HomeMy WebLinkAboutCOM 0470.000 2016-2018 Harry Kim -�M�Y o`",y; Collins Tomei
Mayor „ \,J; Director
Deanna S. Sako
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Finance Department , . m
25 Aupuni Street,Suite 2103 • Hilo,Hawaii 96720
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(808)961-8234 • Fax(808)961-8569 C
September 15, 2017
Valerie Poindexter, Council Chair and
Members of the Hawai`i County Council
Hawaii County Council
25 Aupuni Street
Hilo, Hawai`i 96720
Re: Resolution for multi-year agreement
Enclosed is a resolution authorizing the County of Hawai`i to enter into a multi-year lease
for ten years to utilize the former Safeway space at Prince Kuhio Plaza for various
County agencies. The County has multiple leases expiring over the next few years and
plans to consolidate agencies into one lease space. This includes the Department of
Public Works General Services lease located at 550 Kilauea Avenue,the Office of Aging
lease at 1055 Kino'ole Avenue, and the Office of Housing at 1990 Kino'ole Avenue and
50 Wailuku Drive. Additionally,the consolidation of the Department of Environmental
Management and relocation of the Department of Information Technology is being
considered.
If there are any questions,please feel free to contact Hamana Ventura of the Finance
Department's Property Management Division at 323-4321.
Collins Tomei
Director of Finance
Enc.
Res. 312
Comm. No. ii-70
Ref. To: FC,
• Ref. Date_sEP 1 8 211.17
• Hawai'i County is an Equal Opportunity Employer and Provider
' Form #: B-52
7/18/91
DEPARTMENT OF FINANCE
REQUEST FOR COUNCIL ACTION
DEPARTMENT: Finance DATE: September 14, 2017 •
STAFF CONTACT: Daryl Inaba PHONE: 961-8567
A. REQUEST:
Prepare County Council submittal authorizing the,County of Hawaii to enter into a multi-year lease for a ten
year term to utilize the former Safeway space at Prince Kuhio Plaza for various County agencies.
B. BACKGROUND AND JUSTIFICATION (USE ADDITIONAL SHEETS AS NEEDED):
The County of Hawaii has various leases expiring in the next few years and plans to consolidate agencies
into one lease space. The Department of Public Works General Services lease located at 550 Kilauea
Avenue expires on 1/31/18 and the owner has indicated they will be listing the property for sale. The Office
of Aging lease at 1055 Kinoole expires on 7/31/18. The terms submitted by the landlord for a proposed
extension include significant lease rent increases that reflect higher than current market rents and are
prohibitive to the County extending the lease term. The Office of Housing and Community Development
(OHCD) lease at 1990 Kinoole expires on 1/31/20. The OHCD requires relocation of their other offices at 50
Wailuku Drive due to possible hazardous materials and desires to have all services provided at one location.
The consolidation of the Office of Aging and OHCD will allow for efficient assistance of the community with
many social services provided by the County. Leasing of the premises at Prince Kuhio Mall will provide a
significant savings to the County of Hawaii during the lease term.
Further options include a consolidation of DEM. IT should be considered as a possible tenant in order to
have a central location to service and maintain the County Network.
SIGNED: DATE: q11 411 7
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