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HomeMy WebLinkAbout2018-10-18 Leeward Planning Commission Minutes LEEWARD PLANNING COMMISSION COUNTY OF HAWAI‘I MINUTES OCTOBER 18, 2018 The Leeward Planning Commission met in regular session at 9:30 a.m. in the West Hawai‘i Civic Center, Community Center, Building G, 74-5044 Ane Keohokālole Highway, Kailua-Kona, Hawai‘i, with Chairman Keith F. Unger presiding. COMMISSIONERS PRESENT: Keith F. Unger, Nancy Carr Smith, Perry Kealoha, Michael Vitousek and Faye Yates ABSENT AND EXCUSED: Scott Church and Sonny Shimaoka ALSO PRESENT: Malia Hall, Esq. (Counsel for the Commission), Michael Yee (Planning Director), Jeff Darrow (Planning Program Manager), Maija Jackson (Planner), Christian Kay (Planner) and Noriko Sauer (Commission Secretary) And approximately 15 people from the public in attendance. A quorum was present. Chairman Unger called the meeting to order, and introduced the Commissioners and staff to members of the public. STATEMENTS FROM THE PUBLIC No statements were presented under this section of the agenda. NEW BUSINESS 1. APPLICANT: LALAMILO FARM PARTNERS, LP (AMEND SPP 378) Application for a 1-year time extension to comply with Condition No. 5 (Plan Approval) of Special Permit No. 378, which allowed the retention and continued operation of a bakery; butter processing, storage and distribution facility; limited retail sales area and related improvements on approximately 0.5 acre of land situated within the State Land Use Agricultural District. The subject property is located on the north side of Lalamilo Farm Road approximately 900 feet west of its intersection with the Māmalahoa Highway and within the Lalamilo Farm Lots Subdivision at Lalamilo, South Kohala, Hawai‘i, TMK: (3) 6-6-005:032 (por.). The Commission took up this item at 9:32 a.m., with approximately 14 people from the public in attendance. Action: It was moved by Commissioner Kealoha and seconded by Commissioner Carr Smith that the application to amend Special Permit No. 378 be approved based on the Planning Director’s recommendation and proposed amended conditions, which shall be adopted. A roll call vote was taken and motion carried with five ayes (Kealoha, Carr Smith, Vitousek, Yates and Unger), no 1 noes and two absent and excused (Church and Shimaoka). \[SEE HEARING TRANSCRIPT – EXHIBIT A\] 2. APPLICANT: RT’S SERVICE, LLC (AMEND SPP 1247) Application to amend Special Permit No. 1247 to allow the after-the-fact operation of a motor vehicle and motorcycle inspection station; to delete Condition No. 4 (Water Usage Calculations) and Condition No. 7 (Solid Waste Management Plan); and request a time extension to complete Condition No. 5 (Secure Final Plan Approval) and Condition No. 6 (Secure and Finalize Permits to Convert Barn to Vehicle Repair Shop). Special Permit No. 1247 was issued in 2004 to allow office and storage uses for investigative/collection services, a towing service, and short term parking for repossessed or disabled vehicles on approximately 1.647 acres of a 5.006-acre parcel in the State Land Use Agricultural District. The subject property is located along the west side of Kauakea Road, approximately 400 feet north of the Kauakea Road-Māmalahoa Highway (Highway 19) intersection, and abutting the Nani Waimea Subdivision, Pu‘ukapu Homesteads, South Kohala, Hawai‘i, TMK: (3) 6-4-017:064 (por.). The Commission took up this item at 9:45 a.m., with approximately twelve people from the public in attendance. Action: It was moved by Commissioner Vitousek and seconded by Commissioner Yates that the application to amend Special Permit No. 1247 be approved based on the Planning Director’s recommendation and proposed amended conditions, including the new condition about enforcement action, but that Condition No. 4 be amended to indicate that the inspection station operation shall commence as of the date that the State Department of Transportation reinstates Inspection Station No. 360, as the applicant proposes. A roll call vote was taken and motion carried with five ayes (Vitousek, Yates, Kealoha, Carr Smith and Unger), no noes and two absent and excused (Church and Shimaoka). \[SEE HEARING TRANSCRIPT – EXHIBIT B\] 3. APPLICANTS: KD ACQUISITION, LLLP AND HUALALAI INVESTORS, LLP (FORMERLY KAUPULEHU DEVELOPMENTS) (AMEND REZ 926) Submission of an Overall Status Report to the Planning Department, Planning Commission and County Council as required by Condition BB of Project District Ordinance No. 99 42, which rezoned 1,078.634 acres from Open to Project District. The applicants are requesting a determination from the Planning Commission and County Council if a time extension to Condition B (Development Period) is needed. If it is determined to be needed, the applicants are requesting a 20-year time extension to comply with Condition B. The subject properties are located adjacent to the west of the Kona Village Resort, makai of Queen Kaʻahumanu Highway, between the 87 and 84 mile marker, Kaūpūlehu, ʻNorth Kona, Hawai‘i, TMKs: (3) 7-2-010: 022 (por.) to 027, 031; 7-2-031: 001, 002, 004, 06 to 011, 013, 015 to 023, 025 to 030, 032, 033; 7-2-032: 001 to 003, 005, 007, 009, 010, 014, 016 to 034, and 036 to 053 collectively “Lot 4-A”); and 7-2-010: 020, 028 to 030; 7-2-029: 001 to 020, 022 to 025, 027 to 048, 050 to 058 and 7-2-030: 001 to 035 (collectively “Lot 4- B”). The Commission took up this item at 10:25 a.m., with approximately 14 people from the public in attendance. 2 At 11:20 a.m. it was moved by Chairman Unger and seconded by Commissioner Carr Smith that the Commission go into executive session to consult with its counsel. A voice vote was taken and the motion carried with all in favor. Chairman Unger called a short recess and the room was cleared. The Commission went into executive session at 11:25 a.m. for the purpose of consulting with its counsel regarding questions and issues pertaining to the Commission’s powers, duties, privileges, immunities, and liabilities, pursuant to Hawai‘i Revised Statutes 92-5. At 11:42 a.m. it was moved by Commissioner Vitousek and seconded by Commissioner Kealoha that the Commission go out of executive session. A voice vote was taken and the motion carried with all in favor. The meeting was reconvened at 11:43 a.m. Action: It was moved by Commissioner Carr Smith, seconded by Commissioner Kealoha that a favorable recommendation be forwarded to the County Council to accept the Project District Ordinance No. 99 42’s updated status report. A roll call vote was taken and motion carried with five ayes (Carr Smith, Kealoha, Vitousek, Yates and Unger), no noes and two absent and excused (Church and Shimaoka). With respect to the request for a time extension, it was moved by Commissioner Vitousek and seconded by Commissioner Yates that a favorable recommendation be forwarded to the County Council on the request to amend Project District Ordinance 99 42, based on the Planning Director’s recommendation, findings, and proposed amended conditions, including the updated language on the preservation plan and mitigation plan being upheld that was read in by the staff, which shall be adopted; the motion also included the Commission’s recommendation to the Planning Department and to the County Council that the public access conditions be evaluated so that they are not tied to the completion of the golf course but to a more publicly beneficial and mutually beneficial time period. A roll call vote was taken and motion carried with five ayes (Vitousek, Yates, Kealoha, Carr Smith and Unger), no noes and two absent and excused (Church and Shimaoka). \[SEE HEARING TRANSCRIPT – EXHIBIT C\] 4. APPLICANT: KW KONA INVESTORS, LLC (FORMERLY KONA VILLAGE RESORT) (AMEND SMA 260) Application for time extensions to Condition No. 5 (Secure Final Plan Approval) and Condition No. 6 (Commence and Complete Construction of Phase II) of Special Management Area Use Permit No. 260, which was approved in 1987 to allow the expansion and renovation of the existing Kona Village Resort, including the construction of 54 new hotel units and related improvements. Phase II consists of 25 units. The subject property is located at 72-300 Maheawalu Drive, Kona Village Resort, Ka‘ūpūlehu, North Kona, Hawai‘i, TMK: (3) 7-2-010:010. The Commission took up this item at 11:53 a.m., with eight people from the public in attendance. Commissioner Kealoha recused himself for the reason that his employer is the landowner/lessor of the subject parcel. Action: It was moved by Commissioner Carr Smith and seconded by Commissioner Vitousek that the application to amend Special Management Area Use Permit No. 260 be approved based on the Planning Director’s recommendation and proposed amended conditions, which have been discussed here and which shall be adopted. A roll call vote was taken and motion carried with 3 four ayes (Carr Smith, Vitousek, Yates and Unger), no noes and two absent and excused (Church and Shimaoka). \[SEE HEARING TRANSCRIPT – EXHIBIT D\] MINUTES Approval of the Minutes of the September 20, 2018, Leeward Planning Commission meeting. At 12:20 p.m. it was moved by Commissioner Kealoha and seconded by Commissioner Yates that the minutes be approved as submitted. A voice vote was taken and the motion carried with all in favor. ADMINISTRATIVE MATTERS 1. Discussion of recent Special Management Area (SMA) determinations and minor permits issued by the Planning Director. The Commission took up this item at 12:21 p.m., with two people from the public in attendance. Mr. Darrow drew the Commissioners’ attention to the latest log that had been distributed, and explained that the entries with no highlight were for the Leeward Planning Commission whereas the ones with yellow highlight were for the Windward Planning Commission. He reported in summary that the new assessment requests listed there did not include those that had just been received in the past few days, and that there were some controversial cases on the Windward side while the ones on the Leeward side were relatively simple. He added that in Puna there were a few applications relating to displaced victims of the lava event, and that the Planning Department was trying to expedite those. Director Yee extended the gratitude of the County Council and Mayor Kim for the expeditious manner in which the Planning Commissions had reviewed Bill 108 relating to short-term vacation rentals. He reported that the bill had passed the Committee on Planning by six to one and was being forwarded to the full Council for its two readings. He said that both Planning Commissions had made key recommendations that were now reflected in the bill; he noted in particular two recommendations of the Leeward Planning Commission – the addition of condo-hotels in the permitted areas and the removal of the Use Permit requirement on the Village-Commercial zoned properties. He said that it was important that the County implement a vacation rental ordinance, and that from there the County could move forward to dealing with hosted vacation rentals and identifying other areas that are in need of vacation rentals. In response to Commissioner Yates’ question about the Planning Department possibly hiring new staff to implement the ordinance, Director Yee said that the bill called for the registration fees and violation fines to go into a special account that would help fund implementation activities, whereas most bills did not contain a provision as such and any collected money would normally go to the general fund. He noted that both Planning Commissions had recommended that the County Council provide enforcement resources. 4 Chairman Unger opened the floor for further questions. Commissioner Carr Smith asked whether developers imposed with fair share automatically chose to pay money, or else how often they chose to give land or other assets instead, and also where the collected fees went. Mr. Darrow responded that fair share, which was mainly required as a condition of approval for rezoning, was utilized to address increased infrastructure needs in five areas – parks and recreation, roads, Police and Fire, wastewater, and solid waste – and that if the developer provided off-site improvements, such as a park or street lights, that would benefit not only the proposed development but also the community, that would be credited toward the corresponding area of the fair share. He added that different types of project had different triggers for payment, such as final subdivision approval or plan approval. Mr. Kay further explained that fair share would be allocated for the aforementioned different areas, put into special funds, and then applied during the Capital Improvement Projects budgeting process to address increased needs in those specific areas within the district that the money had been collected. Director Yee said that fair share was one of the processes within the County that could be fixed to work better, but that it was a political issue, which would involve more than just the Planning Department and the Planning Commissions, and which would be a heavier lift than the short-term vacation rental bill that had taken over a year to draft. ANNOUNCEMENTS There were no announcements. ADJOURNMENT There being no further business, it was moved by Commissioner Carr Smith and seconded by Commissioner Vitousek that the meeting be adjourned. A voice vote was taken and the motion carried with all in favor. Chairman Unger adjourned the meeting at 12:35 p.m. Respectfully submitted, Noriko Sauer, Secretary A T T E S T: Keith F. Unger, Chairman Leeward Planning Commission 5