Loading...
HomeMy WebLinkAboutCOM 0849.000 2006-2008 +'V OF, Harry Kim Y. William Takaba Mayor Director • Nancy E. Crawford i'•.+••~` Deputy Director 4rt oi'wi•+ County of Hawaii Finance Department 25 Aupuni Street, Room 118 • Hilo, Hawaii 96720 t3 (808) 961-8234 Fax (808) 961-8248 C: C'; December 5, 2007 Zr C r Pete Hoffmann, Chairman and Members of the Hawai'i County Council it Hawai'i County Council 25 Aupuni Street r; o Hilo, Hawai'i 96720 - Re: Resolution for Multi-year Lease of Real Property The County of Hawai'i wishes to enter into a multi-year lease with Hawai'i Hardware Company Limited for ten (10) years, for its real property, located at 550 Kilauea Avenue in South Hilo. This property, further identified as Tax Map Key: (3) 2-2-010-001, is the former site of the Hawaii Hardware Store and has approximately 19,171 square feet, of which 8,181 square feet are part of a retail/warehouse facility. It presents an excellent opportunity to establish a warehousing and storage facility in near proximity to existing County facilities. The warehouse facility will be used 1) to house some of the new custodian/groundskeeper positions created as a result of the UPW settlement and to house four Engineering Division construction inspectors, along with their testing lab; 2) to relocate the central storeroom from the County Building; 3) to establish a centralized document managing scanning site and a paper shredding and recycling location; and 4) for storage area for equipment, old files/records, etc. that are taking up valuable within existing operational facilities. Enclosed is a resolution authorizing the County of Hawai'i to enter into a multi-year lease for real property located at 550 Kilauea Avenue in South Hilo. If there are any questions, please do not hesitate to call Harry Yada, Property Manager. William Ta aba Director of Finance APPROVED: 4AV Harry Kim C6 Mayor Comm. No. Enclosures Ref. To- f note DEC 0_ 6_ 20~~ cc: Harry Yada, Property Manager Hawaii County is an Equal Opportunity Provider and Employer .tea .X14 8-0-7 Form B-52 7/18/91 DEPARTMENT OF FINANCE REQUEST FOR COUNCIL ACTION DEPARTMENT: Finance DATE: 12/3/07 STAFF CONTACT: Harry Yada PHONE: x8009 A. REQUEST: Resolution that authorizes the payment of funds for more than one fiscal year for a multi-year lease of real property for the Hawaii Hardware facility. This lease will be between the County of Hawaii and Hawaii Hardware Company Limited, for the use of a parcel identified as TMK: 3rd/ 2-2-010-001, South Hilo, Hawaii. B. BACKGROUND AND JUSTIFICATION (USE ADDITIONAL SHEETS AS NEEDED): The Hawai'i Hardware warehouse property located on the corner of Kilauea Avenue and Hualalai Street is ideally located due to its proximity to existing County offices. Although more intensive uses were considered, the limited parking due to its prior use as a warehousing and wholesale operation would make it impractical. The building represents an excellent warehousing opportunity for various County purposes. Due to the limited on-site parking, the use of the facility would not lend itself to intensive public use but would be an excellent opportunity to establish a warehousing and storage facility in near proximity to existing County facilities. The following is a summary of the uses immediately being envisioned for the 8,000 square foot warehouse facility: Department of Public Works With the sunset of Act 90 on June 30, 2007 and to comply with settlement of UPW vs. COH, 98-244, the Department of Public Works must cancel contracts for janitorial and groundskeeping services by December 31, 2007. To replace these contractual services, 21 positions were established. Of the 21 positions, 10 positions need to be house in S. Hilo. In addition, space is needed to store equipment and supplies. (continued on next page) SIGNED: DATE: DEC 5 2007 Departmen ead BACKGROUND AND JUSTIFICATION (continued): Space is also needed to house 4 construction inspectors and their testing lab. The Traffic Division has grown from 26 positions in 2000 to 36 positions in 2007. To accommodate the increase in Traffic's staff, equipment and inventory, Public Works plans to use the space that is currently occupied by Engineering Division's construction inspectors. Department of Finance The Purchasing Division is looking at locating the storeroom at Hawaii Hardware instead of returning to the basement of the County Building. The handling considerations/logistics of using stairs and an elevator for storeroom operations in the basement would be greatly simplified. The ability to receive bulk paper and other supplies on pallets directly from trucks into a warehouse with the use of pallet jacks and potentially a forklift would tremendously improve efficiency and productivity. Being housed with the new janitorial operations will also allow purchasing to centrally purchase and store the bulk of those supplies. As an added service, there is consideration being given to the establishment of a large industrial shredder at the Hawaii Hardware location to allow other departments and their rural operations to bring in old files for shredding and recycling at the same time that they pickup supplies. Data Systems With the increasing demands for scanning of old records, Data Systems has suggested the establishment of a scanning center at the Hawaii Hardware location to allow for departments to set up periodic scanning projects of their old records. Other County Aeencies Although the Prosecutor's Office relocated their offices to Aupuni Center, they currently have the second floor wing below their former offices on Rainbow Drive filled with old files and records. Hawaii Island Adult Day Care is the only remaining operation in the building and the deteriorating condition of the building dictates that these old files and records be relocated. As an immediate need, the Hawaii Hardware warehouse will provide an area for the relocation of these old files and records. In evaluating possible uses for the Hawaii Hardware warehouse, the Department of Finance also surveyed other County agencies with regard to storage needs and received several requests from the County Clerk's office, Parks & Recreation, etc. Allowing storage space for these various agencies will free up space within their existing operational facilities. To address this need, remaining space within the Hawaii Hardware warehouse can be assigned to various County agencies for warehouse storage area and could be partitioned with interior chain link fencing and individual padlocks for security.