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GALDONES:Thank you. <br />LIM:Steven Lim from Carlsmith Ball, 121 Waianuenue Avenue. <br />GALDONES:Mr. Lim have you folks received the Background Report and the <br />Recommendations and are there any comments? <br />LIM:We have received both the Background and Recommendation from the <br />Planning Department. We have no comments. I guess procedurally we have 1 initial issue, at a <br />prior Planning Commission matter on an application by Kamehameha Investment Corporation <br />we had Commissioner Springer at that time declare that she had been working with one of the <br />potential master developers for the Keauhou Resort and so she recused herself. Wed like to <br />inform the Planning Commission that at this time, that Developer is no longer working directly <br />withKamehamehaInvestmentCorporationsoweassumethatthereisnoconflictandwedask <br />that you make a finding. <br />GALDONES:Thank you. Commissioners are there any questions of Mr. Lim? <br />Commissioner Springer? <br />SPRINGER:Mr. Chair. Just, Mr. Lims characterization of my previous work and my <br />present circumstances is accurate and I offer those circumstances to my fellow Commissioners <br />for any comment. I dont feel the need to recuse myself at this time. <br />GALDONES:Thank you Commissioner Springer. Any other questions? Commissioner- <br />go ahead. <br />GRAHAM:Just one thing caught my notice reading the material we got. The <br />Department of Water Supply said they didnt have water for this particular parcel but so you <br />folks would have to allocate it from your other properties. And so you put forth and said, yeah <br />we will reallocate. So Im just kind of- well the fishing question. Ourselves as Commissioners, I <br />mean you could always presumably answer that question, that same way at anytime. So, how are <br />we supposed to interpret that or what do you think is due diligence on our part as far as water <br />supply? <br />LIM:At the present time we have been in discussion with the Department of <br />Water Supply for about a year now to develop a water system that would service the mauka <br />portions of Keauhou. And if you look at the map on your right, that you can- the light green on <br />the top of map thats just above that red line which is the SMA line- thats the proceeding thats <br />currently before the State Land Use Commission for a boundary amendment. And, in order to <br />service that portion of the lands were developing a mauka water system cause there are already <br />3 wells that have been dug on Kamehameha Schools lands mauka of this project area. So were <br />in discussion- weve been in discussions and weve- going back and forth on the drafts of an <br />agreement whereby the Department of Water Supply and Kamehameha Investment Corporation <br />would be allocating certain water commitments to certain parcels. We have 1,744 water <br />commitments to be used in the resort so its not a question of do we have enough its just a <br />3 <br />EXHIBIT C <br /> <br />