HomeMy WebLinkAboutCOM 0647.011 2002-2004
Jul•2L 2004 1:43PM HUGGO's & PARADISE GOURMET No.6480 P. 1
Tj1E LA'NbWIA1'~t Of ~0~1A
Olu Kay Ltd.
75-5828 Kahaka~ Road . Ka1luo-Kona, HI 98740
Phone: (808) 329-8711 Fix: (808) 329-8712
FAX
DATE: )uly 21, 2004
TO: Aaron Chung, Chairman Finance COmmlttEe
FAX N~IMBER: 961-8912
FROM: Eric von Platen Luder
NUMBER OF PAGES INCLUDING COVER PAGE: 3
MESSAGE:
Dear Chamnan Chung,
Attached please fend a copy of the Statement from Rlck Egged, President of the Wa~k~k~
Improvement Assoc~auon. Please have d~stnbuted to all members of the committee.
Mahalo, ~
Erlc von Platen Luder J i-
r.:
Comm. tJo. ~ ~7
Ref. To: Frese~ e
Ref. Uate
Jul•21. 2004 1:4,,?PM HUGGO's & PARADISE GOURMET No.6490 P. 2
WAIKIKI IMPROVEMENT ASSOCIATION
Statement of Rick Egged, President
Waikiki Improvement Associatlon
To the
County of Hawaii
Finance Committee
Thursday, Jnly 22, 2004
In consideration of
B~ll 280 AN ORDINANCE AMENDING THE HAWAII COUNTY CODE 1983
(1595 EDITION) BY ADDING A NEW CHAPTER RELATING TO BUSINESS
IMPROVEMENT DISTRICTS
t:,odd Afternoon Chair Chung and members of the Committee.
1 am Rick Egged, President of the Waikiki Improvement Association (WIA),
I apologize for being unable to attemd today's meeting. I attempted to adjust my schedule
to make this hearing but was unable to do so. I was asked on short notice to represent
Waikiki at an event in Shanghai and the dates end flight schedules did not allow me to be
present today.
A business improvement district is a proven tool for the revitalization of a specific area
combing the strengths of government and the private sector. A business improvement
district is a designated sector where business and property owners organize themselves to
provide specific aervices not otherwise provided by the city. Safety and secruity,
sidelvalk cleaning, landscape maintenance; visitor information, events, promotions gad
par g are some of the most commonly provided services. The BID is a tool that
pro 'des the business comrimnity with the means to address local needs. The businesses
and operty owners pay assessments in order to fund and mange these supplemental
s 'ces.
Th a are over 1200 BIDs across the country including districts in Baltimort, Denver,
Po and, Los Angeles, San Francisco, ,and the most well known of New York City's
fo -one business improvement districts Tinges Square. The Waikiki BID has played an
important rote in our revitalization effort. In 1999, WIA worked with the State
Legislature to create tho law allowing the counties to form BIDs in Hawaii. The
following year the City and County of Honolulu passed its ordinance enabling BIDs and
immediately thereafter created Hawaii's fast BID in Waikiki.
I have reed the minutes of June 14s' Finance Committee fleeting. I have also read the
memo from fls. Constance R. Kiriu, the Legislative Auditor addressing the committee's
questions, I agree with her comments and recommendations.
Wailtild Im tovanent Association 2255 Kuhio Avenue Suite 760 Honolulu lit 96815
nqutres: .23.1 One , e provemen corn
Q
Ju1.21, 2004 1;43PM NUGGO's & PARADISE GOURMET No.6480 P. 3
First let me say that the BiD is only one part of the effort to revitalize Waikiki albeit an
important part. The Waikild BID cleans and washes the sidewalks making them
positively sparkle; it maintains rho landscaping so that plantings are always beautiful,
bright and fresh. The BID provides an Aloha Patrol that provides security on the
sidewalks and beaches as well as hospitality and visitor information. The key point is
that the BID provides additional or supplemental services to those provided by the
county. It does not replace county services.
A business improvement district is similar to other types of improvement districts but
differs in that it is an ongoing operational entity rather than only a one time capitol
improvement project and has much greater flexibility as to the type of activity that cam be
conducted.
The'improvemrnt district association develops a plan to provide the supplemental
services the members' desire. A budget and method of assessment are determined based
on peed add affordability- That plan would come before the council and the Mayor for
appAOVal. Any change to services method of assessment or budget increase higher than
10°/'q would have to come back before the Council and Mayor.
The~counry collects the agrxd upon assessmrnts as stated in the district plan and
provides he fiords directly to the district association. The county is not wmtracking to the
district association to provide services. State Law, HRS 46-80.5 (g), specifically
stipulates that "any board or association established for the purposes of carrying out the
activities described in this section shall not be deemed a govenrmental body, The board
and association shall neither be deemed to be a government department, agency, or a
county not to be performing services on behalf of a government departmrnt, agency or
county."
In wnsultation with the State Attorney General and State Procurement Officer this was
deeiped the bast way of clearly stating that all laws end requirements of government
agencies such as civil service laws and the state procurement law do not apply to a distzid
association.
The commty is indeed empowering rho business community in a dosignated district with
the means to assess themselves and provide the funds to accomplish the agreed upon
mrs~ron.
Amer point raised on June 14"' was whether the district needed to be contiguous. The
dis ct need not be contiguous there are other districts that for various geographic seasons
are bot contiguous. There meroly weeds to be a general commonality of benefit, need and
proximity.
Hopefully, my testimony and that of the Legislative Auditor addressed the committees
concerns but if more information is required I would be happy to attrnd the next meeting
of the committee and in any case will attend the next council proceeding on the bill.
Thank-you for the opportunity to provide these commemts.
I