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HomeMy WebLinkAboutREP FC 030 02/05/2013 (2012-2014) REPORT OF THE COMMITTEE ON FINANCE DATE: February 5, 2013 Re: Comm. No. 86/Bill No. 30 PLACE: Council Chambers Hilo, Hawai`i TIME: 10:45 a.m. Council Chair and Members Hawai`i County Council Hilo, Hawai`i 96720 Your Committee on Finance, to which was referred Bill No. 30, reports as follows: Bill No. 30, transmitted by Council Member Brenda J. Ford via Communication No. 86, dated January 11, 2013, amends Ordinance No. 12-87, as amended, relating to public improvements and financing thereof for the fiscal year July 1, 2012 to June 30, 2013. The amendment is as follows: PARKS AND RECREATION: Kona Emergency Shelter& Multi-purpose Event Center (110.599.5596.51) $ 3,000,000 Funds for this appropriation increase shall be provided from: General Obligation Bonds, Capital Projects Fund- Fund Balance and/or other Sources $3,000,000 The proposed bill will provide for a multi-purpose center capable of holding large events as well as provide an emergency shelter for the residents of Kona. Pursuant to Section 10-6(d), Hawai`i County Charter, the Council may amend the Capital Budget for that year with a two-thirds vote. Ms. Ford transmitted a proposed amendment to Bill 30, dated January 31, 2013 (see Comm. 86.1). The amendment increases the appropriation from $3 million to $30 million. It was approved unanimously. Parks and Recreation Accountant Darren Takiue was not present for questions due to a personal emergency. Ms. Ford informed Council Members that the project would serve Districts 6, 7, and 8. She indicated that with the Federal—Air National Guard's assistance, the County could save up to $2 million in grading costs. She also stated that there is no specific State or County land acquired for this project, and location is yet to be determined. District 8 is the proposed area desired due to growth and population status. FC Report No. 30 FC-30 Page 2 February 5, 2013 Several Council Members support the facility and expressed the need for an emergency shelter in Kona. Ms. Wille had some reservation in regard to the County's priorities in funding; however, she will support the project going on the Capital Improvement Project's "wish list." In response to Mr. Yoshimoto's question relating to the financial layout of the amended Project Data/Financial Impact Statement for Fiscal Year 2012-2013, Ms. Ford explained the overall project requirements, and estimated the cost to be approximately $30 million. Furthermore, she described the difference and standards between a multi-event center versus the proposed project of a combination multi-event center and Civil Defense shelter. Mr. Onishi affirmed the costs of a FEMA shelter are much more expensive than a standard multi-purpose center. Ms. Eoff and Mr. Kanuha conveyed their concern in getting the support from the University of Hawai`i or State legislators, to find a proper location for the project. Mr. Kanuha pointed out District 9 would benefit, if the project was to be located in District 8. Ms. Poindexter spoke in support of Bill No. 30. She encouraged each district to work together and to "map out" Civil Defense evacuation areas and available emergency resources. Finance Deputy Director Deanna Sako came forward and stated that Ms. Ford's proposed amendment, Section 2 (see Comm. 86.1), details the breakdown of the $30 million appropriation for the project, and better reflects the budget for Fiscal Year 2012-2013. Ms. Sako and Ms. Ford will be working together to clarify the revenue sources and appropriation projections. Ms. Ford encouraged Council Members for their support of Bill No. 30, as amended. Your Committee on Finance is in accord with the purpose and intent of Bill No. 30, as amended to Draft 2, and recommends its passage on first reading. sc AYES NOES A&E Ex Respectfully submitted, EOFF X FORD X COMMITTEE ON FINANCE ILAGAN X KANUHA X KERN X ���,�G'��a�-•/�O�"� ONISHI X POINDEXTER X VALERIE T. POINDEXTER, CHAIR WILLE X FC REPORT NO.: 30 YOSHIMOTO X ADOPTED: FEB 2 0 2013