HomeMy WebLinkAboutREP FC 034 2017/08/15 (2016-2018) REPORT OF THE
COMMITTEE ON FINANCE
DATE: August 15, 2017 Re: Comm. No. 384/Res. No. 252-17
PLACE: Council Chambers
Kailua-Kona, Hawai`i
TIME: 1:07 p.m.
Council Chair and Members
Hawaii County Council
Hilo, Hawai`i 96720
Your Committee on Finance, to which was referred Resolution No. 252-17, reports as follows:
Resolution No. 252-17, transmitted by Council Member Susan L.K. Lee Loy, via Communication
No. 384 dated July 28, 2017, authorizes the Finance Director to negotiate a 65-year lease of the subject
property for the purpose of constructing, developing, and operating affordable senior housing with
preference to veterans and their spouses.
Resolution No. 252-17 authorizes the Director of Finance to negotiate the lease of real property,
situated Waiakea, South Hilo, County and State of Hawaii, identified as Tax Map Key: 2-4-057:030,
to HKI Kawili, LLC, a nonprofit corporation.
Committee Chair Maile David noted that Mr. Yoshimoto was present in the Hilo Council Chambers for
questions. Also present in Kona, were Robert Williams of the Hawai`i Island Veterans Memorial, Inc.,
and Marian Gushiken, Director of Real Estate Development, Hawai`i.
Ms. Lee Loy referred to Communication No. 384.1 for informational purposes, maps depicting the
location of the subject parcel, which is near Waiakea High School.
Mr. Williams stated that this project has been in the pipeline for ten years, and they are ready to go
forward. This 75-unit senior housing project is planned to be built on the upper portion of a five and a
half acre parcel, at the corner of Kapi`olani and Kawili Streets,between two churches, and below the
university and across from the high school.
Ms. Gushiken stated, by way of background, EAH Inc., a California nonprofit management company,
founded in 1968 in San Rafael, California, and came to Hawaii by invitation of Housing and Urban
Development (HUD) as a preservation effort. They are managing about 2,000 units, both for
themselves and other counties and third-party owners. This would be their first project on Hawai`i
Island.
Ms. Lee Loy stated that this would not only provide senior housing but would also provide housing for
veterans and their spouses. This would fit into the Silver Tsunami Wave discussion and is a perfect fit
and location for Hawai`i Island's growing senior population.
FC Report No. 34
FC-34 Page 2 August 15, 2017
Pursuant to Chapter 2, Article 9, Section 2-120(a)(2) of the Hawai`i County Code, the Director of
Finance is hereby authorized to negotiate a lease of the property with HKI and/or an affordable
housing developer that is controlled by HKI, without notice or appraisal.
Your Committee on Finance is in accord with the purpose and intent of Resolution 252-17, and
recommends its adoption.
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AYES NOES ABS EX Respectfully submitted,
CHUNG X
DAVID x COMMITTEE ON FINANCE
EOFF X
KANUHA X4._
LEE LOY X
O'HARA X 111-Mg.�
POINDEXTER x MAILE DAVID, CHAIR
RICHARDS X FC REPORT NO.: 34
RUGGLES x ADOPTED: SEP 0 7 2017