Loading...
HomeMy WebLinkAboutMIN FC 2026/02/17 2024-2026 DRAFTCommittee on Finance 29tb Session West Hawaii Civic Center 74-5044 Ane Keohokalole Highway, Building A Kailua-Kona, Hawai `i February 17, 2026 CALL TO The regular meeting of the Committee on Fin ORDER: 10:00 a.m., in the Council Chambers, Kailua- Acting Chair. ROLL CALL: Present Absent & Excused STATEMENTS FROM THE PUBLIC ON Mr Mr Ms Ms Ms Ms Mr called to order at Mr. James E. Hustace, Matt Kaneali`i-Kleinfelder, it (via vi eoconference fr c James E. Hustace, Vice Michelle M. Galimba, Member Jenn Kagiwada, Member (via vide con erence from Hilo) Ashley L. Kierk' ' Member (via videoconference from Hilo) Heather L. Kimb ber (via videoconference from Hilo) Dennis "Fresh" On er Holeka Goro Inaba, to proceed to the next order of business, mjda Items. g Vacationland Hawaii Association) to speak and came forward when called by 459-26 (Comm. 718), in support. Res. 459-26 (Comm. 718), in support. Tothy Rowen: Res. 459-26 (Comm. 718), in support. A (representing Black Sands Subdivision and Malama O Puna) Smiley Burrows: (representing Leilani Estates Community Association) Res. 459-26 (Comm. 718), in support. FC-29 COMMUNI- r n 'FTnrTQ . Comm. 23.29: February 17, 2026 Gail Clarke: Res. 459-26 (Comm. 718), in support. (representing Arts and Science Center) Jennifer Perry: (representing Hololio Road Restoration) Eileen O'Hara: (representing Malama O Puna) The Chair directed the Committee to Communications. From Controller Jon Arbles, Res. 459-26 (Comm. 718), in support. Res. 459-26 ( 2026. 718), in support. order of Business, Vote on Comm. 23.29: Ms. Kierkiewicz moved toNGa m. 23.29. Filed Seconded by Ms. Galimba following voice vote: Ayes: Co ttte eada, Kaneali`i-K emz Kimball, Onishi, and Actin air Hustace — 7. Noes: None. Committetembers Inaba and Villegas — 2. Exc None. Comm. 24.27: From OF NIANGE ORD UTHORIZED: DECEMBER 1 — 15 2025 agawa, dated January 27, 2026, transmitting the 2-12.3 of the Hawaii County Code. to close file on Comm. 24.27. iishi. : Members, any discussion on Communication 24.27? :)uncil Member Onishi. hair. Can I have Public Works come up? Chair, we have a number of representatives from Public Works. Is there a particular project so that the right representative can come forward? MR. ONISHI: It's the 4 mile bridge. Page 2 FC-29 February 17, 2026 (Note: At this time, Public Works Engineering Division Chief Keone Thompson came forward to address the members of the Committee.) MR. THOMPSON: Good morning, Council Members. Keone Thompson, Engineering Division Chief, Public Works. MR. ONISHI: So in the purpose it mentions about changing I guess the two different companies. But it seems like it's the same c any, but they have different names, is that correct? MR. THOMPSON: So it's two different with, and it's changed the name for each MR. ONISHI: So it says here, am contractor's name change from C America Inc. MR. THOMPSON: That's correct. (Note: At this came forward MS. KALUA-LEWIS: IH Works). So a lot of times changes as f s the, I gu though change ail the con company is involved that company. reflect the w North Manager Kelsey Kalua-Lewis C mittee.) ewis, PW (Department of Public �tr a legal name change, nothing ,ibilit' of the contractor. We do have to ents. We call it an assignment agreement to they're conducting business under. ;WIS: Yeah. That looks like the cumulative. So there should be amount with the name change. ISHI: And is it for all their projects because the one above that for the dges, there's no charge or change order for that. MS. KALUA-LEWIS: Correct. So we consider it a change order because there is a change to the contract, updating it for the contractor's new legal entity name. MR. ONISHI: So how many projects is that that this company has? MS. KALUA-LEWIS: For DPW it would be just these two. Page 3 FC-29 February 17, 2026 MR. ONISHI: So by changing the name for two projects, it cost $291,000? MS. KALUA-LEWIS: No. MR. THOMPSON: No. There's no charge. They just changed the name. You're looking at the cumulative, so it was a prior change order that you're looking at. So right now, there's no change to just change the name at all. MR. ONISHI: Okay. But this is past work? MR. THOMPSON: So the change order tha king at, that number is reflective of a prior change order. So that' cumu ver the life of the contract. So right now this is just for th ame change ange order. IRIIIWN MR. ONISHI: Okay. Okay. Th good. Can I get P&R to come up please? Parks and Recreation. yr MR. THOMPSON: Okay. Thank yo 6>4� MS. KALUA-LEWI ank you. MS. KIERKIEWICZ: e , e don't sNaeehere in chambers from Parks and Rec, but our Fi ce Di to ewant to just ask the question? She might be ab to pon . ONIS ou know, I'l st follow up with them. But I just wanted to N,an, out h w Richardson I guess was just renovated with these fundings the lace is beautif t then now they found out that there's age. And so I on' ow why or how it did that, you know, not w n they id th1, hole renovations and the painting of the building, pend another $467,000 for the damage, I mean, it's kind of up ralready spent millions of dollars to renovate that place. &R. I yield, Chair. Thanks. Thanks, Council Member. Director Nakagawa, did add into that? (Note: At this time, Finance Director Diane Nakagawa came forward to address the members of the Committee.) MS. NAKAGAWA: Yes. Good morning, Council Members. Diane Nakagawa, Finance Department. Just wanted to clarify. I know this report is a little confusing sometimes, but we are required to report all these different categories. So when you look at the change order supplemental agreement amount, that is the current change order that's reflected. So on the item regarding Richardson's, this item is $18,645. The cumulative change order is the $467,000. But if you look at Page 4 FC-29 February 17, 2026 that CO/SA amount column, that would be on the item that we're reflecting this current report. And you can see on the column right before that is the number of change orders that each item has had. But happy to go over that in detail at a later time if you would like. MR. ONISHI: Okay, got it. Thank you for the explanation. I yield. ACTING CHR. HUSTACE: Thank you, Council M r Onishi. Any other questions from members in Hilo? MS. KIERKIEWICZ: Chair? ACTING CHR. HUSTACE: Council Diftb MS. KIERKIEWICZ: Thank yo have a uick question fo Thompson about structural engineering s or the b ges. I was just ; the original contract dates are Septemb No r 2022. It's n 2026 and I was just curious how long it takes for al engineering services to be complete so that we an move to the nex e of the project. MR. THOMPSON: S a contract to nging for bridges, to be reassessed. MS. KIERKIEWICZ: Co yu say that again? I'm sorry. I didn't hear the first IN WHOMPSON: So this co ct is for load rating of bridges. When you're loa g to do an assessment i e needs to be an assessment to how much weigh can be on that b ' e. re was delays by the consultant to get the work e. Soright now the re gressing with the work. MSS KIERKIEWICZ: And so we can get their assessment and final report when? Are tyre any safety risks involved the longer that we wait to get the information from th MR. THOMPSON: So as is required we have that contract that they need to work Vtha tell them we need a load assessment for this bridge and then theyt service to us. So let me get back to you on that. Okay. You can just follow up with an email. That would be wonderful. MR. THOMPSON: Okay. Sounds good. Yes. MS. KALUA-LEWIS: Hi. Kelsey Kalua-Lewis, Public Works. I just waned to add that I've been working with one of the CE5s (Civil Engineer V) and that Page 5 FC-29 February 17, 2026 particular contract we are trying to close out. So we're just working on kind of the final invoicing and paperwork. So technically it's in its final phases. MS. KIERKIEWICZ: The 4-mile creek bridge. MS. KALUA-LEWIS: No. The eight bridges. The one that Mr. Thompson was referencing. MS. KIERKIEWICZ: Okay. And that assessm structural integrity of the bridge and if there neS MR. THOMPSON: No. So this is an there's an adjustment to how much w( analysis to see if it can handle what MS. KIERKIEWICZ: Load? MR. THOMPSON: How much wei rac TrTUnrrTUAITT woras on the recora. MR. THOMPSON: Yes. MS. KIERKIEWICZ: Yeah Know on timing, this position. ff1 1-&you know about be improvements? load rating is if ge. So a load rating dge can handle. I'm getting the correct If YoVWust want to send an email to let us I thought that there was some state le creek bridge, but it was some years ago. o we still have that allotment from the state, I of my head we will have to request an extension. An extension. Perhaps it might lapse. I know right now it's good until the end of fiscal year : But we did ask for an extension prior to my being here in MR. THOMPSON: So we only got one extension already prior to this. Right now we're proposing to go out to bid at the end of this year if all the permits come into alignment pretty much. And at this time, we're not planning on asking for an Page 6 FC-29 February 17, 2026 extension, but as time comes closer we may. But at this point and time, it's looking like we'll get it out to bid this year. MS. KIERKIEWICZ: Is there a reason why it takes so long? Sorry. MR. THOMPSON: Permits. MS. KIERKIEWICZ: I mean, 2022. Permits are MR. THOMPSON: It's pretty much the MS. KIERKIEWICZ: Okay. MR. THOMPSON: Well, you MS. KIERKIEWICZ: Our MR. THOMPSON: No. All the state® Army Corp., that ki d of stuff. MS. KIERKIEWICZ: of of delays. MR. THOMPSON: Yes. ect had to gelqnU first, yeah. state, federal? permits, yeah. T: It's just th rocess that you go through to get to this point out to bid. KIE WIC FFSo your intention is get the bids out this year so can dvantage of the state monies before they lapse by end of fiscal ye year. MR. TIC PSO . Correct. MS. KIE IEWICZ: Okay. Great. Thank you so much for the update. I reci it. I yield. Alright. Sure. ACTING CHR. HUSTACE: Thank you, Council Member. Council Member Kaneali`i-Kleinfelder, I believe your light is on, is that correct? MR. KANEALI`I-KLEINFELDER: Yes. Yes please. And before you go Public Works, I have just a follow up question to what Ms. Kierkiewicz asked. Regarding the load testing for the engineering firms providing the load testing and Page 7 FC-29 February 17, 2026 rating, does the engineering firm ultimately bare responsibility for the load values they represent for each individual bridge? MR. THOMPSON: To the extent of the responsibility of providing an accurate number, yes. MR. KANEALI`I-KLEINFELDER: So if they say it's for 35 tons and we put a limit sign of 35 tons, if they bridge were to fail at 36 it's on them or on the County? MR. THOMPSON: So it would be the respe i the person that went over. But how you improve that, right? That's so ng t need to talk to engineering people and the liability ab a . EALI `I-KLEIN bridge? ELD . So it's on the entity that drove over the MR. THOMPSON: And, you know, on the bridge that it days 35 tons and the they say, "Oh, we didn't know," then it's o blatantly goes over it knowing full well that tI responsible for overloading that ge, right? cing it, we're not posting it goes with more over it and ,ibility. But if someone i 35 tons, then they're very MS. KALUA-LEWIS: An h ould probably be something we would have to defe ation Counse it ever came up. HOMP :Yeah. If t came up. Yes. MR. NEALI`I-KLEINFELD So the engineering firms we contract M�Lyide us with a load rating for each bridge. each bri ELDER: And then we post the sign for the rating of Correct. FKANEALI'l-KLEINFELDER: And if something were to happen, bridge ure, then the engineering firm would be the one on the hook or the County? MR. THOMPSON: I think I would have to defer to Corporation Counsel on that one. Yes. Page 8 FC-29 February 17, 2026 MS. KALUA-LEWIS: Yeah. And it would probably be also us having to take a look at the actual contract with the consultant or the engineering firm to see what language is in there. But ultimately MR. THOMPSON: You know, in the language of these contracts they have a liability amount, an up to amount. Those are things that are in the contracts when they're consulting with us. So then I would defer back to Corporation Counsel and our insurance people. IAL MS. KALUA-LEWIS: And if you would like issues or have questions about the liability, A Corporation Counsel with. MR. KANEALI`I-KLEINFELDER- o. me so I understand it. I think ab our own contractors, we have engineer' s, we I we'll say homebuilding. You have it architects, whoever, then it gets stamp ultimately the Coun goes and does the lived in. But the County doesn't bare any h contracting problem. I'm just walking th liability and load rating, but in the s e undi ote: At this time, a beor" w to address th emrs of of address these kind of ina we can work with t could fo via email with nitting proce ere we have the homeowner int e normal, drawn by an -411, ering firm, i it gets brought in; and then pection of the home before it's normally if there's a e eps of, in this case, bridge . Mr. Azevedo. Iffy Director Niel Azevedo came Committee.) ARRAZEVED01 Hi. Niel Az do Deputy Director, Public Works. About sev nths a o we reviewed onnage on our bridges and a lot of bridges chang , it went up because th was wrong tonnage on the bridge. So we Kultant le c ck with everythi g, we had our engineers look at the what our d we looked at tons of what is posted and what is on the paper, and -we change o bridges in Kalopa, the weight of the bridge. You know, one WV t om 1 Tent seven tons to 1 tons. They wondered why it happened overnig t_ Sow through and reviewed everything, and we make sure what we put out here is correct. `I-KLEINFELDER: Okay. �� . AZEVEDO: So we adjusted some. So like some bridges, they have two six- t %% bridges up in Kalopa, goes to an 18 ton bridge. So now that's why we're trying to get property from Kamehameha Schools so we can use that property to make a new road so we can eliminate those two bridges. In case those two bridges fail, at least our guys can go home yet. MR. KANEALI`I-KLEINFELDER: Okay. Okay. I think that may be a good question for Corporation Counsel on liability and posted tonnage rates and that. If Page 9 FC-29 Vote on Comm. 24.27 Filed Comm. 27.4: February 17, 2026 you could follow up via email with me, I'd appreciate it. Thank you. Thank you, Deputy Director, Engineering, and Accounts, supervisor, specialist. Thank you. I yield, Chair. ACTING CHR. HUSTACE: Thank you, Council Member. Any other questions? Okay, seeing none. Yeah, just please consider some of these older contracts and the time we have with some of these state funds that are behind the next phase of these projects and make sure that those don't lapse. 'm hearing that loud and clear there. Thank you, Council Members. All th n r of closing file on Communication 24.27, please say "aye." The motion to close file on Comm. the following voice vote: Ayes: Committee M ers Galimba Kaneali`i- er, Kie *e Onishi, and Acti air Noes: None. Absent: Committee Members a Excused: N REPORT OF DONATI EIVED FROM MEMORIAL FOUNDATION AS OF ANUAR From Temgorary Fire Chief Danl J. Volpe, t the pursuant to solution 46 20. nd Villegas — 2. FFE DANIEL R. SAYRE L 6, 2026 January 28, 2026, transmitting Ms. G ba moved to%se file on Comm. 27.4. hewn by Mr. Onish any discussion? MS: KIERKIE` , hair, we have Chief Volpe here if you'd like to come forward and talk a ou this particular donation and how it is going to be utilized to the b' it of our personnel department and community. Thank you, Chief, for being he Thank you, Council Member. Welcome, Chief. (Note: At this time, Temporary Fire Chief Daniel Volpe came forward to address the members of the Committee.) MR. VOLPE: Good morning. Daniel Volpe, Temporary Fire Chief, Hawaii Fire Department. So this is again, we've been partnered with the Sayre's for many, many, many years. This specific donation is a Polaris UTV (Utility Vehicle), this is going to go to our EMS (Emergency Medical Services) section. One of the things that the Fire Department does is build bridges with the community and part Page 10 FC-29 February 17, 2026 Vote on Comm. 27.4: File ORI RESOLUTIONS of that is as the primary EMS 911, EMS provider for the island, we are able to provide standby EMS services for some very large events. Ironman, Merrie Monarch Festival, community events; everything from sometimes football games and everything in the community and really be part of that presence. This UTV is designed to be an EMS vehicle for special services, these kind of standby duties. So it will allow the EMS teams to quickly access patients in need, provide a place for their equipment. I believe this one is a side -by -side, kind of good siOahyhealittle trailer, some adaptations, maybe a gurney attachment to be a get EMS medical equipment to the scene through the crowds where the ambulance won't be able make it. So this vehicle will replace kind of an older sort of decom Toned; one that's going to be decommissioned. So that's the intent of this vehic helps us provide that standby at these special events, ich again shows the ty's partnership with the community events is pa what we do. MS. KIERKIEWICZ: That was a just want to take a moment to thank supporting the department and our c MR. VOLPE: Thank ACTING CHR. HUSTA Okay. Thank you, Chief. ^�ation f course, ir partner,losing file P NWverview on th enefit, and I s for their continued generosity in Thank you, Chief. ra you, Counci ember. Any other questions? ou for taking the time to present this with us rant to maalo the Daniel Sayre Memorial with our County. Thank you, Members. All ommunication 27.4, please say "aye." Comm. 27.4 was carried by the ittee Members Galimba, ada, Kierkiewicz, Kimball, , and Acting Chair Hustace — 6. None. Committee Members Inaba, Kaneali `i-Kleinfelder, and Villegas — 3. None. ed the Committee to proceed to the next order of business, Order of Resolutions. Page 11 FC-29 February 17, 2026 STATEMENTS The Chair directed the Committee to proceed to the next order of business, FROM THE Statements from the Public on Res. 459-26 (Comm. 718). PUBLIC ON RES. 459-26: The following individuals registered to speak and came forward when called by the Chair: Susan Champeny: In support. (representing Holo Lio Road Committee) Kevin Kushel: In support. (representing Mainstreet Pahoa Association) Res. 459-26: AUTHORIZES THE PLANNING DEPART ENT T RD FUNDS FOR THE KILAUEA RECOVERY GRANT PR RAM Provides $6,478,873 in grant funds to various nonprofit orga ns to provide relief, recovery, mitigation, a 9-term r(ene disaster es, losses, and suffering caused by the 2018N Reference: by: Counciierkiewicz Motion to Annrove: Ms. Kierkiewicz move to commn of Res. 459-26. Seconded by Ms. `Galimba AC C HUB: ouncil Me er Kierkiewicz, the floor is yours. IERKkf�aid : Thank y . I really appreciate the opportunity to bring Athi'sq%ution to suppo umber of the nonprofits who helped to carry the weight of recoveryfo1 wi e 2018 eruption. You know, for many folks side of P una the e tt probably something that feels like it happened a one o, but for folks that are on the ground, the families, the farmers, the `ath ity organizations, recovery has been and it continues to be liv ery da This pa lar resolution is representing the third and final round of awards under OZ19 e Kila Grant Recovery Program that was established through ordinance in w Mayor (Harry) Kim was in office. Just so folks who are new to the Counci know, these are not general fund monies. This is money that the state awarded to the County, $20 million, in unrestricted funding to support lower Mna's eruption recovery. This particular grant program was intentionally designed to keep resources in lower Puna and to put decision making power as close to the community as possible. Over the first two rounds, which have put more than $6 million into the community, we've seen what happens when we trust our community -based organizations to lead. Roads reopened and agricultural access has been restored, Page 12 FC-29 February 17, 2026 farms and small businesses are brought back online, schools and community facilities are repaired, cultural practices, `aina stewardship, and food security is strengthened. I think with this final round is especially meaningful because it allows us to close the loop and ensure that projects that are already underway are able to be completed. We're able to invest in lasting infrastructure and ensure that the recovery that we, and I say the kakou, we, the community, that vision that we put together years ago is finally realized. I want to acknowledge all of the nonprofit Aareing ^tca out today and are in the community doing the work. You folksese awards. Thank you. Thankyou for stepping up because sstems are overwhelmed and I know that the timelineuncertain and recovery has been anything but linear, but you rising costs, staffing challenges, an you've done all of that while stay' I also want to acknowledge all of tH all the grant processes, Mayor Kim, (Kimo) Alameda. ahalo nui. An( ffi Ocer Douglas Le a r team, p County that has helpe iste accountability and resp iv ongoing commitment to so m ermitting processes, ig trau he eruption and rooted in service to our s that have be supportive of tche 1) Roth, and now Mayor to the leadership of our Recovery i Pinto, and everyone in the it of just care, but y s. I really appreciate the ge that o#VRecovery Officer Douglas Nahm Le feel free to provide any additional context. And I'd like for us to share with my colleagues after Officer Douglas Nahm Le came forward to members of the Committee.) ank o much. Aloha mai kakou, Chair, members of the Council. ,,e to able to bring this resolution to you all. It's been the of more than nine months of very hard work on behalf of our team, but also all of the nonprofit partners and community groups out there who have ppe rward to bring these projects to life and to go through a very rigorous ion process. Just to set some very brief context, we began this application p d for the Kilauea Recovery Grant Program back in September, you know, orking very closely with Mayor Alameda and his team with a focus on targeting $6 million in grant awards. Pretty significant given our history of this program and really setting our priorities from the get -go, right, based on what we saw out there as the needs that remain. After the funds targeted towards capital investments, two-thirds, roughly $2 million towards economic recovery and then a final third on other recovery resilience needs. Page 13 FC-29 February 17, 2026 So really what you see before you in the resolution is representative of the broad work that's happening really driven by the community. And with the support of these grants, you know, before this funding many of these projects would not be able to come to life. When we opened our application process since September, we had a 60 day application period. We provided for our first time a three series of grant development workshops, you know, where I think over 40 people participated and 26 projects within that got to go through the process together, right, and to really help with their applications. Mor nything, we appreciate their hard work because it was very mu ANthe rigor and the strength of the application we received. In the end, you know, we closed our applic ns in ber, we received nearly $12 million worth of requests acrNag2st pplicati Our team went to work evaluating every single application our rubric, know, lifting up recommendation, which you nows1fee before ou. We really o just acknowledge that it takes a w team to ma this possible, no ithin the County but within our community. t to ially acknowle e Patti Pinto, who's been the lifeboat of this progra e past ind of going on five plus years now. And we eek your support fo be able to unlock this potential and these projects. I in h py to take any o questions. Thank you. MS. KIERKIEWICZ: an Motion to Amend: Ms. Kierkiewicz veto amend R 459-26 with the s of Comm. .1. Seconde by Mr. Kaneali`i- TALE: Co it Member Kierkiewicz. KID WIC ou. I'm just going to tee this up for Officer Le, bu t�liey ha rigorous due diligence process after they determined, you know, which a ti s would be receiving a grant award. We are making some e dment e exhibit today because some organizations do not presentl ve or nizational capacity to service a fiscal sponsor. But the recovery ice is working very hard to see if we can get fiscal sponsorships in place be the next reading in Council. Officer Le, if you'd like to elaborate. : Of course. Thank you. And I appreciate the attention to be able to s it this amendment. Since we completed our review process and began r commending grants for funding in late December, Patti and our team have been working really closely with each of the applicants who have been recommended for funding to just line everything up, right. We want to make sure that as the Council works through its process, you know, when we are authorized to issue any grants, that the work is done and we can just take the next step of commencing the work. Page 14 FC-29 February 17, 2026 And as part of this process we did a lot of due diligence on top of the application process and all the materials the applicant submitted and there were some groups just in those six to eight weeks where their circumstances have shifted and I think we're at a point where we still very much believe in the projects that were submitted as do the original fiscal sponsor, and we're actually all working collaboratively to ensure that these projects can move forward within the fiscal sponsor. It's really up to them who they want to work with, especially those that are aligned in terms of their mission and their w4d' their experience. So we do need some additional time to move forwThose four projects of the total before you add up to just over $501 we would like to square this as soon as we can working closel he project's requestors and their sponsors too as they g efore yo MS. KIERKIEWICZ: Thank you s ch. -Chair, I yield. ACTING CHR. HUSTACE: ou, Co it Member. Any tions from colleagues? MR. ONISHI: I just have one. ACTING CHR. HUS Council Membe i MR. ONISHI: Thank AChair. so the P (Capital Improvement Project) improvements, the cap' impr s, so like for restoring the road ys, so ere's match nds or the s other funds that's going to be helping wit e projects? example, the first one which is going to restore millqlllws�es with lama O Puna. MR. L es at. So as a baseline, our program did not require matching How ny folks are able to leverage matching funds and even sweat with volunteers and labor. I think this one is a good example where the asso tually got a grant in the first year to do all the permitting, surveying, for ve plex projects as you can imagine. But they will also be using the for f their road assessments, right, and kind of accessing other Lfunds es ally loans to make their project whole. A number of these larger tal p cts with the infrastructure like an association behind them are looking ki f their own ability to cover costs to be able to supplement these grant at are available to them. Great. That sounds good. Thanks. I yield. ACTING CHR. HUSTACE: Thank you, Council Member. Any other members in Hilo have questions on this item? Okay, seeing none. Thank you, Council Member Kierkiewicz, for your effort in this and bringing these projects forward and supporting the communities of lower Puna. And of course I want to mahalo Officer Le, you and your team and your work in working with these grant Page 15 FC-29 February 17, 2026 applications and providing support for the community through this process and enduring. So thank you for your leadership there. All those in favor of approving the amendment with Communication 718.1, please say "aye." Vote on Motion The motion to amend Res. 459-26 with the contents of to Amend: Comm. 718.1 was carried by the following voice vote: (Approved) Ayes: Committee Members Galim<ad Kaneali`i-Kleinfelder, Kierll, Onishi, and Acting Chair HNoes: None. Absent: Committee Members In 2. Excused: None. ACTING CHR. HUSTACE: Ba o the main motion. Than for the correction. MR. KANEALI`I-KLEINFELDER: ACTING CHR. HU ACE: Yes, Mr. Kan Kleinfelder. MR. KANEALI'l-KLETKFETO mahalo to Council Memb Kier and getting these funds ba n one was the intent, and she hard on you and openly adm t he funding is b ck in the com buildincomm itv back where Mr. Le, and to the r c know wear�resi—doAsIn my Thank you, r. On the main motion, just *Aour ears of ongoing persistence e co, which she expressed from day ie it. Recovery Team, I've been it. And mahalo for getting this to this point. kost The projects are beautiful. You're so much. So thank you very much, team as well, especially Ms. Patti Pinto, who I ct. You have some hard workers and some amazing tea ers that were able to work through and get these grants out as soon as possib nd go through stacks and stacks of applications and pull out the projects that really do benefit our community. So mahalo to the team. Thank you to the community�for doing the work and for continual, perpetual players of recovery, thank you very much. This has been a long road. Thank you. 1G CHR. HUSTACE: Thank you, Council Member. Any other final ts, Members? Okay. On the main motion, all those in favor of forwarding tion 459-26 to Council with a favorable recommendation, please say "aye." Page 16 FC-29 Vote on Res. 459-26 (Approved) The motion to recommend adoption of Res. 459-26 was carried by the following voice vote: Ayes: Committee Members Galimba, Kagiwada, Kaneali`i-Kleinfelder, Kierkiewicz, Kimball, Onishi, and Acting Chair Hustace — 7. Noes: None. Absent: Committee Members Inaba and jok- 2. Excused: None. February 17, 2026 Res. 460-26: AUTHORIZES THE PAYMENT OF FUNXTHORATION AL YEARS TO ENTER INTO A MULTI -YEAR LEASE EREAL PROPERTY TO BE USED BY THE C O COUNSEL Authorizes the Mayor to enter in three-year lease agreeme th two options to extend the lease for an addi ' ree yea at an estimated cost of approximately $2,600 with Joy A. uen ra, Attorney at aw, A Law Corporation, for space located at 101 tree . Comm. Council ber Kaneali `i-Kleinfelder (B/R) Motion to Approve: Mr. Kaneali`i-Kl felder o rec mend adoption of Res. 460-26. S nded by Ms ba. Motion to Amend: Mr. eali`i-Kleinf er moved to amend Res. 460-26 with t ontents of C m. 719.1. Seconded by S. mba. it Member Kaneali `i-Kleinfelder, go ahead. M NEALI`I-KL FELDER: Thank you, Chair Hustace. And thank you for ch ring my committee for me. I appreciate you. Mr. (J) Yoshimoto reminded me this morning about this communication. Mr. Yoshimoto, if you could? this time, Assistant Corporation Counsel J Yoshimoto came forward to ress the members of the Committee.) YOSHIMOTO: Yes. Good morning, Council Members, Committee Members. J Yoshimoto, Assistant Corporation Counsel (CC). Let's see, so Communication 719.1 is our request to amend the lease based upon current information that we received after we had requested the resolution be introduced. So basically the amendment is to correct language regarding the landlord. Page 17 FC-29 February 17, 2026 MR. KANEALI`I-KLEINFELDER: Thank you, CC Yoshimoto. Chair, I yield. Thank you. ACTING CHR. HUSTACE: Any other discussion on the amendment? Seeing none, all those in favor of amending Resolution 460, please say "aye." Vote on Motion The motion to amend Res. 460-26 with the contents of to Amend: Comm. 719.1 was carried by the following v vote: (Approved) Ayes: Committee Members Galim giwada, Kaneali `i-Kleinfelder, Ki e imbal Onishi, and Acting Chai ustace Noes: None. Absent: Committee Mem Ina and Villega Excused: None. ACTING CHR. HUSTACE: Member Kaneali `i-Kleinfelder, any MR. KANEALI`I-K ELDER: No Chair. ACTING CHR. HUSTACE Any in favor of forwarding Res ti reco enda" n, please say e." Vote on Res. 460-26 The mo n to recomme� (Approved) rrie the following Res. ion. Any disc ion? Council on? . Thank you very much, Okay, seeing none. All those it with a favorable ption of Res. 460-26 was vote: o WMembers Galimba, Kagiwada, Kaneali`i-Kleinfelder, Kierkiewicz, Kimball, i i, and Acting Chair Hustace — 7. ttee Members Inaba and Villegas — 2. None. Y ZES THE PAYMENT OF FUNDS OF LATER FISCAL YEARS TO TO A MULTI -YEAR AGREEMENT FOR PROFESSIONAL CTION MANAGEMENT SERVICES RELATING TO THE HILO ATER TREATMENT PLANT UPGRADE PROJECT TO BE USED BY THE DEPARTMENT OF ENVIRONMENTAL MANAGEMENT Authorizes the Mayor to enter into a six -year agreement with an estimated cost of $1,600,000 per year to retain professional construction management services. Reference: Comm.720 Intr. by: Council Member Kaneali`i-Kleinfelder (B/R) Page 18 FC-29 Motion to Approve February 17, 2026 Mr. Kaneali`i-Kleinfelder moved to recommend adoption of Res. 461-26. Seconded by Mr. Onishi. ACTING CHR. HUSTACE: Council Member Kaneali`i-Kleinfelder, if you want to start us off there. I see your light on. MR. KANEALI`I-KLEINFELDER: Thank you very much, Chair. We do have members of the Environmental Management (DEM) herein Hilo. If you would give us some background on where we scan a is does, and where we're headed? (Note: At this time, Wastewater came forward to address the mex MR. GRANT: Good morning, C cil. Ma,1 Wastewater Division. So this t is for management for Hilo Wastewater ent Replacement Project Phase 1. So basi management overseeing the construction, the project as it goes, monitoring progress p well as special inspection services during the `I- Phase I only? on Pro oordinator Mark Grant f the Com ee) Grant, Project dinator for fesonal serviceK nstruction Mof acting overall construction �ncing, progress and monitoring g"tsdoing daily inspections as he project. Grant. So $1.6 million for MWGRANTWes. So the i t is on every fiscal year we estimate NNMRI o n. .EALI`I-KLEINFELDER: And then Phase 2 is a portion of the overall N c ?NT- a later portion of the project and that is still yet to be 'citatio MR. KABALI`I-KLEINFELDER: Okay. The reason I ask, do Phase 1 and Phase 2 *k together in any way? Nope. They are independent of each other. `I-KLEINFELDER: Completely independent facilities. MR. GRANT: Yeah. MR. KANEALI`I-KLEINFELDER: Okay. Page 19 FC-29 February 17, 2026 MR. GRANT: So they're independent projects altogether. They can be constructed separately, but they're in the same facility. MR. KANEALI`I-KLEINFELDER: Okay. Does Phase 1 contract management services need to interact with Phase 2 contract management services and is there a portion of our contract that would cover that if necessary? MR. GRANT: No. So there is no portion that cover overlap between Phase 1 and Phase 2. So if any situation where Phase 2 w a n simultaneously as Phase 1, there is the potential of supplemental ent to kind of increase the scope of their services. MR. KANEALI`I-KLEINFELDER: e it posse at Phase 1 and Phase 2 will overlap? MR. GRANT: I think that's a n I'll p to Finance on nding will become available for Phase 2. MR. KANEALI`I-K EINFELDER: Ok s. Nakagawa, Director? I'm only asking to make sure efficient in our p and if there is a need for those two to work together, lly build it in a instead of after the fact. (Note: At this tim Finan r Di Nakagawa came forward to address the membe of Co AKA A: Good m ing, Council Members. Yes. As Mark ned, w still workin rough the entire schedule of projects on both of our s (A nistrative Orde onsent). Currently, those two projects do not ov ul y it's somewhat fluid in terms of managing se pro hedu e , o there's been a lot of effort recently on trying to close nths and dollars as we possibly can. If there is the availability of mg top ase 2, that is something we will definitely look at. At this timqjhey wi1W happen at the same time MR. KAWALI`I-KLEINFELDER: Okay. Okay. Keep that in mind please that there's a fficiency that if the phase, if they're two different management mpa ' who do not talk and we do start Phase 2 during Phase 1's movement, have that horrible thing that happens in government where they don't to o each other and then we get two sideways branches of beautifulness. MR. GRANT: Yeah. I agree. The ideal situation would be whoever the contract is awarded to the current contract manager (CM), if there was a supplemental overlap with Phase 2, we would do a supplemental agreement. Page 20 FC-29 February 17, 2026 MR. KANEALI`I-KLEINFELDER: Okay. Thank you very much. Thank you for getting this to this point. I know this has been discussed, Mr. Grant. I yield, Chair. ACTING CHR. HUSTACE: Thank you, Mr. Kaneali`i-Kleinfelder. We'll go here to Kona. Mr. Onishi. MR. ONISHI: Thank you, Chair. Mr. Grant, just to in to the public on why we're hiring this professional construction manag t to MR. GRANT: Yeah. So it's an added resource to AC unty. The Wastewater Division is very short on staff and with the amount of projects that we have ongoing that's in the design and construe way we can cover the oversigZoftof construction management serce the County, you know, for ovhe MR. ONISHI: Right. Thank you of understand why we're spending this you, Mr. Member Kierkiewicz. phase; the eally no physical action of thes ects. So the y to kind of act extension of is and stuff. So that way the public will hank you. I yield. to Hilo. Council MS. KIERKIEWICZ: Tha y , Chai . e a finance related question. So thCron'%estimates $1. lion annu per this agreement. It's a six year to the nurse of six rs, we're applying about $9.6 million. Is there a ed' unt for this s e of work with the construction management sBeca e if you can es a internally what it's going to cost annually, then I m assumi e's e kind of longer term projection for how much wc s go to cost an ndering if that kind of information should be ded in olution so that we're clear at least at this point and time, how much 're al r these services. MS. NAKAGAW Council Member Kierkiewicz, that might be a better question for DEM. I can add on to the financials. But on the specifics of the languagend contract terms, I'll leave that to Mark. INLAWANT: So the projection is estimated based off what we can project that th rofessional services for DAGS (Department of Accounting and General rvices) rates are. So DAGS establishes hourly rates for professional services. Unfortunately it's only projected out to I believe until June of last year. So at some point they're going to update those rates. So on average you'll see about a three percent increase on a yearly basis on those DAGS rates. So we're just doing our best guess on what we can project out in the forthcoming years, and we projected that out and we assume there's going to be so many position services we Page 21 FC-29 February 17, 2026 expect out of the CM on the forthcoming years, which you can get an estimated cost. And that's how we got around that ballpark number. MS. KIERKIEWICZ: So how many full time employee equivalence are we looking at with this funding? MR. GRANT: Yeah. So it's three full time positions CM full time; you're going to have a project enginee Those are three full time staff that will be onsite fr that, they also have special inspections. basis because you don't need them there them for the construction sequencing at 1 MS. KIERKIEWICZ: A overtime, specialty subs? they're covered on that basis of specialty special ins ectors, if tl only per diem we're ting c MS. KIERKIEWICZ: 11 management services? I onsite inspection, quality You're going to have a a project inspector. J,g s mpany. On top of &M (time and materials) st only when we need travel, per diem, way only per diem situation is the real me in from Oahu. So that's the rre specific with construction and I'm having to go off of a, and contract which is very sematic inn a for a lot of money for three here some kiP4 of scope of work or even like a tax matrix for s something we can share. ow, we will have the roles and responsibilities of those the services we can expect out of them. Director, do you have something to add? INLAKKAGAWA: I was just going to add that I did speak with Corporation C sel just a little bit ago as well about looking at some of your questions r ated to increase in the rates over time. So we'll get some follow up information and at the same time we can provide information on the scope of work in greater detail. MS. KIERKIEWICZ: Okay. Great. I'm looking for the scope of work because I'm concerned about scope creep and change orders. We've seen a lot of change overs over time related to a number of big infrastructure projects here in the Page 22 FC-29 February 17, 2026 County and it's really hard to keep track of all of that particularly with just changes in administration. And this is going to be one of the biggest investments that our County is making in its history and we don't really know what the final price tag is going to be. So I think really getting clear on what the scope is, who is doing what. I'm big on deliverables, right, like I want to know what's due by when. And so is that something that is also being expected of the contract management services company; are there like key performance indicators, right, like what do those deliverable; what does that kind ot&k like? MR. GRANT: Yeah. So you think formal keep us on track, right, with time, scope, ai functions when you're a construction manz deliverables besides your daily ins management contract. But I think you. MS. KIERKIEWICZ: Okay. Yea projects remain on track. I would fee clause in the resolution about a not to with Council. I donTkr legislative branch to cc Mark, you're doing an e incredible. But I think ji diligence and make sure taxDa491Qhbv over a s if that's Nasmu anagement is really to one of the key get too much in a construction on gettingtormation to n reports and r#1king sure that comfortable if we could add a cunt and if it does, revisiting it this is just one way for the e that checkyanere, ce on this project. And Don't gyou know, you're e e have to do our due ng t tions because it is a lot of period o ime. Thank you. I yield. nk vou. Council Member. Council Member KI L: T a'eah, I want to just encourage my colleagues to this. on the map right now we're talking about three percent of the pro overa f this construction management, which will likely save us that e lent in ntial change orders and what on going forward. Constru n ma ement is a well -established profession that has benchmarks, quality s dards. There's terms of ethics and professionalism. So this is not ythe hat is just like randomly done. There is a procedure and a process for With this being the biggest capital improvement project that this undertake to date, this investment I think is well worth it and we will efits in avoided costs with certainty. just wanted to again for , how will this contract be awarded, Director? MS. NAKAGAWA: This one was done through professional services. MS. KIMBALL: Right. So it's not going to go out through RFP (Request for Proposal) and all of that in the typical way that we do. Page 23 FC-29 February 17, 2026 MS. NAKAGAWA: Professional services. MS. KIMBALL: Yeah. Okay. Again, just clarifying that this is a little bit different. So some of the concerns, I think, will be established in that initial outreach to the professional services. Okay. Thank you. ACTING CHR. HUSTACE: Going back to Council Member Kaneali `i- Kleinfelder. MR. KANEALI`I-KLEINFELDER: Okay. F $1.6 million is the estimated max or we're gQj MR. GRANT: That's the estimation f anticipate. MR. KANEALI`I-KLEINFE Okay assuming the fiscal year part for th a $1.2 million. MR. GRANT: It co in that range be $1.6 million. We roun umber up. `I - or m Wi p questions for you. The aying $1.6 million period. s what we When I'm s at, I'm it may be $5 000, it may be $1.2 million, $1.5 million, have the ability to pay less GRA es. We hav e ability to negotiate that price. So if we ate this al year, these rvices didn't really seem necessary, the next fisc r we try to cut dow downscale or increase scope if we need to on efforts. N-KLEINFELDER: Okay. And then a final question. I should ne that Venever follow my word. Why professional services over an this ca MR. GRANT: I guess to add some clarification, we did an expression of interest for the C services where we kind of sent it out to the public to see who bmitt their services. From there, three qualified resumes that were submitted, re going through the process with trying to negotiate with the top rank. If th oes go as well, we'll go down to the second rank CM firm and go from t ere. So that's the process we went through to identify the CM for this project. MR. KANEALI`I-KLEINFELDER: Why, though, through a professional services, which is a different style of bid? Not even a bid, it's just these are individuals who offer a specific or special type of service to the County, correct, versus putting out to a request for proposal where we get a bidding process by a number of agencies? Page 24 FC-29 February 17, 2026 MR. GRANT: Sorry. To clarify, the expression of interest was sent out to the listed professional services companies already. MR. KANEALI`I-KLEINFELDER: Okay. Why not an RFP for a scope of project this size? MR. GRANT: Well I think it's very similar because then it's still us sending out the expression of interest to the listed professional s^ms on what we intended for the scope for this contract. And thenho submitted the interest on the project itself. I think it's very si as that process. MR. KANEALI`I-KLEINFELDER: Son ding project? MR. GRANT: No bidding. It `T- MS. NAKAGAWA: Sorry. Just con ith Corporation Counsel. We'll go ahead and check on ie requirement thro RS (Hawai`i Revised Statutes) that we can clarify. But I will say that a profess ervices is a procurement process. So I don't want any to get the idea thr not do a bidding or we did a process that was not part of pr urement laurement code. Professional services is aN curemen option anof the firms that we work with are on this. And so talked abou ou know, they did send out a scop in r t and then wrough theprofessional service process. OM&KANEAM-KLEINFELDER: Okay. I think the key word there was, this is an of a that we have. just interested in why we chose this route versus Dl check. A: Will do. MR. ALI` INFELDER: Thank you very much. I yield, Chair. ACTINQVIR. HUSTACE: Thank you, Council Member. Any other questions? Okay. I e one question here, at least one. But I just want to say, and I hear me o e concerns about change orders, spending multiple years at $1.6 million ears, potential changes therein. The one question I have is with regards to ell, it's really two questions. The first one I think Council Member Onishi s ared is really the why. Why do we need this? MR. GRANT: Yeah. So it comes down to resources. Again, Wastewater Division doesn't have adequate resources to support. ACTING CHR. HUSTACE: By resources you mean staffing, correct? Page 25 FC-29 February 17, 2026 MR. GRANT: Yes. Staffing. Yes. Correct. ACTING CHR. HUSTACE: Okay. MR. GRANT: Yeah. It's really just to oversee all overall projects during construction. ACTING CHR. HUSTACE: Do you foresee this issue then for all the wastewater treatment plans t then? We're going to need to be hiring a con going through these different upgrades and c r MR. GRANT: It would be as a case that ongoing under construction, bu doing it inhouse with the support AC',TTNG C',HR HUSTACE- definitely needing this additional MR. GRANT: I to be determined. T dialogue that happens betty i %th e gone ou ct, what is onsultant? S this is definitely an moving forward every facility that are phases. correct? have any Cn S® it is case by a couple projects ices. We're that is highly likely and that is idTould you shar4Fwith me the interchange and consultan at's hired and the department )id, we've warded someone, they're starting to interchange and conversation look like between MR. GRANT: So there's stiZeping g to be a level oversight of the CM just to sure and m itor t are on track. So I'll also be oversighting the CM to a degree to e ure we're still on track, they're reporting back properly, and we're �syeeing th e rogress we're expecting. ACTING CHR. STALE: Okay. Thank you, Mr. Grant. I appreciate the time here, an irector Nakagawa. Any other discussion or questions? Okay, seeing none, rol all vote please, Mr. Clerk. Page 26 FC-29 Vote on Res. 461-26 (Approved) February 17, 2026 The motion to recommend adoption of Res. 461-26 was carried by the following roll call vote: Ayes: Committee Members Galimba, Kagiwada, Kaneali`i-Kleinfelder, Kimball, and Onishi — 5. Noes: Committee Members Kierkiewicz and Acting Chair Hustace — 2. Absent: Committee Members Inaba and �Ok_ 2. Excused: None. ACTING CHR. HUSTACE: Thank you, M e ext item when you have a moment. Res. 462-26: AUTHORIZES AND DIRECTS THE DIR TOR OFF E TO NEGOTIATE THE DISPOSITION OF REAL PROPERTY TIFIED AS TAX MAP KEY NO. 7-4-010A 4 BY LEA TO HOPE SER HAWAI`I, INC. FOR HOMELESS ASSISTAN PU S Authorizes the negotiation of a one-y lea with one one-year option to renew with an approximate annual cost of $10. Th roperty, located at 74-5593 Pawai Place, would continue to e used as an asse t center and emergency shelter for individuals who are expSri in homelessnes rence: .721 y: Co ember Kaneali`i-Kleinfelder (B/R) Motion to Approve:^of eali`i-Kleinf er moved to recommend adoption 62-26. Secon d by Mr. Onishi. ING CHR. HUSTACE;erstions do have here in Kona Chambers; we have inist ,to Costa any to be directed to the Office of Housing. Caneali infelder, do you have questions or discussion at this time? MR. ALL � INFELDER: Yes, I do. Thank you. Go ahead, Council Member. R I WEALI`I-KLEINFELDER: To the Administrator. My question is, I'm at the funding sources that we have, Administrator, homelessness housing fu And I'm looking at the County now providing leases back to the different e tities providing services, but I'm also seeing that some of these are County funded services. So I'm beginning to see this in an interesting circular manner where we have funding going out from the County back into the County or funding going to nonprofits who are then paying other nonprofits lease space in spaces that they're renting or have rented. And I'm just looking at this whole situation with a little more discernment as to what is going on with the funding and where the different sources are being applied. This may or may not fall into Page 27 FC-29 February 17, 2026 anything egregious, but I'm just checking in with you to see what this is and what we're leasing and where the funding would come from HOPE Services. (Note: At this time, Housing Administrator Kehaulani Costa came f forward to address the members of the Committee.) MS. COSTA: Hi. Kehau Costa, Housing Administrator. Could you repeat your question? AL MR. KANEALI`I-KLEINFELDER: I'm break' is down and I'm trying to make this make sense to my mind. The fun g ut the door from the County to support homeless services, but i is case Services is now leasing back a space from the County, c . MS. COSTA: Correct. So West ai`i Emergency Homele elter is a County owned facility on Paw We out for a lessee rvice provider for the homeless shelter. Se has been leasi is space from us since 2019. They've had a m ease to operate the shelter. That lease included Hale ikaha Permanent ive Housing, two separate TMKs (Tax Map Key). So ar we have put o RFP for the two separate TMKs. One for the shelter an TMK was for management on Hale Kikaha. So that's why 'r ay. HOPE ices has been a lessee of this space since 2019. MR. KA I`I-KLEINF ER: O t 4 m particular., I think it's ething es leasing from the Coun s well co in i or County funding to id I'm ju ing it closely. So appre airly tforwa-td. I yield, Chair. M ACTIN ADAV Chair? :ay don't think that my logic applies to else. But I'm watching the different as leasing to each other while they're services back to the community. And date the answer. Thank you. I think this Thank you, Council Member. Any other questions? HUSTACE: Please, Council Member Kagiwada. 9KGIWADA: Thank you, Chair. My question is just around the length of th ase. Does the time, because you said the HOPE Services has been leasing t s since 2019, and yet this lease is less than a year long with a potential additional one year. Does this timeframe, is that because the services that are being contracted for with HOPE Services to be provided in this space that they're trying to align with those services and the length and time for those services being contracted? I'm just trying to understand the length of time here. Page 28 FC-29 Vote on Res. 462-26 (Approved) ADJOURN - A 4U-\TT February 17, 2026 MS. COSTA: For Office of Housing, a one-year lease with an option to renew for a year is a good way for us to manage the property with the shelter operations so that we can maintain oversight of the operations and ensure that the programs that are conducted in a County facility have County oversight. And I think the question for the service provider would best be answered by the service provider. My assumption is that funding for the programs affects their ability to manage operations and maintain the lease. MS. KAGIWADA: Okay. I think I get where Okay. Thank you. I'll ask the service provider yield. ACTING CHR. HUSTACE: Thaney Okay, seeing none. All those in faCouncil with a favorable recom The motion to recommend on carried by the following voice Ayes: Noes: Absent: being no adj the p Mr. Matt Kaneali `i-Kleinfelder, Chair Finance Committee MK/tk C mm' ee Members Ga Kan a i I- leinfelder, Ki Onishi, an N None. Commi None. 'go-iWg with this. Yeah. that separately. Thanks. I it Mem n ling Reso e say "aye." 462-26 was Z �Z!x'vlimball, ada, kd Villegas — 2. J other questions? 462-26 to busines our agenda today, Acting Chair Hustace at 11:28 a Thank you very much. (Date) Page 29