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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 Confidentiality Notice: This email message, including any attachments, is for the:gle use of the intended recipient(s) or entity to whom/which it is addressed and may contain information that is privileged, confid wtial and exempt from disclosure under applicable law. If you are not the intended recipient, any review, dissemination, distribution, r copying of this communication is strictly prohibited. If you think you have received this communication in error,please not fy us immediately by reply e-mail or by telephone (808)961-2244, and delete the original message. Thank you. 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