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HomeMy WebLinkAbout2015-01-08 Hearing Transcript-Steven Schropshire _SMA 14-058_ WINDWARD PLANNING COMMISSION COUNTY OF HAWAI‘I HEARING TRANSCRIPT JANUARY 8, 2015 STEVEN SHROPSHIRE, A regularly advertised hearing on the application of SHROPSHIRE GROUP, LLC (SMA 14-058) was called to order at 9:03 a.m. in the County of Hawai‘i Aupuni Center Conference Room, 101 Pauahi Street, Hilo, Hawai‘i with Chairman Myles Miyasato presiding. COMMISSIONERS PRESENT: Myles Miyasato, Charles Heaukulani, Gregory Henkel, and Donald Ikeda. ABSENT & EXCUSED: Raylene Moses and Stephen Ono. ALSO PRESENT: Duane Kanuha (Planning Director), Danny Patel (Deputy Corporation Counsel for the Windward Planning Commission), Daryn Arai (Planning Program Manager), Jeff Darrow (Staff Planner), Maija Cottle (Staff Planner), Christian Kay (Staff Planner), Lucas Mead (Staff Planner), Sarah Hata-Finley (Commission Secretary), and Melissa Dacayanan (Planning Commission Support Technician). And approximately 20 people from the public in attendance. APPLICANT:STEVEN SHROPSHIRE, SHROPSHIRE GROUP, LLC(SMA 14-058) Continued hearing on the application for a Special Management Area Use Permit to allow the consolidation of 4 lots and its subdivision into 10 lots and a road lot with related improvements. The subject property is located along the north (makai) side of the Hawai‛i Belt Highway (State Highway 19) fronting the Mile Marker 19 at Waikaumalo, North Hilo, Hawai‘i, TMK: 3-2- 005:002, 003, 004 & 005. MIYASATO: First item on our agenda for today is continuance of Shropshire Group, LLC. Because this is a continuance, the Applicant already did his presentation but he does have a representative here that did the geo-study for that property, so we will let him speak, and then we’ll go into public testimony. LOCKWOOD (from audience): Excuse me, I did not hear you, sir. MIYASATO: Okay, you may come up. LOCKWOOD: Good morning. MIYASATO: Good morning. Could you please raise your right hand? Do you swear or affirm to tell the truth on this matter now before the Hawai‛i County Planning Commission? LOCKWOOD: I do. 1 EXHIBIT A MIYASATO: Could you please state your name and residence? LOCKWOOD: I’m John Lockwood, Dr. John Lockwood, if you wish, the, the tag. I live in Volcano, Hawai‛i. I’ve been a Hawai‛i resident for over 40 years. MIYASATO: Okay, go ahead. Well, would you like to speak on that property as far as your study? LOCKWOOD: Okay. You’d just like me to make a general statement about the property or—? MIYASATO: In regards to your study on the property. LOCKWOOD: Okay, yeah, I’m prepared to answer your specific questions, I can—I lecture at the University so I can talk story long time. MIYASATO: Well, there was, there was a concern in previous testimony on the erosion— LOCKWOOD: --okay— MIYASATO: --of the property, and contamination of the ocean, so if you have anything pertaining to those concerns. LOCKWOOD: Presumably, members of the Commission, you’ve read my report so you have the basic geologic findings in hand. The realities are that the Hāmākua Coast all the way from just north of Hilo all the way to, to--to Waipi‛o, that steep coastline is being eroded. These cliffs will be eroded over time, and in the next thousand years, there will be considerable, considerable migration of those cliffs inland. In respect to this particular property, which I have spent time looking at, it’s before you, I find no evidence of major landslides, rock falls having occurred. I found there are clear examples that rock falls have occurred in fairly recent time, but the width of these particular falls was, at the maximum, was about six feet wide, the amount of material that fell at any one time. These are clearly relatively rare events. Views from off-shore show that most of that cliff is heavily vegetated. It’s been vegetated for a long time. A critical bit of evidence regarding the, the stability of the property over the, over the human periods of time, rather than the geologic framework, the geologic time, is the fact that Ironwood trees, Casuarina, were planted along that coastline by sugar planters long time ago. We don’t know when. Maybe in the twenties. Many of those Ironwood still remain so although there are infrequent, relatively small collapses of that, of that cliff face, overall, to generalize the overall cliff face, most of it has been stable for a period approaching a hundred years, perhaps. The, a problem, a problem with the evaluation, a problem with the regulations that reference everything in terms of setbacks to specific erosion rates, a determination of a general erosion rate for this long coastline are not possible simply because we don’t have the resources to evaluate the very small changes that have occurred over time. It would be nice if we had detailed aerial 2 EXHIBIT A photographs that go back a hundred years. We could look at that cliff face. We simply don’t have them. All we can do, the oldest photos that had enough resolution for me to use in my analysis were dated 1965. Those photos—the best resolution I can see is about 25 feet, but, and there have been no significant changes in that period since 1965--significant enough to exceed that 25-foot limit. However, I suspect for most of that coastline, the changes have been zero. In other words, it could have been as little as zero or as much as 25 feet, but to be more specific to define an erosion rate is not possible. I can talk on and on about this, but I’d really be most comfortable in addressing your specific questions. MIYASATO: Thank you. Commissioners, any questions? Okay, thank you. LOCKWOOD: Okay. MIYASATO: I’ll call up testifiers. Could you please come forward from my right to left? You have, Albert Nakaji, Akiko Matsuda, Ingrid Nishimoto, and Robert Nishimoto. You’ll each have three minutes for your testimony and then you’ll be asked to summarize. Could you all please your right hand? Do you swear or affirm to tell the truth on this matter now before the Hawai‛i County Planning Commission? NAKAJI: Yes, I do. MATSUDA/I. NISHIMOTO/R. NISHIMOTO: I do. MIYASATO: Okay, could you please state your name and residence? NAKAJI: My name is Albert Nakaji. Distinguished and distinguished looking Director Kanuha, Chairman Miyasato and Members of the Commission, thank you for this opportunity to comment. My written testimony is fairly lengthy, so what I will do is summarize and then certainly be very open to elaboration if you so wish afterwards. The first issue has to do with subsidence and landslides, and I talk about this with great respect for Dr. Lockwood. There was a landside in about the 2004-2000 timeframe at Nīnole which caused about 30 feet about the cliff edge to fall into the ocean. Then, and this property is within a quarter to one half mile from the subject properties. Now, this incident was not reported to the best of my knowledge in any of the media. It was just something that just happened literally in someone’s backyard so there is perhaps no documentation of that. But, about 30 feet of the cliff edge fell into the ocean. As many of you know, also in 1994 at Laupāhoehoe, many feet in front of a home fell off. It took a pigpen, and it left a home hanging literally, hanging over the edge of the cliff when that occurred. 3 EXHIBIT A The second issue has to do with ground contamination from prior use. Prior use for the area as a service station and garage is undisputed. There, there are statements from former employees that dumping of chemicals into the ground was routinely done. Now, keep in mind that the service station garage was built circa 1954, and rules, regulations, and enforcement of any kind of chemical dumping at that time was very lax. The attitude towards environmental pollution was very different from it is today. There is no evidence of any cleanup or examination of such chemicals in the soil. Now, this is not the same area, not the same area as the underground storage tanks which were in fact removed, and the immediate surrounding area was remediated. It’s not the same area, okay? It’s a different area. The next item is the use of cesspools and the effects of leaching of its existing contaminants by the cess—cesspool effluent. Now, if, if there are in fact contaminants in the ground from the previous use, the use of cesspool may very reasonably cause leaching of those chemicals either into the groundwater or into the ocean. It’s not like a septic system which is enclosed. The cesspool may in fact cause any residual contaminants to flow. MIYASATO: Mr. Nakaji, could you please summarize? NAKAJI: Next issue is view planes. The, the ocean can be seen even from the highway, even with a limit of 20 feet, it’s not gonna, it’s not gonna prevent the, the view plane from being disturbed. Traffic, ingress, egress, that is very close to a blind curve, very hazardous. One also needs to ask whether additional residential lots are available. The County CDP for Hāmākua, although is not finished, consistently provide, provides for maintaining the country ambiance of the area. That summarizes my statement, Mr. Chairman. MIYASATO: Thank you. Commissioners, any questions? Thank you. Mrs. Matsuda. MATSUDA: Thank you. My name is Akiko Matsuda, and I live at 29-2091 Old Māmalahoa Highway in Wailea, Hilo side of the Hakalau Veterans Park. I’m the owner of Akiko’s Buddhist thth Bed and Breakfast. Our 17 annual mochi pounding was Sunday, December 28, and we are grateful that Steve Shropshire came and participated. Mahalo, Steve! You and the two Chinese gentlemen you were with experienced a special diversity of nationalities, ages, residents—some born and raised in Hawai‛i and new residents. It was a day open to anyone, and we guess that at least 500 people came throughout the day parking at Hakalau Park and walking down the street to Wailea. Vendors were asked to make a $20 donation, most gave some money, some gave all, mochi pounding is supported by anonymous donors and generous vendors and a multitude of friends. It has been done for 17 years now simply to perpetuate cultural tradition, to bring human beings together, and to bring out the best in us all. The spirit of kōkua, the spirit of aloha, the spirit of our community working together. We have known your spirit, Steve, your drive. The time you invited us to hike up Hakalau Gulch so you could share your vision of an eco-tour trail. As sick as you were that day, raining as it was, and slipping and falling into the stream, you continued on. Like your late father shared with me, as a child, you have always kept going, never stopping, always pushing ahead. We all have the power to be healers, guides, transformers, visionaries and all—as well as stranglers of human spirit and the spirit of place. We all have power and choices. I request on 4 EXHIBIT A behalf of the ancestors and the community that you will give sole full consideration to the legacy you will pass on to your son. Will it be money, property with big homes, gated white communities, a legacy of distrust and distain by the local community? You get ten lots, if this all passes. And we ask that you can also dedicate four lots for local, i.e. born and raised in Hawai‛i. People who can own their own houses and their land for no more that a $135,000. Within this community of ten people, ten households, excuse me, all who buy and live there. They will know that they are building a vision for the Hāmākua Coast. A vision for Hawai‛i, a starter. Build and perpetuate a vision for other big developers, for your son to continue. Something he and his children will be honored to be part of and will dedicate their lives and will be celebrated in oli and chants, seven generations from today, that you come—were committed to and dedicated at least with one small community, to create a diversified community reflective of our special Hawai‛i. Mahalo. MIYASATO: Thank you. Any questions, Commissioners? Ms. Nishimoto. NISHIMOTO, I.: My name is Ingrid Nishimoto, and I live at about the 19.3 mile marker in Nīnole. Right after the last hearing in December, there was an article in the newspaper entitled, “Home Prices on the Rise.” The jump in prices being driven by fewer homes available at lower prices and more sales in the higher ranges. The community of Hakalau was told that the development across from their post office would be affordable housing. It didn’t turn out that way, and there is no guarantee that homes built in Nīnole will also be affordable. Today is about an application at the 19 mile marker. Another building by the 20 mile marker has been in the news for the past ten months--the $26 million dollar home. The land had been a mac nut orchard. And, the first building application was for a sod farm. The second application was for a turf farm with a home to live down on the farm. Ten months ago, we found out what it really was—a home for the ultra rich, including the largest private swimming pool in the world and 2, and 3 helipads. It went up for auction and was bought for $5.75 million. Five months later, the buyers from Missouri put it back on the market, and this time, they’re asking for $10 million. Doesn’t this sound like speculation? What, where is that sod farm? Are the owners paying taxes for a piece of Ag land or for a home of the ultra rich? There is also the issue of permit violations like for those three helipads. Applying the County schedule of escalating fines for violations to the rules, it would have been a fine of over a $150,000. However, the developer was somehow able to get the fine down to $2,370, 1-1/2 percent of the original fine. How would it work out for me if I got stopped for not wearing a seat belt? Could I tell the police officer, oh my arthritis is really bothering me today. I don’t have the strength to click it. Could I talk my ticket down from $102 to a $1.53? At the 19 mile marker after trees were cut, there was bulldozing. And later in November, when the first hearing on this application was postponed, the orange fencing went up around Election Day, and then around Veterans Day, the black silt barrier was installed. Both were after the fact of the bulldozing. Is this a permit violation? Especially with the Special Management Area. The Hāmākua Coast is known by scientists to be an important habitat for the endangered juvenile hawksbill turtles. We may not be able to see the endangered turtles or the opihi from the highway, but that doesn’t mean they aren’t there. 5 EXHIBIT A What happens to our property taxes and property values? Rental rates for post office box are based on property values, and Nīnole’s rental rates have already become higher than Laupāhoehoe’s. Is Nīnole really the seedy fringe of a ghetto as was stated at the last hearing? It could very well turn out by having the infamous honor of being called the town with the miracle mile along the Hāmākua Coast between the 19 and 20 mile markers. MIYASATO: Thank you. Commissioners, any questions? Mr. Nishimoto. NISHIMOTO R.: Good morning. My name is Dr. Robert Nishimoto, a life time resident of Nīnole, graduated from Florida State where we got whomped by the Oregon Ducks if you like college football, but anyway my testimony will focus on basically three issues. First, is the suspected contamination site south of the repair shop; “B” is a cesspool safety claim in one of the geological reports; and three, it’s a, it’s a basically a letter from Department of Health regarding the survey of arsenic on that property. First of all, I have for you on your desk, on your tabletop, a map for some guidance when I speak. They, the panel on the left is really from Google Earth that points out two buildings on that property. One is a service station, and the second one is auto repair shop which is on the south side of the property. And the second panel is, is if you see there’s some excavation not th really going on, that was done December 15, but excavation started way before that. I’d like to thank the Commissioners for giving me the time to review the article, excellent report, basically it was a removal of two 1,000 gallon tanks where 1.5 tons of soil were remediated responsibly. However, keep in mind that this site was only a 10 feet by 10 feet square site at the service station building if you look at your panel. The letter from DOH in 2005 said that no further remediation was necessary. However, please be aware that if further information reveals presence of contamination at the subject site then additional investigation and remedial action may be necessary. I have testified both in November and December that I worked there during the summer, and I was mandated and also have been witness to the almost daily disposal of used petroleum products on the south side of, of that building, if you look at the second panel. Again, unfortunately, somebody already did some digging, but I’d like to remind you that during my job, the whole back side was like a squishy sponge, basically walking through a bed of oil. I’d like to recommend that they do a thorough study because it really becomes a public health safety issue. My second point is Exhibit 7, Engineering Feasibility Study by Atlas Engineering dated March 21, 2014. I’d like to refer you to Page 2, Wastewater, second paragraph. I’d like to paraphrase—even though the property is adjacent to the ocean, wastewater would enter the cesspool would be sufficiently treated long before reaching the ocean or water table. That is patently false, and I have here three publication from a journal called Marine Pollution Bulletin. I will, I will submit it to the Planning Department which shows that there is—you can trace cesspool directly from the, the basically high nitrogen from the cesspool down to the reef, so I will submit this as part of my testimony. 6 EXHIBIT A Although cesspool will be legal here, I know there always been a cop out by staff. I think it’s pono to think about this. There is proof. Just to say a fact that we don’t know enough is wrong because this basically counters that, so I think it will be pono for the Commissioners to think about Hawai‛i. To think about the opihi. To think about the turtles. Thank you. MIYASATO: Any questions, Commissioners? Thank you. The four of you may have a seat. I’d like to bring forth the next four testifiers, Brenda Levesque? LEVESQUE (from audience): Levesque. MIYASATO: Sorry about that. LEVESQUE (from audience): That’s okay. MIYASATO: Sharon Blank, Dan Banks, and Gerry Allen. Could you all please raise your right hand? Do you swear or affirm to tell the truth on this matter now before the Hawai‛i County Planning Commission? LEVESQUE/BLANK/BANKS/ALLEN: I do. MIYASATO: Thank you. You all have three minutes for your testimony, and then you’ll be asked to summarize. LEVESQUE: Thank you. MIYASATO: Please state your name and residence. LEVESQUE: Good morning, gentlemen. My name is Brenda Levesque, and my husband and I have lived in Nīnole for about four or five years now. When we first started coming, I always looked at Nīnole, and thought if I was ever lucky enough to be able to live here, that’s the community that I would want to live in, and in a community that consists of mostly of very large lots that are very pricey, we were very, very lucky that we were able to find one of the rare, small lots because otherwise we never would have been able to be in that position. So, I think that any development that has the availability of smaller lots is a positive thing for our community. Just recently, a young family moved in to a—one of our very small lot on my street—and it’s really nice to see to see the family coming up and down the street with their kids, with their dogs. You know, every day, I just give blessing and I’m thankful that I get to live and work in this community, and I know that you can’t tell from my accent that I’m a haole girl from the East Coast, but this haole girl is so thankful every day that I’ve been able to come here and find my piece of paradise that I don’t want to stand in the way of someone else finding theirs. So, for that reason, I support this development. Thank you, gentlemen. MIYASATO: Any questions? Thank you. Mrs. Blank. BLANK: I’m Sharon Blank. I reside at Mile Marker 19.3. In the months since I last appeared before you, there have been many personal communications with Hāmākua residents who wish 7 EXHIBIT A to be anonymous about the proposed development. Overwhelmingly, they are in opposition to increasing the density of lots in this SMA, and have provided additional information which may help the Commissioners in their decision. The Commissioners may be interested to know that a potential buyer was told that eight of these Nīnole oceanfront lots would be ready for market in three to four months. In the huge slide behind the Nīnole Post Office about ten years ago, some 30 feet reaching in from the edge of the cliff unexpectedly collapsed into the ocean. The slide extended across several properties including mine less than .3 miles from the proposed subdivision. There is no reason to believe that the cliff on the subject property is more stable, and even a 60-foot setback from the cliff might suddenly be halved. Drivers through the three Hāmākua horseshoes on Highway 19 are witness to the constant and sometimes dramatic crumbling of the lava rock walls, despite the best efforts of the Highway Department. Although long time ago, local memory has it that abandoned railroad junk, tracks, trucks, large machinery, and other dirty materials, were used to fill the lower portions of the subject property. Remaining unseen and almost forgotten, these create a weak foundation for further fill, increasingly already unpredictable land structure of the Hāmākua Coast. Geohazards report on the project noted cliff slides occurring in “low lying areas, apparently the sites of permeable artificial fill materials and soil.” The report also notes that allowing water to seep through the old fill should be avoided. Hāmākua soil and lava beds are considered to be highly permeable by the United States Geological Service, allowing pollutants to easily drain down to the ocean and water table. The old garage and chemical dumping site located behind the service station is remembered by old timers as being particularly nasty and was heavily used for years, adding to the toxic load of the property. This area was not cleaned or tested when the gasoline tanks were removed. If disturbed in the wrong way, the filth will spread. Construction debris at the time of the renovation of the plantation houses on the site was observed being pushed into the streambed. Although legal for Nīnole construction at this time, Hawai‛i Department of Health is seeking to make new cesspools illegal within 750 feet of the shoreline. The Department of Health website notes that “cesspools are little more than holes in the ground that discharge raw, untreated human waste. Cesspools can contaminate groundwater, drinking water sources, streams [and] oceans with disease-causing pathogens, algae-causing nutrients, and other harmful substances.” The SMA guidelines require protection of the ocean and environment. Food gathering areas, i.e. the actively fished shoreline below the property need extra protection. Seeping from seven new cesspools in addition to what may already be leaching into the ocean from the site is certainly worthy of an environmental impact investigation. On behalf of many Nīnole residents, including those who eat from our shore, I ask the Applicant do the pono thing, fully testing for and mitigating the hazards already on the site, reduce the size of the project, and exceed the existing requirements for protecting this SMA environment. Thank you. MIYASATO: Commissioners, any questions? Thank you. Mr. Banks. 8 EXHIBIT A BANKS: Good morning, my name is Dan Banks. I live in Wailea. I’ve lived there for about eight years and have been in Hawai‛i about 28—teacher, worked with sports, kids. I’m here today to say that the project—I’m just a, well, I’m here today to ask actually how the project has gotten to this point because I know as a just a regular common man, I don’t think that I would have been allowed to get to this point without having prior approval. A couple of things like the setback of 60 feet from the cliff, and I’ve heard other speakers speak about the contamination issue. I know that when we built in Wailea, there was a 500-foot setback from the well that pumps water out of Wailea. Five hundred feet setback by the Health Department so we would not contaminate the well that pumps water from the Wailea Pumping Station by the old school. Is there anyone here that could corroborate that? So, therefore, it seems to have a development this close to the ocean from what some of the other speakers said, I think Dr. Nishimoto sounds correct. And, the other thing I’d like to bring up, is in the application, I see on Page 4, the one that was given to me this morning, the Background Report, it was talking about water. Again, as a common man, I’ve gone to the Planning Department, and I’ve asked, is it possible that I could do something with my land so my son could live on it, and they said, well, smilingly or, you know, very positively, well yes, if you can show that you have a water permit. And so I go to the Water Department, and they said there are no permits, but yet I see here that this particular gentlemen and his company is going to be allowed to apply for a variance. When I was asked if I could apply for a variance, the Planning Department told me we would rule against it. We will rule against you as an individual to allow you to have a place— PATEL: Excuse me, if I may, try to keep your testimony focused on the application in front of the Commission. BANKS: It is, it’s directly involved because there’s a water issue on Page 4. PATEL: Yeah, what I’m suggesting is just to limit your testimony to the merits of this application. I understand you have concerns with issues you had, you know, personally in the past, but try to keep it limited to this application— BANKS: Oh, okay, I’ll go directly to this. Then, therefore, I say that this application should be stopped because there are, the variance should not be approved. There’s no water permits, so it should be stopped right now. Secondly, the erosion problem. I was there. I witnessed myself as other people did. It was dozed in on a Saturday and Sunday. Saturday and Sunday, that was an immediate red flag. Why would someone in commercial doze on Saturday and Sunday if they weren’t trying to get by with something. There were no orange fences up. Even now, if you go out today, the orange fences have been pushed down. There is no, absolutely no in some areas, hold back of any soil erosion for a—contamination of the ocean. So, there are drainage issues. Thank you. MIYASATO: Commissioners, any questions? Okay, thank you. Ms. Allen. 9 EXHIBIT A ALLEN: Hi, my name is Gerry Allen. I live just past the 19 mile marker in Nīnole and have since the late eighties. Before that, from Kāne‛ohe. First of all, I would like to start by saying that my family and I were witness to the, the erosion and the fall of the slide, about ten years ago. My sons were outside and heard it and saw it, and I heard it from inside. But, then, from my statement, Mr. Shropshire says he wants to build this subdivision to make affordable housing for the locals, but it is the locals in the upper low income and/or the lower-middle income that need the lots and/or housing that is affordable. Right now, the only place one of these locals can get affordable real estate is in the Puna area. Locals like my sons who were raised in Hawai‛i cannot afford to buy in Hāmākua because it is not affordable for people in their income brackets. They are stuck in Puna because of people like Steven Shropshire who come from the mainland and buy up all the land to make money, not to help the locals. If this subdivision is allowed to proceed, then we all want it to be truly affordable for the locals that need it and not for the people that can choose wherever they want to buy real estate. Also, if it goes forward, all of our property taxes will go up. Mahalo. MIYASATO: Commissioners, any questions? Thank you. The four of you may have a seat. Okay, I’ll call a close to the public testimony. Do I have a motion to close public testimony? HENKEL: What are you looking for Myles? MIYASATO: A motion to close public testimony. HENKEL: So moved. MIYASATO: Do I have a second? IKEDA: I’ll second. MIYASATO: All in favor? COMMISSIONERS: Aye. MIYASATO: Any opposed? Okay, call a close to the public hearing. Commissioners, staff, do you have any further comments? DARROW: No comments, just bring to your attention the additional information that’s been submitted to the Commission this morning. It has been handed out. We have a letter from the Applicants dated January 6, 2015, in response to Calvin Motoda’s testimony. We have a picture. This was submitted by Bob Nishimoto this morning. We have testimony from Marina Trommer, from Sharon Blank, Beverly Molfino, Michael Brown, and Dr. Richard Robbins which were all attached to one correspondence, and I believe since our last hearing, we also received another th letter from the Applicants dated December 30 responding to the previous hearing and testimony th given at that hearing, our December 4 hearing. We received a testimony from Calvin Motoda, nd and this was dated, emailed January 2. And then lastly, a—a letter from Albert Nakaji. So just 10 EXHIBIT A to bring you up on, to speed on the additional information that was provided to the Commission. Thank you. MIYASATO: Commissioners, any questions from staff, for staff? If not, Commissioners, any discussion? HENKEL: Mr. Chair, are we gonna hear from Mr. Shropshire again? MIYASATO: You may call him forward if you have questions. SHROPSHIRE: Good morning, Mr. Chairman and Members of the Commission. My name is Steve Shropshire, and I reside at Post Office Box 1146, Hilo. Do I have—can I respond to any specific questions or I’ve also have prepared, some prepared— HENKEL: I—I have a couple of questions, Mr. Shropshire— SHROPSHIRE: --okay— HENKEL: --you know, there has been some concern about first of all, the cesspools, but I see on a response from Ms. Mikkelson that you people are going to use a State approved septic system rather than a cesspool. Is that correct? SHROPSHIRE: That’s correct, yes sir. HENKEL: And there’s also been some concern about the hazardous waste that was dumped previously, and I was wondering about your, your attempts to mitigate that situation. SHROPSHIRE: You know, I think at this point what we have are innuendos and accusations that have not been substantiated. We do, when we purchased the property, we were very concerned about the former gas station and the potential liability, and we felt satisfied with the closure report that was provided by the State of—State Department of Health. I had, I’ve since had conversations with Mr. John Peard with the State of, Department of Health, and he’s indicated to me that it’s not on a particular watch list of concern of theirs, main concerns of theirs. He did also tell me that petroleum products are not considered hazardous waste under Federal guidelines, and in most of the cases, a lot of these prod—a lot of these chemicals dissipate in the atmosphere. Having said that, we—we purchased a similar oceanfront property in Hakalau and worked with the Department of Health in mitigating, have been working with them in mitigating an arsenic issue. We’ve been transparent. We spent over a $100,000 to date. To mitigate that, we’ll probably spend another two or three hundred thousand dollars to finally resolve it. We have an approved remediation plan for that. Certainly, if there’s an issue, and incidently, you know, these additional lots that we’re proposing, aren’t, aren’t in the area that, in question. We will certainly do whatever is necessary and whatever is prudent in terms of you know further investigation, but at this point, they’re innuendos, and accusations as I said. I feel like the closure report gives me satisfaction, but I think that it would prudent for us to do some additional probing, if that answers your question. Again, our track record is that we’re, 11 EXHIBIT A we’re you know, we take responsibility. If there’s an issue, we’re gonna deal with. Leaving it alone and not doing anything with it—had I not bought the property, you know, you would still see the five containers of junk on the property that I’ve been cleaning up. You know, we spent a lot of money trying to get the property cleaned up. It was, it was a mess. Most of it was just scrap metal thrown everywhere. So, we’re, you know we’re conscious of—of making this a clean and beautiful project as we’ve done on other projects. HENKEL: One final question. I know you’ve been, removed some invasive species and stuff too. How long had that property sat neglected before you started working with it? SHROPSHIRE: You know, that’s a good question. The a—the commercial buildings have been occupied on and off, primarily by the former owners that they had after the gas station closed, I believe it was in the eighties or nineties. There’s a, you know, it’s been used for commercial storage, but it, you know, it’s been actively used, the property, the gas station and the homes and so forth have been occupied since the—I believe it’s the 1930’s or 1940’s. You know, as a land—my background is in landscaping, and as a horticulturist, you know, I’m well aware of the fact that in Hawai‛i that you know the invasive species will, if allowed to take over, will take over, and that’s exactly what happened to this property. People talk about view planes—you couldn’t see three feet into the property when I purchased it. It was a complete wall of 60 feet of, of Albizia, African tulip, and various other, you know waivi. It was completely, you couldn’t walk three feet into the property. It was a chokehold. So, we have gone, you know, that’s one of the goals, is to, is to open view planes and create view planes from the highway. Because of the topography of the land, the homes will be, you know, primarily below, there’s a slope below the highway so I think with our height limitation, this, our project will be a net benefit in terms of coastal views and opening of coastal views. But, the property, I believe it—I would say decades that the results of that overgrowth of invasive species has been decades, unattended for decades. HENKEL: Thank you. That’s all the questions I have right now. SHROPSHIRE: Thank you. MIYASATO: Commissioners, any further questions? Thank you. SHROPSHIRE: Okay, do you mind if I say just a couple quick things? Do I have time to do that? MIYASATO: If it’s pertaining to testimony that was given today. SHROPSHIRE: Absolutely. MIYASATO: Okay. SHROPSHIRE: Okay, so I guess what I want to remind you know each of us is that you know, there’s just a general tendency for people to you know basically, once, once someone comes in 12 EXHIBIT A and buys a home, they’re gonna be protective of new people coming in, and I’ve run into that time and time again. In fact, they’re people in the audience here that have purchased my properties, and when I tried to develop their property, there were people before them that stood up and said don’t develop this property. Now, they’re here defending the property that they have saying don’t do this again. So, it’s just a natural human cycle to say I have mine, you can’t have yours. I think it’s—you know, there’s a lot of innuendos, a lot of accusations, a lot of like general information that’s been floating around about this property. The cliff stability report, it’s important to recognize that right now, I’ve agreed to a 60-foot setback. That’s substantially greater than most properties along the Hāmākua Coast. I’ve agreed to do that until such time that the Planning Director has the opportunity to review the report that I’ve submitted. If he’s satisfied with that report at some later date, then we are hoping that he will consider a 40-foot setback, but right now, this SMA application in front of you deals with a 60-foot setback. Mr. Lockwood provided, I thought, a very in-depth report. You know, if there is, there is again speculation that this cliff is not stable, I think his report contradicts that. I think it is stable. If, if we’re questioning the stability of the Hāmākua Coast, then we need to look from Honoli‛i to Honoka‛a. You know, if we’re going to start condemning land, then we need to be you know, look on this on a global scale, but I’m convinced that our property is no different than any other development along the coast, and I think a 60-foot setback gives you that ample guarantee. I’m a small business person, you know, I came to this island. I’ve invested money. I’ve invested time. I have years invested in this particular project, hundreds of thousands of dollars. I’ve been deliberate. I’ve followed the steps that have dictated me by the law. I worked with the Planning Department. I’ve gone through the various Planning Department procedures and permits. Further delaying this project creates an economic hardship for me and my family. You know, I guess the other point is that this, one of the community development plan and everybody keeps saying you know keep the country, country, and how is this you know, there’s gonna be too much density, etc., etc., but I’ve been a participant of the, of the Hāmākua Community Development Plan, active participant for the last five years, and one of the elements of that plan is locating services in existing townships where there can be, where’s there’s existing services, and so that, what that does is allows for the—stops the proliferation of, proliferation of urban or rural sprawl so that we don’t have these gentlemen farms up and down the coast taking valuable farm land, so, we are able to locate people on a smaller footprint. So, and I think that’s what this project does. There’s been some discussion about affordable housing. Two of these properties are gonna be—two or three---are gonna be, so less 30 percent of the project will be considered by law, or in the two hundred thousand dollar range is the house lot package, so that’s, that’s clearly you know meets that objective, and those are the homes that we’ve restored. I think we’ve been a responsible community participant. We’ve donated a $200,000 gift to the church next door as part of our efforts in the community. We’ve cleaned up the site. We’re trying to do the right thing. We’re trying to approach this, you know, as a conscientious community developer, and I think that our track record speaks to that already, and I hope that you’ll consider approval of our application today. Thank you. 13 EXHIBIT A MIYASATO: Thank you. Commissioners, any discussion? If not, I’ll accept a motion. HENKEL: Mr. Chair? MIYASATO: Yeah. HENKEL: I’d like to move that in the SMA 14-058 for Steven Shropshire and the Shropshire Group that the Commission approve with the Planning Director’s recommendations. DARROW: Mr. Chairman, if I could interject at this point. Commissioner Henkel, just to bring to your attention, we also had some added conditions for the Commission to consider. Is that inclusive in the motion? HENKEL: Yes. DARROW: Okay, thank you. MIYASATO: Okay, I have a motion. Do I have a second? I have no second for the motion. Do I have any other further motions? PATEL: If I may suggest to the Commission, if there’s, you know, part of the deliberative process is—if there’s a motion, part of what is within your authority is to you know talk it out, try to convince other Commissioners of your point of view. On the other hand, if other Commissioners feel that they cannot support the motion as proffered, they can propose amendments to the motion such that would allow them to be able to either support or go against any motion that’s made. With that said, if the motion was to approve pursuant to the Planning Director’s findings and recommendations, if someone is considering a motion to deny the application, perhaps we could work to provide proposed findings of fact and conclusions of law to address the specific criteria of the application. That can be circulated. The Applicant would have a chance to respond, and that could be up for a decision before the Commission at the next meeting. HENKEL: Mr. Chair, if I withdraw the motion, can we—are we back to where we can discuss it? MIYASATO: Yes. HENKEL: I withdraw the motion. MIYASATO: Commissioners, any discussion? HENKEL: Mr. Chair? MIYASATO: Commissioner Henkel. 14 EXHIBIT A HENKEL: You know, I’m sensitive to the concerns of the, the people of the area, but from my point of view, neglect is more harmful than anything and this property has been neglected for decades, and I am confident that Mr. Shropshire has been undergoing an honest effort to improve it, to you know and like he said, to follow the rules and to I think there’s room for house lot size development, and a—I, that’s the reason that I made the motion, and I’m interested to hear some of the concerns of the other Commissioners as to you know why, why they won’t support it. MIYASATO: Commissioners, any further discussion? Commissioners, any motions? What is the result of a no action? PATEL: No action? I think that’s something that we can discuss in executive session, but we should, we should discuss that. MIYASATO: Okay. PATEL: So, if there’s a motion for executive session, we can do that. IKEDA: We can postpone it for the next meeting, yeah? Because I have concerns. I know Mr. Shropshire did everything correct. PATEL: Well, actually, if you have concerns, you should— IKEDA: Mr. Miyasato, let me, you know—you know, I really believe Mr. Shropshire did everything correct, but I still have concerns and I think stated before, you know, like your water permits, that really bothered me, and I’m really glad that you agreed to the minimum setback of 60 feet until, you know, and—and the only thing that was, you know I can kind of support your, your project, and like I said, the only drawback I had was the water, water catchment, but I have mixed feelings at this time so, either way, you know, if motion should come up, I will listen very carefully, but like I said, I think you did everything correct and you’re within your rights. SHROPSHIRE (from audience): Can I comment on water? You know gentlemen— MIYASATO: You have a question for him— IKEDA: --yes, yes, go ahead, if you want to explain the water. SHROPSHIRE: Yes, thank you Mr. Ikeda. The gentlemen in the audience did, did talk about water being kind of the determining factor on, on developing. We, of course, have done everything within the guidelines of the Planning Department, and the current laws basically say that an existing tax map key that is within a certain rainfall criteria is allowed up to six units, additional units for subdivision, within its existing zoning if there is water, excuse me, with water catchment. So, we had, we had four existing water meters. The system in that area, Mr. Ikeda, is like most systems along the Hāmākua Coast, is antiquated, and doesn’t allow for any further expansion, so that was our first stop, was the Water Department. They said no, you have 15 EXHIBIT A four and that’s all we can give you, so we went to Jeff’s, the Planning Department, and we were told that you know, we read through the laws and we understood that this, that we were able to fall, that our property fell within the guidelines of water catchment criteria, so that’s, so we were able to go forward on that, the six additional units for water catchment. There’s plenty of rainfall, you know, I have a home in Onomea that, with a 10,000 gallon, you know, cement catchment system. I’ve never run dry. It’s more than adequate to, you know, to supply our family for all of our needs. So, it is, it is definitely within the law, and, I don’t know if Jeff or the Planning Director would like to comment further on that, but we—it is customary to do this, and you’re not able to rezone a property and do that, and this is not a rezoning because we had existing zoning, so—thank you. MIYASATO: Commissioner Henkel. HENKEL: I live in rural Puna, and I mean, I’d be amazed if the Department of Water Supply were going to bring water to my neighborhood. We—I don’t think we can limit to development where there’s existing water infrastructure. It would, it would be untenable. Having said that, you know the, the technology of both energy and filtration and stuff has made catchment systems more viable, and the location on the Hāmākua Coast is probably—be even safer than where I live, in, in Puna. So, I, I don’t look at the limited water as a drawback. DARROW: Mr. Chairman, if I can interject briefly. There could be a difference in the situation regarding the gentlemen that testified versus the Applicant. The Applicant as mentioned currently has the zoning in place, so different rules apply to them versus somebody that doesn’t have zoning in place and requires a change of zone. Then you, you’re in a position where you need to have County water, and so that unfortunately, meets with a lot of people that are upset that they cannot rezone because County water is not available. Thank you. MIYASATO: Any further questions, Commissioners? Thank you. I’d like to make a motion that we move into executive session and consult with our attorney on questions and issues pertaining to the Commission’s powers, duties, and privileges, immunities, and with liabilities regarding this application. IKEDA: I’ll second. MIYASATO: All in favor? COMMISSIONERS: Aye. MIYASATO: Any opposed? Let’s move into executive session. All excuse us, please. At 9:59 a.m., it was moved by Commissioner Miyasato and seconded by Commissioner Ikeda that the Commission go into executive session to consult with its attorney regarding questions and issues pertaining to the Commission’s powers, duties, privileges, immunities, and liabilities, 16 EXHIBIT A pursuant to Hawai‘i Revised Statutes Section 92-5(a)(4). A voice vote was taken of all Commissioners present, and motion carried with four aye votes. At 10:03 a.m., the Commission went into executive session. At 10:16 a.m., it was moved by Commissioner Miyasato and seconded by Commissioner Heaukulani that the Commission go out of executive session. A voice vote was taken of all Commissioners present, and motion carried with four aye votes. The hearing reconvened for regular session at 10:18 a.m. MIYASATO: I’d like to call the meeting back to order. Commissioners, any discussion? I’ll accept a motion. HENKEL: Mr. Chair, I feel that the Applicant has met all the requirements for this development, and I would move that SMA 14-058 be approved by the Commission with all the recommendations by the Planning Director. IKEDA: I’ll second. MIYASATO: Okay, motion by Commissioner Henkel, seconded by Commissioner Ikeda. Any discussion? If there’s no discussion, call the roll. DARROW: Thank you, Mr. Chairman. Again, just for clarification, if that includes the added conditions, correct? HENKEL: Yes. IKEDA: Yes. DARROW: Thank you. With that, we’ll take the roll call. Commissioner Henkel? HENKEL: Aye. DARROW: Commissioner Ikeda? IKEDA: Aye. DARROW: Commissioner Heaukulani? HEAUKULANI: Aye. DARROW: And Mr. Chairman. MIYASATO: Aye. DARROW: The motion passes four to zero. 17 EXHIBIT A MIYASATO: You’ll be notified in writing. The discussion ended at 10:19 a.m. Respectfully submitted, Sarah Y. Hata-Finley, Secretary Windward Planning Commission 18 EXHIBIT A