HomeMy WebLinkAboutCOM 0032.104 2006-2008 '
Murashige, Laura
From: David Paulson [paulson@bsds.com]
Sent: Friday, October 12, 2007 4:26 PM
To: councittestimony@co.hawaii.hi.us
Subject: Ho'omalu Hawaii's Testimony re Bill No. 167 -
. ~ -i
Attachments: 2007-10-12 Hawaii County Council Testimony.pdf
2007-10-12 Hawaii
County Counc...
Attached is Ho'omalu Hawaii's testimony to the Hawaii County Council regarding
Bi11 No. 167 (Draft 2) or, in the alternative, Bill No. 167.
This testimony is being submitted for the Council Meeting scheduled to be held on October
17, 2007. Please note that we also submitted this testimony by facsimile.
Regards,
David A. Paulson, Esq.
Bickerton Lee Dang & Sullivan
Topa Financial Center, Fort Street Tower
745 Fort Street, Suite 801
Honolulu, HI 96813
808.599.3811x512
808.533.2467 (fax)
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Comm. No.? 2 •
1 Ref. To: hrat`s~h 1AN~i.
Ref. Date 1
BICKERTON • LEE ¦ DANG SULL[VAN
A LIMITED LIAHI LITV LAW PA 0.TNE0.5N IP
October 12, 2007
~a Facsimile (80&961-8912) and E Mail (eouneiltestimony@cahawaiihLus)
TO: Members of the Hawaii County Council
25 Aupuni Street
Hilo, Hawaii 96720
P.E: Ho`omalu Hawaii's Testimony Regarding Bill No. 167 (Draft 2) or, in the Alternative,
Bill No. 167 fot an Ordinance to Amend Chapter 25, Zoning Code, Hawaii County Code
1983 (2005 Edition, as Amended), Relating to Retail Establishments
DATE OF MEETING: October 17, 2007
TIME OF MEETING: 1:00 F.M.
Dear Members of the Hawaii County Council:
This testimony is jointly submitted by lames J. Bickerton, Esq. and David A. Paulson, Esq.. Mr.
Bickerton is a partrler and Mr. Paulson is an associate with the law firm of Bickerton Lee Dang
& Sullivan (`BLDS'. BLDS is legal counsel to Ho`omalu Hawaii, a sffitewide grassroots
coalition that opposes the development of superstores in Hawaii. Ho`omalu Hawaii has
members who reside on all the major Hawaiian Islands, including members who reside in the
County of Hawaii. We are submitting this testimony on behalf of Ho`omalu Hawati. On June
28, 2007, BLDS submitted testimony on behalf of Ho`omalu Hawaii to the Hawaii County
Planning Commission relating to what is known as Bill No. 167 and also what was known as Bill
No. 165. Additionally, on September 17, 2007, and October 1, 2007, BLDS submitted testimony
on behalf of Ho`omalu Hawaii to this Council relating to Bill No. 167.
Ho`omalu Hawaii urges this Council to pass Bill No. 167, as originally drafted, for an ordinance
to amend the Zoning Code to prohibit "superstores" in all zoning districts (the "Original
Proposed Or~dmance"). As discussed in ow prior submitted testimony, the Original Proposed
Ordinance has been carefully drafted to prevent the inhoduction of "superstores' in Hawaii
County and to protect Hawau County residents liom the adverse impacts caused by
"superstores." The Original Proposed Ordinance, like all ordinances passed by this CouncIl,
extends to the entire County, including Hawaiian home lands to the extent permitted by the
Hawaii Constitution and the Hawaii Revised Statutes ("HILS'~. As we have previously
presented, we submit that the Original Proposed Ordinance will apply to Hawaiian homes lands
because it is {a) a regulation of a commercial development only (as opposed to a regulation of
any Native Hawaiian residential or agricultural activity), and (b) the regulation is a reasonable
zoning ordinance that allows substantial economic development, just not "superstores."
At its most recent meeting, the Council chose to amend the Original Proposed Ordinance to
apply o~ to Hawaiian home lands {the "Amended Proposed Ordinsnce'~. Ho`omalu Hawaii
submits that this Council should not restrict the application of the Original Proposed Ordinance
Tnpa Financial Cen[er, For[ Strict Tower • T46 Fort Strett, Suite 801 • Honolulu, Hawa~ i 96813
Phone: 608.599.3811 Far 808.533.2467 Web: www.BSDS.com
Ho`omalu Hawaii's Testimony Regarding Bill No. 167 (Draft 2) or, in the Alternative, Bill No. 167
October 12, 2007
Page 2 of 4
because doing so both (a) permits "superstore" development elsewhere on the Big Island and ~
thus is contrary to the intent of the Original Proposed Ordinance, and (b) may prompt a state and
federal constitutional challenge tinder the `equal protection' clause that is fully unnecessary and
will divert attention away from the issues.
We respectfully submit that this Council need not concern itself with whether an ordinance it
passes will be deemed to apply to Hawaiian home lands. As discussed in our prior testimony, we
believe that the only proper legal conclusion is that reasonable zoning ordinances are in fact
applicable to commercial developments on Hawaiian home lands. As was ultimately conceded
by opponerrts of the Original Proposed Ordinance at the last meeting, the Hawaii Supreme Court
has not yet been asked to rule on this specific issue. Thereforq passage of the Original Proposed
Ordinance will, if the director of the Department of Hawaiian Home Lands ("DAHI.'~ chooses
to challenge the ordinance, bring this issue directly before the Hawaii Supreme Court for final
resolution. We submit that such an appeal will ultimately fail. Regardless, the Original
Proposed Ordinance will be effective to the broadest extent possible: If the director of DHHL is
successful, the Original Proposed Ordinance will apply to all County lands except HawarTan
home lands. If the director of DHHL is rmsuccessfut, the Original Proposed Ordinance will
apply to all County lands, i>mluding Hawaiian home lands.
In this way, the ordinance will simply have the same territorial effect as every other Hawaii
County zoning law that this Council has passed since the adoption of the Hawaiian Homes
Cmmm+~oa Act (the law creating DHHL and establishing Hawaiian home lands) as part of the
Hawaii Constitution in 1959. Accordingly, the Council should pass the Original Proposed
Ordinance and seek the broed~t possible application of tlu ordin~ce, reserving to the Hawaii
Supreme Court the ultimate question of whether or not this zoning ordinance or any other
reasonable zoning ordinance applies to commercial developments on Hawaiian home lands.
We also note that, while the only publicly proposed "superstore" is planned for Hawaiian home
lands, any "superstore" that is developed in Hawaii County -not merely those "superstores"
located on Hawaiian home lands -will adversely impact the community. Section 1 of the
Original Proposed Ordinance recites the purpose and the adverse impacts that are sought to be
avoided by this ordinance. Specifically,
The purpose of
this ordinance is to preserve and protect the quality of life, natural
beauty, and rural character of ovr unique island community from adverse impacts
caused by large "superstores" that were not envisioned or considered under
current provisions of the Hawaii Cou~y Zoning Code. The establishment of
limits on retail use -through the restriction on opcration, renovation, or
expansion of retail establishments that may be or become a "superstore" -
proteets Hawaii County residents from the type of adverse impacts, such as
traffic congestion, overburdening of existing Infrastructure, deterioration of
fragile ecosystems, and decimation of small businesses, that have bcen occurring
on the mainland United States.
See Original Proposed Ordinance § I (emphasis added).
BICKERTON • LEE DANG • SULLIVAN
? au.,AO 4llIL~A IeM ,I lrM,lLN11
Toper Financial Center, Fort Street Tower • 745 Fort Street, Suite 80l • Honolulu, Hawaii 96B I3
Phone: 808.5993811 Fax' 888.533.2467 Web: www.BSDS.<om
Ho`omalu Hawaii's Testimony Regarding Bill No. 167 {Draft 2) or, in the Alternative, Bill No. 167
October 12, 2007
Page 3 of 4
I
Thus, the ills that have been carefully studied and identified will happen regardless of where the
"superstore" is located - on Hawauan homes lands or other privately held lands.
There has also been some question as to whether DHHL might somehow have a legal grievance
based upon agreements it might have with Wal-Mart to develop a "superstore" in Hilo. We
submit that this is not possible. First, DHHL has publicly represented that it has not signed any
binding agreement with Wal-Mart for the site. Seco~, we assert that DHHL cannot legally
engage in any commercial development with Wal-Mart without first completing the required
environmental assessment, which it has not comgleted. See HRS § 343-5(a~l) (requiring an
environmental assessment for actions that propose the use of state lands), see also K~`o v.
Watson 87 Hawaii 91, 952 P.2d 379 (1998) (holding that HRS chapter 343 applies to Hawaiian
home lands). To our knowledge, DHHL has not even commenced this grocess. Third, DHHL
could not bring any claim for damages unless it has already complied with all county laws and
obtained all discretionary t:ormty (and state) pemaits for the Hilo "superstore" -something
neither DHHL nor Wal-Mart have done. To our knowledge, neither DHHL nor Wal-Mart have
even applied for, let alone received, any such permits.
Lastly, we believe we need to provide a factual response to the director of DHHL's recently
launched strongly worded and divisive public relations campaign. Specifically, the duector and
other agents of DHHL are stating publicly that any attempt to limit "superstores" on Hawauan
home lands is an attack on the economic interests of Native Hawaiians. This is as irresponsible
as it is untrue.
First, Ho`omalu Hawaii has no interest in encouraging or discouraging responsible economic
development anywhere in Hawaii. Ho`omalu Hawaii's sole concern is with the adverse
community impacts of "superstores." Second, DHHL has never offered any proof that any
proposed deal with Wal-Mart fora "superstore" on the Hilo sits is the best economic deal that it
could strike or that it is in the best interests of the beneficiaries of DHHL. To the contrary, we
submit that it is unusual if not unique that (1) DHHL failed to notify established Hilo and Big
Island developers and adjoining landowners of its intent to offer to lease the Hilo site, (2) DHHL
chose not to publish notice of its offer of the Hilo site is the Honolulu Advertiser, the Hawaii
newspaper that has - by far -the largest paid circulation in Hawaii (more than twice the
circulation of the newspapers DHHL chose to limit its published notice to), (3) in its notice,
published only once each in the Friday December 1, 2(106 editions of the Honolulu Star-Bulletin
and the Hawaii Tribtme-Herald, DHHL incorrectly identified the property by using a tax map
key number that represents a small, adjacent parcel, not the large parcel that it offered to Wal-
Mart, and (4) the only proposal DHHL did receive from nay develotesr was finm Wal-Mart. (
While the true facts of why DHHL conducted its solicitation process in such an tmusuat manner
will only be known through litigation, we submit that the recent campaign by DHHL should not
influence this Council's decision making. If it were to do so, we would respectfully urge the
' The Cotmcil may be imawaze 16at DI1FII.. is tinder scrutiny for other politically motivated lac-room deals that do
no[ appear to be is the best interest of its bene5ciaries. See Jim Dooley, Xawoii
fvm got E7.3 million in nonbid
work, Honolulu Advtntisu, September 2, 2007 (attached hereto as Exhibit 1).
BICKERTON • LEE • DANG ¦ SULLIVAN
~ ,mrtto rwum ur ummxv
Tope Financial Center, Fort Street Tower • 745 Fort Street, Snitc 801 • Honolulu, Hawa~ i 96813
Pha.^._:?n_?~9?s!ti Fax: 898.533.2467 Web: www.HSOS.com
Ho`omalu Hawaii's Testimony Regarding Bill No. 167 (Draft 2) or, in the Atteraalive, Bill No. 167 i
October 12, 2007
Page 4 of 4
Council to keep an open mind until all of the facts of DHHL's planned statewide use of its
commercial lands for "superstores" are made public. Until then, we submit that so that there aze
sufficient facts in the public record to suggest that a "superstore" is not only bad for the Big ~
Island, the proposed `superstore" transaction may be uniquely bad for the beneficiaries of
DHHL.
For the reasons stated herein as well as the reasons asserted in our prior testimony, Ho`omalu
Hawaii urges this council to pass the Original Proposed Ordinance, applicable to all zoning
districts in the County. We look forward to presenting out testimony in person at the meeting
and will be available to answer any questions that the Council may have. Thank you for your
time and attention to this testimony.
Very truly yours,
James J. Bickerton, Esq. David A. Paulson, Esq.
Enclosures
BICKERTON • LEE • DANG • SULLIVAN
w umrm ~unun rn.+xwxn
Tope Financial C<nter, Fort Street Tower • 745 For[ 8tred. 8u1[e 801 • Honolulu, Hawaii 96819
Phone: 808.599.3811 Fax: 808.533.2467 Web: www.aSDS.com
it
Print version - O COPYRIGHT 2007 The Honolulu Advertiser -Hawaii's Newspaper , a division of (>brndt Co. Inc.
I
HonoluluAdverti~ei.com
Posted on: Sunday, September 2, 2007
Hawaii firm got $7.3 million in nonbid work
~ StoryChat: Comment on this story
By Jim Doolev
Advertiser Staff Writer
Five nonbid Department of Hawaiian Home Lands consultant
contracts worth $7.3 million were awarded in 2003-04 to an ~
engineering firm by department employees with past ties to the
company, possibly violating a state procurement law enacted by
Gov. Linda Lingle's administration to combat cronyism.
Community Planning and Engineering Inc. was awarded the
contracts by a DHHL selection committee that included two new
department employees recommended for their government jobs by
Community Planning officials, according to records and interviews 4:ioseph fa. Pickard .
The third member of the committee had previously worked for the ~ '
company. L_
i
Based in part on experience gained undertJle first five contracts, the
company later received six more nonbid DHHL jobs worth an t
additional $7.6 million. I
;I
The 50-year-old consulting firm is headed by Republican fundraiser {
and contributor Joseph G. Pickard, who purchased it in 2003, at j. i
which point the company began winning DHHL consultant contracts.
Pickard, his family members and business interests have been donors Mrcah t(ane" f
to Lingle's campaigns and the Hawaii Republican Party, giving i
more than $70,000 to the GOP and the campaigns of Lingle and Lt. ~ "
Gov. James "Duke" Aiona since 1998, according to records of the
state Campaign Spending Commission and the Federal Erection
Commission.
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Fachibit 1
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Print version - ®ODPYItIGFfT 2007 The Horgkilu Advertixr - Haxrai's Newspaper , a division d Gannett C.o. Inc. II
r._._._..._-_._.._._____.....__
The company received no DHHL contracts and very little work from ~
other state agencies from 1993 to 2003, according to a statement of
qualifications the firm filed with DHHL.
The contract awards coincided with the Lingle administration's
launch of an ambitious and expensive program to develop thousands
of new homes for Native Hawaiians.
IThe 1Saupea~subdtvisitur in Kapolei is
partot the jargest residential
DHI-lI, director Micah Kane, past chairman of the Hawaii development in Department of i
Republican Party, defended the contract awards, saying the company ~ Hawaiian Horne lands h1story. Some
families atready.haye moved in[o
was well qualified for the jobs and has performed excellent work for ~ completed homes.
the department, much of it under the supervision of 13ernard Kea, a
respected part-Hawauan engineer who sold the compa~ to Pickard ~ P,hotos by ANRREW SHIMASUxu ~ j
but stayed on with the firm in a part-time status. i The Honolulu advertiser
Pickazd's political support of the GOP had nothing to do with the ~ - - - -
contract awards, Kane said. i : ~ i~
:;x-.
Lingle spokesman Russell Pang said the governor has no
involvement in consultant selections.
The procurement process is designed to be, and ultimately is, open
and transparent. All departments follow the proper procurement
procedures," the written statement from the governor's office said. ~ Construc#liri continuesat fCaupe'a:
~ in October2003 the,gHHLawarded
e $984,1100.consutting:eontract to
Pickard said the contracts were awarded because Community ~ Cammixiity Rlarrning aril
Planning is "the best subdivision engineering company in the state." Engiri?ei1iSB 1!ic: tp; plan and
engineer the housing: project.
The company's expertise and efficiency will save DHHL "tens of i .
millions of dollars in wnstruction costs," Piokard said.
But the first five DHHL jobs given to Community Pla~ung may
have violated a section of state procurement law, enacted by the
Lingle administration in July 2003, that members of consultant
selection committees must be "impartial and independent,"
according to Aaron Fujioka, head of the state Procurement Office.
Committee members Larry Sumida and Joseph Blevins had begun
work at DHHL just weeks before the first contract award and among
those who recommended them for employment were Kea and
Pickazd, according to records and interviews. The third committee
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Print version - p COPIRIGHT 2007 The Hondulu Advertiser - HawaPs Newspaper , a division of Gannett Co. Irrc.
member, William Makanui III, worked for Community Planning -
from 1984 to 1996. ' '
O AH.U rI~ ,
Given a description of the backgrounds of the three selection a~deuil " ,
committee members, Chief Procurement Officer Fujioka said the YttAKntae_o ,~,~~fLtru vIr-
impartiality of the committee "may be questionable." ~ nv~~
f ~ " .
9
EARLY SELECTION ~'d
Sumida, now head of the DffiiL land development division, had
been working at the department a week when the selection ~nton~os`d
committee for the DIIIiL consultal contracts was formed. ? Safato~a Avenue
~;.p a~/s
Sumida's sole job reference when he was hired by DIIIiL on Oct. 16,
records. A week later~on Oct. 7A, 2003, Sumida was on thartrnent t HonWalu Adved~ser ~
committee that selected Community Planning as'best qualified" for DHHL~~QRIIGIFI$ :KEY
its first nonbid DIIIiL consulting contract, a $984,000 job to plan I AND NONBID
and engineer the Kaupe'a housing development in Kapolei, ~ CaIySUL7`Ahl'f ;
department records demonstrate. Another selection of Community ; .
Planning fora $250,000 contract followed five days later. i CONiRACI'S
Sumida is a real estate broker by trade who was hired by DHHI, as a 'r 1920 Passage of the. .
noncivil service "real estate development specialist" and had no prior Hawanan. Homes.
experience in government service or familiazity with state j Gomml55bn Act, .with
procurement laws. 190,000 acres of land to be
',made available to
~.indtvidualsbfataeast 50
Reached at home by telephone, Sumida referred questions about
consultant selections to Kane and Lloyd Yonenaka, public percent Hdt+vanan' ancestry..
information officer for DHHI.. }P~ro~.9rati'?Ta~dmtnistered .by
,the 11.S:,Intenor
Kane called Sumida "a brilliant man" who should get credit "for the ' Qepartment: '
lion's share of our success at the department right now "
i 1.9b9: Sta>3ettood, creation ;
The department declined to allow Sumida to be interviewed about ~ of the state Departrrtent Of
the contract awards. "Employees have specific duties and media 1 Nawauan.. ,Home lands.
" ,Agency assumes
interviews are not part of those duties, Yonenaka said. Interviews r nsibif of ,
could cause "workplace dismption,° he said. ~ ' - ~
admtnistenng program,.
i tinder ttre oversight of-the
Kane was asked if Sumida's service on the selection committee so ~ Intenpr. Department.
soon after Kea recommended him for the DIII3L job met the ,
"impartial and independent" requirement of the procurement law: "I ~ '
X1980 U,5 Gvil_ Rights
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Print versbn - ®COPYRTRIT 2007 The Haidulu Advertiser - HawaiPS Newspaper , a divlsbn of Gannett Go. Inc.
think he was hired based on his qualifications and whether (the ` Commission reports Only 13
committee appointment) is a wok or one year later, I don't think it pereerit of land made
matters," be replied. ;available to Hawaiians; li'4
;percent of Hawaiian Home
Blevins, the second member of the selection committee, served as ~ Cands properly used by
DHHL land management division chief from September 2003 to I State government or private
July 2005. He told The Advertiser that Pickard recruited him for the ~ enterprises. Mt)re tfian
DHHL job in mid-2003. i 6,000 Hawaiians on waiting
~ st for,land. I
"He called me on Kauai and said the job was available," Blevins ~
said of Pickard. "I never even put in an application. I flew over, had 119820 Interior Department
an interview with Micah and I was hired." i audit;reports waidng:list of
7,OQQ appligrtfs.'State
Pickazd said, "I don't believe I ever called Joe Blevins about that job. ~ funding; Of Hawaiian, Homes
I've got to talk to Joe Blevins and fmd out if that's the case, but I ;program .Criticized aS
"insi nifieant:"
don't believe so." j 9.- .
Blevins is an electrician and construction manager from Kauai who i.1983C Native Hawaiian
holds a master's degree in engineering management ~ Study Commission reports
'state "failed miserably" in
An active Lingle campaigner in the 1998 and 2002 gubernatorial j,resmring land to Hawaiians.
~ Federal-Siabe Task Force on ~
elections, Blevins was named to the DHHL post by Kane on Sept. I i
15, 2003, five weeks before the selection committee awarded ; Hawal~an#iorries. j
Community Planning its fast contract. Commrssron ACt gtes
;numerous violations of the
No job application or resume for Blevins could be located in DHHL act, recommends increased
personnel files, according to department spokesman Yonenaka. funding and ai:celerated
distrlbtltion of land to
Asked if Pickard recommended Blevins for the job, Kane said, "He Hawallanson ttie waiting
may have provided a recommendation, I don't recall, but it would `lr~'
have no bearing (on the employment decision). Absolutely not If
he's not qualified, cannot perform, he's not going to be, he would not ..1986-87: 2; 500
be hired." j unlmproyed lots, distributed
!statewide,; .
Blevins held the DHHL job until June 30, 2005, when he resigned to -
return to the private sector. i 19$7: Accelerated-
distribution. program
The third member of the selection committees, Makanui, is a civil ~ attracts new qualified.
applicants for lartd. Waiting
engineer who worked at Community Planning from 1984 to 1996 ~ .
when he moved to a job in the DHHL land development division. ~ hSt grows to 12;000 names.
.
A request to interview Makanui about the consultant selections also j 1995 State Betties legal
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Prln[ versbn - ®COPYRIGHT 2007 The Hondulu Advertiser - HawaU's Newspaper , a dWisbn of Gannett Co. Inc.
was denied. daims Over misuse of
Hawaiian Home Lands
Lingle spokesman Pang said Sumida and Blevins "were ;properties; agrees to pay
recommended for their current positions by many individuals in the DHHL:COmpensatiOn'Of $30
community." Makanui hadn't worked for Commlmity Planning for I million per year for 20
seven years when be served on the DHHI, selection committees, ~ years; `£jght years remain
Pang pointed out. ~ on-agreement. -
"I do not believe Mr. Makanui's past employment, seven years ago, i 2003:•Gov. Linda. L'Ingle
alone prevents him from serving appropriately on a selection ;takes office, Installs Micah
committee with (Community Planning) as a bidder," Pang said. i Kane at DHHL, announces
f plags to;deuelop. and .lease
MESSING LETTERS ;-6;000 neW residences to
i Mawaiian5:
e
Files for the first five Community Planning contracts contain no i ° ;
letters of appointment from Kane naming Sumida, Blevins and ~ July 1, 2003: Nevv
Makanui to the selection committees, although such appointment ,:prOtalcerrent Iaw lakes
letters aze customarily included in government contract files. effect, requiring members
rof Consultanf selection
Also missing from the five files are score sheets routinely filled out ~mmittees be"'Impartial
by selection committee members who must evaluate prospective ,:and independent:"
consultants on such criteria as experience, past performance on
similaz projects and ability to accomglish the requited work in a ; SePtambe~ 2003:.DHHL
timely manner. Each file does contain a summary of the committees' ~ hires Joseph Blevins of
decisions that Community Planning was best qualified for each job. I KdUdY s15 land management
t division administrator.
~Acoordirxj to Blevins,
Kane said the department "followed the practices in place at the
Joseph Rickard of
time" he took office but has "since improved our procurement ~
practices." ! Gorrimunity Planning
recruited $levins for the
Blevins said he never filled out score sheets. ~ DHHL job:
; , .
k Oct 1,6 2003: Larry .
"We were new. We didn't know how h was supposed to be done,' i
Blevins said. Sumida hired as RHHL real.
estate development
"We didn't have a procurement policy as far as I knew. When I ~ 5pegali5t Recommended
found out we were doing it wrong, I brought in a procurement ~ for the job by Beniard Kea
specialist and we established a policy." ~Of Community. Planning.
Blevins said he remembers discussing the first contract awarded to ;Oct. 24 2003:. DHHL
selection committee
Community Planning with Sumida and believes the company was ~ merrtbers Sumida, Blevins
qualified to receive the job. '
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Print version - O COPYRIGHT 2007 The Haroluiu Advertlser - HawaO's Newspaper , a division of Gannett Co. Inc.
°and former Community.
He remembers no other meetings of the committees that picked .Planning employee Wiliam
Community Planning for four more contracts in 2003-04. ~ MaIC~nUI III Select
Community Planning as
He said he recalls signing reports, prepared by Sumida, which found "best qualified" Company. for
Community Planning best qualified for the jobs. ,$984,000. DHNL Consulttjnt
E tbrltract. ,
He said he "just signed them and sent them along to Micah." ~ ~
-Oct 29; 2003-Nov. 17,
Kane said he believes the consultant contract awards have been ; 2004: Sumlda/Blevins/
made impartially and independently. ; MakanUl .selection
,'committees pick Community
"If we felt that it was not impartial U1en we wouldn't have acted on Rlannrng for four more
it," he said. "I'm very comfortable with our procedures and what we ~ nonbid consultant contracts.
go through to select consultants."
~ Dec 22, 2004-7une 18,
When the governor signed the new law requiring that selection E 2007: Community.Planning
committee members be impartial and independent, she said it was tI awarded: six more.: nonbid I
needed to "put to rest the appearance of impropriety in nonbid ~ COnsultatit wntraets..
' - .
contracts."
jRELATE[? NEWS FROM
Fujioka's office sent a directive about the requirements of the new i THE WEB
law to all department heads, including Kane, on June 16, 2003. The
statute was part of a purchasing reform package that the governor j L.ateSt headlines 4Y topic: ~
said would end cronyism in consuhant contract awazds. !
"The term nonbid contract will become irrelevant," Lingle said in ~ PubIIC Relations
signing the measure into law. ~ ~ Weather -
Hurricane ~ckv
This was a thane endorsed by Pickard in his efforts to raise money ! + Flrlanciel Savlces
for the Lingle campaign. ;cowered by Topix.riet
For instance, in May 2004 Pickard served as chairman of a golf t - - - - -
tournament fimdraiser for the GOP, soliciting "major sponsors" to
donate anywhere from $500 to $5,000 apiece.
"We have made progress by reforming the state's procurement system (and) bringing fiscal discipline in
the way government spends taxpayer's hard-earned money," Pickard said in the solicitation.
When Pickazd wrote that, Kane had awarded Pickard's company three nonbid contracts worth $3.46
million and was about to award another worth $1.25 million.
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i
Print versbn - ®COPYRIpir 2007 The Hondulu Advertiser - FlawaiPs Newsyaper , a divis(on of Gannett Co. Inc. I,
Pickard and his businesses also have made political donations to Democratic politicians, including
Mayor Mufi Hannemann. Gifts to the Hannemann campaign total some $7,000 since 2001.
After Hannemann won the 2004 election, Pickard served as a member of the mayor's transition team.
More recently, the selection of Community Planning as an $860,000 subconsultant on the city's mass-
transit project sparked a state court lawsuit and demands for a federal investigation of the selection
process.
The suit was filed by Communications Pacific Inc., a public relations firm headed by University of
Hawaii regent Kitty Lagareta, a longtime friend and political backer of Lingle.
Lagareta alleged that the last-minute selection of Community Planning violated state procurement law.
The lawsuit was dismissed last year by a state circuit judge. That. decision is now under appeal to the
state Supreme Cotut.
Reach Jim Dooley at~dooley(a~honoluluadvertiser.com.
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