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HomeMy WebLinkAboutCOM 0390.000 2006-2008 t • 60. lj.. +4 n ~~4• t-Aarry &-6tn l:hristopher 3. Yuen Mayor _ Director ;.)J:~C +.E ;~•N;« Brad Kurokawa, ASLA LEED®AP ~IIix~#tt Of ~tTfU2ITT Deputy Director PLANNING DEPARTMENT 101 Pauahi Street, Suite 3 Hilo, Hawaii 96720-3043 (808) 961-8288 • FAX (808) 961-8742 April 20, 2007 . Ms. Rose M. Agbayani PBR Hawaii Hilo Lagoon Center, Suite 310 101 Aupuni Street Hilo HI 96720 Dear Ms. Agbayani: Annual Progress Report Change of Zone Ordinance No. 99-42 (REZ 926) Applicant: WB KD Acquisition, LLC (formerly Kaupulehu Developments) Tax Map Key: 7-2-31:1- 31 ; 7-2-32:1-12 (formerly 7-2-3:11 This is to acknowledge receipt of your annual progress report dated April 12, 2007 in compliance with Condition AA of Change of Zone Ordinance No. 99-42 (REZ 926). We appreciate the thoroughness of the report. After reviewing our files, we are requesting the following information be submitted for our files: 1. Condition K: Department of Water Supply approval letter. 2. Condition N: Copy of the Department of Transportation approval letter dated December 10, 2004. 3. Condition O: Department of Public Works approval letter. By copy of this letter, we are forwarding your report to the Hawaii County Council and the Planning Commission for their information. If you have any questions, please feel Free to contact Jeff Darrow at 961-8288, ext 259. Sincerely, CHRISTOPHER J EN Planning Director JWD: smn P:\public\wpwin60Veff\Letter AnnualReporis\LAgbayani-APR2006-REZ926.doc 3Ro cc w/copy of report: awaii County Council Comm. No.~--- Planning Commission Ref. To: Kona Planning Department Ref dote MAC Hawaii County is an Equal Opportunity Provider and Employer. 1 ~._3,. at - " _ - &ASSOCIATES, INC. Apri112, 2007 W FRANK BRANDY, FASLA Chairman Mr. Christopher J. Yuen, Director THOMAS S. WITTEN. ASLA Planning Department President County of Hawaii R. STAN DUNCAN. ASLA 101 Pauahi Street, Sulte 3 Executive lace-President Hilo, HI 96720 RUSSELL Y. CHUNG, FASLA Executive Yice-President SUBJECT: ANNUAL PROGRESS REPORT VINCENT SHIGEKUNI PROJECT DISTRICT ORDINANCE 99-42 (ORD 99-42); CONDITION AA Vice-President OWNEIt/DEVELOPER: WB KD ACQUISITION, LLC GRANTT.MURAKAMI,AICP DEVELOPMENT: KAUPULEHU, LOT 4-A SUBDIVISION Principat KA'UPULEHU, NORTH KONA, HAWAII TOMSCHNELL,AICP TAX MAP KEY: (3) 7-2-31:01 - 31; 7-2-32:01 - 12 (FORMERLY 7-2-03:01 Senior Associate PORTION) RAYMOND T. HIGA, ASLA Senior Associate Dear Mr. Yuen: KEV IN K. NISHIKAWA, ASLA Associate In meeting the requirements of the subject Project District Ordinance related to the subject development, the following is being submitted on behalf of WB KD Acquisition, KIMIMIKAMIYUEN,LEED•AP LLC (WB KD), as their Annual Progress Report for 2007 on the status of development Associate and compliance with the corresponding conditions of approval for the period covering scoTT ALIKA ABRICO January 2006 to March 2007. Associate SCOTTMURAKAMI,ASLA In meeting the requirements of Condition AA of ORD 99-42, the following is being Associate submitted on behalf of WB KD Acquisition, LLC (WB KD), as their Annual Progress Report on the status of development for the Kaupulehu Lot 4-A Subdivision and compliance with the conditions of approval. Status of Development The approximately 876.6-acre Lot 4-A parcel is a portion of a larger 2,180-acre parcel HONOLULU OFFICE owned by Kamehameha Schools, that is located makai of Queen Kaahumanu Highway 1001 Bishop Street ASB Tower, Suite 650 between the existing Hualalai Resort development and Kona Village Resort to the Honolulu, HawaYi 96813-3484 Tet: (sosi szl-s631 southwest and the State owned Pu'u wa'awa'a ahupua'a to the north east. The Fax: (808)523-1402 E-mom sysadmio@Pbrhawaticom development of Ka'upulehu Lot 4-A is planned for two main increments, each of which may be developed in one or more phases. Increment 1 is located at the makai portion of HILO OFFICE the Queen Kaahumanu Highway along the coastline, and is planned for development of 107 Aupuni Street Hilo Lagoon Center, Suite 310 approximately 80 single-family residential lots and related infrastructure, in two phases. Hilo, Hawal'i 96720-4262 Increment 1, Phase 1 will consist of 38 single-family residential lots, 10 bulk lots for Tel: (808) 9613333 Fax: (sos) 961-49x9 further development and related infrastructure improvements. Increment 1, Phase 2 will consist of 42 single-family residential lots, a Members Beach Club, Interpretive WAILUxuorFlcE Center and ublic access im rovements to and alon the shoreline. Increment II will 1787 Wili Pa Loop, Suite4 I' Il g Wailuku, xawa'fi 96793-1v1 include development of golf, residential and commercial uses and related infrastructure Tel: (808) 242-2878 at the mauka portion of the Increment 1 development. - o2~4oz ~~;z ~.-,.~T~. riioo cvviu nni AACNTAI CTnnIFS ~ ENTITLEMENTS / PERMITTING ~ GRAPHIC DESIGN ~ Mr. Christopher J. Yuen, Director ~:~1''}r,~ r~ P'il`JI • L C.,aZ,~S ~:il°vRT; r'RvJ:. I v, ~<1C.T i1:DliVl~i\TC? ~3 4~ (ORiU - ? LL.,. 1 V JA L~L\V 42); CONDITION AA; OWNER/DEVELOPER: WB KD ACQUISITION, LLC; DEVELOPMENT: KAUPULEHU, LOT 4-A SUBDIVISION; KA'UPULEHU, NORTH KONA, HAWAII; TAX MAP KEY: (3) 7-2-31:01- 31; 7-2-32:01 -12 (FORMERLY 7-2-03:01 PORTION) Apri112, 2007 Paget In meeting the requirements of the County Project District Ordinance (ORD 99-42) for Lot 4-A,'a Project District Site Plan for the proposed 80 unit residential subdivision in Increment 1 was approved by the Planning Director on July 2, 2003. Following approval of the Project District' Site Plan, WB KD received Final Subdivision Approval for the Increment 1, Phase 1 development consisting of 38 single-family residential lots and 10 bulk lots. Subsequently, Final Subdivision Approval for the next phase of development, Increment 1, Phase 2, Consisting of the remaining 42 lots was granted on November 22, 2006 (Exhibit 1). However, on February 7, 2007, WBKD submitted a revised final plat map to reflect a change to the lot line boundary between Lot 44 and Lot 46 and the relocation of Easements 13 and 17. Approval of the revised plat map was granted on February 12, 2007 (Exhibit 2). Currently, WB KD's• planning--and engineering design work is completed for Increment 1 subdivision and grading ,and infrastructure development continue9 within Increment I. WB KD continues to coordinate all infrastructure development and coordination with Kamehameha Schools, Kaupulehu Makai Venture dba Hualalai Development Company, I<a'upulehu Developments and Kona Village. Regarding compliance with the conditions of the subject Project District Ordinance, WB KD offers the following: Compliance with Conditions of Approval for Project District Ordinance No. 99-42 Condition A: The applicant, successors or assigns shall be responsible for complying with all of the stated conditions of approval. Response: The development will comply with the conditions of approval as set forth below for Project District Ordinance 99-42 (ORD 99-42). Condition B: The project area shall be called the Kaupulehu Project District (KPD). The development period for the KPD will be 20 years from the effective date of Project District Ordinance No. 99-42. Response: WB ICD has initiated its planning and development for the ICPD and expects that development will be completed within the 20 year development period. Condition C: The KPD shall consist of nod more than 1,078.634 acres with 869.698 acres for Residential, golf course and ancillary related development; 197.936 acres for the "Urban' Coastal Plamiing Area and 11 acres for Commercial development. Any amendment to these acreages shall require an amendment to the KPD Ordinance. Response: No amendments to the acreage of the Project District is proposed or planned. • Mr. Christopher J. Yuen, Director SUBJECT:.^.NNUAL PR':,GREEE LPC' T; 'R~JEC3 ~1SdR1CT ~,RDINANCE 99 42 ~ 'RD 99-. 42); CONDITION AA; OWNER/DEVELOPER: WB KD ACQUISITION, LLC; DEVELOPMENT: KAUPULEHU, LOT 4-A SUBDIVISION; KA'UPULEHU, NORTH KONA, HAWAII; TAX MAP KEY: (3) 7-2-31:01 - 31; 7-2-32:01 - 12 (FORMERLY 7-2-03:01 PORTION) April 12, 2007 Page 3 Condition D: The maximum number of units to be allowed within the KPD shall be 1,030 units. Any increase in the number of units shall require an amendment to the KPD Ordinance. Response: No increase in the number of units is being proposed. In fact, the approved Site Plan for the Lot 4-A, Increment 1 development area reflects a total of 80 single family residential units, 38 units of which are represented within the Phase 1 development and the remaining 42 units within Phase 2. The proposed development includes no hotels or timeshare units. Condition E: There shall be no residential, commercial, or similar type developments in the Coastal Planning Area other than those specified in the Integrated Resources Management Plan (IRMP). The Coastal Planning Area shall be described by metes and bounds, and the restrictions shall be specified in the covenant(s) in the property deed. A copy of the metes & bounds, and proposed covenant(s) to be recorded with the Bureau of Conveyances shall be submitted to the Planning Director for review and approval prior to the issuance of Final Subdivision Approval or Final Plan Approval or land alteration activities, whichever occurs first. A copy of the approved covenant(s) shall be recited in an instrument executed by the applicant and the County and recorded with the Bureau of Conveyances prior to the issuance of Final Subdivision Approval or Final Plan Approval or land alteration activities, whichever occurs first. Response: As reflected in the approved Detailed Site Plan on file with the Planning Deparhnent for the proposed Lot 4-A, Increment 1 development, no residential, commercial, or similar type developments, other than those specified in the Integrated Resources Management Plan (IRMP)and uses allowed by the Project District Ordinance 99-42, are planned within the Coastal Planning area. A Declaration of Coastal Planning Area which included the map, metes and bounds description of the Coastal Planning Area, and restrictive covenants were submitted and recorded with the Bureau of Conveyances (Doc No.2004-228042) on November 10, 2004. Condition F: The applicant shall disclose to all potential buyers of lots or units within the proposed project that internal infrastructure and community facilities shall be developed and maintained privately and that the County is not obligated to construct any public facilities within the project area. Response: The developer will make the appropriate disclosures, as required by Condition F, to all potential buyers through its sales documents. ~ Mr. Christopher J. Yuen, Director q DT_!' . ~ GT JiJr ('D vv ?~E wr T -`-.m '-.TC TTi'~'T h ~U~~E.,T:.~1Idi1U.~.. Ju..E ~.T,. J~>_. ~~~~...~.:~1~DIP~I~.t~S ~ a~~ ~ 42); CONDITION AA; OWNER/DEVELOPER: WB KD ACQUISITION, LLC; DEVELOPMENT: KAUPULEHU, LOT 4-A SUBDIVISION; KA'UPULEHU, NORTH KONA, HAWAII; TAX MAP KEY: (3) 7-2-31:01 - 31; 7-2-32:01 -12 (FORMERLY 7-2-03:01 PORTION) Apri112, 2007 Page 4 Condition G: The permitted uses outlined in Condition G of Project District Ordinance No. 99-42 and as defined in Chapter 25 (Zoning Code) Ordinance No. 96-160 are to be allowed in the KPD within the 869.698 acres for Residential, golf course and ancillary related development and the 11 acres for Commercial development. Response: The proposed development, as reflected in the Detailed Site Plan and Preliminary Subdivision (Subdivision 7571), and Increment 1, Phases 1 and 2 Subdivision (Subdivision 7891) is in conformance with the allowable uses of the Project District. Condition H: The following design standards shall apply: 1. Landscaping for the development shall comply with the Planning Department's Rule No. 17, Landscaping Requirements. 2. The minimum buIlding site area shall be 7,500 square feet which may include flag lots. 3. The maximum allowable height limit for Single Family Residential units shall be thirty-five feet. 4. The maximum allowable height limit for Multiple Family Residential and Commercial developments shall be 45 feet. 5. The minimum average lot widths shall be determined by the applicant in conjunction with its development plans. 6. The minimum yards in the KPD shall be as follows: a. Residential Development (1) Front and reaz yards, fifteen feet; and (2) Side yards, eight feet. b. Commercial Development. (1) Front and rear yards, fifteen feet; and (2) Side yards, none, except where the adjoining building site is a residential development site, when the side yard adjoins the side yard of a residential development site, there shall be a minimum side yard of eight feet. 7. Exceptions to the regulations for the Project district regarding heights, building site areas, and yards, may be approved by the Director within the planned unit development, or cluster plan development. Response: All plans for the Kaupulehu Lot 4-A project will conform to the design standards set forth in Condition H or as otherwise approved by the Director through a planned unit or cluster plan development approval. ~ Mr. Christopher T Yuen, Director ;~UBjLCT: An~fi'1U.1L 1'i~:iGR.`i;~ fii.l t~iZ nii~r L ~ vi J'.I~:.T JRDIP`1t1NCE ~9-42 (ORD 42); CONDITION AA; OWNER/DEVELOPER: WB KD ACQUISITION, LLC; DEVELOPMENT: KAUPULEHU, LOT 4-A SUBDIVISION; KA'UPULEHU, NORTH KONA, HAWAII; TAX MAP KEY: (3) 7-2-31:01 - 31; 7-2-32:01 -12 (FORMERLY 7-2-03:01 PORTION) Apri112, 2007 Pages 8. The minimum off-street parking and loading space requirements for the KPD will comply with the minimum standards as required by the Zoning Code, including compliance with the American Disabilities Act (ADA) requirements. Response: The Kaupulehu Lot 4-A project will comply with the minimum standards of the Zoning Code including compliance with ADA requirements. Condition I: Final Subdivision or Final Plan Approval, whichever is applicable, shall be secured from the Planning Director for any of the above uses prior to the issuance of any land alteration permits for any development phase in the KPD. Response: As noted above, a Detailed Site Plan for Increment 1 for the proposed 80 unit residential subdivision was submitted and approved by the Director, thereby meeting the requirements of Section 26-6-46 of the Hawaii County Code concerning the review and approval of Project District Site Plans, as well as requirements for Plan Approval within Condition L On December 30, 2004, WB KD received Final Subdivision approval (Subdivision No. 7891 for Increment 1, Phase 1 development (38 estate lots and 10 bulk lots}. Subsequently, Final Subdivision Approval for the next phase of development, Increment 1, Phase 2 consisting of the remaining 42 lots was granted on November 22, 2006. However, on February 7, 2007, WBKD submitted a revised final plat map to reflect a change to the lot line boundary between Lot 44 and Lot 46 and the relocation of Easements 13 and 17. Approval of the revised plat map was granted on February 12, 2007. Condition J: Construction of the residential units, commercial development, golf course and other related improvements shaft commerce only after Final Subdivision Approval and Final Plan Approval has been secured. Response: The Detailed Site Plan for the Kaupulehu Lot 4-A, Increment 1 development has been approved by the Director. Subsequent subdivision and grading plans submitted to the Department are consistent with the approved Site Plan, though some minor adjustment to the roadway alignments are expected to respond to site constraints and design and engineering considerations. Condition K: The applicant shall provide assurance to the Department of Water Supply and the Planning Director, upon consultation with the State Department of Health and Department of Land and Natural Resources, that water sources of Mr. Christopher J. Yuen, Director ~IJuJECT: AN1diJAL PROGRE°a`'> REPORT, F'kJJE~T DI,TRIC t :~P.Di1`i/~1V( i9-4G LORD 9'~- 42); CONDITION AA; OWNER/DEVELOPER: WB KD ACQUISITION, LLC; DEVELOPMENT: KAUPULEHU, LOT 4-A SUBDNISION; KA'UPULEHU, NORTH KONA, HAWAII; TAX MAP KEY: (3) 7-2-31:01 - 31; 7-2-32:01 -12 (FORMERLY 7-2-03:01 PORTION) Apri112, 2007 Page 6 sufficient quality and quantity has been established. Such satisfactory assurance can be met by the actual drilling and testing of a well site of the water source or by the submittal of a hydrological study certifying that water sources of sufficient quality and quantity can be established at the designated locations. Response: WB KD will comply with Condition K The proposed water system infrastructure is an extension of Public Water System 163 Ka'upulehu. In meeting the requirement of the foregoing condition, the Public Water System 163 Ka'upulehu, a public utility, provides water service to the individually owned development areas within the Hualalai Resort The "Water Resource Management Plan for Hualalai Resort, Increment II, Ka'upulehu, North Kona, Hawaii, July 2000" was approved by the Department of Water Supply on August 3, 2000. An updated "Water Resource Management Plan for Public Water System 163 Ka'upulehu", prepared by Belt Collins Hawaii, Ltd., dated May 2004, re-analyzes the water system based on the as-built conditions for portions of the water system within the Hualalai Resort Upper Service Zone and the Ka'upulehu Lot 4-A development. A copy of the updated report has been submitted to the Department of Water Supply on June 1, 2004 (Exhibit 3) for its review. The water system will remain privately owned and operated and will not be dedicated to the County. Condition L: Upon compliance with Condition K, the actual development of the water source and its water transmission and distribution system shall be developed in conjunction with the subdivision approval process. Final inspection to the residential structures shall not be issued until the approved water source is developed and its transmission and distribution system for such source to the subject property has been constructed. Residential building permits may be issued for model home complexes; provided that such model homes will not be occupied until the approved water source is developed. Response: The actual water transmission and distribution system for the Kaupulehu Lot 4-A project will be developed as part of the subdivision process. Condition M: The interior roadway requirements for the KPD shall be designed to resort standards as allowed by the Subdivision Code and as represented in Section 3.3.1 of the applicant's Project District Application. Response: WB KD will comply with Condition M. Mr. Christopher J. Yuen, Director ~UBJECT: ANNU.~`.L "'RC°°CRES. FcEr~~ T R:;JECT L~~;RICT ORDII'•J.-;T1CE ^>'~-42 (ORD 99- 42); CONDITION AA; OWNER/DEVELOPER: WB KD ACQUISITION, LLC; DEVELOPMENT: KAUPULEHU, LOT 4-A SUBDIVISION; KA'UPULEHU, NORTH KONA, HAWAII; TAX MAP KEY: (3) 7-2-31:01- 31; 7-2-32:01-12 (FORMERLY 7-2-03:01 PORTION) Apri112, 2007 Page 7 Condition N: Access (es) to the project site shall meet with the approval of the Department of Transportation-Highways Division and Public Works as follows: 1. If warranted, a fully channelized intersection improvements, including but not limited to traffic lights and/or an overpass or underpass, shall be provided meeting with the approval of the Department of Transportation prior to initial occupancy of residential units gaining access from the respective intersection. The cost of such improvements shall be borne by the applicant to the extent of the project's projected traffic impacts and may be credited to or deducted from the applicant's fair share contribution for road and traffic improvements, as required under Condition W. 2. A traffic monitoring program at the intersection of Queen Kaahumanu Highway shall be submitted to and approved by the State Department of Transportation, Highways Division, prior to receiving final plan approval for any portion of the proposed development. If additional intersection improvements such as a fully channelized intersection with acceleration/deceleration lanes, an underpass, or overpass, are required as determined by the findings of subsequent monitoring and analysis, the applicant shall provide the improvements to the extent of the project's projected traffic impacts in conformance with the requirements of the State Department of Transportation, Highways Division. Response: A Traffic Monitoring Program for the proposed intersection with Queen Kaahumanu Highway has been reviewed and approved by the State DOT on December 10, 2004 which is also on file at the Planning Department. 3. All internal roadways within the proposed development shall be constructed in accordance with the Resort Standards or other applicable provisions of the Zoning Code and the Subdivision Code. 4. A roadway connection to the adjacent property along the southwestern boundary shall be provided meeting with the approval of the Department of Public Works. 5. No lots shall have direct access from the Queen Kaahumanu Highway except through an access point approved by the State Department of Transportation. Response: All highway access related improvements are being coordinated with the Department of Transportation (DOT) and plans for the project i Mr. Christopher J. Yuen, Director SUBJECT: ? IVDIUAL PROGRESS REPORT, 1 PO;EC'T DiSTIZ;CT ORD1NAi~~CE 99-42 (ORD 99- 42); CONDITION AA; OWNER/DEVELOPER: WB KD ACQUISITION, LLC; DEVELOPMENT: KAUPULEHU, LOT 4-A SUBDNISION; KA'UPULEHU, NORTH KONA, HAWAII; TAX MAP KEY: (3) 7-2-31:01 - 31; 7-2-32:01 -12 (FORMERLY 7-2-03:01 PORTION) Apri112, 2007 Page 8 related roadways will be reviewed and approved by the State DOT or County Department of Public Works, as appropriate. Condition O: A detailed drainage study shall be prepared and submitted for review and approval to the Department of Public Works prior to submittal of plans for Subdivision and/or Plan Approval review of the residential, commercial, and golf course subdivisions. The Study shall take into consideration the file drainage system, retention basins and "reduce turf" design to be incorporated into the golf courses. A drainage system for each phase of development in the project area shall be installed meeting with the approval of the Department of Public Works, prior to issuance of Final Subdivision Approval, a Certificate of Occupancy or golf course opening, whichever occurs first. Response: A Drainage Report for Kaupulehu Lot 4-A-Phase 1: Phase 1 Subdivision Improvements, Phase 2 Mass Grading Improvements by Belt Collins Hawaii, Ltd. dated May 2004 was submitted to the Deparhnent of Public Works on June 1, 2004 (Exhibit 3). The roadway and utility infrastructures will be privately owned and operated, and will not be dedicated to the County. Condition P: An Emergency Preparedness and Response Plan shall be submitted for review by Planning Department in consultation with the Fire Department and the Civil Defense Agency prior to the issuance of a Certificate of Occupancy for any residential unit. The plan shall be limited to a review of the emergency roadway network and emergency contact people or association. Response: In compliance with Condition P, on July 23, 2004 an Emergency Preparedness and Response Plan was submitted for review to the Planning Department in consultation with the Fire Department and the Civil Defense Agency. Condition Q: A Solid Waste Management Plan shall be prepared meeting with the approval of the Department of Public Works prior to submitting plans for subdivision approval. Approved recommendations and mitigation measures shall be implemented in a manner meeting with the approval of the Department of Public Works. Response: In compliance with Condition Q, "A Solid Waste Management Plan for the Hualalaf Resort Phase II Development" conforming to the goals and objectives of the Integrated Solid Waste Management Act has been Mr. Christopher J, Yuen, Director :SUBJECT: AiVi~TZJAL l'R:GRE~S REPORT'; i RiijEi~ ~ ;~IST'RICT GRDINAi`dCE H9-42 (ORu 9y- 42); CONDITION AA; OWNER/DEVELOPER: WB KD ACQUISITION, LLC; DEVELOPMENT: KAUPULEHU, LOT 4-A SUBDNISION; KA'UPULEHU, NORTH KONA, HAWAII; TAX MAP KEY: (3) 7-2-31:01 - 31; 7-2-32:01 -12 (FORMERLY 7-2-03:01 PORTION) Apri112, 2007 Page 9 reviewed and approved by the County Department of Public Works, Solid Waste Management Division (currently under the Department of Environmental Management). The Plan covers Lot 4-A which is located within the Increment II Expansion area. In a letter dated December 28, 2000, the Department of Public Works, Solid Waste Management Division acknowledged conditional approval of the Plan based on follow-up implementation plans for the recycling proposals. By letter dated May 1, 2001, WB KD confirmed that it will implement the recommendations and mitigation measures. A supplemental "Solid Waste Management Plan for Ka'upulehu Lot 4-A, Phase 1 prepared by Belt Collins dated May, 2004 was approved by the Department of Enviromnental Management on July 6, 2004 (on file at the Planning Department). Condition R: A wastewater treatment system shall be constructed to service the residential and commercial development meeting with the approval of the Department of Health. Response: WB KD will comply with Condition R. Wastewater infrastructure improvements include gravity sewers, one (1) sewage pumping station and one (1) sewage lift station, and associated sewage force mains. All plans for wastewater transmission and approval will be reviewed and approved by the DOH and County Department of Public Works. Condition S: A final comprehensive public access plan, to be developed in consultation with community groups and in accordance with applicable conditions of approval of the LUC Docket No. A93-701, shall be submitted to the Planning Director and shall include mauka-makai lateral shoreline accesses, description of trail width and surfacing, parking area(s), signage, emergency response considerations, restricrions on use (if any), provision for recreational and restroom facilities at appropriate locations, and related improvements. Implementation of the public access plan shall be completed with the opening of the golf course. Response: On September 29, 2004 a Comprehensive Public Access Plan was approved by the Planning Department. Construction of the public access related improvements shall be completed with the opening of the golf course. Condition T: To ensure that the goals and policies of the Housing Element of the General Plan are implemented, the applicant shall comply with the requirements of Chapter 11, Arficle 1, Hawaii County Code, relating to Affordable Housing. ? Mr. Christopher J. Yuen, Director SUBJECT: f.NNUAL t ROGP,ESS REi=vRI; 1'7~OJc.CI ui~;:'RIC1' iJRDiNA1VC'E 99-42 (tURD 9y- 42); CONDITION AA; OWNER/DEVELOPER: WB KD ACQUISITION, LLC; DEVELOPMENT: KAUPULEHU, LOT 4-A SUBDIVISION; KA'UPULEHU, NORTH KONA, HAWAII; TAX MAP KEY: (3) 7-2-31:01 - 31; 7-2-32:01-12 (FORMERLY 7-2-03:01 PORTION) Apri112, 2007 Page 10 This requirement shall be approved by the County Housing Agency prior to Final Subdivision Approval of any portion of the residential area. Response: In compliance with Condition T, the Hawaii County Housing Agency has approved Resolution No. 138 on July 7, 2004 (on file at the Planning Deparhnent). WB KD has entered into an Agreement (Exhibit 4) with the County of Hawaii to develop eight (8) finished lots or affordable units, either for rent or for sale, at prices that meet the affordable housing guidelines, on site or within a thirty (30) mile distance of the property. Condition U: The Integrated Resources Management Plan dated June 1998 or any amendments approved thereafter by affected agencies shall be made a part of this ordinance as Appendix A. The implementation recommendations and management guidelines shall govern the use of the Coastal Planning Area and other resources. Response: WB KD will comply with Condition U. Condition V: Should any unidentified sites or remains such as artifacts, shell, bone, or charcoal deposits, human burials, rock or coral alignments, pavings or walls be encountered, work in the immediate area shall cease and the State Department of Land Natural Resources-Historic Preservation Division (DLNR-HPD) and the Hawaii Island Burial Council, if applicable, shall be immediately notified. Subsequent work shall proceed upon an archaeological clearance from the DLNR-HPD and/or the Burial Council when it is found that sufficient mitigative measures have been taken. Response: WB KD will comply with Condition K. Condition W: The applicant shall make its fair share contribution to mitigate potential regional impacts of the project with respect to roads, parks and recreation, fire, police and solid waste disposal facilities. The total amount of the fair share contribution shall be increased or reduced in proportion with the actual number of units according to the calculafion and payment provision set forth and allocated as described under Condition W of this Project District Ordinance. Response: A fair-share contribution from WB KD was submitted to the Planning Department on September 23, 2004 and October 1, 2004 in the amounts of $579,132.80 and $13,493.60, respectively, for a total of $592,626.40. A letter dated October 7, 2004 from the Planning Department ~ Mr. Christopher J. Yuen, Director SUBJECT:.'.Ni IiJ~':L PROvP.ES~ E GIST; F' RUjECT i~;iRICT ORDitJAI~1CE 99-42 (OitD 42); CONDITION AA; OWNER/DEVELOPER: WB KD ACQUISITION, LLC; DEVELOPMENT: KAUPULEHU, LOT 4-A SUBDIVISION; KA'UPULEHU, NORTH KONA, HAWAII; TAX MAP KEY: (3) 7-2-31:01- 31; 7-2-32:01 -12 (FORMERLY 7-2-03:01 PORTION) Apri112, 2007 Page 11 acknowledges receipt of both payments and the developer's compliance with the fair-share contribution as delineated in Condition W. Condition X: Should the Council adopt a Unified Impact Fee Ordinance setting forth criteria for imposition of exactions or the assessment of impact fees, conditions included herein shall be credited towards the requirements of the Unified Impact Fee Ordinance. Response: Should the Council adopt a Unified Fees Ordinance, the development will comply with the Condition as set forth above. Condition Y: Comply with all other applicable laws, rules, regulations and requirements of affected agencies for approval of the proposed development within the subject property. Response: YVB KD will continue to comply with all applicable laws, rules, regulations, and requirements of the affected agencies. Condition Z: The applicant shall comply with all other applicable requirements of the Land Use Commission conditions of approval and a copy of the written documentation of compliance with these conditions shall also be submitted to the Planning Director. Response: LVB KD is in compliance with the conditions of the Land Use Commission conditions of approval and an Annual Report on the status of development and compliance with the Conditions of Approval will be submitted as a separate document to the State Land Use Commission, a copy of which was submitted to the Planning Department for its files on December 12, 2006 (Exhibit 5) by Carlsmith Ball. Condition AA: An annual progress report shall be submitted to the Planning Duector prior to each anniversary date of the approval of this Project District Ordinance. The report shall address in detail the status of the development, the number of units constructed, and the compliance with the conditions of approval of both this ordinance and the State Land Use Commission conditions. This condition shall remain in effect until all of the conditions of approval have been complied with and the Director acknowledges that further reports are not required. Response: This Annual Progress Report is being submitted in compliance with Condition AA. An Annual Progress Report addressing the status of development, the number of units constructed and compliance with the • Mr. Christopher J. Yuen, Director SUBJECT: ANNU.^L PROC,RESS REI~~',P.T; PRt;JE~: I~T?I~T ORDII 1AI~1CE 9~-"=2 IORD 99- 42); CONDITION AA; OWNER/DEVELOPER: WB KD ACQUISITION, LLC; DEVELOPMENT: KAUPULEHU, LOT 4-A SUBDIVISION; KA'UPULEHU, NORTH KONA, HAWAII; TAX MAP KEY: (3) 7-2-31:01- 31; 7-2-32:01 -12 (FORMERLY 7-2-03:01 PORTION) Apri112, 2007 Page 12 conditions of approval of both this Ordinance and Land Use Commission Decision and Order (Docket No. A93-701) conditions will be submitted to the Planning Director until the Director acknowledges that further reports are not required. A copy of the recent annual report was submitted to the LUC by Carismith Ball on December 12, 2006 (Exhibit 5). Condition BB: Twenty (20) years from the effective date of the KPD Ordinance, the applicant shall submit an overall status report of the project, including the percentage of the completed development. The Planning Duector shall also provide an assessment of the development of the Project District and its compliance with the conditions of approval for transmittal to the Planning Commission for their review and recommendation and then forwarded to the County Council for their review and action. Response: The development will comply with Condition BB as set forth above. Condition CC: Should any of the conditions not be met or substantially complied within a timely fashion, the Director may initiate rezoning of the subject area to its original or more appropriate designation. Response: As noted above, WB KD has made best efforts to meet all the conditions of ORD 99-42. I trust the above fully addresses the status of development and compliance with the conditions of approval, however, should you have any questions or require further information, please do not hesitate to contact Ms. Christine Bean of WB KD at 325-4102. Sincerely, PBR HAWAII ROSE M. AGBAYANI Office Manager/Planner - o Office cc w/: R. Mori (WB KD) C. Bean (WB KD) E. Divita (Discovery Land Co.) S. Lim (Carismith Ball) T. Witten (PBR Hawaii -Honolulu Office) F~HII~IT 1 ~~:.w ~ . Harry Kim Christopher,l. Yaen Mayor Dincror :'~y,•a.,; > Brad Kurokawa, ASLA LEED®AP ~rLIIixix#~ IIf ~ttfnuii Deyuy Dfrccror PLANNING DEPARTMENT 101 Pauehi Street, Suite 3 • Hilo, Hawaii 967204043 (809)961-8288 FNr(808)961-8742 November 22, 2006 Steven S. C. Lim, Esq. Cadsmith Ball, LLP A Limited Liability Law Partnership 121 Waianuenue Avenue Hilo, HI 96720 Dear Mr. Lim: FINAL SUBDMSIONAPPROVAL NO.SUB-05.000066 SUBDNISIDN AGREEMENT AND BOND SUBDNIDERS: KAUPULEHU DEVELOPMENTSI WB KD Acqulsitlon, LLC, et al. "Kaupulehu Lot 4•A, Increment 1, Phase 2" Proposed Subdivision of Lots 39 through 42 Inclusive, Being Portions of Kaupulehu Lot 4-A (County SUB 7891), Into Lots 1 through 42, Inclusive and Road Lots R-i 8 R-2 Kaupulehu, North Kona, Island of Hawaii, Hawaii TMK: 7-2-003:Portion 001 Please be informed that final subdivision approval for recordation is hereby granted to the final plat map dated July 19, 2006, as attached herewith inasmuch as the surety documents to complete construction of improvements within the subdivision have met the approval of all the listed officers. You and the subdividers may wish to consult a surveyor for the preparation of the necessary legal documents and description of the certified final plat map for the purpose of recordation with the State of Hawaii, Bureau of Conveyances. Hawaii Counry is an Equal Opportuniry Provider and Employee 4A Steven S. C. Lim, Esq. I'I Cadsmith Ball, LLP ~ Page 2 November 22, 2006 Copies of the certified final plat map and surety documents are enclosed. Sincerely, C S HER J. YUEN Planning Director ETC:Inm P.tp6tlSUBDMpoawnenLdSub~006~11SUB05000066KSUWIsnuDeuwBlmAoquBiSmFSA.ea Erns: 2 CeNfied FPM Copy of Subdivision Agreement and Bond No. SU 5021138 ($2,955,100.00) I xc: Manager, DWS Director, DPW District Environmental Health Program Chief, DOH Distict Engineer, DOT DPW-ENG-KONA PLNG-KONA w/Certified FPM Real Property Tax Division-Kona w/Certifed FPM Tax Maps and Records Supervisor I w/Certified FPM County Treasurer w/Original SutxJivision Agreement and Bond No. SU 5021138 ($2,955,100.00) i Kaupulehu Devebpments/W8 KD Acquisflion, LLC Kamehameha Schools (Kona) Belt Collins Hawaii, Ltd. PBR HAWAII-Hib Office SUB 7891; REZ 926; SMA 389 1 i i ~ i ~iiF uunnlnuununl~6 f. ~ ~ !AI I I I . I~ • ~ II IIIIIfIIIlllllii E...'- i .as ItE uiilffE i IIf! uu /qt~-, _ ~ p~~~ 1~1 .a„ - _ I 1 _ I ` ~ ~ . I ~ " q ~~C plNlgllnl101~°IIIII~I~I!11i~1'~ .~'~:,'1 . ~e ; i~~"I'•". r I ~ -ti'~~ i ~r If~l ~ E F, . l' r b . • ~ ~ a ~ , ''f1' .I q ~ ~l C q y' ~ ~ ~ ~5 •i ~I 1 ~ ~ L r ~ " i i. A. ~ s_j ~ , i r.~b ~ t ~ U •s ~ ~ E P ~ v it 11 ' t r .I I~' 11 S, _ ' i ~ i~ ~ s .a ~ 1 I, f. f; - I ~ • ~ . ; .z. r'~r 1 11~ ~ ~ _ _ a, ~ f t la :S . / s E 4r. ~ ~ ~pl4, E 4 J I I 3 * a f__Z-~ 1•~rr h ~~E_ 64 ~pxt .~~~I ti I y t g i,1 3A ffflillll9fllf(tl(II~ fIE _ @s ~i ' ~ €E ~i i1f 1i:g laF :_::.:-•`r`.ii=•~~' r r= 9c 1q-_ ~ . ~I: 11[1:~31Ett136ui; :a li ~i : Iq F I C I S 44, L[ 5as~i.:'sta:v=Eje= 1 ;4• ' a ~ 4= ~ ® ~ ~ @@~ 3 . at Iti(itlitE[s;iiRt'4lii I:' B,~ .aF i ® iii f ;:SEE:;tiffi-::, t` g4R E.'; fi! ~ @ I~ 1 a. i su(:~~+~~E~ii 1! ii1 pi ! c - i q i 4 - c14~ cf. ].y I B i:i ' a 7 0 8 - z ~XHI~IT ~ a31v ar ~-0°6 . N~~.-,. . FYa 1Kion ~ Chrisko~pher J. 3'uea rrS Director Mayor '+.;i.w:w',p. Brad Kurokawa, ASLA LEEDO AP Deputy Dln;ttor (~auxF#g of ~rzfuttii PLANNING DEPARTMENT 101 Pauahi Street, Suite 3 • Hito, Hawaii 96720-3043 (808) 961-8288 FAX (80fl) 961-8742 February 12, 2007 Rose M. Agbayani Office ManagerlPlanner-Hilo Office PBR Hawaii & Associates, Inc. Hilo Lagoon Center, Suite 310 101 Aupuni Street Hilo, HI 96720-4262 Dear Ms. Agbayani: REVISED FINAL PLAT MAP SUBDMDERS: KAUPULEHU DEVELOPMENTS! WB KD Acquisition, LLC, et al. "Kaupulehu lot 4•A, Increment 1, Phase 2 Subdivision" Subdivision of Lots 39, 40, 41, 42, 44, 46 and 47, Of Kaupulehu Lot 4-A, Increment 1 Subdivision (File Plan 2393), Into Lots 1 through 47, Inclusive and Road Lots R-1 & R•2, And Designation of Easements 1 to 22, Inclusive Kaupulehu, North Kona, Island of Hawaii, Hawaii TMK• 7 2 003•Portion 001 (Final Subdivision Aaaroval No. SUB•05.0000661 This is to acknowledge receipt of twelve (12) copies of the revised final plat map dated February 2, 2007, for the referenced subdivision application. Please be advised that we have certified the revised final plat map of which four (4) are enclosed. Copies of the revised final plat map have been circulated to the listed officers for their files. Hawaii County is nn Equal Opportunity Provider and Employee ®~r Electrical Pu uses affecting ~~t °o~° Electrical Purposes affecting Lot i"1 ~or Electrical Purposes affecting Lot i4 ~or Electrical Purposes affecting Lot 3i =or Electrical Purposes affecting Lot 33 ~stees of the Estate of Bernice Pauahi Bishop . 7 South King Street, Suite 200 nolulu, Hawaii 96813 /SUBDIVIDER: WB KD Aquisitions. LLC 0. Box 5349 ilua, Kona, Hawaii 96745 - ~ ~Y~~~-S- r~ _,_:F: NING: KAUPULEHU PROJECT DISTRICT is ~ was prepared by and under the direct supervision of the dersigned between ,Ally fi, 2006 and January 22, 2007 and say be checked the State Surveyor with sy Calculation Folder Mnber 2003-33-0701. tg Street BELT COLLINS HAWAII LTD . tii seals m owN. s °z UWD SURVEYSR ~ n 107 * 41~ * Licensed Professional n Surveyor Certificate NuoDer 4389 fexD res 4130/08) y9h'A 1 i. Jay,. SUBDIVISION NUMBER Y~WWVWt+~+ ~G~~+" APPRGVED FOR RECORDATION with tF.e Bureau of Ca~veyances, Slate of Haven PI ning Dire or, Coun~l 1 2 Dc_- DEB _ ~;;R mm~nrnnnunn~R '~a~~ ~ ! 11 II IIIIIIILIIIIIIII /nom Q A F'-'~ q~.7~ y~' ~ it Illllu m I .i x Fl" til.!!/ I 7 rlw I~ , ''I i ; ~ G i _ ~L a ~ r ; ~ ~ t, IIG11II!1~111G'IGIIGD~IGIII+!il~~ • ' `I'• ~ ~ ' ~ t ~ r - t i~~ 1~ y l yx / d ~ a ~ it L L . . ~ t , qa ~ gp1 x ~ 6' pNJ// ~ ~ } . 1 G 4 x h ~ t ~ x s~ \ 4~ ~ F i ' ; 1~% ==3" ~t ~ 1,'t ~ ~ : L I ~ I l.. ~ ' ~ II! - ' ~ ~ I . r. ~ p ~I ~ ~ I ` .r 3i I 'i nx'" ~r ; 1' : '1 jl:. ~ I-_.. _ I i `6 ' ' i ~t: . I ii ~4 . ~ f ~~~V I~ ~a _ L. ~ I~._ ~ ! - .14 F' • ' ~ ! 6 I c;{' 9~ 6~ (ffl(IfifI[il[il[III~6IIG ',9a 1! i ~t ~ il~ tl~ a In! !°iiiiixi:u.iiiiisf I g3 i a :I ~ ~ @ t!s II~]iSliii(1iUt iiil; iii I ! !G'~ $§ta~ Pilliit, ® I • !SS Ilillillil,jij}jjttl'--' li? ":G ~ i . , i I c d iil~i••••;l • - i~ 1 ~ is < I lisss 8' 9~ E 1 i°~e i ~ C PBR I-HAWAII ~~;{~~\`'~py &ASSOCIATES, [NC. February 7, 2007 W. FRANK BRAND'f, FASLA Chnimran 7TIOMA55. WIiTEN. ASLA Mc Christopher J. Yuen Prevdenr planning Department 0.5TAN DUNCAN,ASLA County of Hawaii F......a:y~ 1 Ol Pauahi Street, Suite 3 aussrur.rcHUNC,FASU Hilo, HI 96720 Fieturiro Yuo-Praidsnr ATTN: DARYN ARAI VINCT.NTSHIGEKUNI YmPraidw SUBJECT: REVISED FINAL PLAT MAP (SUB 20050066) GMNT T. MVRAKAMI.AIC-P KAUPULEHU LOT 4-A, IIVCREMENT 1, PHASE 2 P'~"i°°t APPLICANT: KAUPULEHUDEVELOPMENTS/ TOM SCH.NELI,AICP WB KD ACQUISI7TON, LLC (WB KDA) saniorAarotioa KAUPULEBU, NORTH KONA, ISLAND OF HAWAH, HAWAH RArMONDIHI0A,A5LA TMKf: (3)7-2-10:23, 24, AND 25; 7-2-32:09,10,11, AND 12 SeniarASSaclate IQVINKNISHIKAWMASLA ~~.Ynen. Auoctnte KUIIAUKAAn rI1FN, LFEU'AP 00 bChalf of Kanpulehu Developments and WB KD Acquisition, LLC (WB KDA), enclosed for Aawlare YET approval are twelve (12) copies of the Revised Final Plat Map (File Plan) dated Fcbmary 2, 2007 for the Kaupulehu Lot 4-A, Increment 1, Phase 2 Subdivision. The Final Plat Map that was SCOTTALIKAABRIGO initially approved by }roar Department on November 22, 2006 has been revised to reflect a `u'°"`r` change to the lot line boundary between Lot 44 and Lot 46 and the relocation of Easements 13 SCOTTMIIRAKAMI,ASIA and 17. Axrociote Per my discussions with Datyn Arai, this revised plat map is being submitted to replace our previous submittal dated January 30, 2007 and for recertification so as to take the place of the plat map currently awaiting approval Gom the State Bureau of Conveyanus. Thus, we would appreciate it if you could review and approve the attached subjeq plat map in an expeditious manner. HONOLULU OFflCE laol BE,1„Rw.w Additionally, we have also enclosed a diskette containing the enclosed revised final plat map as Ass Towe¢suite 6w an AutoCAD .dwg fde. Honolulu, Hawarl %8133084 Tek 1808)581-5611 Fax:Ie033 sx3-L902 Should you have any questions regarding this submittal, please do not hesitate to contact myself E-naB: ,ysadmin~pbrhawau.oom (961-3333) or Mt. Randy Mori of WB KDA (325-4006). mLO oFncr 101 AOpuni SVeet Sincerely Hi1a Ugoon Center, Suite 310 /tib, H.weiI B6T16a26x PBR HAWAII Tek 1808)%I-3333 ^ ~ya(~ Fa.:18081 %1w9B9 t(,L/f{`/~,~ I v . rR- A WAn1aN OFTICE { ~K 1;87 wiu PS Loop. snRea ROSE M. AGBAY WaBukµ Hawaii %7931x71 r k 16oe1 xax-x37e Office ManagerlPlanner - Hi o Office Attachments. PLANNING - LANDSCAPE ARCHITECTURE ENVIRONMENTAL STUDIES ~ ENTITL EN ENTS I PERMITTING - G0.A PHIC DESIGN 11 - - EXH191T ~ IJ- (J JUN.Q 3 X004 BeltCollms &c.~ ic. e. " June 7, 2004 ' 2003.33.0707104E-304 Mr. Kiten Emder Department of Public Works Englneerirrg DMsbn 75.6708 Kuakini Highway, Suite 709 Kailas-Kona, Hawaii 98740 ' Dear Mr. F~rrler: Kaupulehu Lot 4A Increment 1: Phase 1 SubtlhAsion Improvemerts Phase 2 Mass Gradtrrg Improvements TMK: 7 2-03: 01 (portion ofl Kauoulehu North Kona. Newell We are providng engineering desjgn services for the proposed Kaupulehu Lot 4A Increment 1, located just "noM of Kona Vii and Hualalai Resort. The construction package consists of , Phase 1 sirbdivisbnlmprovements and the Phase 2 mass gredrng improvements. B~aT Mont xeap Utltty infrastnXdure and access Improvements are provided for the first 38 of 8D single-family kris. satlsfying fire cdnditlons of tentative subdivision approval. The remaining single-family kris will be mass graded at this time and are to remain as bulk k>1S. , The roadway and utlltly Infrastructure systems Will be privately owned and operated, and will not l78 dedicated to the County. Enclosed for your review are three (3) sets of construction plans, two (2) copies of the at&ti4~"gea 3. and one (t) copy of dte geotechniral report prepared for the project M you have any ques8ons or require additional information, please contact our otTices. Thank you. Very truly yours, _ ~ BELT COLLINS HAWAII LTD. oh C.H..Chung,P~ E, .U fs JCHC:aca ` ErtrJpsure cclenc: kti?sF2agtiy~tori;.WB KD Acquisitions, LLC is 8¢IltdGm HnwX Ltd Y133 qoM wn8 SVeBI, Suite 290 . Honolulu. Hawau~96819 l/Sp . ' TIBOB 52t 5151 . F/BOB 616 7019 . twroWluQballcdXns.eem , wawAeucoBhs.mm ~ . p.nfM,W UMYMin f..l.iYnOM,I~nIA FY~I.TI^' 1 EXH161T 4 AGREEMENT FOR ASSIGNMENT OF AFFORDABLE HOUSING CREDITS AGREEMENT ("Agreement'? dated September I5, 2006, by and between SEASCAPE DEVELOPMENT, LLC. a Hawaii limited liability company, having a mailing address of Post OfRce Box 2808, Kailas-Kona, Hawaii 96745 ("Ballet'?, and WB KD Acquisition, LLC, a Hawaiian Limited Liability Company, having a mailing address of PO Box 5349, Kailas-Kona, HI, 96745 ("Buyer"). RECITALS: WHEREAS, Seller, in conneMion with Seller's development of that certain real property designated on the tax maps of the Third Taxation Division, State of Hawaii, es Tax Map Key (3) 7- 3-010:051, has entered en agreement with the County of Hawaii ("County) pursuant to Chapter I I, Article 1, of the Hawaii County Code to create certain "affordable housing credits" (the "Credits") which Seller, or its permitted successors and assigns, may use to satisfy affordable housing requirements imposed by the County; and WHEREAS, Buyer is the fee simple owner of thaz certain real property designated on the tan maps of the Third Taxation Division, State of Hawaii, as Tax Map Key {3}7-2-010:023,024 and (3) 7-2-032:009,010,011,012:, situate in the District of North Kona, County and Slate of Hawaii (1M "Subject Property"); end . , WHEREAS, Buyer wishes to acquire from;Seller Eight (8) Credits in connection with Buyer's development of tiro Subject Property; ~ . AGREEMENT• NOW, THEREFORE, IT IS HEREBY AGREED as follows: 1. Subject to the consent ofthe County as set forth below, Seller shall assign and cause the due and lawful transferof Eight (8) Credits to the Buyer far the price of_X_Dollars per Credit, or a total purchase price of X ("Pttrohase Price"). EXH{Btu D 2. The Purchase Price will be paid to the Seller as follows: A. Initial Deposit. Upon the execution of this Agreement by Seller and Buyer, Buyer shall pay an initial deposit of _X (S-) to Seller, which deposit shall, except as otherwise provided in [his Agreement, be applied toward the Purchase Price az "Closing" (as defined in Paragraph 10 below). B. Balance of the Purchase Price. The balance of the Purchase Price after the initial deposit described in Paragraph 2A above shall be paid to Seller, in cash, at Cosing. C. Refund of Detwsit. In the event this Agreement is terminated as provided in this Agreement, Sclkr shalt refund the initial deposit to the Buyer within five (5) business days of the termination date. 3. Buyer is fully aware that this Agreement is for the Credits only and that Buyer shall be liable for any and all other cosu or charges imposed by any person or entity with respect to the Credits or their use in connection with the development of the Subject Property. 4. Buyer acknowledges that neither Seller nor any agent, attorney, employee or representative of Seller has made or will make any representation or warranty regarding the Credits, including, without limiting the generality of the foregoing, representations or warranties as to the suitability of the Crediu for Buyer's intended use or for any use wha[soever. 5. This Agreement shall be binding upon and inure to the benefit of Buyer and Seller and their respective successors and assigns. 6. This Agrcement shall be governed by and construed in accordance with the laws of the State of Hawaii. 7. This Agreement contains the entire agreement of the parties hereto concerning the subject matter hereof, and this Agreement supersedes and cancels all other agreements and understandings (whether oral or written) heretofore or contemporaneously herewith made by the parties. ~ ~ g. NeitherthisAgreement,noranyprovisionhercof,maybemodified,altered,amended or changed except by another written instrument executed by the parties hereto and consented to by the County. 2 w 9. Notwithstanding any other teen or provision of this Agreement, Seller and Buyer agree that the obligations and liabilities ofthe parties hereunder an; conditioned upon the approval of the County to the assignment of the Credits to Buyer. In the event the County (e) does not approve the assignment of the Credits to Buyer 67uthe 15 day of October, 2006, then, the Buyer may terminate this Agreement end Seller shall reNm the initial deposit to Buyer as provided in Paragraph 2.C above. ~ 10. Within forty-five (45) days of the initial deposit as rcfercnced in Paragraph 2.A above, the Seller shall assign the Credits to Buyer by an appropriate document of conveyance and i Buyer shall pay the balance of the Purchase Price to Seller as provided in Paragraph 2 above (collectively, the "Closing'. If Buyer fails to pay the balance ofthe Ptuchax Price ro Sellet on or before the the xheduled Closing, then, in addition to any other right or remedy Seller may have on account of Buyer's default, Seller shall have the right to terminate this Agreement upon written notice to Buyer and retain the initial deposit as liquidated damages. THE REST OF THIS PAGE IS WTENTIONALLY LEFT BLANK ~ SIGNATURE PAGIg.FOLLOWS 4): 3' b: i i ~ IN WITNESS WHEREOF, Seller and Buyer have executed this Agreement on the ~ day and year first above written. SEASCAPE DEVELOPMENT, LLC, a Hawaii ~ limited liability company By wESTPRO HOLDINGS, LLC, a Hawaii limited liability company ~ lts Manager ~Jf''//~~ i3y R6 LQL. ~rint Name: ALAN DICKLER Print Title: Manager "Seller' WD ICB ACQUISITION, LLC, a Hawai/ia~n Limited Liability Company By l/ ~ f at~~fsb,~fi Print e• Sca-t+ OSbar- Print Title: V t to Pf~;sL t~rh i °Euyer•' ved and cknow ed theTronster 8 f K 7 to: (3} 7-2.010:023,024 and (3) 7-2-032:009,010,011,012: S~ County Of Hawaii ' Office of Housing and Community Development By ~.G-- Fdwin airs, Director Date: ~~~/~c- i i 4 ` k FRNi~IT ~ CARLSMITH BALL LLP A LIMf1ED LIABILnY LAW PAR7NER6HIP 121 WAUNUENUE AVENVE P.0.6ox 686 lino, FIAWAII 96721-0686 7EI.EPHONE 808.935.6644 FAx 808.935.7975 W W W.CARLSb1rrH.COM SLIMlCARLSMITH.COM OUR REFERENCE NQ: 056930.11 December 12, 2006 , Anthony J. H. Ching Executive Director Land Use Commission P.O. Box 2359 Honolulu, Hawaii 96814 Re: LUC Docket Nos. A81-524 and A93-701 Annual Report by WB KD Acquisition, LLC -Lot 4-A Tax Map Key No. (3) 7-2-10:22 through and including 27; (3) 7-2-31:01 through and including 31, (3) 7-2-32:01 through and including 12 Formerly (3) 7-2-03• portion of Ol (Lot 4-A) Deaz Mr. Ching: Jn compliance with the Decision and Order filed August ] 2, 1982, in State Land Use Commission ("LUC" or "Commission") Docket No. A81-524, and the Findings of Fact, Conclusions of Law, and Decision and Order filed October I8, 2001, in LUC Docket No. A93- 701, WB KD Acquisition, LLC (hereinafter "WB KD") submits its 2005-2006 annual report for the above-referenced property, referred to herein after as the "Property" or "Lot 4-A," discussing compliance with the substantive conditions of approval, listing in order the govemmeotal "Condition" and WB KD's "Response." Enclosed please find an original and two copies of the aforementioned report. As indicated in our 2003-2004 annual report, Hualalai Investors, LLC (the successor-in-interest to former Petitioner Kaupulehu Makai Venture) will file with the Commission sepazate annual reports for Lot 4-B. Status of Development of Lot 4-A The development of Lot 4-A is in substantial compliance with the representations made before the Commission. As planned, the development of the Property will be in two increments ("Increment I" and "Increment II"), each of which may be developed in one or more phases, to include a total buildout of approximately 450 to 580 residential units divided between single-family estate lots and multiple-family units, depending upon mazket conditions. Increment I is located at the west/makai portion of the Property along the coastline and is being developed for 80 single-family residential lots, Interpretive Center and related infrastructure. HONOLULU ~ KAPoLEI ~ HILO ~ KDNA MAUI ~ GUAM SAIPAN ~ LOS ANGELES Anthony J. H. Ching December 12, 2006 Page 2 Increment II is located at the easUmauka portion of the Property, and will include development of approximately 500 single-family and multiple-family residential units, an 18-hole golf course and clubhouse, commercial /retail uses and related infrastructure. Increment I consists of two phases: Increment 1, Phase 1 consists of 38 single- familyresidential 1ots,10 bulk lots for further development, and related infrastructure improvements. Increment I, Phase 2 consists of 42 single-family residential lots, a Members Beach Club, Interpretive Center, and public access improvements to and along the shoreline. Per the requirements of the County of Hawaii caning for the Property in the Project District Ordinance (Ordinance No. 99-42), a Project District Site Plan for the proposed 801ot residential subdivision in Increment I was approved by the Planning Director on July 2, 2003. The Project District Site Plan incorporates the relevant conditions of LUC Docket No. A93-701 relating to the protection and preservation of the valued traditional and customary native Hawaiian rights at the Petition Area in Docket No. A93-701. WB KD received Final Subdivision Approval on December 30, 2004, for the 38 market lots of the Increment I, Phase 1 development. On November 22, 2006, Final Subdivision Approval was granted for the next phase of development in Increment I, Phase 2 consisting of 42 market lots. (See Ezhibif A). Currently, WB KD's planning and engineering design work is completed, and grading and ittfrasttvcture development continues within Increment I. WB KD continues to coordinate all infrastructure development in coordination with the fee owner Kamehameha Schools and the adjacent resort project developers Hualalal Investors, LLC (Hualalal Resort), Kaupulehu Developments (Lot 4-C), Kona BB Property, LLC (Kona Village), and Hualalal Investors II, LLC (formerly PIA-Kona Limited Partnership). Please accept this annual report on behalf of WB KD for the Lot 4-A portion of the Petition Area in Docket No. A93-701. Regarding compliance with the conditions of the subject Docket approvals, WB KD offers the following: DOCKET NO A81 524• COMPLIANCE WITH CONDITIONS OF APPROVAL Although the 65-acre azea of LUC Docket No. A81-524 is located within the Increment I planning area and was initially proposed for development of hotel condominiums, the Commission's 2001 Decision and Order in LUC Docket No. A93-701, and the July 2, 2003 Project District Site Plan approved by the County of Hawaii converted most of the 65-acre azea into preservation, education and stewardship areas within Coastal Planning Area A, which is designated for preservation of salt gathering, coastal trails, coastal view and archaeological sites, subject to requirements which prohibit any ground disturbing activities within the area except for pedestrian paths or other public access improvements. Condition A. Petitioner shall provide housing opportunities for employees of the Kooa Village Resort and/or dotal to be constructed on the subject "Area B" in any one or combination of the following manners prior to assigning or trausterring (except byway of mortgage or assignment as security) its interest in the subject properties: Anthony J. H. Ching December 12, 2006 Page 3 1. To construct, either oo Area B or on other Urban land to be acquired by the Petitioner, a number of residential noib for sale or rental to employees of the Kona Village Resort andlor the hotel to be constructed on Area B at the prices ar rentals affordable by said employees, and of a size standard equivalent to Federal Honaing Administration Mioimam Property Standards, equal to ten percent (]0%) o[the number of condominium apartmenb or hotel rooms to be conatrocted oo Area B; or 2. To pay to the Hawaii Housing Authority or County of Hawao, for use in a honsing assistance Cuud or for the benefit of employees of the Kona Village Resort and/or the hotel to be conatruMed oo Area B, or bw and moderate income residents of the State otlfawaii, a sum determined by the Hawaii Honsiog Authority or County of Hawaii to be equal to the cosb of acquiring land for, developing and constructing a number of residential uoib equal to ten percent (10%) of the number of condominium apartments or hotel rooms to be constructed on Area B. Response: WB KD is not proposing any developmem of "condominium apartments or hotel rooms" within the 65-acre Urban District reclassified in Docket No. Ag1-524. WB KD is proposing to use this 65 acres primarily for the preservation, cultural and recreational uses proposed for Coastal Planning Area A, as adopted by the Commission in its 2001 reclassification of the surrounding lands in Docket No. A93-701. Therefore, the affordable housing and employee housing requirements of Condition A are inapplicable. Condition B. Petitioner shall provide access from Queen Kaahumsou Highway to the shoreline, for pnblic recreational purpose along the entire length of shoreline owned, leased or controlled by Petitioner and ib successors, and assigns, the location and form of said easements to be approved and accepted by the County of Hawaii. Response: The Comprehensive Public Access Plan for the azea was approved by the County of Hawaii on September 29, 2004. Construction of the initial phase of public access related improvements will be completed in conjunction with the Increment I improvements, with the remaining improvements completed in conjunction with the opening of the golf course in Increment II. DOCKET NO A93-701 (October ig 2001 Decision and Order): COMPLIANCE WTTH CONDITIONS OF APPROVAL Ka'uoulehu Development Monitorine Committee ("KDMC"1 Condition la. Petitioner shall initially establish and annually provide reasonable operating and capital expenditure costs through revenues from the Project and assessments, a Ka'apuleha Development Monitoring Committee (I~MC) composed of: (1) a person of native Hawaiian ancestry who b knowledgeable regarding the type of caltnral resources and practices within the Petition Area, ~ ~ Anthony H. Ching December 12, 2006 Page 4 as selected by the Land Use Commission from a list of three names submitted by each of the parties based oa review of their resumes and a formal interview process; sod (2) a management member knowledgeable regarding the type of cultural resources sod practices withia the Petition Area, as selected by Petitiocer aad landowner. The individuals making ap the KDMC shat! operate on an equal vote basis. In the event that the indivduals making op the ItDMC cannot agree on a specific decision, they shall jointly select a third person to break the tie. Response: This condition has been satisfied. Hannah Kihilani Springer was selected to be the native Hawaiian representative on the KDMC pursuant to the Decision and Order Approving Selection of Native Hawaiian Committee Member to the Ka'upulehu Development Monitoring Committce dated May 13, 2002. Leinaala Lightner was selected as the Petitionet's/landowners appointee to the KDMC. Pursuant to the 2002 Operational Plan for the KDMC, these KDMC members shall serve for 5-year terms, which will expire on April 9, 2007. Condition Ib. Petitioner's ICDMC Operational Plan is approved, with the following amendments providing that i) The budget of the KDMC shall be developed by the KDMC, and the Petitioner shall be given an opportunity to review the budget. I[ there Is sny diapnte between the KDMC aad Petitioner with respect to the eompositlon of the budget, including adequate staff for the KDMC to carry out its function, the matter shall be ssbroitted to the Laud Use Commission for fb final approval within 120 days; u) The two 1taMG members shall serve for a period of five years. Subsequent terms shall be determined by the Land Use Commission. Any successor to the native Hawaiian member of the 10)MC shall require the approval of the Land Use Commission. Response: This condition has been satisfied. The foregoing condition was amended by Decision and Order Approving Petitioner's Ka'upulehu Development Monitoring Committee Operational Plan filed with the Commission on May 13, 2002. KDMC's Hannah Kihilani Springer and Leinaala Lightner's terms will expire on Apri19, 2007. Funding of the KDMC operations has been established and approved by KDMC and the Petitioner. Condition lc. The KDMC shall jointly decide on an equal vote basis monitoring and dispute resolution decisions related to the protection of native Hawaiian practitioners' exercise of customary and troditioosl preMices and rights as described above; the availability of natural and cultural resources for present and future generations; and appropriate access io the subject area to the extent that these rights are protected by PASH vs. Hawaii County Planning Commission, 79 Haw. 425, (1995, in perpetuity. Io the event that the two person KDMC caaoot agree on a specific decision, they sball jointly select a tbird person to break the tie. A certified description of sny action requiring selection of a third member of the KDMC shall be filed with the Land Use Commission. Anthony J. H. Ching December 12, 2006 Page 5 Response: This condition has been satisfied. KDMC has: (1) investigated and monitored the availability of natural and cultural resources for present and future generations, (2) monitored appropriate public access for the exercise of traditional and customary native Hawaiian gathering rights, (3) continues to monitor any dispute resolution decisions, and (4) will continue to make recommendations relating to the maintenance and/or preservation of traditional and customary native Hawaiian practices and cultural resources as provided in the KDMC Operational Plan dated May 13, 2002. Condition ld. The 1mMC shall monitor the quality ottee salt gathering reonrce and the effectiveness of Petitioner's actions to provide aaeas to and/or preserve snd maintain traditional sod customary native Hawaiian practice sod cnkural resource. The IZDMC shall provide recommendations consistent with this decision and order to the I,aod Use Commission wkh repect to maintenance and/or preervation of those traditional and coatoroary Dative Hawaian practices and cultural resource. Response: This condition has been satisfied. The Salt Pan Monitoring Plan (May 23, 2000) prepared by Marine Research Consultants, and updated by Environmental Assessment, LLC (Apri126, 2004) was approved by the Department of Health on January 11, 2005. (Exhibit B). Condition le. The 1mMC shall provide reports oo an annual basin describing items snd issues covered in their deliberations and any other findings and recommendations. Response: This condition has been satisfied. The KDMC filed its 2004-2005 annual report with the Commission on July 11, 2005. Resource Maoaeeroent Ares Condition 2a. Petitioner shall establish a 23Sscre resource management area to roaiotsio, protect, and preserve the exercise of traditional and customary practices and cultural resource within the Petition Area consistent with this decision and order. Petitioner shall establish ao annual budget for maintaining the resource management area including the costs for administration, infrastructure, capital costs, security and educational personnel to be approved by the I~MC. Excluding the approximately 37.064acre archaeological preserve, which will be retained in the Conservation District, the resource management area shall encompass approximately 198 acre. Response: This condition has been satisfied. The Ka'upulehu Integrated Resources Management Plan "IRMP" was prepazed by Belt Collins Hawaii, Ltd. on June 17, 1998, and the IRMP was established on January 28, 2002. The annual budget and funding of the resource management azea activities has been agreed upon by KDMC and the Petitioner. V Anthony J. H. Ching December 12> 2006 Page 6 Conditiou 26. The resource management area shall contain five sabzoues. The degneatioo of the five subzones shall be based upon the resources and activities wkhin each respective snbzone and the management and preservation measures to be employed wkb regard to those resources as set forth in the decision and order. All five subzones will be linked by a public access way consisting of portions of the historic coastal trail sod new pedestrian paths. Petitioner shall provide a metes and bonnds map and description of the boundaries of each ottee five snbzooea to the Land Use Commission within six months of the ixioance of this decision and order. Response: This condition has been satisfied. The metes and bounds map and description of the boundaries of each of the five subzones were submitted to the Commission on November 14, 2002, and recorded with the Bureau of Conveyances of the State of Hawaii on November 10, 2004 as Document No. 2004-228042. Conditfoa 2c. Subzone A shall be designated for preservation of salt gathering, the coastal trail, rnastal views, sod archaeological sites. Petitioner shall prohibit soy ground-0isturbiog activity within the subzoae except for pedestrum paths or other public access improvemeob that may be required by the State or Coaoty. Public access will be provided to awl within this Subzone over ibe shoreline, historic coastal trail, and other on site pedestrian pathways. Response: This condition has been satisfied. Conditiou 2d. Subzone B shag be divided into three components, Bl, BZ, and B3. Subzone Bl shall iuclnde epproximatdy 30 acres, and will be designated as sa activity- oriented area as it shah the State Wilderness Preserve and will provide a centrally loaned area for public access parking. Subzone "B2" shall include approximately 15 acres grid traverse the coastal edge of the 1800-18011evs Ilow over s distance of approximately 3,900 feet along the coast and at least 100 feet inland from the certified shoreline; and in some instances 300 feet. It will preserve the coastal trail and the shoreline resources. Subzone "B3"sbsll include approximately 49 acres surrounding Kona Village Resort, and will, provide s buffer to reduce visual and other impacts to the Koua VBtsge Resort. This buffer area will be restricted to open space uses such as golf rourse and related improvements, landscaping, iutrastroMUre, existing heliport, and other uses which may be acceptable to Kooa Village Resort. Response: This condition has been satisfied. Condition 2e. Subzone "C" shag consist of approximately 37 acres just inland of Kona Village Resort and will be ao archaeological preserve for 38 archaeological sites containing 191 separate features, as identified in the archaeological inventory level survey conducted by Paul H. Rosendahl, Inc. Improvements in this Subzone will be limited to interpretive signage and trail maintenance. Response: This condition has been satisfied. I Anthony J. H. Ching December 12, 2006 Page 7 Condition 3a. Petitioner sball preserve and proteM the gathering snd access rights of native Hawaiians by providing appropriate access to the salt gathering resource at ]f;alaematto and fund adequate security and meiotenaece to maintain trails and salt gathering areas in accordance with traditional and customary native Hawaiian practices located within Subzone A as decided and monitored by the KDMC. Response: This condition has been satisfied. The provisions of this condition aze included and addressed in the IRMP and funding of the maintenance within the resource management area has been agreed upon by KDMC and the Petitioner. Condition 3b. Petitioner aha0 preserve and proteM the gathering for cukoral purposes ioclading religious practice by providing appropriate access to burial sites and other archaeological sites within the Petition Ara consistent with this decision and order. Petitioner shall adhere to prevailing and/or published protocols of the Hawsi'f County Burial Council and/or State Historic Preservation Division where these sites are found to exist a monitored by the KDMC. Response: This condition has been satisfied. in meeting the requirements of this condition, access to burial sites has been addressed in the Burial Treatment Plan approved by the Hawaii Island Burial Council at its meeting on August 15, 2002, and by the SHPD-Burial Sites program by letter dated August 19, 2002. Access to preserved archaeological sites will be addressed by the Archaeological Preservation Plan. Cooditioa 3c. Pale worship shall be allowed to continue however, it shall not be farther allowed in the portion of the 1800-1801 Hoalalai lava flow to be developed. There is no reference in the record to s specific site on the flow that has been ntiliud for such worship. Therefore, the Lsod Use Commission is not designating a specific site. However, if the KDMC should identify a specific site in the course of their monitoring of Petitioner's eftorb to maintain sad/or preserve traditional native Hawaiian cultural resources, it shall forward its recommendation to the Land Use Commission for its approval that such site be designated for Pele worship. Response: This condition has been satisfied. Condition 3d. Petitioner shall initiate and food s near shore water quality monitoring program. The parameters o[ the monitoring program shall be approved by the State Department of Halth (DOI~. Petitioner shall provide regular reports to the Laod Uu Commission and the ItDMC as to the findings of this water quality monitoring program. Response: This condition has been satisfied. Copies of the reports prepazed by Richazd Brock, Ph.D. of Environmental Assessment Co., entitled "Baseline Water Quality Monitoring Report in Support of the Development at Ka Lae I h Anthony J. H. Ching December 12, 2006 Page 8 Mann, North Kona," dated December 2004, and "Quantitative Assessment of the Marine Communities Fronting the Ka Lae Mano Development-April 2005," dated September 2005, were submitted to the Department of Health, Clean Water Branch on October 23, 2005 for review and approval. Copies of these reports, and quarterly and annual monitoring reports, have been submitted to the Commission. Condition 4. Petitioner shall to the extent feasible inveotorynon-renewable resources such u Pele's Tean fonnd at the makai edge of the 1800-1801 Hualalai lava flow krcated in Sobzonea A, 732, snd B3. The KDMC shall review this foventory and recommend to the Land Use Commission methods to preserve, protect, exhibit, or provide appropriate access to any such resource in ib six-month plan for the Land Use Commission's approval. Response: This condition has been satisfied. Condition S. Petitioner shall provide appropriate access to the ahore8ue of the Petition Area to preserve and protect access rights of native Hswaitsw and the general public to Knpe'e shells that may be fonnd along the shoreline u monitored by the KDMC. Response: This condition has been satisfied. The Comprehensive Public Access Plan was approved by the County of Hawaii on September 29, 2004. Condition ta. At a minimum, to preserve sod protect mauks and makai view planes and the shoreline as a site for spiritual roeditatioa aad educational practices, Petitioner shall cause to be established a setback zone of 75 feet from the certified aboreline within which there shall be no improvements of any kind other thaw improvements which may be reasonably necessary for pnrposes of public safety, and where the property will be left in ifs natural state; provided tbat certain golf holes may be allowed within that setback subject to mutual agreement between Petitioner, the Department of Land asd Natural Resources, and the Office of Planning. Response: This condition has been satisfied. By letter dated July 2, 2003, the Planning Departrnent issued WB KD'S Site Plan Approval for the Project District Site Plan - Ka'upulehu Lot 4-A, Increment I (dated April 15, 2003), which established a setback zone of 75 feet from the certified shoreline where no improvements of any kind other than improvements which may be reasonably necessary for purposes of public safety. A copy of the Project District Site Plan is on file with the Conunission. Condition 6b. At a minimum, to preserve and protect mauka and makai view planes and the shoreline as a site for spiritual meditation and educational practices, Petitioner shall prohibit any residential development or vertical improvements, other than landscaping and improvements allowed by County ordinance or variance, to be constructed or erected within I50 feet of the certified shoreline. Anthony J. H. Ching December 12, 2006 Page 9 Response: This condition has been satisfied. The July 2, 2003, Planning Department approval of WB KD's Site Plan Approval for the Project District Site Plan - Ka'upulehu Lot 4-A, Increment I, included restrictions against residential development or vertical improvements (other than landscaping and improvements as allowed by Cotmty ordinance or variance) to be wnstrocted or erected within ] 50 feet of the certified shoreline. A copy of the Project District Site Plan is on file with the Commission. In addition, the Planning Department by letter dated May 10, 2005 raised no objections to the Petitioner's Ka'upulehu Residential Design Guidelines (Section 2.10), which prohibit any residential development of vertical improvements, other than landscaping and improvements allowed by County ordinance or variance, to be constructed or erected within the 150 foot setback and Subzone B-2 boundary. (See Exhibit C). Arhhaeological Resoarca Condition 7a. The proposed mitigation commitments for all identified sites with burials must be submitted to the State Historic Preservation Division i Hawai'i Island Burial Connell for a vote on the mitigatiou proposals. Once a decision is made by the Council, then the mitgaton wmmitmenh for those sites will he finalized. A burial treatment plan for the mitigation trestroent for thou sites must then be approved by the State Historic Preservation Division, in consultation with their Hawaii Island Burial Conncil, and a certified copy of said plan shall be fikd with the LUC prior to any land alteration in the vicinity of these sites as monitored by the KDMC. Mitigation commitment shall be monitored by the KDMC. Response: This condition has been satisfied. The Burial Treatment Plan was approved by the Hawaii Island Burial Council at its meeting on August 15, 2002, and mitigation treatment for those sites was approved by SHPD-Burial Sites Program by letter dated August 19, 2002. A certified copy of the Burial Treatment Plan, PHRI Memorandum 2092-051203, and August 15, 2002, SHPD's approval letter have been submitted to the Commission Current mitigation measures are being monitored by KDMC and Kupuna. Condition 76. For all sites approved by the State Historic Preservation Division (SHPD) to undergo archaeological data recovery, an archaeological data recovery plea (scope of work) mast be prepared by Petitioner. This plan must be approved Dy the SHPD and a certified copy of said plan shall be filed with the LUC prior to any land alteration in the vicinity of these sites. The approval plan will he monitored by the KDMC. Response: This condition has been satisfied. In meeting the requirements of the foregoing condition, the Archaeological Data Recovery and Interim Site Preservation Plans, Remainder of Lot 4, Ka'upulehu Makai" was approved by SHPD by letter dated August 14, 2003. A certified copy of the Data Recovery Anthony J. H. Ching December 12, 2006 Page 10 and Interim Site Preservation Plan and August 14, 2003 SHPD letter have been submitted to the Commission. Data recovery work has commenced and is anticipated to be completed by the end of 2006. Condition 7c. For all sites approved for preservation by the State Historic Preservation Division (SHPD), a preservation plan mnst be prepared by Petitioner. (Burial sites may be rnvered under the burial treatment plan.) Thts plan must include buffer ronesrnterim protection measures during conatructioa, and bog-range preservation (Inclndiag public access aad interpretation, where appropriate} The plan moat ioclade input from the local native Hawaiian community and relevant Hawaifae groups. The plan must be approved by the SHPD and s certified rnpy of said plan shall be filed with the LUC prior to any land alteration in the vicinity of these sites. The approval plan will be monitored by the KDMC. Response: The Archaeological Site Preservation Plan, which is a component of the Archaeological Mitigation Plan, is being prepared by PHRI for submittal to SHPD. CoadiNoo 7d. Petitioner shall immed'utely atop work and contact the Slate Historic Preservation Division should any previously nnklentsed archaeological resources such as artifact, shell, bone or charcoal deposits, Kaman burials, rock or coral alignroeats, pavings or walls be encountered during ProjeM development Mitigation and preservataa shall be monitored by the ICDMC. Response: Petitioner will continue to comply with the foregoing condition. Condition 8. Petitiocer shah preserve aad protect the coastal trail in ib entirety aad portioaa of the masks-makai trail located within the ltesonrce Maasgement Area and Petition Area with interpretive development, pursuant to the rernmmeodatiooa of Paul H. Roseada6l, Inc., and as approved by the State Historic Preservation Division to manage this cultural resource. Preservation aad protection shall be monitored by the KDMC. Response: The Archaeological (Site) Preservation Plan, which is a component of the Archaeological Mitigation Plan, is being prepared by PHRI for submittal to SHPD. Condition 9. Petitioner shall initiate and fund s program to monitor the populations of threatened and endangered green sea turtles, hawksbill turtles, aad humpback whales, as required by the U.S. Fish and Wildlife Service, the National Marine Fisheries Service, and the State Division of Aquatic Resources. Mitigation measures shall be implemented by Petitioner if the results o[ the monitoring program warrant them. Mitigation measures shell be approved by the U.S. Fish and Wildlife Service, the National Marine Fisheries Service, and the Department of Land and Natural Resources. Anthony J. H. Ching December 12, 2006 Page 11 Response: This condition has been satisfied. As recommended by the U.S. Fish & Wildlife Service in its December 16, 2002 letter, the Petitioner monitors the two possible sites with characteristics of turtle nesting beaches. Condition 10. Petitioner shall conduct a biological survey for terrestrial invertebrates, the Hawauan Hoary bat, aad Kona Nightingale (feral donkey), prior tosubmitting an application for rezoning to the County of Hawaii. Petitioner shall consult with the U.S. Fish Wildlife Service prior to initiating the study, regarding the content and cempletenesa. The study shall also include a mitigatiodpreservaBon plan. The plan shall be accepted and approved by the U.S. Fish and Wildlife Service. The U.S. Fish and Wildlife Service mnat also verify in writing the socceasful e:ecation ottee study, aad the implementation of the mittgation/preservation plae. Response: This condition has been satisfied. Condition 11. Petitiocer shell provide affordable housing opportunities for low, low-moderate, and gap group income rgidents in the State of Hswsi'i to the satisfaction of the Coooty o[Hawai'i. The loestioa aad distribution of the affordable bonsiag or other provisions for aRondabie housing shall be coder such terms ss may be mutually agreeable between Petitioner and the County of Hawaii. Response: This condition has been satisfied for Increment I. Petitioner entered into an Agreement with the County of Hawaii for the satisfaction of this requirement for the 80 single-family residential lots which comprise Increment I (Phases 1 and 2). (See Exhibit D) Condition 12. Petitioner shall implement eRective soil erosion and dust control measures during aad after conatruMion to ensure that the development activities of the Petitioner shall not impart the salt gathering resources at Kalaemano located within anbzone "A" of tie Resource Management Ares and other resources. Such measures shall be to the satisfaction of the State Department of Hwlth and the Coaoty of Hawaii. Response: Petitioner will continue to comply with this condition. Condition 13. Petitioner shall develop a solid waste management plan in couformsoce with the Integrated Solid Waste Management Act, Chapter 342G. Hawaii Revised Statutes. Petitioner's solid waste management plan shall be approved by the County of IIawaii Deparuneot of Public Works. Response: This condition has been satisfied. Condition 14. Petitioner shall fund and construct adequate wastewater treatment, transmission and disposal facilities, as determined by the State Department of Health and the County of Hawaii. Response: Petitioner will continue to comply with this condition. I Anthony J. H. Ching December 12, 2006 Page 12 Condition 15. Petitioner shall participate in an air quality monitoring program as specified by the State Department of Health. Response: Petitioner will continue to comply with this condition. Condition 16. Petitioner shall toad and construct adequate civil defense measures as determined by the State and Coaoty of Hawaii civil defense ageocia. Response: This condition has been satisfied. 1n meeting the requirements of the foregoing condition, WB KD has consulted with the County of Hawaii Civil Defense Agency and Fire Department, and the State of Hawaii, Department of Defense. By letter dated September 9, 2004, the State of Hawaii, Department of Defense identified the coverage area and civil defense equipment to be installed as part of the development of Increments I and II. Condition 17. Petitioner shall provide a fairvshare contribution for school facilities as mutually agreed upon with the Department of Education. The contribution may be a combination of land and/or cash required to address the impact on school facilities. Response: This condition has been satisfied. The Petitioner and the State Department of Education ("DOE") entered into the Apri128, 2005, the Educational Contribution Agreements for Kaupulehu Lot 4-A (Phase I and Phase II), (which are now known as Increment I and Increment II of Lot 4-A). These Agreements are being satisfied by incremental fav sham contributions paid to DOE directly out of closing on the sale of each residential unit in Increments I (for up to 80 residential lots) and II (for up to 400 residential lots or units). (Exhibits E and F) Condition 18. Petitioner shall food, design and construct necessary local and regional roadway ie~provemeoffi necessitated by the proposed development in designs and scbednles accepted by the Stah Department of Trooaportation and the County of Aawsi'i. Response: Petitioner will continue to comply with this condition. Condition 19. Petitioner shall food sad construct adequate water source, storage, and transmission facilities and improvemeoffi to accommodate the proposed Project. Water troosmissioo facilities and improvements shall be coordinated and approved by the appropriate State and County agencies. Response: 17ris condition has been satisfied. The water system for the proposed project,has been bonded for construction, will remain privately owned and operated by the public utility water company, and will not be dedicated to the County. Anthony J. H. Ching December 12, 2006 Page 13 Condition 20. Petitioner shall loud the design and construction of drainage improvements required se a result of the development of the Property to the satisfaction otthe appropriate State and County agencies. Response: This condition has been satisfied. The drainage improvements and infrastructure systems were approved and completed as paR of the construction plan for Increment I. These drainage improvements will be privately owned and operated, and will not be dedicated to the County. Condition 21. Petitiocer shell initiate aed tWnd a groundwater monitoring program as determined by the State Departroeot of Health. Mitigation measure shall be implemented by Petitiouer if the results of the monitoring program warrant them. Mitigation measure shall be approved by the State Department of Health. Response: Petitioner will continue to comply with this condition. Golf Course Condition 22. Petitioner shall make avsilabk adequate golf tee times at aliordable rotes for public play to State otHawai'i residents. Response: The golf cotuse is proposed to be developed as part of Lot 4-A Increment II. Petitioner will submit its golf public play Agreemetd for approval by the County of Hawaii Planning Department in compliance with the foregoing condition. Condition 23. Petitioner shall rnmply with the environmental health conditions from the State Department otHealth, dated August,1994 (Version 5), and entitled "Guideliees applicable to Golf Courses io Hawaii.° Response: The golf course is proposed to be developed as part of Lot 4-A Increment II. Petitioner will comply with the foregoing condition. Condition 24. io developing and operating the golf course and residential deveopment in the ICaupulehu Resort Development Project, Petitioner shall at a mioiroum protect public access along the accessible coastline by the following: Condition 24a. Petitioner shall establish a perpetual right of public access along the coastline from the State's Pu'uwa'awa'a landholding to the intersection of the shoreline with the southeromost boundary of the Project area, which will allow public pedestrian access in perpetuity without obsiructioa or interference with snch access, subject to reasonable rules and regulations for public safety, provided that access shall be maintained. Anthony J. H. Ching December 12, 2006 Page 14 Response: To meet the requirements of this condition, a Comprehensive Public Access Plan was prepared by PBR Hawaii in consultation by the Kaupulehu Kupuna Advisory Group. This Public Access Plan addresses public access to the shoreline as part of the development of Lot 4-A. The Public Access Plan was approved by tho Planning Department on September 29, 2004. CondiHoo 24 b. In operating the golf courx and any tntore residential development its the ICaupakha Developments Petltioa Area, Petitioner shall maintain and protect the public's right of access along the shoreline especially at the 1800-1801 a'a lava Oow where the e:istiug trail is near the same lovel as the proposed dwelling uoib. Response: To meet the requirements of this condition, a Comprehensive Public Access Plan was prepared by PBR Hawaii in consultation by the Kaupulehu Kupuna Advisory Group. This Public Access Plan addresses public access to the shoreline as part of the development of Lot 4-A. The Public Access Plan was approved by the Planning Department on September 29, 2004. Condition 24c. Petitioner shall work with the Department of Land and Natural Resources to incorporate mauka patbways which maybe tled to golf conrse and residential area pathways wbich will provide alternative access routes to the accessible coastline areas. Response: To meet the requirements of this condition, a Comprehensive Public Access Plan was prepared by PBR Hawaii in consultation by the Kaupulehu Kupuna Advisory Group. This Public Access Plan addresses public access to the shoreline as part of the development of Lot 4-A. The Public Access Plan was approved by the Planning Department on September 29, 2004. Condition 24d. Petitioner shall adopt golf course rules and provide mutually agreeable signage which will proteM the access along the public access areas and pathways. Response: Future development of the golf course is proposed during the Lot 4-A Increment R development. Petitioner will comply with the foregoing condition. Condition 24e. Petitioner shall provide the plans for golf course layout, location of holes, access pathways, and signage to Office of Planning and the appropriate governmental agencies in Anthony J. H. Ching December 12, 2006 Page 15 advance of any ffual approval of such plans. Response: Future development of the golf course is proposed during the Lot 4-A Increment II development. Petitioner will comply with the foregoing condition. Couditiou 24f. Petitioner shall record with the appropriate governmental agency all necessary and appropriate iaatrnments to accomplish the purpose of this paragraph. Response: Future development of the golf course is proposed during the Lot 4-A Increment II development. Petitioner will comply with the foregoing condition. Condition 25. Petitioner shall compkh the Project io sobstsntial rnmpliance with the representations made before the Land Use Coromissioo. Failure to so develop the Property may result is reveation of the Properly to its former iaad nse elassifigtioa, or change to a more appropriate classification. Response: Petitioner wilt continue to comply with the foregoing condition. Condition 26. Petitioner shall give notice to the Land Ux Commission of any intent to sell, lease, assign, place in trust, or otherwise voluntarily alter the ownership interest is the Property covered by the approved Petition prior to the visible commencement of conatructioa otihe Properly. Response: Petitioner will continue to comply with the foregoing condition. Condition 27. Petitioner shall provide annual reports to the Land Use Commission, the Office otPlauniog, and the County of Ifawai'i is cooocetioo with the stairs of the subjeM Project and Petitioner's progress is complying with the conditions imposed. The annual report shall be submitted to a form prescribed by the Ezceudve Officer of the Commission and shall also include written documentation from each State and County agency responsible, indicating that the terms of the rnndition(s) are progressing satisfactorily or have been rompleted to the satisfaction of the agency. Response: WB KD herein submits its 2005-2006 annual report to the Land Use Commission, and by copy, submits the same to the State Office of Planning and the Hawaii County Planning Department. WB KD will continue to submit annual progress reporu as required until acknowledgment that further reports aze no longer required. Condition 28. The Commission may fully or partially release the roaditions provided herein a9 to all or any portion of the Property upon timely motion and upon the provision of adequate assurance of satisfaction of these conditions by Petitioner. F Anthony J. H. Ching December 12, 2006 Page I6 Response; Upon satisfaction of the foregoing conditions, Petitioner will petition the Commission for partial or full release of the same. Condition 29. Within 7 days otthe issuance of the Commissiou'a Decision and Order for the aubjeM reclassification, Petitiouer shall (a) record with the Hnreau of Conveyances a statement that the Property is subject to conditions imposed by the Laad Use Commissan iu the reclassifkatiou of the Property, aml (b) shall file s copy of such recorded statement witb the Commission. Response: This condition has been satisfied. Condition 30. Petitioner shall record the conditions imposed by the Commission with the Bureau of Conveyances pursuant to Section IS-IS92, Hawaii Administrative Rules. Response: This condition has been satisfied. Thank you for the opportunity to present WB KD Acquisition LLC's 2005-2006 annual report on Lot 4-A in Docket Nos. A81-524 and A93-701. Please feel free to contact me should you have any questions concerning the foregoing discussion. Thank you for your attention. Very truly yours, CARLSMITH BALL LLP Steven S.C. i SSLllny Attachments ec: Office of State Planning County of Hawaii Planning Department R. Ben Tsukazaki, Esq., attorney for Kaupulehu Developments Patrick K. Fitzgerald, CEO - Hualalai Investors, LLC (Hualalal Resort) aei3-ss~-3~bo.a I i k Anthony J. H. Ching December 12, 2006 Page 1 ~ bcc: Ed Divita B.J. Kobayashi Carl Cazlson Amy Forbes Erin Rothfuss KDMC, c% Christine Bean Rose Agbayani Rodd Yano Jennifer A. Benck Jason K. Knable I