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HomeMy WebLinkAbout2021-05-06 Windward Exh B Island Naturals Properties SMA 21-079 WINDWARD PLANNING COMMISSION COUNTY OF HAWAII HEARING TRANSCRIPT MAY 6, 2021 A regularly advertised hearing on the application of ISLAND NATURALS PROPERTIES (SMA 21-000079) was called to order at 9:22 a.m. via live-stream online meeting, with Vice Chairperson Gilbert Aguinaldo presiding. COMMISSIONERS IN ATTENDANCE: Dean Au, Gilbert Aguinaldo, Joseph Clarkson, Michelle Galimba, Dennis Lin, Thomas Raffipiy and John Replogle (joined at 9:51a.m.) ALSO IN ATTENDANCE: Malia Hall, Esq. (Counsel for the Commission), Zendo Kern, (Planning Director), Jean Campbell, Esq. (Counsel for the Planning Director), Tracie Lee Camero (Planner), Maija Jackson (Temporary Assignment Program Manager), and Melissa Dacayanan- Salvador (Windward Planning Commission Secretary). APPLICANT: ISLAND NATURALS PROPERTIES, LLC (SMA 21-000079) Application for a Special Management Area(SMA) Use Permit to allow the construction of an approximately 67,685 square-foot, retail and office complex on approximately 4.045-acres of land situated in the Special Management Area. The subject property is located on the northwestern corner of the intersection of Mililani Street and Kelcuanao`a Avenue, Portion of Waiakea, South Hilo District, Hawaii, TMK (3) 2-2-030:017. Secretary's Note: "—" indicates that there were technical and/or internet difficulties, which made the conversation inaudible. AGUINALDO: Okay, new business presentation of agenda item number 1. Applicant Island Naturals Properties LLC. Application for the Special Management Area(SMA) Use Permit to allow the construction of an approximately sixty-seven thousand six hundred eighty-five (67,685) square-foot retail and office complex on approximately four point zero four five (4.045) acres of land situated in a Special Management Area. The subject property is located on the northwestern corner of the intersection of Mililani Street and Kekuana6`a Avenue,portion of Waiakea, South Hilo District, Hawaii, Tax Map Key (TMK)parenthesis three (3)two dash two dash zero three zero zero seventeen (2-2-030:017). Staff, you may proceed with the presentation. CAMERO: Thank you, please allow me to share my screen. Can you all see my screen, you can give me a thumbs up. Perfect. Good morning members of the Windward Planning Commission, the application you have before you today is for Island Naturals Properties LLC. They are requesting a Special Management Area Use Permit to develop a retail and office complex on approximately 4.045 acres of land situated within the Special Management Area. The subject property is located in the northwest corner of the intersection of Kekuana6`a Avenue and Mililani Street in Hilo. Just to orient the Commissioners the photo to the left of your screen is a wide view of the area that the subject property is located in and the photo located to the bottom 1 EXHIBIT B right is the zoomed in photo that shows the area that the subject property is also located in. Waiakea pond is in the blue area on the bottom of your slide and Kilauea Avenue is turning from the north to southbound direction on the left-hand portion of your slide and you can see KekuanaWa Avenue runs east and west along the bottom of the property. The subject property is also outlined in black. The applicant's request, the applicant is proposing to develop a 67,685 square-foot retail and office complex within 3 detached structures. If phased, the project would be developed in the 3 phases that would consists of the first phase would consists of a forty-one thousand six hundred fifty-seven (41,657) square foot two (2) story structure that would include the Island Naturals Store on the first level and an office space on the second level. The second phase would include a two thousand nine hundred sixty-six (2,966) square foot free-standing drive-through restaurant near the Mililani Street slash (/) KekuanaWa Avenue intersection. And the third and last final phase will include a twenty-three thousand seventy-two (23,072) square foot 2-story structure consisting of a retail space on the first level and office space on the second level. The intent is that the applicant would like to develop a one-stop commercial retail and office center with its store being one of the major anchors. The total number of parking that is going to be put on the subject property will be two hundred twenty-six (226) stalls, eight(8) of which will be American with Disabilities Act(ADA) and there will be approximately six (6) loading zones. The phasing will also be based on construction and timing so the applicant is also proposing that may instead of doing phasing they may in fact to do it all at one time or if something comes up they will stick with the 3 phases that they have proposed. On your screen you can see the current zoning map for the County which you can see the subject property that is outlined in red on your screen and is currently zoned General Commercial CG dash seven point five (CG-7.5) indicated by the salmon color and Resort-Hotel which is the V dash point seven five (V-.75) that is indicated in the fuchsia color. Properties to the east of the subject property are zoned Single-Family Residential as shown to you in the yellow color as well as Neighborhood Commercial (CN 7.5)which is shown to you in the light pink. The surrounding properties to the south and across the street from the subject property from KekuanaWa at KekuanaWa Avenue include properties zoned Double-Family Residential the RD dash three point seven five (RD-3.75) shown in the light brown and the Limited Industrial ML dash twenty (ML-20) shown to you in the grey. The State Land Use Designation for the subject property is Urban as indicated by the pink. Also, the surrounding areas and properties around the area are also designated as Urban. The General Plan Allocation Guide Map also known as the LUPAG designates the subject property which is outlined in white on your screen as High Density Urban and is indicated by the red color. The High-Density Urban designation allows for the General Commercial, Multiple Family Residential and other related services, properties across the street of the subject property are designated as Medium Density Urban as indicated by the orange color. This is site plan that was submitted to the Department by the applicant. As you can see and I'm going to try put a pointer on here a laser pointer that helps. So, as you can see this is the 41,657 square-foot 2 story structure that the applicant is proposing which will house the Island Naturals 2 EXHIBIT B store on the first level and office space on the second level which is shown with this outline. Then you have the 2,966 square-foot free-standing drive-through restaurant which is near the Mililani Street and Kekuana6`a Avenue intersection and then last will be the 23,072 square-foot 2-story structure that is being proposed to have retail space on the first level and office space on the second level. Also, to point out for this site plan you have Kekuana6`a Avenue which runs on the bottom of your screen, you have the 2 right in and right out only entrances that will be that are being proposed off of Kekuana6`a Avenue. You have Mililani Street which runs from top to bottom on your screen there is also a twenty (20) foot future road widening off of Mililani Street and you can see they have the full access movement from Mililani Street as well as the Hualani Street intersection with Kekuana6`a Avenue. Where you can see they have they're proposing a full moment access as well from this easement into the property. So, this slide shows the access to the subject property from Kekuana6`a Street. The photo to the left is the intersection of the Kekuana6`a Avenue and Hualani Street intersection. This intersection currently serves as the entrance to the County of Hawaii Department of Water Supply building, Waiakea Villas and also a bank. The photo to the right is a photo of the approximate location of the Hualani Street easement access to the proposed office and retail complex that we're discussing right now. This slide is to orient you all on the access to the subject property from the Hualani Street easement. To the left I've included the site plan again with an arrow to direct you all in the approximate location of the easement access to the subject property via Hualani Street and to show you the direction in which the photo to the right was taken. As you can see the photo on the right you have the Waiakea Villas located on the left and the associated parking for the bank which is located to the right. This slide shows the properties Kekuana6`a Avenue street frontage. The photo to the left is the approximate area on Kekuana6`a Avenue that the applicant has proposed one of the right in and right out only access point to the subject property. The photo on the right is a view of the properties Kekuana6`a Avenue street frontage facing east and heading in the direction of Kanoelehua Avenue and Hilo Airport. It should be noted that Kekuana6`a Avenue is a 2 lane paved roadway with paved shoulders. This photo is the view of Mililani Street facing south. The photo on the left is a view of Mililani Street facing south towards the intersection with Kekuana6`a Avenue. The subject property is located to the right of this photo. The photo on the right screen is a view of the intersection of Kekuana6`a Avenue facing west and heading in the direction of Kilauea Avenue. The subject property again is located to the right of your screen. (Clearing of throat) Excuse me and you can see that there is vegetation that is overgrown on the property over the year. The photo to the left on your screen is a view facing the subject property off of Mililani Street. This photo is in an approximate location of where the full movement access is being proposed into the subject property. The photo on your right is a view of the subject property off of Mililani Street again where you can see how the current status of the parcel does have the overgrown vegetation. Again, Mililani Street is a 2-lane paved road with mostly with grass shoulders and there is also a 20-foot future roadway widening strip that is located along the property Mililani Street frontage. This is an aerial photograph of the site. The subject property is outlined in red. There is currently no structure located on the site and the land is currently vacant. You can see the surrounding area contains various mixed uses that contain residences 3 EXHIBIT B and commercial uses as well as the Waiakea Villas area and some industrial uses within the area as well. Kekuanao`a Avenue is located on the bottom on your screen and Mililani Street is headed from the top to bottom direction on your screen. Both streets are again owned and maintained by the County of Hawaii. The Planning Director is recommending approval of the applicant's request with the conditions as requested in our recommendation report. Please note that after the Commission received the background and recommendation report testimony did come in from a concerned neighbor. This testimony was forwarded to the applicant and Commissioners for review prior to this. In addressing to one of the comments that was made as far as the drive-through restaurant. The restaurant is a permitted use within the CG zone district and resort district. The hope is that the 20-foot widening plus the 20-foot future setbacks off of the front of the property should alleviate some of the concerns that the neighbor does have. We can discuss it further with some of the Commissioners and that concludes my presentation, and I can open the floor to questions. AGUINALDO: Commissioners any questions for staff at this time? CLARKSON: Raising his hand. I have a question Vice Chair. AGUINALDO: You may proceed. CLARKSON: Concerning the intersection of Mililani and Kekuanao`a where the proposed drive-through restaurant is to be located. I could see from the aerial photograph some kind of industrial facility on the south side but what's on the east side on the northeast corner of that intersection. What kind of structure and business if it is a business is that? CAMERO: It is my understanding that might be a union business or some sort of small business in that sense. I know the structure itself looks like a dwelling, but I can research that right now for you. CLARKSON: Because we've had 2 testimonies related to the impacts of that drive-through, but I mean just on my first impression it's looking like immediately adjacent to the drive-through path is a very busy intersection bracketed on both sides by non-residential structures. Can you bring up the map again and point out Ms. Franklin's residence just so I know where that is. CAMERO: Yes, I can. So, I looked it up and it is according to the Real Property Tax records it's the Laborer's International Union that is located there. I know Ms. Franklin did mention that she didn't want to directly express where she lives on YouTube so, is that okay that I don't express where she directly lives. I know she mentioned that lives off of Mililani Street and I'll show the screen, the zoning screen again. Can you guys see my screen right now. Okay. So, I'll put on the red laser for you so, this is what the Laborer's International Union location is on the CN point seven five (75)property and based off the testimony that Ms. Franklin gave she does live somewhere along the Mililani Street frontage. But like I said I don't know if she wants to directly state where she lives on YouTube. 4 EXHIBIT B CLARKSON: I got the, I mean I don't think I'm revealing anything, I think approximately where the RS is visible on the map but, can anybody tell me how far that is distance wise from the northwest corner of the intersection. I don't know what those lot dimensions are. CAMERO: Let me pull the lot dimensions up real quick so, I have the corner lot which is the one shown on your screen that's being designated as the CN-7.5 I have it at the ninety (90) foot off of Mililani Street and an eighty (80) foot off of KekuanaWa Avenue. And then right next door to it there is an approximate one hundred (100) feet by two hundred(200) feet. CLARKSON: Thank you, thank you so those are 100-foot lot frontages and then it looks like the switched down to fifty (50) up by the other entrance. Thank you. AGUINALDO: Commissioners any other questions for our staff Tracie? AU: Yes Chair, this is Commissioner Au I have a question. AGUINALDO: You may proceed Mr. Au. AU: Thank you Tracie for the presentation, I'm always impressed with staff presentation and with this virtual it's so much better than being in person with the presentation, thank you very much. Can you bring up the, I'm looking at the proposed site plan and you made mentioned that doesn't reflect the additional 20-foot setback. Can you explain that you said that it's going to be farther, or I don't know you were saying something about we can discuss that about the setback. Is the current site, the current site plan with that 20-foot setback? CAMERO: Yes, I apologize. I hope I didn't say that it doesn't reflect the 20-foot setback. It does, the site plan does reflect the 20-foot setback as well as the 20-foot future road widening which is within that area that the drive-through restaurant is proposed to be located and I understand that the testimony that came in has concerns in regard to the drive-through restaurant being in that area. The drive-through restaurant is a permitted use and I can pull it up on my screen once again if that is what you guys would like to review. CLARKSON: Please, I also asked which way the traffic direction is proposed for the drive- through. CAMERO: Okay. (Site plan slide up on screen) Okay, so, the drive-through is located on the bottom portion of the right-hand side of your screen. The direction in which the drive-through is accessed it looks to be coming in from, let me get a pointer for you. CLARKSON: I see the arrow. CAMERO: Yes, so then you can see the 20-foot front yard setbacks as well as the 20-foot future road widening setbacks that the applicant is proposing as well. RAFFIPIY: I have a question. 5 EXHIBIT B AGUINALDO: You may proceed Tom. RAFFIPIY: Let's see, on that site, on this drawing over here. Do you have, is there any barrier between that drive-through and the road. Is that a barrier there or is it going to be just simply just the curving and the road on the other side of the curve? Is there any proposed or anything proposed barrier, some kind of sound barrier or physical barrier between the road — JACKSON: Commissioner Raffipiy, this is Maija Jackson if I could answer that, sorry Tracie. This plan does not reflect landscaping. RAFFIPIY: Okay. JACKSON: But our County landscaping rule requires some landscaping or some type of fencing or barrier it can be a berm like a dirt berm to create separation between the edge of the property line and a drive-through. RAFFIPIY: Okay, thank you. The testifier mentioned about the ponding, the flooding in that area. I'm just wondering what kind of flooding impact will these whole pavement areas in these areas will be paved it's going to contribute to this area here because it is in here the modern areas. It really floods here really bad around this area. CAMERO: So, when we received Department of Public Works (DPW) Engineering's comments they did mentioned that the flood zone is X in this area. One of the requirements that they will have to do prior to getting plan approval after this process is that they will need to do their drainage study and that is one of the requirements based on code that they will need to complete for the area. RAFFIPIY: Thank you. KERN: And just to add to that, the requirement will be that any additional water generated on- site will have to be disposed of on-site and cannot venture onto an adjoining property or a roadway. AU: Tracey, I have another question. So, the proposed site plan just shows one entrance off of the main road and is it correct that there will not be any egress or outgoing traffic on Mililani Street? CAMERO: So, there's going to be one full movement entrance off of Mililani Street which will allow left in and left out, right in and right out off of Kekuana6`a Street. The applicant is proposing 2 right ins and 2 right outs off of Kekuana6`a Street and then the Hualani Street entrance will have the I full access movement as well similar to Mililani Street where you will have a left in and left out, right in and right out. AU: Could you show that on the site plan please? 6 EXHIBIT B CAMERO: Yes. So, this is the site plan and I'll get the red laser. So, this is the Mililani Street entrance that they are proposing the full movement out of. Then you come down Mililani Street to Kekuanao`a Avenue where you have the right in and a right out the first right in and right out and then you have the second right in and right out. Then the Hualani Street entrance will be another full movement access that will allow anyone going into the area a right in and right out as well as a left in and a left out. We consider those to be full movement. GALIMBA: I have a question and it's a process question. Will the applicant be coming back to the Planning Commission for a plan approval or is this the only time that they will be coming to the Commission? CAMERO: So, this is the only time that they would be coming to the Commission because of the current zoning actually if this property wasn't located in the SMA they would just be coming in for a plan approval which is an administrative function that gets handled in-house. However, because it is located within the SMA and is a fairly large development they are required to come before the Planning Commission with the major application. GALIMBA: Thank you. AGUINALDO: I have a question for you Tracie and as far as the SMA site plan and this is for Maija as well. This is preliminary a prelim plans for us to review and Tracie if you can go back on to the site plan SD-1. The bottom closest in and out to Mililani off of Kekuanao`a. CAMERO: I'm sorry Commissioner Aguinaldo you're breaking up. AGUINALDO: Now, in that area, oh, that's okay I'm sorry. CAMERO: No, no, no. AGUINALDO: So, as far as these plans here this — CAMERO: Sorry, yes. AGUINALDO: — can you hear me now? Okay. So, on site plan SD-I there's a bottom entrance right turn in, right turn out off of Kekuanao`a to Mililani. Now as far as that there what is the requirement of ins and outs for this size "—" of a property where and that is further northeast in and out and we have one by the Credit Union by County Department of Water Supply in and out then we have the upper and now directly southeast we have an entrance go in and out, yes. So, I think that one there goes directly across the street there is also a stop sign so called there's another street there yeah. But now because we have a concern and I know we are able to it's not say able to but it's okay to have a drive-through in this property. How is your surrounding neighbor is it possible the orientation of the drive-through face "—" and close off that entrance right there. It's just something I just wanted to just share but of course you may lose some parking stalls I don't know if they gain or lose. 7 EXHIBIT B AU: Raising his hand, Mr. Chair, I have a point of order. Can we talk to applicant first and we're kind of going into discussion — AGUINALDO: Oh, okay. AU: Let's talk to the applicant first and from there we can see where they're at to address your question is that— AGUINALDO: I agree. AU: — okay Mr. Chair. AGUINALDO: Yes, sir. Thank you, I yield at this time. Any other questions for staff? REPLOGLE: Commissioner Replogle has remotely joined the meeting. AGUINALDO: If there's no other question for staff at this time then we may proceed with the applicant's presentation. CLARKSON: Raising his hand. I do have one more question. AGUINALDO: Oh, go ahead Commissioner Clarkson. CLARKSON: This situation kind of reminds me of an application we had some time ago I think it was a bank and there was going to be a drive-through teller and we put a condition for a sound attenuating concrete or rock wall between the drive-through area and the adjacent residents. I forget what the height was will we have to make that if this SMA permit is approved will we have to make those kinds of conditions prior to that approval or can that be negotiated between the, will we get another chance to review whatever the final plan is before that's approved maybe this is for Malia rather than staff. JACKSON: Commissioner Clarkson if I could answer that question. So, this a little bit different than the Bank of Hawaii application that you reviewed. The Bank of Hawaii application was a Change of Zone requests and it was not in the SMA. This property is located in the SMA which is the only reason that they are coming in for an SMA permit. The SMA is like an overlay zone and the criteria for granting an SMA permit is focused on the projects impacts to coastal resources. A criteria of the SMA is not whether the project will generate traffic that's more of a zoning consideration but this property already has its resort zoning so any condition that the Commission would want to place on this application or permit would need to address impacts related to the coastal zone area. For example, if the Commission felt like the traffic would impede evacuation during a tsunami that's a direct nexus or connection to impacts in the SMA but aside from that SMA permits do not have a criteria that addresses traffic. Does that answer your question Commissioner Clarkson? CLARKSON: Well yes and no. The Commission certainly by your definition this exceeded its authority with Pi`ilani Partners. I mean you're telling me that we vote up or down based on this 8 EXHIBIT B preliminary application and are not allowed to consider anything that would relate to mitigating impacts on the adjacent community the only aspects that would be needed to mitigate impacts on the coastal zone. JACKSON: Yes, so, I believe the difference with Pi`ilani Partners was you were also reviewing a rezone amendment as well as an SMA permit. So, the rezone amendment had criteria that addressed traffic and whether there was adequate infrastructure. For this permit for Island Naturals the underlying zoning is existing so if there are concerns about inadequate infrastructure the underlying zoning has been there for decades and that's a function of zoning it's not something that can be fixed through an SMA permit. CLARKSON: Well, I'm just wondering why staff did not concentrate only on those few things maybe the underground injection wells, the perimeter next to the closest to the Waiakea Fish Ponds — HALL: Sorry, are you talking about this application Commissioner or are you — CLARKSON: I am, I'm talking about this application. Here we've gone through all these questions about the impacts on traffic, on neighbors and now Maija is telling us that these are completely irrelevant to our approval or disapproval of this application. So, I'm just a little bit confused about why we are even talking about them. JACKSON: Commissioner Clarkson I don't think I was saying it's irrelevant I think I was saying if the Commission wants to place conditions on the permit related to traffic there has to be a nexus or connection to how traffic will impact the coastal resources because this permit criteria looks at impacts to coastal resources and coastal hazards. CLARKSON: Okay, I'll take that into consideration. AGUINALDO: Okay, any other questions for staff Commissioners? CLARKSON: Raising his hand. I do have one actual question that relates to the coastal zone there's going to be a— AGUINALDO: You may proceed. CLARKSON: —I'm sorry, I should have asked permission. There's going to be a large parking lot and all on-site storm water has to be disposed of on-site from what I understand Director Kern said recently. What provision if any is going to be made to keep effluent from the vehicles, crankcase oil, gasoline drips from un-combusted gasoline, diesel out of those injection wells and out of the aquifer that's right next to the post there. CAMERO: We can have the applicant answer that question Commissioner Clarkson. CLARKSON: Okay, I'll wait for them. 9 EXHIBIT B AGUINALDO: Okay, any other questions from our Commissioners to staff? If there is none we may proceed to the applicant's presentation. FUKE: Good morning Mr. Chairman acting Chairman I noticed that the Chair he just walked in I guess where he is not participating Chair Replogle. Anyway by way of introduction my name is Sidney Fuke, I am a Planning Consultant, I've heard — AGUINALDO: Oh, wait Sid. FUKE: Yeah. AGUINALDO: I have to read this if you don't mind. FUKE: Sure. AGUINALDO: This is for applicant's presentation Mr. Fuke, Mr. if I can have you guys, Godbole and Mr. Ruderman please raise your right hand. FUKE: Raising right hand. GODBOLE: Raising right hand. RUDERMAN: Raising right hand. AGUINALDO: Do you swear or affirm to tell the truth on this matter now before the Windward Planning Commission? FUKE: I do. GODBOLE: I do on mute. RUDERMAN: I do. AGUINALDO: Please state your name and the town where you reside, also, did you receive the Planning Department's background report and recommendation? FUKE: Okay, I'll start all over again. Good morning Mr. Chairman and members of the Commission. My name is Sidney Fuke I've been retained by the applicant to service their agent on this application. I reside in Hilo. I've had a chance to discuss the staff's excellent background report and recommendation with the owner applicant and they fully concur with both reports. I would like to also acknowledge the presence of Mr. Russell Ruderman the founder, President of Island Naturals the applicant and its Chief Executive Officer(CEO) Rahul Godbole both of them are available for questions after the presentation and subsequent questions that the Commissioners may have of me or of them. AGUINALDO: Thank you. 10 EXHIBIT B FUKE: So, can I start now then? AGUINALDO: Yes, yes you may. FUKE: I'd like to, sorry. AGUINALDO: You may proceed. FUKE: Okay, I think that your staff Ms. Jackson's point is really like on point regarding the SMA question that the site is already zoned so my understanding is the review process and the decision making process is directly related to the SMA guidelines and so as a result conditions have be tailored specifically to address the SMA guidelines. Ironically, I was involved in Pi`ilani Partners and I was involved in the Bank of Hawaii rezoning so I don't know why I get all of this before the Planning Commission maybe it's just fate or whatever. But, nonetheless, I think as it relates to Pi`ilani Partners specifically addressing Commissioner Clarkson's questions. I think the issue over there had more to do with the cultural resources and cultural resources is one element that is very germane for the SMA criteria as well. I don't think that cultural resources question is present over here. You raised a very good question relative to the ground water in that area and how the excess water that's going to be generated by the project is going to be contained on the site. As the staff had indicated obviously it's going to be through a system of drywells. Now when you go through the drywell process you have to secure the underground injection control permit which is issued by the State Department of Health and that permitting process specifically looks at whether your system is going to compromise the groundwater and/or other underground situation there so there is that kind of administrative review process without having to go through this SMA process already in place. The other thing I kind of wanted to mention you know which you know it's pointed out in the staff's written report but the staff didn't kind of point out was that this property is probably all of you old-timers or if you know was the former canec processing plant. I'm sure Mr. Replogle being in the sugar industry understands that question very well I mean you know the function of that and the canec was essentially like they used the bagasse, and the bagasse was then converted into canec which was like a form for ceiling or like a dry wall situation. But in the process of making that bagasse what they had to do was, they had to treat it with inorganic arsenic so that it could kill all of the termites and so that's what happened. So, when the canec plant terminated about nineteen sixty-three (1963) sixty-five (65)thereabouts then what you had was you had a lot of residuals, the property had a lot of residual arsenic contamination. So, for the longest time in spite of the property being zoned for resort uses you had a lot of people looking at the site and said excellent location for commercial activity but there were no takers and largely because of the question of how do you deal with arsenic contamination. Luckily, I mean like fortunate luckily, I think for the community you had the applicant like Mr. Ruderman said that I'll take it on, and he spent like over the last 2 or 3 years nearly a million dollars to prepare the appropriate plans and have the total site remediated and so now Department of Health finally certified back in September of twenty-twenty (2020)to say yes you can proceed with the project. One of the conditions that the State had impose was that you can 11 EXHIBIT B proceed to develop the property for commercial industrial activities but no residential uses. So, maybe like I understand like you know one of the testifiers mentioned about like maybe participating in a hearing and there were representation that you could use the property for residential, no you cannot. It has to be used according to the Department of Health limited to commercial and industrial activity. The reason why Mr. Ruderman it's not like he's doing this out of the kindness of his heart for the general community which is really great but over and beyond that the current operation right now at the Hilo Shopping Center is a little bit too small. It's not an efficient situation especially since they went into the deli operations so that's why they decided to kind of do the remediation on the property on this site here and then do the whole project. Now, obviously the site is too big for just Island Naturals but although this is going to be their flagship store so that's why they came up with kind of concept of having additional commercial and office related use. There is this kind of symbiotic relationship between Island Naturals and other kind of commercial retail activities and they like their operation where it's currently located at the Hilo Shopping Center and that's kind of like essentially what they want to duplicate having that kind of other symbiotic land uses as well. Now, we have had like it is in your background report kind of pointed out all of the cooperating agencies whether it's Police, Fire, Water they didn't raise any objections. I was not alerted to any objection from the surrounding property owners, I send out notices in that notices, I made it explicit, I provided explicit information in terms of if there were any concerns you could contact me, you could contact the Planning Department not only by phone but also via email. But I did not receive anything until 2 days ago from the staff and I guess like for this morning on the comments. Now with respect to their comments specifically about it was directed purely at the drive- through. I kind of want to point out the drive-through situation over here is like, it's not like the other drive-through where you have the queuing or the stacking up of the vehicles on the public roadway and you can look right here in downtown Hilo. You can see it at the Starbucks along Kilauea Avenue, you can see the McDonald's on Kino`ole Street, you see it at Burger King at Hualalai you do have the queuing effect over there and the reason why is that at the backup is directly into the streets. Now on the other hand you look at other fast foods where you have this kind of drive-through you look at the Puainako Town Center. You have the McDonald's there, you have the Taco Bell but they are all within the commercial area so you don't have the queuing or the traffic impact spilling over to the street. You look at the KTA Puainako area you have the Jack in The Box and where is that it is also within the shopping complex. You know you go to Waimea, you see the McDonald's the McDonald's is within it. So, there is this kind of differences between a standalone type of drive-through like a Starbucks on Kilauea versus a McDonald's within the Puainako Town Center or like the KTA in Waimea. So, it's an internalized kind of situation. I do understand the concern raised by some of the community members about the noise and the associated with the call box or whatever. I was involved in this one situation when you know Panda Express. We all know Panda Express downtown Hilo. Well, it's right next to the Honpa Hongwanji Hilo Betsuin. So, the members of the Hongwanji had raised questions to the Planning Department and in turn the members had also contacted the architect to see how they 12 EXHIBIT B can address not only the noise issue coming from you know I want to have this and this and as well as the possible smell. So, during this process there were quite a bit of adjustments made by the Panda Express architect to specifically address the concerns raised by members of the church and this was all done not during the SMA process, but it was done administratively during the Plan Approval process. So, what I'm suggesting here is that hopefully if the Planning Commission can get over these issues provided by the staff's favorable recommendation and the condition then some of these issues can specifically be worked out administratively during the Plan Approval process. I think Maija or Tracie may have mentioned that during the Plan Approval process there is a requirement to come up with this very specific site drainage plan as a condition of the Plan Approval application. The other thing to be mindful during that process is too the Department of Public Works will have to weigh in in terms of the spacing your driveways. Like from the Mililani Street intersection and whether it also compromises the existing driveway that leads into the Department of Water Supply area. I'd like to also kind of point out that on Condition number seven (7)that the staff is recommending it specifically states that the landscaping shall be provided that addresses or mitigates adverse noise or visual impacts to adjoining properties. So, like during the Plan Approval process the applicant would have to provide plans to show how your landscaping can if anything mitigate these kind of noise and visual impact. One final comment on the Plan Approval the project shows, the concept project currently shows that the drive-through is scheduled like right at the corner. Now during the Plan Approval process if the Planning Director determines that's not the appropriate the best location given concerns then they may have to relocate the drive-through maybe further down along Mililani Street for example. So, that's the authority that's currently conferred upon the Planning Director and I'm sure that the staff and the Director will be very mindful of the concerns raised by the neighbors and take that into consideration during the Plan Approval process. I'm done. AGUINALDO: Well said. Thank you. Commissioners any questions for the applicant? AU: Raising his hand. Chair, I have a question. AGUINALDO: You may proceed Mr. Au. AU: Thank you Mr. Fuke for that presentation. You were very thorough and you're very well versed in the planning industry and thank you for that presentation. You made mentioned that the relocation of the drive-through further down Mililani Street could be a potential option. Amongst you and your clients, your client are you willing to move it maybe more up on the main road in the other direction or maybe in the middle of the property. I just want to know if you're open to potentially or possibly relocating the drive-through to get it farther away from the main road. FUKE: Well, I think that like as the staff put it out Mililani Street currently has I believe the right-of-way is only forty (40) feet and because the developer would already have to provide an additional 20 feet of right-of-way along that section to make it fully conforming a sixty (60) foot wide right-of-way. So over and beyond that then you'll have like another I would imagine like a ten (10) or fifteen (15) feet of setback. So, effectively from your current location to the where 13 EXHIBIT B the drive-through may be situated you may be looking at an additional 40 feet but in addition to that it may have to be further setback to accommodate the landscaping requirements because the landscaping requirements is perimeter. It's not like within the project it's also perimeter as well. Specifically, to answer your question about whether the applicant would be willing to kind of relocate that I would have to defer to Mr. Ruderman. As far as whether they would want to relocate it but I think one of the reason why the architect came up with that scheme is that visibility so the further, I don't know which direction east you take it along Mililani Street then presumably you have less visibility of a drive-through you know kind of complex. So, I think there is a kind of balance I think there is a possibility to have it relocated how far down as far as you know along Mililani Street, I think it becomes a business decision that Mr. Ruderman would have to make. AU: Can I ask my second question Chair? AGUINALDO: You may proceed. AU: Okay, so my second question is also probably the question of Chair Aguinaldo too as far as access to the property. Is the developer willing to eliminate the Mililani entrance just so that would substantially reduce traffic on Mililani Street, and I just want to know if that's an option? If that's even viable? FUKE: Well, the reason why the architect came up with this system is that he wanted to disperse the traffic by having multiple access into the site. What you do is you disperse the traffic. If you have it all only on one area then it compounds the situation. Now along Kekuanao`a Street we know very definitely you cannot reasonably do like a left turn into that area and that's the reason why it was specifically structured to be like a right in right out. But if that's the case then you have to ask yourself if I'm coming down on Kekuanao`a Street how can I get into the site. The only way is that you do have to make a left turn on Mililani Street which is a designated area and that's the reason why Mililani Street was specifically designed to be like a full movement access. But once you get into the site then you can disperse in so many different ways and so that was the concept. I think the other way is that to look at it is like where we at the County building right now. If we're over there and we want to get to the site, I probably would go down on Kamehameha Avenue and go down onto Mililani and a make a right there. Do all right turn movements. If I wanted to go that rather than going down on Kekuanao`a and trying to negotiate a left. I mean so you have that kind of multiple options and that's the objective. So, specifically to answer your question I think I would not recommend the removal of full movement access on Mililani Street. AU: Thank you. I yield. LIN: Chair, this is Commissioner Lin. AGUINALDO: You may proceed Mr. Lin. 14 EXHIBIT B LIN: I just have a comment, I think we're getting a little of topic on the purpose of this application it's regarding the coastal resources and we're talking about the development of the site itself. So, I think we should focus on the coastal resource management here on the purpose of the SMA permit. That's all I have. AGUINALDO: Thank you. Commissioner Raffipiy you had a question? RAFFIPIY: It's not a question, it was just a comment, and it was in line with what the Commission just talked about but also just to offer my contribution to the discussion about traffic and noise. I think that homeowner she was most concerned about the noise and I'm pretty sure, I'm very thankful to hear that Mr. Fuke presentation that they're willing to work with the neighbors, the community that they could come up with some kind of amendable solution to issues that are brought up. For example, that call box they probably can orient it so that it faced the main road to Kekuanao`a so that it blows out that way, it blows towards to the commercial building on Kekuanao`a instead of blowing towards Mililani across the road. So, I'm very thankful and I'm glad to hear that the applicant is willing to work with the Department of Public Works Department to address this issues and Planning Department. So, I'm grateful. My other comment was what Commissioner Lin was talking about the coastal resources area. I wanted to hear from the staff how I guess in the presentation I wanted to see where you get the Waiakea Pond, what kind of impact this development will have on that Waiakea Pond. I know we're probably not that very close to it but since we just heard in the presentation and hearing in all these documents that we have that all the water won't be contained on site; all runoffs will be contained on site. So, there is no chance for any runoffs from this development to go into the fishpond or the Waiakea pond, right? CAMERO: Correct Commissioner. One of the conditions in the recommendation report does require that the applicant shall keep all of those measures within the subject property and all development generated runoff shall be disposed of on site and shall not be directed toward any of the other adjacent properties which would also include the Waiakea fishpond. RAFFIPIY: Alright thank you I think I'm okay. Thank you very much Mr. Chair. AGUINALDO: You're welcome any other Commissioners have any questions for the applicant. AGUINALDO: Okay. RUDERMAN: Raised his hand. AGUINALDO: At this time, we will make a motion for action. Commissioners I'll entertain a motion for action. AU: Raised his hand, Mr. Chair I'm prepared to make a motion. AGUINALDO: Mr. Au you may proceed. 15 EXHIBIT B AU: I move to approve applicant Island Naturals Properties LLC, SMA 21-000079 for approval for a SMA permit. RAFFIPIY: I second the motion. AGUINALDO: Hey, any discussion on the motion? REPLOGLE: I have one thing and I could have it could be a mistake but, I believe Mr. Ruderman raised his hand a few moments ago maybe he wanted to say something. AGUINALDO: Oh, I'm sorry. REPLOGLE: I'm not sure. AGUINALDO: Okay. RUDERMAN: Thank you Mr. Replogle, I realize it might be more appropriate for me to speak after the vote I just wanted to say aloha to everybody and thank you that's all. I didn't have anything of substance. Thank you. AGUINALDO: Okay thank you Mr. Ruderman. RUDERMAN: I will do that after the vote. AGUINALDO: Okay, any discussion on the motion? RAFFIPIY: Mr. Chair can I say something please. AGUINALDO: You may go ahead Mr. Raffipiy. RAFFIPIY: I just wanted to say also want to thank the applicant for this project. It's an area that has been left a while ago within that area there has been crime committed in that area not specifically that in that particular lot but nearby. Because it was bushy, kind of dark and so, there was one time where a body was discovered in that general area closer to the park. So, I'm glad that somebody actually looking at that I was kind of worried about the arsenic but I'm glad to hear that they mitigate the arsenic issue because I know that area it was pretty thick with arsenic. So, thank you and I'm very happy that somebody is looking into it and it's going to bring some vibrance to that area. So, thank you very much to the applicant. AGUINALDO: I also have one as a Vice Chair. I would like to thank the applicant Mr. Ruderman and the planning consultant Mr. Fuke. It's a development within our community and within our district in town that provides work. I'm always an advocate of where do the people go if people need to work and also their approach on how to mitigate and how to take into consideration of the neighbors or neighborhood there to address their concerns and how to handle that as well. So, I just very pleased and thankful for that and if there is no other discussion on the motion. 16 EXHIBIT B AU: Raised his hand, Mr. Chair? AGUINALDO: Staff, roll call vote please. Yes, you may proceed Mr. Au. AU: I do have just a quick comment. I just also like to echo my fellow Commissioners and thank the applicant for coming up with a project like it's nice to see a local Big Island developer doing a job. They are a local business hiring local people servicing the local community and what's more important is that the developers willing to work with the community and the neighbors, and I have to disagree with Commissioner Lin he did say that we should focus on coastal management this is part of it. This is part of the process and we have talk about these things and we need to discuss this because the developer needs to know what the concerns are in the community and just want to thank the developer. I just want to thank Sidney, Russell for coming up with this project and we have all the faith in you that you will do what's best for the neighbors and the community. So, thank you. AGUINALDO: Thank you Mr. Au. At this time, staff roll call vote please. CAMERO: Thank you Chair with that we'll take the roll call. Commissioner Au? AU: Aye. CAMERO: Commissioner Raffipiy? RAFFIPIY: Aye. CAMERO: Commissioner Clarkson? CLARKSON: Aye. CAMERO: Commissioner Galimba? GALIMBA: Aye. CAMERO: Commissioner Lin? LIN: Aye. CAMERO: Vice Chair Aguinaldo? AGUINALDO: Aye and later raised his hand. CAMERO: And Chair Replogle? REPLOGLE: Aye. 17 EXHIBIT B CAMERO: With that, the motion caries seven (7)to zero (0). Thank you. AGUINALDO: Thank you. FUKE: Thank you very much Chairman and Commissioners. RUDERMAN: Raising his hand. AGUINALDO: Yes, you will be notified of the Commission's decision in writing. Thank you very much for your presentation. RAFFIPIY: Mr. Vice Chair I think Mr. Ruderman is ready to give his comment. RUDERMAN: If I may. AGUINALDO: Okay Mr. Ruderman. RUDERMAN: Thank you, thank you Vice Chair. AGUINALDO: You may proceed. RUDERMAN: Thank you. This is unofficial but I just want to thank all of you folds not just for your actions and consideration today but the work you do all year and I want to thank Sidney for representing us so well. I want to introduce you all to my CEO Rahul Godbole who is not as well known to you guys as I am but his the one that done all the work, a hundred(100)percent of the work in my opinion to bring this project to this point and I want to introduce him to you all if you don't know him as a part of our community. I want to assure you that the residents' concerns are taken to heart we want to develop a corner of Hilo that's desirable and nice and an improvement to our entire community in every possible way and that is our goal and our intention and thank you for those who acknowledge that. I just want to say thank you and I know so many familiar faces here and I just want to say hi to everybody. Thank you, aloha that's all. AGUINALDO: Thank you Mr. Ruderman. The item ended at 10:30 a.m. Respectfully submitted, Melissa Dacayanan-Salvador Secretary Windward Planning Commission 18 EXHIBIT B