HomeMy WebLinkAboutREP LAAC 048 2026-10-06 2024-2026REPORT OF THE
LEGISLATIVE APPROVALS AND ACQUISITIONS COMMITTEE
DATE: October 6, 2026
PLACE: Council Chambers
Hilo, Hawaii
TIME: 12:36 p.m.
Council Chair and Members
Hawaii County Council
Hilo, Hawaii 96720
Re: Comm. No. 1025/13ill No. 187
Your Committee on Legislative Approvals and Acquisitions, to which was referred Bill No. 187,
reports as follows:
Bill No. 187, transmitted by Managing Director William V. Brilhante, Jr., via Communication
No. 1025, dated July 21, 2026, amends section 25-8-14 (Waik6loa Village District Zone Map),
Article 8, Chapter 25 (Zoning Code) of the Hawaii County Code (2016 Edition, as amended), by
changing the district classification from Residential and Agricultural —1 acre (RA -IA) and Open (0)
to Multiple -Family Residential — 1,500 square feet (RM-1.5), Family Agricultural —1 acre
(FA -IA), Agricultural —10 acres (A-10A), and Open (0) at Waik6loa, South Kohala, Hawaii,
covered by a portion of Tax Map Key: 6-8-002:016 (Applicant: Waikoloa Green LLC)
(Area: 14,868 acres).
The Leeward Planning Commission forwards its favorable recommendation for this amendment to
the State Land Use Boundaries Map for the requested change of zone, which would allow the
applicant to develop a 400-unit multiple -family housing complex with a clubhouse and related
improvements. The property is located at the southeast side of Pua Melia Street, approximately
810 feet south of its intersection with Waik6loa Road.
Legislative Approvals and Acquisitions Meeting of September 1, 2026
Planning Director Jeffrey Darrow, Planning Consultant John Pipan, and applicant Waikoloa Green
LLC Principals Jon Yoshimura and Daniel Popkin were present in the Chambers.
Mr. Darrow provided an overview of the Planning Department's recommendations.
Mr. Yoshimura and Ms. Popkin provided an overview of the proposed development explaining a
four-year planning process that intended to address workforce, affordable, and market -rate housing,
community gathering space, food security, renewable energy, and a Hawaiian sense of place. They
also discussed working with the community, Hawaiian Electric, the State Department of
Transportation (DOT), and wildfire -safety advocates on infrastructure hardening, firebreaks, and
emergency access. They explained the project is phased over an extended period and would not strain
the aquifer.
Committee Member James E. Hustace shared that the Waik6loa community faces continuing wildfire
risks and asked about Hawaii Water Service (HWS), system capacity, water availability, and planned
investments. The applicant said HWS had been consulted early and that the project team included
water -resource expertise. Mr. Pipan disputed assumptions in published material about the Waimea
Aquifer explaining that the aquifer had not undergone the Commission on Water Resource
Management's (CWRM) formal groundwater management area designation process. The applicant
stated that future water sources and costs could change over the project's development.
LAAC Report No. 48
LAAC-48 Page 2 October 6, 2026
Committee Member Ashley L. Kierkiewicz raised concerns regarding the cumulative implications of
water use and the need to understand how the proposed development would affect water availability
for other existing and future developments.
Committee Member Jenn Kagiwada acknowledged positive project elements but emphasized the
County's responsibility to examine whether projected demand could approach sustainable -yield limits
and affect other projects. She also questioned whether demand estimates for the agricultural parcels
reflected actual agricultural production. The applicant said HWS had been consulted and had used a
conservative demand estimate for the agricultural portions and that the long development timeframe
would allow future water conditions to be reassessed.
Mr. Hustace asked about community engagement and benefits that the project would provide to
Waik6loa residents. The applicant described outreach to the Waik6loa Village Association identified
needs for community facilities and emergency services, proposed five acres for a possible community
center or related public facility, and discussed a conservation easement of approximately 111 acres
with the Waik6loa Dry Forest Initiative. The applicant stated that the easement would provide an
opportunity for stewardship, including restoration using drought and fire resistant native plants and
trail access.
Bill No. 187 was amended with the contents of Communication Nos. 1025.2, 1025.3, and 1025.5, and
postponed, as amended to Draft 2, to September 15, 2026.
Legislative Approvals and Acquisitions Meeting of September 15, 2026
Planning Director Jeffrey Darrow, Planning Consultant John Pipan, and applicant Waikoloa Green
LLC Principals Jon Yoshimura and Daniel Popkin were present in the Chambers.
The applicant reported that an engineering review found the original water demand estimate had been
overstated and presented a revised estimate reflecting a 72 percent reduction. The applicant also
reiterated its proposed development initiatives and a $10 million fair -share contribution. It described
proposed water conservation measures and further work with the DOT on firebreaks and the
Kamakoa Nui emergency egress.
Planning Consultant John Pipan responded to testimony concerning environmental review, the
existing trail, and Chapter 343 of the Hawaii Revised Statutes (HRS) stating that the project did not
trigger an Environmental Assessment or Environmental Impact Statement on the grounds identified
by testifiers and discussed the potential role of Na Ala Hele Trail and Access Program if the trail were
determined to be a state trail interest.
Committee Member Holeka Goro Inaba's requested Jonathan Scheuer, Ph.D., of Kahalawai
Consulting, to provide an independent presentation on Hawaii water law, the public trust doctrine,
and the state's groundwater management framework under HRS Chapter 174C and asked for an
independent, non -biased perspective on the water resource issues. Dr. Scheuer explained that the
Waimea aquifer had not been formally designated as a groundwater management area and discussed
concerns about sustainable yield, existing and projected demand, and gaps in available data. He noted
that the County's Water Use and Development Plan was last updated in 2010 and emphasized
coordination between land use and water resource planning. He also discussed the County's
responsibility to consider public trust purposes, including domestic needs, Native Hawaiian
LAAC Report No. 48
LAAC-48 Page 3 October 6, 2026
traditional and customary practices, ecological resources, Department of Hawaiian Home Lands
(DHHL) needs, and agriculture with emphasis on identifying actual water needs, considering
alternatives, and assessing potential impacts on public trust uses. Mr. Inaba also sought additional
information from the Planning Department regarding other proposed developments and the
cumulative water implications, further stating that the water issue needed to be considered in
conjunction with other projects and requested additional coordination with CWRM.
Committee Member James E. Hustace stated that housing was needed but that wildfire, evacuation,
drainage, and other infrastructure concerns had to be addressed. He emphasized that conditions could
reduce risk but not eliminate it and called for responsible growth.
Committee Member Dennis "Fresh" Onishi questioned whether the agricultural lots would support
commercial farming or primarily family residences with agricultural areas and asked where the food
hub's agricultural production would occur. He expressed concern that portions of the presentation
appeared to extend beyond what was specifically reflected in the proposal. The applicant explained
that the agricultural component was intended to include family homes with agricultural plots rather
than conventional commercial farms.
Committee Member Matt Kaneali`i-Kleinfelder said more time was needed to assess the water
information and said more time was needed to assess the water information and the proposed
amendment. He questioned the County's incomplete understanding of water sources and cumulative
demand and requested a list of pending and proposed developments. Mr. Darrow said the Planning
Department was developing such information. Mr. Kaneali`i-Kleinfelder also raised concerns about
unreported well use and the need for a holistic assessment of housing, water, and infrastructure.
Committee Member Rebecca Villegas stated that Dr. Scheuer's presentation was alarming as it raised
concerns about future water use and remaining aquifer capacity. She drew on lessons from Maui and
cautioned against waiting until resources or infrastructure reached a critical point. Ms. Villegas
emphasized that her concerns were not intended as criticism of the applicant but reflected the broader
question of whether the County was approaching a point at which available infrastructure and water
resources could no longer safely support additional development.
Committee Member Michelle M. Galimba observed that a large development's water impacts could
be reduced if suitable resources and conservation measures were identified and noted that agricultural
activity could include alternatives such as aquaponics.
Committee Member Jenn Kagiwada asked about the public trust doctrine and relevant case law,
including Kauai Springs. Dr. Scheuer discussed the need to identify actual project needs, consider
alternative sources, and evaluate effects on ecosystems, Native Hawaiian cultural practices, DHHL
needs, public uses, and farming. Mr. Pipan noted that HWS had access to brackish water from the
adjacent `Anaeho`omalu Aquifer and other potential non -potable sources. Ms. Kagiwada expressed
concern about the County's public trust responsibilities and noted that further information could be
obtained through postponement.
Committee Member Ashley L. Kierkiewicz said water availability remained unresolved and requested
additional CWRM information before determining whether the project and existing commitments
could be accommodated.
Committee Chair Heather L. Kimball agreed that additional information from CWRM would be
beneficial and that she would attempt to obtain further information or participation from CWRM.
LAAC Report No. 48
LAAC-48 Page 4 October 6, 2026
Bill No. 187, Draft 2 was then amended with the contents of Communication Nos. 1025.10 and
1025.11, and postponed, as amended to Draft 3, to the October 6, 2026.
Legislative Approvals and Acquisitions Meeting of October 6, 2026
Planning Director Jeffrey Darrow, Planning Consultant John Pipan, and applicant Waikoloa Green
LLC Principals Jon Yoshimura and Daniel Popkin were present in the Chambers, and Deputy
Director of the Department of Land and Natural Resources and Water Resource Management
Commissioner Ciara W.K. Kahahane was present via Zoom.
Committee Chair Heather L. Kimball referenced Communications 1025.18, 1025.19, and 1025.20,
which contained information from the Department of Water Supply, HWS, and the CWRM.
The applicant requested favorable action, emphasizing the need for housing, describing more than
600 proposed homes, including approximately 400 rental units near the Waik6loa Shopping Center
and potential paths to homeownership. The applicant discussed work on roadway connections,
including a willingness to pursue an additional connection, and reiterated the position that there
would be no water, no development. The applicant cited HWS's Will Serve letter and studies
suggesting that additional well testing could provide further information about available water. The
applicant also emphasized conservation and Condition B, which would prevent development from
proceeding without demonstrated water service. The applicant stated that it had worked in good faith
to address wildfire risks and disputed allegations of coordination with the Planning Department to
conceal or minimize those concerns.
Committee Member James E. Hustace said the central question was whether growth could proceed
responsibly while protecting the community, acknowledging concerns regarding wildfire, roads,
schools, drainage, and other infrastructure while also recognizing the need for economic
development. He cited strengthened drainage and flood -mitigation provisions, affordable -housing
sequencing, and a $2.5 million Capital Improvement Project allocation he submitted for Waik6loa
design and infrastructure needs. Mr. Darrow stated that he did not identify a current HRS
Chapter 43 trigger based on the use of state or County land or funds or applicable archaeological -
registration provisions and explained that the General Plan 2045-related amendments addressed
Firewise USA, evacuation concerns, and that conditions and annual reporting provided checkpoints
for monitoring the project.
Ms. Kahahane addressed the Council's request for information regarding the Waimea Aquifer and
sustainable yield. She explained that CWRM had reviewed non -reporting wells and estimated their
pumping capacity at approximately 0.122 million gallons per day. She stated that the Waimea
Aquifer was operating at approximately 91 percent of its approved sustainable yield, which is
approximately 16 million gallons per day. Ms. Kahahane further explained that CWRM did not have
sufficient project -specific information to determine the proposed development's effect on the aquifer
because the specific water source had not been identified. She also stated that there was no
consistently agreed -upon definition of "authorized planned use" and that the County had not
completed an updated Waimea water -use plan since the previous planning work. Ms. Kahahane also
stated that CWRM had completed a deep monitoring well they've monitored since February 2026,
and they have not observed concerning changes.
Committee Member Matt Kaneali`i-Kleinfelder asked about the County's water -use planning, non -
reporting wells, and whether a comprehensive list of proposed developments could help CWRM track
LAAC Report No. 48
LAAC-48 Page 5 October 6, 2026
cumulative demand. Ms. Kahahane agreed that closer coordination between land -use and water -
resource planning would be helpful. Mr. Kaneali`i-Kleinfelder expressed concerns about water,
wildfire, evacuation roads, affordable housing, and said he could not support the development
because he believed the broader safety and infrastructure issues remained unresolved.
Committee Member Dennis " Fresh" Onishi asked whether the applicant would purchase water from
HWS or develop its own wells and asked about the status of unexploded -ordinance and defense -site
concerns. The applicant explained that surveys were being conducted and that applicable conditions
would apply. Mr. Onishi questioned the expected development timeframe, affordability and
affordable housing requirements, area median income, and the cost of housing. He expressed concern
that housing prices in the $700,000 to $1,000,000 range would be inaccessible to working families.
Mr. Onishi asked about the nature of HWS's pumping authority. CWRM clarified that because the
area was not a designated groundwater management area, HWS did not hold_a permit specifying an
aquifer allocation in gallons per day in the same manner as in a designated area; pumping capacity
and sustainable yield are distinct. Mr. Onishi requested HWS participation in future discussions.
Committee Member Rebecca Villegas emphasized that HWS's ability to pump water did not
necessarily establish that the aquifer could sustainably support the projected demand and stated that
CVA IM was the appropriate entity to address this concern. Ms. Villegas raised concerns about
drinking water, fire protection, evacuation, and infrastructure, and ultimately could not support a
development that could place residents at risk if an emergency occurred before adequate
infrastructure was available.
Committee Member Jenn Kagiwada acknowledged the need for housing but questioned whether the
community could rely on further infrastructure promises. She also recognized that requiring a single
development to bear the entire cost of a regional roadway would not necessarily be reasonable.
Ms. Kagiwada stated that she viewed the roadway as an important leverage point for ensuring that
meaningful progress was made toward improving community safety. She further discussed the
possibility of deferring the matter until a measurable commitment could demonstrate that the County,
developer, and other stakeholders were seriously addressing the infrastructure needs of the Waik6loa
community.
The Committee then voted to amend Bill No. 187, Draft 3 with the contents of Communication
No. 1025.21.
Your Committee on Legislative Approvals and Acquisitions is not in accord with the purpose and
intent of Bill No. 187, as amended to Draft 4, and forwards it to Council with a negative
recommendation.
dbk
AYES
NOES
ABS
EX
GALIMBA
X
HUSTACE
X
INABA
X
KAGIWADA
X
KANEALI`I-KLEINFELDER
X
KIERKIEWICZ
X
KIMBALL
X
ONISHI
X
VILLEGAS
X
Respectfully submitted,
COMMITTEE ON LEGISLATIVE
A PROV ;e AC UI I O�
Cat.
HEATHER L. KIMBALL, CHAIR
LAAC REPORT NO.: 48
ADOPTED: