HomeMy WebLinkAboutCOM 0193.019 2006-2008 _ it.. -
~ 9 ~ ~ P. O. Box 6144
Ocean View, HI 96737
Phone: 939-7463
March 29, 2007
Dear Pete Hoffmann,
This letter is to supplement the information 1 presented at the budget hearing in Kona on
3/19/07. I realize that the picture of the proposed multipurpose building I showed to the
members of the Council present in Kona could not be seen by those present by teleconference in
Hilo. I have included with this letter that picture plus prints of the building's floor plan and the
site plan. We in Ocean View have been working with the staff of the Parks and Recreation
Department for several years on the design of the building. The original concept was a simple
frame building. However, in response to suggestions from staff, we expanded the building to
include needed office space and changed the frame construction to steel reinforced concrete
block to meet the code requirements for aearthquake/hurricane proof building. We also
changed the exterior doors and windows to hurricane rated designs which were developed in
Florida and are now commercially available. We also included water storage tanks for potable
water that will normally be used for drinking and cooking purposes and will be available for use
in emergencies. While the picture and drawings you are receiving with this letter are small; a
full set of drawings on Architect size D sheets (24" x 36") was given to the P & R Deparhnent
last year. If you would like full size drawings I will be glad to run a set for you. All the staff
recommended changes aze for the good. The original intent for the building was for use as a
location for the County nutrition program and for community programs. The rented building
now being used for the nutrition program is small and has very limited facilities. We aze the
only nutrition program site that is not in a County owned facility. The revised building can
now be used for staff housing for the recreation/sports programs at the park and as a disaster
center. The building is still quite small, only 3,240 square feet plus an enclosed patio of 480
square feet. The estimated cost of the building is $ 486,000. The expected cost of the septic
system, catchment tank, and pazking lot is an additional $ 150,000 and another $100,000 should
be included for "Contingencies" giving a total cost of about $750,000.
During the Kona meeting the question of paying for the building by way of "Developer
Contributions" was brought up. I looked into that possibility and I found the following
information: The developers of Ocean View developed 12,3431ots all of which are on good
paved roads, many with electric and phone connections. These thousands of lots have provided
for faz more low cost "affordable home" sites than has been contributed by any other developer I
know of. You will note that in the above cost estimate there was no cost included for land.
That is because the developer gave the entire Kahuku park area to the county!
Another contribution of the developers is a "Free Cash Flow" to the county of 2,058,200
dollars last year. What is "Free Cash Flow"? That is the money received from the owners of
Ocean View's unimproved lots -all 10,954 of them. Note that this cash would absolutely not
now be in the county's bank account if it were not for the initiative, skill, hard work, and risk
Comm. No. ~ 3 • ~
Ref. To: F<<---
Ref. :%ate APR 2 201
taking of the developers. These unimproved lots require no police protection, negligible fire
protection (the few grass fires that have occurred over the years have been put out by neighbors
and volunteer firemen), and no road maintenance. All developments have their own Road
Corporations which maintain the roads at the owners expense. Note that the $ 2,058,200 does
not include the taxes paid on the 1,389 improved lots. The owners of these lots pay taxes on
both their land and houses. Families living on these lots pay their fair shaze of taxes for County
Services. Also note that the $ 2,058,200 is for only for last year. Similar contributions have
been made yeaz after yeaz and are expected to continue for many years in the future.
Another source of funding is the Fuller estate. There is $130,000 now available and
more might be available when the estate is settled. In addition, the Senor Club of Ocean View
has received about $20, 000 from the estate for use in the new building. It is anticipated that
part of this money will be used for furniture such as tables, chairs, and kitchen equipment. I
also have been authorized to have the necessary construction drawings made at no cost to the
county just as soon as the construction of the building is authorized. I trust that will take place
as soon as the necessary ordinances can be written and passed. If I can be of any assistance I
will be glad to do what I can.
Very truly yours,
~Gf~'L
Jtm Stutheit
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