Laserfiche WebLink
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 />Now, in Honolulu, even 140 percent, that's over hundred percent AMI is what people are trying <br />to build, trying to qualify, so-called workforce affordable housing so that they can get <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-cost 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-cost 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 151h is so important. The only <br />EXHIBIT A <br />12 <br />