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Home My WebLink AboutREP PC 058 2020/10/20 2018-2020 REPORT OF THE COMMITTEE ON PLANNING DATE: October 20, 2020 Re: Comm. No. 1076/Bill No. 199 PLACE: Council Chambers Hilo, Hawai`i TIME: 2:05 p.m. Council Chair and Members Hawai`i County Council Hilo, Hawai`i 96720 Your Committee on Planning, to which was referred Bill No. 199, reports as follows: Bill No.199, introduced by Committee Chair Ashley L. Kierkiewicz by request, is a Planning Director initiated amendment to Chapter 25, Article 1 and Article 5, of the Hawaii County Code 1983 (2016 Edition, as amended), relating to Primary Airports. The Windward and Leeward Planning Commissions both forward favorable recommendations for this amendment which would establish a"Primary Airport" land use within the Limited Industrial and General Industrial Zoning Districts, provide a definition of a Primary Airport, and identify accessory uses. Planning Director Michael Yee and Jeff Darrow, Planning Program Manager, were present in the Hilo Council Chambers. They gave a brief history of Kona Airport's Master Plan under the State Department of Transportation(HDOT) Airport Division to build an airport hotel, conference center, and create a definitive definition of"Primary Airports" including accessory uses. They explained that implementation of the Master Plan had been in the works for years, but zoning issues needed to be addressed in order for the project to move forward. Present in the Kona Council Chambers was Craig Bisgard, Property Manager for the Kona Airport, and Chauncey Wong Yuen, the Hawaii Airports District Manager for HDOT. Mr. Wong Yuen shared the history behind the State's decision to create a Master Plan dating back to 2010 and the obstacles endured to date. He shared that while Kona Airport is aesthetically pleasing, it is operationally dysfunctional as to the actual needs of airlines and travelers, and safe accommodations do not exist for travelers in inclement weather situations or at times when flight schedules are disrupted. He said existing local hotels and resorts are supportive of this plan, as it appeases another market. He noted that hotel construction is the primary goal, ancillary services are secondary and that fixing the Zoning Code is essential to this. Committee Member Karen Eoff pointed out that the airport is currently not in compliance with zoning codes. She shared she does not have a problem with the Master Plan but wanted to address community concerns that a resort would be built on the coastline, which she does not support. She obtained clarification from the Planning Department that a hotel with overnight PC Report No.: 58 PC-58 Page 2 October 20,2020 accommodations, not a resort, was planned per the Master Plan. She asked concerns around this project being too big of an impact on the coastline to be addressed. Mr. Wong Yuen explained HDOT will put forth a Request for Proposals (RFP), which would specify plans for a hotel and not a resort. He explained that airport hotels are meant to be transient stops, not resorts, which do not fit in with the nature of an airport. He shared the project would trigger an SMA (Special Management Area permit) and under HRS 343, an EA (Environmental Assessment) would be required. Ms. Eoff asked for details as to where the Master Plan will be implemented. Mr. Wong Yuen apologized for not having a visual but explained the geographic location of the Master Plan as being inland from the shoreline by approximately a mile, adjacent to where the current rental car companies are located. He stated the Kona Airport is three-quarters of a mile inland from the shoreline but that it does have shoreline property on the northern edge. He said he accompanied DLNR last month to determine how to better secure those parts of the property from trespassers. Ms. Eoff confirmed with Mr. Wong Yuen that the aforementioned location was not a part of the development. Director Yee confirmed that the project would most likely trigger an SMA. He stated Planning declined HDOT's request to waive plan approval allowing for oversight over the design specifics of the project. He ensured the community would have the opportunity to provide input during the SMA process. He also shared this instance was an opportunity to fix the Zoning Code. Committee Member Maile David asked how the community would be notified of the RFP and how the State will engage the community. Mr. Wong Yuen said that as a benefactor of the airport system, FAA (Federal Aviation Administration) is part of the review process, as is the Environmental Planning Office, creating more "checks and balance." He said the public will be invited to review by notice. Committee Member Tim Richards reiterated this not being a new project but that it had been in the works for some time. He appreciated the work to clean up the code, and stated Kona Airport is the second busiest in the State so it made sense to have transient accommodations there. He noted this being an opportunity to redesign tourism. He supports Planning having oversight on the plan. Committee Vice Chair Sue Lee Loy asked if 343 is triggered, if it would be a blanket EIS (Environmental Impact Statement) for the entire parcel. Mr. Wong Yuen said he was not aware of the process outside of having to prepare an EA for hotel development. Mr. Darrow explained that an EIS was already completed with the first Master Plan but was outdated. He further shared that Planning will look at what is covered and more than likely it will require a new and updated EIS. Ms. Lee Loy mentioned that there is a desire for Kona Airport to truly be an international airport and having a hotel airport is part of that. Committee Member Matt Kaneali`i-Kleinfelder asked about other allowable accessory uses that would result by expanding the definition of primary airport. Mr. Darrow explained in fixing the Zoning Code to address airports, Planning took the opportunity to include future uses that may come along, in this case the hotel and conference center. Mr. Kaneali`i-Kleinfelder asked if those PC Report No.: 58 PC-58 Page 3 October 20,2020 accessory uses are allowed by "State Code" which would not be a simple fix by the County because the State overrides the County. Mr. Darrow clarified that in urban districts, the County has home rule. Mr. Kaneali`i-Kleinfelder asked if the Hilo qualifies as a primary airport, and if this code would apply to the Hilo airport as well. Mr. Darrow confirmed, "yes". Mr. Kaneali`i-Kleinfelder asked if a hotel was in the works for the Hilo Airport. Mr. Wong Yuen said there is nothing formal in the works. Ms. David thanked the Planning Department for bringing conformity to the zoning uses at Kona Airport. She noted that the accessory uses must be built on publicly owned lands and asked how much land the airport has. Mr. Wong Yuen said that at 4,000 acres, Kona Airport is the largest airport in the State, but most of the acreage is conservation land. Mr. Kaneali`i-Kleinfelder asked about the size of the Hilo Airport. Mr. Wong Yuen said it is about 1,300 acres, carved out of DHHL (Department of Hawaiian Home Lands). Mr. Kaneali`i- Kleinfelder asked if DHHL lands are considered publicly owned lands. Mr. Wong Yuen said he believes so. Committee Chair Kierkiewicz stated there are a number of existing uses that need to be brought into compliance with the Zoning Code, which is what this bill does. She continued that this is the County's responsibility, and it is playing its role in helping the State implement their Master Plan. The vote was taken on the motion to move this measure to Council with a positive recommendation and passed with eight "ayes" with Committee Member Poindexter absent. Your Committee on Planning is in accord with the purpose and intent of Bill No. 199, and recommends its passage on first reading. jb AYES NOES ABS EX Respectfully submitted, CHUNG X DAVID X C•'1 MITTEE ON PLANNING EOFF X KANEALI`I-KLEINFELDER X KIERKIEWICZ X LEE LOY X POINDEXTER X ASHLEY L. KIERKIEWICZ,CHAIR RICHARDS X PC REPORT NO.: 58 NOV 0 6 2020 VILLEGAS X ADOPTED: