HomeMy WebLinkAbout2021-03-02 HCHA Approved MinutesMeeting of the
HAWAII COUNTY HOUSING AGENCY
Hilo, Hawaii
March 2, 2021
Agency Members Present Absent and Excused
Maile Medeiros David Aaron S. Y. Chung
(by video from Kona)
Holeka Goro Inaba
(by video from Kona)
Matt Kanealii-Kleinfelder
Ashley L. Kierkiewicz
Heather L. Kimball
Susan "Sue" L. K. Lee Loy
Herbert M. "Tim" Richards III, DVM
Rebecca Villegas
(by video from Kona)
Housing Staff Members Present
Susan Kunz
Jennifer Kualii
County of Hawaii Staff Members Present
Jeanette Aiello
Douglas Le
Zendo Kern
Corporation Counsel Members of the Public
Malia Hall (by Zoom) Via Zoom
Kunz: Good morning everyone, welcome to the Hawaii County Housing
Agency, my name is Susan Kunz and I am the Housing Administrator for the
Office of Housing and Community Development and I am going to be presiding
over the Housing Agency meeting until we get a chairperson in place today. So
present at this meeting out in Kona is Maile David, Holeka Inaba and Rebecca
Villegas. In Hilo, we have Ashley Kierkiewicz, Heather Kimball, Tim Richards and
Sue Lee Loy and Matt Kanealii-Kleinfelder and Aaron is absent today okay. So
today is March 2nd, 2021 the time is 9:02, we are holding this Housing Agency
Meeting at the Hilo Council Chambers at the Hawaii County Building and in the
West Hawaii Civic Center. Pursuant to Governor Ige's Proclamation in order to
minimize physical contact and maximize social distancing, these meetings will
not be open to the public. So I would like to call this meeting to order. I want to
entertain statements from the public on agenda items, there are no public
HCHA meeting
March 2, 2021
testifiers so I am closing the Public Testimony at this time. And in order to
facilitate this meeting going forward, I would like to bypass the approval of the
minutes and go straight to the New Business if that's okay? First item of new
business is Appointment of a Chair.
Lee Loy: Sure, Ms. Director.
Kunz: Yes.
Lee Loy: I would like to open a nomination for the director of the Chair of the
Housing Committee.
Kunz: Great. May I please have a motion.
Lee Loy: That was the motion.
Kunz: That was the motion, okay.
Richards: Second.
Kunz: Tim Richards second.
Lee Loy: Ms. Director?
Kunz: Yes.
Lee Loy: I'll like to nominate Ashley Kierkiewicz as the Chair for our Housing
Agency, Committee, I'm sorry.
Richards: Second.
Kunz: Do I ask for any more nominations at this time? Ok, hearing none, is there
any discussion?
Lee Loy: Chair, if I could close the nominations and then we can precede on to
the vote.
Kunz: Okay, great. All in favor of approving Ashley Kierkiewicz as the Chair of
the Hawai `i County Housing Agency, please say aye. Those not in favor say no.
Do I need to do that? Okay, so there are eight aye votes, one absent. So I will
turn the meeting over to the Chair.
Kierkiewicz: Thank you Administrator Kunz. Let the record reflect that I am
continuing the meeting as Chair of Housing Agency. At this time, I would like to
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open nominations for the Appointment of a Vice -Chairperson person for the
Housing Agency. Any nominations for Vice -Chair?
Inaba: Motion to nominate Sue Lee Loy as Vice -Chair.
Kierkiewicz: Thank you, do I have a second. Motion by Mr. Inaba, second by
Ms. Kimball to appoint Ms. Lee Loy as Vice -Chairperson for Housing Agency.
Any discussion? Seeing none, all in favor please say aye, any opposed, motion
carries with eight aye votes, Mr. Chung is excused. Before we move on to the
last item on our agenda for New Business, I would like to go back to item
number 3 and get a motion to approve the Minutes from the November 5th,
2020 Housing Agency meeting. May I have the motion?
Richards: So moved.
Lee Loy: Second.
Kierkiewicz: Motion by Mr. Richards, second by Ms. Lee Loy. Any discussion on
the meeting minutes from November 5th, 2020? Seeing none, all in favor, please
say aye, any opposed? Motion carried with eight aye votes. Thank you. All
right, moving on to New Business for today, Authority to Enter into a CDBG-DR
Grant Agreement, the motion that I will be putting forward is for the County of
Hawai `i to enter into an agreement with the United States Department of
Housing and Urban Development for acceptance of a CDBG-DR grant related
to the 2018 0auea eruption.
Lee Loy: So moved.
Kierkiewicz: Do I have a second?
Richards: Second.
Kierkiewicz: Motion by Ms. Lee Loy, second by Mr. Richards. Hi gentlemen,
thank you for being here today. For the record, we have Planning Director
Zendo Kern and Recovery Officer Douglas Le before us to provide us an update
on where we are with this agreement and just because we have a couple of
new members on the council, I did want to provide a little bit of context of why
we are here. In November, Douglas and the prior Administration had come
before us to discuss this agreement and also to present the CDBG-DR Action
Plan which has been approved by HUD because we were in a moment of
transition between administrations, the Housing Agency at the time, did want to
give the incoming administration the ability review the agreement and the
action plan before officially entering into the agreement and so did want to ask
Director Kern for an update on where the administration stands with this
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particular agreement and then get an update from Douglas on where we are
with the mechanics of the agreement. With that, Director Kern you have the
floor.
Kern: Good Morning, I missed the vote on Chair, I'm assuming you're chairing?
Morning Madam Chair, members of the Housing Committee. We've reviewed
it, Douglas and I have been meeting frequently with the Mayor as well we're
good with this, this is a critical milestone and we're going to move forward
actually accepted grants, we can move forward with buy outs and the rest of it,
we have the survey going out and gathering more data information, it's also a
critical component for us to be able to move forward with the substantial
amendment that I know we all talked about that's going to happen so it's really
not a tremendous amount to it but there's a tremendous amount to it at the
same time because it equates to a lot of other moving components but this is
actually critical and we're in full support of it.
Kierkiewicz: Thank you, Mr. Le?
Le: Thank you Chair, Vice -Chair and members of the Housing Agency, pleasure
to be here with Director Kern to provide and update on where we are with this
Community Development Block Grant for Disaster Recovery and one of the
action items before you as an agency. As folks may know, other the past year
the Department of U.S. Housing and Urban Development has allocated 83.8
million dollars in Community Development Block Grant for Disaster Recovery
funding for the 2018 Kauea eruption. At this point in time, we do have an
approved Action Plan from the Department of Housing and Urban
Development and that was approved in October of 2020. That Action Plan
which went through public comment period I think really has been looked at
and discussed very broadly within the community in terms of how the programs
that are proposed to serve the community but also what else we have to do to
really help our community recover. The priority project is a voluntary housing
buyout program that would serve primary homes, second homes, and also
undeveloped lands in that rank priority order but would also prioritize serving low
and moderate income households before serving non -low and moderate
income households and that specific provision that HUD applies to its grants for
disaster recovery. Really the motion before you all today is to authorize the
County to enter into a grant agreement so we can begin to receive the funds.
Why this is really critical as Director Kern mention is that it enables us to stand up
the buyout program which we have been working diligently to do over the last
several month since we were last before the Housing Agency, we hear weekly
from folks who are really looking for that to start so they can start to rebuild not
only their housing situation but for many people their financial lives following this
incredibly disruptive natural disaster and the grant agreement also enable us to
explore a substantial amendment to the Action Plan which is currently
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approved. There's really two things we're achieving with this amendment, the
first one is that the amendment will help us to receive an additional 23 million
dollars that HUD has allocated to the County to continue to support its recovery
through the Community Development Block Grant for Disaster Recovery.
Receiving the funds just triggers the amendment, right, cause we're adding
money and reprogramming those funds but it's also an opportunity to look at
what other solutions in addition to the buyout makes sense with the available
resources for recovery. In terms of core policy that have really had to drive
where we focus on solutions, HUD requires that we look at housing solutions first
and foremost before any grantee from 2018 or 2019 can allocate projects,
allocate funding to projects that would otherwise be eligible like infrastructure or
economic development so we're taking a really hard look at what our housing
need is. There is a lot of data that we looked at from federal sources and what
not to really understand our housing need and there's still a gap so as long as
there's a gap and right now after factoring the 83 million from HUD there's still
just under a 160 million dollar gap in terms of specifically housing need. The
one that we're working to understand more deeply is insurance pay outs, right,
cause that would really start to tip the scale in terms of what remains in terms of
housing need and really the substantial amendment to the Action Plan it
will capture that, right, one of the key questions that we made sure to include in
the recently launched 0auea housing survey, just last Thursday, was actually
asking folks about their level of their insurance coverage both regular
homeowner and as well as whether there was any volcanic activity, eruption
coverage and if they got a pay out and how much cause that is quantative
data that we will confirm once folks apply for buyout programs but for the
planning purposes and articulating the data to HUD it's really going to be a very
valuable piece of information while we also look at verifying other issues and
really that will inform what additional housing solutions or other types of projects
can be developed through this process of the amendment. We're on a timeline
to do this Action Plan amendment, this amendment is due to HUD because of
the additional 23 million dollars by July of 2021 so what this means is that in
addition to standing the buyout program over the next weeks and months, we
also have to work on the amendment concurrently and so we really hope that
between the survey, the folks who kind of register or partake in kind of applying
for the buyout program, that will be also data that we can use in terms of
reflecting what this amendment says and what it shows. Prior to submission to
HUD for initial review, there will be a 30 -day public comment period we
anticipate that to be in and around the month of June 2021 so that gives us
some time to prepare the amendment, do the public comment period, reflect
any updates or changes to the draft Action Plan amendment as a result of the
public comment period and still make it in time for HUD review in early July so
you know one of the really exciting things about federal funding is that there is a
lot of mechanics and a lot of spinning plates but I think that's why, you know, we
work real closely together including with the Office of Housing and Community
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Development to keep all those plates spinning until we can be pau and we can
just focus on the program implementation and so I'm happy to answer any
questions you folks have and also we really seek your support in terms of
authorizing the County to enter into this grant agreement.
Kierkiewicz: Thank you Mr. Le I appreciate the overview. Any questions here in
Hilo? Ms. Lee Loy?
Lee Loy: Thank you Chair. I'm not sure Douglas, if this is for Douglas or for Zendo,
thank you for being here both of you, reading through the grant agreement
there's an appendix as it relates to funding, it's Appendix A, and it's a table and
it notes the 2019 disaster funds and it specifically calls out Hawaii County and
has allocations 66 million, unmet needs 16 million total allocation 83 million but
then there's this big six hundred, or five hundred eighty-three million, and I'm
trying to understand cause I'm incredibly grateful for all the money that we are
getting and I'm just trying to understand do we try and we have numbers who
sit on our NECO committee who could lean into our federal partners on how, it's
a big number.
Le: This column on the right that you see in the table of the grant agreement,
you know, where very briefly describes what is a complicated policy issue is the
minimum that must be spent in what HUD calls the most impacted distressed
area, right, and so often times, say, not in our situation, a jurisdiction, say, large
state, right, will receive two billion dollars in CDBG Disaster Recovery funds, they
prioritize how much of that total grant award must be spent in the most
impacted and distressed area and that kind of prioritized those funds for that
area, even if the provision of those grants funds were projects and services
outside of the most impacted distressed area is where the balance of the funds
are. In our situation, for the County of Hawai `i, the situation is flipped, right, and
so between the two grants that came from the two congressional
appropriations, our total allocation is less than what must be spent in the mid
earn according to HUD, so I think advocacy and partnership with our
congressional delegation is always really key, that actually has helped us get to
where we are today, you know, there is a moment in time when even the
amount or the scale of recovery funding was unclear but if I put on my math
hat, the two congressional allocations towards these disasters in 2017 and 2018
have been spoken for within that large pie, right, that has been split among all
of us as jurisdictions who experience disasters then. Even the additional 23
million dollars, what will be essentially a second supplemental amount that our
congressional delegation was really critical in securing but also would be helpful
is actually the result of splitting up the rest of the pie, right, and so after we
receive the 83 million and everyone else receives theirs, there was some amount
left essentially because between October 1 It of 2019 and December 311t of 2019
HUD held a couple hundred millions dollars just in case there were couple more
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disasters, right, nationally, thankfully the nation didn't experience any that were
federally declared and so, you know, most of us class of grantees received the
CDBG mitigation funds, in our case 6.8 million, out of that unallocated funds,
right, but we were unique among our peers and that we also received
additional disaster recovery grant, so that kind of led to the 23 million and really
it was really the product of the partnership of with the congressional delegation
but also the reality that one of the key indicators for how HUD allocates the
CDBG Disaster Recovery funds is based on damages whether that be individual
damages, FEMA assessment for public infrastructure that was damaged or
destroyed and as many of us are aware even that side was incredibly roller
coasterish in terms of us working with FEMA as a federal partner to understand
what our total damage estimates were.
Lee Loy: Thank you for that fantastic explanation and Kauai is also included in
this list so even for Mr. Richards and Ms. Kimball just reaching out to our partners
over in Kauai and Kauai County and letting them know, you know, we need to
work more collectively to grab some of this money off the table, 2019 they had
a flood, we had lava and this next cycle, I mean, everybody's in CARES, you
know, so this money will really be critical for us to springboard a little forward an
close that gap. I just had one other note, on page 16, and I think this is more of
a staffing question, the section starts with specific conditions, insert base on risk
tool, I think it was like a prompt, am I reading that correctly or does that prompt
belong there?
Le: Are you speaking about page 16?
Lee Loy: Yes. Specific conditions, insert based on Risk Tool.
Kierkiewicz: She's referring to the title. Is that supposed to be there or is that a
mistake?
Le: I believe that is part of the HUD template for its tool, I don't those five words
have any specific bearing on our ability to administer the program.
Lee Loy: Thank you, thank you so much I really appreciate the time, Chair, I
yield.
Kierkiewicz: Thank you, any other questions? Mr. Kanealii-Kleinfelder you have
the floor.
Kanealii-Kleinfelder: Thank you ma'am. Morning guys, thank you for being
here. Just couple questions for you, I'm looking over the General Terms and
Conditions for the grant agreement, looks like we can use up to five percent for
administrative fees and costs, is that correct?
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Le: That is correct, that's standard for this grant program.
Kanealii-Kleinfelder: And then, does that include the 66 million plus the 23?
Le: So for this grant agreements before us today, it would be five percent of the
total 83.8 million dollars, once we are able to receive and administer the 23
million dollars that's an additional five percent of that and, you know, our
federal partner at Housing and Urban Development basically allowed grantees
to cross share so when we're looking at the total of how much of 107 million
dollars we'll be administering, five percent of that towards administrative costs.
Kanealii-Kleinfelder: Okay, that up too, yeah?
Le: Up too, yeah.
Kanealii-Kleinfelder: Which comes out to about five million dollars, four and a
half million dollars and then do we a need for four hundred million dollars as far
as administrative costs for something like this?
Le: Sure, so, for this Community Development Block Grant for Disaster Recovery,
there is a six year timeline to spend the funds, most jurisdictions around the
country of the past 20, 30 years of the program had challenges spending within
the allotted time, if you look at the 4.2 or 4.5 million dollars and spread over six
years, its roughly around 70,000 dollars a year and for operating costs like
personnel and the 34.1 percent overhead for employee benefits that the
County kind of puts in, I think, there's definitely a need for that, I will, I think it's
also helpful to clarify also though that the, in terms of staffing and capacity to
administer the program, that five percent really covers what one can call the
back office folks, right, so administrative and compliance and accounting, what
can be used to cover staffing on the program side, for example, a housing
counselor to actually work with households and process applications actually
could be charged to the program funds and so that's why I think the important
point that you raised of the up to five percent is really key because, you know,
we need to manage our resources really effectively but that ability to cover
overhead cost through administrative functions and any staff capacity that are
focused on program delivery I think will be helpful in terms of us managing the
funds effectively.
Kanealii-Kleinfelder: It helps us too cause we may not have to funds it from our
budget, yeah, we can use these funds to cover what we're doing.
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Le: Yeah, I mean, I think, in terms of resources available to the County for
Disaster Recovery, we have an overall approach of self -funding this operation
through these recovery grants to the greatest extent possible.
Kanealii-Kleinfelder: And I notice that also includes program income, can you
briefly explain program income.
Le: Sure. So at this point and time with the programs that we've proposed, the
voluntary buyout program as well as the housing relocation services, program
income is not necessarily in the mix, however, it could be in the future, right, and
so, program income is a concept that cuts across all HUD programs, I think a
really clear example is, say any kind of HUD program provides a 40 thousand
dollar housing rehab loan, right, repayment is over 30 years, so HUD provides us
with those resources to be able to provide the capital to that household, they
repay us over that time and the principal and interest payments over the 30
years can be reprogrammed as income, that must be tracked and must be put
back towards basic mission oriented grant eligible kind of activities. And so the
folks at OHCD could deal with this on daily basis, but that's how program
income works, essentially its expenditure on the grant, revenue return through
grant activities to be reallocated towards advancing the program mission in a
way that's eligible for the grant funds.
Kanealii-Kleinfelder: So I mean that looks like it can cover, you know, leases of
land if the County were to purchase say a large piece of, that was lost during
the eruption and we leased that land back out, if that was to happen.
Le: That's correct.
Kanealii-Kleinfelder: Okay, I also noticed their requirement, not a want but a
requirement for a public website and who's in charge of that?
Le: Yes, that's a requirement across the whole disaster recovery program, our
team is responsible for that, we look to use our current website:
recovery. hawaiicounty.aov, where we've been putting information up about
the recovery process but as really this program gets off the ground, there's really
two pieces that we think are important to put up but also HUD requires us to put
up, public basic information regarding all the program details, contracts
awarded under these funds, our policies and procedures that we will be using to
administer these funds and projects, but I think what people really care about,
the second piece is, information for folks who want to partake in the programs,
yeah, whether it be a checklists to prepare your application, you know, a short
video to walk through the process, a flyer about the program, you know, that's
also really important that we put that information up so people have access to it
before they consider or take the action to sign up.
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Kanealii-Kleinfelder: Okay, thank you. And then just touching back on the
program income again, it looks like I'm just breaking this down, there's one
section on page 10 that talks about the program income, the grantee, that's
the County of Hawai `i, correct, may transfer program income to its annual
CDBG program before close out of the grant that generated the program
income, and then we can transfer that, looks like out of the DR side and back
into the regular CDBG, is that correct?
Le: You know honestly, the specific mechanics of how these provisions are put
in, we haven't quite thought through yet because we haven't been planning
for program income, so, you know, from my experience we generally do not
blend our CDBG that OHCD manages and these disaster recovery dollars but,
you know, you called something that we will kind of take a hard look at in terms
of what this will actually mean on an accounting and annual grant close out
bases. But generally, I think, it's my understanding that these funds aren't
blended.
Kanealii-Kleinfelder: Yeah, that was my thought too but then I noticed that, you
know, they can be dropped back into the CDBG, it looks like or at least the five
percent of the program income can, which is an interesting tie but at the end of
the close out of the grant that generated the program income, I just thought
that was an interesting note.
Le: It is, let me dig into it, make sure I fully understand the mechanics how it
works and practice as well.
Kanealii-Kleinfelder: And then flood insurance, is that applied to all of Puna or is
that just applied to what was lost during the eruption?
Le: So in terms of these projects that are currently being proposed, the buyout
program and the relocation services, flood insurance were based on the flood
insurance rate maps so even though the eruption clearly changed our
topography and our land, the maps that existed prior to May 3rd 2018 still remain
quote, unquote in effect. For us, there's really kind of two considerations, for
many disasters flooding is the destructive impact, right, whether it be homes or
infrastructures being washed away, if any of the infrastructures being rebuilt with
federal funds than flood basically there's requirements to carry flood insurance
but also any reconstruction must mitigate against flood risk based on the, you
know, where you fall in or out of the flood maps. For this disaster, was not a
flood related one and so we don't need to think about elevating homes, you
know, three feet above the base line elevation.
Kanealii-Kleinfelder: That's why I asked.
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Le: But what is important though is that, those flood insurance rate maps are still
in effect so essentially if we were to take any action or buy out on a voluntary
bases a property that is in the flood plain that's still in effect even if it may be the
land itself may be 70 feet higher than it once was, we have to document
basically the status of that property within the flood plain or not, an so, it's more
on the paperwork side and it's something that gets processed internally, just like
how when you buy a home there's a disclosure around where you are in the
flood plain as well or not.
Kanealii-Kleinfelder: What is the most current flood map that we've adopted?
Kern: I don't, that's a good question. They're updated at different time, I'm not
sure for Puna, I'd imagine it's been awhile.
Kanealii-Kleinfelder: Yeah, I think so, I wanna say it's like 2006, 1 know we had the
FEMA study in 2006 but I don't know if they actually adopted that plan.
Le: We can look into but I think it was probably in like the 2014 to 2016 range
that the effective flood insurance rate maps were adopted but that's just my
cobweb memory about when I looked into it.
Kanealii-Kleinfelder: Okay, thank you very much gentlemen, well done, thank
you for doing this, appreciate it, thank you for being here and ladies too, sorry. I
yield, Chair.
Kierkiewicz: Thank you. Checking in with Kona. Any questions for Mr. Le or
Director Kern?
David: Not at this time. Thank you, Chair.
Kierkiewicz: Thank you. Ms. Kimball, you have the floor.
Kimball: Thank you. A couple of quick questions and this is because I've never
been through this before, so, the administration of this grant is that, all of it going
to fall under Planning or, is Finance going to be part of, are they going to have
some responsibility as well?
Le: We faced this question early on, right, this is the largest grant, close second
the COVID funds we received last year that the County's administered. The
Recovery Team, which is kind of within the Planning Department administratively
tied with Planning will be responsible for administering this grant program but
Finance has been very involved from the get go and will continue to be
involved, it's a model not that different from the way the County administers
other types of grants where the department administering the grant receiving
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the funds is kind of like that first line of defense in terms of program compliance
and insuring that everything we're reporting and monitoring is happening but
then the Comptroller, the Finance Director and Deputy work really closely to
ensure that when it comes to single audit, grant close out, we've done our jobs,
right, but also they can accurately reflect the financial accountability and
transparency measures, right, that are part of our fiscal life as a County and
Finance has been a close partner from the very beginning, in order to really
even achieve that milestone of an approved action plan, we submitted a
robust set of policies and procedures related to financial management and
grant compliance that was structured off of the County's current day to day
financial policies and procedures and our systems and then we layered on any
additional requirements that we will need to fulfill for these specific grant funds
an so a lot of times I look at the 30, 31 pages here, on page 16 that are specific
to us and Finance and our team have been working with HUD to ensure that we
can comply with all these things since essentially since January 2020 which has
helped us get to this point.
Kimball: The next question I had was around public engagement and I know
that the presentation that was done late last year that was one of the
comments that came up was that the level of public engagement was not
sufficient, what are you looking at in terms of going forward to improve public
engagement, I did look at your survey, I thought I was very well done so good
job, do you have any preliminary results in terms on how folks responding pretty
well? Please share that.
Le: Yeah, I worked on surveys a really good piece of it, you know, between now
and when we do prepare that final action plan draft in July, you know, if we
weren't facing what we're facing currently with COVID there would probably
be more public meetings and what not so we're thinking what is possible
beyond the 30 -day public comment period but different ways of engagement,
right, including as we've had to do in the past year and half, one on ones with
individuals or property owners or folks who are interested in the program but also
meeting with kind of who is the folks in the community. I'm really happy to
report that you know since we released our survey on Thursday we've received
171 responses as of 9:00 this morning, I think it's really testament to people's
interest in what's happening here and how, what the County does including the
buyout program but not limited to the buyout program is critical to their lives
and their futures, you know we took a very intentional approach around asking
peoples, what peoples' future plans are but intentional around being a check
all that apply, right, we don't expect that everyone has a clear picture between
the choices to return to their inundated property or to pursue the buyout, so all
that being said though and I want to be cautious about the data cause you
know there's still plenty folks who are out there who really going to take the
opportunity to reply, you know, just under 80 percent of folks who've responded
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so far, include a buyout as part of their recovery. I want to be clear that that
includes people who only are looking for buyout as well as those who are
considering a buyout in addition to possibly returning based on access to roads,
ability to restore a farm, financial resources to do so, right, those are all things
that we will [inaudible] out but among that, right, there's a diversity of voices,
right, and we know that's a fact but we take it as one early indicator that there
is strong interest in a buyout as a solution and I think our team receives calls and
inquiries about it, I know the council members presenting the district also do as
well. I also want to call out that we ask within that check all that apply question,
whether you would like regain access and redevelop a home and also whether
you would like to regain access and redevelop a farm, and those numbers are
about 27 percent, right, and so very early read out but because you did ask we
wanted to provide some indication of where we are five days into the process.
We're excited about the early interest and I think once we close out the survey
by March 26th which we encourage everyone to, who received it to respond
too, property owners and impacted renters, we'd be happy to come back and
brief the community about the findings but also this agency and the council.
Kern: And just to add a little bit to that, I thought the survey component was
really critical one for data collection really truly get the feel of what's going on
out there and so while we mailed out the survey to everybody we're going to
be doing PSAs, Public Service Announcements, we're got QR codes, you can
call and somebody, staff will go through it with you, we're out there in Puna
doing an event we'll have it there too, so really the concept around it was to
make it as broad reaching as possible even to the point of, I heard it on the
radio, didn't you have an effect, like you should probably check in to that and
it's on the website so this I felt was just as far as public outreach was really, really
critical, we didn't want people coming back and saying, survey?, what survey.
We'll still have a few of those cause it's inevitable but really trying to put out
there in all the ways, so from the DR Team as well as the Mayor's Office working
on all these efforts together it's been, it's been really, really great.
Kimball: Thank you for that, I think this is going to be a really interesting case
study about communications and COVID times because you have a known
number of people that should get this information and then ultimately you'll
have a known number that respond within that timeframe and the mechanism
by which they responded and I think that will be useful to all of us in terms of
understanding how to do public communication and I do want to say, I
appreciate, first of all that the statistics that you've given are probably, it should
be taken with a heavy spoonful of salt not just a grain just because there's
probably folks that are interested in the buyout that are gonna jump on this a
little bit sooner than maybe the rest of the public so we'll take that with a grain
of salt. I also just wanted to acknowledge that when we had the discussion
about the survey in Council, we talked about being really careful about the
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March 2, 2021
wording and the you guys did do that so I appreciate that you heard that and
followed up on that. The last thing is just for my clarification, again, not having
been through anything like before, what are the next steps, I mean, how is this
committee engaged with you through the rest of this time period once we've
gone ahead and approved this?
Le: So following any authorization to enter into this grant agreement, you know,
our charge is next, as a team to execute the grant agreement, you know, with
the administration and to continue to work on the buyout program standing up
in a matter of eight weeks or so and also to work on the amendment. I think
given the level of interest in the deep level of engagement this agency has had
in terms of our work and us kind of being hanai'd to OHCD in this respect
through the agency, our next step could be kind of once we can discuss the
content or any kind of the focus areas of the amendment to the action plan, I
think talking within the community about it is important, I think we can also kind
of brief this agency on the amendment as well, I want to be sensitive to the fact
that kind of this agency can have a really important role in terms of kind of
hearing an kind of providing feedback on potentially on what is being
proposed, even if based on the mechanics of the funds, HUD has kind of quote,
unquote, final approval on the action plan itself, right, so I think that's been, I
think a really sensitive dynamic that is important for us to be mindful about but
also take every opportunity to kind of let folks know that this is actually what
we're proposing, this is what we heard a part of the public comment period,
etc. A future action in front of this agency would be once again authorization
to enter into a grant agreement for the additional 23, 8.8 million dollars in funds
and I also believe to enter into an agreement for the Community Development
Block Grant mitigation funds as well the 6.8, which is on a slightly different
timeline, you know, that action plan deadline is October and that is a brand
new action plan, it's not an amendment to the current one and so those are
some of the touch points specific with this agency and I think like receiving all
grants there will be touch points with the Council as well.
Kimball: Thank you so much both for being here, I yield, Chair.
Kierkiewicz: Thank you, anyone else? Mr. Kanealii-Kleinfelder?
Kanealii-Kleinfelder: I just want to follow up on something on something that I
said, so I was reading through the, in regards to the public input, but there's a
section here, the grantee must notify HUD but is not required to seek public
comment when it makes any plan amendment that is not substantial. HUD has
to be notified five days before, we just have to post on our website so I just
wanna clarify that and make that clear for everybody that there can be
changes, unsubstantial changes made to the plan without public comment.
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Le: Yeah, you've actually highlighted a really important point in terms on how
these programs and funding operates. So for any grantee, HUD requires that we
define what constitutes a substantial amendment and what's called a non -
substantial amendment, they have some baseline rules but then they leave it to
us to be clear that it's there. In the current approved action plan from October
2020, there is a section that defines what is a substantial amendment and what
we've defined is in clear line in what HUD requires which is any movement of
program funds, 10 percent or more of the total of the grant amount, so in our
case if we were to move 8.3 million dollars or more that would require a
substantial amendment, if we moved less than that it would not require a
substantial amendment. Another, the second of the three is whether we
change any criteria in terms program eligibility, that triggers a substantial
amendment and then lastly, if we add or move any projects that also triggers a
substantial amendment and so that kind of covers the substantial amendment
territory, in terms of the non-essential amendment, it's everything not that but
essentially HUD also is very incredibly keen on what constitutes an amendment
so when we say that we have an approved action plan, if I feel like I gotta and
change one adjective to another adjective or put a semicolon instead of a
colon, that triggers an amendment, right, and so it gets down to that level, but
within kind of the operation of the funding, non -substantial amendments as long
as they don't fall under those three triggers, we, any grantee can pursue those
amendment to the action plan.
Kanealii-Kleinfelder: Okay, so up to, sorry, 8.3 million dollars less than, we can do
that without any public comment.
Le: Right, 10 percent of the grant. I think, well and really that's kind of the cut
off, right, it doesn't mean that we don't take opportunities in terms of what is
important and critical, folks understand and know even if it is moving less than
ten percent of the total grant. For example, the housing relocation services
currently budgeted for 1.6 million dollars, really important program, right, one of
the two major projects we're lifting up, but clearly well under the threshold of
the ten percent of the grant, right, and so if we were to change anything there,
you now, I think it would behoove us to at least help people understand why
did, even if HUD does not require us to enter into a specific 30 day public
comment period.
Kanealii-Kleinfelder: Okay, and then most importantly, reporting, this says,
reporting, we don't have to, looks like we're required to do a quarterly and that
goes directly to HUD but posted on our website as well?
Le: That's correct. So HUD relies on their national on-line system for us to report
our financial management information into it but then narrative reporting in
terms of program activities and program outcomes are also part of that and so
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it's a quarterly performance report, a QPR, that our staff will be managing the
inputs to it every and then on a quarterly bases preparing within the system, the
system put outs a pdf that's eight pages or 200 pages in some grantee's
situations and we post that on our website to help provide that information for
the public.
Kanealii-Kleinfeler: Okay, thank you Doug.
Kern: Something else we're Bong with the website, is we're trying to make it a
good platform for information as far as even roads we're working on time
deadlines and trying to make an interactive place so the public can be finding
that information so more transparency, more just trying to, not that there's a lack
of, but trying to be really engaged into the public so I think that will help as well.
Kierkiewicz: Thank you gentlemen. Any other questions or comments from my
colleagues? Ms Lee Loy?
Lee Loy: I'm sorry, I just had one for Zendo, embedded in the language of this a
compliance with the Stafford Act, the Stafford Act really drives a lot of our family
codes and our construction codes so when we're looking at standing them up
along with some of the other stuff, needs to be in compliance with FEMA and
HIEMA so even with those flood insurance rate maps and some of the other stuff,
it's all augmented very nicely through this Stafford Act and the language is
contained within the agreement so just pointing to that, that there might be
ways and tools just within that language and then with the overarching
compliance that's embedded in the contract, that we have a lot of tools in the
agreement as it is written.
Kern: Thank you for that, we'll use it.
Lee Loy: Thank you, Chair, I yield.
Kierkiewicz: Thank you Ms. Lee Loy. Matt, thank you for brining up the QPRs,
Douglas, I'm wondering if it's something you can file with the Council or Housing
Agency on a quarterly basis? We don't always have to have a discussion, but I
think it's great for it to be filed officially with our records.
Le: Yes, I think it's achievable.
Kierkiewicz: Great and you know it's really not lost on me how hard you and
your team and the administrations have worked to get us to this point, I think
November a lot of the conversations leading up to public discussion around the
action plan were frustrating, contentious, not always productive and I think it's
because there wasn't the best information out there from the prior
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administration, for instance, there was this notion that was put out that this
agency needed to approve the Action Plan but in further reviewing the Code,
Chapter 2, Article 13, Section 2-66 to 68, it identifies what our purpose and
mission and scope is and it really is this agency's job to review those agreements
so that is what is what is before us, not the Action Plan, the agreements and I
think having just settled that has been extremely helpful and then having time to
further connect with community on this and articulate the importance, I get
calls and emails and text messages weekly from constituents wondering when
this program in going to roll out, they may not be the loudest out in the
community but they are still part of our community and they are still looking for
avenues to rebuild their lives and move forward on their recovery journeys so we
have to activate this program. The newspaper said that you're looking at about
an April 30th activation, is that correct? We're on track to do that? Any sooner
than that?
Le: Yes, sooner would be harder but we are on track to do that in terms of kind
of being able to initiate the program.
Kierkiewicz: Okay, which means we will have, in addition to data from the
survey that's circulating in the community and a month's worth of information of
the program rolling out, that will all help to inform the substantial amendment for
how we pivot the 23.4 million dollars that's been allocated.
Le: Yeah, that data will be really critical in terms on how we approach
programing the 23 million dollars.
Kierkiewicz: Are you open to exploring a different survey for community and I
ask that because some constituents have called my office concerns that they
aren't able to sort of contribute to the overall vision and planning for Puna
because this survey was specifically around housing, which I get, I think we
needed it in order to inform roll out of the program but are we going to be
doing broader pulse check of community where they can decide, you know,
what the further of Puna is like and maybe this is a question for the Director.
Kern: Certainly it's something we can talk about and work now, not opposed to
it at all, this is was a really critical path element to get to actually performing the
buyout so as Douglas said, this was critical but yeah, we could be open to that
cause I think that's a greater discussion on what the Puna community needs
are, Pdhoa, etc.
Kierkiewicz: Okay, that's really helpful. Great, you guys, again, great job and
just to kind of elaborate on a question you had asked earlier what the next step
is, so the agency moving this forward is critical, tomorrow at Council we've got
a resolution and a bill related to this particular agreements that this body must,
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not this body, because we're here with our non -legislative hat on, so with our
councilmember hats we are going to be formally approving the resolution and
entering into the agreement and at that point, Douglas, does the six year clock
start ticking?
Le: So the six year time line for the expenditure of these funds starts at the
execution of this grant agreement, so tomorrow, you know, whatever the
Council outcome may be, that six year timeline does not begin until both
parties, the County and HUD, have signed the grant agreement.
Kierkiewicz: Okay, got it. Thank you. I don't have any other questions or
comments other than to say thank you for being inclusive, I've appreciated
being able to connect with you and your team to weigh in on various aspects of
this roll out so I hope we can continue to stay in touch on this. Anyone else?
David: Anyway, before, it was a great discussion, I just wanted to thank Director
Kern and Mr. Le for actually, totally explaining this complicated process,
unprecedented situation that we, the County, has faced. Are we off line?
Kierkiewicz: No, we're here.
David: Okay, we can't see you anymore. That's okay, anyway, and that's what
I wanted to say and that I really appreciate the fact that they've answered a lot
of questions that was hanging out there in my mind because this is like never
before and I think they've paved the way very efficiently to see how we can
build something to this extent. So I really appreciate the department's work on
this and also appreciate your handling of this matter, Chair Kierkiewicz, so on
that note I just wanted to say mahalo. I yield.
Kern: Madam Chair, if I may, real quickly?
Kierkiewicz: You have the floor.
Kern: Thank you, I want to say that the Disaster Recovery Team has been great,
I think we really need to appreciate the wealth of knowledge that Douglas
brings and the prior experience, I've really, I'll say last time but synergy, is the
word that I'm feeling with the new administration and with kind of the unique
perspective that I may bring in my style coupled with Douglas and lava
recovery, I feel like we're just really getting a lot of momentum, things are
moving in a really positive manner and it's really exciting so this is certainly a
team effort and again synergy would be my word, it's nice to be feeling that.
Thank you all for your support.
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Kierkiewicz: Thank you for not just talking action but actually taking action. I
would be remissive if I didn't specifically call out and thank Patty Pinto, who has
done a phenomenal job with April, the Americore Vista, and putting the printed
version of the survey together as well as the online tool. Thank you for removing
barriers to access in sending out the printed version, having an available online
but also putting a number down for people to call if they are just not in a
position to be able to complete any of those versions, so thank you and I think
the success we are seeing with the responses so far is really testament for us
looking at a number of vehicles to get this out, so thank you. Alright, we have a
motion on the floor for the County of Hawai `i to enter into an agreement with
the United States Department of Housing and Urban Development for Disaster
Relief funds related to the 2018 Klauea Eruption, all in favor please say aye, any
opposed? Motion carries with eight ayes votes, Mr. Chung is excused. Thank
you gentlemen. May I have a motion to adjourn?
Lee Loy: Moved.
Richards: Second.
Kierkiewicz: Motion by Ms. Lee Loy, second by Mr. Richards, all in favor please
say aye, any opposed? Motion carries, we are adjourned at 9:56 am. Thank
you.
Kern: Thank you guys so much.
Meeting adjourned at 9:56 a.m.
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