REP PC 029 2021/08/18 (2020-2022)

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REPORT OF THE COMMITTEE ON PLANNING DATE: August 18, 2021 Re: Comm. 348/Res. No. 179-21 PLACE: Council Chambers Kailua-Kona, Hawaii TIME: 9:01 a.m. Council Chair and Members Hawaii County Council Hilo, Hawaii 96720 Your Committee on Planning, to which was referred Resolution No. 179-21, reports as follows: Resolution No. 179-21, submitted by Housing Administrator Susan K. Kunz dated July 30, 2021, to authorize the exemption of certain code requirements, pursuant to Section 201H-38 of the Hawaii Revised Statutes, for the Honua`ula Affordable Housing Project in Kailua-Kona, Hawaii, covered by Tax Map Keys: 7-4-004:014 and 092. Honua`ula LLC requests a change of zoning from Agricultural 1-acre to Multiple Family Residential 2,000-square feet and seeks exemption from Hawaii County Code Sections 5-7-1 and 5-7-3 to waive County permit fees to develop 111 affordable rental units for persons whose income is under sixty percent of the Area Median Income. Office of Housing and Community Development Administrator, Susan K. Kunz, was present via Zoom, and provided Your Committee a general overview on Hawaii Revised Statutes 201H-38, a tool intended to spur more affordable housing projects by streamlining the process and keeping development affordable through various County code exemptions. She reiterated that Hawai i Island needs over 13,000 housing units by 2025, and this can help reach that goal. She further explained that Resolution 179 is seeking one waiver for a zoning change, and the second is to waive permitting fees to help keep the project affordable. The applicant, Chief Executive Officer of Honua`ula LLC Carlo Mireles and Public Works Director Ikaika Rodenhurst were present in the Kona Chambers. Planning Director Zendo Kern was present in the Hilo Chambers. Members of the Honua`ula LLC team, Bruce Beard, Chief Operating Officer, and Ron Kim, legal representative, were present via Zoom. Mr. Mireles explained that the development team is focused on providing affordable housing options, and that this project will provide housing options at 60 percent Area Median Income (AMI), with 44 project based vouchers available to people at 30-50 percent AMI. He noted that the project will maintain these levels of affordability for 45 years, surpassing the required 20 years. Committee Chair Ashley Kierkiewicz asked Director Kern and Director Rodenhurst to explain to the Committee the two requested exemptions. Mr. Rodenhurst explained that the Department of Public Works is waiving permitting fees for the project in accordance to the 201H process. PC Report No.: 29