HomeMy WebLinkAbout2006-07-06_Memorandum_re_Puu_Lani_Ranch LINCOLN S. T. ASHIDA 4478
Corporation Counsel
AMY G. SELF 7628
Deputy Corporation Counsel
County of Hawaii
Hilo Lagoon Centre
101 Aupuni Street, Suite 325
Hilo, Hawaii 96720
Telephone: 961-8251
Facsimile: 961-8622
E-mail: aself @co.hawaii.hi.us
Attorneys for CHRISTOPHER J. YUEN,
PLANNING DIRECTOR OF THE COUNTY OF HAWAII
BEFORE THE BOARD OF APPEALS
COUNTY OF HAWAII
In re the Appeal of BOA NO. 06-000024
PUU LANI RANCH CORP.,
Appellant, COUNTY OF HAWAI'I PLANNING
DIRECTOR'S HEARING MEMORANDUM
From the March 20, 2006 decision of the
Planning Director, County of Hawaii,
purporting to impose remediation
requirements on Appellant and to restrict the
availability of building permits for Lot 1 of
File Plan 2241, Puu Lani Ranch Subdivision,
Puuanahulu, Island of Hawaii, State of
Hawaii,
TMK(3) 7-1-006-054
s:dept\planning\puu lam ranch boa 06-000024\hearing memorandum 070606 AGSkd
COUNTY OF HAWAI'I PLANNING DIRECTOR'S HEARING MEMORANDUM
County of Hawai'i Planning Director, Christopher J. Yuen, ("Planning Director"),
by and through his attorneys, submits this Hearing Memorandum in support of his March
20, 2006 decision.
I. INTRODUCTION
Puu Lani Ranch Corp. ("PLRC") is appealing from the March 20, 2006 final
decision of the Planning Director, County of Hawai'i, in which the Planning Director set
out the remedial action that will be required because of PLRC's destruction of the Henry
Hao homestead site in violation of the conditions of final subdivision approval. A
prehearing conference relating to the appeal was set by the Chair of the Board of Appeals
("Board"), Valta A. Cook, for Thursday, July 6, 2006 at 2:00 p.m. A statement of the
facts leading up to this appeal is provided below.
1. Statement of the Facts
A significant historic site,which was assessed by the State Historic Preservation
Division(SHPD) as an excellent example of a historic period homestead, was bulldozed
in the Pu'u Lani Ranch Phase II Subdivision. Record on Appeal ("ROA") at 11. It looks
as if it was deliberately destroyed because "the [bulldozing] was limited to the vicinity of
the [historic] site." ROA at 11. PLRC,the developer of the subdivision, who is also the
owner of the lot, was supposed to preserve the site as a condition of the final subdivision
approval. ROA at 122 and 84— 87, respectively. There had been previous
correspondence in which the owner acknowledged their responsibility to protect
archaeological sites. ROA at 104 -105. Yet,Newell Bohnett, President of PLRC,
admitted under oath during a hearing before the Board on February 10, 2006 that he
authorized the grubbing/bulldozing of the historical site. ROA at 360.
After being informed by SHPD of the destruction of the site, the Planning
Director tried to find out who was responsible, and sent a letter asking Mr. Bohnett and
the prospective purchasers, Mr. and Mrs. Glidden, to give any information they had about
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the destruction. ROA at 114 -115 and 118 — 119, respectively. In the meantime, the
Planning Director refused to give clearance for any building permit on the lot because of
the non-compliance with the requirements of the subdivision approval,pending the
investigation into who was responsible. ROA at 114 -115 and 118 — 119,respectively.
Rather than provide the requested information to the Planning Director, which
was known by Mr. Bohnett at that time, PLRC asked its attorney to respond to the
Planning Director's letter by stating that PLRC "has no objection to the disappearance of
the site" or"to any bulldozing that occurred on the property," and that PLRC "has the
right to do as [it] pleases with the site or feature." ROA at 122-123. However, Mr.
Bohnett had previously stated in a letter dated September 18, 2003, that"[w]e are doing
our best to comply with all of the policies and regulations of the State Department of
Land and Natural Resources Historic Preservation Division." ROA at 104-105. In that
same letter, Mr. Bohnett stated that"[t]he present policy for building now requires that
the builder get approval from the DLNR-SHPD before he receives his grading permit."
ROA at 104-105. At the end of that same letter, Mr. Bohnett stated that"[w]e will
continue to do all that we can to help enforce this policy of obtaining approval before
construction." ROA at 104-105.
The historic preservation process, for this project and generally, requires an
"inventory survey" (to find out what is there and determine what is significant), and a
"preservation plan" (sometimes called"mitigation".) Section 13-277-2 of the Hawaii
Administrative Rules (HAR) defines "mitigation" as "the measures taken to minimize
impacts to significant historic properties." The preservation plan would normally include
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things like recording an easement around the site, marking it with yellow tape prior to
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any land clearing,briefing any contractor about where it was, having other permanent
markings, etc.
In order to get final subdivision approval, PLRC promised to do two things: (1)
prepare an archaeological inventory survey, and(2)protect certain important historic
sites identified by that survey. ROA at 84-85. The final subdivision approval was on
condition that the developer"comply with all requirements of the State Department of
Land and Natural Resources, Historic Preservation Division, related to historic sites."
ROA at 86-87. Specifically, PLRC was to prepare "detailed mitigation plans for the
preservation and/or data recovery of all significant historic sites in the Phase II
[subdivision],"the plans would have to be approved by SHPD and the County's Planning
Department, and SHPD and the County's Planning Department would have to "verify in
writing the successful execution of these plans." ROA at 84-85. No land alterations
were supposed to occur before the completion of these mitigation plans,without written
approval of SHPD and the County's Planning Department. ROA at 84-85. PLRC,
through its attorney, agreed to these conditions. ROA at 84-85.
PLRC repeated these promises over the years. For example, in a February 4,
1994 letter, SHPD agreed that the developer's surety bond could be released because
PLRC was still committed to the conditions and"no new land alterations"would occur in
the project area prior to the completion of the survey and the mitigation plans. ROA at
164-165.
The inventory survey was finally completed and approved by SHPD on
September 10, 2002. ROA at 108-109. Among the sites that was significant, and which
was supposed to be preserved, was the Henry Hao Homestead, site 18483. ROA at 100-
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101 and 108-109. PLRC's archaeologist recommended that this site be preserved, and
SHPD agreed in a letter dated May 15, 2001. ROA at 100-101. The SHPD letter
specifically stated that"the next step in the review process would be submittal of a
preservation plan for 18,483." ROA at 100-101. The preservation plan would have had
the specific requirements (like proper marking) for the site,but it was already determined
that it was supposed to be preserved. ROA at 100-101.
However, PLRC never did submit a preservation plan to SHPD. ROA at 112-113.
Instead, PLRC tried to claim that this was the responsibility of the individual lot owners.
ROA at 104-105. The Planning Director wrote the developer on Sept. 10, 2003 saying
that a preservation plan must be prepared for site 18483 for the review and approval of
DLNR-SHPD. ROA at 96-97. In response, Mr. Bohnett wrote a letter dated September
18, 2003, saying that all lot owners were being reminded that it was "mandatory"that
they receive approval from DLNR-SHPD before they start construction. ROA at 104
105. Mr. Bohnett said"[w]e will continue to do all that we can to help enforce this
policy of obtaining approval before construction." ROA at 104-105. Mr. Bohnett's
lawyer, Philip Leas,wrote a letter dated September 6, 2003 stating that where lots
containing known or suspected burials have been sold to third parties, it was the buyer's
responsibility to fulfill the requirements for a preservation plan. ROA at 106-107. They
did not disclaim responsibility,however, for lots they still owned, like Lot 54. ROA at
106-107.
On November 23, 2006, PLRC's attorney filed an appeal based on a letter from
the Planning Director dated October 24, 2005. ROA at 114-115. The appeal was heard
by the Board on February 10, 2006,but the Board voted to continue the hearing on the
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appeal to April 13, 2006. At the April 13, 2006 hearing, the Board determined that the
Planning Director's October 24, 2005 letter was not a final decision of the Planning
Director and the appeal was dismissed based on the grounds that the Board did not have
jurisdiction.
In a letter dated March 20, 2006, the Planning Director informed PLRC of his
final decision to take the following steps: 1) establish the approximate location of the
historic site on the lot including a ten feet buffer and once established, issue building
permits for Lot 54, so long as no development area falls within the established site
boundary; 2) PLRC is ordered to reconstruct the historic site to its approximate condition
before the bulldozing occurred. ROA at 404_407. PLRC's attorney filed an appeal
from that decision and is scheduled to be heard by the Board on July 14, 2006.
II. LEGAL ARGUMENT
1. The Planning Director is Authorized under the Hawai'i County
Charter to Enforce Conditions of Subdivision Approval
It is well established that"an administrative agency's authority includes those
implied powers that are reasonably necessary to carry out the powers expressly granted."
Morgan v. Planning Department, County of Kaui, 104 Haw. 173, 184; 86 P.3d 982, 993
(2004). Generally, an administrative agency has only those powers that the legislature
expressly confers upon it, but an agency may also have implied powers that are
reasonably necessary to carry out the express responsibilities given to it by the
legislature. See id. The reason for such implied powers is that"as a practical matter,the
legislature cannot foresee all the problems incidental to carrying out the duties and
responsibilities of the agency." Id.
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The Hawai'i County Charter("Charter") expressly confers upon the Planning
Director the following powers in pertinent part:
Section 6-4.2. Planning Director.
(e)Administer the subdivision and zoning ordinances and regulations
adopted thereunder.
(i)Perform such other related duties and functions as may be
necessary or required pursuant to law and this charter.
Although the Charter does not confer upon the Planning Director the express
power to grant final subdivision approval subject to certain conditions, such power is
implied under Section 6-4.2(i) of the Charter because it is necessary for administering the
subdivision code,the purpose of which in part is to protect the health and safety of the
residents of Hawai'i County. Accordingly, it also stands to reason that the Planning
Director has the implied power to enforce the conditions upon which final subdivision
approval is granted by the Planning Director. Without such implied power, there would
be no reason to make such conditions because the subdivision applicant would never be
held accountable to complying with the conditions once final subdivision approval is
granted.
On the other hand, the Planning Director could require the completion of all
conditions prior to granting final subdivision approval,but this would preclude
developers from securing final subdivision approval prior to completion of construction
of improvements secured by a bond or other security. As a result,most developers would
be unable to obtain a loan to cover the cost of the improvements because they would be
unable to sell any lots until securing final subdivision approval.
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In other words, it is illogical to think that the Planning Director is without implied
powers to enforce the conditions imposed for final subdivision approval after final
subdivision has been granted. The Planning Director's powers are broadly stated in
Section 6-4.2 of the Charter because as a practical matter, the County Council cannot
foresee all the problems incidental to carrying out the duties and responsibilities of the
Planning Director.
As a condition of final subdivision approval, PLRC was required to preserve a
historic site,which it failed to do. Like any other condition required for securing final
subdivision approval, the Planning Director has implied powers to enforce the condition.
The remedial action required by the Planning Director as stated in his March 20, 2006
letter to PLRC does not require PLRC to do any more than what PLRC was originally
required to do to secure final subdivision approval.
As for the withholding of a building permit: the ability to get a building permit
for a house on this lot was contingent upon final subdivision approval. The subdivision
allowed PLRC to make many lots, on each of which, PLRC could get a building permit
for a farm dwelling. The final subdivision approval was on condition that the
preservation plan be finished (which included the actual preservation of the site.) The
condition has been breached. While it is impossible to undo the subdivision by re-
consolidating this lot with an adjoining property(because adjoining lots do not belong to
this owner), it is possible to prevent PLRC from realizing the benefit of the subdivision
by issuing building permits for Lot 54, only so long as no development area falls within
the established site boundary.
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2. The Planning Director has not Denied PLRC Fundamental Due
Process by Rendering a Decision Without Notice of an Opportunity
for a Hearing
As previously discussed, the Planning Director has implied powers to enforce the
conditions of final subdivision approval. PLRC was required by SHPD to preserve
historic site 18483,pursuant to Section 6E-42 of the Hawaii Revised Statutes, which was
made a condition of final subdivision approval by the Planning Director. In his letter
dated March 20, 2006, the Planning Director informed PLRC of his final decision
regarding PLRC's violation of its condition of final subdivision approval and provided
PLRC with notice of its right to appeal such decision within thirty days of the date of the
decision to the Hawai'i County Board of Appeals, pursuant to County of Hawaii Board
of Appeals Rules of Practice and Procedure and Chapter 91 of the Hawaii Revised
Statutes. Therefore, PLRC has not been denied fundamental due process by the Planning
Director.
Based on the foregoing, the Planning Director respectfully requests that the Board
of Appeals uphold his March 20, 2006 decision pertaining to PLRC's violation of
condition of final subdivision approval.
DATED: Hilo, Hawai'i, July 6, 2006.
CHRISTOPHER J. YUEN, PLANNING
DIRECTOR OF THE COUNTY OF HAWAII,
Appellee
By .
AMY A. SELF
Dep ty Corporation Counsel
Attorney for Appellee
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