HomeMy WebLinkAbout2023-04-06 Windward Exh D (Item#3 Ke'aloha Lani PL-SPP-2022-000031) WINDWARD PLANNING COMMISSION
COUNTY OF HAWAI`I
HEARING TRANSCRIPT
APRIL 6, 2023
A regularly advertised hearing on the application of KE`ALOHA LANI LLC (FORMERLY
HAWAI`I BREWERY DEVELOPMENT CO.,INC.) (PL-SPP-2022-000031) was heard at
11:25 a.m. in the County of Hawaii Council Chambers in Hilo, 25 Aupuni Street, Hilo, Hawaii
with Chair Dennis Lin presiding.
COMMISSIONERS PRESENT: Dennis Lin, Louis Daniele, Lauren Balog, John Cross, Wayne
De Luz, and Chantel Perrin.
ALSO PRESENT: Sinclair Salas-Ferguson Esq. (Counsel for the Commission), Zendo Kern
(Planning Director), Jessica Andrews (Planner), Alex Roy (Planner), Christian Kay (Planner),
Janice Hata(Zoom Host), Maija Jackson Planning Program Manager), and Melissa Dacayanan-
Salvador (Windward Planning Commission Secretary).
And three members from the public were in attendance.
KE`ALOHA LANI LLC (FORMERLY HAWAI`I BREWERY DEVELOPMENT CO.,
INC.) (PL-SPP-2022-000031)
Application for an amendment to Condition No. 4 of Special Permit No. 842 for a 5-Year
time extension to construct and occupy on one lot, and a 10-year time extension to construct and
occupy the remaining lots. Special Permit No. 842 was approved in 1993 to allow the establishment
of a brewery, water, and soft drink bottling facility and related improvements on 14.5 acres of land
(including the subject parcels which total 7.829 acres of land) situated within the State Land Use
Agricultural District. The subject properties are located on Shipman Road, east of Highway 11
(Volcano Highway), west of Railroad Avenue, and north of Highway 130 (Kea`au-Pahoa Highway),
Kea`au, Puna, Hawaii, TMKs: (3) 1-6-141:024, 027, & 028.
Secretary's Note: [indecipherable] indicates that there were technical and/or internet difficulties,
which made the conversation inaudible.
LIN: Next agenda item is Ke`aloha Lani LLC (formerly Hawaii Brewery
Development Co., Inc.), PL-SPP-2022-000031. Application for an amendment to Condition No. 4
of Special Permit No. 842 for a 5-year time extension to construct and occupy on one lot, and a 10-
year time extension to construct and occupy the remaining lots. Special Permit No. 842 was
approved in 1993 to allow the establishment of a brewery, water, and soft drink bottling facility and
related improvements on a 14.5 acres of land (including the subject parcels which total 7.829 acres
of land) situated within the State Land Use Agricultural District. The subject properties are located
on Shipman Road, east of Highway 11 (Volcano Highway), west of Railroad Avenue, and north of
Highway 130 (Kea`au-Pahoa Highway), located in Kea`au, Puna, Hawaii, TMK: (3) 1-6-
141:parcels 24, 27 and 28. At this time I do not see any testimony in-person. Is there anything on
Zoom Janice?
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HATA: No, we don't have any testifiers on Zoom.
LIN: Okay, thank you. All right, I will then move on to the staff presentation. Go
ahead Christian.
KAY: Thank you,just real quick Janice. Can you confirm that you see the slide
show?
HATA: Yes, we're good on the Zoom end. Thank you.
KAY: Okay, thank you. Thank you, Chair Lin, members of the Windward Planning
Commission. Good morning. As the Chair stated, this is an amendment to Special Permit No. 842.
Here is a location map. The subject properties are located in the Puna District of Hawaii Island.
More specifically in the Kea`au area, makai of Highway 11. The applicant is requesting an
amendment to Condition No. 4 of Special Permit No. 842 for a 5-year time extension to construct
and occupy on one lot, and a 10-year time extension to construct and occupy the remaining two lots.
Special Permit No. 842 was approved in 1993 to allow the establishment of a brewery, water and
soft drink bottling facility and related improvements on 14.5 acres of land(including the three
subject parcels which total 7.829 acres) situated within the State Land Use Agricultural District. The
permit was later amended to also allow a distillery use. The requested amendment would allow the
applicant until October 18, 2028, to complete construction and obtain a certificate of occupancy on
one of the lots and until October 18, 2033, to develop and obtain certificate of occupancy on the
remaining two lots.
The stated reasons for the request is since acquiring Parcels 24 and 27 in 2021, the applicants have
diligently worked securing the necessary permits to develop a water bottling facility on Parcel 24
with the intent of moving its existing water bottling facility from Hilo closer to the source of the
water proximate to the project site. The applicant anticipates construction to be complete within 18-
24 months, which will not meet the October 2023 deadline to construct and occupy on Parcel 24,
thus requiring the time extension. Additionally, while the applicant and Bender Consulting, who is
the owner of Parcel 28 are considering options to construct beverage-related facilities for example a
brewery or distillery as permitted by the Special Permit, neither owner has any firm plans or specific
development timetable to complete the project. Thus, they are requesting the flexibility of a 10-year
time extension to develop and occupy on the remaining two lots.
Here is the zoning map for the subject properties and surrounding area. Again, for reference you've
got Highway 11 (Volcano Road) running generally on the left side of the slide here. The subject
properties are outlined in red here. The subject properties are zoned Family Agricultural-2 acres as
indicated by the teal color. Surrounding zoning includes Industrial zoning, General Industrial-
20,000 square feet here indicated in gray which is the site of a solar array and was a subject of an
amendment to that zoning district last year for those of you who were on the Commission at that
point. Other zoning in the area is Agricultural-5 acres. This was part of the original 14.5 acres
which is the Ag-5 zoning here and this is the location of the Hawaiian Springs watering bottling
facility. Other zoning in the area across the highway is Commercial Industrial Mixed Use.
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The State Land Use Designation for the subject properties is Agricultural as indicated in the green
color. The Industrial zoning area to the north is also Urban as well as Urban indicated in the red
color across the highway. The General Plan Land Use Pattern Allocation Guide Map designates the
subject properties as Medium Density Urban. Other designations in the area are Low Density
Urban, Important Agricultural Lands, Extensive Agricultural and Industrial as well as some
Conservation along the highway and Urban Expansion across the highway to the west.
Here is the applicant's proposed site plan for Parcel 24, which is the parcel closest to the highway
showing the proposed bottling facility, parking, and related improvements. Also, the applicant has
secured a well permit for a well on Parcel 27 which in the near term will help support water for the
facility. In addition, the applicant is proposing another well permit on Parcel 24 and once that is
approved and developed then both wells will support the facility.
Here is an aerial photograph of the subject parcels. Again, for reference we've got the highway
running here on the left-hand side of the screen. As you can see there are other industrial type uses,
most of which were approved by Special Permit in the area. This is again the Hawaiian Springs
water bottling facility here, solar array in support of those projects and again the subject parcels are
outlined in red here. You can see here is the location of the shed that is covering the well that was
developed on Parcel 27.
Here are some views of the roadways within the project area. View of Shipman Road looking
mauka, the subject parcels are on the left-hand side and a view of the roadway looking makai.
Again, subject parcels are on the right-hand side and the solar array that I mentioned here is on the
left. Here's a view into Parcel 24 from the roadway and a view into Parcel 27 from the roadway.
Again, showing the location of the shed that's covering the water well. I couldn't get a very good
view of Parcel 28 as it's behind these and undeveloped.
The Planning Director is recommending approval of the amendment request with conditions. With
that I'm happy to answer any questions the Commission may have.
LIN: Thank you Christian. Any questions for staff? Okay, seeing none. We'll
move onto the applicant and the applicant's representative. [Male from audience went to the testifier
table] Okay. Do you swear or affirm to tell the truth on this matter now before the Windward
Planning Commission?
MALE FROM AUDIENCE: Yes, I do.
LIN: Please state your name and who you represent, and you may go ahead.
FUKE: Sure, good morning, Mr. Chairman, and members of the Commission. My
name is Sidney Fuke and I'm a Planning Consultant and I'm here assisting the applicant Ke`Aloha
Lani, Inc. and with me today is the Vice President of Operations, Kyle Emmer. He's sitting over
there. Your staff has always give a very comprehensive report, which kind of like makes me shame
because like I don't know what else to say. But we've had a chance to review the proposed
conditions and the background report and found them to be acceptable. Since again the staff has
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provided most of the information maybe I just kind of want to provide some history behind the
whole project. But being behind this whole development in this particular area.
So, it was actually started by this guy named Marcus Bender and he had several different company
names. But when they first developed Mr. Bender started, you're too young Dennis, but if you
remember Blue Moon. It was in the Kakaako area in Honolulu. So, he started the restaurant
brewery and then subsequently he went into the water business so he founded or co-founded the
Hawaiian Springs in this particular area. He purchased the property found out that the Artesian Well
is great so, that's where the first bottling plant operation came about and, in the meantime, he kind of
expanded his so-called interest in a different kind of beverage product. He went to Vietnam and
started the Kai Vodka. So, from bottling to brewery to distill he covers the whole gamut.
So, his vision was to see this particular area because of the great water source to have like a so-called
beverage community. So, he had some Special Permit approved and all that stuff and in the
meantime over time he's getting older, and he say like "I cannot do it already, I'm kind of tired." So
along came Ke`Aloha Lani so they bought the three, the three parcels. They currently, Ke`Aloha
Lani, they now produce this water bottle it's called Waiakea. The water comes from one of the
operating wells on the property. The other well is for the Hawaiian Springs and then there's another
well that's adjacent to where they want to construct their first warehouse bottling facility. There's a
well over there, an operating well, permitted well. So, what they're doing right now is they are
hauling the water and bringing it down to their bottling plant which is located on Kalanikoa Street
near the swimming pool, Edith Kanaka`ole. Particularly they right in that area. So, that's where the
bottling facility is in and obviously it's not a very efficient operation.
So, what they want to do is kind of construct their own bottling plant over there and harvest the
water right next to it and become much more efficient. They do have plans to drill for another well
on the subject, on the site where the proposed bottling plant is going to be. So, they had a permit for
that, but it was since expired so they're kind of trying to renew that. But that's kind of in a nutshell
the overall background of the project and again Mr. Emmer and myself are here to answer any
questions you may have.
LIN: Thank you Mr. Fuke. My question will be it's been taking a long time for
this, and several time extensions have already been requested. As far as I understand this approval,
or this recommendation has no further time extensions.
FUKE: That's fine.
LIN: Yeah.
FUKE: Because actually they're ready to get started on the first building and
consisting with the last time extension but they know that they were not going to be able to complete
and operate it by March of this year. So, obviously they had to apply for an extension. So, they
have the plans prepared, they're ready to submit for building permit, they already have their grading
permit issued. So, with this approval and hopeful approval then their goal is to start the construction
and relocate their bottling facility to the subject site.
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LIN: Thank you. Questions, comments Commissioners? I just have a comment. I
respect business but the idea of extracting our natural resources and bottling it and selling it either
through Hawaiian Springs or other brands. Just doesn't feel right. But it's already operating so it's
just a comment I want to throw out there because we keep moving towards to sustainability and
protecting our natural resources and just seems counter-intuitive that we are extracting our natural
resources and selling it off. That's just my comment. But, if no further questions or comments,
motion anybody?
DE LUZ: Chair, I move that the application to amend Special Permit No. 842, Docket
No. 2022-000031, be approved based on the Planning Director's recommendation, which shall be
adopted.
LIN: It's been moved by Commissioner De Luz.
DANIELE: I'll second that.
LIN: Seconded by Vice Chair Daniele. Any discussion or comments on the
motion? Commissioner De Luz, you have your mic on. Okay.
DE LUZ: Sorry.
LIN: Just wanted to confirm. All right if no discussions or comments then staff roll
call vote, please.
KAY: Yes, thank you Mr. Chair. Commissioner De Luz?
DE LUZ: Aye.
KAY: Vice Chair Daniele?
DANIELE: Aye.
KAY: Commissioner Balog?
BALOG: Aye.
KAY: Commissioner Cross?
CROSS: Aye.
KAY: Commissioner Perrin?
PERRIN: Aye.
KAY: And Chair Lin?
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LIN: Aye.
KAY: Thank you Mr. Chair, motion carries with six aye votes.
LIN: Okay, thank you and our decision will be sent to you in writing. Thank you.
FUKE: Thank you very much.
The item ended at 11:41 a.m.
Respectfully submitted,
Melissa Dacayanan-Salvador, Secretary
Windward Planning Commission
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