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In response to the Commission€s inquiry, Mr. Yuen said the Commission should still <br />follow the current General Plan as it is still the overall guide and framework that the <br />County operates under. He added that he would not say that any section has any <br />precedence over the other, such as economic development over beauty and historic <br />preservation; and if there is any conflict, it is up to the decision-maker to decide what is <br />the right balance. <br />County Housing Policy Relating to Land Use Approvals  Mr. Yuen said the <br />Administration is proposing to increase the in-lieu fee option to provide affordable <br />housing, noting since 1998 until the last few months the Council has approved all <br />requests for in-lieu fees. He said the way thefee will be calculated will be the difference <br />betweenthe affordable price and what the lot or house is sold for times 20 percent. He <br />referred to inclusionary zoning, which would include a mix of people in a new <br />subdivided area. <br />For Commissioner Springer€s information, Mr. Yuen said the in-lieu fee collected has to <br />be earmarked for affordable housing but it would be under the Council€s control. He said <br />other possible areas that the money could be used for would be homeless shelters or other <br />kinds of government housing programs, noting his concern of the private sector not being <br />able to provide affordable homes to at least one-third of the population. He noted the <br />County last developed affordable housing back in the early nineties but currently have an <br />RFPtostartdevelopmentofaffordablehomeswithinWaikoloaVillage. <br />CommissionerSpringerlaterstatedthathavingœ-acrelotsinanestatesettingarenot <br />satisfying the needs of people who are working at the resort and driving in from Ocean <br />View, or places even further than that. Mr. Yuen said this is where the Housing Policy <br />would come in where if a project is passed in an area such as Kailua-Kona, the applicant <br />is made aware that the County expects and will require a certain level of affordable <br />housing. He pointed out that the only possible way to obtain affordable housing in <br />Kailua-Kona would be with some kind of government subsidy, such as the government <br />providing the land and major infrastructure and the developer provide such things as the <br />interior roadways, electric, and the homes. He noted he is considering asking the State <br />land between Palani Road and Kealakehe Highway be set aside for affordable housing <br />because it is nonceded land and that the County has put some planning money in the <br />latest CIP for a connector road from Palani to Kealakehe Parkway. <br />For Chairman Galdones€ information, Mr. Yuen said that for every rezoning ordinance <br />that would create new residential uses, he will be recommending a condition be imposed <br />that the applicant would have to follow Chapter 11. He added that he felt the County <br />does a good job in monitoring the affordable housing condition. <br />In response to Commissioner Fujikawa€s inquiry, Mr. Yuen said one can fulfill the <br />affordable housing requirement by doing a rental housing project. He added that if a <br />developer does a multi-family rental project, there would probably have to be a rezoning <br />4 <br /> <br />