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HomeMy WebLinkAboutPD Recommendation Report (PL-REZ-2026-000096) -1- RWaikoloaGreenREZ.6.2.26.crk COUNTY OF HAWAI‘I PLANNING DEPARTMENT RECOMMENDATION WAIKOLOA GREEN LLC CHANGE OF ZONE APPLICATION (PL-REZ-2026-000096) Upon careful review of the request against the guidelines for granting a change of zone, the Planning Director is recommending that a favorable recommendation for a Change of Zone from Residential and Agricultural-1 Acre (RA-1a) and Open (O) zoning districts to Multiple-Family Residential-1,500 square feet (RM-1.5), Family Agricultural-1 Acre (FA-1a), Agricultural 10-Acre (A-10a) and Open (O) zoning district for approximately 709.145 acres of land 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 is requesting a Change of Zone from a Residential and Agricultural-1 Acre (RA-1a) and Open zoning district to a Multiple-Family Residential-1,500 square feet (RM-1.5), Family Agricultural-1 acre (FA-1a), Agricultural-10 acres (A-10a) and Open zoning districts for a 709.145-acre portion of a 716.63-acre parcel of land. The applicant submitted a concurrent State Land Use District Boundary Amendment (SLUBA) application from an Agricultural to an Urban district for a 14.868-acre portion of a larger 716.63-acre parcel of land. If the SLUBA and Change of Zone requests are approved, the applicant intends to develop the 14.868-acre urban portion by constructing a 400-unit multifamily residential development, including a clubhouse and associated improvements consistent with the proposed RM-1.5 zoning. The remainder of the project area would retain its State Land Use Agricultural District designation, and the applicant proposes to rezone 320.024 acres from RA-1a and Open to FA-1a to facilitate the creation of 275 Family Agricultural lots. An additional 264.123 acres is proposed to be rezoned to A-10a -2- to facilitate the creation of 16 agricultural lots with a minimum lot size of 10 acres. The application indicates that these larger agricultural lots may accommodate a proposed food hub and potential solar energy infrastructure. The applicant also proposes to rezone 110.967 acres to Open, with these areas intended to be preserved as open space and public trail corridors. Tentatively, plans call for securing all necessary approvals and permits by early 2027. The Project is planned to be developed through 3 phases: ▪ Phase 1 (2035): Approximately 400 multi-family units, clubhouse, 11 agricultural (A-10a) lots, the makai project access road from Waikōloa Road, and the project roadway access from Pua Melia Street. ▪ Phase 2 (2038): Approximately 100 family agricultural lots ▪ Phase 3 (2045): Approximately 175 family agricultural lots and the mauka Project Driveway along Waikōloa Road, remaining 5 agricultural (A-10a) lots. Project improvements are planned to be completed by 2045 with an estimated construction cost of $30,000,000. It should be noted that approval of the requested Change of Zone would establish the zoning classifications and permitted development potential of the property rather than approve the conceptual development plan as currently proposed. While the application depicts approximately 400 multiple-family dwelling units, 275 Family Agricultural lots, and 16 Agricultural-10 Acre lots, the proposed zoning districts could accommodate additional development, including approximately 431 dwelling units, 320 FA-1a lots, and 26 A-10a lots. Accordingly, the conditions of approval are intended to address potential impacts associated with development permitted by the requested zoning districts and not solely the conceptual project as currently represented. In order to consider an area for any type of zoning designation, the applicable goals, policies, and standards of the General Plan must be adequately addressed. It is only through such a comprehensive policy analysis approach that evaluations and decisions can be made to better time and stage developments to -3- achieve growth determined by the General Plan and related planning documents. The implications of these evaluations and decisions must also be considered as they may have an impact on similar areas in the County. The Change of Zone request from Residential and Agricultural-1 Acre (RA-1a) and Open (O) to Multiple-Family Residential 1,500 square feet (RM- 1.5), Family Agricultural-1 Acre (FA-1a), Agricultural-10 Acres (A-10a), and Open (O) conforms to the goals, policies and standards of the General Plan and the South Kohala Community Development Plan (SKCDP). The General Plan is intended to be used as a policy guide for the coordinated growth and development of all areas of the County. It establishes goals, objectives, policies, and actions intended to guide land use decisions, infrastructure investments, housing development, environmental stewardship, and economic growth. It should be noted that the 2005 General Plan Land Use Pattern Allocation Guide (LUPAG) map designated the property largely as Rural and Open, consistent with the existing RA-1a and Open zoning districts and the previously contemplated Waikōloa Highlands project. However, the newly adopted General Plan 2045 (GP 2045) designates the subject property as Medium-Density Urban (MDU), Extensive Agriculture (EA), and Light/Service Industrial (LI). The MDU designation encompasses the approximately 14.868-acre area proposed for RM-1.5 zoning. The EA designation encompasses most of the property proposed for FA-1a, A-10a, and Open zoning. The LI designation encompasses a small portion of the southwest area of the property. The proposed RM-1.5 zoning district is located entirely within the GP 2045 MDU designation and would facilitate the development of a 400-unit multifamily residential project within an established Urban Growth Area (UGA) adjacent to existing residential, commercial, and community facilities in Waikōloa Village. The proposed FA-1a and A-10a zoning districts are consistent with the EA designation and would preserve the majority of the property for agricultural. The Open-zoned -4- areas would provide substantial open space, trail corridors, and buffering between the urban and agricultural components of the project. The proposed Change of Zone will be consistent with the following GP 2045 objectives, policies, and actions: ▪ Promote orderly urban growth patterns and direct urban development to Urban Growth Areas. ▪ Urban uses shall be directed to Urban Growth Areas where adequate infrastructure and public services either exist or can reasonably be provided. ▪ Encourage compact and connected development patterns that support walkability, transportation choice, and efficient provision of public services. ▪ Support agricultural activities appropriate to the capability of the land. ▪ Require new developments to contribute their pro-rata share of local and regional infrastructure costs. ▪ Increase the number and variety of newly constructed housing units for rent and sale that addresses a range of Area Median Income (AMI). ▪ Development in Productive Agriculture and Extensive Agriculture areas should include agricultural uses, related economic infrastructure and cottage industries, compatible renewable energy, open area recreational uses, community facilities, and compatible agriculture worker housing. ▪ Encourage the preservation of native vegetation and open space during development activities. ▪ Require public and private developers to provide historical and archaeological surveys and cultural assessments, where appropriate, prior to the clearing or development of land when there are indications that the land under consideration has historical significance. The South Kohala Community Development Plan (SKCDP) was adopted by the Hawaiʻi County Council by Ordinance in 2008. The subject property is identified -5- within the SKCDP on the Waikōloa Village Conceptual Plan as the Waikōloa Highlands planned development showing a proposed 298 dwelling units. The proposed action and subsequent development comply with the following SKCDP goals, policies, and actions: ▪ Encourage affordable housing and smart growth by concentrating development in areas already zoned for Resort, Residential, Commercial, and Industrial growth, or areas otherwise appropriate for community-serving uses. ▪ Environmental stewardship, sense of place, and open space shall be an overarching land use policy for Waikōloa Village. Land use decisions shall be based on sustainable management of open grasslands and natural resources. ▪ Provide infrastructure and facilities needed to serve planned community growth. ▪ Support Projects and Programs for Environmental Restoration and Alternative Energy. ▪ Provide transportation and circulation improvements in a timely manner, including roadways, bikeways, and pedestrian paths. The applicant proposes to develop portions of the Open zoned areas with a public pedestrian trail system that will provide safe and convenient pedestrian connectivity between the project and existing and planned commercial, recreational, and public areas, consistent with the goals and policies of the South Kohala Community Development. A condition of approval will address the timing, funding, design in consultation with the CDP Action Committee, construction, and maintenance of the trail system. To further encourage multi-modal transportation and future connectivity between the project and surrounding areas, a condition of approval will require internal project roadways to be built to County dedicable standards, including curb, gutters, and sidewalks where required by the Department of Public Works (DPW). For roadways not required to meet that standard, the right-of-way will be required to incorporate pedestrian and bike paths meeting with the approval of DPW. -6- Finally, the condition will require roadway stub outs to adjacent properties to encourage connectivity. Based on the preceding, the proposed RM-1.5, FA-1a, A-10a and Open zoning conforms to the goals, policies and standards of the General Plan and the South Kohala Community Development Plan. All utilities and services are available to the site. Existing property access is from Pua Melia Street, a County owned and maintained roadway with approximately 35 foot-wide-pavement and concrete curb, gutter, and sidewalks within a 60-foot-wide right-of-way located approximately 850 feet south of its intersection with Paniolo Avenue and Waikōloa Road. At the intersection of Waikōloa Road, Paniolo Avenue and Pua Melia Street, the Paniolo Avenue approach has three lanes, one for each movement, and is controlled by temporary traffic signal. The Pua Melia Street access will be constructed in Phase 1 of the project and is intended to serve the proposed multi-family development in the RM-1.5 zoning and provide future connectivity to the remainder of the parcel. The application proposes two access points proposed along Waikōloa Road consist of a makai access planned for Phase 1 and a mauka access planned for Phase 3. Waikōloa Road is a County owned and maintained roadway with an approximately 43-foot-wide pavement within a 100-foot-wide right-of-way in the vicinity of the two proposed access points. The Hawaiʻi Police Department and Department of Public Works expressed concerns regarding the safety and operational adequacy of the proposed project access points along Waikōloa Road, particularly the proposed mauka access due to roadway curvature, limited sight distance, elevation changes, and vehicle speeds in the area. Both agencies indicated that additional roadway improvements, including turn lanes, merge lanes, intersection modifications, access relocation, and traffic control measures, may be necessary to safely accommodate project traffic. Accordingly, conditions of approval will require future traffic analyses and implementation of roadway improvements deemed necessary -7- by the Department of Public Works and other agencies with jurisdiction to address project-related transportation impacts and public safety concerns. Section 25-2-46 (d) (1) of the Zoning Code requires a Traffic Impact Analysis Report (TIAR) for rezoning applications that could generate 50 or more peak hour trips. A TIAR prepared by Austin, Tsutsumi & Associates, Inc. evaluated the transportation impacts of the proposed development. The analysis examined existing and future traffic conditions at six key intersections within the Waikōloa region and projected conditions for the years 2035, 2038, and 2045 in accordance with County concurrency requirements. The study utilized the Hawaiʻi Department of Transportation Travel Demand Forecasting Model and incorporated assumptions regarding regional growth, planned developments, and future transportation infrastructure. The project is proposed to be developed in three phases extending through approximately 2045. Phase 1 (2035) includes approximately 400 multifamily residential units, a clubhouse, 11 agricultural lots, and primary access improvements. Phase 2 (2038) includes approximately 100 Family Agricultural lots. Phase 3 (2045) includes approximately 175 additional Family Agricultural lots, remaining agricultural lots, and an additional mauka access connection to Waikōloa Road. At full buildout, the project is estimated to generate approximately 355 AM peak-hour trips and 472 PM peak-hour trips. The TIAR concludes that cumulative regional traffic growth is expected to significantly affect roadway operations in the Waikōloa area over the long term. While most intersections are projected to remain under capacity, several movements are anticipated to operate at Level of Service (LOS) E or LOS F conditions beginning in 2035. By 2038, the eastbound left-turn movement at the Māmalahoa Highway/Waikōloa Road intersection is projected to operate over capacity during PM peak hours, and by 2045 the Queen Kaʻahumanu Highway/Waikōloa Road/Waikōloa Beach Drive intersection is projected to operate at LOS E during AM peak hours. -8- During agency review, both DPW and the Hawai’i Police Department expressed concerns regarding the traffic impacts of the project. These concerns were compounded by the extended development timeframe, the uncertainty associated with long-range growth and unplanned/unfunded infrastructure assumptions used in the TIAR, and the potential for regional traffic conditions to differ substantially from current forecasts. As a result, a condition of approval will be added requiring that updated TIARs be prepared, reviewed, and approved prior to the commencement of each development phase to ensure that traffic mitigation measures and roadway improvements remain appropriate and responsive to actual conditions at the time of each phases development. Because project buildout is anticipated to occur over approximately twenty years, the traffic conditions, roadway improvements, regional growth patterns, and transportation assumptions may substantially change between development phases. Requiring updated TIARs ensures that roadway mitigation remains proportional to actual project impacts and is consistent with County concurrency requirements at the time each phase proceeds. Water for the entire project will be provided by West Hawaiʻi Water Company (WHWC), a private water system authorized by the Hawaiʻi Public Utilities Commission (PUC) to provide water service to the Waikōloa area. Through a will serve letter, WHWC confirmed that the subject property is within their service area and that it will provide 855 water units (approximately 1.29 million gallons per day) to the project at full buildout pursuant to an extension agreement and construction fees. A condition of approval will require the applicant to secure water units for the proposed project. Despite the area’s water system being private, the County Department of Water Supply (DWS) is required by the Subdivision Code to review and approve construction plans for the water system to ensure the proposed water system is designed to deliver water at adequate pressure and volume under peak- flow and fire-flow conditions in accordance with the prevailing State water system standards and DWS rules and regulations. The water system shall include, but not be limited -9- to, the installation of necessary distribution pipeline, fire hydrants, and service laterals. Finally, the applicant will be required to pay a fee to cover the costs of plan review, testing, and inspection. The preceding will be added as a condition of approval. There is no County sewer service available in the area. Although the nearby West Hawaiʻi Sewer Company has indicated its willingness to provide wastewater service for the proposed multi-family development, the project site is not within the company’s approved service territory, and expansion of the service area would require PUC approval at the developer’s expense. A condition of approval requires extension of and connection to the private sewer system prior to Certificate of Occupancy for any use within the RM-1.5 zoned area. A second condition of approval will require Wastewater service for the FA-1a and A-10a zoned lots to be provided through individual wastewater systems (IWS) that comply with State Department of Health requirements. A condition of approval will require a Solid Waste Management Plan be submitted and approved by the Department of Environmental Management prior to Final Plan Approval or Final Subdivision Approval for each phase of the project. Due to the number of residential units that may be constructed over time, compliance with the County’s subdivision and park dedication requirements is necessary to ensure that adequate park, recreational, and public facility needs generated by the project are appropriately addressed. Chapter 23-26 (subdivision) of the Hawaiʻi County Code (HCC) requires the reservation of land for parks and other public purposes in for subdivisions that can create 200 or more dwelling units, while HCC Chapter 8 establishes requirements for park land dedication, fees in lieu of dedication, or other recreational contributions. Requiring compliance with Chapters 23 and 8 prior to Final Subdivision Approval of each phase or increment ensures that the project’s obligations for parks and recreational facilities are evaluated and satisfied in proportion to development as it occurs and in accordance with applicable County regulations. The preceding will be added as a condition of approval. -10- The concurrency section of the Zoning Code requires any change of zone proposing 25 or more residential units to provide a civil defense siren unless existing civil defense sirens, as determined by the State Civil Defense, are available to provide adequate warning coverage across the entire project site. The closest Civil Defense siren is located approximately 1 mile to the north within Waikōloa Village, but the coverage area does not include the subject parcel. Based on the applicant’s proposed development, which proposes to develop up to 675 residential and the absence of a Civil Defense siren covering the property, the applicant will be required to install a siren as a condition of approval. Through public testimony, many residents raised concerns regarding emergency evacuation capacity, particularly related to wildfire risk. Several commenters referenced prior evacuation experiences and questioned whether the existing roadway network could safely accommodate a major emergency evacuation. Multiple residents requested construction of a second access road before approval of additional residential development. Staff notes that the proposed zoning action would not trigger a requirement for the applicant to construct a secondary access roadway out of Waikōloa Village. However, to address community concerns, a condition of approval will require the applicant to prepare an Emergency Evacuation Plan for review and approval by the County of Hawaiʻi Civil Defense Agency. Electrical, telephone and internet services are available to the project site. Police and medical services are located in Waimea, approximately 10 miles away. There is a fire station located approximately 0.5 miles away in Waikōloa Village. There are no severe geological or topographical problems which cannot be properly rectified, or which would render the land unusable. The subject property consists of an irregularly shaped 716.63-acre parcel situated at approximately 1,000 to 1,200 feet above mean sea level. The site is characterized by gently undulating terrain that gradually increases in elevation in the mauka direction. The property surrounds a 30,013 square foot parcel containing Hawaiʻi Electric Light Company (HELCO) facilities which are accessed via easements over -11- the subject parcel. Otherwise, the property is vacant of any structures or improvements. The subject property is not situated within the SMA and is located approximately 4.5 miles from the nearest shoreline and thus not situated within the tsunami inundation or evacuation area. The project area is situated within Flood Zone “X,” which is determined by FEMA to be an area of minimal flood hazard. Despite the preceding, DPW noted that recent flood studies identified flooding and flood risks within the watershed area on the property. Based on this, DPW indicated that future drainage studies are required to address flood risks, downstream impacts, and to determine necessary mitigation improvements prior to each phase of the project. Any recommended drainage improvements, if required, shall be constructed by the applicant meeting with the approval of DPW. The preceding will be added as a condition of approval. The subject property is located within the former Waikōloa Maneuver Area (WMA), a military training area used for live-fire exercises during World War II, where the potential for residual unexploded ordnance (UXO) remains despite ongoing investigation and removal efforts by the U.S. Army Corps of Engineers (USACOE) and U.S. Army Garrison-Hawaiʻi. Although the project site is within an area previously cleared by USACOE, the Hawaiʻi Department of Health (HDOH) has established guidance to address potential UXO-related hazards associated with ground-disturbing activities. Given the scale of the proposed development and the possibility that HDOH may require a Site-Specific Environmental Hazard Management Plan (SSEHMP), a condition of approval will require coordination with HDOH and USACOE as necessary to ensure that appropriate safety measures, worker awareness protocols, and UXO management procedures are implemented during project construction. Conditions of approval will also require the applicant to comply with the County Flood Code, Erosion and Sedimentation Code, and applicable State and -12- Federal clean water requirements. The preceding will be added as conditions of approval. The subject request is not contrary to Chapter 205A, Hawaiʻi Revised Statues, relating to Coastal Zone Management. The proposed rezoning is generally consistent with the objectives and policies of HRS Chapter 205A, Coastal Zone Management. The subject property is located outside the Special Management Area and approximately five miles from the shoreline. The requested zoning would concentrate future urban development adjacent to the existing Waikōloa Village urban area while retaining substantial areas in Agricultural and Open zoning. The proposal would not adversely affect coastal resources, shoreline access, coastal ecosystems, beaches, or coastal hazards and is therefore consistent with the statewide Coastal Zone Management objectives and policies. The request will not have a signnificant adverse impact to traditional and customary Hawaiian Rights. In view of the Hawaiʻi State Supreme Court’s “PASH” and “Ka Paʻakai O KaʻAina” 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: Several archaeological investigations have previously been conducted within the subject parcel, including studies by Robert F. Bevacqua (1972), Peter M. Jensen (1990), Cultural Surveys Hawaiʻi, Inc. (2007), and ASM Affiliates (2018). ASM Affiliates also submitted a 2024 Archaeological Field Inspection (AFI) conducted for the approximately 14.868-acre project area, including background research and a systematic pedestrian survey with 100 percent coverage of the proposed RM-zoned area. A Cultural Impact Assessment (CIA) prepared by Cultural Surveys Hawaiʻi, and Flora and Fauna studies were conducted as part of previous State Land Use District Boundary Amendment in 2006. -13- The valued cultural, historical, and natural resources found in the rezoning area: Previous archaeological studies identified historic properties within the larger, 716-acre parent parcel: SIHP Site 50-10-11-15931 and SIHP Site 50-10- 11-31024. Site 15931 consists of a short stone wall segment near ʻAuwaiakeakua Gulch and was evaluated as significant for information content only (Criterion D), thus no further studies or preservation was merited for this site. Site 31024 consists of a terrace feature interpreted as a possible historic-period water retention or cattle watering feature. 95% of this site lies outside of the property boundaries, and the portion of the site on the property is to remain open space and thus will not be affected by the project development. The 2024 AFI concluded that no archaeological sites, historic properties, cultural deposits, or cultural features were identified within the 14.868-acre area proposed for Urban designation and RM-1.5 zoning. ASM recommended a finding of “No Historic Properties Affected.” The AFI identified the historic Puakō-Keʻāmuku Trail crossing the subject parcel based on historic map research. In comments submitted to the County, the DLNR Nā Ala Hele Trail and Access Program corroborated the existence of the trail through documentation on maps dating to at least 1885 and 1892 and stated that the trail may be government-owned pursuant to the Highways Act of 1892. Nā Ala Hele further noted that the exact alignment of the trail within the project area remains uncertain and recommended additional archaeological and cultural mapping to verify its location. The application also references a Cultural Impact Assessment (CIA) prepared by Cultural Surveys Hawaiʻi in 2006 as part of the previous State Land Use District Boundary Amendment proceeding. According to the application, individuals and organizations consulted during preparation of the CIA were not aware of ongoing traditional cultural practices occurring on the property. Biological studies indicate that the project area consists primarily of previously disturbed grasslands dominated by non-native vegetation and that no threatened or endangered plant species were identified within the project area. -14- Potential transient use of the area by protected seabirds or the Hawaiian hoary bat may occur. Possible adverse effect or impairment of valued resources: Potential impacts could occur if previously unidentified archaeological resources, cultural deposits, human burials, or portions of the historic Puakō-Keʻāmuku Trail are encountered during future ground-disturbing activities. Because Nā Ala Hele has identified the trail as a documented historic access route that may be government- owned under the Highways Act of 1892, impacts could also occur if future development were to affect portions of the trail corridor that are subsequently verified through archaeological, cultural, or legal review. Feasible actions to protect native Hawaiian rights: A condition of approval will require consultation with the DLNR Nā Ala Hele Trail and Access Program, the State Historic Preservation Division, and other agencies having jurisdiction regarding the Puakō-Keʻāmuku Trail identified in the AFI and corroborated by Nā Ala Hele's historic map research. The applicant shall document the trail alignment, significance, and ownership status within the project area. If the trail corridor is identified within the project area, the applicant shall preserve and accommodate the corridor in a manner acceptable to the agencies having jurisdiction, including implementation of any required easements, dedications, access provisions, Public Access Plan requirements, subdivision of the trail corridor as a separate parcel where required by the agency having jurisdiction, or other protective measures. A standard condition of approval will also require that if archaeological resources or human burials are inadvertently discovered during future ground- disturbing activities, all work in the immediate area shall cease and appropriate consultation with the State Historic Preservation Division shall occur pursuant to applicable law. 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 subject property. Additional governmental requirements -15- 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, approval of this Change of Zone from Residential and Agricultural-1 Acre (RA-1a) and Open (O) to Multiple-Family Residential 1,500 square feet (RM-1.5), Family Agricultural-1 Acre (FA-1a), Agricultural-10 Acres (A-10a), and Open (O) would result in an appropriate land use pattern that will further benefit the general public. The accompanying draft bill to amend Section 25-8-14 (Waikōloa Village Zone Map), Chapter 25 (Zoning Code) of the Hawaiʻi County Code, is provided for your favorable consideration. Please note the proposed conditions of approval attached to the draft bill. COUNTY OF HAWAI‘I STATE OF HAWAI‘I BILL NO. (Planning Department) ORDINANCE NO. AN ORDINANCE AMENDING SECTION 25-8-14 (WAIKOLOA VILLAGE DISTRICT ZONE MAP), ARTICLE 8, CHAPTER 25 (ZONING CODE) OF THE HAWAIʻI COUNTY CODE (2016 EDITION, AS AMENDED), BY CHANGING THE DISTRICT CLASSIFICATION FROM RESIDENTIAL AND AGRICULTURAL – 1 ACRE (RA-1A) AND OPEN (O) TO MULTIPLE-FAMILY RESIDENTIAL – 1,500 SQUARE FEE (RM- 1.5), FAMILY AGRICULTURAL – 1 ACRE (FA-1A), AGRICULTURAL – 10 ACRES (A- 10A) AND OPEN (O) AT WAIKŌLOA, SOUTH KOHALA, HAWAIʻI, COVERED BY A PORTION OF TAX MAP KEY NO. (3) 6-8-002:016. BE IT ORDAINED BY THE COUNCIL OF THE COUNTY OF HAWAI‘I: SECTION 1. Chapter 25, Article 8, Section 25-8-14, of the Hawai‘i County Code 1983 (2016 Edition, as amended) is amended by changing the district classification of the land situated at Waikōloa, South Kohala, Hawai‘i, as more particularly depicted on Exhibit A and described in Exhibit B, both of which are attached hereto and made a part hereof, from Residential and Agricultural – 1 acre (RA-1) and Open (O) to Multiple-Family Residential – 1,500 square feet (RM-1.5), Family Agricultural – 1 acre (FA-1a), Agricultural – 10 acres (A-10a), and Open (O). SECTION 2. In accordance with Chapter 25, Article 2, Section 25-2-44, of the Hawai‘i County Code 1983 (2016 Edition, as amended), the County Council finds that 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. - 2 - SEE ATTACHED CONDITIONS SECTION 3. 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 4. This ordinance shall take effect upon its approval. INTRODUCED BY: _______________________________________ COUNCIL MEMBER, COUNTY OF HAWAI‘I _______________, Hawai‘i Date of Introduction: Date of 1st Reading: Date of 2nd Reading: Effective Date: -1- CWaikoloaGreenREZ.6.4.26.crk WAIKOLOA GREEN LLC CHANGE OF ZONE APPLICATION (PL-REZ-2026-000096) CONDITIONS OF APPROVAL A. The applicant, successors or its assigns (“Applicant”) shall be responsible for complying with all stated conditions of approval. B. Prior to issuance of a Certificate of Occupancy for any development within the RM-1.5 zoned district or Final Subdivision Approval for any other zoned district, the Applicant shall secure necessary potable water units from West Hawaiʻi Water Company through the execution of an extension agreement and payment of a Contribution in Aid of Construction fee and meeting with the standards of the appropriate governmental agencies prior to issuance of Final Plan Approval or Final Subdivision Approval for each phase of the development. C. Prior to issuance of a Certificate of Occupancy for any development within the RM-1.5 zoned district or Final Subdivision Approval for any other zoned district, the Applicant shall: 1) Submit construction plans for review and approval by the Department of Water Supply; 2) Provide a water system designed to deliver water at adequate pressure and volume under peak-flow and fire-flow conditions in accordance with the prevailing Water System Standards, State of Hawaiʻi, and the Rules and Regulations of the Department of Water Supply. The water system shall include but not be limited to the installation of necessary distribution pipeline, fire hydrants, and service laterals; and 3) Pay required fees to cover costs of plan review, testing, and inspection by the Department of Water Supply. D. Construction of Phase 1 of the proposed development or other development/use as permitted by its zoning district classification, shall commence no later than 7 years from the effective date of this ordinance and be completed within five years thereafter. Prior to construction, the Applicant(s) shall secure Final Plan Approval for the proposed development from the Planning Director in accordance with Section 25-2-70, Chapter 25 (Zoning Code), Hawai‘i County Code. Plans shall identify all existing and/or proposed structure(s), paved driveway access and parking stalls associated with the proposed development. Landscaping shall be -2- 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), Hawai‘i County Code. Final Subdivision Approval for the remaining phases of the proposed development or other development/use as permitted by its zoning district classification, shall be issued no later than 22 years from the effective date of this ordinance. The time during which required plans, reports, studies, or relevant permit applications are under review for approvals by government agencies shall not count towards the deadline established in the ordinance. To justify this tolling, the applicant shall provide evidence of the excluded time period to the Planning Department for its review and approval, which shall consist of dates obtained from a government agency website, permitting program, or office indicating when the required plans, reports, studies, or permit applications were submitted, approved, denied, or returned by the government agency. Any request for tolling shall be verified and approved in writing by the director prior to the deadline established by the ordinance. The director shall notify the council of any approval of a request for tolling within thirty days of such approval. If any conditions have not been completed by the deadline, or if a time extension request has not been submitted in accordance with section 25-2-44(c), of the Hawaiʻi County Code, the Planning Department shall inform the applicant that the ordinance is null and void without further action by the County. In that event, the zoning designation of the property affected by the ordinance shall automatically revert to its immediate prior zoning designation. E. Prior to issuance of Final Plan Approval or Final Subdivision approval for each phase of development, the Applicant shall submit an updated Traffic Impact Analysis Report (TIAR) to the Department of Public Works in consultation with the Police Department and to the State Department of Transportation for review and approval. Each updated TIAR shall evaluate existing traffic conditions and projected traffic impacts associated with the proposed phase, cumulative project buildout, and other approved or foreseeable development within the project vicinity. The TIAR shall assess the adequacy, safety, and operational performance of all -3- project access points and affected intersections and shall evaluate proposed transportation improvements, including but not limited to roadway widening, intersection modifications, channelization, signalization, roundabouts, left-turn lanes, right-turn lanes, acceleration and deceleration lanes, merge lanes, speed management measures, access relocations, and other traffic control or safety improvements deemed necessary by the Department of Public Works and/or State Department of Transportation. Each TIAR shall also identify all transportation improvements required to maintain acceptable levels of service and public safety. The applicant shall be responsible for designing and constructing all traffic-related improvements identified in the approved TIAR and required by the Department of Public Works and/or State Department of Transportation prior to issuance of certificate of Occupancy or Final Subdivision for each applicable phase. F. All driveway connections to Pua Melia Street and Waikōloa Road shall comply with Chapter 22 (County Streets) of the Hawai‘i County Code. Direct vehicular access to Waikōloa Road shall be limited to no more than two access roadways serving the project site. The Applicant shall construct all access improvements identified in the applicable TIAR or otherwise required by the Department of Public Works, including, but not limited to, left-turn lanes, merge lanes, and the relocation of the proposed mauka access on Waikōloa Road. G. All internal project roadways shall be built to within 50-foot-wide or greater right- of-way to County dedicable standards with curbs, gutters, and sidewalks where required by the Department of Public Works. Roads within the project site that are not developed with the standard curb, gutter, and sidewalk section shall incorporate pedestrian and bike paths within their existing rights-of-way, meeting with the approval of the Department of Public Works. To ensure future connectivity to adjacent properties, road lots that stub out at the adjoining properties to the east and south shall be provided meeting with the approval of the Planning Director. H. A public pedestrian trail system shall be incorporated within the project and shall be implemented in conjunction with Final Subdivision Approval of the corresponding phases or increments of the proposed project or any development/use permitted in the zoned district. The pedestrian trail system shall -4- be situated in a manner that facilitates access by foot between the subdivision and existing and zoned commercial and/or public areas. Where the pedestrian trail system traverses areas subject to a recorded conservation easement, the trail alignment, surface treatment, width, permitted uses, and construction standards shall be determined in coordination with the conservation easement holder and developer and shall be consistent with the terms of the recorded conservation easement, subject to approval by the Planning Director. In areas not subject to a recorded conservation easement, the pedestrian trail system shall be at least four (4) feet wide and easily traversable. Access easements or lots of at least six (6) feet in width shall be located between the pedestrian trail system and public roadways within the project site at selected areas throughout the project. Plans for the pedestrian trail system and access easements or lots shall be designed in conjunction with the South Kohala Community Development Plan Action Committee and shall be subject to approval by the Planning Director in conjunction with the Final Subdivision Approval. The Applicant shall bear all costs associated with the design, permitting, construction, installation, and maintenance of the pedestrian trail system and related improvements until such time as the trail system is accepted by an appropriate public agency or other entity approved by the Planning Director. I. Prior to issuance of Final Subdivision Approval for any portion of the project, the Applicant shall comply with all applicable provisions of Chapter 23 (Subdivision Code) and Chapter 8 (Dedication of Land for Parks and Playgrounds) of the Hawaiʻi County Code, as amended. Any required reservation, dedication, conveyance, improvement, or fee contribution for parks, playgrounds, open space, or recreational purposes shall be provided in accordance with the requirements in effect at the time of Final Subdivision Approval. J. 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, Hawai‘i County Code relating to Affordable Housing Policy. This requirement shall be approved by the Administrator of the Office of Housing and Community Development as evidenced by an executed and recorded affordable -5- housing agreement which shall be provided to the Planning Department by the Applicant prior to Final Plan Approval or Final Subdivision Approval for each phase of the proposed development or any other use permitted in the zoning district. Fair share requirements under Condition W 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 (100) 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 W that were waived will become due and payable. K. All development generated runoff shall be disposed of on-site and shall not be directed toward any adjacent properties. Prior to the issuance of grading permits for each phase of development, the applicant shall submit a drainage study prepared by a professional civil engineer licensed in the State of Hawaiʻi and submitted for review and approval by the Department of Public Works (DPW), Engineering Division. Each study shall evaluate existing and proposed drainage conditions, identify flood risks within the project area and downstream impacts to existing infrastructure, and recommend necessary mitigation measures. All required drainage and flood mitigation improvements, including but not limited to improvements to the ʻAuwaiakeakua Gulch Bridge and related drainage facilities, shall be designed and constructed at the developer’s expense in accordance with the approved drainage study and to the satisfaction of the DPW, Engineering Division prior to issuance of Certificate of Occupancy or Final Subdivision Approval. L. The Applicant shall comply with Chapter 27, Flood Control, of the Hawaiʻi County Code. M. A National Pollutant Discharge Elimination System (NPDES) permit and an Underground Injection Control (UIC) permit, if required, shall be secured from the State Department of Health before the commencement of construction activities for each phase of development. N. All earthwork and grading activity shall conform to Chapter 10, Erosion and Sedimentation Control of the Hawai‘i County Code. -6- O. Prior to the issuance of a Certificate of Occupancy for any use that generates wastewater within the RM-1.5 zoned portion of the property, the Applicant shall secure wastewater service from the West Hawaiʻi Sewer Company, or another wastewater utility approved by the County. The Applicant shall obtain all necessary approvals from the Hawaiʻi Public Utilities Commission (PUC), including any required expansion of the utility’s authorized service territory, and shall construct all wastewater collection and transmission facilities necessary to connect the development to the private sewer system. Written confirmation from the utility provider verifying that sewer service is available and that all required connections have been completed shall be submitted to the Planning Director. P. The method of sewage disposal uses within the FA-1a and A-10a zoned districts shall meet the requirements of the State Department of Health. Q. A Solid Waste Management Plan shall be submitted to the Department of Environmental Management for review and approval prior to the issuance of Final Plan Approval for the RM-1.5 zoned district and Final Subdivision Approval for all other zoned districts. R. Pursuant to Concurrency requirements (Section 25-2-46(o)), of the Hawaiʻi County Code the applicant shall provide a civil defense siren and associated maintenance access easements within the project area as required by the State Civil Defense prior to issuance of a Final Subdivision Approval/Certificate of Occupancy for any phase of the project. S. The subject property is identified as a Formerly Used Defense Site (FUDS) within the former Waikōloa Maneuver Area. Prior to and during any ground-disturbing activities, the applicant shall coordinate with the U.S. Army Corps of Engineers (USACOE) and the Hawaiʻi Department of Health (HDOH) regarding applicable requirements for investigation, risk management, remediation, monitoring, and worker safety associated with potential unexploded ordnance (UXO) hazards. If required by HDOH, the applicant shall prepare and implement a Site-Specific Environmental Hazard Management Plan (SSEHMP) and comply with all applicable HDOH and USACOE recommendations and requirements. -7- T. An Emergency Evacuation Plan shall be submitted to the Hawai‘i County Civil Defense Agency for review and approval prior to the issuance of Certificate of Occupancy for development of the RM-1.5 zoned area or Final Subdivision Approval for other zoned lands. A copy of the approved plan shall be submitted to the Planning Department for their files. U. Prior to issuance of Final Plan Approval or Final Subdivision Approval, the Applicant shall conduct archaeological, cultural, mapping, and survey work regarding the Puakō–Keʻāmuku Trail, in consultation with the DLNR Nā Ala Hele Trail and Access Program and the State Historic Preservation Division, to identify the trail alignment within the project area and evaluate its significance, ownership, and legal status, including whether it may qualify as a public highway under the Highways Act of 1892. If the Puakō–Keʻāmuku Trail is identified within the project area, the Applicant shall preserve and accommodate the trail in a manner acceptable to the DLNR Nā Ala Hele Trail and Access Program and the State Historic Preservation Division, including any required easements, dedications, public access improvements, Public Access Plan requirements, subdivision of the trail as a separate parcel where required by the agency having jurisdiction, or other protective measures. V. In 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. W. The Applicant shall make their 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 for the additional residential units to be created. The fair share contribution shall become due and payable prior to receipt of Final Plan Approval or Final Subdivision approval for each phase and -8- shall be based on the actual number of additional residential units/lots created. The fair share contribution in the 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 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 $17,921.82 per single family residential unit/lot and $11,500.24 per multiple family residential unit. The total amount shall be determined with the actual number of residential units/lots according to the calculation and payment provisions set forth in this condition. The fair share contribution shall be allocated as follows: 1. $8,642.22 per single family residential unit/lot and $5,672.74 per multiple family residential unit to the County to support park and recreational improvements and facilities; 2. $416.90 per single family residential unit/lot and $179.29 per multiple family residential unit to the County to support police facilities; 3. $823.43 per single family residential unit/lot and $551.51 per multiple family residential unit to the County to support fire facilities; 4. $360.51 per single family residential unit/lot and $245.81 per multiple family residential unit to the County to support solid waste facilities; and 5. $7,678.76 per single family residential unit/lot and $4,850.89 per multiple family residential unit to the County to support road and traffic improvements. In lieu of paying the fair share contribution, the Applicant may contribute land and/or construct 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. X. Should the Council adopt a Unified Impact Fees Ordinance setting forth criteria for imposition of exaction or the assessment of impact fees, conditions included herein shall be credited towards the requirements of the Unified Impact Fees Ordinance. -9- The Applicant shall submit an Annual Progress Report (APR) to the Planning Director every year before the anniversary date of the effective date of this ordinance. The APR should describe the status of development and explain to what extent each condition of approval has been satisfied. The Applicant should provide letters from the various agencies that verify compliance with a specific condition such as an exhibit (e.g., a water commitment payment letter from the Department of Water Supply or Certificate of Occupancy from the Building Division). This condition shall remain in effect until all the conditions of approval have been completed and the Planning Director informs the applicant that further APRs are not required. Y. The Applicant shall comply with all applicable County, State and Federal codes, laws, rules, regulations, and requirements. Z. An initial extension of time for the performance of conditions within this ordinance may be requested in accordance with Section 25-2-44, subsections (c) and (d), of the Hawaiʻi County Code. AA. If any conditions have not been completed by the deadline, or if a time extension request has not been submitted in accordance with section 25-2-44(c), the planning department shall inform the Applicant that the ordinance affecting any remaining noncompliant phases is null and void without further action by the County. In that event, the zoning designation of the property(s) affected by the ordinance shall automatically revert to its immediate prior zoning designation. E X H I B I T A E X H I B I T B