2011-09-27 Water Board Minutes - Laserfiche WebLink

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going out for bids on the actual implementation of the pump system. Following that, the tank will be constructed. Forest City has lined up financing for the well, so once DWS approves the agreement, Forest City can pull the trigger on getting the contractors in place, he said. Mr. Perry asked about the quality of water found in the well. Mr. Randle said that the water had actually been tested at the time it was drilled. The Manager-Chief Engineer said that it is the typical high-level aquifer in Kona, which is water that is trapped up mauka such as that found in other wells in the area. The water quality is exceptionally good; it is almost like rain water, he said. Mr. Inaba noted that Forest City still needs to complete the State process to get Department of Health (DOH) approvals. Ms. Garson noted that the agreement has language calling for a 25-year term of irrevocability of the units; normally the Board only approves 20-year terms. Mr. Meierdiercks said that is probably because it is a total 20-year build-out on the project. With construction delays, etc. that the developer is anticipating up front, the 25 years should cover it. Ms. Garson confirmed this. (Mr. Steve Lim, the developer’s attorney, spoke away from a microphone, and was inaudible.) Ms. Garson said that Mr. Lim just wanted the Board to know that they had made some changes to the agreement; the version in the Board’s packets was different. Mr. Lim said the changes were only technical or punctuation changes; there were no substantive changes to the agreement. ACTION: Motion carried unanimously by voice vote. (Messrs. Fujimoto, Lim and Knable left the meeting at 10:20 a.m.) AMENDMENT OF WATER FACILITIES AGREEMENT - SEASCAPE DEVELOPMENT, C. LLC: On October 28, 2008, Seascape Development, LLC (“Seascape”) and the Water Board entered into a Water Facilities Agreement for the development, construction, and installation of certain improvements and other water transmission-related facilities in the vicinity of the Water Board’s existing Kalaoa Well. Seascape was to also complete the engineering and design work, and assign the same, as well as obtain all necessary permits in accordance with DWS requirements within one year of the executed Agreement. The deadline of October 28, 2009, was extended to October 28, 2010, by the Water Board at its meeting of September 22, 2009. The Water Board approved a second amendment to the Water Facilities Agreement to extend the submittal deadline to October 28, 2011, at the Water Board’s meeting of October 26, 2010. In both cases, the reason was the challenging economy, which made it impossible for Seascape to proceed on schedule. Seascape is proposing a third amendment to the Water Facilities Agreement to extend such submittal deadline to October 28, 2012. They feel that this new deadline will enable them to meet their obligations in the current economic climate. Page 5 of 29 9-27-11 ~ Water Board Minutes js