the zoning for Parcel 177 as RM -4. On June 3, 2016, <br />Resolution No. 536-16 designated the zoning for Parcels 185 and 186 as RM -3. The <br />applicant's request to designate 9.379 acres into the Urban District reflects the intent of <br />the County of Hawaii Resolution Nos. 709-08, 328-10, 311-15 and 536-16 and the <br />Governor's Executive Order No. 4224 to set aside and develop the land for elderly, <br />affordable rental housing and related purposes for the Mohouli Heights Senior <br />Neighborhood Project. <br />The Urban District request would be consistent with the goals and policies of <br />the Land Use and Housing elements of the General Plan. The Urban District request <br />would be consistent with the goals, policies and standards of the Land use -Multiple <br />Family Residential and the Housing Elements of the Hawaii County General Plan by <br />