HomeMy WebLinkAboutCOM 0400.114 2002-2004 ,rfV Oe N
Harry Kim Dixie Kaetsu
Mayot Managing Director
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o.'M~"'~ Peter L. Hendricks
Deputy Managing Director
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25 Aupuni Street, Room 215 Hilo, Hawaii 96720-4252 • (808) 961-8211 Pax (808) 961-6553
KONA. 75-5706 Kuakini Highway, Suite 103 • Kailua-Kona, Hawaii 96740
(808)329-5226 • Fax (808)326-5663
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August 23, 2004
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The Honorable James Y. Arakaki
Chair, Hawaii County Council
25 Aupuni Street =3
Hilo, Hawaii 96720 co
Re: Veto Message -Bill 178 Draft 5
Relating to Clifto's O`oma Project District Rezoning
Dear Mr. Arakaki:
Pursuant to Section 3-12 of the Hawaii County Charter, I am vetoing Bill 178 Draft 5 and
returning it to you.
Before going into specifics on why I cannot approve this bill, I must acknowledge with
gratitude the willingness of the applicant to work with the County to try and address the
various issues that were raised about the impacts of this project, as well as the applicant's
generosity in offering the shoreline area for a public park. This sort of cooperation is very
much appreciated, and forms the basis for a constructive working relationship in the future.
Also, much appreciation goes to Council Planning Committee Chairman Elarionoff for
initiating the discussion with the applicant and presenting a proposal to mitigate the
community's concerns about the impact of this development.
Concurreney Principles
On May 5, we asked the County Council to defer final action on this bill for 90 days to allow
time to develop a strategy that will ensure that highway improvements to Queen Ka`ahumanu
Highway are concurrent with development. As stated at that time, we cannot continue to
make decisions about allowing development based on hopes and assumptions. We should not
ayprave major commercial rezonings that depend upon highway improvements before we are
certuin that the improvements will occur.
The following summarizes the concurrency principles supported in the draft Concurrency
Management Ordinance we submitted to the Council with my August 3, 2004 letter regarding
this project:
_ Comm. No. 0 . ~
Raf. To:
Ref. DQ3e
Hawaii County is an equal opportunity provider and employer.
The Honorable James akaki
August 23, 2004
Page 2
• For certain infrastructure that is considered critical to public health and safety, we
need certainty to ensure that the necessary improvements to provide adequate capacity
will be in place at the time of the project's impacts-i.e., for critical infrastructure, the
issuance of a certificate of occupancy should be conditioned upon the completion of
the required improvements;
• Knowing from recent experience that even with the best intentions of government to
expeditiously proceed with construction of a project with programmed funds,
unforeseen circumstances may cause delays; hence, the need to condition occupancy
on actual completion;
• To control the risks of timely completion, a developer could itself undertake the
project and be reimbursed by government or subsequent developers in the region; the
alternative should be to deny the rezoning until completion is certain, or approve the
rezoning with the condition that occupancy not occur until completion and the
developer must then deal with the uncertainty of actual completion;
• Contributions by developers to accelerate design or construction increase the chances
for timely completion, but do not guarantee the actual completion date and therefore
do not justify waiving the need to control occupancy until actual completion; however,
an acceptable assumption of government risk in recognition of the developer's
contributions would be to allow issuance of a building permit if the construction
contract for the public improvements has been let. If government approves a permit,
then government should accept its responsibility to ensure completion of the public
improvements as scheduled.
• Government has a responsibility to plan for growth within the limits of prudent
financial capability; future development must plan within this framework or contribute
resources towards innovative financing.
Queen Ka`ahumanu Highway
According to the State Department of Transportation, traffic on Queen Ka`ahumanu Highway
was at maximum capacity in 1998. This situation has led the State DOT to plan expansion to
four lanes from Henry Street to the airport. The first phase of this widening, from Henry
Street to Kealakehe Parkway, will be a design build project that will start in 2005. The
second phase, from Kealakehe Parkway to the airport, is planned for future development and
funding.
About the Clifto's O`oma Project
The Clifto's project as originally submitted assumes that the Phase II widening of Queen
Ka`ahumanu Highway from Kealekehe Parkway to the airport will occur before substantial
buildout of the project. The developer's analysis completely depends on the widening of
Queen Ka`ahumanu Highway to four lanes to the airport. According to the project's own
traffic analysis, at 50%buildout more than 1,000 cars will turn in or out of the project site at
the peak hour. At this peak hour, the highway is already congested with over 1,500 vehicles
passing this point.
The Honorable James Y kaki
August 23, 2004
Page 3
We must make sure that this and future developments that will increase traffic are timed so
that non-residential occupancy is tied to the widening of Queen Ka`ahumanu Highway.
Suggested Change to Bill 178 Draft 5
Language that would provide for concurrency:
J. ...With respect to the allowable non-residential uses, no building permit shall be issued
until the construction contract for the Phase II widening of Queen Ka`ahumanu
Highway has been let.
Added Note
It is pointed out that although Corporation Counsel did review and approve Bill 178 as to
form and legality, there are concerns with public notice requirements because of the increase
in the number of residential units from 240 to 390 in Draft 5. Although the increase in the
number of residential units was made to help address the shortage of affordable housing in
West Hawaii and was matched by a decrease in the number of hotel rooms, the potential
impacts are not the same.
Conclusion
The County should be trying to implement concurrency, the principle that infrastructure
should keep up with development. The 90-day deferral of this rezoning request was made to
give us time to study this issue and recommend a policy to you. Our recommendation to you
was made in our August 3, 2004 transmittal.
Bill 178 Draft 5 does not tie the occupancy of this development to completion or even funding
commitment of necessary infrastructure. For this reason, I cannot support this bill.
Aloha,
Harry Kim
MAYOR
cc: Christopher Yuen
Roy Takemoto
B.J. Leithead-Todd