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HCHA meeting <br />March 2, 2021 <br />Kanealii-Kleinfelder: Okay, thank you. And then just touching back on the <br />program income again, it looks like I'm just breaking this down, there's one <br />section on page 10 that talks about the program income, the grantee, that's <br />the County of Hawai `i, correct, may transfer program income to its annual <br />CDBG program before close out of the grant that generated the program <br />income, and then we can transfer that, looks like out of the DR side and back <br />into the regular CDBG, is that correct? <br />Le: You know honestly, the specific mechanics of how these provisions are put <br />in, we haven't quite thought through yet because we haven't been planning <br />for program income, so, you know, from my experience we generally do not <br />blend our CDBG that OHCD manages and these disaster recovery dollars but, <br />you know, you called something that we will kind of take a hard look at in terms <br />of what this will actually mean on an accounting and annual grant close out <br />bases. But generally, I think, it's my understanding that these funds aren't <br />blended. <br />Kanealii-Kleinfelder: Yeah, that was my thought too but then I noticed that, you <br />know, they can be dropped back into the CDBG, it looks like or at least the five <br />percent of the program income can, which is an interesting tie but at the end of <br />the close out of the grant that generated the program income, I just thought <br />that was an interesting note. <br />Le: It is, let me dig into it, make sure I fully understand the mechanics how it <br />works and practice as well. <br />Kanealii-Kleinfelder: And then flood insurance, is that applied to all of Puna or is <br />that just applied to what was lost during the eruption? <br />Le: So in terms of these projects that are currently being proposed, the buyout <br />program and the relocation services, flood insurance were based on the flood <br />insurance rate maps so even though the eruption clearly changed our <br />topography and our land, the maps that existed prior to May 3rd 2018 still remain <br />quote, unquote in effect. For us, there's really kind of two considerations, for <br />many disasters flooding is the destructive impact, right, whether it be homes or <br />infrastructures being washed away, if any of the infrastructures being rebuilt with <br />federal funds than flood basically there's requirements to carry flood insurance <br />but also any reconstruction must mitigate against flood risk based on the, you <br />know, where you fall in or out of the flood maps. For this disaster, was not a <br />flood related one and so we don't need to think about elevating homes, you <br />know, three feet above the base line elevation. <br />Kanealii-Kleinfelder: That's why I asked. <br />Page 10 of 19 <br />