HomeMy WebLinkAboutREP PC 066 04/18/2006 2004-2006 REPORT OF THE
COMMITTEE ON PLANNING
DATE: April 18, 2006 Re: Comm. No. 690/Bill No. 227
PLACE: Council Chambers
TIME: 1:00 p.m.
Council Chair and Members
Hawaii County Council
Hilo, Hawaii 96720
Your Committee on Planning, to which was referred Bill No. 227, reports as follows:
Bill No. 227, transmitted via Communication No. 690 from Mayor Harry Kim, dated February 6, 2006,
presents a Change of Zone request by LAVA KUAKINI, LLC, at Kahului ls`, North Kona, Hawaii,
TMK: 7-5-17: portions of 2 and 5.
Bill No. 227 seeks to amend Section 25-8-3 (North Kona Zone Map) Article 8, Chapter 25 (Zoning Code)
of the Hawaii County Code 1983 (2005 Edition), by changing the District Classification from
Agricultural (A-Sa) to Multiple-Family Residential (RM-2.5) for 14 acres of land.
Communication No. 690 reports that the Hawaii County Planning Commission, as required by Chapter 4,
Sec. 6-4.3(C), Hawaii County Charter, considered the above request on January 20, 2006. The
Commission concurred with the Planning Director's reasons for a favorable recommendation for approval
of this matter. Communication No. 690 transmits the following findings and recommendations:
1. The subject property is located along the northeast side of Kuakini Highway, adjacent to and south of
the Kona Hillcrest Subdivision, at Kahului ls`, North Kona, Hawaii and is in close proximity to
several residential neighborhoods. To the north is the 101-lot Kona Hillcrest Subdivision, to the
Southeast, the recently approved Suffolk Investment and Puaa Development projects, and south of the
project area across Kuakini Highway, is the Kona Sea Villas Condominiums and Kahakai Estates
further south. To the west of the project area across Kuakini Highway are two condominium projects,
the Kona Hawaiian Village and the Kona Sea Ridge.
2. The applicants are also requesting a concurrent State Land Use Boundary Amendment (Bill 226)
from the Agricultural District to the Urban District.
3. The applicant is proposing to develop a 212-unit housing project, of which a minimum of fifty
percent (50%) will be allocated as affordable housing, which will help address the housing needs of
the community. The project will be located conveniently to public services such as police, fire, public
schools and employment centers located in Kailua-Kona.
4. Access to the property will be from Kuakini Highway, which is a State owned, County maintained
roadway with a 22-foot wide pavement within an approximate 80-foot right-of--way and from the
proposed Kahului to Keauhou Parkway right-of-way. Roadway access for the project is a difficult
issue and eventually, the Kahului to Keauhou Parkway (also known as the Ali`i Parkway) is supposed
to be built along the northern boundary of the project site. The right-of--way is 100 feet wide, of
which 50 feet is within applicant's property and 50 feet within the property to the north. The right-of-
way has been planned and roadway designed, but the right-of--way has not been acquired.
REPORT NO. 66
Communication 690
Bill 227
Page 2 of 4
A revised site plan submitted by applicant has a secondary access on Kuakini Highway about 400 feet
to the south of the Kuakini/Ali`i Parkway intersection. This would be a right-in, right-out only and
make it easier to coordinate access to the project site. The revised site plan also includes a potential
alternate access to the mauka end of the property, near Iliana Street in the Hillcrest Subdivision.
Conditions of approval will require this property provide easements on project roads in favor of the
mauka parcel so if the mauka parcel is developed, it can use the same access to Ali`i Parkway and to
Kuakini Highway.
5. Water is available for the development, but limited to 50 units per existing lot of record. The
Department of Water Supply will make every effortto support applicant's proposal, but is not able to
make a commitment at this time for the remaining units for the proposed development.
6. The Planning Director recommended favorably on this request based on the following:
• The Change of Zone request from an Agricultural-5 acres (A-Sa) to a Multiple Family
Residential-2,500 square feet (RM-2.5) zoned district conforms to the goals, policies and
standards of the Land Use and Housing Elements of the General Plan.
• The requested zone change from an Agricultural (A-Sa) to a Multiple Family Residential (RM-
2.5)zoned district conforms to Land Use Pattern Allocation Guide (LUPAG) Map component of
the General Plan, which designates the project area as Urban Expansion Area and Medium
Density Urban.
• The Kona Regional Plan adopted in 1984 as Planning Commission Resolution No.l-84,
recommends the area for residential units at a density of 8 units per acre. The applicant's request
will provide for a residential density of approximately 17 units per acre. While the requested
zone change provides for a unit density greater than that recommended by the Kona Regional
Plan, it still compliments its fundamental goal of providing residential units within this section of
North Kona.
• The requested zone change will not create significant adverse impacts upon natural resources of
the area. The project site is within the County's Agricultural-Sa (A-Sa) zoned district, but is not
currently used for active agricultural purposes. The property is unclassified by the State of
Hawai`i's Agricultural Lands of Importance to the State of Hawaii (ALISH) Map, and the soil
rating in the area is "E" or Very Poor.
• The Ali`i Parkway will create a high traffic roadway near the northern boundary of the subject
property and will create more noise, among other impacts. Most of the proposed project is more
than 80 feet from the Ali`i Parkway right-of--way, but four of the proposed fourplex buildings are
located about 40 feet from the right-of--way. A condition of rezoning will require the project to be
responsible for any noise mitigation required because of the Ali`i Parkway construction.
• Electricity and telephone services are available to the site and the Kealakehe Police Station is
located less than three miles to the north of the project site. There are three fire stations within
five miles from the project site including, Kailua-Kona, Kealakehe and Pu`uloa. Kona Hospital is
located in Kealakekua.
• The Change of Zone request is not contrary to Chapter 205A, Hawaii Revised Statutes, relating
to Coastal Zone Management. The property is not located within [he Special Management Area
REPORT NO. 66
Communication 690
Bill 227
Page 3 of 4
as the project site is located approximately 1,800 feet from the shoreline and will not be impacted
by coastal hazard and beach erosion.
• The proposed request will not have a significant adverse impact to traditional and customary
Hawaiian Rights. No formal archaeological reconnaissance survey, oral history of kama`aina
accounts of the area, historical survey, botanical and/or fauna study was submitted. The site
having been formerly graded, an azchaeological inventory survey was not conducted. Applicant
has not received a response to its request fora "no effect" letter from the State Historic
Preservation Division.
• Requisite of the Planning Director's favorable recommendation for the Change of Zone request,
are twenty-nine (29) conditions contained in Bill No. 227. The conditions outline specific
requirements for the proposed project, including fair share contributions, roadway improvements
as well as conditions necessary to prevent circumstances that may be adverse to public health,
safety and welfare and to fulfill the needs of the public.
At the April 18, 2006 Planning Committee meeting Steven Lim, Esq. was present representing the
principals of LAVA Kuakini, LLC, who were also present. In his presentation, Mr. Lim stated that even
if traffic was a concern, affordable housing was of more importance and held precedence and wanted the
Council to weigh in that affordable housing is more of a need than concerns about traffic. With respect to
holding a public hearing in this matter, Mr. Lim stated that applicant prefers not to have one as they are
trying to fast-track this matter. When asked how affordable housing would be maintained in the project
Mr. Lim responded there is no specific ordinance that requires affordable housing to remain or continue.
Committee Vice Chair Pete Hoffmann raised the issue that the number of school aged children the
proposed development will draw into the area and that without adequate DOE space availability, this
would be asking for trouble. Mr. Hoffmann stated that until applicant addressed educational issues, he
has problems with the proposal and also expressed concern that there is only 50 units of water for a
proposed 212 unit development. Mr. Lim responded he is comfortable that applicant will get the
necessary water for the entire project.
Council Chair Stacy Higa expressed his kanalua because of the 50% affordable and road problems in
Kona. However, Mr. Higa said if things fall into place then this would be a good azea for workforce
housing. Mr. Higa stated he understands the need for affordable housing and would favor the application,
however, if it were anything less than 50% affordable, he'd prefer to wait until things caught up.
Planning Director Chris Yuen stated that the Mayor as well as he, very much supports this project as no
affordable housing will happen in Kona unless it is done through the private sector (since new
applications for rezoning have to provide affordable housing.) Director Yuen stated one way of
addressing or solving traffic and transportation problems is to have affordable housing near jobs so people
won't have to commute long distances. He stated it is pretty hard getting jobs to the outer regions such as
Hawaiian Ocean View Estates and a lot easier moving housing close to where the jobs are.
Council Vice Chair Virginia Isbell expressed concerns regarding the water system that would supply the
project and noted that the Kahalu'u system is unable to pump any more brackish water. Ms. Isbell said
the Kahalu'u shaft has serious problems and she is not satisfied with the water and road situation, as she
doesn't see the road being completed, just flattened and not built. She concluded that 120% of median
translating to approximately $250,000 as noted by Director Yuen, doesn't say anything and is still quite
REPORT NO. 66
Communication 690
Bill 227
Page 4 of 4
expensive. Planning Director Yuen responded that presenting homes in this price range would be
tremendous, since there are currently no homes in Kailua-Kona within that price range.
Council Member Don Ikeda stated he also has concerns regarding 50 units of water for this 212-unit
project and the length of time it would take to obtain all necessary water commitments. This concerned
Mr. Ikeda because the inadequate water situation also presents a safety issue. Director Yuen stated the
applicant can only develop residential units that are supported by available water and noted that although
the Mayor did approach the Department of Water Supply, no more water has been released. Mr. Yuen
said the Department of Water Supply can make exceptions upon request by the administration and stated
he would meet with the Department of Water Supply and request additional water once the application is
approved. Council member Ikeda noted that parking is also a concern as it too presents safety issues.
Committee Vice Chair Pete Hoffmann stated the standard condition relating to schools was not included
in the application as well as a DOE impact fee provision. Planning Director Yuen stated that normally
impact fees relating to education aze not included in these applications because fees usually come from
the general fund. Mr. Yuen said if a fee was to be collected, there's no guazantee that schools would be
built.
Committee Chair Pilago stated that the 212 units proposed by this application requires a Traffic Impact
Assessment Report (TZAR) and that clearly, fifty percent affordable at 120% median income does not
suffice and applicant should also consider 80% or 100% of median income. Mr. Pilago stated applicants
need to provide data and statistics that support its request and that the water crisis needs to be addressed
(aquifer numbers, how the project demand for water would affect the water table and the effects of the
project demands on the aquifer.) Mr. Pilago concluded the committee is trying to support applicant's
request, however, applicant must provide all necessary information to enable the committee to make a
complete and informed decision.
A motion to approve this measure received three aye votes. Pursuant to Council Rules, 5 aye votes are
needed to pass a measure. Therefore, your Committee on Planning forwards Bill 227 to the Council with
a negative recommendation.
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Hues NOES A&E Ex Respectfully submitted,
ARAKAKI X
HIGH X COMMITTEE ON PLANNING
HOFFMANN X ~ ~i2~
HOLSCHUH X `,~/yam{\J
IKEDA X
ISBELL X
JACOBSON X K. ANGEL PIL ,CHAIR
PILAGO X PC REPORT NO. 66
SAFARIK X ADOPTED:
OFf'ICE INFORMATION ONLY
Meeting: May 2, 2006 -Council Meeting (36th Session)
Action;
Passed Bi11227, Draft 2, on first reading
PC Report 66 transmitted Bi11227 with a "negative recommendation" due to a vote
of 3 ayes, 4 noes, & 2 excused.
Re: C-690BILL 227/PC-66