HomeMy WebLinkAboutPD RECOMMENDATION REPORT (PL-REZ-2022-023) RKe`AlohaLaniLLCREZ-7/8/22
COUNTY OF HAWAII PLANNING DEPARTMENT
RECOMMENDATION REPORT
KE`ALOHA LANI,LLC
CHANGE OF ZONE APPLICATION (PL-REZ-2022-000023)
Upon careful review of the request to amend conditions of Ordinance No. 17 65, the
Planning Director is recommending that a favorable recommendation with modifications for
the applicant's proposed amendments Conditions E and I be forwarded to the County
Council. Since this recommendation is made without the benefit of public testimony, the
Director reserves the right to modify and/or alter this recommendation based upon additional
information presented at the public hearing. This favorable recommendation is based on the
following findings:
The applicant, Ke`Aloha Lani LLC,has submitted an application to amend conditions of
Change of Zone Ordinance No. 17 65 which was originally approved on September 29,
2017 to change the zoning from an Agricultural (A-20a)to General Industrial (MG-20)
zoning district for 6.505 acres of land. Concurrently, Ordinance No. 17 64 was approved
to change the State Land Use Boundary designation from Agricultural to Urban.
As the subject ordinance has infrastructure obligation conditions that the applicant
has not met or reasonably fulfilled, the applicant is requesting to amend certain
conditions of the ordinance, specifically Condition E and I of Change of Zone Ordinance
No. 17 65. These amendments are to the following conditions:
■ Condition E: (Timing of Fire Flow Improvements)
■ Condition I: (Timing of Roadway Improvements)
The applicant originally proposed to develop a 7,500+/- square-foot beverage
processing facility (microbrewery)that would include a 2,000+/- square foot supportive
visitor/retail sales/tasting center with a 300 square foot kitchen, as well as required
improvements to the access road and parking areas.
According to the applicant, they request that the water and road infrastructure
improvements be implemented in conjunction with a subdivision and not a certificate of
occupancy for a structure. The reason is that the requirement for the industrial or
commercial level roadway requirement is specifically triggered or called for in the
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Subdivision Code and not necessarily triggered when one seeks a building permit for a
permitted use. Furthermore,the applicant believes that the water requirement is driven by
the industrial zoning and any subdivision based on that zoning designation. Lastly,the
applicant states that the requirement or standard, like the road improvement requirement,
would not be applicable if a use were permitted with a Special Permit on the subject
parcel. Therefore the applicant is requesting similar consideration, i.e. that the road and
water infrastricture improvements be deferred to the subdivision and not building permit
process. However, it should be noted that the applicant does not have future plans to
subdivide the property and the proposed microbrewery or any other industrial land use
can be developed on the property without the need to subdivide the property.
Granting of the amendments would not be contrary to the original reasons
for granting the change of zone. The reasons for granting the original Change of Zone
Ordinance No. 17 65 have not changed. The MG-20 zoning remains consistent with the
LUPAG designation and goals and policies, and actions of the General Plan. The site is
served by appropriate infrastructure such as water, wastewater, access, and essential
utilities. There are no irresolvable geological or topographical problems which cannot be
rectified, or which would render the land unusable.
Granting of the amendments would not be contrary to the General Plan or
Zoning Code. Staff notes that since the site was rezoned,there has not been any
significant land use regulatory changes in this area. The Puna Community Development
Plan and the County General Plan has not been updated since the original Change of
Zone request.
The current zoning, General Industrial (MG-20) continues to be consistent with
the Generals Plan's Land Use Pattern Allocation Guide (LUPAG)map, which designates
the subject parcel as Industrial. The purpose of the Industrial designation is to include
manufacturing and processing,wholesaling, large storage and transportation facilities,
power plants and government baseyards. The MG district in particular applies to areas for
uses that are generally considered to be offensive and noxious.
The proposed amendments continue to be consistent with the following goals,
policies, and actions of the General Plan:
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ECONOMIC ELEMENT:
■ Economic development and improvement shall be in balance with the physical
and social environments of the island of Hawaii;
■ The County shall provide an economic environment which allows new, expanded,
or improved economic opportuinities that are compatiable with the County's
natural and social environment; and
■ The County shall strive for diversification of its economy by strengthening
existing industries and attracting new endeavors.
This amendment request would continue to provide opportunities for the beverage
processing facility to establish itself in an area that is serviced by a good transportation
system and infrastructure. Further,the project site is located in proximity to a number of
similar sized industrial businesses, such that the project aligns with the overall character
of the area.
The irregularly shaped 6.505-acre subject property is improved with a permitted
306 kW ground-mounted solar photovoltaic array, which will remain. The PV array was
given a final inspection on April 2, 2015, under Building Permit No. BH2O14-02033.
Additionally, there is an open, active Building Permit No. 991076 for a prefabricated
storage building that has not yet been built. The remainder of the property is vegetated
and vacant.
Surrounding properties are zoned A-20a, A-5a and FA-2a. Parcel 1,which the
subject parcel was once a portion of, is the site of a water bottling facility and zoned
A-5a. The three properties to the south are vacant and zoned FA-2a. To the north, is the
site of two agricultural warehouse structures and zoned A-20a. There are various Special
Permits approved in the area, including several processing facilities for papaya,pickled
vegetables, fruit and macadamia nut. One is across from the Kea`au HELCO substation
and the other is located on the southeast corner of the East Milo Street
Extension/Railroad Avenue junction.
Access to the project site is from the Kea`au-Pahoa Bypass onto a frontage road,
known as the Volcano Road. Volcano Road connects to Shipman Road(formerly
Slaughter House Road), a private road, and access to the property is from an extension of
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Shipman Road to the property via two side by side 25-foot wide road and utility
easements located via the flagpole portions of TMK's: 1-6-141:001 and 024 and continue
over TMK's: 1-6-141:027 and 028. In 2017,the Department of Public Works did not
recommend improvements because access to the property is over private lots with utility
and roadway easements. However, due to several of the industrial rezonings previously
approved along Milo Street a condition of approval in Change of Zone Ordinance No. 17
65 required the applicant to comply with the standards outlined in the Standard Details R-
33 and R-34 for Public Works Construction prior to issuance of a Certificate of
Occupancy. Standard Detail R-33 identifies the street cross section for business and
industrial standards,which is a 60-foot wide right of way with 12-foot wide paved travel
lanes, 8-foot wide paved shoulders and 10-foot wide paved drainage swales. The
applicant has proposed to amend Condition I`s timing trigger for roadway improvements
to be Subdivision Approval rather than Certificate of Occupancy.
The Planning Director believes that the timing trigger for this condition should be
Certificate of Occupancy, for any new structures excluding structures that do not require
a certificate of occupancy. Thus, a storage building and utility shed would not trigger it;
however a new beverage facility would trigger that improvement for the subject parcel's
road and utility easement access. Futhermore, if and when the property is subdivided
and/or a condominium property regime (CPR)has occurred,the road improvement
requirements of the Subdivision Code would be triggered,which would provide
improved shoulders, drainage swales, etc. Lastly, the Planning Director is proposing to
remove the Standard Details for Public Works Construction,which is specific and may
change if changes are made to DPW's Standard Details or the Subdivision Code and
replace it with the following to be added to Condition I"with the requirements of Chapter
23, Hawaii County Code (Subdivision)."
DWS system standards require that a minimum flow of 2,000-gallons per minute
for a 2-hour duration and a pipeline velocity of less than 10-feet per second be available
at the site for fire protection for industrial land uses. The existing 4-inch waterline
fronting the property is inadequate for fire protection and the nearest fire hydrant is more
than the required 150 feet from the property. Based on the preceding, a condition of
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approval required a fire hydrant to be located within 150 feet of the property. In addition,
a condition of approval required the existing 4-inch waterline fronting the subject parcel
to be upgraded to a 12-inch waterline for a distance of approximately 800 feet or the
applicant must provide a private water system capable of providing a minimum flow of
2,000-gallons per minute for a 2-hour duration and a pipeline velocity of less than 10 feet
per second.
The condition of approval in Change of Zone Ordinance No. 17 65 required the
applicant to provide fire suppression measures prior to the receipt of Certificate of
Occupancy of any structure. At this time, the applicant is requesting that this condition be
deferred to the Subdivision process and not prior to Certificate of Occupancy. However,
it should be noted that the applicant does not have future plans to subdivide the property
and the proposed microbrewery or any other industrial land use can be developed on the
property without the need to subdivide the property. The applicant believes that the
requirements for fire protection will be addressed via the building permit process as the
Fire Department is one of the reviewing and approving agencies during such process. The
applicant continues to state that during the building permit process, the Fire Department
will address any necessary water requirements for providing fire protection consistent
with the appropriate Fire Code in effect at that time. Based on the preceding,the
applicant has proposed to amend Condition E's timing trigger to be Subdivision Approval
rather than prior to Certificate of Occupancy.
The Planning Director believes that the timing trigger for this condition should
not be changed because this requirement is a necessity for health and safety measures for
any proposed industrial use on the subject parcel. The Planning Director also understands
that the Fire Department will review the plans against their code at some time. Based on
the preceding,the Planning Director does not support the applicants request to defer the
tuning trigger to Subdivision approval however,the Planning Director is recommending
the following to be added to Condition E"and/or another method of providing fire
protection as approved by the Fire Department"to account for Fire Department's ability
to instruct the applicant on which measures must be made and when.
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The request is no contrary to Chapter 205A,Hawaii Revised Statutes
relating to Coastal Zone Management. The project site is not proximate to the
shoreline and is situated outside of the SMA. Thus,the property will not be affected
coastal hazards and beach erosion. There are no identified recreational resources,historic
resources,public access to the shoreline or mountain areas, scenic or open space
preserves, coastal ecosystems, or marine resources on the subject property.
The request will not have a signnificant adverse impact to traditional and
customary Hawaiian Rights. In view of the Hawaii State Supreme Court's "PASH"
and"Ka Pa'akai O Ka'Aina"decisions,the issue relative to native Hawaiian gathering
and fishing rights must be addressed in terms of the cultural,historical, and natural
resources and the associated traditional and customary practices of the site:
Investigation of valued resources: No formal archaeological reconnaissance
survey, oral history of kama`aina accounts of the area, historical survey of documentary
records, or botanical study was included in the application. A SHPD staff site visit in
2014 identified no historic properties within the parcel and their 2022 letter indicated no
historic properties will be affected by the amended Change of Zone.
The valuable cultural,historical, and natural resources found in the rezoning area:
The Department is not aware of any cultural or historic resources on the property.
According to applicant, there is no evidence of any traditional and customary Native
Hawaiian rights being practiced on the property.
Possible adverse effect or impairment of valued resources: Some native plants
may be destroyed by construction or ground alteration. There is no evidence that the flora
in the area are particularly desired or used for cultural practices.
Feasible actions to protect native Hawaiian rights: According to the applicant,no
gathering is taking place on the site. Thus,to the extent to which traditional and
customary native Hawaiian rights are exercises,the proposed action will not affect
traditional Hawaii rights; therefore,no action is necessary to protect these rights.
Lastly,this approval is made with the understanding that the applicant remains
responsible for complying with all other applicable governmental requirements in
connection with the approved use, prior to its commencement or establishment upon the
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subject property. Additional governmental requirements may include the issuance of
building permits,the installation of approved wastewater disposal systems, compliance
with the Fire Code, installation of improvements required by the American with
Disabilities Act(ADA), compliance with DLNR-SHPD requirements, among many
others. Compliance with all applicable governmental requirements is a condition of this
approval; failure to comply with such requirements will be considered a violation that
may result in enforcement action by the Planning Department and/or the affected
agencies.
Based on the preceding findings, the Planning Director recommends forwarding a
favorable recommendation to the County Council with modifications for the applicant's
proposed amendments to Conditions E and I of Ordinance No. 17 65. In addition, the
Planning Director recommends that existing conditions in the ordinance be revised to reflect the
current standard language for conditions of approval and to remove satisfied conditions. The
accompanying draft bill to amend Ordinance No. 17 65 is provided for your consideration.
Please note the proposed conditions of approval attached to the draft bill. Material to be deleted
is bracketed and struck through; new material is underscored.
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4�M�V`OF h{`�pi
COUNTY OF HAWAII +_ STATE OF HAWAII
ri�•oF•rr.M�
BILL NO.
ORDINANCE NO. <Planning Department>
AN ORDINANCE AMENDING ORDINANCE NO. 17-65 WHICH RECLASSIFIED LANDS
FROM AGRICULTURAL—20 ACRES (A-20a) TO GENERAL INDUSTRIAL—20,000
SQUARE FEET (MG-20)AT KEA`AU, PUNA, HAWAII, COVERED BY TAX MAP KEY:
1-6-141:002.
BE IT ORDAINED BY THE COUNCIL OF THE COUNTY OF HAWAIL
SECTION 1. Section 2 of Ordinance No. 17-65 is amended as follows:
SECTION 2. In accordance with Section 25-2-44, Hawaii County Code 1983 (2016
Edition, as amended),the County Council finds the following conditions are:
(1) Necessary to prevent circumstances which may be adverse to the public
health, safety, and welfare; or
(2) Reasonably conceived to fulfill needs directly emanating from the land use
proposed with respect to:
(A) Protection of the public from the potentially deleterious effects of
the proposed use, or
(B) Fulfillment of the need for public service demands created by the
proposed use.
SEE ATTACHED CONDITIONS
SECTION 3. Material to be deleted is bracketed and stricken. New material is
underscored.
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SECTION 4. Severability. If any provision of this ordinance, or the application thereof
to any person or circumstance,is held invalid, the invalidity
does not affect other provisions or applications of the ordinance which can be given effect
without the invalid provision or application, and to this end the provisions of this ordinance are
severable.
SECTION 5. This ordinance shall take effect upon its approval.
INTRODUCED BY:
COUNCIL MEMBER, COUNTY OF HAWAII
Hawai`i
Date of Introduction:
Date of 1st Reading:
Date of 2nd Reading:
Effective Date:
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CKe`A1ohaLani1LLCREZ-7/8/22
KE`ALOHA LANI,LLC
CHANGE OF ZONE APPLICATION (PL-REZ-2022-000023)
CONDITIONS OF APPROVAL
A. The [a„ ] Applicant, its successors or assigns ("Applicant'l shall be
responsible for complying with all of the stated conditions of approval.
B. Construction of the proposed development, as substantially represented by the
applicant, or as permitted by the zoning district classification, shall be completed
[ ] by September 29,
2027. Prior to construction, the applicant shall secure Final Plan Approval for the
proposed development from the Planning Director in accordance with Section 25-
2-71, Chapter 25 (Zoning Code), Hawaii County Code. Plans shall identify all
existing and/or proposed structure(s),paved driveway access and parking stalls,
fire department access, and landscaping associated with the proposed
development. Landscaping shall be indicated on the plans for the purpose of
mitigating any adverse noise or visual impacts to adjacent properties in
accordance with the requirements of Planning Department's Rule No. 17
(Landscaping Requirements) and Chapter 25 (Zoning Code), Hawaii County
Code.
C. The [applieaiit, its ] (Applicant) shall not use water from the
County system for distilling,brewing, or other similar water bottling production
facilities.
D. The [fit] Applicant shall provide maximum daily water usage calculations
prepared by a professional engineer licensed in the State of Hawaii and a water
commitment deposit in accordance with the "Water Commitment Guidelines
Policy" shall be submitted to the Department of Water Supply prior to the
submittal of plans for Plan Approval review to the Planning Department. Based
upon the calculations, if required,the applicant shall install a larger or additional
service lateral or meter, and remit the prevailing facilities charge to the
Department of Water Supply. The applicant is responsible for maintaining valid
water commitments to support the proposed development until such time that
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required water facilities charges are paid in full.
E. Prior to receipt of a Certificate of Occupancy, the applicant shall provide a fire
hydrant within 150 feet of the property, and either upgrade the existing 4-inch
waterline to a 12-inch waterline for a distance of approximately 800 feet or
provide a private water system capable of providing a minimum flow of 2,000-
gallons per minute for a 2-hour duration and a pipeline velocity of less than 10
feet per second, or provide another method of fire protection as approved by the
Fire Department.
F. Should a larger water meter be required, a reduced pressure type backflow
prevention assembly must be installed within five (5) feet of the meter on private
property and must be inspected by the Department before water service can be
activated.
G. Subject to other agencies' requirements to construct improvements within the
road right-of-way fronting the property affected by the proposed development, the
applicant shall be responsible for the relocation and adjustment of the
Department's affected water system facilities, should they be necessary,which
may include conveying the water system improvements and necessary easements
to the Water Board.
H. All driveway connections to [r',Hght,,,-Meets ] Shipman Road (formerly
Slaughter House Road), shall conform to Chapter 22, County Streets, of the
Hawaii County Code.
I. The applicant shall provide a 10-foot wide road and utility easement along the
subject property frontage of[ ] Shipman Road (formerly
Slaughter House Road). The easement shall provide reciprocal rights for access to
all lots along [Sla-ughteF House] Shipman Road (formerly Slaughter House Road).
Prior to receipt of a Certificate of Occupancy[,] for any new structures (excluding
structures not requiring a certificate of occupancy such as storage and utili . sheds
and other similar structures), the applicant shall widen the existing 16-to 18-foot
wide paved road from the western terminus end of the flagpole portion of TMK's
1-6-141:001 and 024, to at least 25 feet beyond the proposed last access on the
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subject property, with a 20-foot wide paved road and 8-foot widerag veled
shoulders on both sides. Prior to receipt of final subdivision approval and/or a
condominium prope . regime (CPR) of the subject property, however, the
applicant shall improve the road and utility easements over TMK's 1-6-141:001,
024, 027 and 028 to provide road improvements meeting L
of P4he Wo f-ks Standafd beta iszR-333 and 34 to inel de pwed tfa-vel lanes,
should n drainage ales within a 60 foot wide fight of ay.
meats within the 60 foot wide fight of. shall be p ately owned and
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with the requirements of Chapter 23, Hawaii County Code ,Subdivisions.
J. All development-generated runoff shall be disposed of on site and shall not be
directed towards any adjacent properties.
K. All earthwork and grading shall conform to Chapter 10, Erosion and
Sedimentation Control of the Hawaii County Code.
L. During construction, measures shall be taken to minimize the potential of both
fugitive dust and runoff sedimentation. Such measures shall be in compliance
with construction industry standards and practices utilized during construction
projects of the State of Hawaii.
M. The applicant shall meet the requirements of Chapter 50, Food Safety Code, of
the Department of Health rules related to food manufacturing (including water
bottling).
N. The method of sewage disposal shall meet with the requirements of the
Department of Health.
O. To protect any Hawaiian hoary bats in the vicinity of the property,barbed wire
fencing shall not be used in the permit area and woody vegetation over 15 feet in
height shall not be disturbed, trimmed or removed during bat birthing and pup
rearing season of June 1 st to September 15th without first conducting surveys for
bat nests and coordinating with US Fish and Wildlife Service (USFWS) if nests
are found. Surveys shall be conducted by a qualified biologist.
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P. To protect any Hawaiian hawks in the vicinity of the property, ground clearing,
grubbing activities and construction shall not occur in the permit area during
hawk breeding season of March to September without first conducting surveys for
hawk nests and coordinating with USFWS if nests are found. Surveys shall be
conducted by a qualified ornithologist.
Q. To protect any seabirds (Hawaiian petrels, Newell's shearwaters and band-
rumped storm petrel) in the vicinity of the property, any lighting shall be fully
shielded so that the bulb can only be seen from below bulb height. The lights shall
be turned off when human activity is not occurring in the lighted area.
R. [ ,
St4e14isster-ie Pr-eseR,a4i-o,' Diyisiei (PI=NR Cu .,ll be ifnfnediat4y
takend the event that surface or subsurface historic resources, including human
skeletal remains, structural remains (e.g. rock walls, terraces,platforms, etc.),
cultural deposits, marine shell concentrations, sand deposits, or sink holes are
identified during the demolition and/or construction work, the Applicant shall
cease work in the immediate vicinity of the find,protect the find from additional
disturbance and contact the State Historic Preservation Division at(808) 933-
7651. Subsequent work shall proceed upon an archaeological clearance from
DLNR-SHPD when it finds that sufficient mitigation measures have been taken.
S. Should the Council adopt a Unified Impact Fees Ordinance setting forth criteria
for imposition of exactions or the assessment of impact fees, conditions included
herein shall be credited towards the requirements of the Unified Impact Fees
Ordinance.
T. To ensure that the Goals and Policies of the Housing Element of the General Plan
are implemented, the applicant shall comply with the requirements of Chapter 11,
Article 1 of the Hawaii County Code relating to the Affordable Housing Policy.
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This requirement shall be approved by the Administrator of the Office of Housing
and Community Development prior to the issuance of Final Plan Approval.
U. The []Applicant, its successors or assigns shall comply with all other
applicable laws, codes,rules,regulations and requirements of affected agencies
for the development of the subject property.
V. An initial extension of time for the performance of conditions within the
ordinance may be granted by the Planning Director upon the following
circumstances:
I. The non-performance is the result of conditions that could not have been
foreseen or are beyond the control of the applicants, successors or assigns,
and that are not the result of their fault or negligence.
2. Granting of the time extension would not be contrary to the General Plan
or Zoning Code.
3. Granting of the time extension would not be contrary to the original
reasons for the granting of the change of zone.
4. The time extension granted shall be for a period not to exceed the period
originally granted for performance (i.e., a condition to be performed
within one year may be extended for up to one additional year).
5. If the applicant(s) should require an additional extension of time, the
Planning Department shall submit the applicant's request to the County
Council for appropriate action.
Should any of the conditions not be met or substantially complied with in a timely
manner, the Planning Director may initiate rezoning of the area to its original or
more appropriate designation.
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AGRICULTURAL-TWENTY ACRES(A-20a)TO
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AMENDMENT TO THE ZONING CODE,
AMENDING SECTION 25-8-22 (PUNA DISTRICT ZONE MAP) ARTICLE 8,
CHAPTER 25 (ZONING) OF THE HAWAII COUNTY CODE 1983 (2016 EDITION, AS AMENDED),
BY CHANGING THE DISTRICT CLASSIFICATION FROM
AGRICULTURAL -TWENTY ACRES (A-20a)TO
GENERAL INDUSTRIAL - 20,000 SQUARE FEET (MG-20)
AT KEA`AU, PUNA, HAWAII
MAP PREPARED BY:
TMK:(3)1-6-141:002 COUNTY OF HAWAII, PLANNING DEPARTMENT DATE:March 30,2017
EXHIBIT "A" Hawaii Island Distilling
FOR REFERENCE ONLY Map: 1389
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