HomeMy WebLinkAboutCOM 0040.021 2010-2012Ken Melrose
P. O. Box 109
Kealakekua, HI 96750
Fax: 323 -2304
Ken's Cell: 345 -0854
E -Mail: melrosek001 @hawaii.rr.com
September 21, 2011
To: Hawaii County Council
Subject: Bill 304, Relating to Impact Fees
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Good morning. My name is Ken Melrose and I serve as the Chair of the
Action Committee for the Kona CDP (KCDP). While the Action Committee
did not specifically take a position on Bill 304, this Bill was included in our
discussions as part of our acceptance of the Public Facilities Financing
Plan (PFFP) for the KCDP. I attach a copy of our Action Committee motion
accepting the PFFP at our meeting on August 24, 2011. The PFFP, done
by the Goodwin Consulting Group, was funded to evaluate the needs for
public facilities necessary to implement the KCDP. It evaluated both the
facilities needed and estimated their costs, thus providing a regional update
to the findings of the Duncan Assoc. study done for the County several
years ago.
The PFFP also evaluated a broad palette of tools available to generate the
needed funding to put the required infrastructure in place concurrent with
projected growth in the Kona Districts, in keeping with the land use plan of
the KCDP. Impact Fees were one of those tools, accounting for about 32%
of the total facility funding. The projected impact fee was based on full
value, not the reduced amount called for in Bill 304, and applied to all
present vacant and as well as newly created lots /units. At full value, the
Impact Fee was found to be a similar amount to present Fair Share
assessments when all infrastructure impacts are considered. Fair Share
only applies when new zoning is approved, while impact Fees address the
cost of all new units above existing levels of demand.
Putting an Impact Fee in place is a vital component to maintaining existing
levels of service as growth occurs, islandwide. Bill 304 is a start and should
be adopted, as politically difficult as it may be.
Respectfully Submitted,
Ken Melrose
Comm. No. 419.2-1
Ref. To: O'* reo (mow('
Ref. Date SEP 21 2011
August 24, 2011
It is moved that the Action Committee of the Kona CDP has received, reviewed
and accepts as presented, with amended pages 31, 42, 50, 51, 66, 95, 96 & 99,
the Financing Plan for Public Facilities and Backbone Infrastructure as Prepared
by the Goodwin Consulting Group. The Action Committee acknowledges the
excellent work done in fulfilling their contractual obligations by PBR Hawaii in
assembling the background data, infrastructure requirements and cost estimates
and for the thorough and thoughtful presentation by the Goodwin Consulting
Group of the range of financing tools available in creating this solid basis for
future decision making.
The Action Committee requests that the Planning Dept secure funding to extend
the scope of services of the Goodwin Consulting Group engagement to include
discussions with the development community, the public and the County Council
on the intricacies of the implementation of the financing tools available. We ask
that the final version of the PFFP include provisions for the implementation of the
Open Space Network Plan once it is created. Further, the Action Committee
requests that the Administration pursue the needed legislative adjustments to
fully implement a full value Impact Fee islandwide which is applicable to all new
building permits and to introduce legislation to make the needed adjustments to
fully activate the full use of Tax Increment Financing so that a fair portion of the
rising tax revenues from growth in Kona can be directed toward creating the
much needed infrastructure within the areas of the Kona CDP
Moved: Marni Herkes
Seconded: Bob Ward
Vote: 5 for, none against