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HomeMy WebLinkAboutREP FC 243 02/28/2006 2004-2006 REPORT OF THE COMMITTEE ON FINANCE DATE: February 28, 2006 Re: Comm. No. 695Bi11 No. 23 ] PLACE: Council Chambers TIME: 4:00 p.m. Council Chair and Members Hawaii County Council Hilo, Hawaii 96720 Your Committee on Finance, to which was referred Bill No. 231, reports as follows: Bill No. 231, transmitted by Director of Finance William Takaba, via Communication No. 695, dated February 3, 2006, amends Ordinance No. OS-87, as amended, the Capital Budget, ending June 3Q 2006, by adding the following project: ENVIRONMENTAL MANAGEMENT: Waste Reduction Facility 110-699-569].59 $40,000,000 Funds for this appropriation increase shall be provided from: General Obligation Bonds, Capital Projects Fund- $40,000,000 Fund Balance and/or other Sources There is a possibility that the method finally selected to dispose of waste in East Hawaii will require minimal funding; however, if necessary, this funding will be used for planning, design and construction of the facility. This is being done to be prepared for the possibility that the most prudent and fiscally responsible way to finance a waste reduction facility may be through County bond funding. It is emphasized that the need for this funding method or the amount that may be needed is unknown at this time. Pursuant to Section 10-6(d), Hawai`i County Charter, the Council may amend the Capital Budget for that year with atwo-thirds vote. Finance Director William Takaba explained that without adding the cost of construction the facility to the County's Capital Budget, there may not be as many proposals submitted without the possibility of county financing, private companies will be less willing to pay the hundreds of thousands of dollars it costs to design a facility and respond to the County's request for solutions to its Solid Waste disposal problem. However, the request for proposal process can continue without the Mayor's request to add the project to the Capital Improvement Budget. Council Member Gary Safarik notified Your Committee that he is working on a resolution for policy statement that will show that the County is serious about building atrash-processing plant, which could prevent adding the project to the Capital Improvement Budget. FC REPORT NO. 243 For informational purposes, Council Chair Stacy Higa voted kanalua then yes, and Council Member Holschuh voted kanalua twice. Your Committee on Finance is in accord with the purpose and intent of Bill No. 231 and recommends it pass first reading. smc nres xoes A&e sx Respectfully submitted, ARAKAKI ._X - fficA x COMMITTEE ON FINANCE HOFFMANN X HOLSCIIUH X IKEDA X j f ISBELL X ~ 0., ~-e~_'~j--f`~~~~' JACOBSON X VIR IA ISBELL, CHAIR PILAGO X FC REPORT NO. 243 SAFARIK X ADOPTED: OFFICE INFORMATION ONLY Meeting: March 22, 2006 -Council Meeting (33`d Session) Action: Filed Bill 231 FC Report 243 transmitted the above bill for approval. Re: C-695/BILL 231/FC-243