HomeMy WebLinkAboutREP FC 046 2019/08/06 2018-2020 REPORT OF THE
COMMITTEE ON FINANCE
DATE: August 6, 2019 Re: Comm.No. 3 87/Res.No. 236-19
PLACE: Council Chambers
Hilo, Hawaii
TIME: 3:55 p.m.
Council Chair and Members
Hawaii County Council
Hilo, Hawaii 96720
Your Committee on Finance, to which was referred Resolution No. 236-19, reports as follows:
Resolution No. 236-19,transmitted by Finance Director Deanna S. Sako, via Communication No. 387
dated July 19, 2019, authorizes the payment of funds of a later fiscal year and of more than one fiscal
year for multi-year leases of real property for the County of Hawaii Department of Information
Technology and Office of Housing and Community Development.
This resolution authorizes the Mayor to enter into five-year lease agreements with an option for an
additional five years with Kaneshiro & Sons Enterprise, Limited and Glenn Kaneshiro Partnership, to
allow for the continued occupancy of warehouse space located at 1990 Kino'ole Street in Hilo.
Hamana Ventura, Finance Property Manager, explained the request for lease renewals for the Office of
Housing("Housing") and Informational Technology("IT") is due to the fact that Housing is currently
located in two different locations. The lease will allow for the them to work out of one location and will
give provide IT with a larger area to work from given the growing needs of the County of Hawaii.
Committee Chair Maile David inquired into the monthly lease rent amounts the County will be paying
for Housing and IT office spaces. Mr. Ventura stated that Office of Housing cost for approximately
10,000 square feet will be $19,000 per month, and IT's 5,000 square foot office will cost$8,700 per
month.
Council Member Herbert"Tim" Richards, 111, inquired as to the term of the lease agreement and the
percentage in increased lease amount. Mr. Ventura commented that Section 8, Office of Housing,has
been at the 1990 Kino'ole Street location since 2004, and the half of the office is located at the Armory.
He also stated that they have been trying to get Housing into one location and were waiting for the State
to vacate. He noted that with an expansion of office space, IT would then have an area to provide
training. Mr. Richards requested that a spreadsheet perfo,nna be put together for Council to help with
decision-making.
Council Member Susan Lee Loy requested that the spreadsheet be provided prior to the next meeting so
a decision can be made.
FC Report No.46
FC-46 Page 2 August 6,2019
Your Committee is in accord with the purpose and intent of Resolution No. 236-19, and recommends its
adoption.
dmm
AYES NOES ABS EX Respectfully submitted,
CHUNG X
DAVID X COMMITTEE ON FINANCE
EOFF X
KANEALI`I-KLEINFELDER X
KIERKIEWICZ X
LEE LOY X
POINDEXTER X MAILS M OS DAVID, CHAIR
RICHARDS X FC REPORT NO.: 46
VILLEGAS X ADOPTED:-AUG 2 �o�