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intention is to build affordable housing. When I say affordable housing, it means workforce <br /> housing. I have to go into a little bit more detail here, because I don't think I explained in my <br /> letter. Workforce housing in Hawaii basically means from 60 percent AMI, area median <br /> income, to 140 percent, some 60 to 140 percent. One hundred percent is say average, okay? <br /> 3 <br /> Now, in Honolulu, even 140 percent, that's over hundred percent AMI is what people are trying 3 <br /> to build, trying to qualify, so-called workforce affordable housing so that they can get 3 <br /> government funding. A 140 percent is pretty close to market rate. In Hilo, as you know, the <br /> housing prices is far less. Now, based on the HUD guidelines, the market rate here on a condo or <br /> a house is probably equal to affordable housing AMI hundred percent or 120 percent. So, what <br /> that means, market rate is basically equivalent to what HUD designated as affordable housing. <br /> I'm an architect. I'm a developer. I've been doing that for 45 years. I've developed quite a few <br /> market rate. I've never done affordable housing as I explained in my letter. When I first bought <br /> this property, I tried to rezone it to 2.5 to 1.5. It was to build affordable housing because no one <br /> can build market-based housing in Hilo. Nothing was''built here the-last 30 years. In fact, even <br /> workforce housing, from my research, during the last five years, probably less than 200 units, so <br /> called workforce. What is workforce housing? It,is for people who cannot afford market-rate <br /> housing, but people who are not qualified for so-called low-cast housing that is built by the <br /> government, okay? Now, during the last five years,there are probably about maybe, Michael <br /> had more details than me,probably maybe;about 800 units built, in the last five years in the <br /> entire County. The most I think happened in the Kona side. These 800 or 900 units, most of <br /> them are not workforce housing. They are low-cast government built, you know, like housing <br /> authority. <br /> So, the question is do we need affordable housing here? I don't think any politician would say, <br /> "no, we don't need affordable housing." According to the latest publication which I believe I <br /> sent to you, in the Hawaiian public housing authority, from year, the five years 2014 to 2019, <br /> Hawaii County needs close to 15,000 units. Fifteen thousand. Affordable housing now, not <br /> market rate. More is being built market-rate out here anyway, right? Out of 15,000, probably <br /> less than 200 units are really workforce affordable, the kind of project I want to build. Okay, let <br /> me go back to 2014. It's got very important to answer his question. <br /> RAFFIPIY: Can you keep your comments to talking about your property, please? <br /> TAI: Okay, all right. <br /> RAFFIPIY: Thank you. <br /> TAI: But, I thought all of this are very important, because when I bought, changed it to <br /> [RM-]1.5, my sole intention is to develop workforce housing in the 60 percent AMI,because <br /> with 60 percent AMI, I can get special points if I have to apply for public fund, like low-income <br /> housing tax credit. Now, no one in Hawaii can build workforce housing without getting what <br /> you call LIHTC which is low-income housing term. No one can do that, and Hawaii gets very <br /> little money, the State, and most of the money that is being allocated have gone to the Island of <br /> Oahu. Very few here. That's why I wanted to mention February 15th is so important. The only <br /> DRAFT <br /> 12 <br />