HomeMy WebLinkAboutBIL 204 Draft 01 2024-2026AN ORDINANCE AMENDING CHAPTER 2 OF THE HAWAI‘I COUNTY CODE 1983 (2016 EDITION, AS AMENDED), RELATING TO THE ESTABLISHMENT OF A TOWN REVITALIZATION PROGRAM.
BE IT ORDAINED BY THE COUNCIL OF THE COUNTY OF HAWAI‘I:
SECTION 1. Findings and purpose. The Council finds that many of Hawaiʻi Island’s historic downtowns, plantation towns, village centers, and commercial districts serve as important
economic, cultural, and social anchors for their surrounding communities. These areas reflect the island’s unique history and identity and provide opportunities for locally owned businesses,
employment, community gathering, recreation, and tourism.
The Council further finds that many buildings and structures across the island have experienced years of deferred maintenance and disinvestment, resulting in deteriorating conditions,
vacant storefronts, and visual blight. Left unaddressed, these conditions discourage private investment, reduce economic activity, diminish community pride, and contribute to a cycle
of decline that becomes increasingly difficult and costly to reverse.
The Council recognizes that strategic public investment can serve as a catalyst for revitalization by reducing barriers to building rehabilitation, preserving the historic character
of downtowns, improving the appearance and functionality of business corridors, and returning vacant or underutilized properties to productive use. Such improvements can attract new
businesses, support existing enterprises, encourage additional private investment, increase pedestrian activity, and strengthen the economic and social vitality of the surrounding area.
The Council further finds that partnerships among government, non-profit organizations, philanthropic institutions, and private property owners can maximize the impact of public funds
by leveraging additional financial resources and technical expertise to accomplish revitalization efforts that would not otherwise occur.
Accordingly, the purpose of this ordinance is to establish the Hawaiʻi County Town Revitalization Program to promote the long-term revitalization of and stimulate investment in Hawai‘i
Island’s historic downtowns, plantation towns, village centers, and commercial districts through strategic investment in building rehabilitation, historic preservation, and other public-facing
improvements. The program is intended to preserve the architectural and cultural character of Hawaiʻi Island’s communities; strengthen locally-owned businesses; reduce blight; stimulate
economic activity; attract new investment; and leverage County appropriations with private, non-profit, philanthropic, State, and Federal funding to promote the long-term revitalization
of the island’s towns and village centers.
SECTION 2. Chapter 2, article 8, of the Hawai‘i County Code 1983 (2016 Edition, as amended) is amended by adding a division to be appropriately inserted and to read as follows:
“Division . Town Revitalization Program.
Section 2-A. Establishment; purpose.
There is established the town revitalization program within the department of research and development
The purpose of the fund is to promote the long-term revitalization of communities on Hawai‘i Island through strategic investment in projects that improve commercial buildings and strengthen
commercial districts, downtowns, historic towns, and village town centers throughout the County.
Assistance may include grants, matching grants, technical assistance, forgivable loans, revolving loans, or other financial assistance approved by the County to accomplish the purposes
of this article.
The program shall be administered in a manner that maximizes the leveraging of County appropriations with non-County funding sources.
Section 2-B. Program funding.
An annual appropriation shall be made for available grant funding under the town revitalization program in an amount not exceeding one million dollars.
An additional annual appropriation may be made for administrative expenses of the designated non-profit under section 2-C in an amount no more than twenty percent of the appropriation
under subsection (a).
Monies appropriated for the program shall not lapse at the close of the fiscal year and shall remain available until expended for the purposes of this article.
Section 2-C. Program administration.
The director of research and development shall designate, through a competitive procurement process, a qualified non-profit organization to administer the program.
The director of research and development shall be responsible for program oversight, administration of the agreement with the designated non-profit, and evaluation of program outcomes.
The designated non-profit must demonstrate substantial experience in grant administration, historic preservation, downtown or community revitalization, project management, financial
management and accountability, community engagement, and leveraging philanthropic or other non-governmental funding.
The designated non-profit shall:
Receive applications for town revitalization grant funding;
Evaluate grant applications through an application review panel;
Award grant funds at least twice annually;
Monitor project completion;
Seek additional funding sources;
Prepare the annual report required under this article;
Advertise the program throughout the County; and
Perform other duties as may be required by the director consistent with the purposes of this article.
The director of research and development, or the director’s designee, shall serve on the designated non-profit’s application review panel.
The maximum grant award for a project under the town revitalization program is $100,000 per fiscal year.
Section 2-D. Eligible applicants and areas.
Eligible applicants for town revitalization grant funding are limited to property owners, business improvement district associations, non-profit organizations, and long-term leaseholders
within any of the following areas:
Historic downtowns;
Communities historically developed in association with Hawai‘i’s sugar, agricultural, or plantation industries, commonly known as plantation towns;
Special commercial zoning districts;
Village centers identified in the general plan or a community development plan;
Registered historic places; or
Other areas that may be designated by the director based on demonstrated revitalization need.
In the case of an applicant who is a long-term leaseholder, the consent of the property owner is required for the application to be eligible.
Section 2-E. Eligible projects.
A grant application is eligible for town revitalization grant funding, provided that it proposes, advances, or pursues a project resulting in a permanent physical improvement that contributes
to the long-term economic vitality, safety, accessibility, functionality, or appearance of an eligible area. Eligible projects include, but are not limited to:
Building exterior improvements, such as façade restoration, storefront improvements, murals or other painting work, siding repair or replacement, window and door replacement, awnings,
roofing visible from public rights-of-way, exterior lighting, signage, accessibility improvements, landscaping, and screening of utilities;
Historic preservation, such as restoration of historic architectural features, masonry repair, preservation of historic materials, reconstruction of historically documented building
elements, and stabilization of historic structures;
Building rehabilitation, such as structural repairs, code compliance, weatherization, adaptive reuse, upper-floor activation, and improvements necessary to return vacant or underutilized
buildings to productive use; and
Technical assistance that will lead to physical improvements, such as architectural services, engineering, preservation consultation, feasibility studies, and construction documents.
Section 2-F. Grant evaluation criteria.
(a) In evaluating grant applications, the designated non-profit’s application review panel shall consider:
Contribution to town revitalization;
Economic impact;
Elimination of blight;
Historic or cultural significance;
Adaptive reuse of an existing structure;
Preservation of community character;
Support for locally-owned businesses;
Activation of vacant space;
Amount of additional funding leveraged;
Quality and appropriateness of the proposed project; and
Long-term public benefit.
(b) Applications committing cash or in-kind resources toward the proposed project may receive priority consideration in the evaluation of grant applications.
Section 2-G. Grant agreements; signage requirement.
Prior to disbursement of grant funds, a recipient shall enter into a grant agreement with the designated non-profit. The agreement shall confirm the project scope, completion requirements,
disbursement and payment procedures, reporting obligations, and any other conditions established by the director of finance.
A funded project must be completed within one year of the effective date of the grant agreement, unless the designated non-profit approves an extension. The designated non-profit may
approve a request for an extension; provided that the grant recipient has demonstrated that the need for the requested extension was caused by circumstances outside of the recipient’s
control, including but not limited to permitting delays, contractor availability, weather events, or unforeseen site conditions. An extension may not exceed twelve months beyond the
original project completion deadline.
If a recipient fails to complete the project within the time allowed, or otherwise fails to comply with the terms of the grant agreement, the designated non-profit may suspend disbursement,
require the repayment of funds already disbursed, or pursue other remedies specified in the grant agreement.
Upon disbursement of a grant award and continuing through project completion, a recipient shall post a sign at the project site, visible from the adjacent public right-of-way, acknowledging
that the project is funded by the Hawaiʻi County Town Revitalization Program. The sign must be no smaller than 8.5 inches by 11 inches and must use a standardized template developed
by the designated non-profit and approved by the director of research and development.
Section 2-H. Annual report.
(a) The designated non-profit shall prepare an annual report covering the program during the preceding fiscal year. The report must, at a minimum, include photographs and the following
information:
A summary of program activities and accomplishments;
A description of projects funded, including their locations, scope of work, and status of completion;
County funds awarded and expended;
Non-County funds leveraged, including any cash or in-kind contributions committed by grant recipients;
Progress toward the program’s long-term revitalization objectives, including the preservation of historic character, reduction of blight, and stimulation of additional investment in
participating communities;
Estimated economic impacts, including jobs created or retained, where reasonably ascertainable; and
Recommendations for improving program effectiveness, if any.
(b) The designated non-profit shall transmit the report to the director of research and department no later than August 31. The director of research and department shall transmit the
report to the council no later than September 15 and, in doing so, may include the director’s own observations, comments, or recommendations regarding the designated non-profit or the
program as a whole.”
SECTION 3. New material is underscored. In printing this ordinance, the underscoring need not be included.
SECTION 4. Severability. If any provision of this ordinance, or the application hereof to any person or circumstance, is held invalid, the invalidity does not affect other provisions
or applications of this ordinance that can be given effect without the invalid provision or application, and to this end the provisions of this ordinance are severable.
SECTION 5. This ordinance shall take effect upon its approval.
INTRODUCED BY:
_______________________________________
ASHLEY KIERKIEWICZ
Council Member
_______________, Hawai‘i
Date of Introduction:
Date of 1st Reading:
Date of 2nd Reading:
Effective Date: