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HomeMy WebLinkAboutCOM 0632.041 2000-2002 09/10/2002 15:49 808-935-4924 HIBR Pl~GE 01 BEAITORm '14 VO~aiareas~aa~ wvice ~~o Ft! T2a ~h®ne: 35.0827' ~'~ac: ~ hlhibr Mr, .1arv~~s Arakaki, Chairman Fr®a Chr9stina tleSihrst 9i's1~8912 7 lam: ~eplcrrrber 10, 2002 i t~e~sr~9t ~ IPsds' I~~ l~ Brle~ 1>~l!y t~ tp4t~ 1~11s ® pro itE~'.i='iV~~ ` ftrne_.__~.---------~ ~ ~Q~'a---°------ ------'-Gauncil ~®~nty MaMalo to th®9oflovvlrtg sponsors for supporting !-IIi3R's ptwgra~vos in 2002. ®larrrond: SA6mDSC ®F i~AAWAII 6~Iatinurvt, *APr~rlCan Saviatgs ~rs4 Arr~srar~n Long ~ iVlalone 'First ~°lao+vail Tdl~ "T'rtl~ G~ranty Sipes ''Clack F~aaRy . ''ii-lorn~s artd Land of the ~lg Island *First Fia~iian dank ~!®tas~rrta~er 'Island T'r8a °S~urity'TstO~ l3ron~: 'Ala Kai ~eaity wig Island Inspsetion *1=a'n3r'ly IVI®rtgage finance 1=adors''aFla~~ Trlburss Wierak9 "Hil®Tet~oite ~ lest Control *Flornast l3ank M 'Lawrence Appraisal Grorep "BNaryl l~aaltyr "h!®rth Arx9erican M®rtgage *F'®ter Kubota "i~obar4 Bloom Appraisals, inc. *tdoyai ~a~ Group °Tern~o~al Sa?rlr "1P4/es 1`hornas ~ Aerates "'i~fe58em PaAg"rc Mortgage r~mr~, IJoo Y+'ile moo. E; r~sers#~ Ref. fi®. Ref. ~~P 1 ~ Z~ 09/10/2002 15:49 808-935-4924 i~IBR PAGE 02 , . , AL~T~~ Horwrable Jam®s Y. Arakaki, Chairrtnart r ~ a Waianuenue Avenue And Members of the County Council - Hilq tfawsii 96720 County of 0-lawaii Phone: (806) fl33-0627 25 Aupuni Street fax: (soe} 935-a.s2a Hilo, I°II 9620 E-mail: hibr@hibr,oom Pr~it Carl 8pe~r, R, ~ro,GRl, ®ear Chairrvaan Arakaki and Members; Preaidatat-EJ®c4 Amendment td Chapter 23 (SubdivBSion Codel Rick ~a6, R, CRP,, CRS, GRI I~lating to Condorttirliur95 Property iRegirvaes yloe Ptesidess8 Ken Kj~r, R. In response to sorroe specific ?equests for additional written testimony that you made 5acratary at the last Public Nearing on August 28`", 2002, w® wanted to follow up with the k R, GRt following comments regarding the above proposed ordinance that will be voted upon 4 at the County Council hearing tomorrow. R Firstly, during ®ur most recent testimony regarding the CPR ordinance, we made Inarrtedla4e Past I ref®rence to our concerns regarding cePtain types of property where the CPF3 option Joni l,~Pinta, R, CC14A, l3Rl, might prove to offer legitimate ownership rights. As we have testified all along, one of our !+Ppatest concerns is that the adoption of this ordinance will create ®9rsdors: "unintend®d casualti®s", if You will, for certain types of properties and owners. 'Therefore, t simply wanted to re-iterate the one specific Qxarnple that you asked me Linda Calao, R, CRS, GRI to submit in wPltten fOPm. Gs A. Lally, R,t3Rl I'l~y C,~as, Jr R,CCM~A. .P'®~rtie~ ' ~.~~~i;~( !.d ~rz~i~s.iu~.~t~ d.ist~~cY cRi3,cRS,~RI Ec~r Cry, R, CRS,c~RI, Yh®re are rraany properties in Milo town that ate currently Zoned residential but have Chr~6na D®SAva, R a sp®cial us® p®rmit for certain professional uses, (these use to be approved by the FBealherFfedeasr~u, RGRI fenny P, R, e-Pro County for certain uses such as medical offices as well ~ other professional usesl• If this CPR ord'ananc® is adopted and prohibits CPRs in the RS districts, it would preclude these propety®s/owners from doing a CPR to create different ownerships. 1=or instance, if a +~®d'eca! building has multiple owners (several doctors sharp space Esss~ehms ~'c~ in a eomnton building and parking) , it is easy to understand and even accept that Adrierata IN. N these different owners would want to create separate ownerships to transfer, ~zssutiva,4ssistaoif mortgage, stc their interests separately. The CPR process is one of the best means LovdynA, fiasanian of doinfl this and ®ffers a very viable and l0gitirt'9ate own®rship tool for this typ® of ®i~aa 1ynd circumstance. ~iowever, if this CPR ordinance 6s passed, thes® propePty own®rs will not have this option. In this example, the use has not changed and the density hs~s not increasea~. Therefore, we question why the right to CPR on such a property would be prohibited. The above is just one exan'sple. We are concerned that there will be other types of REALTOR Is a reglst®red properties and ownePS who will b® aifeeted by an ordinance putting extensive co99ective membership mark which may be us®d only by restrict:: s on the use of CPi~s. We believe strongly that the ordinance as written real estate professionals who goes far beyond the scope of the oroglnal int®ntions, which was ori4inally su69pos®d are rvtembers of the find a means 04 191i$ipatinQ >`he U5s of Ci'I~ intended tD cirCllmvenY ZOPlirlg, particularly NATIONAL ASSOCIATION in AG zoning. OF REALT®RSc9 and subscribe to its StrlCt Cods of Ethics. 09/10/2002 15:49 808-935-4924 HIBR PAGE 03 Temporary grad ®tscreti®raary ~emptions Another specific concern r®garding th@ ®ill 220 relates to th® ex®rraptions allowable under this ordinance, Ot i$ ®f great cancem to us that this ordinance proposes to allow certain properties witf5 pPe-existing and pre-approved development { i,9: 2 houses built 10 years ego with all required permits and approv3lsi for a limited period of one year after ;tie date of adoption of this ordinance. Why only one year? is it appropriate foP the County to offer ;his for ®nly one y®ar? is there a m~e I®gitirraate n®ed for a property owner with pre-existing and pre•approved buildings to use the CPR ownership method now as opposed to a sin161ar property and circurtastances 3 years from now? If a propePty qualifies as a Eagi;irveate candidate for CPR ownership today, why wouldn't it tarnarraw? Obviously we strongly object to such a d'oscretionaPy and temporary ea:emption, Again, this specific obje_°:`,on highlights our Conc®rr1 that this ordinance goes beyond its origins! intentions. We would support an exearaption for th®se qualifying properties on a continued basis. We also want®d to provide some additional testimony on Ht~R's past efforts on 4his CPR issue for the record. As we have testified on many occasions, we have always acknowledq®d and even supported the Head to linabt the abuse of CPRs. In feet, we requested a rraeeting with the Mayor back in April of last year acknowledging concerns and asking for an appropriate means of addP®ssing this issue, As a result we were 6nvited to meet with Mr, Yuen ®n several diffeeens occasions over the course of the year that followed to try to work up sorrae ideas as to how to solve this beaus. We hav® attached copies of our previous Setters to Mfr. Yuen (these pr®-date the introduction of any ordinance on this matter) which w~ feet accurately surnrnarizes our posi4ion on this issue, It is ats® important to note that we did try to suggest certain specific ideas for changing the Faatva ®wallbng rotes in response to the issue of CPR abuse in e4G district. We hope that th®se left®rs will erraphasiae our pr®vious testirrwony in stating that hIII3R agrees with the original infant of Mfr. Yuen's obgectiv® to st®p the abus® of she CPRs. 1°lowever, we have always rvaaintained that this issue is a zoning issue and should not be addressed via a CPR ordinance -especially one that affects ownership rights and State governed issues, Lastly, with the mutual intention of araitigating on•goinq abuse of CPRs, we wanted to acid that we fee! that the risk of more future abuse has in fact alteady be®n curtailed through th® rn®dis, as well as the ov®rall disclosure in the real estate industry on this particular issue. In light ®f ;leis administration's current pol'ocy on the additional farm dwelling issue as well as the CPR issue, we would saagg®st that it has d®terred most, if not all attempts to CPR propert®s in an effort to ciPCutrivent zoning. We would be curious 4D know how many r®cent CPFi applications this adev°;.*.istration has received in the fast fi months or so ?1 ®ue to the fact that additional farm dwellings are not being approved on properties with CPRs, this has in effect stigmatized the concept of CPf3'bng a property and rendered the idea far less attractive. 1'he consideration of use o4 CPRs on a speculation and dev®lopmgnt basis has alt bus case®d and desisted. 9n foot, the real estat® industry as a whale would cautior? any property owner against CPR'inq a property with the intention of circurvaventing the Zoning code due to the risk of not being able to cr®ate two viablm °`buildable" units. l'herefore, l~IBR contests that the "abuse "issue has largely been addressed and that this administration's goa6 should be to create future County level policies and rules to exert its control over zoning issues, In conclusion, the Ffawaii Island Baard of F~ealtors wishes to coasnmunicate our strong objection to ®ill 220. We feet that this ordinance go®.s far beyond the scop® of the original cone®rns and intention of a CPR ordinance. We would rather support more discussion on a County zoniTag and subdivision t®vel in our i5nutual efforts of pPOViding for safe, fair and equitable development 6n our county. Sin , Pt Bne e~itva, R Govea~nrnent Affairs Committee Chairp®rson . 09/10/2002 15:49 808-935-4924 HIBR PAGE 04 Christopher Yuen, Esq. ~ Planning Director 25 Avpuni Street Hilo, Hawaii 96720 14 wenianuenue Avenue Hilo, Hawaii 9fi720 December 7"', 2001 Fax:ne: ~eoa) 935-ag2a E-ma61: hibr~hlbrt;pm RE: Agricultural Faun DwellingslClPFt Pna~ai Dear Chris, Carl Spent~r, R, ~Pro,GRI, Thank you for your continued cooperation with the Hawaii Island Board of Realtors in Prasiden4•Elect our mutu2l effort to find solutions to prevent abuse of the Agricultural Farm Dwelling R}clt Barbatl, R, CRB, CRS. GRI and Condominium Prop®rty Regime ("CPR"} laws. As we discussed during our last Vist$Prasideert rn®®ting, 1~1113R agrees with your desire for chang® in laws and rules to curtail abuse of Ken Kjer, R the current faun dwelling rules and CPR laws. Since most of the lands under County jurisdiction are within Agricultural districts, the modification of these rules is of vital S~?'e1~Y irvsportance for the long term beneft of the community. Howev®r, whiles w® are in Oonrr~ Herbst, R, GRI agreement with the basic goal of preventing such abuse, we differ in the means to 7r~sur~ achieve such goals. Gaay Ralhfus, R 6~IBR believes that this issue should be analya®d and addr®ss®d primarily on a land use In~I®diateiPas4Pr®sider~t and Zoning code lev®l. W4 do not agree that CPRS are the root of the evil and the Joe! Ls~ors4a, R, CC~1, GRI, reason for the abuse o¢ the f2rrn dwelling rules. It iS our position tha4 once the County has made a determination ®f the developable density of a property (including legal farm dwellings, Ohana properties, etc.), the form of ownership is not relevant, as long gS the us® is lapel and®r applicable zoning. CPRS m®rely allow properties to be Linda Caho, R CRS, C3R1 held in separate ownership. Whether these legally allowed properties are sold or kept G®argia A, CaElawey, R,CRI in unified ownership, from a planning and zoning perspective, the burdens on 11~+Corres, JrR,CCIM, infrastructure and the community are exactly the same, and should not be treated CRB,CRS,GRI differently. Edilh Cra'~, R, CRS,GRI, Clatsdna DeSiF~a, R HeatAer Hedenschau, RGRI 'The Board of Realtors believes that the County should create laws In accvrd2nce with Penny Pagliaro, R, a-Pro its Zoning ppwers to regulate land use, without regard to whether or nor the Land is subject to a CRR. We will help in supporting legislation to prevent the circumvention of zoning and subdivision laws by d®velopers usinfl GPRs to sell vacant building Ivts_ I•lowever, in accomplishing this goal, we do not want to hurt families who own legally F'ca6utlmeaflicer existing dwellings chat they may later want to CPR in ord®r to split ownership. Adrleerte M. N°tley Eate~utive Asslstaast At our last rneetinA, yvu invited us to offer suggestions far modification of the Farm LoveynA.Boeatsiarr Dwelling Rul®s to address these cancerns. We therefore offer the fallowing ideas for OianelN.eigand your consideration: 1) Forrroulate new AFDA ordinances and rules to establish that a) only one additional farm dwelling shall be allow®d per property every 3 years REALTOR® Is a registered bl only one additional farm dwelling shall be allowed per person, relate couective memberhip mark which may be us®d only by person or related entity, within 3 years real estate professionals wno aro mombr:r~ of the NATIONAL ASSOCIATION OF REALTORSC~ and subscribe to its stmt Gad® of Ethics. 09/10/2002 15:49 808-935-4924 HIBR PAGE 05 teem 1 al above would stow the growth of multiple farm dwellings on a property, presumably 6n accordance with actual farm development. Item 1 b) above would prevent devstlop®rs frasvt creating a ss3ri8s of 2 unit CPRs on nusve®rous properties in a new subdivision, which is a common occurrence in Kona. 1 ? 'The Farm Dw®Iling ordinance shall be amended to provide that sny CPR units should be for existing Ea permitted residential or farm dwellings only Itarrs 2 would address the prestnt problem of individuals who buy a vacant CF'iR unit on expectations or representations that they can obtain an additional farms dwehing permit, and are later denied when applying for an additional farms dwelling. It would also limit future CPRs t0 p®opl® who are willing to build- the ~dweilings before filing ti9® CPR. 'This would screen out most of the developers who would be unwitli~0 to commit to co-signing mortgages or prop®rty ownership in the interim before CPR, Likewise, unrelated buyers would hesitate to build a house on soevteone else's property on the prornis® or agreement that it wilt be toter CPR'd and transterr®d to the buyer. It would work well, however for the family owners who want to build and convey a portion of the farm to children or other farvaily meavsbtrs after CPR. These are the people who era willing to corr?mit to joust ownership, mortgaging, and building two hour®s on a singl® property until the ownership and mortgages can be separat®d. We believe that these solutions give the Planning Departrrs®nt a practical, straightformvard, and enforceable solution that doesn't rc~quir® intensive Planning Director tint® in the inception, or in policing after approval. l'he Rules should also provide for a special permit process through the Planning Cosvsmission for those legitimate farm ne®ds which don't tall within the gold®lines mbove. The O~lawaii Island Board of Realtors remains committed so working with your department on finding solutions to this issue. We arQ ind®ed grateful to bs consulted with in this process and we look forward to being of further assistance in doing what is best for thoC entire Community. Sinc®rety, Christine deSilva, R GAC Committee Chair, hlawaii Island Board of Realtors Cc;Mayor Barry Kim 09/10/2002 15:49 808-935-4924 HIBR PAGE 06 oGtobar 17, 2001 ~~l~OL~°~~® Christopher Ylten, Esq. 14 Walanuenue Avenue Hilo, H$wttll 96720 Plaonning Director Phone: (808) 933.0827 25 Auputti Street Pax: (808) 935-dt924 Hilo, Hawaii 96720 E-mail' htbr~ihibr.com RP' A$riculnaxal Fartu,l3wellings/CPR Presid®rt Jowl K. La Pints, R, GRI, CCIM Dear Ch.~e• Preslden4-El~t Thank you for meeting with anetnbers of the Government Affairs Cottcu~ittee of t1u Carl R, GRI Hawaii Island Board of Realtors to discuss ways to prcvent abuse of the Agricultural l~artn Awellit9g rice Pescl~tt and Condosaahaitun Property Regime laws. As discusscd, the Board of Realtors shares siaaailar goals ~k 13arPaati R, GRt, CR5, CR9 in prohibiting the use of these laws eo circuffivent subdivision ordinances and rules. VNe appreciate the opportutxity to work with your departtatent in formaaalatiing laws and rules that work for the be tl~rQtary interest of our cottanauniey. Mary R. , R, CRS Treasur®r While we are in agreement with the basic goals of preventing suoh abuse, we differ in 4be t;~y Rofisfus, R means to itchieve such goals. We believe that the County should create laws iat aecordaatee with its zoning powers given under Idaw. Rev. 5tnt. 5oction 46-4 to regulate lased use throughout the Inrcnediata Pant Prasin®nt County, without regard eo whether or nos the land is subject to a CPR. Wo believe that once the Chris 9pilhan~, R lead use decision is made to allow an additional farara dwelling, the plassning authority has made a decision that the land surd iutfrastructure are adequate to support such additional devalopanent, ®Irect®ra: °i herefore, tlao overlay of a CPR on existing farm dwellings do trot impose any additional burden on the coanmttniry. The basic decision by the Planning Departaneatt is whether or not the additional Georgia A Callaway, R dwelling should be allowed at all. Edith Cry, R, GRI, CRS Hewer Hchau, R `I7ae Boar) of Realtors is willing to work with you to formulate new rule. for rho granting Sandra Heger3e9dQ, R of Additional Farttt Dwelling Agreements ("AFDA^) to require bona fide agricultural activity before Donna Herbs1t,,_R, C§RI th® grant of an AFDA, and to utilize our resources to educato Realtors, the Qenerml public on the Robyn Kann IdatC2on, RA Ken Kjet, R AFDA rules, and its relatson eo CPR.4. We are also willing to provide testitnony before the Planning Commission and th® Council in support of such roles that work for the benefit of all. Tine i~awaii ]sland Braxsl of Rsaitors represenes a diverse membership of over 500 Realtors on both the .Bast and West sides of the island. lay educating our rnernbers and their olients, we cart rrsobilize quickly and effectively in educating the public in supporting the needed changes. We realise that it is a rrsore Exaceati~ ~fis~ politically difficult undereaking to rewrite the AFAA rules than to create new CPR Hales, but due are s4drs®nne !A. IJatley willing to assist iin the preseesc, and believe shat it is the wrrect solution to this problem. E~cutivt: ASS6stattt I.avelyn A. Botanlan To address she ooncern that developers are abusing the CPR process to sell unimproved Dlane Wdgand building lots, the Board of Realtors is wiilling to provide testimony at the Flawaii Real Estate Commission or Lhe Legislature to amend CPR laws to pr®vertt such abuse. We believe that the solution to CPR abtase is at the State level, and perhaps can bt done while the CPR code is being revised and considered for pa.~.sage at the 2002 legislative ses4ian. We believe that the root of rho problem we are destling with on this island, is the sale of "shadehouse" or "lawn shed" CPR unies eo persons who are not fully aware of the requirements of an Ai~DA- We are willing to plulge our REALTOF~ is a registered support to stop dais abuse. At the sane time, we feel that your proposal tequit'etaAetats of toll®ctive memb®rship m®rk conformance to underl ing zonin and subdivision laws will hurt than le 'timers individual which may be used only by y g y ga real estate professionals who laadownars wha worst to create a CPR t'nit for a gamily 9raember. ar® memhPrs of th® NATIONAI. ASSOCIATION OF REAITQaSQ4 and Kubscrlbm to its strict Code of EthiCS. 09/10/2002 15:49 808-935-4924 HIBR PAGE 07 T'kaus, we.vould like to eotstinue workitsg with your T~epartment to accomplish the followiE~g: 1. Foranaalate faew APAA rule,G and ordanataces to rerpuire }soma fides agriculturacl use, ug startdara~s that aee ~sily adffiiAaistered and understood. 2. Edueate the puhlic and provide testittsorzy .i;'t stapport of stiaclt Al~'A Hiles sued ordinastces befoz~ t1Aa: Planning Conatnissioq atttd County Council. 3. FOrtttaalmte and lmpleraaent transitional rules to address these pe~sle wh® have toottght CPR ueaitta (wlaetla®s farast dwellings are truilt or Hat) to phase out the seta of uniattprxsved ag CPRs. 4. Provide support in drafting saBd testifyiatg in suplsort of r®visioras to tba: CPR laws at the State level tv prevent usaa of CPR laws to circumvent county zoning and suhdewisiom taws. ~ltle look forward to further discussions with you and mEtnbers of your staff to addaecs these tnuttaal. goals for the bestefit of the larger coriaanatrtity. (3rrc® the titles for FDA/CPRtt are ectab19s1a®d, the rules cart Ire adapted us sddrecs oltaraa dwellings aced CPRs in a sianilar tuaasner. Thank you for your good efforts and work toward these goals. Very truly yours, Cbria-eane Ni. Y~eSilva, Realtor m klawaii Island >~oaad of i2ealtors Csoverart Affairs Coreamittee tChairperson Adlataa~ t® than tfotlaatveiAtg sp®re~AS Aoe supportetag 4191~'s prograeaas on 2001. ©taPncnd: ~APIK OF WAIJ1IRoll t'IatlAaaaarr: `Arnait~an ~Blvill~ "ftPSt Art~~rtcan Long & i~l~lone "firs4 Hawaii Takla "Title GuaPanty G®ld: Kattita4ani Estes silver: "Cleats t3a~9ty Ct>~. °t°IPlPY91e8 arty Land oA the Big Island 'Fret hiawaltaes Sa¢tk, "Island Title "S®CUrity Tk1o 0ramae: "Ala Kai P2ealty "gig latlatnd lasspataian °Farnlly Moatgaga °F~aance Pastore: °69>w~it Tribune Werald "Wqe T~rnrae g Pmt CoatSrat "ptema3street t3ank 'bleach Atsserlcan Iortgage °Peter Kubota °TeCARoa1a1 Satving~ '°UVest:am Pedfle Mortgage