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HomeMy WebLinkAboutMIN FC 2026/04/07 (2024-2026) DRAFT Committee on Finance 32nd Session Hawaii County Building 25 Aupuni Street Hilo, Hawaii 96720 April 7, 2026 CALL TO The regular meeting of the Committee on Financ s called to order at ORDER: 12:00 p.m., in the Council Chambers, Hilo, by tt Kaneali`i-Kleinfelder, Chair. ROLL CALL: Present: Mr. Matt Kaneali`i-Kleinfelder, it Mr. James E. Hustace, Vice ////�j Ms. Michelle M. Galimba Member Mr. Holeka Goro Inaba, Member Ms. Jenn Kagiwada, ember Ms. Ashley L. Kierki ember Ms. Heather Kimball, 1\Mr. Dennis "Fresh" Oni§V Ms. Rebecca Villegas, Meber STATEMENTS Th ed the Com ee to proc d to the next order of business, FROM THE ments f he Public one, enda Items. PUBLIC ON / in /AGENDA ITEMS: The duals regist to speak and came forward when called by the Cha /// anip son: Res. 475-26, Draft 2 (Comm. 744.4), in opposition. h Joan Res. 475-26, Draft 2 (Comm. 744.4), in opposition. Suisami lor: Res. 475-26, Draft 2 (Comm. 744.4), in support. represe g Big Island st Abuse Council) D" glas Halsted: Res. 475-26, Draft 2 (Comm. 744.4), in opposition. Connie Kiriu: Res. 475-26, Draft 2 (Comm. 744.4), in opposition. Ashley Ferraro: Res. 475-26, Draft 2 (Comm. 744.4), in opposition. Lane Miyake-Kamahele: Res. 475-26, Draft 2 (Comm. 744.4), in support. (representing Big Island Substance Abuse Council) FC-32 April 7,2026 Jim Dorr: Res. 475-26, Draft 2 (Comm. 744.4), in opposition. Sonia Juvik: Res. 475-26, Draft 2 (Comm. 744.4), in opposition. Marsha Krieger: Res. 475-26, Draft 2 (Comm. 744.4), in opposition. Thomas Krieger: Res. 475-26, Draft 2 (Comm. 744.4), in opposition. Peggy Yoshioka: Res. 475-26, Draft 2 mfff�-744.4), in opposition. Bryson Sakai-Soto: Res. 475-26, D m. 744.4), in support. j, Jesus Sanchez: Res. 475 Dft 2 (Co 44.4) in support. Rebecca Marshall: Re� 5-26, Draft 2 (Comm. 7 comment. Laura Balai: Res. 61 D e,,(Comm. 744.4 n support. Tracey Currents: Res. 475-2 ft 2 (Comm. 744.4), in support. ////% s. 475-26 Dra Kristen Alice: ���� � m. 744.4), in support. (representing HOPE Sece Hawai`i) �����// She � es. 475-26, raft 2 (Comm. 744.4), in support. (r esentin hidland bors) Domi 75-26, Draft 2 (Comm. 744.4), in support. resen ig Isla��//////////////// Council) CO The directe Committee to proceed to the next order of business, CATION //////j/ Comm tions Comm. 734.2: �/j AMEN ANNUAL REVENUE REPORT: JULY 1 2024 —JUNE 30 2025 om F' nce Director Diane Nakagawa dated March 11 2026 transmitting the eport pursuant to Section 2-12.6 of the Hawaii County Code. Page 2 FC-32 April 7,2026 Vote on Comm. 734.2: Ms. Kierkiewicz moved to close file on Comm. 734.2. Filed Seconded by Mr. Hustace and carried by the following voice vote: Ayes: Committee Members Galimba, Hustace, Inaba, Kagiwada, Kierkiewicz, Kimball, Onishi, Villegas, and Chair Kaneali`i-Kleinfelder—9. Noes: None. Absent: None. Excused: None. Comm. 785: COVID-19 TEMPORARY HAZARD PA XPE RES NOTIFICATION From Finance Director Diane Nakaga at84 March 11%26. Motion to Approve: Ms. Kierkiewicz moved t ose file on Comm. 785. Seconded by Mr. Hust � CHR. KANEALI`I-KLEINFELDER: scussion? Council ember Kierkiewicz. MS. KIERKIEWICZ: ave a question Xi for Nakagawa. CHR KANEALI`I-KLE ELD MS. ICZ: Than a very mu Director, so we're saying that the t', expen for tempor hazard pay are just shy of$52 million. Is this ® he admi ration kind o d in mind as a total cost of what the County wo bear' to cover this? V, At this ance Director Diane Nakagawa came forward to ddr e members of the Committee.) MS. GA ood morning, Council Members. Diane Nakagawa, //////// Finance artm t. It is less than we had anticipated. When we ad about a $70 mill estimate and that was when we weren't sure what was going to be included all of the agreements and we wanted to be prepared for sort of the hest V imate possible. So it is less than we had anticipated. IERKIEWICZ: Okay. Thank you for your planning. And then this tification is basically informing us that all of the unions have been taken care of? MS. NAKAGAWA: They have. MS. KIERKIEWICZ: Okay. No other ones that are going to come out of the woodwork? Page 3 FC-32 April 7,2026 MS. NAKAGAWA: Not that I'm aware of. MS. KIERKIEWICZ: Okay. Thank you, Director. CHR. KANEALI`I-KLEINFELDER: Thank you. Ms. Nakagawa, I was wondering why it didn't come broken down into each specific bargaining unit's total versus just a lump sum for each fiscal year. MS. NAKAGAWA: We can definitely provide th cafYive you a quick /0 // rundown now if you'd like,just summarize. CHR KANEALI`I-KLEINFELDER: Yes ase. /L MS. NAKAGAWA: Some of it we r down the act ersus the inactives, right, so the retirees an ose who have left the Co ervice. So SHOPO (State of Hawaii Or n of Poi e Officers) activ bout $10.9 million, almost$11 million; (H ,* Government ployees Association) actives $12 million. We ombine, so I would have to break it down differently for you for inactives to PO, UPW (United Public Works), and HGEA $15 milli FFA (Hawai`i liters Association) about $9 million, , then A inactives, $ I CHR KANEALI`I-KLE ELD k yo MS JLA/ WA: But I' happy to vide that breakdown for you as well. KANE `I-KLEINFE ER: No. That was good. I was looking for that in on. nk you. That big push that started what, two years ago. o ����� NA� WA: so. Yeah. And,you know, really a lot of it came o the f our financial system to be able to put these payments out, wh what I ger time once the settlement agreements were reached. grat or the entire County fiscal team who contributed to all of the wor get t e payments out. CHR K EALI`I-KLEINFELDER: Beautiful. Thank you very much, Director. KAGAWA: Thank you. R. KANEALI`I-KLEINFELDER: Seeing no further discussion, motion is on the floor to close file on Communication 785. All in favor? Page 4 FC-32 April 7,2026 Vote on Comm. 785: The motion to close file on Comm. 785 was carried by the Filed following voice vote: Ayes: Committee Members Galimba, Hustace, Inaba, Kagiwada, Kierkiewicz, Kimball, Onishi, Villegas, and Chair Kaneali`i-Kleinfelder—9. Noes: None. Absent: None. Excused: None. , ORDER OF The Chair directed the Committee to procee t t order of business, RESOLUTIONS: Order of Resolutions. Res. 475-26: AUTHORIZES AND DIRECTS T II TOR OF FI E TO (Draft 2) NEGOTIATE THE DISPOSITI F CERTAIN REAL P TY BY LEASE TO NONPROFIT O ATIOl FOR PERMA OUSING /PURPOSES Authorizes the negotiation of six one- ses with four one-year renewal options at an approxmmate annual cost o / or six residential properties to be used as long-term pe° nt housing for a rved populations. ' omm. 744. In �by: I Me er Kaneali`i-Kleinfelder (B/R) Poston Ma d 17, 2026 rh motion by ncil Member Inaba, seconded by Council er Kim to recommejado tion of Res. 475-26, as amended.) CHR. FE R: We have our Administrator joining us s e, Housing Administrator Kehaulani Costa and /// istant mistrator Keiko Mercado came forward to address the bers the Committee.) EMS. CO A: Hi. Kehau Costa, Housing Administrator. Keiko Mercado, , sista Housing Administrator. So our goal at Office of Housing is to provide for moderate to low income households. That does include our ALICE ( t Limited, Income Constrained, Employed)population. We hope to do this i an inclusive way by providing safe decent housing in community. Office of Housing, we have a strategy for providing housing looking at preservation of affordable housing,production of affordable housing, programs within housing, our housing components that provide supportive services, and police recommendations. Right now, within our existing housing inventory, OHCD (Office of Housing and Community Development) currently manages the spectrum of housing, the continuum of housing, some of which you've heard Page 5 FC-32 April 7,2026 about today. We manage ground wastes where affordable housing developers build affordable housing, we own our own facilities, we provide programmatic funding for the continuum of subsidized housing types, which includes emergency shelter, detox treatment, transitional housing, group living facilities, permanent supportive housing, multi-family rentals, single-family rentals through rental assistance, and home ownership. So we do it all at the Office of Housing. This past year, 2025, we purchased eight single-fami mes and one multi- family property in six districts on the island using ra� nergency Rental Assistance, ERA2, funds. I've provided in a co nication to you some of the information about eligible activity with thos ds which is acquisition of affordable housing for low-income familie 0 perc d below AMI(Area Median Income). In recognition for the critical nee r stable housing options island for our underserved populations, we i request proposal and th or that request for proposal was providing ane in for unders ed populations. We solicited proposals profit organizations in good standing with demor��strated experiences underserved populations and a minimum of five yeah xperience provi pportive housing services or similar residential pro a have that ae you. So while we did not specal ally s rate up living facilities, they are allowable in residential neib ods ai`i County Code, and they are Prot the Fair Ho g Act. OH was intentional in its efforts to pay o bsidiz using with s ortive services. This type of housing ntion b fits the indivi Is, ublic systems, and community, and I've als ided h you, you kno ere's body research on permanent supportive housin w* supports and I provided Council with the 2022 dings Comme from Hawaii State Supportive Housing Work I and d the o tion to this type of housing. I mean, I understand the concern don' nderstand the opposition. If neighborhoods are a place for / people t e and thrive, we have a problem. While I understand the concerns of ////////j thoh re in opposition to opposition comes from But will ll say that resolution, I'm not wew oing to try to stand will manage our ere t es in compliance with all federal and state and County laws, including z g. We will conduct site visits and annual compliance reviews of all of our operties as we currently do, and we will provide a departmental contact for the neighbors if there are any concerns about these rental properties. I appreciate some of the testifiers who started to think about and acknowledge the complexity that we have and started to think about solutions because that's where we really need to be. We just really need to be solution oriented. I started to hear a little bit of that today and community conversation is needed around the housing Page 6 FC-32 April 7,2026 issues that we do have on our island, the growing housing issues. I think this is a very public way to do that and a very transparent way to do that here. So here we are. CHR. KANEALI`I-KLEINFELDER: Thank you. To the Council? Council Member Galimba. MS. GALIMBA: Thank you. Given that we did rec ' an attorney client communication, I don't know if this is the right ti t want to cut off conversation that might want to happen before But I do feel that going into executive session would be a good thing to the memo. And I'm willing to do that, to make that motion, but so wa ive anyone a chance to speak if they would like to beforehand." CHR KANEALI`I-KLEINFELD Okay.,Before we go i ecutive session or you make that motion to go Sion, le go to questions. my comment would be carefully as we ceiv west from Co, ration Counsel. Ms. Kierkiewicz, go ahead. ll MS. KIERKIEWICAj nk you, Chair. ou know, Administrator, if I'm out of bounds with a lease let me kn e can enter executive session. But I think its p� the commu at large to hear this. What is at stake, what are we ring if to th e funds from the federal government? Like I think ou e fe ernment keeping score. I know it sho 've often fou at if you no to one kind of federal money, t hink a ey rememb at when you go and you ask for other pots of I fundin the future. *just want to know, if we say no to this, do we jeo e oth llocations fro D (Housing and Urban Development), for this p oses? OST�� at's always a consideration, right, to use our grant monies wi d co This was treasury funds. Overall I think we received over $25 in fe RA funds through COVID (Coronavirus Disease) and I �////////1 think fe I tran es. As the deadline for expenditure was approaching, the US treasury wed municipalities to utilize these funds for acquisition or construc But it had to be spent by September of last year, so unless you had a Ell oundovel-ready project that expenses could be met by September of last u know, we're not doing anything new here. Other counties have used th funds to purchase condos and single-family homes. We received additional s to funding that was allocated to the state for these purchases as well. So, you know, we used the funding that was provided, for the purpose it was provided, completely to move the needle on housing opportunities and I think that your question is what happens when you're given money for housing and you don't spend money on housing and you have a housing crisis; how do you go back to that funding source in the future? Page 7 FC-32 April 7,2026 MS. KIERKIEWICZ: And opposing lease authorization does not undo the purchase. MS. COSTA: We're already made the purchase. The purchases were completed last year by September. We were in purchase agreements before the completion of the funds, and these are County assets now in perpetuity. Twenty years affordability, they are deed restricted now for affordable housing, affordable rentals for low income. So we're looking for your su of partnering with our nonprofits for these rentals. And if I could just sa t win we talked about our spectrum of housing that OHCD manages, our ' t gap is permanent housing. And we aren't able to move our households g spectrum from emergency shelters to transitional program rogram re there's support and our families and our households are ab m e up int anent housing oo because we have such a gap in per ntifising units, s et stuck and our households get stuck and our pro ers get stuck with helping housing placement. MS. KIERKIEWICZ: Thank you. I as want to note that I'm struggling with this particular resolution. One beca ow that we need to have compassion, that the i°� need to support i uals that have come forward today like Bryce and L Trish, and of a stifled that said, "I fell on hard times, and there w u nfrastructu place to help me get clean to help me to turn my life ck ar can b contributing member of society." And I want to su o at. also know that this process in it of it n flawed. T° s a huge s n on this particular resolution and i h e mo and becaus ,�f the lack of community engagement, and I think all ac ledged that. %just want you to know that I'm really wrestling Wit toda CO -,,Sol t i of your questions around community engagement answ �y Corporation Counsel in executive session with regard to act that a under the Fair Housing Act. IEW Z: Thank you. I appreciate that. / MS. CO A: Yes. RKIEWICZ: Chair, I yield. R. KANEALI`I-KLEINFELDER: Thank you. Council Member Hustace. MR. HUSTACE: Thank you, Chair. Thank you, Administrator. Just two questions. Some things have been circling back a little bit through testimony, through our discussions here a little bit. Could you just speak to the annual rent and the lease of the facilities and why is it that figure? Page 8 FC-32 April 7,2026 MS. COSTA: I don't know why it's $10 a year. I mean, that's something that we have inherited at OHCD. Many of our ground leases, even the 65-year leases that we partner with our nonprofit developers are very low lease. And I believe it's primarily because we put the responsibility for all repairs and maintenance, management of the property, on the lessee. So if we had entered into a contract with a property manager, those responsibilities would either be on the County and that property manager would mainly be managing the property for the rental applications or it would be within the property mana ant agreement, and we would pay a property management fee. So we are in e honest of repairs and maintenance, of course we're setting the st d for what that is, but we're putting the honest of that on to the lessee. MR. HUSTACE: Thank you for the cl ��cajn. In in s where the County owns housing property and we don ve support services artnership with a nonprofit to offer those support s ces. What does that loo or the County? And going a little bi what r° d success or les n we learn or what are we lacking in those spa at w be can provide the County or we need at the County to then prov e services? MS. COSTA: I mea traditional prope nagement model where you are renting, you know, Ian nts using a re e al application, no supportive services, you 0 ave to ask roperty management company what the turnov �rate is ng to are those tenants maintaining their leases and what that l rserved population, it would prob t to ask our rofit provi rs what their success rates are for h ng thei is maintain ancy with supportive services anecdotally and rough s of the studie' at I provided in communication, you have a hig ccess to of maintains ng term housing for underserved populations when �en ' t entions are provided. UST 1, And we have all those supports within the County? j/ MS. A: W� t have those supports within the County. I mean, we look to our n ofit eiders to provide those supports. MR. HU ACE: Yeah. �STA: And we often see those nonprofit providers showing up to really h up in our housing efforts, you know, even in our Section 8 program and r ntal assistance program, providing the interventions needed to help our families, households maintain tenancy. MR. HUSTACE: Just one more question. Sorry. I lied on two. But the housing properties that we have under the County, you did mention that Office of Housing contact information is provided. Has that always been the case that it's there and Page 9 FC-32 April 7,2026 available, not talking about the nonprofit that may be operating and leasing that space, but the County contact information is also provided in those areas? MS. COSTA: Yes, departmentally. And also we do provide our property management, our nonprofit organizations that work with us, we provide their contact information. We do have our entire affordable housing inventory on the website with property management information. And if you called our office we would help anyone navigate the way through any nu of housing types that we have. MR. HUSTACE: And community members ihher direction. They can work and issue complaints or concerns wit e nonp nd with the County. MS. COSTA: Yes. MR. HUSTACE: We find suc th that hat they can go rections? MS. COSTA: Yeah. I mean,you kn ould hope that like in any situation that a neighbor would be able to solve pr s within neighborhoods, within property managemen ean,just tradition erty management; Kuikahi Mediation, landlord to iation program t r the County's own assets, we would get involved intervene i e are issues, if house rules are being broken. Nobod��wants rrible ighbor and that's not our goal so we would intervene and��o so o,yeah, you know, with the pa ' our nonpro e goal is ave additional support not less. USTA Thank you, inistrator. Thank you, Chair. CHR. FE R: Thank you. Council Member Onishi. NIS ank you, Chair. A couple questions. First about the rent. So we sing ear. These nonprofits that get these leases, some of them j// might e back e Council in applying for certain grants from your office to help ru se op ations, correct? /j MS. CO A: They could. ISHL And part of that agreement or that grant money that they might be g g might also be for repairs of that facility. MS. COSTA: I think we would look at that in the proposal and the budget and not allow for additional funds. If they're applying for program services then it's program services. MR. ONISHL Right. But then we've seen where grants have come in front of us and having double rent kind of basics, right? Even utilities that both the same Page 10 FC-32 April 7,2026 agency, different programs, but the same amount with the utilities and so forth, right? And so some members questioned your office about that, right? MS. COSTA: I think primarily you're talking about our emergency shelters that we operate. So these are single-family homes. Different. I think you're talking about proposals that might have come forward for our large emergency shelters where rent is not collected. MR. ONISHL Yeah, like the homeless and housi MS. COSTA: Yeah, for homeless shelters, MR. ONISHL Yeah, right. Okay. So ' to/Vnd of m at clear that there's the possibly, right, the nonprofits th e a°girded might b ying also for other grants to help run this facill* t that location, right? MS. COSTA: It's possible that the Id a MYes. MR. ONISHL It's possible. Yeah. So 1 / anted to make that clear so the public can understan right, because th� ntioned about the $10, right? We're charging only $ �� Second thine r 's like two separate programs that you folks' v the RFP (R st for Proposal)program, right, that can I guess go to no or thi ertain use of the property, and there's also the property m a ent o is basically more for single- fami ® o property m� gement co any could also manage a nonprofit w as a g home there? TA: ou know, I will at on Oahu that's the model, right, City and C ell what I understand, leases to a nonprofit that n pro eases t ganizations. I think this question alsoI think trea Jittle bit on what's allowable in zoning codes and what's all in zo o and what's allowable in zoning code is that nonprofits can o certifi cense group setting facilities within the Hawaii County Code. 1% MR. ON L No. My question to you was just that is there two separate ogra hat you folks access because I think I remember the first time we talked is your office chose to do not individually awarding separate homes to in idual families. MS. COSTA: So we are looking to lease these properties to nonprofit organizations for management. MR. ONISHL Yeah, right. Okay. MS. COSTA: Yes. Page 11 FC-32 April 7,2026 MR. ONISHL And I just wanted to kind of let them know that there was two separate, right? MS. COSTA: Yes. MR. ONISHL Right. Keiko, you can introduce yourself. MS. MERCADO: Aloha. Keiko Mercado, Assistant sing Administrator. I think what you're asking about is what our option ciClly were for the two for these houses that were purchased. MR. ONISHL Yes. MS. MERCADO: So we had either op0bn of going wi perty management or the option of RF out to the nonprofits. IIIN NEI MR. ONISHL Right. Correct. 0 Vo th office decided do the RFP side, right? / MS. MERCADO. �� MR. ONISHL I mean, �s� o kind of Ie� public know that there's two different because of t*ir testa e tal d about like single-family, but then also it wasn't, kind of a rig ay the RFPs were? ER Both optio property managers could also lease to a fit lation to do th n -term housing. MR. thnt o, when you bring that up, so next to my ow if I can kind of, how much I can go. But with erty gement, that housing really doesn't have, if there's a complaint, Ho doesn I ave any say to what's going on because you folks leave it I up to roperty agement to decide how things are going to happen, how they're g to f those problems. So that needs to be also known to the public about th situations. Yeah. And so I just wanted to just bring that up. C A: Thank you for that because we do feel that the way that we have o RFP to nonprofits provides Office of Housing more controls, not less c of because we are managing the nonprofits management of the home. MR. ONISHL Right. Correct. And that's good. But I just wanted to let them know the difference between property management and RFP. Okay. MS. COSTA: Yes. MR. ONISHL Thanks. I yield. Page 12 FC-32 April 7,2026 CHR. KANEALI`I-KLEINFELDER: Thank you. Council Member Galimba. MS. GALIMBA: I'd like to move that we enter executive session to consult with the Counsel's attorney on questions and issues pertaining to the Counsel's powers, duties, privileges, and immunities and liabilities. Vote on Motion to Ms. Galimba moved to enter into Executive Session in Enter into order to hold attorney-client privilege discuss' regarding Executive Session: Res. 475-26, Draft 2, as authorized by Sec 2- u)(4) of (Approved) the Hawaii Revised Statutes. Seconde s. Kagiwada and carried by the following voice v Ayes: Committee Members im Husta� ba of . Kagiwada, Kierki cz, ° nball, Onishi,� Chair Kaneali`i einfelder— 8. /////// Noes: None. Absent: Committee Mem �lleg Excused: None. i rY'O Recess: At 1:30 p.m., the Chled for a recess i r to clear the room. VIRmall, jam // Reconvene: The meeting reconvene l CHR KANEALI`I-KLEI �e are back from executive sess' �il Member ba would a please summarize for us? ALIM Sure. Thank, u. The Council consulted with Corporation Co won q y dons and issues ting to lease agreements and federal law in relatio �j A I-KLEINFELDER: Thank you. Okay. Council, back to � solution 475-26 (Draft 2). Council Member Kierkiewicz. MS. KI IEW Z: Thank you, Chair. You know, after much consideration vote he resolution is going to be a"no,"not because of the housing itself butunbeca of how this was handled and the risk of exposure that it creates for the ty d the Council should not be expected or put into position to clean up a rocess. Thank you. R. KANEALI`I-KLEINFELDER: Thank you. Anyone else? Council Member Onishi. MR. ONISHL Can I have Corporation Counsel come up? (Note: At this time, Deputy Corporation Counsel Sylvia Wan came forward to address the members of the Committee.) Page 13 FC-32 April 7,2026 MS. WAN: Deputy Corporation Counsel Sylvia Wan. Hi. MR. ONISHL I guess, if you can help us, the body, to help explain to the public on what our options were or what we have to follow by federal law? MS. WAN: Yes. MR. ONISHI: Thank you. 00%, MS. WAN: So these particular properties, bec ey're all residential properties, and especially because they were a ith federal funds, they are required to follow the Fair Housing Act. S far as eases go to these particular properties, any discussions er' granti of granting a lease has to be free from any consideratio ati, to any proteu asses that may or may not inhabit these particular erties. So as far as the O's discussions and our considerations, those s need e absent of the people that may be otherwise protected th A or Qt reside in the omes. MR. ONISHL And�o, I guess, for the p to know, I guess in the past at previous meetings w of were on that e, right? MS. WAN: Yes. / this t the input from our Corporation MR. ONISHL Right. Anc* Cou s know abou� e federal g elines and their laws. AN: MR. �d/ ank you. A `I-KLEINFELDER: Thank you. Anyone else? Council Me Ville S. ow, what a journey. I'll be supporting this resolution and moving and with it in the best interest of our compliance with the law and out of respec r Housing and the due diligence that you've done. While it may be rfect mperfect, I'm going to trust on this one that it is the better of the two s to make at this time. So I will be in support of passing this resolution to I yield. CHR. KANEALI`I-KLEINFELDER: Thank you. Council Member Kagiwada. MS. KAGIWADA: Thank you, Chair. I want to say a couple things. One is I want to be clear that when I proposed the amendment for this resolution it was based on my conversations with the potential lessee saying that they are no longer interested in leasing the property and that's the reason I proposed the amendment Page 14 FC-32 April 7,2026 to take that one property off here. So I want to make that clear. Secondly, I will be supporting this resolution and if anybody in District 2 wants to come talk to me now or,you know, probably not now, but at a future time, I'm really happy to kind of delve into my reasoning and who I'm going to be supporting this resolution. Thank you. CHR. KANEALI`I-KLEINFELDER: Okay. Thank you. Motion is on the floor to forward Resolution 475-26 to Council with a favor recommendation. Roll call, please. Vote on Res. 475-26: The motion to recommend adoption e® -26, Draft 2 Draft 2, was carried by the followi 11 cal (Approved) �r'��////ate Ayes: Committee Memb a�fba, Hustace Kagiwada, Ki Onishi� and Villegas — Noes: Committee s Kierk'i icz and Chair Kaneali`i- elde Absent: None. Excused: None. CHR KANEALI`I-K ER: Next re lease. Res. 494-26: AUTHORIZES THE PA N DS ATER FISCAL YEARS TO ENTER INTO A MU R L AGREEMENT FOR REAL PR O BE USE D THE HA I`I FIRE DEPARTMENT orizes ayor to ente to a five-year lease agreement with Maui ies Inve ents, Inc., wi �n estimated cost of$2,547.23 per month, for tw loca at 95-1163 Ka i Road. ce: Comm. 786 Intr. by: Council Member Kaneali`i-Kleinfelder (B/R) Vot 494-26: Inaba ed to recommend adoption of Res. 494-26. (Approve nded Ms. Galimba and carried by the following v vote: js: Committee Members Galimba, Hustace, Inaba, Kagiwada, Kierkiewicz, Kimball, Onishi, Villegas, and Chair Kaneali`i-Kleinfelder—9. Noes: None. Absent: None. Excused: None. Page 15 FC-32 April 7,2026 Res. 495-26: AUTHORIZES THE PLANNING DEPARTMENT TO AWARD FUNDS FOR THE KILAUEA RECOVERY GRANT PROGRAM Provides $501,100 in grant funds to various nonprofit organizations to provide relief, recovery, mitigation, and long-term resilience for disaster damages, losses, and suffering caused by the 2018 Kilauea eruption. Reference: Comm. 787 Intr. by: Council Membe rkiewicz Motion to Approve: Ms. Kierkiewicz moved to recommend ion of Res. 495-26. Seconded by Mr. Hust CHR. KANEALI`I-KLEINFELDER: cfMember iewicz. MS. KIERKIEWICZ: Thank yo air. This is wrapping a hard round of Kilauea Recovery grants to su mmuni� that were imp a� the 2018 eruption. As you recall, during our onv n about this p cular program, there were four projects in n new fiscal sponsor. And so the Recovery Division was able to identify i uals to support these worthwhile projects. So just loo or everyone's sup And Patti Pinto with Recovery is here to answer ques olks might ha�j you. CHR KANEALI'l-KLE&FELD k yo Seeing no discussion, motion is on the floor to forward of n 4 ouncil with a favorable reco M. All in fav All Vote on Res. 495-26- j Them n to recomm adoption of Res. 495-26 was (Approved) j rrie the following e vote: Co embers Galimba, Hustace, Inaba, Kagiwada, Kierkiewicz, Kimball, Onishi, le s, and Chair Kaneali`i-Kleinfelder—9. es. e. ent: one. sed: None. Res. 496-26: �/ CEP A DONATION OF GRANT FUNDS AND OTHER IN-KIND IONS TO THE DEPARTMENT OF PARKS AND RECREATION F HE LINCOLN PARK TENNIS COURTS AND EDITH KANAKA`OLE LTI-PURPOSE STADIUM The donation from the United States Tennis Association has an estimated value of$160,000. Reference: Comm. 788 Intr. by: Council Member Kaneali`i-Kleinfelder (B/R) Page 16 FC-32 April 7,2026 Motion to Approve: Ms. Kagiwada moved to recommend adoption of Res. 496-26. Seconded by Mr. Hustace. CHR. KANEALI`I-KLEINFELDER: Council Member Kagiwada. MS. KAGIWADA: Thank you. Do we have Parks available? Nobody from Parks here. Okay. Well I know this has been in the works for a while. It's really important to the community. I was glad that they co ome up with this funding. I'd really like for the community to have e i rmation about the timing on getting this done once we pass this re on and accept the funds. So I will try to follow up and hopefully they ca r Council. Thanks. I yield. h � j CHR KANEALI`I-KLEINFELDE a-n �. Council r/ Hustace. E MR. HUSTACE: Thanks Chi so have° uestion for Pare I'll hold it for two weeks then. Than you. CHR KANEALI`I-KLEINFELDER: T ou. Council Member Onishi. MR. ONISHL Thank r. I've been in d ith this. They did reach out to me, the US Tennis s USTA). A o we got this thing moving. Mr. Yoshimoto,you wane com d also aura, you can come forward. Laura is now the Finance ital ent Project)person in charge. SOS to be the pers' e've got come to every time. So you can i uce y �ves and we c move forward. ote: �t this time, Capin mprovement Project Manager Laura ist orporation Counsel J Yoshimoto came forward to ess the of the Committee.) EI M REN ood afternoon. My name is Laura Dierenfield. I'm the Capit rove m anager in Finance. YO IMOTO: Morning, Council Member. J Yoshimoto, Assistant Corporat Counsel. ISHL So maybe J, you can give a little bit history? And why I have L a here is because I want to make sure that this thing doesn't lapse again, r' ht? And so I think we have a deadline of June 2026. MR. YOSHIMOTO: June 30tn MR. ONISHL June 30, 2026. So money or construction or whatever work has got to start being done, right? Page 17 FC-32 April 7,2026 MR. YOSHIMOTO: Yes. MR. ONISHL It doesn't have to be completed by June 30''. MR. YOSHIMOTO: Well my understanding is it needs to be. MR. ONISHL Completed? MR. YOSHIMOTO: Yeah. j�MR. ONISHL Laura, you have abiggo a Laura. MR. YOSHIMOTO: So where shall I MR. ONISHL Just a short. ON MR. YOSHIMOTO: I understand. ve ,s the Parks De ment applied for this grant from the USTA. It's a p that the USTA is enthusiastic about. It supports tennis communities. This pa r grant will be providing resurfacing for the Li Tennis Courts a ddition to that this Smart Key access system, which t ing out, which a allows facilities to be locked with combination have more nical details. N MS. DIERENFIELD: Yea� I ows mg of folks in and out. And, yes, it w alled with ou house cre OSHI O: That will ha pening at the Edith Kanaka`ole Mu ose 'odium. So that e a benefit to the community. And I think USTA� �� ike s pilot to see how this system would work. So I���� efull / uccess a County can take advantage of the grant monies prog R. HL Ri . Because we don't want to lose it, right. Yeah. Laura,you have an ng to d? So I guess, to Laura, the work has to be completed by the 301', so 'I'll be on them, right, and getting this thing moving forward. Correct? %S. DI NFIELD: Well, certainly very grateful to be involved and supporting t project. It is out to bid and bids are going to be back on the 16'',just ri around the corner this month. So we do expect to be moving swiftly once t 'ose are in. MR. ONISHL I had heard the funding might not be enough for the work at Lincoln, so does P&R (Parks and Recreation) have a back up of extra funding to add to the project? You can come up now. Page 18 FC-32 April 7,2026 (Note: At this time, Parks and Recreation Accountant Nori Ishii came forward to address the members of the Committee.) MS. ISHII: Nori Ishii, Accountant at P&R. I'm not too sure on that. I would have to check with James (Komata). But normally, depending on how much the overage, we may be able to cover it. So at that point and time we'll make a determination. MR. ONISHL Okay. ��MS. DIERENFIELD: And I'll offer that thi s � n our list of top priorities from the day I started. So we've been anti tmg th ould possibly run over but we're making every effort to try to i ithin th ® t award and the combination of using in house crew we s being com sive about the work at Lincoln Park to include f mg with,our in house cre well should hopefully keep us within thos MR. ONISHL Okay, great. And Pu s, Highways, with their paving, they do a great job. They just did Ainao pickleball court and also the tennis courts and it looks gev o yeah thank yo much for all your help. Thank you. %%��� MS. DIERENFIELD: Y� abso ur pl ure. CH I`I-KLEIN ER: Thai'' you. Council Member Hustace. 411HUSIA Yeah. It kin f o ened up some other questions I had about thi d they in here, when arks and Recreation apply for this grant? Becau� ni mentioned that the funds had lapsed. // OS O: It might have been I want to say a year or two ago and we ham itial �� e December of last year and then we were able to he negot n exten to June of this year. /. MR. HU CE: So this is an extension then here for the most part, accepting these fun SHIMOTO: Yes. They're pretty gracious about it. I mean, they're h ul. MR. HUSTACE: So sorry. The timeline again; Parks and Recreation applied for the grant a year ago, a year and a half. MR. YOSHIMOTO: I want to say,yeah, it's within that timeframe. Page 19 FC-32 April 7,2026 MR. HUSTACE: And they applied for the grant but didn't move the wheels in motion to get this done within the timeframe before coming back to us here for reappropriating. MR. YOSHIMOTO: I don't know about that. I learned about this probably June of last year, maybe July of last year. And then we had that timeframe from June or July of last year till December. We tried to do it and couldn't do it. MR. HUSTACE: We just went out to bid this last h��'%--, MR. YOSHIMOTO: I don't know when the s out but I'm pretty sure it was recently. Yeah. Because it's not as si e as ju g it. You have to have the plan. MR. HUSTACE: Sure. But we ied for the grant a year aalf ago and we didn't put the bid in until a mO The ti ng seems a little me in terms of wanting to do the work, ri d n ,g prepared to nd the money in accordance with the initial grant re those funds. MR. YOSHIMOTO I can't speak t, MR. HUSTACE: Okay.i i ing it out th ecause, I mean, Parks isn't really here to kind of spe to this MR. OTO: We ca ovide furt details maybe at the next hearing. 10%. USTA Okay. Than ou. Because I'm curious. My other question ve be about these fun at are out there we have requests for tennis courts , , � y different communities. I got an email the er day t one m So if we are actively pursuing these funds to these ties, let's get it done, let's do it and not have to come back again. So, ling J. Thank you though. MR. Y IMO No. It's all good. It's getting done though, I mean, on the ht. I mean it might've taken some time but as the Council knows bright si rig // here's s any priorities across the County. 11 STACE: Absolutely. Yeah. YOSHIMOTO: Yeah. MR. HUSTACE: Thank you, J. Thank you. CHR. KANEALI`I-KLEINFELDER: Thank you. Council Member Onishi. Page 20 FC-32 April 7,2026 MR. ONISHL Yeah, thank you, Chair. Just to add. But it was a group of tennis players that kind of helped with getting this grant. Correct? Because I've gotten the call from MR. YOSHIMOTO: Yeah. You would know more than me. MR. ONISHL I guess, your relative. e.///n�/////Nt MR. YOSHIMOTO: Other people who played toe community. MR. ONISHL Yeah. MR. YOSHIMOTO: Yeah. They're a at , WE %j j5 MR. ONISHL So they're the on at notified me about the ds that needed to move forward. MR. YOSHIMOTO: And that helps MR. ONISHL And 1�� one thing about as about the contract or the agreement that had to something, ri MR. YOSHIMOTO: W etter t w e would need to sign off on. MR.IANaftell.Yeah, somet like that. j p� OSHI O: And the or's Office didn't do that,yeah. MR. o i as just that group of tennis players kind of ed m e this a e funding. M HI� at is true. I'm sure they must have contacted some Coun embers yourself, right, to advocate, right? MR. ON L I guess. But they went to the association to kind of get that money. N SHIMOTO: That too. Yeah. ONISHL Yeah. Okay. But I yield. Thank you. CHR. KANEALI`I-KLEINFELDER: Thank you. Seeing no further discussion, motion is on the floor to forward Resolution 496-26 to the Council with a favorable recommendation. All in favor? Page 21 FC-32 April 7,2026 Vote on Res. 496-26: The motion to recommend adoption of Res. 496-26 was (Approved) carried by the following voice vote: Ayes: Committee Members Galimba, Hustace, Inaba, Kagiwada, Kierkiewicz, Kimball, Onishi, Villegas, and Chair Kaneali`i-Kleinfelder—9. Noes: None. Absent: None. Excused: None. CHR. KANEALI`I-KLEINFELDER: Bill 1, BILLS FOR The Chair directed the Committee to d t the nex r of business, ORDINANCES: Bills for Ordinances. M Bill 144: ADOPTS A PAY PLAN FO NS E OYED BY T TY OTHER THAN THOSE WHOSE so ,WISE PROVI D FOR, DESIGNATING PAYROLL PERIO DABS, PRESCRI ING REQUIREMENTS WITH RESPECT T ICIAL FIDELITY BONDS, AND REPEALING NANCE NO. 25- ALL AMENDMENTS THERETO, SAID OR E TO BE KN A ,THE SALARY ORDINANCE OF 2026��i Establishes rates of comp sation nted ployees in the Legislative Branch and the Office of si and ity Development, the County y ent Helpers, Senior Co unity Services Aids for various C ty age Referenc omm. 789 b A Council Member Kaneali`i-Kleinfelder (B/R) Vote on �: � Mr. moved to recommend passage of Bill 144 on first (Appr ading d by Ms. Kagiwada and carried by the owing e vote: Committee Members Galimba, Hustace, Inaba, Kagiwada, Kierkiewicz, Kimball, Onishi, //L Villegas, and Chair Kaneali`i-Kleinfelder—9. oes: None. Absent: None. Excused: None. Page 22 FC-32 April 7,2026 Bill 145: AMENDS ORDINANCE NO. 25-45, AS AMENDED, THE OPERATING BUDGET OF THE COUNTY OF HAWAI`I FOR THE FISCAL YEAR ENDING JUNE 30, 2026 Appropriates revenues in the Federal Grants —Housing Choice Voucher Program account($1,000,000); and appropriates the same to the Choice Voucher Rental Subsidies account. Reference: Comm. 790 Intr. by: Council Mem a�n'ali`i-Kleinfelder (B/R) Vote on Bill 145: Mr. Hustace moved to recommend p ill 145 on (Approved) first reading. Seconded by Ms. Ki 11 and by the following voice vote: ,,, Ayes: Committee M ers Galimba, Hustace, In� Kagiwada, wicz, Kf ball, Onishi, Villegas, and Ch nea ' einfelder—9. Noes: None. j/ Absent: Npne. Excused: Nf '�%%�% Bill 146: AMENDS ORDINAN AS AME THE OPERATING BUDGET OF THE CO�,�Y O `I FO HE FISCAL YEAR ENDING JUNE 30 2026 Incr ues in the St rants —Tr sit-Oriented Development Capital I oveme gram for 34 inbow Affordable Housing Project account 0,000); appropriates same to the Transit-Oriented Development Ca pro ent Program f Rainbow Affordable Housing Project accou Reference: Comm. 791 ntr. by: Council Member Kaneali`i-Kleinfelder (B/R) Vote on 6: HustaWmoved to recommend passage of Bill 146 on (Approved) //////// fi reading. Seconded by Ms. Kagiwada and carried by the f wing voice vote: ' on" yes: Committee Members Galimba, Hustace, Inaba, Kagiwada, Kierkiewicz, Kimball, Onishi, Villegas, and Chair Kaneali`i-Kleinfelder—9. Noes: None. Absent: None. Excused: None. Page 23 FC-32 April 7,2026 ADJOURN- There being no further business on our agenda today, Chair Kaneali`i-Kleinfelder MENT: adjourned the meeting at 3:11 p.m. Thank you very much. ///iceM/6111/ 'MEN //1 Va %, Approved: Mr. Matt Kaneali`i-Kleinfelder, Chair (Date) Finance Committee MK/tk Page 24