Loading...
HomeMy WebLinkAboutPD Background Report (PL-SMA-2026-000097) -1- -1- B_Wild_Ginger_SMA_2026 COUNTY OF HAWAIʻI PLANNING DEPARTMENT BACKGROUND REPORT BHG ALOHA LLC DBA WILD GINGER HOTEL SPECIAL MANAGEMENT AREA USE PERMIT APPLICATION (PL-SMA-2026-000097) BHG ALOHA LLC DBA WILD GINGER HOTEL submitted an application for a Special Management Area Use Permit to construct and operate a new two-story, thirty-room hotel complex that includes a pool, café, lounge area and related improvements on 69,485 square-foot parcel within the Special Management Area. The subject parcels are located along the makai side of Pu‘u‘eo Street, approximately 370 feet north of its intersection with ‘Ōhai Street and Kou Lane, and immediately south of Hilo Val Hala Apartment complex, Pu‘u‘eo, South Hilo, Hawaiʻi, TMK: (3) 2-6-002:008 and 012. PROPOSED DEVELOPMENT 1. Request: The applicant is requesting a Special Management Area (SMA) Use Permit to construct a new two-story, 30-room hotel complex and related improvements on approximately 1.60 acres of land. The proposed hotel would replace the former 38-room Wild Ginger Hotel, which operated on the property for more than 85 years prior to being destroyed by fire on October 22, 2025. According to Department of Public Works, Building Division records, approximately 95 percent of the hotel was burned, and the remaining structure was considered unrepairable. The proposed development includes three (3) two- story guest buildings containing 10 rooms each; a one-story front desk building; a one-story, approximately 1,395-square foot café; a swimming pool and approximately 4,120-square-foot lounge/pool deck area; and a 32-stall paved parking area. The proposed hotel buildings would be shifted generally northward from the former hotel footprint to provide greater separation from Waipilopilo Stream, which runs along the southern portion of the project site. 2. Project Objectives: According to the applicant, the proposed project is intended to redevelop fire-damaged property and reestablish hotel accommodations on a site that historically operated as a hotel for more than 85 years. The proposed -2- -2- redevelopment would replace the former hotel with a new 30-room complex which will be generally consistent in scale and use with the previous hotel while incorporating a revised site layout, modern building standards, and greater separation from Waipilopilo Stream. 3. Cost/Time of Project: The applicant estimates the cost of construction of the new hotel complex, excluding initial demolition and site-clearing costs, at approximately $10 million to $12.5 million. Following approval of the SMA Use Permit, the applicant intends to pursue Plan Approval and necessary building permits, with construction anticipated to commence within approximately two (2) years and be completed within three (3) years thereafter. The applicant anticipates the hotel could be operational within approximately five (5) years of SMA Use Permit approval. 4. Landowner: BHG Aloha LLC dba Wild Ginger Hotel. 5. Supportive Information: The applicant submitted materials in support of the request, including the Special Management Area Use Permit Application: (Planning Department Exhibit 1 – SMA Use Permit Application Packet dated July 28, 2026). BACKGROUND INFORMATION 6. Chapter 343, HRS: The proposed development is not subject to the environmental review requirements of Chapter 343, Hawaiʻi Revised Statutes, as no applicable environmental review trigger has been identified for the proposed project. 7. Site History: According to the application materials, the property was originally developed between approximately 1909 and 1911 as housing for sugar plantation workers and was later converted to an inn in the late 1930s, initially operating as the Palm Terrace Inn before becoming known as the Wild Ginger Hotel. The hotel contained approximately 38 guest rooms and operated on the property for many decades. The site is also located within the historic Puʻueo District (SIHP #50-10-35-07442). The former Wild Ginger Hotel was substantially -3- -3- destroyed by fire on October 22, 2025, bringing an end to its long-standing hotel use. 8. Previous SMA Approvals/Permits: July 29, 2026 – Special Management Area Assessment Application (PL-SAA- 2026-000345) was issued for demolition and site-remediation activities associated with the fire-damaged hotel. The approved work includes demolition and removal of the remaining fire-damaged structures and debris, removal of associated infrastructure as necessary, removal of hazardous albizia trees, clearing of overgrown non-native vegetation, and implementation of Best Management Practices to protect Waipilopilo Stream and surrounding resources. (Planning Department Exhibit 2 – PL-SAA-2026-000345 dated July 29, 2026). STATE AND COUNTY PLANS 9. State Land Use District: Urban. 10. General Plan Designation: (2005) Medium Density Urban (mdu) and (2045) Medium Density Urban (mdu). 11. County Zoning: Resort-Hotel 750 square feet (V-.75). 12. Hilo Community Development Plan (HCDP): The Hilo CDP was adopted by Resolution No. 1 on May 21, 1975. 13. Special Management Area (SMA): The subject properties are located entirely within the County’s Special Management Area. The properties are situated mauka of Hawaiʻi Belt Road and are not located within the “shoreline area” as defined by HRS §205A-41; therefore, a shoreline certification is not required. 14. Coastal Zone Management Area: The entire State of Hawaiʻi is within the Coastal Zone Management Area established under Chapter 205A, HRS. DESCRIPTION OF PROJECT AREAS AND SURROUNDING AREA 15. Land Area: The subject project area consists of two (2) parcels totaling approximately 69,485 square feet, or 1.60 acres, identified as TMKs: (3) 2-6- 002:008 and 012. The properties are located in Puʻueo, South Hilo, between Puʻueo Street along the mauka side and Hawaiʻi Belt Road along the makai side. Waipilopilo Stream traverses the southern portion of the project site. The site is -4- -4- generally more level and accessible along the mauka and central portions where the former hotel and associated improvements were located, while the southern portion becomes more irregular and constrained as it approaches the deeply incised and densely vegetated Waipilopilo Stream corridor. The biological survey describes portions of the stream corridor as difficult to traverse because of topography, vegetation, and debris. The underlying soil is identified as Hilo silty loam developed over weathered Pāhala Ash deposits. 16. Subject Project Area: Existing conditions of the project site consist of the fire- damaged remnants of the former Wild Ginger Hotel, portions of the former driveway, parking and paved areas, landscaped and overgrown portions of the property, and the Waipilopilo Stream corridor. The property is heavily disturbed and supports primarily secondary, non-native vegetation, including several large albizia trees. 17. Surrounding Land Zoning/Uses: The subject properties are zoned Resort- Hotel 750 square feet (V-.75) and are situated within a larger concentration of V- .75 zoning along the makai side of Puʻueo Street. The immediately adjoining Hilo Val Hala Apartment complex to the north is also located within the surrounding V- .75 zoned area. Existing development in the immediate Puʻueo Street vicinity consists largely of multi-family residential uses despite the Resort-Hotel zoning designation. Other zoning districts in the surrounding area include Multiple- Family Residential (RM-1) located west of the project area and Neighborhood Commercial (CN-10) locate south of the project area, with Commercial- Downtown Hilo (CDH) zoning located across the Wailuku River. Existing surrounding uses include the approximately 103-unit Hilo Val Hala Apartment complex immediately north of the site; single-family residences south of the property across Waipilopilo Stream; additional apartment and multi-family residential buildings along Puʻueo Street; and small-scale commercial and personal-service uses farther mauka and toward downtown Hilo. Hawaiʻi Belt Road lies makai of the site, with the Wailuku River corridor approximately 270 feet to the south providing a major natural open-space feature within the -5- -5- surrounding urban area. 18. Flood Insurance Rate Map (FIRM): The subject properties are located within FEMA Flood Zone X, an area of minimal flood hazard. According to the application, the properties are situated outside the mapped 500-year floodplain. The project site is located mauka of Hawaiʻi Belt Road and is not identified as being directly subject to coastal flooding or marine inundation. Waipilopilo Stream traverses the southern portion of the site; however, the proposed hotel buildings are being shifted farther north and away from the stream corridor compared with the former hotel layout. 19. Flora/Fauna Resources: A Biological Reconnaissance Survey of the subject properties was conducted by Geometrician Associates, LLC in June 2026. The survey found that the site has been heavily disturbed by long-term residential and hotel use and supports primarily secondary, non-native vegetation. Only three native plant species were identified, including one planted ʻōhiʻa tree and two common indigenous species. No rare, threatened, or endangered plant species or intact native plant communities were identified on the property. No native birds were observed during the survey. The survey noted that the Hawaiian hawk (ʻio) and Hawaiian hoary bat may occasionally occur in the general area, although no nests or bats were identified. Recommended mitigation includes avoiding, to the extent practicable, removal of trees taller than 15 feet between June 1 and September 15 during the Hawaiian hoary bat pupping season; conducting a pre-construction ʻio nest survey if land clearing occurs between March and September; ceasing work and consulting DLNR- DOFAW if nēnē or other threatened or endangered waterbirds are observed; and shielding exterior lighting to reduce potential impacts to seabirds. The survey also notes that several large albizia trees on the property pose a potential safety hazard and may require removal notwithstanding seasonal tree-removal recommendations. 20. Archaeological Resources: The subject properties are located within the historic Puʻueo District, identified as State Inventory of Historic Places (SIHP) No. -6- -6- 50-10-35-07442. According to the application, the project site and surrounding Puʻueo area have a long history of residential use dating back to at least the late nineteenth and early twentieth centuries, with the subject properties developed as plantation housing between approximately 1909 and 1911 and later converted to hotel use. The application does not identify a site-specific Archaeological Inventory Survey or documented archaeological site located within TMKs: (3) 2-6-002:008 and 012. The proposed redevelopment would occur primarily within portions of the property previously disturbed by the former hotel and associated improvements. The applicant states that if any archaeological or historic resources, including rock walls, terraces, platforms, marine shell concentrations, or human burials, are inadvertently encountered during construction, work will cease in the immediate area, and the State Historic Preservation Division will be contacted prior to resumption of work. The project was submitted to SHPD for review under HRS Ch. 6E-42, to date no response has been received. 21. Cultural/Historic Resources: The subject properties are located within the historic Puʻueo District, State Inventory of Historic Places (SIHP) No. 50-10-35- 07442, an area with a long history of residential and community use. According to the application, the subject properties were developed between approximately 1909 and 1911 as housing for sugar plantation workers and were later converted to visitor accommodations in the late 1930s, first as the Palm Terrace Inn and subsequently as the Wild Ginger Hotel. The hotel use continued for many decades until the property was substantially damaged by fire in October 2025. According to the applicant, no known traditional or customary Native Hawaiian practices are currently exercised on the subject properties, which have been used for residential and hotel purposes for more than a century. The applicant has also stated that no known valued cultural, historical, or natural resources have been identified within the project site beyond its location within the historic Puʻueo District. If previously unidentified cultural or historic resources are encountered during project implementation, work will cease in the immediate -7- -7- vicinity, and the State Historic Preservation Division will be contacted before work resumes. 22. Recreational/Scenic and Open Space Resources: The subject properties are privately owned and are not designated or developed for public recreational use. No formal public shoreline or recreational access route has been identified across the project site. The property is situated within an established urban area between Puʻueo Street and Hawaiʻi Belt Road, with surrounding development consisting primarily of residential and limited commercial uses. The principal nearby scenic and open space resource is the Wailuku River corridor, located approximately 270 feet south of the project site. The river and its vegetated banks provide an important natural open-space feature within the otherwise developed Puʻueo area, and the nearby Wailuku River Bridge, commonly known as the “Singing Bridge,” provides visual access to the river and opportunities for passive enjoyment and sightseeing. Waipilopilo Stream also traverses the southern portion of the subject properties and contributes a secondary riparian open-space feature, although it is densely vegetated and does not provide formal recreational access. The proposed hotel would consist of low-rise, two-story structures generally comparable in scale to the former Wild Ginger Hotel. The revised site layout shifts much of the development northward and farther from Waipilopilo Stream, retaining greater separation from the stream corridor and avoiding development within the stream and its banks. The proposed project is not anticipated to obstruct major public view corridors or significantly affect scenic or open-space resources associated with the Wailuku River corridor. 23. Coastal Hazards: The subject properties are located mauka of Hawaiʻi Belt Road and do not have direct shoreline frontage. According to the application, the site is located within FEMA Flood Zone X and is not identified as being directly exposed to coastal flooding, coastal erosion, or marine inundation. Waipilopilo Stream traverses the southern portion of the property; however, the proposed hotel buildings are being shifted farther north and away from the stream corridor compared with the former hotel layout. The proposed redevelopment will also be -8- -8- subject to applicable drainage, erosion-control, and stormwater requirements, with Best Management Practices implemented during construction to minimize sedimentation and runoff into Waipilopilo Stream and downstream coastal waters. PUBLIC UTILITIES AND SERVICES 24. Access: Vehicular access to the subject properties is provided from Puʻueo Street, a County-maintained, two-lane roadway. The proposed hotel would utilize an internal paved driveway system connecting Puʻueo Street to the proposed parking and drop-off areas. 25. Water: County water service is available to support the proposed hotel development. The County Department of Water Supply (DWS) indicated that water can be made available to the project from the existing 6-inch waterline within Puʻueo Street and had no objection to the proposed development, subject to its stated requirements. DWS requires submittal of maximum daily water-use and peak-flow calculations prepared by a Hawaiʻi-licensed professional engineer, which will be used to determine the appropriate meter and service size, applicable charges, and backflow prevention requirements. DWS also noted that the existing 6-inch waterline is inadequate to provide the required 2,000 gallons per minute fire flow and advised the applicant to coordinate with the Hawaiʻi Fire Department regarding alternative fire-protection requirements. 26. Wastewater: The project site can be served by the County’s municipal wastewater system. According to the application, a 10-inch sewer line runs along Puʻueo Street fronting the subject properties, with an additional sewer line located makai of the site along Hawaiʻi Belt Road. To date the Department of Environmental Management (DEM) has not provided comments or recommendations for connections to the County’s wastewater system. -9- -9- 27. Other Essential Utilities and Services: Electrical, telephone, and cable services are available in the surrounding urban area and are proposed to be extended or connected to the project as necessary. Solid waste generated by the hotel would be handled through commercial collection and transported to an authorized County disposal or transfer facility. AGENCIES' COMMENTS 28. Hawaii County Police Dept.: (Planning Department Exhibit 3 – August 27, 2026, Memo). 29. Department of Health: (Planning Department Exhibit 4 – August 24, 2026, Memo). 30. Department of Public Works – Building: (Planning Department Exhibit 5 – August 26, 2026, Memo). 31. Office of Planning and Sustainable Development (OPSD): (Planning Department Exhibit 6 – September 4, 2026, letter). 32. Department of Water Supply (DWS): (Planning Department Exhibit 7 – September 14, 2026, letter). AGENCIES - NO RESPONSE 33. County Dept. of Public Works – Engineering, Fire Department, Department of Environmental Management (DEM), State Department of Land and Natural Resources (DLNR) - OCCL/DOFAW/ENG Divisions, Civil Defense. PUBLIC COMMENTS 34. Hank Correa Comment: (Planning Department Exhibit 8 – August 31, 2026, email). 35. Arla C. Meyer Comment: (Planning Department Exhibit 9 – August 27, 2026, email). APPLICANTS RESPONSE 36. Applicants Response to Comments: (Planning Department Exhibit 10 – September 14, 2026, Letter) Daryn Arai Land Use Planning Consultant P.O. BOX 4501, HILO HAWAII 96720 PHONE: (808) 895-3218 EMAIL: DARYN.ARAI@OUTLOOK.COM July 28, 2026 Mr. Jeffrey Darrow Planning Director County of Hawaiʻi Planning Department 101 Pauahi Street, Suite 3 Hilo, HI 96720 Dear Director Darrow: Subject: Special Management Area Use Permit Application Applicant: BHG Aloha LLC dba Wild Ginger Hotel Proposed Project: 2-story, 30-room hotel complex with a café, swimming pool and lounge area on 69,485 square feet (1.60 acres) of land TMK: 2-6-002: 008 & 012; Puʻueo, South Hilo, Hawaiʻi On behalf of the owner of the above-described properties, BHG Aloha LLC, we present the accompanying Special Management Area Use Permit application that would, if approved, allow for the construction of a new 30-room hotel complex and related improvements upon the subject properties that once hosted the 38-room Wild Ginger Hotel for over 85 years before its destruction by fire in October 2025. We hope that you find this submittal in order. Should you have any questions or require additional information, please feel free to contact me. Thank you very much! Sincerely, Daryn Arai Land Use Planning Consultant Enclosures copy via email: Mr. Surinderjeet Singh, Managing Member, BHG Aloha LLC Mr. Robert Iopa, President, WCIT Architecture Mr. Bruce Meyers, Chairman, Okahara and Associates, Inc. Mr. Sidney Fuke, Planning Consultant SPECIAL MANAGEMENT AREA USE PERMIT APPLICATION BHG Aloha LLC Prepared by: Sidney Fuke Daryn Arai, LLC PO Box 1345 P.O. Box 4501 Hilo, HI 96721-1345 Hilo, HI 96720 July 2026 Prepared for dba Wild Ginger Hotel 1 | P a g e SUPPORTING INFORMATION REGARDING SPECIAL MANAGEMENT AREA (SMA) USE PERMIT APPLICATION FOR BHG Aloha LLC dba Wild Ginger Hotel Affecting Tax Map Keys: (3) 2-6-002: 008 & 012; Puʻueo, South Hilo A. DESCRIPTION OF PROPOSED ACTIVITY AND STATEMENT OF OBJECTIVES 1. Applicant’s Request and Statement of Objectives BHG Aloha LLC dba Wild Ginger Hotel, hereinafter described as the “Applicant” and the owner of the subject properties as described below, is proposing the construction of a new hotel complex as a revitalization of the properties that witnessed the destruction of the former Wild Ginger Hotel by fire on October 22, 2025. Since its destruction, the properties have been cordoned off and secured as the Applicant seeks proper guidance and approvals to commence with the restoration of the properties. 2. Location of Property The subject properties, consisting of approximately 69,485 square feet (1.60 acres) of combined land area according to Real Property Tax records, is located in the Puʻueo section of the City of Hilo, just north of the Wailuku River. The subject properties, identified as TMKs: 2-6-002: 008 and 012 and hereinafter referred to as “Project Site”, are situated along the makai side of Puueo Street approximately 370 feet north of its intersection of Ohai Street and Kou Lane and immediately south of Hilo Val Hala Apartment complex as shown on Figure 1 - Location Map and Figure 2 - Vicinity Map below. 3. Proposed Site Remediation Activities (see Figure 3 – Pre-Fire Site Map and Figure 4 – Pre- Fire Site Conditions) Due to the aftermath of the devastating fire that consumed most of the former 38-room Wild Ginger Hotel on October 22, 2025, the Applicant submitted an SMA Use Permit Assessment Application PL-SAA-2026-000345 to undertake the following tasks deemed necessary to first create a safe working environment and to proceed with the demolition of the remaining remnants of the former Wild Ginger Hotel complex and manage the overgrown site conditions within the subject properties. a. Removal of existing albizia trees – a number of older-growth albizia trees inhabit portions of the subject properties, posing a potential hazard to professionals who will be undertaking the proposed site remediation activities. These existing trees will be cut down and removed by professionals for proper disposal at the County’s greenwaste facility in Hilo or other approved locations. Care will be taken, to the extent reasonable and safe, to protect the adjoining Waipilopilo Stream during the tree removal process, possibly through: i. the installation of screens to catch smaller branches and leaves from falling into the stream ii. the use of tethering techniques to keep large cuttings from falling into the stream 2 | P a g e b. Demolition of remnants of Wild Ginger Hotel complex – professionals will be retained to carefully demolish the remnants of the Wild Ginger Hotel complex, its related features and utilities with all demolished material to be transported to proper recycling and disposal facilities. During the demolition process, the following best management practices will be deployed to mitigate any significant adverse effects during the demolition process: i. stabilize construction entrance/exit ii. staging area will utilize existing paved parking area iii. silt fences will be erected along lower areas of subject properties iv. filter fabric socks also to be deployed along lower areas as needed v. barriers will be erected along the top of the Waipilopilo Stream to keep construction/demolition debris from entering vi. existing storm drainage inlet protection will be provided, with primary efforts to keep all demolition debris out of storm drainage runoff areas vii. fuels to be stored off-site viii. promptly fixing all fuel or oil leak in construction equipment ix. maintaining proper spill kits on-site. x. Regular inspection and maintenance of BMPs c. Clearing of extensive vegetative overgrowth – concurrent with demolition activities, the Applicant will be removing the extensive overgrowth of vegetation from the subject properties, to be disposed of at the County’s greenwaste facility in Hilo or other approved locations. Figure 1 - Location Map 3 | P a g e Figure 2 – Vicinity Map Figure 3 –Pre-Fire Site Map 4 | P a g e Figure 4 –Pre-Fire Site Conditions 4. Proposed New Hotel Complex (see Figure 5 – Site Development Concept, Figure 6 – Bird’s Eye View and Exhibit A) Upon completion of demolition and clearing activities, the Applicant wishes to proceed with the construction of a new 30-room complex and the restoration of the Project Site as a hospitality destination that existed for over 85 years until the devastating fire in late 2025 that ceased all guest operations. The proposed new hotel will consist of the following elements: a. Proposed two-story, 30-guest unit hotel spread across five (5) separate building components as discussed below, with the approximate footprint and gross floor areas: i. Guest Building #1-10 units (ground area 2,155 square feet/4,210 gross floor area ii. Guest Building #2-10 units (ground area of 2,475 square feet/4,950 gross floor area iii. Guest Building #3-10 units (ground area of 2,155 square feet/4,210 gross floor area iv. 1-story front desk building fronting Puueo Street (950 square feet gross floor area) v. 1-story Café (1,395 square feet gross floor area) vi. Lounge and Pool Deck (4,120 square feet) / Pool (1,260 square feet) vii. 32-stall paved parking area to be situated along the northern boundary b. One of the foundations behind the design concept is to shift much of the proposed new hotel complex to the north and away from the previous hotel footprint, providing greater separation from the bank of the Waipilopilo Stream that runs through the southern portion of the Project Site. 5 | P a g e Figure 5 – Site Development Concept Figure 6 – Bird’s Eye View 6 | P a g e 5. Timeframe and cost The Applicant intends to promptly file for Plan Approval and secure the necessary building- related permits upon SMA approval, hopefully being able to commence construction within two (2) years and its completion within 3 years thereafter. Overall, the Applicant is hopeful that the new hotel will be open for business within five (5) years from approval of the requested SMA Permit. Total cost of this project, excluding the cost of initial site clearing and demolition, is in the vicinity of $10 to 12.5 million. B. DESCRIPTION OF ANTICIPATED IMPACTS ON THE SPECIAL MANAGEMENT AREA 1. Description of Subject Property and surrounding uses The subject properties, consisting of approximately 69,485 square feet (1.60 acres), are situated between Puueo Street along its mauka boundaries and the Hawaii Belt Road along its makai boundary. Waipilopilo Stream runs along the southern portion of the subject properties. Adjacent to the north is the Hilo Val Hala Apartment complex. The former Wild Ginger Hotel complex, and its associated features such as driveway entrance, parking lot and patio, as shown on Figure 4 – Pre-fire Site Conditions. A series of single-family dwellings are situated to the south of the Project Site along the opposite bank of the Waipilopilo Stream. The subject properties were developed as plantation housing for sugar workers between 1909 and 1911, and later converted into a hotel in the late 1930s known as Palm Terrace, then later renamed to the Wild Ginger Hotel with a total of 38 guests rooms. Of the original 38 rooms, many of these rooms were under maintenance due to neglect over the years and the current owners took on much needed renovations and maintenance to bring the number of rentable rooms to 28. The project area is also located within the boundaries of the historic Puʻueo District (State Inventory of Historic Places [SIHP] #50-10-35-07442, where historical records indicate that the Puʻueo area functioned as a residential community dating back to the late 18th century, with multiple residences and associated uses present in the early 1900s. Today, this particular section of Hilo presents an established residential and commercial community consisting of single- and multiple-family residential complexes, personal services and limited commercial retail establishments. 2. FIRM Zone “X" – The subject properties are situated within Zone “X”, determined to be outside the 500-year flood plain. Due to the location of the subject properties along the mauka side of the Hawaii Belt Road, the subject properties are not expected to be impacted by coastal flooding or the effects of sea level rise within the next 75 years. 3. Flora/Fauna Resources Due to the location of Waipilopilo Stream in the along the southern boundary of the subject properties, the Applicant commissioned a biological reconnaissance survey by Geometrician Associates, LLC in June 2026, a copy of which is attached to this application as Exhibit B. 7 | P a g e The reconnaissance-level biological survey include transects through the property spaced at intervals adequate to achieve full visual coverage for the taxa of concern, describe the general vegetation and its main species components, and list all native plants, birds, mammals, mollusks, crustaceans, reptiles, fish, and amphibians encountered. The primary purpose was to determine the value of the properties as habitat for native species and any mitigation measures necessary to avoid or minimize adverse impacts to these native species, if found. In summary, the reconnaissance survey found that the subject properties have been heavily disturbed by its development and use for hotel purposes. The survey only identified three (3) native plant species, one example of the endemic ʻōhiʻa that was clearly planted and in good health; with the other two being the somewhat weedy sedge pycreus (Cyperus polystachyos) and the subshrub popolo (Solanum americanum). Both are extremely common in the Hawaiian islands and in many tropical areas. As far as terrestrial fauna is concern, no native birds were observed. Native birds most likely to occasionally be present is the black-crowned night-heron (ʻaukuʻu), a water bird that could be attracted to the stream, but would find it difficult to access due to the very dense cover of vegetation. The endemic Hawaiian hawk may utilize the subject properties, although the study concluded that the properties are likely far too urban to have hawk nests. The limited aquatic properties of the properties would make it very unlikely habitat for a number of endangered Hawaiian waterbird species. The only mammal identified during the survey was the mongoose. While the native and endangered Hawaiian hoary bat does frequent the general area and also found in almost every location on the island, no bat was identified during a dark visual survey. While an invertebrate survey was not undertaken, rare native invertebrates then to be associated with native vegetation, which is absent on the subject properties and thereby make it unlikely that such invertebrates are present. The reconnaissance of Waipilopilo Stream was not a systematic survey but an informal observation to determine if native aquatic fauna or important habitat was present. Various species of native fish and crustaceans have been detected during professional aquatic surveys of nearby Wailuku River, which identified several species of native gobies or oʻopu, native crustaceans such as ʻopae, and native mollusks such as hihiwai. Comparatively, Waipilopilo Stream was found to be so minor as to not be considered in the comprehensive atlas. Therefore, several factors indicate very little potential for significant native aquatic fauna. A long-term detailed survey would be necessary to get a full inventory of the stream fauna, but in general, it would appear that this stream does not currently offer important, prime habitat for native aquatic fauna. In summary, the reconnaissance survey concludes that no native vegetation or rare, threatened or endangered plant species are present within the subject properties. Clearing of the property would destroy a few individuals of native plants but have no effect on their general status nor alter a sensitive native ecosystem. 8 | P a g e In order to avoid impacts to the endangered but regionally widespread terrestrial vertebrates listed above, the study recommends that any future development commit to several conditions that the Applicant will abide by: • Construction should refrain to the extent prudent and feasible from activities that disturb or remove shrubs or trees taller than 15 feet between June 1 and September 15, when Hawaiian hoary bats may be sensitive to disturbance. It is understood that several albizia trees pose an imminent threat to human life and safety and there may be an overriding need to remove these trees during this period. • If land clearing occurs between the months of March and September, inclusive, a pre- construction hawk nest search by a qualified ornithologist using standard methods should be conducted. If Hawaiian hawk nests are present, no tree cutting or land clearing should be allowed until October, when hawk nestlings will have fledged. • If nēnē or threatened or endangered Hawaiian waterfowl are observed resting or feeding on the site during clearing or construction, activity should cease and DLNR- DOFAW should be contacted for advice. • All exterior lighting should be shielded from shining upward, in conformance with Hawai‘i County Code § 14–50 et seq., to minimize the potential for seabird disorientation. Any development should utilize blue-deficient lighting such as filtered LED lights or amber LED lights, with a Correlated Color Temperature (CCT) of 2700 Kelvin or less, which promotes dark skies and minimizes impacts to seabirds. • Avoid any development on the stream or its banks, as well as diligent incorporation of BMPs that should be prepared by engineers to avoid erosion and sedimentation in the vicinity of the stream. This will minimize the degradation of water quality and impacts to fish and wildlife resources. • To minimize the spread of invasive species, particularly little fire ants and coqui frogs, a biosecurity plan specifying requirements for construction contractors to clean equipment prior to leaving the Hilo area should be instituted in order to reduce the spread of these species. 4. Archaeological Resources No archaeological surveys were conducted on the subject properties due to its development as plantation housing for sugar workers between 1909 and 1911, and later converted into a hotel in the late 1930s that continued until its destruction by fire in October 2025. The extent of historical development and use of the subject properties for over two centuries makes it highly unlikely that any archaeological or cultural artifacts exist. However, 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 or site clearing work, the Applicant will cease work in the immediate vicinity of the find, protect the find from additional disturbance and contact the State Historic Preservation Division. The Applicant acknowledges that subsequent work can only proceed upon an archaeological clearance from DLNR-SHPD when it finds that sufficient mitigation measures have been taken. 9 | P a g e 5. Cultural or Native Gathering Rights According to the Applicant, there are no known customary or Native Hawaiian cultural rights exercised within the subject properties given its limited natural resources and also considering its use as a housing or guest accommodation facility for over 117 years. 6. Public Access The Project Site does not provide a means of direct access to the shoreline nor is it located in an area that provides direct access to any forest areas. While Waipilopilo Stream runs through and long the southern boundary of the subject properties, the stream itself will not be altered as part of the proposed project. C. RELATIONSHIP OF THE PROPOSED ACTION TO LAND USE PLANS, POLICIES AND CONTROLS 1. State Land Use Designation: Urban (see Figure 7–State Land Use) The Project Site is situated within an area designated for Urban uses (pink color) by the State Land Use Commission. Figure 7 – State Land Use 2. General Plan 2045: Medium Density Urban (see Figure 8–General Plan 2045 Land Use Map) The County of Hawaiʻi General Plan 2045 is the policy document for the long-range comprehensive development of the island of Hawaiʻi. The General Plan Land Use Pattern Allocation Guide (LUPAG) map suggests this area of Puʻueo for Medium Density Urban uses that could support village and neighborhood commercial, light service industrial, and single- family and multiple-family residential uses and related functions including TODs or 10 | P a g e Traditional Neighborhood Development (TND). Compatible zoning may include CV, CN, PD, RM, RD, RS. While the Project Site’s current Resort-Hotel (V-.75) zoning is not deemed compatible with the current GPLU Map designation for Medium Density Urban use, the overall scale of the proposed hotel project, at only 30 units, will fit in well with the surrounding Puʻueo community that consists of a number of apartment complexes such as the adjoining 103- unit Hilo Val Hala Apartment complex, but also keeping in mind the over 85-year history of the former 38-room Wild Ginger Hotel before its destruction by fire in late 2025. Figure 8 – General Plan 2045 Land Use Map 3. Hilo Community Development Plan The Hilo Community Development Plan (HCDP), adopted in 1975, recommends that the lands to the west along the Wailuku River be rezoned from Resort Hotel (V-.75) to Multiple Family Residential (RM). The reason for this recommendation is based on the finding that: “The Puueo shore area is desirable for hotel development because of the attractive views across Hilo Bay and the proximity to downtown (both for the convenience of visitors and to assist in revitalization of downtown). This area is 11 | P a g e currently zoned for resort use but is being developed with multi-family residential. It is unfortunate that this multi-family development may pre-empt potential hotel sites for which there will be demand in the future. This plan recommends that the resort zoning be retained (except for the small wedge of resort-zoned land adjacent to Wailuku River) in order to encourage hotel development. The strip of resort-zoned land along Wailuku River is too small for proper resort development, especially for high-rise buildings, and should be rezoned to RM 4. In addition to potential hotel sites being pre-empted by multi-family development, the high density character for such development is likely to overload this infrastructure and public facilities designed for this area. In order to mitigate this problem and still encourage one or a few hotels being developed, it was recommended in a previous section of this report that the zoning ordinance be revised, requiring a lower density multi-family use in the resort zone than is now allowed.” More specifically, the HCDP recommends that the Project Site retain its existing Resort- Hotel zoning designation in alignment with its recommendation that “Future hotel development should take place in the Waiakea Peninsula, Waiakea Pond, Downtown and Puueo areas.” Specific parcels to the south along the Wailuku River and to the north are recommended for reclassification to the Multiple-Family Residential (RM) zoning. 4. Current County Zoning: Resort-Hotel-750sf of land area per unit (V-.75) The Project Site is situated within an area designated for Resort-Hotel (V-.75) uses (pink color) by the County Zoning Code. (see Figure 9 - Current Area Zoning) Figure 9 – Current Area Zoning 12 | P a g e 5. Coastal Zone Management, HRS, Chapter 205A The entire State of Hawaiʻi lies within the Coastal Zone Management area. The intent of the Coastal Zone Management Program is to guide and regulate public and private uses in the coastal zone management area with respect to recreational resources, historic resources, public access to the shoreline, scenic and open space resources, coastal ecosystems, marine resources, economic uses, coastal hazards, managing development, public participation, and beach protection. 6. Special Management Area (SMA) The Special Management Area (SMA) is a part of the Coastal Zone Management Program that is regulated by the County, established to promote the State’s policy to preserve, protect, and where possible, to restore the natural resources of the coastal zone of Hawaiʻi. Therefore, special controls on development within the area along the shoreline are necessary to avoid permanent loss of valuable resources and the foreclosure of management options, and to ensure that adequate public access is provided to public- owned or used beaches, recreation areas, and natural reserves, by dedication or other means. The Project Site is situated within the SMA due to its proximity to the coastal area of Hilo. An SMA Use Permit is required from the Windward Planning Commission in order to support the proposed development of the new Wild Ginger Hotel complex. D. PUBLIC UTILITIES AND SERVICES 1. Access: Access to the subject property is from Puueo Street, a County-maintained, two-lane roadway. Within the Project Site, access to the proposed parking area will be provided by an internal paved driveway. 2. Water County water is available to support the proposed project. 3. Wastewater The Project Site can be served by the County’s municipal sewer system, with all wastewater pumped to the County’s Hilo wastewater treatment system. The Applicant understands that a 10-inch sewer line runs along Puueo Street directly fronting the subject properties. There is also a sewer line makai of the Project Site along Highway 19. The Applicant will likely be required to prepare a sewer capacity study for review and approval by the Department of Environmental Management that will ultimately determine where and how to connect the proposed Wild Ginger Hotel to the County’s sewer system. 4. Solid Waste Solid waste will be handled through commercial haulers or disposal by the landowner into authorized landfill sites or transfer stations. 5. Essential Utilities and Services Other utilities, such as electrical, cable and telephone services, will be made available to the project site. 13 | P a g e E. OBJECTIVES AND POLICIES OF CHAPTER 205A AND SMA GUIDELINES The purpose of Chapter 205A-26, Hawaiʻi Revised Statutes (HRS) and Rule 9 of the Planning Commission Rules of Practice and Procedure, is to preserve, protect, and where possible, to restore the natural resources of the coastal zone areas. Therefore, special controls on development within an area along the shoreline are necessary to avoid permanent loss of valuable resources and the foreclosure of management options. The objectives and policies of Chapter 205A-26, HRS and Rule 9-10(h) include, but are not limited to, the protection of coastal recreational resources, historic resources, scenic and open space resources, coastal ecosystems, marine resources, beaches, and controlling development in coastal hazard areas. The proposed project has been reviewed in accordance with the objectives and policies of the Coastal Zone Management Act, Chapter 205A, Hawaiʻi Revised Statutes (HRS), including the Special Management Area (SMA) guidelines set forth under HRS §205A-26, and Rule No. 9 of the County of Hawaiʻi Planning Commission Rules of Practice and Procedure. The following provides an evaluation of the proposed project’s consistency with applicable resource categories: 1. Recreational resources Given its location away from the coastline along the mauka side of the state highway, the Project Site is not identified as a formal recreational area and is not designated for public recreational use. The adjoining Waipilopilo Stream does not afford any recreational opportunities due to its densely vegetated condition. The properties have been utilized for employee and guest accommodations for over a century. Recreational resources in the vicinity are primarily associated with the Wailuku River corridor and nearby infrastructure such as the Wailuku River Bridge (“Singing Bridge”), which provides visual access and opportunities for passive recreational uses such as sightseeing. The proposed development will not impede public access to these resources, as no formal access points are located within the subject parcels. The project is therefore not anticipated to adversely impact recreational resources 2. Historic resources The Project Site is located within the historic Puʻueo District. With a history that spans over 117 years, the Project Site and its former Wild Ginger Hotel was a significant part of that history until is unfortunate destruction in late 2025. The proposed new Wild Ginger Hotel will occupy areas within the Project Site that have been previously altered in support of the previous hotel operations. The State Historic Preservation Division will be notified and all work shall immediately cease should inadvertent discovery of any archaeological feature be encountered during the construction of the new hotel complex. 3. Scenic and Open Space resources The Project Site has not formally identified as an area of natural beauty by the General Plan 2045 and is tucked between two public roadways and within a well-established residential community. The nearest area of scenic beauty and an open space resource is the Wailuku River corridor. The Project Site lies roughly 270 feet north of the Wailuku River and presents a 14 | P a g e proposal 2-story hotel complex of similar scale to the former Wild Ginger Hotel that will consist of low-rise, distributed structures that are compatible with the surrounding urban context and will not obstruct major public view corridors or scenic vistas associated with the river. The proposed project will maintain significant amounts of open space through its site layout and does not involve large-scale massing that would dominate the landscape. As such, the proposed project is consistent with policies to protect scenic and open space resources. 4. Coastal ecosystems and Marine Resources The subject properties do not have direct shoreline frontage and has been previously disturbed. Nor does it contain any sensitive coastal ecosystems such as wetlands. While the adjoining Waipilopilo Stream is not defined as a wetland due to its intermittent nature, none of the proposed project components will affect the stream or its banks. The Applicant will comply with all applicable government regulations and deploy appropriate best management practices to mitigate any potential effects associated with site clearing and construction activities upon coastal resources or the adjoining Waipilopilo Stream. Pool maintenance, including filter backwash and pool draining, will be discharged only to the approved sanitary sewer or other disposal method(s) approved by the Department of Health. Chlorinated pool water will not be discharged to storm drains, drainageways, streams, or coastal waters. Therefore, the proposed project, implementing best management practices and conforming to applicable government regulations during construction and operations, will be consistent with policies to protect coastal ecosystems and water quality. 5. Economic uses The construction of the new Wild Ginger Hotel will restore guest accommodations upon properties that hosted such accommodations for over 85 years. The “re-birth” of the Wild Ginger Hotel will rely on a host of skilled craftsmen throughout its construction and eventually, the employees who will welcome both residents and visitors alike to its new accommodations while also experiencing the many activities, experiences and opportunities that exist in the City of Hilo. 6. Coastal hazards The subject properties are not subject to coastal flooding nor within any other FEMA- designated flood zone and is therefore not directly exposed to coastal erosion or marine inundation. While Waipilopilo Stream is an intermittent stream and not known as a flooding hazard, the proposed project and its hotel structures will be situated further north and away from the stream when compared with its previous location. With these considerations, the proposed project is consistent with policies related to hazard mitigation and the protection of life and property. 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. The Applicant has not witnessed or encountered any activities that would recognize the subject properties as being host to any valued cultural, historical, and 15 | P a g e natural resources. As mentioned, these properties have been utilized as employee and guest housing for over 117 years. The Applicant understands that should they inadvertently encounter any remains of historic sites, such as rock walls, terraces, platforms, marine shell concentrations or human burials, all work in the immediate area will cease and the Department of Land and Natural Resources-State Historic Preservation Division (DLNR-HPD) immediately contacted, resuming activities only upon securing archaeological clearance from DLNR-HPD when it finds that sufficient mitigation measures have been taken. In the absence of any evidence of traditional or customary Native Hawaiian rights being practiced on the subject properties and the existence of any known valued cultural, historical or native resources, the Applicant believe that the proposed project would have no adverse impact relative to the cultural and historical resources of the area. Based on the above findings, the Applicant maintains that the proposed construction of the new Wild Ginger Hotel and its related facilities as presented within this application will not have any substantial adverse impacts on the surrounding area, nor will its approval be contrary to the objectives and policies of Chapter 205A, HRS, relating to Coastal Zone Management and Rule No. 9 of the Planning Commission relating to the Special Management Area. F. ANTICIPATED EFFECTS UPON THE SPECIAL MANAGEMENT AREA 1. Relationship of proposed action to land use plans, policies and control a. Zoning The subject properties are situated within the State Land Use Urban District and zoned for Resort-Hotel (V-.75) uses. The V (Resort-Hotel) zoning district applies to areas that accommodate the needs and desires of visitors, tourists and transient guests. It applies to specific areas where public roads and public utilities are available or where suitable alternate private facilities are assured. It may apply to a single isolated hotel or resort with or without a commercial mall or shopping section. In this case, the proposed new 30- room hotel is to replace the recent destruction of the former 38-room Wild Ginger Hotel that was host to visitors for over 85 years. b. Hilo Community Development Plan The Hilo Community Development Plan (HCDP), adopted in 1975, recommends that the Project Site retain its existing Resort-Hotel zoning designation in alignment with its recommendation that “Future hotel development should take place in the Waiakea Peninsula, Waiakea Pond, Downtown and Puueo areas.” c. General Plan 2045 The General Plan 2045 Land Use (GPLU) Map, adopted into law in June 2026, retains the Medium Density Urban use designation for the subject properties from the 2005 General Plan. The Medium Density Urban designation allows for village and neighborhood commercial, single-family and multiple-family residential uses and related functions. The General Plan 2045 presents four (4) overarching goals, each with relevant Objectives, Policies, and Actions. Standards or guidelines were also introduced for some of those 16 | P a g e goals. Below is a detailed discussion regarding the proposed project’s compliance with the pertinent provisions of the General Plan 2045: 1) Collaborative Biocultural Stewardship This Goal seeks assurance that natural and cultural resources are “thriving and sustainably managed, preserved, and restored to maintain our unique and diverse environment.” The five (5) Objectives (Objectives 1 to 5), in summary or excerpts, are (1) increase the biodiversity and resilience of native habitats; (2) apply Native Hawaiian ahupuaʻa framework to preserve and enhance health and function of watersheds to promote water recharge, improve water quality, and reduce runoff; (3) increase direct community restoration and collaborative efforts to conserve and nourish the island’s biocultural resources; (4) protect, restore and treat as unique assets the historical integrity, character, scenic assets and open spaces of our communities; and (5) protect, restore and enhance our communities’ unique character The Project Site has hosted employee housing for sugar plantation workers and later as visitor accommodations for over 117 years. A biological reconnaissance survey of the subject properties conclude that no native vegetation or rare, threatened or endangered plant species are present within the subject properties. Clearing of the overgrown property would destroy a few individuals of native plants but have no effect on their general status nor alter a sensitive native ecosystem. The Applicant is taking the opportunity to relocate the new hotel structures to the northern portion of the Project Site, away from the Waipilopilo Stream that runs through the southern portion of the Project Site in an effort to increase the physical buffer from the banks of this river. The Applicant will also utilize, to the extent practicable, native Hawaiian plants within its landscaping. Overall, the proposed Wild Ginger Hotel will compliment the objectives of biocultural stewardship goal by maintaining the basic overall scale and type of use associated with the former Wild Ginger Hotel while taking specific opportunities to enhance this Project Site by presenting a thoughtful design concept that enhances the physical distance from the stream while complimenting the character that has long been a part of this particular section of Puʻueo. 2) Climate Change For Island-Wide Health This Goal seeks “a just transition to a climate resilient island by addressing the causes and impacts of climate change through incorporating equitable climate mitigation and adaptation priorities into policies, programs, infrastructure, and decision-making.” The Goal and Objectives here are more applicable to government. However, the Applicant will do its part by providing electric vehicle charging stations within the required parking area and supplementing its energy needs via renewable energy systems, such as solar and/or heat pumps. While the destruction of the former hotel complex was very unfortunate, it was also very inefficient from an energy-saving standpoint given that the original hotel was constructed about 117 years ago. The 17 | P a g e new hotel complex will be constructed to current building code requirements with proper energy-saving features. 3) Sustainable Development and Resilient Communities The land use objectives specified within this goal are not directly applicable to the proposed action as the request seeks approval to restore a hotel that existed on the Project Site for the past 85 years as permitted by its current Resort-Hotel (V-.75) zoning. 4) Thriving, Diverse, and Regenerative Economy This particular Goal seeks on “improv(ing) and maintain(ing) the financial well-being of our residents with a focus on increasing local economic opportunities.” The General Plan recognizes the challenges facing the visitor industry, from limited career advancement opportunities to the proper location of visitor accommodations and the types of visitor experiences and levels of visitor satisfaction. A specific goal for the visitor industry defines “a high quality of life for residents is maintained when a regenerative visitor industry balances the preservation of natural and cultural resources with responsible visitation.” While the destruction of the former Wild Ginger Hotel was devastating, the proposed construction of the new hotel complex does open up wonderful opportunities to reinterpreting the guest experiences at this particular property within historic Puʻueo. While the former Wild Ginger Hotel was promoted as an “old Hawaii”-style accommodation, the new hotel will focus on the rejuvenated properties as well as the unique character of Puʻueo and the vibrant opportunities that reside in nearby Hilo town. 2. Description of how project will affect area and surrounding lands and applied mitigation measures The Applicant is not aware of any significant adverse impacts to the Project Site, neighboring properties or the coastal zone should this request be approved. The Project Site was home to the former 38-room Wild Ginger Hotel for over 85 years, being an important and established part of the Puʻueo community. The proposed 30-room hotel will be moderately smaller than its former namesake and adjusted away from the banks of the Waipilopilo Stream while maintaining the overall basic scale as a two-story hotel complex. The Project Site is serviced by the County’s sewer system and County water is similarly available to support the proposed hotel operations. The Applicant and its engineers will work closely with the County to ensure that a proper runoff retention system, such as drywells within the parking area, are provided. Pool maintenance, including filter backwash and pool draining, will be discharged only to the approved sanitary sewer or other disposal method(s) approved by the Department of Health. Chlorinated pool water will not be discharged to storm drains, drainageways, streams, or coastal waters. 18 | P a g e During construction, the Applicant will deploy best management practices to ensure that dust, runoff and sedimentation caused by redevelopment of the properties are contained to avoid impacting neighboring properties, the adjoining Waipilopilo Stream and the distant shoreline areas. The Applicant will apply for grubbing and grading permits, as deemed necessary, that will provide governmental oversight of any proposed land alteration activities to manage erosion and sedimentation as well as implement necessary stormwater controls. The Applicant will also adhere to the recommendations of the biological reconnaissance survey conducted by Geometrician Associates, LLC in June 2026. The reconnaissance survey concludes that no native vegetation or rare, threatened or endangered plant species are present within the subject properties and that clearing of the Project Site would destroy a few individuals of native plants but have no effect on their general status nor alter a sensitive native ecosystem. Nevertheless, the Applicant will adhere to the recommendations of the survey report regarding specific mitigating actions to avoid impacts to the endangered but regionally widespread Hawaiian hoary bat and the endemic Hawaiian hawk. Other mitigating actions include shielding of exterior lighting to minimize impacts to seabirds and avoiding any development on Waipilopilo Stream or its banks, as well as diligent incorporation of BMPs that should be prepared by engineers to avoid erosion and sedimentation in the vicinity of the stream to minimize the degradation of water quality and impacts to fish and wildlife resources. Finally, to minimize the spread of invasive species, particularly little fire ants and coqui frogs, a biosecurity plan specifying requirements for construction contractors to clean equipment prior to leaving the Hilo area will be instituted in order to reduce the spread of these species. 3. Alternatives to the proposed project Alternatives to the proposed project is to leave the property undeveloped or to construct a single-family dwelling or a multiple-family residential complex. There are various uses and activities permitted within the Resort-Hotel zoning district, many of which may introduce must higher levels of impact upon adjoining and surrounding properties. There are no reasonable alternatives to the proposed project. The purpose of the SMA is to ensure that development will not have a substantial adverse effect upon coastal resources, and the Applicant believes that the overall scope and nature of the proposed project that presents a similar use that once existed as recently as 9 months ago and endured over the course of more than 85 years. While the Applicant could consider further reducing the overall scale of the proposed hotel project or simply leaving the subject properties undeveloped, it is financially and economically unreasonable given the location of the Project Site within a dense urban environment that existed for more than a century and is served by essential public utilities, facilities and services that will support the proposed project in a manner that will not be detrimental to coastal resources, surrounding properties or the character of this particular section of Puʻueo. 19 | P a g e 4. Irreversible and irretrievable commitment of resources As discussed throughout this report, the Applicant is not able to identify any irreversible or irretrievable commitment of cultural, historical, recreational or ecological resources as a result of the approval of this SMA Permit application in support of the proposed 30-room Wild Ginger Hotel. The location of the Project Site within the established urban community of Puʻueo and its development and use as accommodations for both residents and visitors for over 117 years has demonstrated the appropriateness of restoring the Project Site to the manner it once was, an important community resource within Puʻueo that was shared by both resident and visitor alike. G. CONCLUSION Based on the discussion above, the Applicant finds that approval of an SMA Use Permit to allow for the construction and establishment of the proposed 30-unit hotel complex and related improvements on the subject properties will conform to the goals, policies and standards of the General Plan and will not have a significant adverse impact upon coastal resources; and would result in an appropriate land use pattern that will further the public necessity and convenience and the general welfare. HILO, HAWAI‘I APRIL 28, 2026 WILD GINGER E EXHIBIT A 04.28.2026 16 64 FT032 SCALE: 1” = 32’ WILD GINGER SITEPLAN waipilopilo stream existing hotel footprint 04.28.2026 16 64 FT032 SCALE: 1” = 32’ WILD GINGER SITEPLAN, FOOPRINT COMPARISON pool lounge deck luxury units2 stories existing hotel footprint waipilopilo stream standard units2 stories standard units2 stories cafe @ basement drop off & entry 32 stalls front desk 04.28.2026 WILD GINGER BIRD’S EYE VIEW 04.28.2026 WILD GINGER PU‘UEO STREET VIEW, PROPOSED 04.28.2026 WILD GINGER PU‘UEO STREET ELEVATION 04.28.2026 WILD GINGER NORTH ELEVATION 04.28.2026 WILD GINGER ARRIVAL 04.28.2026 WILD GINGER AMENITIES Biological Reconnaissance Survey of Wild Ginger Hotel Property Hilo, Island of Hawai‘i By Ron Terry, Ph.D., and Patrick J. Hart, Ph.D. Geometrician Associates, LLC June 2026 Introduction This biological survey concerns a 1.6-acre property comprised of TMKs 3-2-6-002:008 and 012 that contains the Wild Ginger Hotel and its grounds. The hotel recently suffered a devastating fire but is planned for redevelopment. The site consists of the hotel remnants, landscaped grounds, weedy areas, and a section of Waipilopilo Stream, which is on the southern edge of the properties. Surinderjeet Singh, the Managing Member of Wild Ginger Hotel, requested our firm to conduct a reconnaissance-level biological survey of the property that would include transects through the property spaced at intervals adequate to achieve full visual coverage for the taxa of concern, describe the general vegetation and its main species components, and list all native plants, birds, mammals, mollusks, crustaceans, reptiles, fish, and amphibians encountered. The primary purpose was to determine the value of the property as habitat for native species and any mitigation measures necessary to avoid or minimize adverse impacts to these. Vegetation Type and Influences The climate in the area is mild and moist, with an average annual rainfall of about 142 inches and a mean annual temperature of approximately 75 degrees Fahrenheit (UH Hilo- Geography 1998:57). Geologically, the property is located on the extreme southeastern flank of Mauna Kea Volcano. The surface consists of ancient Pahala Ash deposits older than 10,000 years, which overlie Hamakua Volcanic series lava flows older than 65,000 years (Wolfe and Morris 1996). The soil at the property is classified as Hilo silty loam, a deep, fertile soil found on weathered Pahala Ash (U.S. Soil Conservation Service 1973). The natural vegetation of similar sites in the coastal lowland rainforests of South Hilo is dominated by ‘ōhi‘a (Metrosideros polymorpha), uluhe (Dicranopteris linearis), hala (Pandanus tectorius) and a wide variety of native trees (Gagne and Cuddihy 1990). In areas such as Hilo, where the vegetation reflects centuries of traditional agriculture, then plantation agriculture, and then urban development, this original community has been fully destroyed or heavily degraded. The Pu‘ueo area has been utilized for residential development since the late 1800s. The Wild Ginger Inn (historically known as the Palm Terrace) in Hilo was built between 1909 and 1911 as a housing facility for sugar plantation workers. It was later converted to an inn in the late 1930s and eventually renamed. EXHIBIT B Biological Reconnaissance Survey of Wild Ginger Hotel Property Page 2 Field Methodology The property was surveyed on June 9, 2026 by viewing from the sides, utilizing wandering transects in areas that were not too hazardous from fire damage, trash and debris to walk, and a traverse up Waipilopilo Stream as feasible, given the vegetation, topography and debris. We also surveyed the stream at another location outside the property that was more accessible and safe. Plant species were identified in the field and, as necessary, collected and keyed out in the laboratory. All bird species were identified in the field using 10X42 power binoculars or listening for bird songs and calls. The survey took place during the hawk nesting season, and recorded hawk calls were broadcast at several locations to try to elicit challenge responses if any hawks were nesting on or near the property. Findings: Vegetation The property’s vegetation was a secondary growth of non-native plants on a landscape that had clearly been heavily disturbed and utilized for hotel purposes (see photos in Figure 2). Only three species of native plants were present, and no stands of native trees that would reflect remnant natural vegetation. Dominant tree species were all non-native and included Moluccan albizia (several very large, hazardous specimens are present), octopus tree, gunpowder tree, bingabing, kukui and African tulip tree. Fruit trees were common, including ulu, banana, common guava, papaya, lychee, and Surinam cherry. Several varieties of palm trees dotted the property, including Alexandra palm, manila palm, Bismarck palm, rhapis palm and coconut. Only one individual of one species of native tree, ‘ōhi‘a, was present. It had clearly been planted and was remarkably healthy considering what had been occurring on the property. Many ornamental plants including massengeana, heliconia, begonia, bird of paradise, red ginger, pink ginger, plumeria, pink bauhinia, ti and croton had been planted and were thriving. A variety of non-native shrubs, herbs, grasses and vines were also present, including Guinea grass, California grass, Bermuda grass, Vasey grass, molasses grass, crabgrass, Hilo grass, torpedo grass, basket grass, Carolina lovegrass and various bamboos; the aroids taro and pothos; the herbs ageratum, honohono and Spanish clover; and the vines pilau maile, wedelia and blue thunbergia. Two somewhat weedy indigenous plants were present, the sedge pycreus (Cyperus polystachyos) and the subshrub popolo (Solanum americanum). Both are extremely common in the Hawaiian islands and in many tropical areas. Several species of non-native ferns were present, including maile-scented fern, Australian tree fern, hare’s foot fern and warabi, which dominated much of the property. The stream was densely flanked and fully covered by warabi in many areas. Findings: Flora and Rare, Threatened or Endangered Species As discussed above, only three native plant species were present. Two of them are classified as indigenous (found in Hawai‘i as well as other locations). The only endemic (restricted to Hawai‘i) was the planted ‘ōhi‘a. No listed, candidate or proposed endangered plant species (USFWS 2026) were observed, and it appears unlikely that any are present. No existing or proposed federally designated critical habitat for plants (or animals) is present on or near the property. In terms of conservation value, no botanical resources requiring special protection are present. Biological Reconnaissance Survey of Wild Ginger Hotel Property Page 3 Findings: Terrestrial Fauna Fauna on the property was determined by observations made during the botanical survey, during a bird observation period at dusk, and also by comparing findings from nearby areas with similar habitat. A few very common non-native birds were present, including cattle egret, common myna, warbling white-eye, and northern cardinal, among others. No native birds were observed. Repeated observations would undoubtedly reveal many more species of birds. The native bird most likely to occasionally be present is the black- crowned night-heron (‘auku‘u; Nycticorax nycticorax hoactli), an indigenous waterbird that could be attracted to the stream. However, the stream is so densely covered by vegetation that it might be difficult for this bird to access it. The property may also be utilized by the endemic Hawaiian hawk (Buteo solitarius), listed by the State as endangered. Hawaiian hawks generally prefer ‘ōhi‘a forest habitat but are known to breed successfully in both native and non-native forests. They occur throughout the island of Hawai‘i from sea level to 8,530 feet in elevation. Hawks often forage in forests near agricultural tracts and nest in tall trees of a variety of species. Most nesting occurs in tall native ‘ōhi‘a trees, although hawks may also nest in non-native trees, including eucalyptus, ironwood, mango, coconut palm and macadamia. Nest construction is protracted, beginning up to two months before the first egg is laid and continuing into the nestling period. Egg-laying generally occurs from March to June, and fledging from July to September. Both sexes contribute to nest-building. Both sexes incubate but females perform most of the brooding of nestlings, while males provide most of the food to chicks and female. Both adults feed fledglings, which are dependent on adults for up to nine months. Hawks are vulnerable to disturbance during the nesting season from March 1 to September 30 of each year. No hawks reacted to repeated challenge calls played back on loudspeakers and none were observed during site reconnaissance. The property is likely far too urban to have hawk nests. Aside from the hawk, it is unlikely that any other native forest bird would make much use of the property because of its relatively low elevation and lack of native plants. Bird survey work documented in Spiegel et al (2006) indicates a limited presence in lowland forests of the native Hawai’i ‘amakihi (Chlorodrepanis virens virens). Some populations of this native honeycreeper appear to have adapted to the mosquito-borne diseases of the Hawaiian lowlands. However, they are significantly associated with ‘ōhi‘a forest, which is lacking in and around the property. Endangered waterbirds such as the Hawaiian coot (‘alae ke‘oke‘o; Fulica alae), Hawaiian moorhen (‘alae ‘ula; Gallinula chloropus sandvicensis), and Hawaiian duck (koloa maoli; Anas wyvilliana) can be found in open water other areas in Hilo, particularly Loko‘aka Pond, about three miles feet to the east. These listed species are extremely unlikely to utilize the property due to the very limited nature of the aquatic habitat, with no open water larger than a bathtub. There is also a very low potential for the Hawaiian goose or nēnē (Branta sandvicensis) to land and especially nest on the property. Nēnē have become very common on many Hawaiian islands and can be found at elevations ranging from sea level to sub-alpine areas above 7,000 feet. Historically, flocks moved between high-elevation feeding habitats and lowland nesting areas. Nests consist of a shallow scrape lined with plant material and down. Breeding pairs usually Biological Reconnaissance Survey of Wild Ginger Hotel Property Page 4 return to the previous year’s nest site, typically in dense vegetation. Nēnē have an extended breeding season, and nesting may occur in all months except May, June, and July. No signs of nēnē were observed during the surveys. Although they would rarely if ever be visible, several listed seabirds may overfly the Hilo area between the months of May and November, including the endangered Hawaiian petrel (Pterodroma sandwichensis), the endangered band-rumped storm petrel (Oceanodroma castro), and the threatened Newell’s shearwater (Puffinus auricularis newelli). These seabirds hunt over the ocean during the day and fly to higher elevations at night to nest. The nesting range of the Hawaiian petrel within recent historic times been reduced to relict breeding colonies located at high elevations on the island’s volcanoes. The band-rumped storm petrel is uncommon on the Big Island and nests well above 5,000 feet in elevation. Once abundant on all the main Hawaiian islands, most Newell’s shearwater colonies today are found in the steep terrain between 500 to 2,300 feet on Kaua‘i. Although each of these seabird species may fly over Hilo on their way to and from mountain nesting areas and the open ocean, no suitable nesting habitat for any of them is present on the property. The primary cause of mortality in these seabird species in Hawai‘i is predation by alien mammals at the nesting colonies. Collision with man‐made structures is another significant cause. Seabirds flying at night, especially fledglings on their way to sea in the summer and fall, can become disoriented by exterior lighting. Disoriented seabirds may then collide with manmade structures and, if not killed outright, become easy targets of predatory mammals including cats and mongooses. Various mammals would be expected on the property, including small Indian mongoose, mice, rats cats, feral pigs, and domestic dogs. None of these alien mammals have conservation value and all are deleterious to native flora and fauna. During the survey, only the mongoose was observed. The only native Hawaiian land mammal is the endangered Hawaiian hoary bat (Lasiurus cinereus semotus). It is presumed to be present in the general area as it is found in almost every location on the island of Hawai‘i. As the bats are solitary, cryptic and nocturnal, they are difficult to spot without specialized sonar or radar surveys. We have previously observed bats on the nearby Pu‘ueo Street Bridge over the Wailuku River and also offshore of the Kaipalaoa Lighthouse, and so we conducted a dusk visual survey, in which bat were not detected. However, they undoubtedly forage for flying insects in the area on a seasonal basis and may also roost in trees and large shrubs on or near the property. These bats are vulnerable during their summer nesting period, when mother bats and their pups may be unable to flee disturbance. There are no native terrestrial reptiles or amphibians in Hawai‘i. The only reptile observed was an unidentified species of gecko. Coqui frogs (Eleutherodactylus coqui) were also heard during the dusk survey. No other reptiles and amphibians were detected during the survey, but it is likely that the bufo toad (Bufo marinus), perhaps bullfrogs (Rana catesbeiana), and several species of skink, gecko and anole lizards are also present. No invertebrate survey was undertaken as part of the survey, but rare native invertebrates tend to be associated with native vegetation and are very unlikely to be present. The Biological Reconnaissance Survey of Wild Ginger Hotel Property Page 5 habitat did not appear to contain the species and characteristics necessary to sustain various T&E damselflies (Megalagrion spp.) or picture wing flies (Drosophila spp.). It should be noted that the vegetation may be infested with little fire ant (Wasmannia auropunctata), a pest that has become near-universal in lowland South Hilo. Because the surveys took place during a light rain, when these ants are much less active, we did not observe any. Findings: Aquatic Fauna Our reconnaissance of Waipilopilo Stream was not a systematic survey but an informal observation to determine if native aquatic fauna or important habitat was present. Various species of native fish and crustaceans have been detected during professional aquatic surveys of nearby Wailuku River, as documented in the online Hawai‘i Watershed Atlas of the Hawai‘i State DLNR, Division of Aquatic Resources (DAR) (https://hawaiiwatershedatlas.com/. These include several species of native gobies or o‘opu, native crustaceans such as ‘opae, and native mollusks such as hihiwai. Waipilopilo Stream is so minor as to not be considered in the comprehensive atlas. Several factors indicate very little potential for significant native aquatic fauna. These include the property’s small size, its urban location in which much of the stream is contained in a water pipe, a reported issue with pollutants including leaking or overflowing sewage going directly into the stream, abundant trash and debris within the stream, and almost complete shading by invasive plant species. During the survey we expected to observe invasive predators/competitors such as Tahitian prawns, crayfish. guppies, mosquito fish, and green swordtails, which are very harmful for native fauna (Yamamoto and Tagawa 2000). During our observations totaling about two hours, we only observed mosquito fish. A long-term detailed survey would be necessary to get a full inventory of the stream fauna, but in general, it would appear that this stream does not currently offer important, prime habitat for native aquatic fauna. Impacts and Mitigation Measures Although two common indigenous plants are sparsely present, no native vegetation or rare, threatened or endangered plant species are present. Clearing of the property would destroy a few individuals of native plants but have no effect on their general status nor alter a sensitive native ecosystem. In order to avoid impacts to the endangered but regionally widespread terrestrial vertebrates listed above, we recommend that any future development commit to several conditions: • Construction should refrain to the extent prudent and feasible from activities that disturb or remove shrubs or trees taller than 15 feet between June 1 and September 15, when Hawaiian hoary bats may be sensitive to disturbance. It is understood that several albizia trees pose an imminent threat to human life and safety and there may be an overriding need to remove these trees during this period. Biological Reconnaissance Survey of Wild Ginger Hotel Property Page 6 • If landclearing occurs between the months of March and September, inclusive, a pre-construction hawk nest search by a qualified ornithologist using standard methods should be conducted. If Hawaiian hawk nests are present, no tree cutting or land clearing should be allowed until October, when hawk nestlings will have fledged. • If nēnē or threatened or endangered Hawaiian waterfowl are observed resting or feeding on the site during clearing or construction, activity should cease and DLNR-DOFAW should be contacted for advice. • All exterior lighting should be shielded from shining upward, in conformance with Hawai‘i County Code § 14–50 et seq., to minimize the potential for seabird disorientation. Any development should utilize blue-deficient lighting such as filtered LED lights or amber LED lights, with a Correlated Color Temperature (CCT) of 2700 Kelvin or less, which promotes dark skies and minimizes impacts to seabirds. • We recommend avoiding any development on the stream or its banks, as well as diligent incorporation of BMPs that should be prepared by engineers to avoid erosion and sedimentation in the vicinity of the stream. This will minimize the degradation of water quality and impacts to fish and wildlife resources. Finally, a concern whenever a site is developed in Hilo is the spread of invasive species, particularly little fire ants and coqui frogs, both of which are rampant in the general area. A biosecurity plan specifying requirements for construction contractors to clean equipment prior to leaving the Hilo area should be instituted in order to reduce the spread of these species. Report Limitations No biological survey of a large area can claim to have detected every species present, especially in a reconnaissance level survey. Some plant species are cryptic in juvenile or even mature stages of their life cycle. Dry conditions can render almost undetectable plants that extended rainfall may later invigorate and make obvious. Thick brush can obscure even large, healthy specimens. Birds utilize different patches of habitat during different times of the day and seasons, and only long-term study can determine the exact species composition. The findings of this survey must therefore be interpreted with proper caution; in particular, there is no warranty as to the absence of any particular species. Biological Reconnaissance Survey of Wild Ginger Hotel Property Page 7 Literature Cited or Consulted Banko, W. E. 1980. “Population Histories – Species Accounts Seabirds: Newell’s Shearwater (‘A‘o).” Cooperative National Park Resources Studies Unit, University of Hawai‘i at Manoa, Department of Botany, Technical Report #5A. Day, R. H., B. Cooper, and T. C. Telfer. 2003. Decline of Townsend’s (Newell’s Shearwaters (Puffinus auricularis newelli) on Kauai, Hawaii. The Auk 120: 669- 679. Gagne, W., and L. Cuddihy. 1990. “Vegetation,” pp. 45-114 in W.L. Wagner, D.R. Herbst, and S.H. Sohmer, eds., Manual of the Flowering Plants of Hawai‘i. 2 vols. Honolulu: University of Hawai‘i Press. Giambelluca, T.W., X. Shuai, M.L. Barnes, R.J. Alliss, R.J. Longman, T. Miura, Q. Chen, A.G. Frazier, R.G. Mudd, L. Cuo, and A.D. Businger. 2014. Evapotranspiration of Hawai‘i. Final report submitted to the U.S. Army Corps of Engineers—Honolulu District, and the Commission on Water Resource Management, State of Hawai‘i. Spiegel, C.S., and P.J. Hart, B.L. Woodworth, E.J. Tweed and J.J. Lebrun. 2006. “Distribution and abundance of forest birds in low-altitude habitat on Hawai‘i Island: evidence for range expansion of native species.” Bird Conservation International 16:175–185. U.S. Fish and Wildlife Service. 2026. ECOS Environmental Conservation Online System. https://ecos.fws.gov/ecp/species-reports. U.S. Soil Conservation Service. 1973. Soil Survey of Island of Hawai‘i, State of Hawai‘i. Washington: U.S.D.A. Soil Conservation Service. University of Hawai‘i at Hilo, Dept. of Geography. 1998. Atlas of Hawai‘i. 3rd ed. Honolulu: University of Hawai‘i Press. Wolfe, E.W., and J. Morris. 1996. Geologic Map of the Island of Hawai`i. USGS Misc Investigations Series Map i-2524-A. Washington, D.C.: U.S. Geological Survey. Yamamoto, M.N., and A.W. Tagawa. 2000. Hawai‘i’s Native and Exotic Freshwater Animals. Honolulu: Mutual Publishing. Biological Reconnaissance Survey of Wild Ginger Hotel Property Page 8 Figure 1. Property Map Google Earth © Biological Reconnaissance Survey of Wild Ginger Hotel Property Page 9 Figure 2. Photos of Property Vegetation and Habitat 2a. View from mauka side of property near Pu‘ueo Street of burned hotel and large albizia ▲ ▼ 2b. Typical vegetation looking from makai side of property to mauka Biological Reconnaissance Survey of Wild Ginger Hotel Property Page 10 Figure 2. Photos of Property Vegetation and Habitat 2c . Waipilopilo Stream near Highway 19▲ ▼ 2d. Dense vegetation completely obscures the deep course of Waipilopilo Stream C. Kimo Alameda, Ph.D. Mayor William V. Brilhante, Jr. Managing Director West Hawai'i Office 7 4-5044 Ane Keohokalole Hwy Kailua-Kona, Hawai'i 96740 Phone (808) 323-4770 Fax (808) 327-3563 July 29, 2026 Daryn Arai County of Hawai'i PLANNING DEPARTMENT Land Use Planning Consultant P.0. Box 4501 Hilo, HI 96720 VIA EMAIL Dear Daryn Arai: Jeffrey W. Darrow Director Michelle S. Ahn Deputy Director East Hawai'i Office 101 Pauahi Street, Suite 3 Hilo, Hawai'i 96720 Phone (808) 961-8288 Fax(808)961-8742 SUBJECT: Special Management Area (SMA) Use Permit Assessment Application (PL-SAA-2026-000345) Applicant: BHG Aloha LLC Landowner: BHG Aloha LLC Project: Demolition of Old Wild Ginger Hotel TMK: (3)2-6-002:008 & 012. South Hilo. Hawai'i We have reviewed the subject Special Management Area (SMA) Use Permit Assessment Application (PL-SAA-2026-000345), submitted to this office on July 4, 2026. The applicant is seeking approval to conduct demolition and removal of debris from the now dilapidated Wild Ginger Hotel which was destroyed by fire on October 22, 2025. The project area encompasses two (2) separate parcels, parcel 8 and parcel 12, which total approximately 1.60-acres. The project parcels are zoned Resort-Hotel 750-sf (V-.75) by the County and Urban by the State Land Use Commission (LUC). The parcels are designated as medium density urban (mdu) by the Hawai'i County 2045 General Plan Land Use map. The parcels are located within the Special Management Area (SMA), however, as they are situated mauka of the highway they are not located within the "shoreline area" as defined by section 205A-41, Hawai'i Revised Statutes (HRS) and as such no shoreline certification is required. History: The Wild Ginger Hotel property was originally developed between 1909 and 1911 as housing for sugar plantation workers in the Pu'ueo area of Hilo. The property was converted into a hotel in the late 1930s, initially operating as the Palm Terrace Inn before www.planning.hawaiicounty.gov Hawai'i County is an Equal Opportunity Provider and Employer planning@hawaiicounty.gov Daryn Arai Land Use Planning Consultant Wild Ginger Hotel Demo July 29, 2026 Page 2 later becoming known as the Wild Ginger Hotel. The hotel operated for many decades until it was destroyed by a fire on October 22, 2025. Proposed Project: The proposed project includes the following: Demolition of the remaining fire-damaged Wild Ginger Hotel structures and associated improvements. Removal and disposal of fire-damaged building debris from the site. Demolition and removal of associated infrastructure, including utilities, paved areas, and other site improvements, as necessary. Removal of hazardous albizia trees that pose a safety risk to demolition activities. Clearing and removal of overgrown, non-native vegetation throughout the property. Implementation of best management practices (BMPs) to minimize erosion, sedimentation, and impacts to adjacent Waipilopilo Stream during demolition and site clearing. Restoration of the site to a cleared and safe condition in preparation for future redevelopment. No other work is being proposed at this time. Best Management Practices (BMPs): To minimize potential impacts on Waipilopilo Stream and surrounding coastal resources during demolition and site clearing activities, the applicant proposes to implement a variety of Best Management Practices (BMPs). These include utilizing the existing paved parking area for construction staging, installing a stabilized construction entrance, erecting silt fences and filter fabric socks in lower portions of the site, installing barriers along the top of the stream bank to prevent demolition debris from entering the stream, protecting existing storm drain inlets, storing fuels off-site, promptly repairing fuel or oil leaks in construction equipment, maintaining spill response kits on-site, and conducting regular inspection and maintenance of all BMPs. During the removal of hazardous albizia trees adjacent to the stream, the applicant also proposes using screens to capture smaller branches and leaves and tethering techniques to control larger cuttings and prevent debris from entering the stream. Daryn Arai Land Use Planning Consultant Wild Ginger Hotel Demo July 29, 2026 Page 3 Special Management Area Determination: 1. Pursuant to Hawaii Revised Statutes (HRS) §205A-22, as amended, and Planning Commission Rule 94(i)(1), relating to the Special Management Area, "Development" means any of the [listed] uses, activities, or operations on land or in or under water within the Special Management Area. According to the application, the following definitions of"Development" can be applied to the proposed use: Construction, reconstruction, demolition, or alteration of the size of any structure. 2. Pursuant to Planning Commission Rule 9-4(i)(3), "any proposed use, activity, or operation listed in Section 9-4(i)(2) shall be deemed to be "Development" until the Director has determined it to be exempted from the definition of "development." According to 9-4(i)(2), "Development" does not include the following uses, activities, or operations, and therefore is determined to be exempt from the definition of Development." Demolition or removal of structures, except those structures located on any historic site as designated in national or state registers or those listed in the Historic Sites Element of the General Plan 3. Pursuant to Planning Commission Rule 9-4(i)(4), "whenever the Director finds that any excluded use, activity, or operation may have a cumulative impact, or a significant adverse environmental or ecological effect on the Special Management Area, that use, activity or operation shall be defined as "development"for the purposes of this rule." Based on the information provided, the Director finds the proposed demolition project as described above is exempt from the definition of "development" and will not have a cumulative impact, or significant adverse environmental or ecological effect on the Special Management Area. However, please note that any substantive changes to the project details listed in the current application may require further review by this office and possibly the submittal of another SMA Use Permit Assessment Application. While further review of the proposed activities against the Special Management Area rules and regulations will not be required at this time, all other applicable Zoning and Building Code requirements must be satisfied. Additionally, pursuant to Planning Commission Rule 9-10(g), "The Director may impose certain conditions with the Daryn Arai Land Use Planning Consultant Wild Ginger Hotel Demo July 29, 2026 Page 4 exemption determination to assure that the proposed use, activity or operation does not have a substantial adverse effect on the Special Management Area." The Director has added the following conditions for the proposed project: Director's Conditions: 1. The applicant(s), its successor(s), or assign(s) ("Applicant") shall be responsible for complying with all stated conditions of approval. 2. The Applicant shall secure all necessary approvals and permits from other affected federal, state, and county agencies as necessary to comply with all applicable laws and regulations. 3. All construction and maintenance activities on the subject parcel shall comply with Chapter 27, Floodplain Management, of the Hawaii County Code. 4. The Applicant will implement all Best Management Practices (BMPs) listed in the application to minimize impacts to the stream and surrounding area. 5. 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. 6. Any substantive changes or further development, including but not limited to, the design and size of the improvements not included in this determination shall require further review and approval as provided under Chapter 205A, HRS, and Rule 9, Planning Commission Rules of Practice and Procedure. 7. That in issuing this determination, the Department has relied on the information and data that the Applicant has provided in connection with this determination. If, subsequent to issuance of this determination, such information and data prove to be false, incomplete, or inaccurate, this determination may be modified, suspended, or revoked, in whole or in part, and/or the Department may, in addition, institute appropriate legal proceedings. Daryn Arai Land Use Planning Consultant Wild Ginger Hotel Demo July 29, 2026 Page 5 8. The Planning Director shall initiate procedures to revoke this determination should any of the conditions not be met or substantially complied with in a timely fashion. If you have questions regarding this document, please feel free to contact Alex Roy of this office at (808) 961-8140 or via email at alex.roy@hawaiicounty.gov. Sincerely, t7e7 1'e 1 IN. Dawow Jeffrey W. D w(Jul 29,2026 05:07:57 HST) JEFFREY W. DARROW Planning Director AJR:rms P:\wpwi n60\czm\sm as\2026\p1-saa-2026-000345_wildg inger_hotel_demo.d ocx cc via email: BHG Aloha LLC Bruce Meyers, Okahara and Associates, Inc. Sidney Fluke, Planning Consultant Robert K. lopa, WCIT Architecture Alexander Viernes, WCIT Architecture C.Kimo Alameda, Ph.D.Reed K. Mahuna Police Chief Mayor William V. Brilhante Jr. Sherry 0. Bird Deputy Police Chief Managing Direc/Or County of Hawai' i POLICE DEPARTMENT 349 Kapi'olani Street • Hilo, Hawai•i 96720-3998 (808)935-3311 • Fax (808) 961-2389 REC'D HAND DEUIJEREDAugust 27, 2026 TO FROM SUBJECT: COH PLANNING DEP•AUG 28 2026 At-il0:02 JE'a #DARROW, PLANNING DIRECTOR �E H i.f Qu�Ho, A�STANT POLICE CHIEF, AREA IOPERATIONS BUREAU REQUEST FOR COMMENTS ON SPECIAL MANAGEMENT AREA USE PERMIT APPLICATION NO. PL-SMA-2026-000097 I BHG ALOHA LLC DBA WILD GINER HOTEL ON TMKS (3) 2-6-002:008 & :012 Staff, upon reviewing the provided documents, does not anticipate any significant impact to traffic and/or public safety concerns. Thank you for allowing us the opportunity to comment. If you have any questions, please contact our South Hilo District Commander, Captain Aaron Carvalho, at (808) 961-2316 or via email at aaron.carvalho@hawaiipolice.gov. FM ·'Hawai'i County is an Equal Opportunity Provider and Employer" JOSH GREEN, M.D. KENNETH S. FINK, M.D, MGA, MPH GOVERNOR OF HAWAII DIRECTOR OF HEALTH KE KIA’AINA O KA MOKU’AINA O HAWAI’I KA LUNA HO’OKELE STATE OF HAWAII DEPARTMENT OF HEALTH P.O. BOX 916 HILO, HAWAII 96721-0916 MEMORANDUM DATE: August 24, 2026 TO: Mr. Jeffrey W. Darrow Planning Director, County of Hawaii FROM: Eric Honda District Environmental Health Program Chief SUBJECT: Special Management Area Use Permit Application (PL-SMA-2026-000097) Applicant: BHG Aloha LLC dba Wild Ginger Hotel Request: To Construct and Operate a New Two-Story Thirty-Room Hotel Complex that Includes a Pool, Café, Lounge Area and Related Improvements TMK: (3) 2-6-002:008 and :012, Puʻuʻeo, South Hilo, Hawaiʻi In most cases, the District Health Office will no longer provide individual comments to agencies or project owners to expedite the land use review and process. Agencies, project owners, and their agents should apply Department of Health “Standard Comments” regarding land use to their standard project comments in their submittal. Standard comments can be found on the Land Use Planning Review section of the Department of Health website: https://health.hawaii.gov/epo/landuse/. Contact information for each Branch/Office is available on that website. Note: Agencies and project owners are responsible for adhering to all applicable standard comments and obtaining proper and necessary permits before the commencement of any work. General summary comments have been included for your convenience. However, these comments are not all-inclusive and do not substitute for review of and compliance with all applicable standard comments for the various DOH individual programs. Clean Air Branch 1.All project activities shall comply with the Hawaii Administrative Rules (HAR), Jeffrey W. Darrow August 24, 2026 Page 2 of 4 Chapters 11-59 and 11-60.1. 2. Control of Fugitive Dust: You must reasonably control the generation of all airborne, visible fugitive dust and comply with the fugitive dust provisions of HAR §11-60.1-33. Note that activities that occur near existing residences, businesses, public areas, and major thoroughfares exacerbate potential dust concerns. It is recommended that a dust control management plan be developed which identifies and mitigates all activities that may generate airborne and visible fugitive dust and that buffer zones be established wherever possible. 3. Standard comments for the Clean Air Branch are at: https://health.hawaii.gov/epo/landuse/ Clean Water Branch 1. All project activities shall comply with the HAR, Chapters 11-53, 11-54, and 11-55. 1. The following Clean Water Branch website contains information for agencies and/or project owners who are seeking comments regarding environmental compliance for their projects with HAR, Chapters 11-53, 11-54, and 11-55: https://health.hawaii.gov/cwb/clean-water-branch-home- page/cwb- standard-comments/. Hazard Evaluation & Emergency Response Office 1. A Phase I Environmental Site Assessment (ESA) and Phase II Site Investigation should be conducted for projects wherever current or former activities on site may have resulted in releases of hazardous substances, including oil or chemicals. Areas of concern include current and former industrial areas, harbors, airports, and formerly and currently zoned agricultural lands used for growing sugar, pineapple or other agricultural products. 2. Standard comments for the Hazard Evaluation & Emergency Response Office are at: https://health.hawaii.gov/epo/landuse/. Indoor and Radiological Health Branch 1. Project activities shall comply with HAR Chapters 11-39, 11-45, 11-46, 11-501, 11-502, 11-503, and 11-504. 2. Noise may be generated during demolition and/or construction. The applicable maximum permissible sound levels, as stated in Title 11, HAR, Chapter 11-46, “Community Noise Control,” shall not be exceeded unless a noise permit is obtained from the Department of Health. 3. Construction/Demolition Involving Asbestos: If the proposed project includes renovation/demolition activities that may involve asbestos, the applicant should contact the Asbestos and Lead Section of the Branch at https://health.hawaii.gov/irhb/asbestos/. Safe Drinking Water Branch Jeffrey W. Darrow August 24, 2026 Page 3 of 4 1. Agencies and/or project owners are responsible for ensuring environmental compliance for their projects in the areas of 1) Public Water Systems; 2) Underground Injection Control; and 3) Groundwater and Source Water Protection in accordance with HAR Chapters 11-19, 11-20, 11-21, 11-23, 11-23A, and 11- 25. They may be responsible for fulfilling additional requirements related to the Safe Drinking Water program: https://health.hawaii.gov/sdwb/. 2. Standard comments for the Safe Drinking Water Branch can be found at: https://health.hawaii.gov/epo/landuse/. Solid & Hazardous Waste Branch 1. Hazardous Waste Program - The state regulations for hazardous waste and used oil are in HAR Chapters 11-260.1 to 11-279.1. These rules apply to the identification, handling, transportation, storage, and disposal of regulated hazardous waste and used oil. 2. Solid Waste Programs - The laws and regulations are contained in HRS Chapters 339D, 342G, 342H, and 342I, and HAR Chapters 11-58.1 and 11-282. Generators and handlers of solid waste shall ensure proper recycling or disposal at DOH-permitted solid waste management facilities. If possible, waste prevention, reuse, and recycling are preferred options over disposal. The Office of Solid Waste Management also oversees the electronic device recycling and recovery law, the glass advanced disposal fee program, and the deposit beverage container program. 3. Underground Storage Tank Program – The state regulations for underground storage tanks are in HAR Chapter 11-280.1. These rules apply to the design, operation, closure, and release response requirements for underground storage tank systems, including unknown underground tanks identified during construction. 4. Standard comments for the Solid & Hazardous Waste Branch can be found at: https://health.hawaii.gov/epo/landuse/. Wastewater Branch For comments, please email the Wastewater Branch at doh.wwb@doh.hawaii.gov. Sanitation / Local DOH Comments: 1. The proposed Café and Pool needs to meet the requirements of Chapter 50, Food Safety Code and Chapter 10, Public Swimming Pool. Please call our office (Ph. 933-0917) for consultation and additional information. Jeffrey W. Darrow August 24, 2026 Page 4 of 4 Other 1. CDC - Healthy Places - Healthy Community Design Checklist Toolkit recommends that state and county planning departments, developers, planners, engineers, and other interested parties apply these principles when planning or reviewing new developments or redevelopment projects. 2. If new information is found or changes are made to your submittal, DOH reserves the right to implement appropriate environmental health restrictions as required. Should there be any questions on this matter, please contact the Department of Health, Hawaii District Health Office, at (808) 933-0917. Hawai’i County is an Equal Opportunity Provider and Employer BD-10 BUILDING DIVISION – DPW COUNTY OF HAWAI'I – 101 Pauahi Street, Suite 7 – Hilo, Hawai‘i 96720 Hilo Office (808) 961-8331 • Fax (808) 961-8410 Kona Office (808) 323-4720 • Fax (808) 327-3509 August 26, 2026 TO: Jeffery Darrow (Planning Director) Cc: Maija Jackson (Planning Program Manager), Alex Roy (PlannerVI) SUBJECT: Zoning Variance: PL-SMA-2026-000097 BHG Aloha Applicant: BHG Aloha LLC dba Wild Ginger Hotel Owner: BHG ALOHA LLC Request: New 30-room hotel complex TMK: 26002008,012 This is to inform you that our records on file, relative to the status of the subject discloses that: No Building permit was issued for work done on the premises. No building permit was issued for the change of occupancy. At the time of completion, the subject complied with all Building Code regulations that were in effect. Variance from any building regulation (Building, Electrical, Plumbing, or Sign) was/was not granted. X The following violations(s) still outstanding: X Building Electrical Plumbing Sign Violations – Code Case PW.BLD_CE.2024-00300 – HCC Section 5-3-1 Permit Required (demolition and removal of fire damage debris), HCC Section 5-8-1 Inspections required (Inspections required upon completion of removal of fire damage debris), HCC Section 5-9-1 Unsafe Buildings or Public Nuisance (The Wild Ginger Hotel had 95% burned and is unrepairable), HCC Section 5-10-1 Violations. (Have not obtained permits). Hawai’i County is an Equal Opportunity Provider and Employer BD-10 Others: This status report reflects Building Division records only and does not include information from other agencies. Should you have any questions regarding matters contained herein, please feel free to contact Tod Tanimoto at phone no. (808)961-8372 JOSH GREEN, M.D.GOVERNOR SYLVIA LUKE LT. GOVERNOR MARY ALICE EVANS DIRECTOR STATE OF HAWAI I OFFICE OF PLANNING & SUSTAINABLE DEVELOPMENT 235 South Beretania Street, 6th Floor, Honolulu, Hawai i 96813 Mailing Address: P.O. Box 2359, Honolulu, Hawai i 96804 Telephone: (808) 587-2846 Fax: (808) 587-2824 Web: https://planning.hawaii.gov/ DTS 202608191522WI September 4, 2026 Mr. Jeffrey W. Darrow, Director Department of Planning County of Hawai i East Hawai i Office 101 Pauahi Street, Suite 3 Hilo, Hawai i 96720 Attn: Alex Roy Dear Mr. Darrow: Subject: Special Management Area Use Permit Application PL-SMA-2026- 000097 to Construct and Operate a New Two-Story Thirty-Room Hotel Complex, Pu u eo, South Hilo, Hawai i Tax Map Key: (3) 2-6-002: 008 and 012 The Office of Planning and Sustainable Development (OPSD) is in receipt of your department request, transmitted via memorandum dated August 19, 2026, for comments on the Special Management Area (SMA) Use Permit Application (PL-SMA-2026-000097) to construct and operate a new two-story thirty-room hotel complex that includes a pool, café, lounge area, and related improvements, in , Hawai i. According to the subject SMA Use Permit Application, the project site is situated within an area designated for Resort-Hotel (V-.75) uses by the County Zoning Code. BHG Aloha LLC, dba Wild Ginger Hotel proposes to construct a new hotel complex as a revitalization of the 1.6-acre properties that experienced the destruction of the former Wild Ginger Hotel by fire on October 22, 2025. The proposed two-story, 30-guest-unit hotel will spread across five separate buildings, including: i) guest building #1 10 units, ground area 2,155 square feet, 4,210 gross floor area; ii) guest building #2 10 units, ground area of 2,475 square feet, 4,950 gross floor area; iii) guest building #3 10 units, ground area of 2,155 square feet, 4,210 gross floor area; iv) one-story front desk building, 950 square feet gross floor area; v) one-story café, 1,395 square feet gross floor area; vi) lounge and pool deck; and vii) 32-stall paved parking area. Coastal Zone Management Program Environmental Review Program Land Use Commission Land Use Division Special Plans Branch State Transit-Oriented Development Statewide Geographic Information System Statewide Sustainability Branch Mr. Jeffrey W. Darrow September 4, 2026 Page 2 Before the construction, remediation activities will be conducted, including: 1) removal of existing Albizia trees; 2) demolition of remnants of the Wild Ginger Hotel complex; and 3) clearing of extensive vegetative overgrowth. It is anticipated that the construction will commence within two years, with completion within three years thereafter. Total cost of this project, excluding the cost of initial site clearing and demolition, is in the vicinity of $10 to $12.5 million. The subject properties are situated within the Flood Zone X, determined to be outside the 500-year floodplain. The OPSD has reviewed the SMA Use Permit Application, and has the following comments to offer: 1. According to the subject SMA Use Permit Application, the project area is located o District, and historical records indicate that 18th century. OPSD concurs that should any archaeological or cultural resources, including burials, be discovered during ground excavation, all construction work shall be ceased immediately. Subsequent work shall proceed only upon archaeological clearance from the State Historic Preservation Division, Department of Land and Natural Resources. 2. The subject properties consist of approximately 1.60 acres of combined land area. If the proposed action disturbs one acre or more of land, or involves dewatering discharge activities, the applicant should consult with the Clean Water Branch, State of Hawai i Department of Health, for the requirement of a National Pollutant Discharge Elimination System (NPDES) Permit for the associated construction activities. 3. The OPSD recommends that site-specific mitigation measures for sediment and erosion control be implemented to prevent any runoff, sediment, soil and debris, potentially resulting from associated demolition and construction activities, including excavation, grading and staging, from adversely impacting surrounding areas, the coastal ecosystem and the State waters, as specified in Hawai i Administrative Rules § 11-54. Besides stormwater structural control, Low Impact Development (LID), which consists of natural drainage designs including infiltration basins or trenches, rain gardens, green roofs, and vegetated filter strips, to preserve or enhance the natural hydrology of a place, should be applied. OPSD recommends the proposed hotel complex development refer to the LID Practit i when developing mitigation approaches for runoff control at Mr. Jeffrey W. Darrow September 4, 2026 Page 3 https://files.hawaii.gov/dbedt/op/czm/ormp/ormp_implementation/2023LIDPractitioner sGuide.pdf 4. In enacting Act 224, Session Laws of Hawai i 2005, the legislature found that light pollution in Hawai ocean waters can be disruptive to avian and marine life. No artificial light, except as provided in Hawai i Revised Statutes §§ 205A-30.5(b) and 205A-71(b), shall be directed to travel across property boundaries toward the shoreline and ocean. All exterior lighting and lamp posts associated with the proposed hotel complex development shall be cut-off luminaires to provide the necessary shielding to mitigate potential light pollution in the coastal areas, and lessen possible seabird strikes. If you respond to this comment letter, please include DTS 202608191522WI in the subject line. For any questions regarding this letter, please contact Shichao Li of our office at (808) 587- 2841 or by email at shichao.li@hawaii.gov. Sincerely, Mary Alice Evans Director TO: FROM: SUBJECT: DEPARTMENT OF WATER SUPPLY • COUNTY OF HAWAl'I 345 KEKUANAO'A STREET, SUITE 20 • HILO, HAWAl'I 96720 TELEPHONE (808) 961-8050 • FAX (808) 961-8657 Mr. Jeffrey Darrow, Director Planning Department September 14, 2026 Keith K. Okamoto, Manager-Chief Engineer C[!:_H PLANNING DEPTSt:P 15 2026 na:23 REC'D HArn DELIVERED Special Management Area Use Permit Application (PL-SMA-2026-000097) Applicant: BHG Aloha LLC dba Wild Ginger Hotel Request: To Construct and Operate a New Two-Story Thirty-(30) Room Hotel Complex that Includes a Pool, Cafe, Lounge Area and Related Improvements Tax Map Key 2-6-002:008 and 012 We have reviewed the subject application and have the following comments and conditions. Please be informed that there is an existing service lateral that previously suppo1ted a I-inch meter serving the subject parcel (Acct. No. 380-04900). Water can be made available from an existing 6-inch waterline within Pu'u'eo Street, fronting the subject parcel in accordance with the Depa1tment's existing water availability conditions, which are subject to change without notice. The Depaitment has no objection to the proposed application, subject to the applicant understanding and accepting the following conditions: I.The Department requests that the applicant submit estimated maximum daily water usage calculationsfor the proposed development, for review and approval. The water usage calculations shall be prepared by a professional engineer licensed in the State of Hawai'i, and should include the estimated peak-flowin gallons per minute (GPM), and the total estimated maximum daily water usage in gallons per day,including all irrigation/landscaping use. 2.Upon receipt of the water usage calculations above, the Department will make a detennination as to thewater commitment deposit amount and prevailing facilities charge (subject to change) to be paid, ifnecessary. Based on the water demand calculations, the Depaitment will determine the appropriateservice lateral and meter size required for the proposed development. 3.The proposed use will require the installation of a reduced pressure-type backflow prevention assembly,within five (5) feet of the meter on private property. If a larger or additional meter is required, a backflow prevention assembly will also be required for that meter. The installation of the backflowprevention assembly must be inspected and approved by the Department before the commencement/continuation of water service . . . . Water, Our ?4..ost Precious �source ... 'l(jl Wai}l. 1(iine ... The Department of Water Supply is an Equal Opportunity provider and employer. Mr. Jeffrey Darrow, Director Page 2 September 14,2026 4.The Department's Water System Standards require that a minimum flow of 2,000 GPM be available at the site for fire protection use. Please be informed that the existing 6-inch waterline within Pu'u'eo Street is inadequate to provide the required fire flow. The applicant should contact the Fire Department to determine any other fire protection requirements or alternatives. 5.Subject to other agencies'requirements to construct improvements within the project area,the applicant shall be responsible for the relocation and adjustment of the Department's affected water system facilities, should they be necessary. Should there be any questions, please contact Ms. Robyn Matsumoto of our Water Resources and Planning Branch at(808)961-8070,extension 255. Sincerely yours, WPIANI* Keith K. Okamoto, P.E. Manager-Chief Engineer RM:dfg copy— BHG Aloha LLC Mr. Daryn Arai Mr. Sidney Fuke From: Jan To: Planning Internet Mail Cc: Hank Correa Subject: Special Management Area Use Permit Application: BHG Aloha LLC dba Wild Ginger Hotel Date: Monday, August 31, 2026 11:21:58 AM Attachments:Wild Ginger Letter.pdf Good Morning, Sending the attached letter on behalf of Hank Correa. Please confirm receipt and contact Hank on his cell phone 808-960-2626 with any questions. Thank You Jan Better Homes & Gardens Real Estate Hank Correa Realty 630 Kilauea Avenue #101 808-961-3300 From: Arla Meyer To: Planning Internet Mail Subject: Wild Ginger Hotel SMA Use Permit TMK 2-6-002:008 & 12 Date: Thursday, August 27, 2026 11:24:22 AM Aloha Hilo Office Planning Department, I am a nearby property owner and am writing regarding the proposed Wild Ginger Hotel redevelopment at Puʻueo Street. I support the redevelopment of this property and would be so happy to see the burned remains of the former hotel replaced. I do have one significant concern. There is an immense mature albizia tree on the property near the road, which does not appear to be shown on the concept site plan. Given its size and the well-known hazards associated with large albizia trees, I respectfully request that its removal be made a condition of approval of the SMA Use Permit. I would appreciate having this comment included in the record for the application and provided to the Windward Planning Commission when the application comes before it. Thank you, Arla C Meyer 112 Wanaoa Lane Hilo 322 Ohai Street #7 & #8 Hilo Daryn Arai Land Use Planning Consultant P.O. BOX 4501, HILO HAWAII 96720 PHONE: (808) 895-3218 EMAIL: DARYN ARAI@OUTLOOK.COM September 14, 2026 Mr. Jeffrey Darrow, Planning Director County of Hawaiʻi Planning Department 101 Pauahi Street, Suite 3 Hilo, HI 96720 Dear Director Darrow: Subject: Response to Agencies’ and Public Comments regarding Special Management Area Use Permit Application (PL-SMA-2026-000097) Applicant: BHG Aloha LLC dba Wild Ginger Hotel Request: To Construct and Operate a New Two-Story Thirty-Room Hotel Complex that Includes a Pool, Café, Lounge Area and Related Improvements Tax Map Key(s): (3) 2-6-002:008 and :012, Puʻuʻeo, South Hilo, Hawaiʻi Thank you for providing the Applicant with comments received from the various reviewing agencies and community members regarding the subject application, to which we provide the following responses for your consideration. State Office of Planning & Sustainable Development (OPSD): (letter dated September 4, 2026) The Applicant agrees with OPSD recommendation that should any archaeological or cultural resources, including burials, be discovered during ground excavation, all construction work shall be ceased immediately. Subsequent work shall proceed only upon archaeological clearance from the State Historic Preservation Division, Department of Land and Natural Resources. The Applicant anticipates that this recommendation will be included as a condition of approval should the Windward Planning Commission be supportive of the issuance of the requested SMA Use Permit. Since the proposed project will involve limited disturbance of the 1.6-acre of land that comprises the entire project site, the Applicant and its consulting engineer will consult with the Clean Water Branch, State of Hawaii Department of Health regarding any applicable requirement(s) associated with a National Pollutant Discharge Elimination System (NPDES) Permit as it may be related to the associated construction activities. The Applicant and its consulting engineer will also coordinate with the Department of Public Works and deploy any required site-specific mitigation measures for sediment and erosion control to prevent any runoff, sediment, soil and debris, potentially resulting from associated demolition and construction activities, including excavation, grading and Mr. Jeffrey Darrow, Planning Director County of Hawaiʻi Planning Department Page 2 of 4 September 14, 2026 staging, from adversely impacting surrounding areas, the coastal ecosystem and the State waters, as specified in Hawaiʻi Administrative Rules §11- 54. Relating to runoff, the Applicant and its consulting architect will consider “Low Impact Development (LID) concepts that promote the use of natural drainage designs including infiltration basins or trenches, rain gardens, green roofs, and vegetated filter strips, to preserve or enhance the natural hydrology of a place, especially due to the proximity to Waipilopilo Stream. Finally, while the project site is not located on the shoreline, the Applicant does concur with the recommendations of OPSD and will not object to any such condition applied to the requested SMA Permit that will implement appropriate measures to ensure that exterior lighting fixtures and its location will help to mitigate light pollution upon the nearby coastal area and minimize the potential for seabird strikes, such as designing all exterior lighting and lamp posts to consist of cut-off luminaries to provide the necessary shielding. Department of Health (memo dated August 24, 2026) The Applicant acknowledges the Department of Health no longer provides individual comments to agencies or project owners to expedite the land use review process. This being said, the Applicant anticipates that this project will not present any environmental health concerns with regulatory implications. The proposed 30-unit hotel complex will connect to the County’s sewer system to transport and process all wastewater generated by the proposed facility. Potable water will be made available by the County via an existing waterline located along the Puueo Street frontage of the project site. As presented within the SMA application, the proposed hotel project will utilize the area previously occupied by the former Wild Ginger Hotel complex and its parking lot, thereby minimizing the need for extensive land alteration activities in order to accommodate the proposed project components. This is reflected in the design of separate hotel unit structures rather than a single larger, multi-story facility. Less grading will mean less potential for dust and runoff onto nearby properties or waterways. All contractors to be utilized for this project will deploy construction best management practices to ensure proper air and water quality is maintained. Therefore, the Applicant anticipates no compliance issues relating to clean air, safe drinking water, and sanitation issues. Mr. Jeffrey Darrow, Planning Director County of Hawaiʻi Planning Department Page 3 of 4 September 14, 2026 The project site is not situated within proximity to a public water well and resides below the Underground Injection Control line. As previously mentioned, the proposed hotel will connect to the County’s sewer system and runoff will be managed in coordination with applicable state and county requirements regarding water runoff and disposal. Therefore, the proposed project will not compromise groundwater resources or public water systems. Department of Public Works-Building Division (memo dated February 24, 2026) The comments offered by the Building Division of the Department of Public Works (DPW) are all related to the fire-damaged debris that remains on the subject properties after the devastating fire that destroyed the Wild Ginger Hotel on October 22, 2025. The Applicant has been notifying the DPW of its ongoing efforts to secure SMA approval for the removal and disposal of the fire-damaged debris and to secure the services of a qualified contractor all-the-while as it coordinates all of these activities with its insurance carrier to ensure that proper procedures and authorizations are in place. Recent storm activities have further complicated access to and coordination with qualified contractors. We understand that the DPW is satisfied with the on-going efforts of the Applicant, who will continue to keep DPW abreast of activities and approvals related to the cleanup of the project site. Police Department (memo dated August 27, 2026) The Applicant acknowledges the response from the Police Department that it does not anticipate any significant project-related impact to traffic nor does it have any public safety concerns. Testimonies of Mr. Henry “Hank” Correa, Jr. (letter dated August 31, 2026) and Ms. Arla C. Meyer (email dated August 27, 2026) The Applicant is appreciative of the expressions of support for the proposed 30-unit hotel project by both Mr. Correa and Ms. Meyer, as well as their expressions of concern regarding the large, overgrown albizia trees within the project site. Mr. Correa is worried about the safety of his tenants who occupy his property that lies adjacent to and south of the project site. Ms. Meyer owns property nearby. This concern is what prompted the Applicant to pursue a separate SMA approval (PL- SAA-2026-000345) from the Planning Department specifically for the removal of the albizia trees that was issued on July 29, 2026. The Applicant is diligently pursuing Mr. Jeffrey Darrow, Planning Director County of Hawaiʻi Planning Department Page 4 of 4 September 14, 2026 contractors that can assist with the removal of the albizia trees while also navigating around the fire-damaged remains of the former Wild Ginger Hotel. As requested by both Mr. Correa and Ms. Meyer, the Applicant agrees to a condition within the requested SMA Use Permit, should it be approved by the Windward Planning Commission, that will ensure the removal of the tall albizia trees prior to commencing construction of the proposed hotel. We hope that we have adequately responded to comments offered by the respective agencies and members of the Puʻueo community. Please feel free to contact me should there be any questions or need for additional information. Sincerely, DARYN ARAI Land Use Planning Consultant cc via email: BHG Aloha LLC dba Wild Ginger Hotel Mr. Sidney Fuke, Planning Consultant Mr. Bruce Meyers, P.E., Okahara and Associates, Inc. Mr. Robert Iopa, FAIA, WCIT cc via mail: Mr. Henry “Hank” Correa, Jr. Ms. Arla C. Meyer