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HomeMy WebLinkAboutMIN FC 2022/02/09 2020-2022 Committee on Finance 27th Session Hawaii County Building 25 Aupuni Street Hilo, Hawaii February 9, 2022 CALL TO The regular meeting of the Committee on Finance was called to order at ORDER: 9:00 a.m., in the Council Chambers, Hilo, by Mr. Matt Kaneali`i- Kleinfelder, Chair. ROLL CALL: Present: Mr. Matt Kaneali`i- Kleinfelder, Chair Ms. Heather L. Kimball, Vice Chair Mr. Aaron S. Y. Chung, Member Ms. Maile Medeiros David, Member Mr. Holeka Goro Inaba, Member Ms. Ashley L. Kierkiewicz, Member(came in later) Ms. Susan L. K. Lee Loy, Member Ms. Rebecca Villegas, Member Absent& Excused: Mr. Herbert M. "Tim" Richards III, Member STATEMENTS The Chair directed the Committee to proceed to the next order of business, FROM THE Statements from the Public on Agenda Items. PUBLIC ON AGENDA ITEMS: The following individuals registered to speak and came forward when called by the Chair: Paul Normann: Bill 111 (Comm. 589), comment. (representing Neighborhood Place of Puna and the Community Alliance Partners) Kristen Alice: Bill 111 (Comm. 589), comment. (representing Hope Services) William Keoni Fox: Res. 307-22 (Comm. 594), comment. (representing Ho`omalu Ka`u) Chris Patulski: Bill 111 (Comm. 589), comment. (representing Habitat for Humanity) FC-27 February 9,2022 Les Estrella: Bill 111 (Comm. 589), comment. (representing Going Home Hawaii) Kai McGuire: Res. 305-22 (Comm. 592), comment. Dr. Hannah Preston-Pita: Bill 111 (Comm. 589), comment. (representing Big Island Substance Abuse Council) CHR KANEALI`I-KLEINFELDER: Mr. Clerk, if we could go to the top of the order. COMMUNI- The Chair directed the Committee to proceed to the next order of business, CATIONS: Communications. Comm. 28.5: SECOND QUARTER REALLOCATION REPORT: OCTOBER—DECEMBER 2021 From Acting Human Resources Director Waylen L. K. Leopoldino, dated January 11, 2022. Vote on Comm. 28.5: Mr. Inaba moved to close file on Comm. 28.5. Filed Seconded by Ms. David and carried the following voice vote: Ayes: Committee Members Chung, David, Inaba, Kierkiewicz, Kimball, Lee Loy, Villegas, and Chair Kaneali`i-Kleinfelder—8. Noes: None. Absent: Committee Member Richards — 1. Excused: None. Comm. 30.20: REPORT OF FUND TRANSFERS AUTHORIZED: DECEMBER 16—31, 2021 From Controller Kay Oshiro, dated January 3, 2022. Vote on Comm. 30.20: Mr. Inaba moved to close file on Comm. 30.20. Filed Seconded by Ms. David and carried the following voice vote: Ayes: Committee Members Chung, David, Inaba, Kierkiewicz, Kimball, Lee Loy, Villegas, and Chair Kaneali`i-Kleinfelder—8. Noes: None. Absent: Committee Member Richards — 1. Excused: None. Page 2 FC-27 February 9,2022 Comm. 30.21: REPORT OF FUND TRANSFERS AUTHORIZED: JANUARY 1 — 15, 2022 From Controller Kay Oshiro, dated January 18, 2022. Motion to Close File: Mr. Inaba moved to close file on Comm. 30.21. Seconded by Ms. David CHR KANEALI`I-KLEINFELDER: Council Members, discussion? I had one question for Ms. Sako. (Note: At this time, Finance Director Deanna Sako came forward to address the members of the Committee. CHR KANEALI`I-KLEINFELDER: Thank you for being here this morning. MS. SAKO: Good morning. CHR KANEALI`I-KLEINFELDER: Good morning, Ms. Sako. Thank you for being here. Question was, for the Corporation Counsel transfer of funds, I was just wondering, because this is the funds were needed for Account .454, Corporation Counsel equipment., "Computer equipment account to purchase computer equipment for laptops acquired through the CARES Act funds." I was trying to wrap my head around that sentence to make sure that we're MS. SAKO: Yeah, maybe it wasn't worded the best way possible. But like docking stations so that they can be used at their desk, as well. CHR KANEALI`I-KLEINFELDER: But this is CARES funding? MS. SAKO: We got the laptops with CARES Act funding, but we didn't get some of the accessories, like the docking stations, so that's what Corporation Counsel was transferring money to acquire. CHR KANEALI`I-KLEINFELDER: Okay, not a CARES Act(Coronavirus Aid, Relief, and Economic Security) fund purchase, but a purchase from ? MS. SAKO: Yeah, so we use County funds to get docking stations and accessories. CHR KANEALI`I-KLEINFELDER: Okay. Thank you for that clarification. Okay, that's all the questions that I have. Seeing no further discussion from the Council, we have the on the floor to close file on Communication 30.21, all in favor? Page 3 FC-27 February 9,2022 Vote on Comm. 30.21: The motion to close file on Comm. 30.21 was carried Filed by the following voice vote: Ayes: Committee Members Chung, David, Inaba, Kierkiewicz, Kimball, Lee Loy, Villegas, and Chair Kaneali`i-Kleinfelder—8. Noes: None. Absent: Committee Member Richards — 1. Excused: None. Comm. 31.28: REPORT OF CHANGE ORDERS AUTHORIZED: DECEMBER 16—31, 2021 From Finance Director Deanna Sako, dated January 4, 2022, transmitting the above report pursuant to Hawaii County Code Section 2-12.3. Motion to Close File: Mr. Inaba moved to close file on Comm. 31.28. Seconded by Ms. David. CHR KANEALI`I-KLEINFELDER: Okay, seeing noneoh, sorry. Ms. Sako„ sorry. Can you come back up,please? (Note: At this time, Finance Director Deanna Sako came forward to address the members of the Committee.) CHR KANEALI`I-KLEINFELDER: I've been looking at IFB (Invitation for Bids) Number 3763, "The furnishings of mixed-metal and white goods recycling services for County of Hawai`i." There's no increase. The original contract date was 2018, and I guess MS. SAKO: All of our price-term agreements are at zero dollars. It means like we may or may not use the contract, but we continue to use it. So the dollar amount remains at zero,just based on the way the contract is worded. We are exercising a six-month extension, so we are probably in the process of bidding out the new services for the coming year. CHR KANEALI`I-KLEINFELDER: Okay. Okay, good. It's a great service for the community. I just had a lot of calls from my district asking how they can get metal and white goods out in their community, and what I can do. So, thank you. MS. SAKO: Yep. CHR KANEALI`I-KLEINFELDER: Okay, no further discussion from the Council. We have a motion on the floor to close file on Communication 31.28, all in favor? Page 4 FC-27 February 9,2022 Vote on Comm. 31.28: The motion to close file on Comm. 31.28 was carried Filed by the following voice vote: Ayes: Committee Members Chung, David, Inaba, Kierkiewicz, Kimball, Lee Loy, Villegas, and Chair Kaneali`i-Kleinfelder—8. Noes: None. Absent: Committee Member Richards — 1. Excused: None. Comm. 31.29: REPORT OF CHANGE ORDERS AUTHORIZED: JANUARY 1 — 15, 2022 From Finance Director Deanna Sako, dated January 18, 2022, transmitting the above report pursuant to Hawaii County Code Section 2-12.3. Motion to Close File: Mr. Inaba moved to close file on Comm. 31.29. Seconded by Ms. David. CHR KANEALI`I-KLEINFELDER: Council Members, discussion? Ms. Kierkiewicz, go ahead. MS. KIERKIEWICZ: Thank you, Chair. Director Sako,just had a question about the Kuleana Health Program, $2 million contract. Is this the federal award that we received when, I believe Deputy at that time, Sulma Gandhi, was going after a federal contract? MS. SAKO: I believe it is, yes. MS. KIERKIEWICZ: Okay,just wanted the clarification. Thank you, Chair. I yield. CHR KANEALI`I-KLEINFELDER: Thank you, Ms. Kierkiewicz. Mr. Inaba. MR. INABA: Director Sako, the second item on this report, can you share a little bit about that please, the Keauohana Rainforest Restoration? MS. SAKO: Yeah, you know, this is one I am not familiar with, but I'll get in touch with R&D (Department of Research and Development) and see what I can find out about it. MR. INABA: Okay, mahalo. MS. SAKO: Yep. MS. KIERKIEWICZ: Chair, if I might? Page 5 FC-27 February 9,2022 CHR KANEALI`I-KLEINFELDER: Ms. Kierkiewicz. MS. KIERKIEWICZ: Mr. Inaba, that's a Contingency Relief Fund that I had provided to that organization, and it seems that they're not able to meet the deadline to spend the funds. So, looks like a just an extension for that. MS. SAKO: Thank you. CHR KANEALI`I-KLEINFELDER: Thank you, Council Members. Ms. Sako—seeing no further discussion from the Council—so the same item pops up here again for furnishing metal and white goods recycling services. Same company, Big Island Scrap Metal, or a different company? MS. SAKO: Different company, so the other one was Businesses Services Hawaii. So this is same type of services, but for Big Island Scrap Metal. So same thing, we're in the process of bidding it out for the coming year. CHR KANEALI`I-KLEINFELDER: So we have two different companies providing the same service? MS. SAKO: Yeah, it could—it's possible that one has each side of the island or something like that. There's lots of timeswe have multiple transfer stations, so it's not always the same vendor for every transfer station. CHR KANEALI`I-KLEINFELDER: Okay. And then the second, the item right below that, the removal and recycling of used vehicle tires, do you know what program consists of, or what they're doing? MS. SAKO: I know they do work with some of the service stations that, you know, acquire the tires, but I'm not sure about personal use. And we can contact DEM (Department of Environmental Management) to get more information. CHR KANEALI`I-KLEINFELDER: Okay. Okay, I will work on that. Thank you. MR. INABA: Chair, I'm sorry. Could I get the floor one more time, please? CHR KANEALI`I-KLEINFELDER: Yeah, of course. Mr. Inaba, go ahead. MR. INABA: I just wanted to touch base on this DEM (Department of Environmental Management) item. It's in regards to the EA (Environmental Assessment) at Pahala, yeah,just at the Pahala Wastewater Treatment Plant. We always get emails about what's going on out there, and I know there's been some activity in the administration in the last few months. So, this is to increase for a Page 6 FC-27 February 9,2022 significant amount. Can you just share a little bit about what's going on,just so the community and the public has an idea about what this is for. MS. SAKO: So we continue to work closely with EPA (Environmental Protection Agency)to get those projects moving. And there's lots of different options that have been arisen, so some of them we do the EA. Requirements are different, especially if we're using federal funds, and I believe this was the case for this contract. MR. INABA: Okay, thank you. CHR KANEALI`I-KLEINFELDER: Thank you, Mr. Inaba. Okay, seeing no further discussion from the Council. Thank you, Ms. Sako, for your clarifications. We have the motion on the floor to close file on Communication 31.29, all in favor? Vote on Comm. 31.29: The motion to close file on Comm. 31.29 was carried Filed by the following voice vote: Ayes: Committee Members Chung, David, Inaba, Kierkiewicz, Kimball, Lee Loy, Villegas, and Chair Kaneali`i-Kleinfelder—8. Noes: None. Absent: Committee Member Richards — 1. Excused: None. CHR KANEALI`I-KLEINFELDER: Communication 84.4, please. Comm. 84.4: SECOND QUARTER REPORT OF PERSONS EMPLOYED UNDER A CONTRACT FOR LESS THAN 90 DAYS: OCTOBER 1 —DECEMBER 31, 2021 From Acting Human Resources Director Waylen L. K. Leopoldino, dated January 3, 2022, transmitting the above report pursuant to Section 2-12.5 of the Hawaii County Code. Vote on Comm. 84.4: Mr. Inaba moved to close file on Comm. 84.4. Filed Seconded by Ms. David and carried the following voice vote: Ayes: Committee Members Chung, David, Inaba, Kierkiewicz, Kimball, Lee Loy, Villegas, and Chair Kaneali`i-Kleinfelder—8. Noes: None. Absent: Committee Member Richards — 1. Excused: None. Page 7 FC-27 February 9,2022 Comm. 460.1: SECOND QUARTER REPORT OF UNCAPITALIZED DONATIONS: OCTOBER—DECEMBER 2021 From Finance Director Deanna Sako, dated January 5, 2022, transmitting the above report pursuant to Resolution 176-21. Vote on Comm. 460.1: Mr. Inaba moved to close file on Comm. 460.1. Filed Seconded by Ms. David and carried the following voice vote: Ayes: Committee Members Chung, David, Inaba, Kierkiewicz, Kimball, Lee Loy, Villegas, and Chair Kaneali`i-Kleinfelder—8. Noes: None. Absent: Committee Member Richards — 1. Excused: None. ORDER OF The Chair directed the Committee to proceed to the next order of business, RESOLUTIONS: Order of Resolutions. Res. 305-22: AWARDS A PUBLIC ACCESS, OPEN SPACE, AND NATURAL RESOURCES PRESERVATION MAINTENANCE FUND STEWARDSHIP GRANT TO NA MAMO O KAWA Approves a grant of$117,577.48 to Na Mamo O Kawa, a 501(c)(3)nonprofit organization, to protect,preserve, and restore the Kawa properties in Ka`u, pursuant to Section 10-16(h) of the Hawaii County Charter. Reference: Comm. 592 Intr. by: Ms. David Motion to Approve: Ms. David moved to recommend adoption of Res. 305-22. Seconded by Ms. Lee Loy. MS. DAVID: Thank you, Chair. Council Members, I believe we will recall that this is one of those applications that was submitted by Parks and Recreation last year in May, and they requested Na Mamo to resubmit or amend their application; and thanks to the nonprofit, they did. And on December 15'', Parks and Recreation issued their positive recommendation for approval of this grant. So this resolution just solidifies that process, and allows Na Mamo to receive their much needed and deserved funding for caring for this beautiful place. And I just wanted to thank Kai McGuire and all of the members of Na Mamo O Kawa for their diligence and hard work for the last, approximately, five years. And I really appreciate what they've been doing, and can't thank them enough. And I ask for your support. Mahalo. Page 8 FC-27 February 9,2022 CHR KANEALI`I-KLEINFELDER: Thank you, Ms. David. Any further discussion? Okay, seeing none. Mahalo, Ms. David. Question, I think maybe for Ms. David, is this the process to move the funding, for a grant stewardship to a particular entity? MS. DAVID: This will grant Na Mamo O Kawa, the nonprofit organization, the grant monies that they requested; and it's been in their amended contract, the amount that they are being awarded now is not necessarily what they requested. But this resolution allows them to receive the funds. CHR KANEALI`I-KLEINFELDER: And the resolution is the appropriate process to do that? MS. DAVID: Yes. CHR KANEALI`I-KLEINFELDER: Thank you. That was my question. Okay, thank you for that. Seeing no further discussion. We have the motion on the floor to forward Resolution 305-22 to the Council with a favorable recommendation, all in favor? Vote on Res. 305-22: The motion to recommend adoption of Res. 305-22 (Approved) was carried by the following voice vote: Ayes: Committee Members Chung, David, Inaba, Kierkiewicz, Kimball, Lee Loy, Villegas, and Chair Kaneali`i-Kleinfelder—8. Noes: None. Absent: Committee Member Richards — 1. Excused: None. Res. 307-22: AWARDS A PUBLIC ACCESS, OPEN SPACE, AND NATURAL RESOURCES PRESERVATION MAINTENANCE FUND STEWARDSHIP GRANT TO HO`OMALU KA`U Approves a grant of$24,275 to Ho`omalu Ka`u, a 501(c)(3)nonprofit organization, to protect,preserve, and restore the Kahua `Olohu Kaunamano properties in Ka`u, pursuant to Section 10-16(h) of the Hawaii County Charter. Reference: Comm. 594 Intr. by: Ms. David Motion to Approve: Ms. David moved to recommend adoption of Res. 307-22. Seconded by Ms. Lee Loy. CHR KANEALI`I-KLEINFELDER: Council Members, discussion? Page 9 FC-27 February 9,2022 MS. DAVID: Thank you, Chair. And this is a similar applicant that went through the similar process of amending their application, and then came back with a positive recommendation from Parks and Recreation in December. And this resolution will allow them to get the much needed funds they need to steward this valuable cultural resource in Ka`u, as well. So mahalo, Keoni Fox, for testifying and for all your hard work and your organization's work on this one, too. I yield. Mahalo. CHR KANEALI`I-KLEINFELDER: Thank you, Ms. David. Seeing no furtheroh, Ms. Lee Loy, go ahead. MS. LEE LOY: Thank you. And I want to thank Ms. David for forwarding both these resolutions. Actually this is just a perfect model on how we use our PONC (Preservation, Open Space, and Natural Resources Commission) fund to purchase. Get the stewardship piece in place, and then actually return it back for `aina-based learning. And this was ten years in the making for the previous Na Mamo property. But to see this being replicated over and over again, and then allowing families and kids to go back and do their makahiki and cultural protocols in these spaces, are just wonderful. And I just, mahalo Ms. David for advancing these resolutions for such wonderful `aina-based learning and some of the cultural intelligence that we want to see infused back into these spaces. So, thank you. Chair, I yield. CHR KANEALI`I-KLEINFELDER: Thank you, Ms. Lee Loy. Okay, seeing no further discussion. Council Members, all in favor of forwarding Resolution 307-22 to Council with a favorable recommendation? Vote on Res. 307-22: The motion to recommend adoption of Res. 307-22 (Approved) was carried by the following voice vote: Ayes: Committee Members Chung, David, Inaba, Kierkiewicz, Kimball, Lee Loy, Villegas, and Chair Kaneali`i-Kleinfelder—8. Noes: None. Absent: Committee Member Richards — 1. Excused: None. Page 10 FC-27 February 9,2022 Res. 309-22: AUTHORIZES THE OFFICE OF THE MAYOR TO ENTER INTO AN AGREEMENT WITH THE UNIVERSITY OF HAWAII Funds in the amount of$25,000 from the Department of Research and Development would be used for the "Expanding Devil Weed Eradication Program to the Puna District"project. Reference: Comm. 602 Intr. by: Mr. Kaneali`i-Kleinfelder(B/R) Motion to Approve: Ms. Inaba moved to recommend adoption of Res. 309-22. Seconded by Ms. Villegas. CHR KANEALII-KLEINFELDER: Council Members, discussion? Okay, seeing none. I did a little bit of research into the devil weed; and just wondering if I have it on my property, I don't think that I do. But I do really think that this funding will do some good for our community. I mean, of course it would, it's funding. But at the same time, this is actually listed as one of the world's worst 100 invasive species, which I didn't know; which is to me pretty significant. And it has an effect on cattle; if they eat too much, they can die. Just a really invasive weed. So according to the BISC, Big Island Invasive Species Committee website, if you have this on your property, they actually will have funding after this is done, in the Puna area to help eliminate this, if it's found on your property. Good funding. Good option for the Puna district, specifically. And look forward to everyone's support on this. Seeing no discussion from the Councilsorry, Ms. Kierkiewicz. MS. KIERKIEWICZ: Thank you, Chair. This is kind of a question for Director Sako, maybe. (Note: At this time, Finance Director Deanna Sako came forward to address the members of the Committee. ) MS. KIERKIEWICZ: We get so many of these Office of the Mayor agreements with the university, specifically withy R&D. You know, I'm on their website. We don't talk about it there. I mean, do you think that we have the wherewithal to maybe be posting the information so that the community can be aware of all the investments we are making into the ag and food system? I'm assuming that's some kind of wrap-up report, an impact report, is required of folks. And so I think just posting that so folks know how really involved we are in these different initiatives. What do you think? Page 11 FC-27 February 9,2022 MS. SAKO: Yeah, I can work with R&D to see if that's something. They have a lot of things they are working on right now. MS. KIERKIEWICZ: I know. MS. SAKO: Especially applying for grants. MS. KIERKIEWICZ: I know. MS. SAKO: But we'll see if they have the capacity to try and get more information on the website. Because I think once they start it and get it on there, then it will be relatively easy to update. MS. KIERKIEWICZ: Right. MS. SAKO: Because you're right, there's a lot of investments in the community on that area. MS. KIERKIEWICZ: I think we can do a better job of doing the humble-brag. I know that year after year Glen Sako comes before us to talk about additional funding for flora and fauna, or dealing with invasive pigs, or Albizia trees, and whatnot, and so I just think if we are able to kind of tell that story, people will really feel good about their taxpayer dollars at work. And just seeing the collaboration between government and education is always a nice thing, as well. I know that they also have a number of VISTAS (Volunteer In Service To America), so maybe we can task a few of them with supporting us in that way. MS. SAKO: Sure. MS. KIERKIEWICZ: Thank you, Director. MS. SAKO: I'll work with them. MS. KIERKIEWICZ: Thank you, Director. Thank you, Chair. I appreciate it. CHR KANEALI`I-KLEINFELDER: Thank you, Ms. Kierkiewicz. Okay, seeing no further discussion. Thank you, Ms. Sako. We have a motion on the floor to forward Resolution 309-22 to the Council with a favorable recommendation. All in favor? Page 12 FC-27 February 9,2022 Vote on Res. 309-22: The motion to recommend adoption of Res. 309-22 (Approved) was carried by the following voice vote: Ayes: Committee Members Chung, David, Inaba, Kierkiewicz, Kimball, Lee Loy, Villegas, and Chair Kaneali`i-Kleinfelder–8. Noes: None. Absent: Committee Member Richards – 1. Excused: None. CHR KANEALI`I-KLEINFELDER: And our last order of business, sir. BILLS FOR The Chair directed the Committee to proceed to the next order of business, ORDINANCES: Bills for Ordinances. Bill 111: AMENDS CHAPTER 19, ARTICLE 11, SECTION 19-90, OF THE HAWAII COUNTY CODE 1983 (2016 EDITION, AS AMENDED), RELATING TO REAL PROPERTY TAXES Allocates 75 percent of real property tax revenue collected annually from Residential Tier Two properties to County-sponsored programs to address homelessness, through June 30, 2027. Reference: Comm. 589 Intr. by: Mr. Chung and Comm. 589.1: From Council Member Aaron S. Y. Chung, dated January 31, 2022, transmitting proposed amendments to Bill 111. Motion to Approve: Mr. Chung moved to recommend passage of Bill 111 on first reading. Seconded by Ms. Lee Loy. CHR KANEALI`I-KLEINFELDER: Mr. Chung, go ahead. MR. CHUNG: Yeah, you know, in our last Committee meeting of December, I asked for a presentation by the administration relating to homelessness. And I really wanted to thank Maile for allowing that to be placed on the agenda because it was a heavy—agendas laden with a lot of presentations, but she made it a point to try and fit it in there, and I really do appreciate that because timing was everything on this. You know, we're heading into the budget, and if something like this was going to be passed, it needed to be done sooner than later in fairness to the administration and others. But anyway, during the course of that presentation, also in attendance—or organized by the administration were members of the Community Alliance Page 13 FC-27 February 9,2022 Partners, many of whom spoke today. And incidentally I never asked one of those guys to testify today. That's not how I roll. But I guess the word went out and they did come out in support of it, and I appreciate it. During the course of that presentation though, there were several things that were gleaned. One, is that they all stated across the board perhaps, I mean I'm hoping that this is not overly optimistic but—that we can end homelessness. The other message was that they had accepted a Housing First model. So a lot of the speakers today had spoken about utilizing programs that work, or best practices, and I think across the board they are in agreement that the Housing First model is of the utmost importance. Third, and I hope you don't mind, I'm reading from all these notes that I jotted down, because so many thoughts in my mind on this. You know, those were things, anyway, that were brought up. And the last point was that there was a lack of funding from the County. Now, whether the County is responsible for addressing homelessness, that begs the question, and that's really a policy question that we're going have to answer today or at some point in the future. Many of the monies that these organizations had been receiving were via grants. This is now, you know, what's been proposed is an effort to provide a source of funding to either augment or lead the way for us to address homelessness issues on our island. You know, before even going further though, I want to say they were talking about best practices today, Housing First model. What I've also contemplated in this, and it's not going to be up to the Council, but I just wanted to state this for the record in case there is some kind of a research done as to what the intent was. I'm thinking it could also be used, not a disproportionate amount of course, but for enforcement, as well, okay. Because now I don't know who represents Kailua-Kona. Is it you, Holeka, or Rebecca? MS. VILLEGAS: Me. MR. CHUNG: Yeah. I mean, I've been down there, and there's a lot of homeless people down in that area, same thing with Downtown Hilo. I would suspect that other smaller towns around the island have that same problem, too. But we need a greater police presence down in those area, okay. And it's not to take hardline on the homeless population, but it at least to ensure the non-homeless population, at least give them a sense of security when they're going in these areas. Now if we've seen throughout the United States, there's an alarming uptick on crimes that are being perpetuated against law-abiding citizens, and many of them Page 14 FC-27 February 9,2022 come from the homeless population. And I'm not trying to pick on them, but these are generally people who have documented histories of mental illness. Now, there's another issue that has to be tied into the whole homelessness picture. Mental illness, you know, we can't address that at the County level. We could maybe provide some funds for it, but ultimately it has to come from the State. And back in the mid-2000's, well maybe early 2000's, there was a substantial cut in mental health funding from the State, and I think I've said it on at least two other occasions. Prior to COVID happening, the State was looking at aggressively reinstating a lot of those fundings. It didn't happen because of COVID. I think, responsibly for us, any lobbying effort that we make henceforth at the State level, has to include a package for increased mental health funding throughout the State, in my opinion. But, that is a crucial piece. So anyway, we came up with this proposal. I don't know how the administration feels about it. Hopefully they will embrace it, right? You know, before going any further, I was to just say that this intended to be a work-in-progress, and I want to get input from both the administration and other Council Members. You know, I set a—what is75 percent? Yeah, 75 percent of the monies—and I'm going to try and explain this better. The difference between what we would have collected had we not had the two-tiered program and what we're collecting with the two-tiered program. That's the intent. The wording might not have been all that great in the first draft, and I take personal responsibility for that. But I kind of looked at the two tiers being a term of art, I could be wrong. So I went back to Legislative Auditor's office, they came up with a draft. We'll see how that works. But if not, I'm all ears. I'm willing to look at an adjustment of the percentage. I'm willing to look at an adjustment of the effective date. Does it have to be this year? I don't know. It's up to you guys, really. But that's what's proposed, 75 percent of that difference. I don't know how much that comes out to. How much did we generate, Deanna, last year? $9 million? Okay, so 75 percent of$9 million. Can I get a little bit more leeway on this? I've got a lot more to say, actually. CHR KANEALI`I-KLEINFELDER: Mr. Chung, I wanted to ask, do youI know you know this better than I do, but the communication, do you want to bring in the communication? MR. CHUNG: Not yet, yeah. CHR KANEALI`I-KLEINFELDER: Okay, thank you. MR. CHUNG: Pretty soon, though. So as all of you know, about a year, or two, or three ago, we passed a two-tiered taxing system, generally affecting a lot—you Page 15 FC-27 February 9,2022 know, some of the more valuable properties on the west side of the island, and we got pushback on many regards. And I also tried to float an ordinance which would have given some kind of self-determination from those affected property owners to donate to nonprofits, which would have infused our nonprofit population with more monies. We got a lukewarm reception at best, so kind of figured just scrap that and go with something else. And this is more aggressive actually, because it directly impacts or affects homelessness. And I just think, from my perspective anyway, it's a sensible use of those monies; you know, taking from people who have second homes here, and very expensive second home, and devoting it to those who really having a hard time finding a place to live. At some point,prior to this hitting the Council floor if it gets that far, I will be taking a cue from Ms. Lee Loy. She introduced and had passed a Fiscal Impact Statement that relates to ordinances. Based on my reading of that ordinance, it has to be done at the request of a Council Member to the Finance Director, and then the Finance Director will thereafter come up with a Fiscal Impact Statement. Because this will have an impact on our finances; and I wanted the Finance Department to really weigh in on this so that we can be fully apprised. Yeah,just fully apprised when we make our decision one way or the other. I also wanted to state that because the Community Alliance Partners and our own administration team said that they can end homelessness, this carries with it a five-year sunset, because it's not my intention nor should it be anyone's intention to create a funding source for an industry relating to addressing homelessness. We want to end homelessness. If after five years they believe that there's progress being made and they want to extend it, then that's fine. But we'll take it up—some other people will take it up at that time. It could be argued by the administration that they are providing funds for homelessness, but just not a devoted pot. I think the beauty of this is that it provides transparency to the public, and it allows people like the Community Alliance Partners to weigh in and work in collaboration with the County in trying to frame useful programs that would allow us to make inroads into this homelessness situation. But I really think it adds-it allows for scrutiny, how those monies are being used. You know, I think that's it. I do have an amendment, but I just wanted to hear people's opinions and thoughts on this matter. Thank you. CHR KANEALI`I-KLEINFELDER: Thank you, Mr. Chung. Council Members? Ms. Lee Loy. Page 16 FC-27 February 9,2022 MS. LEE LOY: Yeah, thank you. Thank you, Chair. Thank you, Mr. Chung, for advancing this bill. Yes, I am in support of this work-in-progress. I would love to see from the Department of Finance what our fiscal forecast would look. One thing that I've learned here on the Council is oftentimes we pass policy and want to do things for community, but we don't have the resources to go with it. And the most valuable lesson that I learned was during lava in Puna, and how we got all that money from the State. And we see Puna being transformed because there is this set aside amount of money that's being focused and guided in a very systematic way, driven by community. Another great example is our PONC (Public Access, Open Space, and Natural Resources Preservation Commission) fund, and the minute we moved in that maintenance piece, we began to steward those properties. And I see this as an exact similar playbook. We dedicate some money. Hold everybody accountable. You have an organization with the Alliance Partners, who are boots on the ground. And for members of the GIA (Grant-In-Aid), we see them come to us for funds, for drug abuse, homelessness, all of it. We see the underbelly of community through these GIA programs. I'm in support of this. I also do think we need to maybe refine it for the pieces that Mr. Chung has mentioned, not only dedicate it to Housing First model, but enforcement. Because it's hard to do sit-lie bans if we don't have spaces for them to go, whether it is mental health services or housing pieces. I really am excited where this is going. I would love to see some refinement around the 75 percent and have it be a little bit more focused. Also on the backend, because there is a sunset piece, we need to make sure that a lot of people who end up coming in to using these funds are prepared to end homelessness or lobby the Legislature to get those monies back through mental health services so that if this resource ends up going away or dwindling down, that we're not stuck five years from now with programs that just go away. So that's my feedback, Mr. Chung. But I think this—we have to start with resources to address these big problems in community. Chair, I yield. CHR KANEALI`I-KLEINFELDER: Thank you, Ms. Lee Loy. Okay, Mr. Chung. MR. CHUNG: Yeah, thank you. You know, I didn't want to really specify what these uses would be, because I think you know, if we learned anything from the Kim administration, it was wise of them to say that before we can take any actions against people who are not complying with the law, we've got to provide them places to live. So that's the first thing we're going to have to do, no question. But I just wanted to state that for the record so that if they wanted to use it—the Page 17 FC-27 February 9,2022 administration wanted to use some monies, and again not a disproportionate amount, but for stepped-up enforcement or police presence, it would not be against the spirit of the law, and that's all. But I really wanted to leave it up to the administration to do things. And they could probably provide quarterly reports as to how the monies are being used so that the Council Members would know. But, you know, I'm just looking at collaboration between Community Alliance Partners' enforcement and the County administration. Now, I wanted to say one more thing before someone else speaks. This is merely intended to be a funding source. So there might be other members of the Council who have other ideas as to how things should be used, and that's fine. And this could all be melded together, okay. This is a work-in-progress, but we've got to still move this thing ahead as soon as we can with other ideas integrated within it. So, that's all I wanted to say. This is merely a funding source. Thank you. CHR KANEALI`I-KLEINFELDER: Thank you, Mr. Chung. Ms. Kierkiewicz. MS. KIERKIEWICZ: Mahalo nui, Chair. Director Sako, you've been awfully quiet. I would love to kind of hear your thoughts on this legislation. And mahalo nui, Council Member Chung, for putting this forward. (Note: At this time, Finance Director Deanna Sako came forward to address the members of the Committee.) MS. SAKO: Just so you guys know, we do have Lisa Miura, our Real Property Tax Administrator in the Kona chambers, and I believe Administrator Kunz is on Zoom. So in terms of addressing the homelessness, that's really her area of expertise. I just wanted to clarify, Mr. Chung, you have not asked me to do the Fiscal Impact Statement yet, correct? Okay, thank you. MR. CHUNG: It has to be in writing, yeah? MS. SAKO: Yeah. Yeah, I thought I missed something. Yeah, yeah, okay. MR. CHUNG: Prior to the first reading, I think, or something like that. MS. SAKO: Okay. But yes, we can work on that. So in general, what Mr. Chung said is correct. That when we were preparing the current year budget, it was roughly $9 million. I don't have the exact figures. So 75 percent of that would be roughly $7 million, so we can talk in those terms. We're still setting values for the coming year. We're still setting values for the coming year. We're Page 18 FC-27 February 9,2022 still preparing the budget for the coming year. But that would be the number that roughly we would be referring to. MS. KIERKIEWICZ: Now, Council Member Chung, I don't mean to put you on the spot, but I have made it known in community and by this body that I have been working with Housing on the Housing Fund, and there has been support signaled by the administration to making that happen. Would you be open to friendly amendments to this legislation, Council Member Chung, to include Housing because there is a nexus between Housing and homelessness? I'll give you a moment to think. Director Sako, is this something that you folks are willing to entertain? I know you that you have reservations around your earmarking funds for specific purposes, but I don't think anybody is going to disagree that there is a need to support housing production for local families, specifically those within the ALICE(Asset Limited, Income Constrained, Employed)population. MS. SAKO: Yeah, I don't think—I think we all understand the need. Yes, I just don't earmarking. One of the things that makes it more palatable is the sunset date, because there's like mission to accomplish. But the need for housing is probably going to continue on after that, as well. But I think if we don't building housing, then where would these people go to? So I think it's all related in my mind, but I'm not sure. You know, we'll leave it up to Mr. Chung what his initial intentions were. I did hear like things like enforcement, as well. That, you know, I didn't think to ask the Police Chief his opinion or anything like that. But obviously we would want to work together to do what's best for our communities. MS. KIERKIEWICZ: And I'm with Council Member Chung in wanting to keep the language within the ordinance more broad. MS. SAKO: Yes. MS. KIERKIEWICZ: Which is where we have departmental or rules that really articulate how those funds would be spent, what the procedures are to get money into the community, and also report back to this body so that we can see the return on investment. Administrator Kunz, if you can hear me, I'm assuming you've been watching this bill. And because your office is constantly in touch with folks in the community that are working to address homeless and housing issues, have you been able to connect with any of those folks to understand what the need looks like? What are the gaps in services that this fund could potentially serve, and is there a ballpark figure that folks are looking for? Page 19 FC-27 February 9,2022 (Note: At this time, Housing Administrator Susan Kunz came forward to address the members of the Committee.) MS. KUNZ: Thank you so much for the opportunity to share what I understand and what I know of homelessness and the needs that we have. You know, I can tell you that it is true the County does not have a designated significant pot of funding, right, to fund homeless activities. I should let you know though that the Department of Housing and Urban Development does have a designated small pot of funding that comes through annually, and it's through the Emergency Shelter grant programs. The State gets approximately $1.1 million a year. The bulk of it, about$700,000 goes directly to the City and County of Honolulu, and about$400,000 a year is competitively applied for by our service providers, for Hawaii County, Kauai County, and Maui County. So we share, right, the $400,000, and we apply for that competitively. It's not enough. The County does have funding for some staff work to do coordination services, and some shelter repair-type funds, but nothing in a way to support the needed services that you've all heard about. You know, I think that the group did a really good job in sharing the type of services that are needed and that would benefit from this type of funding, and I think that's what we would focus on. But I do want to make sure you understand, and I think I heard that shared at the meeting in December as well, although all these services are necessary, the only way to end homelessness is to house people, right? So, I think that is critical. We understand that portions of this fund should be designated, perhaps to maybe permitted supported housing development, affordable housing development. I hope that answered your question. MS. KIERKIEWICZ: I didn't hear a dollar figure. Your conversations with folks, how much are they looking to spend? Because according to Director Sako we yielded about$9 million after passing this ordinance; 75 percent is just roughly $7 million. And so are you getting word from folks that work in the arena that$7 million is not enough? Is that too much? Again, if we're looking I'm looking anyway, to put forward an amendment that would include housing as another effort to fund. I just want to make sure that we have enough to cover both of these things. MS. KUNZ: Yeah. If we were going to include housing development in this fund, I don't know that it would be enough. You know, the funding gap for housing development is pretty significant. But if we were looking at trying to create programs that include law enforcement, program services and housing, we could probably use—or I would feel comfortable kicking off program services programs, maybe $3 to $4 million. Is that what you're meaning? Page 20 FC-27 February 9,2022 MS. KIERKIEWICZ: Yeah, so $3 to $4 million for homeless services is what you're looking at? MS. KUNZ: Maybe to start, right? MS. KIERKIEWICZ: To start. MS. KUNZ: To work with the community and gear up. See how we're doing after the first year. I think flexibility that we talked about is going to be really key. But if we included housing in this fund, we would definitely be able to spend this money. MS. KIERKIEWICZ: Okay, thank you, Administrator. And so, Director,just want to clarify, if we set aside the 75 percent, that's roughly $7 million. Nothing precludes the administration from adding other sources of funding into this fund should it be adopted by this body. We could put more money into it if we feel that we are seeing success from the efforts? MS. SAKO: Can I clarify? I saw nothing in the current bill talking about a fund. MS. KIERKIEWICZ: Right, I was talking about— MS. boutMS. SAKO: Yes. MS. KIERKIEWICZ: Yes. There would need to be a program created to administer this work. MS. SAKO: Yeah. So one of the things is that—you know, we have talked in previous conversations with the Council about like an affordable housing fund or that type of thing, which makes sense if we're going to maybe issue grants, or do development, and things like that. But on some of the things like the enforcement, which I assume was Police, but maybe you're thinking outside contract services, I'm not sure, those type of things would better budgeted in the General Fund or wherever the services are going to be provided from our County departments. So I guess just reading the bill, if it were to pass in its current form, I was hearing that the 75 percent of whatever it is in any given year would be budgeted for homelessness; and the portion maybe related to law enforcement would be maybe in the Police budget. And then there could end up being a transfer to an affordable housing fund or other fund, as needed. MS. KIERKIEWICZ: Okay. Page 21 FC-27 February 9,2022 MS. SAKO: But yeah, I guess I was thinking that a lot of the granting to like the nonprofits would be either in the Housing Fund or the General Fund, much like how we treat CDBG (Community Development Block Grant and HOME(Home Investment Partnership Program). MS. KIERKIEWICZ: Right, it would have to be a grant. We couldn't have these nonprofits as a line item in our budget, correct? MS. SAKO: Yeah, right. MS. KIERKIEWICZ: Okay. But would you supportive of an amendment to this bill that included the word"housing?" MS. SAKO: Yes. MS. KIERKIEWICZ: Okay. MS. SAKO: Yes. Yeah, based on what Susan said. MS. KIERKIEWICZ: Okay. I'm out of questions for now. Thank you, Chair. CHR KANEALI`I-KLEINFELDER: Thank you, Ms. Kierkiewicz. Ms. Villegas, go ahead. MS. VILLEGAS: Okay. You know, we were here late last night talking with Waikoloa Land, and one of the things that came up in that conversation was their contribution of 300 acres for affordable housing up in the Waikoloa area, and it was my understand that hasn't been built, like a lot of the homes haven't been built so the land is there. And in numerous conversations thank you, Mr. Chung for bringing this forward. Your district and my district definitely have some of the most intensive issues with homelessness. But I'm seeing a pattern of—or it's historical that different developers have given money for affordable housing projects, so then we have the land, but nobody has come to build the houses yet, and we have struggled as a County to be able to afford to build those houses. This has been kind of coming together in my head, I mean we have this there's 300 acres out there, and not all of it has been built yet. And the distinct needs. And $7 million, you know, approximately $7 million a year is a lot of money. That's potential for a lot of homes, a lot of health services. I recognize there are issues of homelessness and those that are houseless, and yet there are vagrants, as well. So there's such diversity in the population of people that find themselves without shelter. Like Mr. Chung said, mental health and addiction issues become all intwined in that. I guess my question to you, Deanna Page 22 FC-27 February 9,2022 is, is this practical? Like, can we afford to take this? I mean, one of the reasons, nobody likes to raise taxes, right? It was really hard thing for us to sit here and make those decisions, but we were facing a budget shortfall. And my question is, are we still in that budget shortfall? Can we logistically do this? I also want to acknowledge the conversations from those that work within this field, the expense of homelessness. So thisI mean this is actually probably would save us money in the long-run when you consider all of the other expenses aligned with the healthcare and what it costs for people not having shelter. MS. SAKO: So I think I hear what you're saying. And in the current year's budget, it would have been difficult to carve out the 75 percent. But as we all know property values have been rising in the current year. So while don't have figures yet, we are expecting those to increase. So we're still working on the budget, but we would do our best to ensure this funding was available and set aside. It's probably more doable for the coming year than it was for this year. MS. VILLEGAS: Which brings up the long awaited and very much anticipated Kukuiola, and that facility. Funds like this could be utilized for something like that. Do we still have the funds waiting on Kukuiola? MS. SAKO: I think we have appropriations waiting for Kukuiola. I think we are trying to get multiple different funding sources for that project, including the infrastructure bills coming down, and trying to get funding for that project as well as others, I think. So as it's worded right now, I guess I would go to Mr. Chung, but I would think that homeless type shelters would fall under homelessness, yes. MS. VILLEGAS: That division? MS. SAKO: Yes. MS. VILLEGAS: Yeah. So I really appreciate this conversation, this piece of legislation, and an opportunity to assign funding for something that is one of theI know, for me, in District 7 it's one of the top issues that weI constantlyI'm talking to constituents about. And so thank you for this. And I look forward to the continued MS. SAKO: This is like the second half to your question. MS. VILLEGAS: Okay. MS. SAKO: You know, about the coming year, yes it probably would be doable. But just because I never can bring good news, I always have to remember the other side of things. So we are on about like 10 straight years of property Page 23 FC-27 February 9,2022 increases, because they really took a hit in the great recession, but they have slowly been increasing back up to where we are today. MS. VILLEGAS: They're ridiculous right now, actually. MS. SAKO: Yes. Yes, I'm glad you said it that way. You know, this is probably one of the longest upstreams and upticks we've had. MS. VILLEGAS: Yeah. The bubbles. MS. SAKO: And what goes up must come down at some point. So just to keep that in mind when talking about this, as well. MS. VILLEGAS: Fantastic. Thank you. Susan, you've got your little hand up on the Zoom screen. MS. KUNZ: I do, thank you. I wanted to take the opportunity to update you about Kamakoa Nui. So Kamakoa Nui is a County property, the 300 acres that you were referring to. I'm actually super excited about this property. We actually have already built 91 single-family homes at the site, and all of them are sold. When we came into office in December, in January we actually issued an RFP (Request for Proposals), for about nine acres of that property. We had about four applicants. We wanted to do a multi-family rental project. So we did select Hawaii Pacific Housing out of Honolulu, who will be doing a 140 multi-family rental units, 30 percent to 140 percent. They're moving along really fast, but you know that these developments take time. What I'm hearing right now is we're looking to break down and see some homes actually on the market by the end of 2024. So, they're moving along really nicely. I also want to report that the Housing office has entered into an agreement with a consultant. There was originally a master development plan for Kamakoa Nui, which was completed about 15 years ago, and it includes a mix of multi-family, single-family homes, town homes; but because quite a bit has changed in the last 15 years, we wanted to revisit the master plan, so we're in the middle of that right now. I'm thinking that by the end of summer or fall we should have something in place, and it is my intention at that time to go out with more RFPs to hire developers to start developing the remaining part of that 300 acres, so we're moving along really nicely on that. And I totally agree with you, we can't let that sit. MS. VILLEGAS: Fantastic. MS. KUNZ: Yeah. Yes. Page 24 FC-27 February 9,2022 MS. VILLEGAS: Thank you for sharing that great news. And so do you see alignment then with funding allocations like this in supporting those kinds of projects? MS. KUNZ: Well, definitely. You spoke about Kukuiola, as well. You know, that's a big project, and it's moving along very well. We're very close to getting the grading permit on that. The State has already awarded $4 million for the grading and the road. The County has put in about$2 million so far to complete the grading, mass grading of the property. You know, construction funds, I'm still going after. It's not fully secured yet, but there are several opportunities that I'm hoping for. We've put in applications and things like that. But this pot of money could definitely support the work that they're doing for Kukuiola, not just the construction of the site but it could also go towards program services. So, that's super exciting. MS. VILLEGAS: Thank you so much for the good news. Deanna always has to balance hers with the no-nos. But thank you for that. That's really exciting to hear that synchronicity. MS. KUNZ: You're welcome. Thank you. MS. VILLEGAS: And thank you again, Mr. Chung, for bringing this forward. I yield. CHR KANEALI`I-KLEINFELDER: Thank you, Ms. Villegas. Ms. Kimball. MS. KIMBALL: Thank you, Chair. And yes, Council Member Chung, for bringing this forward so we could have the discussion. I'm thinking that I would also like to see this go to a more specific function. And this is kind of a question for Deanna, and Administrator Kunz, and even Council Member Kierkiewicz. You know, we have the Revolving Fund for Housing, and my question is—and I want to have this conversation a little bit about the need to set up a separate Housing fund, or just the ability to use that Revolving Fund and maybe define it's usage a little differently. Is there a reason that we would need a different fund for affordable housing specifically? MS. SAKO: There are options, and it depends how closely the purpose aligns with the current purpose in the County Code, and like if that initial purpose would be continued or not. So yesI mean, someone like Corp. Counsel or somebody you know, it would depend on the purpose that was intended. So if we start getting into things like services, it doesn't really match up with the Revolving Fund, which would be more for building future affordable housing. So yes, it kind of depends. Yeah, Page 25 FC-27 February 9,2022 MS. KIMBALL: So the Revolving Fund has a limitation on it. That it be only for construction? MS. SAKO: No. I'm saying I don't have the wording in front of me. But it's really for—you know, it's to develop housing to buildI mean, it's to lead things down that purpose. MS. KIMBALL: Right. MS. SAKO: I'm not saying specific functions. You know, versus when we're talking services or things like that, we do already have mechanisms that we could just make a section of the General Fund, you know, to put the money in. That would be easier to see how the whole $7 million is spent, rather than putting some in Police and some in others. But, there's ways to track it. MS. KIMBALL: Yeah, so the specifications for the Revolving Fund, they're in 2-74 and 2-75, and it's pretty general right now. So this is maybe a Corp. Counsel question. I don't know. But if there were a companion measure that actually brought in the usage of that Revolving Fund, is that a potential avenue for us to target these funds to go into that Revolving Fund, and then to be used for some of these other types of services? That's if you have a response to that, or some guidance? (Note: At this time, Corporation Counsel Elizabeth Strance came forward to address the members of the Committee.) MS. STRANCE: Good morning. Elizabeth Strance, Corporation Counsel. So the answer to your question is it depends. The County Charter is specific around the creation of special funds, and their creation and abolishment need to come via Mayoral recommendation. And so if aso the Mayor can recommend and abolish to the Council. So this probably be something that I would recommend that you work with the administration on to determine whether there is consensus about whether something falls within the parameters of the special fund. Our interpretation of Council Member Chung's bill is it's not the creation of a special fund. It's a direction on how to use the General Fund. And so from that standpoint, you know, it gives you—it's a statement of policy and directive to the administration to carry out. And a special fund is a little bit different in nature and specificity, and so it is that blending of executive and legislative authority, which is why it requires the recommendation of the Mayor. So I think depending on what you have in mind, we could look at whether it falls within the specific language, and then we would need to research whether those funds—interpretation of how those funds are used, or strictly construed or broadly Page 26 FC-27 February 9,2022 construe. If they're strictly, then you have to connect the dots. And so part of certain funds require you know, are tied to certain projects and then they go back into certain projects, and so I think this is one of those areas where it would be very helpful to collaborate. I know we've been asked in some cases to opine on the creation of a special fund, and it's you need to get Mayoral recommendation for it. And so once it starts to lead out past that original parameters, then the Mayor needs to get back involved, as to whether or not he would recommend that use. MS. KIMBALL: And so just to clarify, if we're talking about—this Revolving Fund is considered a special fund, yes? Okay. Just maybe it's a question, but just to clarify. So creation of abolition, we need the Mayor's consent. Modification, you're saying also would be something we would need the Mayor to weigh in on. MS. STRANCE: I think so because it changes the nature of the special fund. That's why I'm suggesting some collaboration about what the purpose is, and either a statement that it conforms with the existing purpose, or no it does not; and if it does not, thumbs up or thumbs down on whether or not he would support that. MS. KIMBALL: Okay, thank you for that clarification. And I'd like a little bit of an opportunity to talk to Deanna and the Mayor about some ideas about how that wording could be potentially rephrased. Because I think there's two different things: there's the construction of housing to house currently homeless individuals, and then there are funds that prevent people from becoming houseless, which is—there are two sides of addressing the homeless problem; you want to get the folks off the streets, but you also want to prevent new people. And oftentimesHawaii Appleseed five years or so ago did a project, where they just gave people $500 if they were in a situation where they might lose their home, and over 80 percent were able to stay in their home and not become houseless, which is a minimal investment. So, I think that's another usage. I particularly support a Housing First approach and would like to seeI do think that this is a reasonable usage. We're tying second home funding source of revenue with a particular problem that is related to housing, that we want to address, so that the tie makes sense to me. I think it's an appropriate amount of funds. I think the time limit makes sense in order to you know, we're saying we're achieving the goal, we're not just creating a program that goes on, and on, and on. But, I would actually prefer to just see this all go to housing. There are numerous studies across the country, internationally. That you just put people in housing, and a lot of these other issues are addressed. And if we still need, after we provide this housing enforcement or for whatever, I think that comes out of the General Fund. I think that comes out of the Police budget. Page 27 FC-27 February 9,2022 My feedback on this at this point is I would like to see these funds directed to a particular place so that there's some accountability in tracking as to how it's used. And then also just all for housing. Thank you. I yield, Chair. CHR KANEALI`I-KLEINFELDER: Thank you, Ms. Kimball. Mr. Inaba, go ahead. MR. INABA: Council Member Chung, thanks for bringing this forward, and I think it falls in line with a lot of the conversation we're always having around, perhaps not as much homelessness but more so affordable housing, and making sure people have a place to live. You know, I know there's the perspective for not earmarking funds, but at what point will we not shove everything into the General Fund, and not guarantee allocation to make sure that these efforts are supported? Supportive of this bill I think like some of the others on the Council, being more specific as to a budget line item or a fund is what's necessary because it's aI don't think it's clear enough, and I don't think it would be responsible to approve as is with just County-sponsored programs. That could go a bunch of ways. But definitelyI think I have a question for you, Deanna. In terms of that Revolving Fund that was brought up, educate me. I see that we have those Part B, C, D, and E of the budget, and those are specific funds, but there are special funds within Part A, is that right, in the General Fund? MS. SAKO: So in the General Fund, we do have certain—it's like any department, how we break it out, between maybe Salary and Wages, and OCE (Other Current Expenses) and equipment. We can also make a designation for affordable housing, or whatever the wording in the bill was—not affordable housing, but homelessness—with the amount, and then designate how that would be spent, which might be more palatable then having some go to Police and some go to housing, because you could see the total amount and how it was being appropriated and spent. MR. INABA: Okay, got that. And then but in terms of the existing Revolving Fund for affordable housing, or within the Office of Housing and Community Development, that's considered a special fund because it's not a standalone part in our budget? MS. SAKO: It's an unbudgeted fund, correct. So it's spelled out in the Code how to utilize that fund. So it's not necessarily-it doesn't have an annual budget so to speak. So our department along with Housing tracks the various contributions into the fund that the developers are required to make, and then we rely on Housing to appropriate and spend the funds as necessary. And they do have to come before Council to appropriate those funds. Page 28 FC-27 February 9,2022 MR. INABA: And that Revolving Fund, although within OHCD's (Office of Housing and Community Development)budget, is considered a special fund? MS. SAKO: It is a special fund, yes. MR. INABA: As determined or as defined by the Charter? MS. SAKO: The Charter. MR. INABA: Okay. Can we have examples, perhaps of other funds that are like that? Because I was under the false impression, perhaps that special funds are Part B, C, and D, you know, those separate budget ones. And what else is like that? MS. SAKO: So PONC (Public Access, Open Spaces, and Natural Resource Preservation Commission) is another example. MR. INABA: Okay. MS. SAKO: So the PONC and PONC Maintenance Fund. So funding is mandated in the County Code, where how they get it in there, which is by a percentage of Real Property Tax, so we have that transferred to PONC. And then the spending of that is done by resolutions that come before the Council in terms of properties to purchase, or as we saw earlier this morning, the stewardship grants. So that would be the Council's directions to the administration on how to spend the funding. But we may—for whatever reason that was determined back many years ago, there's not an annual budget because at the beginning of the year we may not know which parcels are going to happen. But there's processes spelled out in the County Code of how that does happen. MR. INABA: Okay. And then, Corporation Counsel, sorry, I think maybe a more clear answer. Because I like the idea of using what we have, I mean in respect to knowing exactly how the $7 million is spent. If there's separate line item, I understand that. But we need,per the County Charter and the rules of the special fund, amendments to how this specific fund, the Revolving Fund, is used, would require approval of the Mayor or recommendation by the Mayor, because I know you're saying creation of the fund and abolishing of a fund requires Mayor's recommendation and our action. Does tweaks to it require initiation by the Mayor's Office? MS. STRANCE: I'm not sure that I'm saying "tweaks"to something will require. I think we would need to look at what you are specifically thinking about, about whether it already falls within the definition of the special fund. So I get a little nervous. Like Mr. Fuke was saying yesterday, "I'm not a numbers or an Page 29 FC-27 February 9,2022 accounting person." But part of this has to do with the County Council's approval of annual budgets, and you approve budgets with line items. And then throughout the year, you know, if a department wants to change how they spend a line item, they have to come to County Council for a resolution approving that. And so the bill, as I understand it from Council Member Chung, it would be setting up those line items, and then holding the administration responsible for accounting for that each year as part of the annual budgeting process. What the Special Fund does, is before any money comes into it, you are telling you are stating how it's going to be spent regardless of budgeted amount; and because the expenditure of funds generally falls within an executive function, the creation of a Special Fund requires Mayoral recommendation. So the short answer to your question is, without knowing what you're specifically thinking about, I'm not able to make an assessment because something might be completely off definition and something may already fall within a definition as it's currently used and understood. But I would need to have some level of specificity to assess that. MR. INABA: Okay, so depending on what it is—let's boil the answer down. Depending on what it is and what kind of amendments somebody might propose on the use of the special fund is whether it would need the Mayor's review and initiation or not. MR. CHUNG: Yeah, Mr. Chairman? CHR KANEALI`I-KLEINFELDER: Mr. Chung. MR. CHUNG: With all due respect to Mr. Inaba as well as Ms. Kimball—and I've been kind of listening and trying to absorb everything but the talk about a fund is totally out of order on this matter. This is a funding source. That's all it is. We can discuss creations of funds later on for the use of these monies. But we're getting off track already in my opinion, and we're devoting a lot of time just overthinking this matter. If you guys want to change the scope of this funding source, whatever. But there are other things that have to happen after this, and we're devoting too much energy to things that aren't really on topic, you know. I've just been listening, but it's kind of going too far already. CHR KANEALI`I-KLEINFELDER: I appreciate that. I'm also—and what I'm feeling is the Council Members right now are kind of feeling out how this will lay out, how this works; and if the discussion is needed, and it's going to happen here, then I'm willing to hear the conversation. But,point taken, you know, try and keep it within the realms of the bill. But I do think it's important to ask the questions that you need to understand how the overall process would, could, and should work, for you. So go ahead, Mr. Inaba. Page 30 FC-27 February 9,2022 MR. INABA: Yeah, thank you. Hear you, Mr. Chung, and support the source and the intention of this. I need to know more on the backend, maybe we can have conversations. I can have conversations offline with Corporation Counsel and Finance about this. Because the backend use, I think, needs to be known for me to approve this front move on the sourcing. Yes, I agree on the sourcing, but when we're agreeing to take money from you know, earmark money ahead of time not exactly knowing how it's spent, that doesn't make sense to me. So with that, that's all the questions I have right now. So I'll circle back with you, Corporation Counsel, on the fund discussion. Thanks, Chair. CHR KANEALI`I-KLEINFELDER: Thank you, Mr. Inaba. Ms. David, go ahead. MS. DAVID: Yes, really quick. And I want to thank the broad discussion that we were having because some of the questions that I was going to ask have already been asked and answered. So what I'm looking at right now is what's before us, whether we are going to move forward with this idea of taking a certain percentage of income from the two-tier process, and that idea I like because the homelessness issuesI mean, we can stay here for hours because there are so many different facets to homelessness, right? Affordable housing, everything. Now, I support this idea that we've got to do something about homelessness, and to me when you say "homelessness," it's specific to the things that Ms. Villegas speaks of, that we see every day. We see along the streets. We see—and those includes people that don't even want a home, you know. They just like what they're doing, and they will not go to a home. So this homeless shelter, or this yeah, to address homelessness I think, in my mind, the people that are on the verge of becoming homeless, that is something the special fund with Housing takes care of, no? So, I'm trying to separate it in my mind, that I really agree that the homeless issue here and throughout the island for that matter needs to be addressed. Whether they be put in a facility, whether we use these funds to build a facility so that they can receive the necessary medical attention or psychological attention, then fine. I think addresses a real big problem with homelessness, because those are the ones that we cannot get off the street. And so, Mr. Chung, I support this idea of addressing homelessness, as we need to do something. I like the sunset date. Because if we can't address it within five years and this bubble bursts, then at least we've done—tried to do something. I appreciate the Housing. Ms. Kunz, what you folks are doing. I mean it's Page 31 FC-27 February 9,2022 awesome, because you folks protect the people that fall between the cracks and we don't want them to become homeless, so I see in my mind that's where you step in. And so many different organizations, not to mention our nonprofits, okay. Years, we've gone through this nonprofit process. They don't even have enough money, but they are expending all of their time and efforts in trying to address these problems. And so I think, Mr. Chung, your intention is honorable. And I really believe that we need to flesh out some of the details by working with the department if this is going to go. But I thinkI visualize this as some sort of a hope in trying to start to address this problem, and not only in an enforcement manner because that stresses our judiciary system as well, and it doesn't really solve the problem. Anyway, that's my comments. I think this is a lot to take in for today. But I think the concept, I support it. Thank you, Mr. Chung. And I guess we can talk about details down the road. I yield. Thank you, Chair. CHR KANEALI`I-KLEINFELDER: Thank you, Ms. David. I don't see any lights. You know, I have a few comments. Mr. Chung, what are your thoughts for today, and where would you like to take this bill? MR. CHUNG: I want it to pass. There may be more discussion, then maybe we should just recess. MS. KIMBALL: Chair, if I may? We do have one testifier for the 10:30, but she is not on the line at this point. So I think maybe—Mr. Chung, I don't know if you want to do your amendment and get that out of the way. MR. CHUNG: Has everybody spoken? That's the question. Then I'll do it after everyone CHR KANEALI`I-KLEINFELDER: I do have a couple of comments. Seeing no lights right now from the Council, these are my thoughts. I really like this bill. I really like that you've taken this approach to addressing an issue that I think all of us deal with in every one of our districts. Looking at the amount, about$7 million, it comes out of the General Fund. You know, I do have my concerns. But I understand it's going to take some funding to address what we see as homelessness here. You know, we are considered the best state for being homeless in the nation, given our climate and everything else that we offer here, so that definitely plays a part in this. I've heard stories of guys coming in fresh off the airplane looking for Page 32 FC-27 February 9,2022 services and trying to get them and running into challenges because we don't offer what they got in their state. But they were flown here by their state to get out of them out of a cold season where they came from. So, we definitely have an issue. I like the discussion today. The discussion to me was interesting, a lot of different angles. My biggest concern is if we take $7 million and we earmark it for homelessness and programs, and County programs therefore, I really want to know how it's going to be broken down and distributed, and by who. If it's left to the administration, if it becomes part of the nonprofit grant-in-aid program. I'm also seeing some parallels, where we see potential double-dipping, where the nonprofits or the service providers are coming in for NGIAs, the nonprofit grants- in-aid as well as coming in for homeless money through this bill. And I'd like to be able to really, I think, track hard how we spend the money so that it's focused. It's possible, in my mind, that you could do a scaled funding source, to get stepped up from $2 million, to $3 million, to $5 million, to $7 million over the course of 5 years. Or go the other way, where you hit them hard first. Go $5 million or $7 million, then slowly scale down the funding to get the most bang for the buck. I love the sunset date. I think that's important. And what I like the most is that you said this is not to perpetually fund homelessness programs, but to end homelessness. And I don't know if you're being optimistic, I feel like there is a lot of optimism in that statement. I remember a previous testifier who said they've seen different countiessorry, this is a different meeting, but it was a different municipality who thrown millions in funding in homelessness and yet had barely dented the issue. And that would be just something to take into account. Overall, I like what you're doing here. I just I want to see some more clarity as far as where this is going. And I am reminded in my discussions with Les Estrella that it's not just the housing, there has to be the services offered to the people who are struggling. With whatever they're struggling with, whether it's mental issues, whether it's housing issues, whatever it might be, there has to have that—yeah, wrap-around services, thank you. Because without that, there's a lot of recidivism. And Ms. David touched on it, some people just truly do not want anything other than to be free to do what they want to do, and that to them means homeless and doing what they want to do. So, we can only address a certain amount of what we see as homelessness in our community. Some people don't want to be taken care of. They're completely happy. So, that's my thoughts. Again, I like what you've done here. I like the amendment, too. I was looking over your amendment, sir. I like what you did there. I think that's good. I mean, I think that really sums up what I was thinking. Page 33 FC-27 February 9,2022 And I love the comments from the Council today. I appreciate you bringing this forward, and at least an effort to take care of an issue that addresses that, so mahalo for that. I yield for now. Mr. Chung, any comments? MR. CHUNG: Well, one question that was asked of me by Ms. Kierkiewicz, was whether I'd be willing to add housing as one of the uses in this. I've been kind of thinking about that. See, the thing about housing, and it is directly related to homelessness—and I'm not against adding that as a use so that you guys can create different later on but housing encompasses low-income housing, moderate-income housing, and workforce housing. I think it kind of dilutes the purpose with what I'm trying to advance here, and that's to address homelessness, houselessness, or whatever you guys want to call it. I mean, what we've got to do is use common sense. We know what we mean, right? So if it's related to low-income housing, I'm okay with that. Anything more—if we run the risk of having this used for—you know, a disproportionate amount being used for the development of other things. But I don't—what's your thoughts on that, Ms. Kierkiewicz? Would that be okay? MS. KIERKIEWICZ: I don't want to stray too far from the intention of this bill, so I don't want to get too far into the specifics of the Housing Fund ordinance that will be brought forward. But everything you mentioned is being noted and will be discussed at the appropriate time. Again, I don't want to get too specific, and I think that that's where we as a body can be directing the Office of Housing and Finance to come up with rules to ensure that the intention of the ordinance is really carried out. MR. CHUNG: All right. Okay. MS. KIERKIEWICZ: Thank you. MR. CHUNG: And then,just to demonstrate the need for funds in this area you know, there's a little project over there at NAS (Pool). I know there are some compliance issues and other things. But I think those houses were erected with CARES Act monies, right? Yeah. But they've been vacant for months now. And what I've been told is a very simplistic explanation, though. But what I've been told is that they ran out of CARES Act money, and that's a shame. And we were spending, I think, $40,000 a month, so about close to $50,000 a year just to run that operation. And I would suggest those of you who haven't seen it go take a look by NAS, okay. And it's now being overgrown with weeds. You know, that's an inventory that we could be using for a homeless population, and it's not being used because of lack of funding. Now, Ms. Lee Loy during the last go-around, I think she asked this of Mr. Bader, no, no, no, of the Housing people, for a breakdown on the expenses of that Page 34 FC-27 February 9,2022 operation so we could take a look, yeah, so that we can make sure that we're just willy-nilly throwing away CARES Act money because we have it. You know, we have to scrutinize these things. With regard to specificity, if you guys want to do that, that's really fine. I don't know how it's going to be structured into this present bill, but what I would you caution you guys about, because I know you talked about it, and you talked about it, and maybe somebody talk about it, if we do that, we constrain ourselves to the current pool of providers that are out there. Now, talking about what Holeka said, you know, he was kind of concerned about the County-sponsored. As the long as the County is a partner or doing something with somebody, that's County-sponsored already. If you guys want to change the wording, as fine too, okay? I mean, I just don't want to overthink this matter. But if you guys think we have to tweak it, then that's fine. The specificity, what I would suggest right now, is let's see what the administration can come up with. This is a means of having people collaborate and work with different bodies, whether it's nonprofits working with the County administration or working with the Council, whatever. But that's one of the beauties of something like that, that's open-ended. But if it's not working—and I also stated earlier that one of the beauties of this too, it creates transparency. We can require the administration to tell us how these monies are being used. And if they're not being used in a way that suits our preferences, then come in with further refinements later on. But right now we're looking at the budget process that the administration has to go through. And quite frankly, I've been avoiding you. You know that, right, for the past several weeks? But if you guys want to tweak it, we still have time and I'm all ears. As I said, I'd like this to be a collaborative product, but I just had to throw in my thoughts on what would happen if we got too specific. Having said that, I'd like to make an amendment though right now. CHR KANEALI`I-KLEINFELDER: Thank you, Mr. Chung. MR. CHUNG: And this is contained in Communication 589.1, and this was prepared by our Research Branch, and it changes the wording ofI think it would be paragraph (f). CHR KANEALI`I-KLEINFELDER: You've got to make the motion. MR. CHUNG: Okay, thank you. Motion to Amend: Mr. Chung moved to amend Bill 111 with the contents contained in Comm. 589.1. Seconded by Ms. David. Page 35 FC-27 February 9,2022 CHR KANEALI`I-KLEINFELDER: Discussion, Council Members? Mr. Chung, go ahead. MR. CHUNG: Yeah. And it just changes the language as to what would qualify as the source of revenues. We tweaked it so that, in our minds anyway you know, Deanna, you can take a further look at it, but we believe now it's clearer that it means "the difference." We're talking only about the difference between what we would have collected and what we are collecting. Not the whole amount that we are collecting, right? So, that's all it is. CHR KANEALI`I-KLEINFELDER: Okay. Council Members, discussion on the amendment? Okay, seeing none. MR. INABA: Chair? CHR KANEALI`I-KLEINFELDER: Mr. Inaba. MR. INABA: Okay, in reading through the original bill, I just think my question is in regards to—it's just a language thing, "That is applied to the next taxable real property value of$2 million more." I think we understand which class these funds are coming from. So Mr. Chung, could you just explain that because that addition confuses me. MR. CHUNG: Try explaining again what you MR. INABA: In that Section (4), we add this communication adds the language, it's the underlined, "That is applied to the net taxable real property value of$2,000,000 or more." Is tier two property not enough? I just got a littlemy mind gets a little confused. MR. CHUNG: That's what I thought. See, I actually thought that two tier was a term-of-art that would have, you know, been okay. But when I read the newspaper, and there was some concern, you know, voiced by the Finance Department, so we reworked it just to make it a little clearer. But I agree with you, I thought it was okay first time. MR. INABA: And I like the language change, "The removal of assessments on properties." That cleared it up, and just adding the tax on. But I mean, okay. If that's what LRB (Legislative Research Branch) is saying, then it is what it is. I'm all confused, perhaps. But okay, that's it. Thanks, Chair. MR. CHUNG: I mean, is it—you go take a look at it, okay, again. And if there needs to be further tweaking, you let us know. Because you're the guys who got to administer it, yeah? Page 36 FC-27 February 9,2022 MR. INABA: Sorry, let me ask one more question. What is the difference then between the proposed language in this amendment with and without that second underline part? The first amendment, that striking, and the tax on addition makes sense to me. The second addition, underlined addition, doesn't make sense. So was LRB able to clearly articulate the reason for that? CHR KANEALI`I-KLEINFELDER: Mr. Inaba, are you asking—who are you asking? MR. INABA: Mr. Chung, I guess, because we don't have anybody from LRB here right now. CHR KANEALI`I-KLEINFELDER: Mr. Chung, go ahead. MR. CHUNG: I cannot answer it, other than saying I think it's clearer. That's all I can say. MR. INABA: Okay. MR. CHUNG: It's clearer to me. It could probably be made clearer. More clear than this clearer one. No, because it is difficult. I'm with you, Holeka, on this. Because I was going back and forth, back and forth on this, and finally I just said, "Eh, this is a term-of-art. Two tier means that difference. MR. INABA: Okay. CHR KANEALI`I-KLEINFELDER: Could I interject? Don't we have the Real Property Tax MS. SAKO: Administrator. CHR KANEALI`I-KLEINFELDER: Administrator? MS. SAKO: Lisa is in Kona. But can I just ask for clarification so that we're all talking about the same thing? CHR KANEALI`I-KLEINFELDER: Ms. Sako. MS. SAKO: The 75 percent that you are talking about is on the difference in the tax rates on the amount over $2 million. MR. CHUNG: Yes, correct. Page 37 FC-27 February 9,2022 MS. SAKO: And we will study this further to make sure, between now and next reading, that we feel that's what the same, or if it needs to be tweaked. But I think I understand your intention. MR. CHUNG: That's the intent, correct. MS. SAKO: And we will work with LRB and whoever we need to work with to make sure it says that. MR. CHUNG: But I agree with you, Holeka. I shared those same concerns. MR. INABA: Okay, then let's just make sure I understand the intent. The difference meaning, the total amount we collect from tier-two taxes issorry, Director Sako? MR. CHUNG: Let me answer that. Because that's where we had to clarify. Because I was thinking tier-two tax is a term-of art, only relating to the difference between what we would have collected had we not implemented—or enacted a two-tier system and what we are actually collecting. But some people disagreed, so I changed it. But, it is. We are looking at not all of the taxes that we are collecting from properties that are characterized as tier two; which would be, how many million? That's not what we're looking at. We're looking at what we would have collected had there been no two-tier law and what we are collecting. That's the intent. But, you go look at it again. I'll look at it again. MR. INABA: Okay, that's good. It's on the record, further clarification. Thank you, Mr. Chung. Thanks, Chair. CHR KANEALI`I-KLEINFELDER: Thank you, Mr. Inaba. I want to remind Council, we are at 10:55 a.m. We had a 10:30 a.m. Committee, and we have a representative from the Mayor's Office here, as well. So with that, how would you like to proceed, Mr. Chung? Do you want to forward this bill? Okay, we have the motion on the floor for the amendment. MR. CHUNG: I'd like to move the bill to the Council, because we don't have too much time already. And if it needs tweaking, or if you guys want to do it, you know, you guys want to add specificity or have a companion funding bill, I mean, special fund bill, so be it. But I think just as a funding source, I'd like to have this thing moved. CHR KANEALI`I-KLEINFELDER: Okay. Thank you, Mr. Chung. So we have the motion for the communication, as amended, correct? Do we need to finalize the vote on that, sir? Page 38 FC-27 February 9,2022 MR. BROWN: Yes. The motion on the floor is to amend Bill 111 with the contents of Communication 589.1. CHR KANEALI`I-KLEINFELDER: So, we have that. Council Members, all in favor of amending Bill 111 with the contents of Communication 589.1? Vote on Motion The motion to amend Bill 111 with the contents of to Amend: Comm. 589.1 was carried by the following voice vote: (Approved) Ayes: Committee Members Chung, David, Inaba, Kierkiewicz, Kimball, Lee Loy, Villegas, and Chair Kaneali`i-Kleinfelder–8. Noes: None. Absent: Committee Member Richards – 1. Excused: None. CHR KANEALI`I-KLEINFELDER: We have a motion on the floor to forward Bill 111, as amended with the contents of Comm. 589.1, to Council with a favorable recommendation. All in favor? MS. KIMBALL: Chair, I have one question before we go to the vote, please. CHR KANEALI`I-KLEINFELDER: Yes, Vice Chair Kimball. MS. KIMBALL: Thank you, Chair. Just a quick question for Deanna. The effective date on the bill is July 1st. How much time would you need logistically to implement this with that deadline in mind—with that effective date in mind? What I'm trying to get is a date by which we need to pass this in order for your systems to be able to adjust. (Note: At this time, Finance Director Deanna Sako came forward to address the members of the Committee.) MS. SAKO: I guess the question is, do you want to see it in the March budget or if you want to see it in the May budget? That would be up to the Council. MS. KIMBALL: Thank you. Okay, with that in mindactually, I don't know the answer to that question. I am curious to see what else might come in the interim, so I'm thinking maybe keep this in Committee, personally, but if others have other ideas, I'd like to hear. Thank you, Chair. CHR KANEALI`I-KLEINFELDER: Council Member, further discussion? MS. KIERKIEWICZ: Chair, I'll just add I'm happy to vote on this and move on it today. There's nothing that precludes us from introducing amendments at Page 39 FC-27 February 9,2022 Council. I think the important thing is to pass this, and then that really signals to the administration to start working out the details. That's their job to administer the policy that we set. So, I'm happy to vote and move this forward today. Thank you. I yield. CHR KANEALI`I-KLEINFELDER: Ms. Lee Loy. MS. LEE LOY: Yeah, like Ms. Kierkiewicz, I want to set the floor so that we have something to work towards. In addition to that, allowing Finance Department to come forward with that impact statement will actually help even help us make a better decision around what type of refinements we might want to advance. So, I'm happy with moving this forward. CHR KANEALI`I-KLEINFELDER: Thank you. Anyone else? Mr. Inaba. MR. INABA: Yeah, I think we should. And if anybody has amendments, then prepare them for two weeks from now, at Council. CHR KANEALI`I-KLEINFELDER: I agree. So we have the motion on the floor. All in favor of moving Bill 111, as amended with the contents of Communication 589.1, to Council with a favorable recommendation? Vote on Bill 111: The motion to recommend passage of Bill 111, as amended Draft 2 to Draft 2, on first reading was carried by the following (Approved) voice vote: Ayes: Committee Members Chung, David, Inaba, Kierkiewicz, Kimball, Lee Loy, Villegas, and Chair Kaneali`i-Kleinfelder—8. Noes: None. Absent: Committee Member Richards — 1. Excused: None. CHR KANEALI`I-KLEINFELDER: That does bring us to the end of our agenda. Page 40