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Just for reference, the location of this particular area is within the North Kohala District. More <br />specifically, we are looking along the Mhukona coast. The actual project location is identified <br />with a dot. It is directly across the entrance to the Kohala Ranch Estates. Just to the south would <br />be Kawaihae, and this particular area is located just to the north of that particular location. <br /> <br />This is an aerial photo again kind of identifying the project area. And then again we have the <br />entrance to the Kohala Ranch Estates. This is the General Plan for the particular area. Again, <br />we are identifying the project location with a dot. And youÓll notice that the different colors <br />identify the General Plan designation. For this particular property we are looking at yellow as <br />Low-Density Urban and white as Extensive Agriculture, and those are both located on the <br />property. Along the coastline of the entire coast we have a portion of Open General Plan <br />designation. And with that, if we could pass it on to the appli <br /> <br />WATANABE: Thank you. Mr. Lim and Mr. Mooers, may I swear you in, please? Do <br />you swear or affirm to tell the truth now before the Planning Commission? <br /> <br />LIM: I do. <br /> <br />MOOERS: I do. <br /> <br />WATANABE: And, well, both of you know the drill, so name and address from each of <br />you cause I guess you are going to shift back and forth. <br /> <br />LIM: ThatÓs correct. Steven Lim from Carlsmith at P. O. Box 121, Hilo 96721. <br /> <br />MOOERS: Gregory Mooers, P. O. Box 1101, Kamuela, HawaiÒi 96743. <br /> <br />WATANABE: Okay, thank you. Are you going to begin, Mr. Lim, with the basic <br />chronology? <br /> <br />LIM: Yes, IÓll refresh the people who were involved. I see thereÓre three of the <br />Planning Commission members who sat through many hours of long testimony, and we have two <br />new ones. So welcome to the Kohala LLC continuing saga. <br /> <br />We left off, I think, last with the Planning Commission in November of 2008. And all of this <br />started in approximately mid-2007 with the Planning DirectorÓs attempt to downzone the <br />property. What we had are RS-15 zoning, potential total density of about 110 lots. They <br />received an SMA Permit, No. 379, for 50 single family lots in about 1997, and proceeded along <br />with development efforts. One of the prior owners passed away, so they transferred it over <br />afterwards to Kohala LLC who then proceeded to develop its plans. <br /> <br />And as the members who sat on the Commission previously know, we went through 2007 and <br />2008 in numerous procedural battles in an effort to try to maintain our entitlements. We <br />attempted to negotiate with the Planning Director at that time, but we were not successful. And <br />in the end what happened was the rezoning that was proposed by the Director went forward to <br />the County Council for 5-acre zoning. When it was up at the County Council, Pete Hoffmann <br />changed it to 15-acre zoning. And at that point, I think, the Mayor and the Planning Director felt <br />EXHIBIT B <br />2 <br /> <br />