HomeMy WebLinkAboutCOM 0235.003 2012-2014June 4, 2013
DEPARTMENT OF WATER SUPPLY • COUNTY OF HAWAI'I
345 KEKOANAO'A STREET, SUITE 20 • HILO, HAWAII 96720
TELEPHONE (808) 961 -8050 • FAX (808) 961 -8657
Kona Ocean View Properties Subdivision
WATER IMPROVEMENT DISTRICT
Information Sheet
Overview:
The Kona Ocean View Properties (KOVP) subdivision is located at Pu`ukala, approximately 6 miles north of
Kailua -Kona along Highway 190, also known as the Mamalahoa Highway. The subdivision was created in
1959 and currently consists of 81 lots, ranging in size from 7,500 to 22,400 square feet. Final subdivision
approval was granted without the installation of a water system.
Pursuant to Section 12 -10 of the Hawaii County Code, the Hawaii County Council initiated improvements by
assessments to design and install a water system for this subdivision that will comply with the Department of
Water Supply standards. Once completed, the system will be dedicated to the Department of Water Supply for
operation and maintenance.
The Department of Water Supply is responsible to administer this project. The Department of Water Supply
applied for funding assistance with USDA — Rural Development's "Water and Waste Disposal Direct Loans and
Grants Program ". The subdivision property owners are paying the loan portion of this project through real
property tax assessment secured by a general obligation bond created by the County of Hawaii.
Facility Information:
At the time of the subdivision approval there was no water system available in the area so potable water for each
lot was provided by private water catchment systems. In the mid 1980's, an 8 -inch water line was constructed
along Mamalahoa Highway up to the Pu`ukala Loop Road intersection.
Who Benefits:
The property owners of this subdivision will benefit from this project in two ways: 1) Availability of reliable
and safe drinking water and 2) Providing Fire safety protection with the installation of fire hydrants.
Project Status:
At this time, the Department of Water Supply is working with all agencies to secure the bond and the loan as
well as award the construction contract.
Contact:
Ryan Quitoriano, P.E.
Civil Engineer
Water Resources and Planning Branch
The Department of Water Supply is an Equal Opportunity provider and employer.
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KONA OCEAN VIEW PROPERTIES
IMPROVEMENT DISTRICT IMFORMATION SUMMARY
1. IMPROVEMENT DISTRICT COSTS
PROJECT COST
Development
$
1,146,625
Land and Rights
$
20,000
Administrative & Legal Fees
$
39,500
Environmental Report/Engineering Fees
$
125,350
Inspection Fees
$
26,400
Other
$
39,500
Project Contingency
$
171,994
Total Project Costs
$
1,569,369
NET PROJECT COST
Total Project Costs $ 1,569,369
(less — UDSA /RUS Grant) $ 353,369
Net Project Costs $ 1,216,000
ESTIMATED ASSESSMENT
S 1,216,000 divided by 81 assessed owners = S 15,012.35
2. PROJECTED PAYMENTS
Year 1: (from bond closing date)
Interest only payments based on contractor's projected draw schedule
Years 2 -35: $196.00 /quarter
Payments include a $12 administrative fee
3. ADDITIONAL COSTS
Facilities Charge: $ 1,190
Credit Deposit: $ 150
Meter installation fee: $ 75
Plumbing connection: varies
- costs for owner's hookup
from dwelling unit to water meter
NOTE: Facilities charges will be waived for all owners who made a prior payment to DWS.
4. PREPAYMENT AND PROPOSED TIMETABLE; PREPAYMENT PENALTY
It is anticipated that property owners wishing to prepay the full assessment (currently estimated at
$15,012) and thereby avoid interest payments on the I.D. loans may make payment to the Finance
Director, County of Hawaii within the 30 -day prepayment period. Upon adoption of a County Council
ordinance setting the assessment for the Improvement District, owners will also be permitted to prepay
the unpaid balance of their assessments in full, plus a 3% premium on the unpaid balance (unless
waived) and interest at the rate on the bonds until they can be redeemed with the assessment
prepayment.
5. PROJECT / LEGISLAVTIVE ACTION TENTATIVE TIMETABLE
June 4
Public hearing (West Hawaii Civic Center)
July 10, 24
ID Assessment and bond ordinances, I" & 2 °a reading
Aug 3
Published and certified notice of prepayment
Sept 3
30 -day prepayment period ends
Sept 6
I.D. bond /final assessment issued
Sept 10
USDA -RD loan closes
Sept 16
Notice of award issued
Oct 1
Construction contract executed and returned
Oct 8
USDA -RD concurrence of construction contract
Nov 15
Notice to Proceed
Aug 2014
9 -month construction period substantial completion
6. INFORMATION TO COMMUNITY
The Department of Water Supply anticipates providing periodic Improvement district update reports to
the residents of Kona Ocean View Properties on the status of project construction via its county website
at http: / /www.hawaiidws.org.