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As the staff noted, like, you know, the applicant purchased the property in 2011, and over the last <br />two or three years have made some significant improvements on the property. They made some <br />drainage improvements on the west end, or the Kona end, of the property, and so much so that now <br />the CLOMR, or the FEMA map was amended, you know, from a Zone AO to basically expanded <br />the area for Zone X. And as a result of all of these improvements that it made more possible the <br />property to be developed, you know, rather than just having three existing lots, but to use the three <br />existing lots that you see right there, you know, to just kind of like draw straight lines down, right <br />down the road. And so with that, the proposal right now would be to have like a seven-lot <br />subdivision, and the kind of improvements that are anticipated associated with this current <br />application would be essentially with installation of the necessary water meters to service each of <br />the proposed lots, as well as having maybe some minor mauka-makai type of improvements like <br />fencing, you know, to clearly demarcate the properties, you know, from one another. The water has <br />always been an issue in the Puakō area, and fortunately, the applicant has made some tentative <br />arrangements with Mauka Kea Properties; Mauna Kea Properties own considerable amount of <br />unused water in that area and which, the system also services the Puakō area. So we are just kind of <br />waiting for confirmation from the Water Commission in terms of having the water system, the <br />water allocation, transferred from the Mauna Kea System to this particular property. We’ve had <br />several meetings with the staff, the Water Department, and I think it’s noted in the staff’s <br />background report, as well as the memo from the Water Department; I think it clearly indicates that <br />subject to getting, you know, the necessary paperwork done, the transfer will be effectuated. <br /> <br />As far as the wastewater system, what, you know, we understand what the State’s concerns were, <br />you know, so the applicant of its own volition, and also as indicated by the staff’s proposed <br />condition, that rather than a standard septic system, they are going to go in with a higher system <br />that’s called an anaerobic system where the solids are separated. And I do have some handouts later <br />that I’ll pass out, if the Commissioners are interested, which discuss a little bit more in detail this <br />whole concept of an anaerobic system. In conjunction with the original eight-lot SMA application, <br />there were like extensive studies done, and one of the studies done, you know, related to the impact <br />for an eight-lot subdivision relative to wastewater system and irrigation onto the nearshore coastal <br />water, and it was studies done by Dr. Steven Dollar who is a marine biologist, and also Dr. Tom <br />Nance. And so they evaluated it, and their basic conclusion was that, you know, the impact should <br />be minimal. But in spite of that, the applicant, in recognition that he doesn’t want to pollute the bay <br />any more than necessary because it compromises the value of his property in being developed for <br />residential uses, and so they have elected on their own, you know, to go with an anaerobic system. <br /> <br />There was a coastal access plan that was approved in the initial SMA permit, although the initial <br />SMA permit is no longer valid; nevertheless, the applicant did conduct, or implemented the, had an <br />approved public access plan prepared and went ahead and already implemented it. And so as the <br />staff’s presentation showed, you know, you can see a lot of the improvements made, and if you <br />recall, there was a small little like a retaining wall, and that point is really essentially where the <br />40-foot setback line is. And beyond that point would be essentially creating a wide area for the <br />public to use, you know, to get lateral movements along and across the property. <br /> <br />The proposed conditions, I think, was explained quite well by the staff both in terms of the added <br />restrictions, added revisions that we have proposed. And so with that, if there are any questions that <br />the Commissioners may have, you know, we would be more than willing to respond. <br /> <br />5 <br />EXHIBIT A <br /> <br />