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HomeMy WebLinkAboutREP FC 042 2023/04/18 2022-2024REPORT OF THE COMMITTEE ON FINANCE DATE: April 18, 2023 PLACE: Council Chambers Kailua-Kona, Hawaii TIME: 10:15 a.m. Council Chair and Members Hawaii County Council Hilo, Hawaii 96720 Re: Comm. No. 211/Res. No. 116-23 Your Committee on Finance, to which was referred Resolution No. 116-23, reports as follows: Resolution No. 116-23, transmitted by Finance Director Deanna Sako, via Communication No. 211 dated March 30, 2023, authorizes the payment of funds of a later fiscal year and of more than one fiscal year for a multi-year lease of Real Property for the County of Hawaii Fire Department. This resolution authorizes the Mayor to enter into a five-year lease agreement with the option to extend for two additional five-year terms with Gerald M. Yamada Trust and Wendy M. Yamada Trust, for approximately 7,000 square feet of office and warehouse space at an estimated cost of approximately $17,600 per month. Committee Member Cindy Evans commented that the cost of this space per month seems excessive and asked if the County has considered buying land instead. Finance Director Deanna Sako replied that they've already acquired land, but would take some time to design and build. Committee Member Holeka Goro Inaba asked if this space would act as Central Fire Station during that time, which Ms. Sako confirmed. Mr. Inaba recommended that the department notify the public of this change when it happens. Committee Member Jenn Kagiwada confirmed with Ms. Sako that there is money in the budget to start the work on the Central Fire Station as soon as they have vacated it. Committee Chair Matt Kaneali`i-Kleinfelder, acknowledging that this is an expensive move, asked Fire Chief Kazuo Todd to provide some background on the urgency of this move. Chief Todd briefly explained that the building is a safety hazard, and this move stemmed from a sixty -pound piece of cement that fell from the ceiling into the station bathroom right after personnel used it. Pursuant to Section 10-11, Hawaii County Charter, any contract, lease or other obligation requiring payment of funds from the appropriations of a later fiscal year or more than one fiscal year shall be approved by Council resolution. FC Report No.- 42 FC -42 Page 2 April 18, 2023 Your Committee on Finance is in accord with the purpose and intent of Resolution No. 116-23, and recommends its adoption. lkh Respectfully submitted, COMMITTEE ONTINANCE MATT NEALI`I- EINFELDER, CHAIR FC REPORT NO.: 42 ADOPTED: MAY 0 3 2023 AYES NOES ABS EX EVANS X GALIMBA X INABA X KAGIWADA X KANEALI`I-KLEINFELDER X KIERKIEWICZ X KIMBALL X LEE LOY X VILLEGAS X Respectfully submitted, COMMITTEE ONTINANCE MATT NEALI`I- EINFELDER, CHAIR FC REPORT NO.: 42 ADOPTED: MAY 0 3 2023