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Home My WebLink About2025-08-21 PD PowerPoint Presentation (PL-REZ-2025-000079) HAWAII ISLAND COMMUNITY DEVELOPMENT CORPORATION ( HICDC ) AMENDMENT TO CHANGE OF ZONE ORDINANCE NO . 25 25 ( PL-REZ-2025-000079/AMEND PL-REZ-2024-000066) r J � fill, 1 y Afl'LA LtO� -.. y fir.. • F Ile L d a PROPOSED DEVELOPMENT ■ THE APPLICANT PROPOSES TO DEVELOP A 43-LOT, 100% AFFORDABLE, SINGLE-FAMILY RESIDENTIAL SUBDIVISION, WITH A MINIMUM OF 10,000 Z SQUARE FOOT LOTS AND RELATED IMPROVEMENTS ON 14.321 ACRES OF Lu LAND. THE PROPOSED PROJECT WILL OCCUR ON TWO, NON-CONTIGUOUS AREAS AS FOLLOWS: 1 A 13.005-ACRE SECTION THAT WILL SUPPORT 39 1 LOTS PROJECT LOT 1 ) ; AND 2) A 1 .316-ACRE SECTION THAT WILL j SUPPORT 4 LOTS PROJECT LOT 2) . Lu ■ THE PROJECT WILL PROVIDE BUILDING SITES FOR THE HICDC SELF-HELP c) w AND TURNKEY HOUSING PROGRAM FOR LOW TO MODERATE INCOME c) 0 HOUSEHOLDS ALL OF WHICH WILL BE IN THE COUNTY OF HAWAI I S 0- AFFORDABLE HOUSING GUIDELINES. HICDC ' s INTENT IS TO PROVIDE AS 0 ry MANY SELF-HELP HOMES AS POSSIBLE GIVEN FEDERAL FUNDING LIMITATIONS. j!u*a 1'EA�AILNT'D--2'FOR I� ! 1 F ..ESE' "NY \ DRAINAGE PURPOSES TILITY 'CSES � Ci- ; A - - - \�0 ;$ b0. --`O gypL'- (PER COL NTY ST 0 f.:'i E I PHASE 1 BOUNDARY �� (( } ;&� *✓,...«.Ntiv / / /' y, E..'EpIvADE E NN PROPOSED PHASE I BOUNDARY}0 (39 LO15) ,f `"�� 6� I �E � r r (PER coJnTr src R-18) z by fl T r Ea chin v dUle+s \ ✓ ��\��(�� ran � � --, � RA�IU4 a�a•��a�_ y%- � �L � THE APPLICANT IS REQUESTING: ■ AMENDMENTS TO CONDITION M (AFFORDABLE HOUSING) AND CONDITION N FAIR SHARE CONTRIBUTION) OF CHANGE OF ZONE ORDINANCE NO. 25 25, WHICH RECLASSIFIED A 14.321 -ACRE PORTION OF A LARGER 237.5-ACRE PARCEL OF LAND FROM AN AGRICULTURAL-] ACRE (A-1 A) ZONING DISTRICT TO A SINGLE-FAMILY RESIDENTIAL-] 0,000 SQUARE FEET (RS-1 O) ZONING DISTRICT. PROPOSED AMENDMENT LANGUAGE IS AS ~ FOLLOWS: Lu • C DCDDCC ITCn DV TUC DD A AIT 1(10% GF TUC ooG GsE=e /4 - GT CI 4G n AAII V CONDITION M: [r-,�-,r�r,�-CAE-Pv-r -1--rNC�, t-r-�r�s�-r�Co,-�n-Py�€-1=,-�vrr�-r n( uj z ;HE-ATLiGA-,�] TO ENSURE THAT THE GOALS AND POLICIES OF THE HOUSING ELEMENT OF THE GENERAL PLAN Q ARE IMPLEMENTED, THE APPLICANT SHALL COMPLY WITH THE REQUIREMENTS OF CHAPTER 11, ARTICLE 1, HAWAI`I r 1 COUNTY CODE RELATING TO AFFORDABLE HOUSING POLICY. THIS REQUIREMENT SHALL BE APPROVED BY THE J ADMINISTRATOR OF THE OFFICE OF HOUSING AND COMMUNITY DEVELOPMENT AS EVIDENCED BY AN EXECUTED n AND RECORDED AFFORDABLE HOUSING AGREEMENT WHICH SHALL BE PROVIDED TO THE PLANNING DEPARTMENT n BY THE APPLICANT PRIOR TO FINAL SUBDIVISION APPROVAL. FAIR SHARE REQUIREMENTS UNDER CONDITION N Q SHALL BE CONDITIONALLY WAIVED FOR AFFORDABLE HOUSING UNITS OR LOTS, IF THE APPLICANT EXECUTES AN AFFORDABLE HOUSING AGREEMENT TO PROVIDE FIFTY (50) TO ONE HUNDRED ( 1 DO) PERCENT OF THE DEVELOPMENT AS AFFORDABLE HOUSING UNITS OR LOTS. IF THE AFFORDABLE HOUSING UNITS OR LOTS ARE NOT PRODUCED AND SOLD OR RENTED IN ACCORDANCE WITH THE AFFORDABLE HOUSING AGREEMENT, ANY FAIR SHARE REQUIREMENTS UNDER CONDITION N THAT WERE WAIVED WILL BECOME DUE AND PAYABLE. CONDITION N: SHOULD THE APPLICANT DEVELOP RESIDENTIAL LOTS ON THE SUBJECT PROPERTY, THE [TH-E] APPLICANT SHALL MAKE ITS FAIR SHARE CONTRIBUTION TO MITIGATE THE POTENTIAL REGIONAL IMPACTS OF THE DEVELOPMENT WITH RESPECT TO PARKS AND RECREATION, FIRE, POLICE, SOLID WASTE DISPOSAL FACILITIES AND ROADS. THE FAIR SHARE CONTRIBUTION SHALL BECOME DUE AND PAYABLE PRIOR TO RECEIPT OF FINAL SUBDIVISION APPROVAL. THE FAIR SHARE CONTRIBUTION FOR EACH NEWLY CREATED LOT SHALL BE BASED ON THE ACTUAL NUMBER OF RESIDENTIAL LOTS DEVELOPED. THE FAIR SHARE CONTRIBUTION IN A FORM OF CASH, LAND, FACILITIES OR ANY COMBINATION THEREOF SHALL BE DETERMINED BY THE ~ COUNTY COUNCIL. THE FAIR SHARE CONTRIBUTION MAY BE ADJUSTED ANNUALLY BEGINNING THREE YEARS AFTER THE uj EFFECTIVE DATE OF THIS ORDINANCE, BASED ON THE PERCENTAGE CHANGE IN THE HONOLULU CONSUMER PRICE INDEX (HCPI). THE FAIR SHARE CONTRIBUTION SHALL HAVE A COMBINED VALUE OF $ 17, 171.48 PER SINGLE FAMILY RESIDENTIAL 0 UNIT. THE TOTAL AMOUNT SHALL BE DETERMINED BY THE ACTUAL NUMBER OF NEWLY CREATED LOTS ACCORDING TO THE uj CALCULATION AND PAYMENT PROVISIONS SET FORTH IN THIS CONDITION. THE FAIR SHARE CONTRIBUTION PER SINGLE FAMILY Q� RESIDENTIAL UNIT SHALL BE ALLOCATED AS FOLLOWS: C) 1. $8,280.39 PER SINGLE FAMILY RESIDENTIAL [4NW] LOT TO THE COUNTY TO SUPPORT PARK AND RECREATIONAL 7~ IMPROVEMENTS AND FACILITIES; Z 2. $399.45 PER SINGLE FAMILY RESIDENTIAL [4,Wg] LOT TO THE COUNTY TO SUPPORT POLICE FACILITIES; Q 3. $788.96 PER SINGLE FAMILY RESIDENTIAL [4,Wg] LOT TO THE COUNTY TO SUPPORT FIRE FACILITIES; U 4. $345.4 1 PER SINGLE FAMILY RESIDENTIAL [4,Wg] LOT TO THE COUNTY TO SUPPORT SOLID WASTE FACILITIES; AND J 5. $7,357.27 PER SINGLE FAMILY RESIDENTIAL [4,Wg] LOT TO THE COUNTY TO SUPPORT ROAD AND TRAFFIC n IMPROVEMENTS. D- IN LIEU OF PAYING THE FAIR SHARE CONTRIBUTION, THE APPLICANT MAY CONTRIBUTE LAND AND/OR CONSTRUCT Q IMPROVEMENTS/FACILITIES RELATED TO PARKS AND RECREATION, FIRE, POLICE, SOLID WASTE DISPOSAL FACILITIES AND ROADS WITHIN THE REGION IMPACTED BY THE PROPOSED DEVELOPMENT, SUBJECT TO THE REVIEW AND RECOMMENDATION OF THE PLANNING DIRECTOR, UPON CONSULTATION WITH THE APPROPRIATE AGENCIES AND APPROVAL OF THE COUNTY COUNCIL PURSUANT TO SECTION 2- 162. 1 (A) OF HAWAI`I COUNTY CODE. [Tuic GGP491 4GN SHALL GT n ooi v TG n niv .] REASONS FOR THE REQUEST ■ THE PURPOSE OF THESE AMENDMENTS IS TO ALLOW HICDC TO UTILIZE COH AFFORDABLE HOUSING PRODUCTION PROGRAM (AHP) TO HELP DEVELOP THE ` KOAI`E' AFFORDABLE HOUSING SUBDIVISION ON THE SUBJECT PROPERTY. Lu • THE AHP WAS CREATED IN 2022 VIA AN AMENDMENT TO CHAPTER 11 (HOUSING) OF THE HAWAI`I COUNTY CODE, WHICH APPROPRIATES AT LEAST $5 MILLION ANNUALLY THE COUNTY OFFICE OF HOUSING AND COMMUNITY DEVELOPMENT (OHCD) TO FACILITATE uj PROGRAMS THAT SUPPORT AFFORDABLE HOUSING PRODUCTION. V) ■ IN ITS 2024 REZONE AMENDMENT APPLICATION, HICDC COMMITTED TO DEDICATING 100% OF THE 43 PLANNED LOTS FOR AFFORDABLE HOUSING AND THIS COMMITMENT WAS z FORMALIZED IN CONDITION M OF THE SUBJECT REZONE ORDINANCE. Q U ■ AT THE TIME OF THE REZONING, NEITHER THE APPLICANT NOR THE PLANNING DEPARTMENT n WERE AWARE THAT THIS CONDITION LANGUAGE CONFLICTS WITH THE AHP'S FUNDING RULES. n SPECIFICALLY, SECTION 3-5(6) (B) OF THE AHP ADMINISTRATIVE RULES STATES: "THE Q AFFORDABLE HOUSING UNITS REQUIRED BY RECEIPT OF PROGRAM FUNDS SHALL NOT BE USED TO FULFILL ANY OTHER OBLIGATION FOR AFFORDABLE HOUSING UNITS AS REQUIRED BY LAW OR OTHER SUBSIDY OBLIGATIONS. " REASONS FOR THE REQUEST ■ DUE TO THIS PROVISION, HICDC IS CURRENTLY UNABLE TO APPLY AHP FUNDS TOWARD THE 43 LOTS MANDATED BY CONDITION M, SINCE THOSE LOTS ARE BEING USED TO MEET A ZONING ORDINANCE CONDITION. W ■ TO RESOLVE THIS CONFLICT, THE PLANNING DEPARTMENT COLLABORATED WITH OHCD TO C) DEVELOP STANDARD AFFORDABLE HOUSING CONDITION LANGUAGE THAT ALIGNS WITH AHP uj RULES AND ENCOURAGES THE DEVELOPMENT OF ADDITIONAL AFFORDABLE HOUSING D� LOTS/UNITS BY OFFERING INCENTIVES, SUCH AS RELIEF FROM FAIR SHARE REQUIREMENTS, IN V) RETURN FOR VOLUNTARILY PROVIDED AFFORDABLE UNITS WELL BEYOND THE 20 REQUIRED BY ~ z HOUSING CODE. THE PROPOSED AMENDMENTS ARE CONSISTENT WITH THE NEW STANDARD Q CONDITION LANGUAGE AND SATISFY THE INTENT OF THE ORIGINAL CONDITION M, WHICH IS U TO CREATE A SIGNIFICANT NUMBER OF AFFORDABLE LOTS. J ■ FINALLY, THE APPLICANT PROPOSES REVISIONS TO CONDITION N TO CLARIFY THAT, FOR FAIR 0- SHARE PURPOSES, THE RELEVANT METRIC SHOULD BE THE NUMBER OF LOTS CREATED RATHER Q THAN THE NUMBER OF HOUSING UNITS, AS CURRENTLY STATED IN THE CONDITION. z ■ THE PLANNING DIRECTOR RECOMMENDS ONE MODIFICATION TO CONDITION N: REMOVAL OF THE APPLICANTS' PROPOSED INTRODUCTORY CLAUSE, WHICH STATES: Q U ■ "SHOULD THE APPLICANT DEVELOP RESIDENTIAL LOTS ON THE SUBJECT PROPERTY, THE [T44€] . . . ". O ■ THIS CONDITIONAL PHRASING IS MORE APPROPRIATE IN THE CONTEXT OF COMMERCIAL ZONING, WHERE RESIDENTIAL DEVELOPMENT IS PERMITTED BUT NOT z REQUIRED. HOWEVER, BECAUSE THE SUBJECT PROPERTY IS ZONED SINGLE-FAMILY RESIDENTIAL (RS- 10) , THE CREATION OF RESIDENTIAL LOTS IS AN EXPECTED OUTCOME. AS SUCH, THE INCLUSION OF THIS QUALIFYING LANGUAGE IS Z UNNECESSARY. O U Z O 4 Z w PLANNING DIRECTOR'S RECOMMENDATION � FAVORABLE RECOMMENDATION 0 FOR THE AMENDMENT REQUESTS WITH STATEDQ� V) MODIFICATION TO CONDITION N D� 0 U w