HomeMy WebLinkAbout2017-02-28 Letter to Sylvia Luke re HB 1310, HD1 Relating to Waiakea Peninsula Redevelopment DistrictHarry Kim
Mayor
Wil Okabe
Marmgmg Dtrector
Barbara J. Kossow
Deputy Managing Director
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(Offirr of fhrffi pr
25 Aupuni Street, Suite 2603 - Hilo, Hawai'i 96720 • (808) 961-8211 • Fax (808) 9616553
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February 28, 2017
Representative Sylvia Luke
Finance Committee
Hawai'i State Capitol
Honolulu, HI 96813
Dear Chair Luke and members:
RE: HB 1310, HD1
Relating to the Waiakea Peninsula Redevelopment District
Thank you for this opportunity to testify in support of the intent and purpose of HB
1310, HD1,
HB 1310, HD1 and HB 1479, HD2 both deal with the redevelopment of a portion
of Hilo, although the scope of HB 1479 may be broader and the language more
detailed. In testifying on HB 1479, 1 pointed out that the County of Hawaii has been
partnering with the community in planning the future of publically-owned commercial
properties in Hilo, through the Banyan Drive Hawai'i Redevelopment Agency (BDHRA).
While we appreciated the initiatives put forth in HB 1479 and comparable bills, we had
not wanted to abandon our current partners, and therefore had been hoping to get input
from BDHRA before taking a final position on the proposed legislation.
Since your hearing on HB 1479, BDHRA has expressed its support for a
redevelopment district, so we, too, are on board.
We wish to offer the following comments for your consideration:
1. Should this bill be enacted into law, the Hilo Community Economic District
(HCED) will be the only redevelopment district outside of the City and County of
Honolulu. For this reason, we ask that consideration be given to providing that
the District have a voting majority of members from the Hilo community. Any
cultural specialist, in particular, should definitely be a cultural practitioner from the
Hilo community.
County of Hawaii is an Equal Opportunity Provider and Employer.
Sylvia Luke
Finance Committee
February 28, 2017
2. Financial support from State general revenues should include
opportunities for staffing and facility support, through reimbursements, as may be
provided by the County of Hawai'i and the BDHRA in support of the Banyan
Drive redevelopment project.
3. We cannot afford to jeopardize or divert the real property tax revenue that
comes from the affected parcels and currently goes into the County general fund.
(We estimate that for the properties in HB 1479, tax revenue exceeds $3M. We
do not have a separate estimate for just the Waiakea Peninsula, but it, too, woulc
be substantial).
HB 1310, HD1 says that
SECTION 5. There is established the Waiakea peninsula redevelopment
district revolving fund, into which shall be deposited:
(1) Fifty per cent of the revenues, income, and receipts from the
public lands in the Waiakea peninsula redevelopment district;
We do not think that provision is intended to include real property taxes, but
would need language that makes it crystal clear that real property taxes are not part of
"revenues, income, and receipts..."
We appreciate the attention that the Legislature has placed on the disposition of
State lands within and proximate to the Banyan Drive Peninsula and the Kanoelehua
Industrial Area, where opportunities exist to optimize the use of these lands for the
benefit of the entire community. Our ongoing efforts with the BDHRA reflect that such
benefits are not simply economic, but social and cultural as well. It is with this
comprehensive approach that we support the intent and purpose of HB 1310, HD1 and
other bills introduced during this legislative session that seek to explore opportunities
regarding the use and management of State-owned lands within the core economic
section of Hilo.
Respectfully submitted
arty Kim
Mayor
County of Hawai' i is an Equal Opportunity Provider and Employer