HomeMy WebLinkAboutCOM 0050.000 1998-2000 •
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Dec. 15, 1998 COUNT - iY Or H ;W U
Hawaii County Council
25 Aupuni St.
Hilo, Hi 96720
Dear Council Members:
2 I would like to voice my opinion regarding the loan refund to Keaau Ag Lot
p owners. The questions you are to ask yourselves is who does the refund
belong to. Present or past owners. In my opinion there is only one logical and
correct answer - the refund is due to the owner who paid for the assessment.
To say that the assessment was worked into the sales price when the original
l .) owner sold the property is ridiculous. Property sales are based on MARKET
Z Value, not costs. Costs must be considered but if a developers costs are so high
that the price he must sell for is out of market range the property will not sell.
Many developers have faced losses because their costs were too high. The
bottom line (profit) is determined by the amount of costs.
Original sales in Keaau Ag lots started out in the low $20,000 range. That
original owner had to pay off the assessment, the 3% penalty and sales costs.
How much do you think he realized after paying off an $18,000 assessment, a
3% penalty and the sales costs ?? Now you are going to say to that owner, even
though YOU PAID the costs, reimbursements generated for early payment of
that cost will be refunded to THE CURRENT OWNER WHO DID NOT PAY FOR
THAT ASSESMENT, NOR DID HE HAVE TO PAY A PENALTY, BUT HE IS
THE ONE WHO GETS THE REFUND? Where is the sanity in this type of
reasoning ? ??
o I am a Realtor and have been in business for over 24 years and I am appalled to
think that there is even argument over this refund. The problem here is the law is
not clear on which "landowner" is due the refund - the original land owner, the
landowner who paid the assessment, or the current landowner. Please know that
there were original owners who sold , and the assessment was assumed by the
Buyer. Simply said, the " LANDOWNER WHO PAID THE ASSESMENT" IS
THE LANDOWNER DUE THE REFUND.
' Comm. Na 0
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Ref. 1bi
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n. ,_ DEC 1 F 1998
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If you blundered when you wrote this law, then it is inherent upon all of you to
correct the law. The word in question seems to be "landowner". Does the
present law refer to "current landowner"? If it merely sates "landowner" then I
don't understand your problem. Where was the Corporation Counsel when this
law was being written? Aren't they supposed to counsel you on making the law
clear and correct. Laws can be amended can't they? Amend the law to read
that the LANDOWNER WHO PAID THE ASSESMENT IS THE LANDOWENR
DUE THE REFUND.
When you pay off a lien filed against a property, i.e. mortgage, assessment , tax
lien, etc., and later a refund is GENERATED FROM PAYING OFF THAT LIEN,
lien, it certainly does not go to the current owner of the property, but to the
person who paid off the lien. Why then should a refund go to someone who had
nothing to do with payment of the assessment from which the refund is being
generated?
I sincerely hope that you will correct you own blunders and give the money to
those who paid off the assessment. It is their refund and no one else's. For
current owners to sue for money being refunded on an assessment paid off by
someone else is wrong but there will be those who will sue and there will those
attorneys who will take the case. Do what is right and give it to the
'LANDOWNER" who paid for it.
Council Members correct your errors. You created the mess and it is your duty to
do whatever it takes to correct your mistakes. I trust that you will all do what is
the correct thing to do.
Many thanks for your time , and rest assured 1 am not an original owner of Keaau
Ag Lots nor am I a current owner. I just pray that those who paid off that
assessment are the ones who receive the refund generated from the
assessment. It is rightfully theirs and no one else's.
A
h 0 LA Ll 11 A--
Ja a M. Mahuna
Pri cipal- Broker