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Home My WebLink About2020-10-15 Leeward Planning Commission Minutes LEEWARD PLANNING COMMISSION COUNTY OF HAWAII MINUTES OCTOBER 15, 2020 The Leeward Planning Commission met in regular session at 9:39 a.m., with Chairperson Nancy Carr Smith presiding. Based on the Governor's Twelfth Proclamation Related to the COVID-19 Emergency dated August 20, 2020, this meeting was held online, with live-streaming for the public to observe the meeting. COMMISSIONERS IN ATTENDANCE: Nancy Carr Smith, Barbara DeFranco, Perry Kealoha, Max Newberg, Mark Van Pernis, Michael Vitousek, and Faith "Faye" Yates ALSO IN ATTENDANCE: J Yoshimoto, Esq. (Counsel for the Commission), Michael Yee (Planning Director), John Mukai, Esq. (Counsel for the Planning Director), Jeff Darrow (Planning Program Manager), Alex Roy (Planner), Jessica Andrews (Planner), Tracie-Lee Camero (Planner), Rachelle Ley (Secretary to the Planning Director), Kim Tanaka (Secretary to Boards and Commissions), and Noriko Sauer(Leeward Planning Commission Secretary) [Secretary's Note: Throughout the meeting, there were some technical and/or internet difficulties. The notation "- - -" in the exhibit transcripts indicates such occurrence, which made the conversation indiscernible.] A quorum was present. Chair Carr Smith called the meeting to order. She explained the procedure and protocol for this online meeting and live public testimony. She introduced the Commissioners and staff who were in virtual attendance. At 9:42 a.m. the Commission took up statements from the public. There were 22 testifiers for Agenda Item 1, PUAKEA RANCH DBA KUPUNAKANE RANCH LLC (SPP 20-000219), and this segment ended at 10:59 a.m. [SEE HEARING TRANSCRIPT EXHIBIT A] Chair Carr Smith called a recess at 10:59 a.m. She called public testimony back to order at 11:07 a.m. There were four testifiers for Agenda Item 2, DPM ACQUISITION LLC DBA DIAMOND RESORTS INTERNATIONAL (FORMERLY PACIFIC MONARCH RESORTS, INC.) (AMEND SMA 388), and this segment ended at 11:24 a.m. [SEE HEARING TRANSCRIPT EXHIBIT B] There was one testifier for Agenda Item 5, PLANNING DIRECTOR INITIATED ZONING CODE AMENDMENT REGARDING USE PERMIT, and this segment ended at 11:28 a.m. [SEE HEARING TRANSCRIPT EXHIBIT C] 1 It was moved by Commissioner Newberg and seconded by Commissioner Yates that public testimony be closed. A voice vote was taken, and the motion carried with all in favor. NEW BUSINESS 1. APPLICANT: PUAKEA RANCH DBA KUPUNAKANE RANCH LLC (SPP 20-000219) Application for a Special Permit to operate Puakea Ranch as a Guest Ranch on a 14.9-acre portion of a 32.411-acre parcel situated in the State Land Use Agricultural District. The subject property is located mauka of Akoni Pule Highway south of Hawi Town, Puakea, North Kohala, Hawaii, TMK: (3) 5-6-001: Portion of 082. The Commission took up this item at 11:30 a.m. Action: It was moved by Commissioner Vitousek and seconded by Commissioner Yates that the Special Permit application for Puakea Ranch dba Kupunakane Ranch LLC, SPP 20-000219, be accepted with the conditions as amended. A roll call vote was taken, and the motion carried with seven ayes (Vitousek, Yates, DeFranco, Kealoha,Newberg, Van Pernis, and Carr Smith), and no noes. The hearing ended at 1:25 p.m. [SEE HEARING TRANSCRIPT EXHIBIT DJ Chair Carr Smith called a recess at 1:25 p.m. She called the meeting back to order at 1:56 p.m. 2. APPLICANT: DPM ACQUISITION LLC DBA DIAMOND RESORTS INTERNATIONAL (FORMERLY PACIFIC MONARCH RESORTS, INC.) (AMEND SMA 388) Application to amend Condition No. 2 (Time to Complete Construction) of Special Management Area Use Permit No. 388, which was issued in 1998 to allow the development of a commercial/condominium complex and related improvements on 76,739 square feet of land. The property is located on the makai side of Alii Drive bounded by Alii Drive and Kahakai Road, south of Royal Kona Resort and north of Kona Reef Condominium, Pua`a 3rd, North Kona, Hawaii, TMK: (3) 7-5-018:011. The Commission took up this item at 1:56 p.m. Around 2:50 p.m. there was an internet connectivity issue in the area where the WebEx host was located, which disrupted the YouTube live-streaming and recording for approximately eight minutes. Action: It was moved by Commissioner Newberg and seconded by Commissioner Vitousek that the Commission defer this matter until the December 17, 2020, meeting pending the following items: a mitigation plan for the existing site conditions; a description of the proposed project, including the number of floors and units and the square footage of commercial space; and, a timeline of application submittals for approval and possibly a construction schedule. A roll call 2 vote was taken, and the motion carried with seven ayes (Newberg, Vitousek, DeFranco, Kealoha, Van Pernis, Yates, and Carr Smith), and no noes. The hearing was adjourned at 4:03 p.m. [SEE HEARING TRANSCRIPT EXHIBIT EJ 3. APPLICANT: PALAMANUI GLOBAL HOLDINGS LLC (AMEND REZ 05-000010) Application to amend Condition V(Scope and Timing of Road Improvements) and Condition S (Scope and Timing of Park Improvements) of Ordinance No. 09-132, which amended Ordinance No. 06-105, which rezoned 725 acres from an Agricultural- 3 acres (A-3a) and Open to a Project District zoning district for a mixed-use development known as the Palamanui Development. The property is located northeast of the Kona International Airport at Keahole, between Queen Ka`ahumanu Highway and Makalei Estates Subdivision, Kau, North Kona, Hawaii, TMK: (3) 7-2-005: Portion of 001. 4. APPLICANT: PALAMANUI GLOBAL HOLDINGS LLC (AMEND REZ 09-000094) Application for a time extension to Condition E(Secure Final Subdivision Approval) of Ordinance No. 09-131, which rezoned 29.92 acres from the Project District(PD)to Industrial-Commercial Mixed-20,000 square feet(MCX-20) zoning district in 2009. The property is part of the proposed Palamanui development located northeast of the Kona International Airport at Keahole, between Queen Ka`ahumanu Highway and Makalei Estates Subdivision, Kau, North Kona, Hawaii, TMK: (3) 7-2-005: Portion of 001. Chair Carr Smith announced that Agenda Items 3 and 4 were postponed until the November 19, 2020, meeting. Director Yee said that the reason for the postponement was so that the applicant had more time to work through some issues after meeting with the Planning Department. 5. INITIATOR: PLANNING DIRECTOR An ordinance amending Chapter 25 (Zoning Code), Article 2, Division 6 of the Hawaii County Code 1983 (2016 Edition, as amended), to update the time and revocation requirements for the Windward Planning Commission and Leeward Planning Commission to act on and revoke a Use Permit to be consistent with the Planning Commission Rules of Practice and Procedure. The Commission took up this item at 4:04 p.m. Action: It was moved by Commissioner Vitousek and seconded by Commissioner Kealoha that the Commission forward a favorable recommendation to the County Council, as amended. A roll call vote was taken, and the motion carried with seven ayes (Vitousek, Kealoha, DeFranco, Newberg, Van Pernis, Yates, and Carr Smith), and no noes. The hearing ended at 4:22 p.m. [SEE HEARING TRANSCRIPT EXHIBIT EJ 3 6. INITIATOR: PLANNING DIRECTOR An ordinance amending Chapter 25 (Zoning Code), Article 1, Article 2, Article 4, Article 5 and Article 7 of the Hawaii County Code 1983 (2016 Edition, as amended), relating to definitions, use permit requirements, off-street parking requirements, and zoning district regulations for medical clinics and massage, acupuncture, chiropractic and other small-scale health service facilities. The Commission took up this item at 4:22 p.m. Action: It was moved by Commissioner Van Pernis and seconded by Commissioner Vitousek that the Commission defer this matter until the November 19, 2020, meeting. A roll call vote was taken, and the motion carried with six ayes (Van Pernis, Vitousek, DeFranco, Kealoha, Newberg, and Yates), and one no (Carr Smith). The hearing was adjourned at 5:14 p.m. [SEE HEARING TRANSCRIPT EXHIBIT GJ MINUTES Approval of the Minutes of the September 21, 2020, Leeward Planning Commission meeting. At 5:14 p.m. it was moved by Commissioner Vitousek and seconded by Commissioner Yates that the minutes be approved as submitted. A voice vote was taken, and the motion carried with all in favor. At 5:15 p.m. Chair Carr Smith called upon staff to address administrative matters and announcements. ADMINISTRATIVE MATTERS None. ANNOUNCEMENTS Mr. Darrow informed the Commission that the agenda for the November 19, 2020, meeting would have a number of items, including the two Palamanui applications that were postponed from this meeting. Chair Carr Smith expressed her concern about the length of the recent meetings and asked staff for possible solutions. Director Yee said in response that other than holding special meetings, there are not many options because of the deadlines that the Commission has to meet. He added that the Leeward and Windward Planning Commissions in total had held about eight online meetings so far, and that staff has been making adjustments after every meeting to improve it. Commissioner Van Pernis commented that he was aware of a suggestion that the Palamanui applications be considered by the new County Council, which would mean a further delay. 4 Chair Carr Smith reconfirmed with staff that those applications were set for a hearing at the November 19, 2020, meeting, as far as the Commission was concerned. With respect to Chair Carr Smith's concern about the meeting length, Commissioner Vitousek spoke of his experience with the state Board of Land and Natural Resources where the board would remove a controversial item from the agenda to force the applicant to talk to their opposing parties and the government agencies prior to being heard by the board. He suggested that the Commission could determine based on public testimony whether it might make the hearing go more efficiently to have the applicant meet with the community and the Planning Department prior. Chair Carr Smith questioned if the Commission has the right to do so. Mr. Darrow responded that the Planning Department could request applicants to do so; however, there are specific time frames in which applications must be heard by the Commission, and if the applicant is not amenable to an extension, the Commission can find itself facing automatic approval. Commissioner Vitousek said that if the applicant was not willing, then the application would proceed to a hearing as is, which is what the Board of Land and Natural Resources does. Mr. Darrow said that since the indication of potential controversy is often apparent at early stage, the Planning Department does strongly encourage the applicant to meet with the community in such cases. He said that applicants also often assure the Planning Department that they have done so but cannot come to an agreement with the community. Commissioner Vitousek also suggested that an amendment to the Planning Commission Rule 9 and/or other appropriate sections be considered so that when the Commission reviews a time extension request, factors such as the passage of time, changes in the community and the environment shall be considered. He cited the federal regulation, 36 CFR Part 800, requiring that the effects of development on historic properties be re-evaluated after time because of the environment changes. Mr. Yoshimoto cautioned the Commission against discussing matters that were not on the meeting agenda. Commissioner Vitousek requested the matter be placed on a future agenda. Mr. Darrow responded that the staff was working on amendments to the Planning Commission Rules 8 and 9 based on Senate Bill 2060, which had amended Section 205A of Hawaii Revised Statutes; that would be a good time to consider such amendments to those rules as well. ADJOURNMENT There being no further business, it was moved by Commissioner Yates and seconded by Commissioner Kealoha that the meeting be adjourned. A voice vote was taken, and the motion carried with all in favor. Chair Carr Smith adjourned the meeting at 5:25 p.m. Respectfully submitted, Noriko Sauer, Secretary ATTEST: Nancy Carr Smith, Chairperson Leeward Planning Commission 5