2016-05-19 Leeward Exh B (Amend REZ 1039 and Amend SMA 441)

Home

contribution for the subdivision be paid prior to final subdivision approval. The applicant is requesting to defer payment until each of the lots are sold rather than one payment at final subdivision approval. And those payments would be made through escrow to the County. These are some site photos of the property. This is from Ali‘i Drive looking mauka, and this is along Ali‘i Drive; the image on the left is looking north towards downtown Kailua and the image on the right is looking south towards Keauhou, so the property is located here and here. The Planning Director is recommending that the Commission forward a favorable recommendation to the Council to amend Conditions B and J; that was for the request to, for the time extension to secure subdivision approval and to bond the drainage improvements. But the Director is also recommending an unfavorable recommendation be forwarded for the request to amend Condition V, which was to change the fair share payment. And then for the SMA Permit, the Director recommends approval of the amendment to Conditions 4 and 6. And I just wanted to go into some of the reasons the Director is recommending an unfavorable recommendation for Condition V. We did consult with the Department of Finance to talk about the applicant’s request. And some of the concerns both the Planning Department and Finance Department had was that the request wouldn’t be fair and equitable because it defers the payment to the close of sale for each lot. Currently other developers that have received Change of Zone Ordinances, they have conditions that require that they pay at final subdivision approval; so this would change that, that system of payment. The request would also not be consistent with how the County currently collects fair share payments. If the request is approved, the Planning and Finance Departments would need to administer two systems of fair share payment, which would logistically be difficult and may increase the potential for audit issues because it would be difficult to track which lots have or have not sold. And lastly, the current fair share payment program is the most fair and efficient way for the County to collect these payments. Approval of the request would cost the County more money to administer, but since the fair share payment amount would not increase, there would be no benefit to the County and its taxpayers who staff the positions to monitor and track the system. So with that, that concludes my presentation. Are there any questions? KAHOLO: Thank you. Commissioners, do we have any questions for — CHURCH: Yes. I have a couple of questions over here, Collin. KAHOLO: Okay. CHURCH: I didn’t see it in the recommendation the amount of time between final subdivision approval and the improvements for the drainage. JACKSON: In their application they mention that they would likely install the improvements within six months of receiving a new grading permit. CHURCH: Okay. So is that one of the conditions or? 3 EXHIBIT B