HomeMy WebLinkAboutApplicant Response Letter to Leeward Commission dated 12-1-21 �► SidneyFuke, Planning Consultant
100 Pauahi Street,Suite 212•Hilo, Hawaii 96720 •Planning•Variance•Zoning
Telephone:(808)969-1522•Cell:(808)989-064-0640 •Subdivision•Land Use Permits
E-mail:sidfuke@hawaiiantel.net Environmental Reports
December 1, 2021
Mr. Michael Vitousek, Chair
Leeward Planning Commission
COUNTY OF HAWAI 1
101 Pauahi Street, Room 3
Hilo, HI 96720-3998
Dear Chair Vitousek:
SUBJECT: KUMU HOU AT WAIKOLOA
APPLICANT: WAIKOLOA L,iND COMPANY
TAX MAP KEY: 6-9-008:013 (f OR.), 021, 022, 025, 027
(POR.), 028 (POR.), 029 (POR.) 031 (POR.), and 033
At the Leeward Planning Commission's ("Commissioi i") meeting of November 18,the
Commission voted to defer action on the various SMA and Re zoning applications relating to the
subject project. It is our understanding that the Commission s)ught more information on three
(3) items, as noted below, from the Applicant before rendering; its decision. The Applicant did
not have any objections to the deferral.
Accordingly, we are pleased to provide the following reformation relative to these
outstanding items.
1. Road Extension to the North Property Boundarv. The Commission's request to
explore the possibility of an internal road connecti)n between Waikoloa Resort and
Mauna Lani Resort is understandable, for, if possi)le, it could potentially relieve
some traffic along the Queen Ka ahumanu Highw:ty while providing another
emergency access for both resorts.
This concept was embodied in Condition E of the -xisting rezoning ordinance (Ord.
No. 91-112) affecting the subject properties. That condition required "A roadway
connection to the adjacent property to the north shall be provided meeting with the
approval of the Department of Public Works. "
Pursuant to that condition,the Applicant establish-d an easement that follows along
the line of the proposed extension of Puakala Plac This is reflected as Easements 2,
4, and 5 on the attached map which was recorded with the State Bureau of
Conveyances on May 12, 2006. These easements will continue to remain and thus
make it possible for a connection to the Mauna Lt ni Resort.
Understandably,the Applicant has no control ove-the adjoining property within the
Mauna Lani Resort, and thus its effectuation will )e subject to the consent of other
Mr. Michael Vitousek, Chair
December 1, 2021
Page 2
parties. Please note that the Applicant discussed th.s matter with one of the principals
of the landowner of that property after the Novemb-r 18 meeting. The principal
noted that it has no plans to develop that area.
Nonetheless to allow for the connection possibility. the Applicant would have no
objections to the incorporation of the intent of Con,lition E by adding a new condition
to Change of Zone Application No. PL-Rez-2021-(00004. The proposed condition
would read as follows:
"Puakala Place shall be extended to the adjacent roperty to the north within the
existing right-of-way easement, which may be adju,;ted to accommodate topographic
or development requirements. This minimum resor t standard road shall be
constructed meeting with the approval of the Depa;•tment of Public Works and in
conjunction with any development within the area; equiring access from Puakala
Place, but in any event no later than completion of a road on the adjacent property to
the north. "
Please note that the estimated open space acreage, is reflected in the project's
conceptual plan did not consider this new road con section. As such, to retain this
concept and secure the most open space acreage as feasible, we would like to also
propose an amendment to Condition D to read as follows:
Condition D
"[A minimum of+/-12.8 acres] +/- 9 acres (includi ag a minimum of 6 acres of natural
lava,which may include portions of the RS-10 zon,-d area) shall be set aside for open
space as natural or renaturalized lava, as conceptuG Ily represented in the Applicant's
conceptual plans." (New language is underscored; deleted portions in bracket.)
2. Need For More Police Service. In its comment on the subject applications, the
County Police Department noted that additional tir ieshare units "will lead to an
increased burden on public safety services such as police and fire/rescue. " The
Commission wanted the Applicant to address that,:omment.
I discussed this matter with the Police Chief, and t ie discussion is reflected in the
attached letter, dated November 22, 2021,to the C iie£ In essence,the Chief made
two (2)points:
a. It has a small office within the "Mauna Lani"I ire Station which is used only
when Police officers need to write reports or perform other clerical-related duties.
It is and should not be considered a station or z sub-station, and the Department
has no plans to make it one.
Mr. Michael Vitousek, Chair
December 1, 2021
Page 3
b. This area and region will continue to be service 1 by its stations in Waimea and
North Kona. The issue is not infrastructure but staffing. In that regard, Kumu
Hou will generate considerable revenue via the .eal property tax and Transient
Accommodation Tax (TAT) or what has been tcelmically referred to as Time
Share Occupancy (TSO)tax. These revenues v ill stay with the County and
should thus enable the funding of more public s ifety personnel. (It was reported
in the applications that upon build out, the real )roperty tax revenues alone—and
not including TAT and/or TSO taxes for the eni ire resort—would generate
approximately $14 million annually in 2020 do lars.)
3. Timing of Workforce Housing. The Commission e mphasized the need to have a
timetable for the availability of the workforce hous ng. In discussing this with the
potential developer, the Applicant is agreeable to a condition that would assure its
opening no sooner than the issuance of any timesh,re occupancy permit. This should
help incentivize its completion.
The Applicant would like to suggest that the follov ing condition be made a part of
the Project District Ordinance (PL-REZ-2021-000( 05):
"As represented by the Applicant, the Applicant sh 711 cause the development of a
workforce housing project on a property identified by TMK: 6-9-008:032 in
accordance with mutually agreeable terms betwee)! the Applicant and the County
Office of Housing and Community Development. i he terms shall be established in a
workforce housing agreement and shall include the Applicant's infrastructure
construction and land conveyance obligations and operational considerations such as
tenant income and other eligibility criteria. An occupancy permit for the first
workforce housing unit shall be obtained no later i han issuance of an occupancy
permit for any time share unit within the area cow red by this ordinance. "
4. Estimated Construction Timetable
During the course of the hearing,the Commission wanted to have information
regarding the project's construction timetable. In t hat regard, we would like to share
the following.
Area A, which is covered by SMA 2021-000002 a id REZ 2021-000004, is designed
to accommodate the relocation of Hilton Grand V,cation's (HGV) planned 264
existing entitled and zoned multiple-family resider tial units from portions of the area
designated for the proposed 900 multiple-family rf sidential units within the Project
District area. The latter area is covered by SMA 2021-000004 and REZ 2021-000005.
Mr. Michael Vitousek, Chair
December 1, 2021
Page 4
HGV had no specific construction timetable for the existing zoned and entitled area.
Likewise, it has not established any timetable for tr is new area, except as it might
relate to the construction of, if needed,the connector road to the adjoining property to
the north.
Relative to the proposed 900 unit project,however. the Applicant estimates that
construction will begin no later than 10 years from the effective date of the Project
District Ordinance. It anticipates completion of 50% or 450 of the time share units
within 15 years of start of construction, and the bal ince within 10 years thereafter.
We trust that we have comprehensively addressed the Commission's outstanding
questions on this project. With the recommendations provided by the staff, as well as additional
ones noted herein to address the Commission's questions, we )elieve that the development of the
Kumu Hou project will be for the better. Thank you very much!
S' cerely,
1
SID E M. F
)4\
Planning Consultant
Enclosures
Copy—Mr. Zendo Kern, Director, Planning Department w/e:iclosures
Mr. John Plunkett, Waikoloa Land Company w/enclosures via email
SidneyFuke, Planning Consultant
M= Ale
•Planning•Variance•Zoning
100 Pauahi Street,Suite 212•Hi{o,Hawaii 9fi720 •subdivision•Land Use Permits
Telephone:(808)969-1522 Cell:(808)989-0640 •Environmental Reports
"�,,,\jap"w E-mail:sidfuke@hawaiiantel.net
November 22, 2021
Mr. Paul Ferreira, Chief
Police Department
COUNTY OF HAWAI'I
349 Kapi'olani Street
Hilo,HI 96720-3998
Dear Chief Ferreira:
SUBJECT: KUMU HOU AT WAIKOLOl1,
APPLICANT: WAIKOLOA I-,AND COMPANY
TAX MAP KEY: 6-9-008:013 POR.), 021, 022, 025, 027
(POR.), 028 (POR.), 029 (POR.), 031 (POR.), and 033
Thank you very much for taking time out of your bu:y schedule to discuss the subject
matter with me on November 19, 2021. The discussion foct sed on the attached memorandum,
dated August 24, 21, from Assistant.Police Chief, Chad Bas lue,to the Planning Department
commenting on the subject applications.
r—. While the memorandum noted that your department lad"no objections to offer at this
time," it did add that "the increase in population resulting)-om 1000+ time share units will lead
to an increased burden on public safety services such as po,ice and fire/rescue". During the
course of the November 18 hearing before the Leeward Plai using Commission,the Planning
Director noted that the Police Department has an office at tl.e County Fire Station located along
the Queen Ka'ahumanu Highway,just north of the Mauna I rani Resort. Notwithstanding that
comment,the Chair requested the applicant to specifically z ddress the proposed project's
"increased burden on public safety services."
In discussing this matter,you noted that:
a. While the Police Department has space at the re.'erenced Fire Station, it is neither a
staffed station nor sub-station. The space is use 1 only to enable your officers to write
reports and perform other clerically-related fun(tions. You have no intention of
staffing that facility and instead continue to util ze the stations in Waimea and Kona
to service this area and region.
b. The key to enhancing public safety in this area,>r region is not the physical
infrastructure like a new building; rather, it is h;wing adequate and trained personnel.
This,however, is a matter that can be addressee only through securing additional
funding through the County's operating budget.
Mr. Paul Ferreira, Police Chief
November 22, 2021
Page 2
c. During the course of our discussion,you added the )roject will provide much n--eded
funds that will remain with the County and in so dcng, definitely help improve
public safety. These added funds will come primar ly through three (3) ways: a)the
project's participation in the Fair Share AssessmeTy requirement of the rezoning
ordinance; b) increase in real property tax; and c)n ost importantly,the annual
revenues generated through the County's 3%Trans ent Accommodation Tax(TAT)
from the projected 900 timeshare units. This will t - in addition to the other existing
hotel,timeshare, and vacation rentals in this area tl•at will also be subject to the TAT.
For your information,our consultants have estimated t.iat upon build out,the projected
annual real property tax revenue for this project alone would t- in excess of$14 million. That,
on top of the sizeable 3% annual TAT funds, funds which are iept by the County, should
represent a very significant amount that will surely aid in the I anding of more public safety
personnel in this area and region.
I trust that I have accurately captured the essence of of r discussion. If not,please let me
know. Again,thank you very much for your time!
Sincerely,
SIDNEY M\NFU6KE
Planning Consultant
Enclosure
Copy—Mr. Michael Vitousek, Chair,Leeward Planning Coil mission
Mr. Zendo Kern, Director,Planning Department
Sidney Fuke
From: Ferreira, Paul <Paul.Ferreira@hawaiicoun y.gov>
Sent: Sunday, November 21, 2021 4:17 PM
To: Sidney Fuke
Subject: Re:Waikoloa Resort (Kumu Hou) Letter
Aloha Sidney,
The letter looks good, no edits on my part. Please let me know if yot need anything else.
Wishing you and your family a very Happy Thanksgiving!
Mahalo,
Paul K. Ferreira
Police Chief
Hawaii Police Department
349 Kapiolani Street
Hilo, Hawai'i 96720
Ph: (808)961-2243
Fax: (808)961-2389
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From:Sidney Fuke <sidfuke@hawaiiantel.net>
Sent: Sunday, November 21, 20217:44 AM
To: Ferreira, Paul
Subject:Waikoloa Resort (Kumu Hou) Letter
Aloha Chief,
Thanks again for your time this past Friday! Attached is a draft of i letter to you. Could you please review to
make sure that the draft accurately reflects our discussion. I will finalize a id send it to you,with a copy to the Planning
Director and Commission Chair.
Many thanks and enjoy the Sunday!
Sid
1