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This is my home for almost 80 years. Matter of fact, this year will be 80 years. And I’ve seen <br />Hawai‘i change like most of you have. Even if you’ve been here only short time, you’ve seen <br />the tremendous changes. From the very beginning I’ve had only one purpose in everything I do <br />in regards to jobs or life, and it’s to try to make Hawai‘i a nice place to live. And I know even <br />that is a simple statement, it’s got to be the most difficult thing because people have different <br />ideas of what is a nice place. <br /> <br />The Governor gave me, asked me to take a job recently, and that is Mauna Kea. Because, I think <br />some of you may know about a huge controversy of Mauna Kea, and it’s tied into what we are <br />talking about here, a place to live. The Mauna Kea issue probably will be the hardest job I’ve <br />ever taken in my life. So I was trying to resolve that problem, situation. Because the situation is <br />this: The people of Hawai‘i, the people of the first nation, is in their preference and by right what <br />to be called, that this is their home, that this is their land, and even this is their government, not <br />the Hawai‘i government but their government. Everything I do relates to that in part, to try to be <br />fair in everything we do. <br /> <br />I know there will be a good group of you that will disagree with what I’m going to say, but I <br />want you to believe this, because it is of truth: From the day I took office, matter of fact, a week <br />before I took office, I met with various people of the cabinet, Mr. Yee being one of them, giving <br />them priorities of what we need to address from the simple things that everyone knows about, the <br />status of the transit system, the status of the wastewater, etcetera, those structural things that we <br />must address and try to address as best as we can. On Mr. Yee’s, the finest department, Public <br />Works, it was this, what we are talking about. The tremendous amount, and this is before I got <br />inaugurated, of people asking us to address what is happening to Hawai‘i, and one of them was <br />the short-term rentals. For those of you who are, you know, in the business of short-term rentals, <br />all I ask for is just try to understand an attitude, and I’m not saying right or wrong. I think there <br />were two issues that was the most, as far as being called upon \[inaudible\] that you have to <br />address, and one of them was in regards to the hiring policies of government, contractor of <br />government, and the second was what is happening to this land and, with that, short-term rentals. <br />For those of you who are old-timers of Hawai‘i, I think you know, I was just explaining to <br />someone what Kona was like just a few years ago. And excuse me for belaboring this, but I <br />think it is important enough. Just a few years ago, if you told anybody in Kona that someday <br />you are going to have a Costco or a Home Depot or the kind of condos or traffic problem you <br />have today, they would ask you what you’ve been drinking. And that’s not that long ago. The <br />east side people would come to Hilo because of the peaceful, tranquil type of fishing village <br />atmosphere in Kailua. Where Ali‘i Drive ended before what we called Kona Lagoon before it <br />was torn down. That’s how old I am – 80 years old this year. This has everything to do in <br />regards to what we are going to discuss today. I don’t expect anyone to change their mind. All <br />I’m asking is understanding of why I’m taking this position. <br /> <br />I called his department in June, and said you must develop to regulate the short-term rentals, you <br />would do it as fairly as you can, it is a fault of government that we allowed it to progress to <br />where it is at that time, a year ago, a little over a year ago, but we must develop policies to <br />regulate it. Hawai‘i Island is the last sanctuary of people being able to live here. Maui, Kaua‘i <br />and O‘ahu openly admits, openly admits, no longer, and I mean no longer, would average <br />income or below moderate income by any measurement be able to afford ever a home to live in <br />19 <br />EXHIBIT B <br /> <br />