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HomeMy WebLinkAboutP-0107.01-16 Council Minutes 06-2010- • • COUNCIL MEETING June 9, 2010 The Council Meeting of the Council of the County of Kauai was called to order by the Council Chair at the Council Chambers, 3371-A Wilcox Road, Lihu`e, Kauai, on Wednesday, June 9, 2010 at 9:15 a.m., after which the following members answered the call of the roll: Honorable Tim Bynum Honorable Dickie Chang Honorable Jay Furfaro Honorable Daryl W. Kaneshiro Honorable Lani T. Kawahara Honorable Derek S.K. Kawakami Honorable Bill "Kaipo" Asing, Council Chair Chair Asing: Can we have the first item please. PETER A. NAKAMURA, County Clerk: First item is the approval of the agenda. APPROVAL OF AGENDA: Mr. Furfaro moved for approval of the agenda as circulated, seconded by Mr. Chang, and unanimously carried. Chair Asing: Next item please. Mr. Nakamura: Next matter is approval of the Minutes of the following meetings of the Council. MINUTES of the following meetings of the Council: Council Meeting of May 12, 2010 Public Hearing of May 26, 2010 re: Bill No. 2361 and Bill No. 2363 Mr. Chang moved for approval of the minutes as circulated, seconded by Mr. Furfaro, and unanimously carried. Chair Asing: Next item please. Mr. Nakamura: Next matters on page 1 of the Council's agenda are Communications for receipt, communication C 2010-147, C 2010-148 and C 2010-149. COMMUNICATIONS: C 2010-147 Communication (05/03/2010) from the Environmental Services Management Engineer, Department of Public Works, transmitting for Council consideration, the amendments to various sections of the Integrated Solid Waste Management Plan, Chapter 21 of the Kauai County Code 1987, as amended: Mr. Chang moved to receive C 2010-147 for the record, seconded by Ms. Kawahara. COUNCIL MEETING • - 2 - ~ June 9, 2010 f C 2010-148 Communication (05/13/2010) from the Director of Finance, transmitting for Council information, the Period 9 Financial Reports -Statement of Revenues as of March 31, 2010, pursuant to Section 17 and Section 20 of the Operating Budget (B-2009-690): Mr. Chang moved to receive C 2010-148 for the record, seconded by Ms. Kawahara. C 2010-149 Communication (05/17/2010) from the Mayor, transmitting for Council information, the Fiscal Year 2010 Third Quarter Report for the Kauai Humane Society, pursuant to Contract #6787 Item (5). Also included is a copy of the Field Services Statistics, Animal Statistics, and a copy of H.B. No. 2725: Mr. Chang moved to receive C 2010-147 for the record, seconded by Ms. Kawahara. Chair Asing: Any discussion? Mr. Furfaro: Yes. Chair Asing: Yes, Councilmember Furfaro. Mr. Furfaro: Chairman, I do want to make note of some items here just for the audience. Just for the courtesy of letting people know, I will be asking for a deferral on the Energy Resolution that's coming up as we just received the revised plan yesterday. And also on the farm act coming up later in today's agenda, this is more of a personal privilege, there have been many requests to ask to defer that until the afternoon and I just wanted to share that for those in the audience that might be here on the Energy Resolution, as well as the Farm Worker Housing bill. Chair Asing: Sure. Mr. Furfaro: Thank you. Chair Asing: Thank you. Any further discussion? If not, all those in favor, say aye. The motion to receive C 2010-147, C 2010-148, and C 2010-149 for the record was then put and unanimously carried. Mr. Nakamura: Next matter for approval on the bottom of page 1 is communication C 2010-150. C 2010-150 Communication (05/13/2010) from the Director of Parks and Recreation, requesting Council approval to purchase a shredder mower for $120,000.00 from the FY 2010-2011 Parks Special Projects Account, to be used to cut back and maintain control over tall grass, shrubs and small trees that encroach onto park properties and for regular maintenance along the shared-use path and various county parks to help maintain visibility and safety: Mr. Bynum moved to approve C 2010-150, seconded by Mr. Kaneshiro, and unanimously carried. Chair Asing: Next item please. Mr. Nakamura: Next matter for approval at the top of page 2 is communication C 2010-151. C 2010-151 Communication (05/14/2010) from the Prosecuting Attorney, requesting Council approval to apply for, receive and expend funds from the Crime Victim Assistance Grant of $179,756.00 for the Kauai Victim of Crime Act (VOCA) Expansion Program, to be used for the term beginning August 1, 2010, and to COUNCIL MEETING • - 3 - • June 9, 2010 indemnify the State of Hawaii, Department of the Attorney General: Ms. Kawahara moved to approve C 2010-151, seconded by Mr. Furfaro, and unanimously carried. Chair Asing: Next item please. Mr. Nakamura: Next matter is a communication for approval, communication C 2010-152. C 2010-152 Communication (05/25/2010) from the Prosecuting Attorney, requesting Council approval to apply for, receive and expend funds from the Federal FY 2009 STOP Violence Against Women Formula Grant for $47,002.00 for continuation of the Domestic Violence Prosecution Unit, to be used for the term September 1, 2010 to March 31, 2011, and to indemnify the State of Hawaii, Department of the Attorney General: Mr. Furfaro moved to approve C 2010-152, seconded by Mr. Chang, and unanimously carried. Chair Asing: Next item please. Mr. Nakamura: Next matter for approval is communication C 2010-153. C 2010-153 Communication (05/25/2010) from the Director of Housing, requesting Council approval to acquire a Real Estate Owned (REO) residence situated at 5457 Kula Mau`u Street, Kapa`a, Hawaii, Tax Map Key (4) 4-6-013-124, under the County's Neighborhood Stabilization Program (NSP) Foreclosure Acquisition, Rehabilitation and Resale Project with funds received from the State in July 2009 at the contracted offer price not to exceed $352,900.00, subject to the one-percent (1%) discount based on receipt of the appraisal, and to authorize the County Clerk to sign any and all related legal documents: Mr. Furfaro moved to approve C 2010-153, seconded by Mr. Bynum, and unanimously carried. Chair Asing: Next item please. Mr. Nakamura: Council Chair, for the next three agenda items C 2010-154, C 2010-155 and C 2010-156 if we could move these matters to the end of the agenda until after the Executive Session briefings? Chair Asing: Thank you, to the end of the agenda? Okay, can we have the next item please then? Mr. Nakamura: Next item at the bottom of page 2 is C 2010-157, but I believe there's a request to take this up prior to Bill No. 2318, Mr. Chair? Chair Asing: Can I have a motion to receive? Mr. Nakamura: Ah... no, no... Chair Asing: Which one you're on... Mr. Nakamura: At the bottom of page 2, C 2010-157. Chair Asing: Yes. Mr. Kawakami: So moved. Mr. Nakamura: Oh. COUNCIL MEETING ~ ~ . - 4 - June 9, 2010 Chair Asing: Any discussion? Go ahead. Mr. Chang: Yes, I think the Clerk was asking are we moving this item just before 2318. Mr. Furfaro: Mr. Chair? Chair Asing: Yes, go ahead. Mr. Furfaro: Yes, you know...I know there's concerns mutually between the situation that you have so articulated to us in the Moloa`a area, as it relates to the Farm Worker Housing, but this action is really, I believe, about sorting out Moloa`a is your intention, regardless of what happens to the Farm Worker Housing bill. Chair Asing: Oh yeah. Mr. Furfaro: Am I correct on that? Chair Asing: Exactly correct. Mr. Furfaro: You want to sort out Moloa`a, right? Chair Asing: Yes, the actual Moloa`a Project... Mr. Furfaro: Yes. Chair Asing: ...which is the 1998 and 2000 zoning variance permit and subdivision permit process. Mr. Furfaro: Right, so that would stand on its own regardless of what other parcels...I mean, they are... Chair Asing: Yes, it doesn't matter. Mr. Furfaro: So do you want to work on this now or do you want to receive it? Is that what you... Chair Asing: It doesn't matter to me because... Mr. Furfaro: Oh, okay. Chair Asing: ...the communication has already gone to the county attorney's office. Mr. Furfaro: So it's okay to receive? Chair Asing: And I don't have any problem with receiving it. Mr. Furfaro: Okay. Chair Asing: I think I made the presentation, you understand some of the issues and so I will be asking the county attorney's office, as stated in the letter, to review the entire item. I am also and I believe that you have received my communication... sent a communication to the auditor's office also to work with COUNCIL MEETING ~ - 5 - • June 9, 2010 the county attorney's office to possibly review process procedures that...whether wrong or right or indifferent, I'm not sure, but if there are any concerns I'd like for the auditor's office to review together with the county attorney. I expect the county attorney to work together with the auditor's office. Mr. Furfaro: Okay, so i£..if that is your intent, then a motion to receive this is in order and I would also acknowledge that I've seen your communication regarding Moloa`a to the county attorney, but are we then subject to this body approving resolution for the auditors to perform anything? (Inaudible.) Chair Asing: I am not looking for that at this time... Mr. Furfaro: At this time, okay. Chair Asing: I think it's dependent upon the county attorney's office and the auditor's office if they feel an audit is warranted, then I'm guessing that...not I'm guessing...that I'm sure that they will come back to this body to notify... this... this body... Mr. Furfaro: Okay. Chair Asing: ...and... and discuss the issue. Mr. Furfaro: The issue and the process on that. So for that purpose as it's going to the county attorney, I'll make a motion to receive this. Mr. Chang: Second it. Mr. Furfaro moved to receive C 2010-157 for the record, seconded by Mr. Chang. Chair Asing: Any further discussion? Go ahead Councilmember Bynum. Mr. Bynum: Just for clarification, this communication has... is not about (inaudible). There's nothing about an auditor request on today's (inaudible)... Chair Asing: No. Mr. Bynum: Is that correct? Mr. Furfaro: That's correct and I think what I clarified with the Chair that after a review by the county attorney, if they find it necessary, then a resolution authorizing the auditors would be something that the whole body would look at. Mr. Bynum: I just want to be clear that this is about a communication to the county attorney, not the auditor. There's nothing about the auditor on today's agenda? Chair Asing: No. Mr. Bynum: Okay, thank you. ALFRED B. CASTILLO, JR., County Attorney: Council Chair? Chair Asing: Yes. COUNCIL MEETING • - 6 - ~ June 9, 2010 Mr. Castillo: For the record Al Castillo, County Attorney. I just wanted this body to know that yes, we have received both communications, and we are diligently working on the request, just to let the Council Chair and the councilmembers know. Chair Asing: Thank you. Any further discussion? Ms. Kawahara: Thank you, Chair. Chair Asing: Councilmember Kawahara. Ms. Kawahara: Since this was your communication, I just wanted to check...were there any other areas on the island that you were interested in looking at? Chair Asing: Pardon me? Ms. Kawahara: Since this was your communication...I just had a question. Were there any other areas on the island that you were looking at or interested in looking at? Chair Asing: No, no. Ms. Kawahara: Thank you. Chair Asing: It is again...let me just state again...as presented in the PowerPoint presentation that I made two weeks ago, that I have some major concerns with what has happened to the project. If you look at the project, starting from the variance permit, subdivision permit and the Class IV zoning permit, these three permits alone determine the project going forward, and is it in fact the...the process that was followed, is that project, as represented by the applicant together with the commission, there is, in my opinion, grave question marks that many things that was represented are not now being adhered to, and there are conditions that should have been met also that are questionable, in my opinion. Mr. Furfaro: Mr. Chair, I just want to say again, I appreciate this being focused on Moloa`a as a...I don't think any of us were on the council in 1998 and I was not on the planning commission until 2001, but I think we're anxious to understand the history, so we are just going to move to receive this... Chair Asing: Yes. Mr. Furfaro: ...and wait for the county attorney's response to your correspondence, Iguess? Chair Asing: Yes. Mr. Furfaro: Got it. So I have a motion to receive. Chair Asing: Yes. Any further discussion? All those in favor, say aye. The motion to receive C 2010-157 for the record was then put, and unanimously carried. Chair Asing: Next item please. COUNCIL MEETING • - 7 - • June 9, 2010 Mr. Nakamura: Next matter on the top of page 3 is a claim. CLAIMS: C 2010-158 Communication (05/18/2010) from the County Clerk, transmitting a claim filed against the County of Kauai by Cashmire Boiser for her son's bodily injury, pursuant to Section 23.06, Charter of the County of Kauai: Mr. Furfaro moved to refer C 2010-158 to the County Attorney's Office for disposition and/or report back to the Council, seconded by Mr. Kaneshiro, and unanimously carried. Chair Asing: Next item please. Mr. Nakamura: Next matters for approval are Committee Reports from your Committee on Economic Development/Housing Committee Report CR-EDH 2010-01. COMMITTEE REPORTS: A report (No. CR-EDH 2010-01) submitted by the Economic Development/Housing Committee, recommending that the following be received for the record: "EDH 2010-01 Communication (5/19/2010) from Committee Vice Chair Jay Furfaro, requesting the presence of George Costa, Director, Office of Economic Development, to present the results of the Kauai Visitors Bureau (KVB) efforts to promote tourism on Kauai as it relates to Phase I of the KVB Economic Stimulus Grant," Mr. Chang moved for approval of the report, seconded by Mr. Kaneshiro. Chair Asing: Any discussion? Yes, Councilmember Kawahara. Ms. Kawahara: Thank you, Chair. I wanted to thank Sue and George for their report and for Vice Chair putting this on the agenda so they could do the report. I just want to say that I think they've done a really good job in trying to track the impact of the moneys that we approved. I want to put on record, though, concern about when we meld public money with private sector money and projects. My understanding is that they had very strict guidelines that they had to follow regarding proprietary information, and I think that's at odds sometimes with what we try to do in government and our transparency about funds. So I just want to put that on the record as a concern if we consider doing anything hke this again. Thank you. Chair Asing: Thank you. Any further discussion? Councilmember Furfaro. Mr. Furfaro: Mr. Chair, I want to say first of all I want to apologize for the lack of my participation in this meeting last week as I had some ma...I had some procedures that I needed to address. I do want to say I watched the tape and I do want to pursue with Mr. Costa, for the satisfaction of the council, that we could become a member...if we could become a member of the comparison reports done by a third party that would actually show the competitive profile of various resorts based on their designated classification in the marketplace, and they do produce quarterly reports that we could actually see the gross growth of occupancy through these reports and it might be something good for the economic COUNCIL MEETING. - 8 - ~ June 9, 2010 development office to actually sign up as a...for a small fee a year, they can get the statistical reports from the various competitors by class of hotel... five diamond, four diamond and so forth... and it might reheve the issue about proprietorship. Ms. Kawahara: Thank you, I'm glad to hear that because I wouldn't know about that report and that's exactly what it was I'm concerned about. Specifically, it was not being able to find out... there was a 6% to 8% click through to reservations, but we weren't able to get that information because it's proprietary. So if that helps, that would be great, and I...I wasn't aware of such a report and that's something that's proprietary and if we subscribe, we could use...that's not available... Mr. Furfaro: We could use...it's referenced as the Star Report. Ms. Kawahara: And it's not available publicly usually? Mr. Furfaro: No. Ms. Kawahara: Okay. Thank you. Chair Asing: Thank you, any further discussion? If not all those in favor, say aye. The motion to approve Committee Report CR-EDH 2010-01, was then put, and unanimously carried. Chair Asing: Next item please. Mr. Nakamura: Next committee report for approval from your Committee on Public Works/Elderly Affairs Committee Report CR-PWE 2010-07. A report (No. CR-PWE 2010-07) submitted by the Public Works/Elderly Affairs Committee, recommending that the following be approved on second and final reading: "Bill No. 2363 - A BILL FOR AN ORDINANCE AMENDING CHAPTER 25 OF THE KAUAI COUNTY CODE 1987, AS AMENDED, AS IT RELATES TO SEWERS," Mr. Kaneshiro moved for approval of the report, seconded by Mr. Chang, and unanimously carried. (See later for Ball 1Vo. 2363) Chair Asing: Next item please. Mr. Nakamura: Next matters are Resolutions. Council Chair, on Resolution 2010-34, I believe there's an Executive Session scheduled on this and if we could move this to after the Executive Session briefing. Chair Asing: Thank you. We will move into Executive Session first before we handle this item. Can we have the next item please? Mr. Nakamura: Next resolution is Resolution No. 2010-35. COUNCIL MEETING ~ - 9 - ~ June 9, 2010 RESOLUTIONS: Resolution No. 2010-35, RESOLUTION REQUESTING THE MAYOR TO CONSIDER INCLUDING THE COUNCIL OF THE COUNTY OF KAUAI IN THE IMPLEMENTATION OF THE KAUAI ENERGY SUSTAINABILITY PLAN Chair Asing: Councilmember Furfaro. Mr. Furfaro: I'm sorry I was still reading. Would... Mr. Bynum: The Energy... Energy Resolution. Mr. Furfaro: Yes. Chair Asing: The Energy Resolution. Mr. Furfaro: Yes. Mr. Nakamura: This would be a deferral, Vice Chair? Mr. Furfaro: Yes, I'm just reading my correspondence that I sent over. Many of you received today...this morning or as late as post 2:30 yesterday, a revised Energy Report, and because there are revisions in that report, I'm asking that we move to deferral on this summary so that we could have a chance to digest about five considerations that were put in the report since the April presentation to the body. So I'm going to ask if we can defer that. Chair Asing: Fine. Mr. Bynum: Move to defer. Mr. Chang: Second. Chair Asing: All those in favor, say aye. Mr. Bynum moved to defer Resolution 2010-35, seconded by Mr. Chang, and unanimously carried. Chair Asing: Next item please. Mr. Nakamura: Next mat...next matter is a Bill for First Reading, Proposed Draft Bill No. 2365. BILL FOR FIRST READING: Proposed Draft Bill No. 2365 - A BILL FOR AN ORDINANCE AMENDING SECTION 21-1.3, SECTION 21-2.1, SECTION 21-2.2, SECTION 21-3.2, SECTION 21-3.3, SECTION 21-7.3, AND SECTION 21-9.1 OF THE KAUAI COUNTY CODE 1987, RELATING TO INTEGRATED SOLID WASTE MANAGEMENT: Ms. Kawahara moved for passage of Proposed Draft Bill No. 2365 on first reading, that it be ordered to print, that a public hearing thereon be scheduled for July 14, 2010, and that it thereafter be referred to the Public Works/Elderly Affairs Committee, seconded by Mr. Furfaro. Chair Asing: Any discussion? If not, roll call please...I'm sorry do you want to come up? PAT GEGEN: May I please? COUNCIL MEETING • - 10 - ~ June 9, 2010 Chair Asing: Yes, sure. Rules are suspended. Good morning. There being no objection, the rules were suspended. Mr. Gegen: Thank you, Chair and Council... (Inaudible.) Mr. Gegen: Helps if you turn the power on, I guess. Thank you very much Chair, Councilmembers. First of all I want to thank you for this opportunity to testify. I did have a chance this morning to take a look at 2365, I believe it is. Just as a side note I looked for it earlier in the week. I was hoping it was out on the website. It would be nice if bills like this were on the website, so I could have had a better chance to look at it. But just a couple of things as you move forward on this one. Section (3) 21-2.2, Section (g)(c)(2), it would be found on the top of page six. It talks about brush being picked up for collection, brush...that type of material. I would propose or I'd like to see a proposal that the county does not pick that up in normal refuse and that's just going to the landfill, it's unnecessary space it's taking up. The county has done a very good job of providing compost facilities. Igo to the Hanapepe one quite often with loads in back and every once in awhile I'll grab a bunch of wood chips, the compost that's been created, to put around my plants. I would like to see more people do that type of stuff and I don't like seeing that kind of refuse going into our landfill. The landfill is very expensive, too expensive for organic type of material to go into. The other thing I would like to see has to do with restricted items for collection. There is nothing in there about the recyclable materials that the county does pick up. Why are we continuing to pick up aluminum, HI5 glass, plastics, newspaper...things that the county spends money to recycle, we try to receive money back for that...trying to keep that out of the landfill. Again, what can we do to try to keep that kind of material from going into the landfill. I would like to see us take a little bit more aggressive of a response on that. You know, I mean we've got to get working on the landfill. I haven't heard much about it since we talked about the siting of it originally six months ago, but I know we've got to get going on one because it's getting quite filled up out in Kekaha. Let's see what we can do about filling it up less. So, thank you very much. Chair Asing: Thank you. Councilmember Bynum. Ms. Kawahara: Thank you. Mr. Bynum: Good morning, I...thanks for your testimony and I just wanted to say that...some of these things are like interim measures, and we have...we are moving in the right direction, I believe. You know when I first worked for the county, all the green waste that was going to the transfer station in Princeville, for instance, was being trucked to the landfill in Kekaha, and it was like two trucks loads a week, and the county did move to, you know, all the green waste that goes to the transfer stations now is going for composting and other appropriate uses, and we are hopefully moving quickly to a 3-can system where eventually green waste will be picked up and will be banned from the regular disposable trash. Also, one of those cans will be for mix recyclables which hopefully will increase the amount. And so your points are really well taken that... and it's a reasonable question if we should continue to allow household green waste to go into the landfill now or should we, you know, set that limit now? So I hear that question and I think it's a reasonable one and one that we should consider. So, thank you. COUNCIL MEETING ~ - 11 - ~ June 9, 2010 Mr. Gegen: Thank you. I dust want to point out too for the small homeowner or, you know, person living in town, they probably don't have that much green waste and the county has been very nice to give us the composting buckets too. Mr. Bynum: Right. Mr. Gegen: I've got one of those on my property and you know what? All my weeds and stuff from the garden go right in there. The bigger stuff I end up taking out to the Hanapepe transfer station, but yeah. So I mean the county has done a lot of very good things. I think the more we can do following that path would be beneficial. Mr. Bynum: Right and... Mr. Gegen: Thank you. Mr. Bynum: Yeah... no, I think you're correct that we should really look to limit any green waste going into the landfill, and we are moving in that direction and perhaps maybe we should move quicker. So, thank you. Mr. Gegen: Thank you. Chair Asing: Thank you. Is there anyone else? The meeting is now called back to order. There being no one else to speak on this matter, the meeting was called back to order, and proceeded as follows: Chair Asing: Peter, do we have a motion? Mr. Nakamura: We have a motion and a second. Chair Asing: Thank you. Any further discussion? Mr. Nakamura: Roll call. Chair Asing: If not, roll call please. The motion for passage of Proposed Draft Bill No. 2365 on first reading, that it be ordered to print, that a public hearing thereon be scheduled for July 14, 2010, and that it thereafter be referred to the Public Works/Elderly Affairs Committee was then put, and carried by the following vote: FOR PASSAGE: Bynum, Chang, Furfaro, Kaneshiro, Kawahara, Kawakami, Asing TOTAL - 7, AGAINST PASSAGE: None TOTAL - 0, EXCUSED & NOT VOTING: None TOTAL - 0. Chair Asing: Next item please. Mr. Nakamura: On page 4 of the council's agenda, Mr. Chair, Bill No. 2318, Draft 3, I believe there's a request to take this up after lunch from Vice Chair. Chair Asing: Yes. COUNCIL MEETING ~ - 12 - ~ June 9, 2010 Mr. Nakamura: Next matter is a Bill for Second Reading, Bill No. 2363. BILLS FOR SECOND READING: Bill No. 2363 - A BILL FOR AN ORDINANCE AMENDING CHAPTER 25 OF THE KAUAI COUNTY CODE 1987, AS AMENDED, AS IT RELATES TO SEWERS: Mr. Bynum moved to adopt Bill No. 2363 on second and final reading, and that it be transmitted to the Mayor for his approval, seconded by Mr. Chang, and carried by the following vote: FOR ADOPTION: Bynum, Chang, Furfaro, Kaneshiro, Kawahara, Kawakami, Asing TOTAL - 7, AGAINST ADOPTION: None TOTAL - 0, EXCUSED & NOT VOTING: None TOTAL - 0. Chair Asing: Thank you. I'd like to have the County Attorney up, please. For the audience, we will be moving into Executive Session. There being no objection, the rules were suspended. Mr. Castillo: Good morning Council Chair, Councilmembers. Chair Asing: Good morning. Mr. Castillo: Al Castillo, County Attorney. I'll read all of them regarding Executive Session ES-443, 444, 445 and 446. EXECUTIVE SESSION: ES-443 Pursuant to H.R.S. §92-4 and H.R.S. §92-5 (a)(3) and (4), the purpose of this executive session is to deliberate in the matter of Resolution 2010-34 (resolution authorizing acquisition of fee simple interest in lands required for public use, to wit: the pedestrian and bicycle path which constitutes part of a public park system, situated at Waipouli, district of Kawaihau, County of Kauai, Hawaii, and determining and declaring the necessity of the acquisition thereof by eminent domain) concerning the authority of persons designated by the Council to negotiate the acquisition of public property or during the conduct of such negotiations and to consult with the Council's legal counsel on issues pertaining to the Council's powers, duties, privileges, immunities, and/or liabilities as they may relate to this item, deliberate and take such action as appropriate. ES-444 Pursuant to Haw. Rev. Stat. §§92-4 and 92-5(a)(4) and (8), and Kauai County Charter section 3.07(E), the Office of the County Attorney requests an executive session with the Council to provide the Council a briefing in Wayne R. Daniel, et al., v. Kodani and Associates, Inc., et al. Civ. No. 08-1-0006 (Fifth Circuit Court) and related matters. This briefing and consultation involves consideration of the powers, duties, privileges, immunities and/or liabilities of the Council and the County as they relate to this agenda item. COUNCIL MEETING ~ - 13 - • June 9, 2010 ES-445 Pursuant to Haw. Rev. Stat. §§92-4 and 92-5(a)(4), (6) and (8), and Kauai County Charter section 3.07(E), the purpose of this executive session is to provide the Council a briefing on Kathleen Ah Quin v. County of Kauai, Department of Transportation (USDCT) Civ. No. 08- 00507 JMS/BMK and related matters. This briefing and consultation involves consideration of the powers, duties, privileges, immunities and/or liabilities of the Council and the County as they relate to this agenda item. ES-446 Pursuant to Haw. Rev. Stat. §§92-4 and 92-5(a)(4) and (8), and Kauai County Charter section 3.07(E), the Office of the County Attorney requests an executive session with the Council to provide the Council a briefing in Kristan C. Hirakawa v. County of Kauai, Civ. No. CV09- 00247 JMS/LEK (U.S. District Court, District of Hawaii) and for new case Kristan C. Suniga (f.k.a. Kristan C. Hirakawa) v. County of Kauai, et al., Civ. No. 10-1-0114 (Fifth Circuit Court) and related matters. This briefing and consultation involves consideration of the powers, duties, privileges, immunities and/or liabilities of the Council and the County as they relate to this agenda item. Chair Asing: Thank you. With that I would hke to call the meeting back to order and have a motion to move into Executive Session. The meeting was called back to order, and proceeded as follows: Mr. Furfaro: I'll make the motion to move into Executive Session, Mr. Chair. Chair Asing: Thank you, can I have a second? Ms. Kawahara: Second. Chair Asing: Thank you. Any discussion? All those in favor, say aye. Mr. Furfaro moved to go into executive session, seconded by Ms. Kawahara, and unanimously carried. Chair Asing: We'll be moving into Executive Session, thank you. The meeting was recessed at 9:44 a.m. to move into Executive Session. The meeting was called back to order at 1:44 p.m., and proceeded as follows: Chair Asing: This council meeting is now called to order. (Inaudible.) Chair Asing: This council meeting is now called order. With that, Mr. Clerk, can we have the next item please. Mr. Nakamura: Council Chair, we're back on page 2 of the council's agenda. First matter for approval is communication C 2010-154. COUNCIL MEETING - 14 - ~ June 9, 2010 COMMUNICATIONS: C 2010-154 Request (06/02/2010) from the Office of the County Attorney for authorization to expend additional funds up to $25,000.00 to engage special counsel to represent the County defendants in Wayne R. Daniel, et al., v. Kodani and Associates, Inc., et al., Civ. No. 08-1-0006 (Fifth Circuit Court) and related matters: Mr. Chang moved to approve C 2010-154, seconded by Mr. Bynum, and unanimously carried. Chair Asing: Next item please. Mr. Nakamura: Next matter for approval on page 2 of the council's agenda is communication C 2010-155. C 2010-155 Request (06/02/2010) from the Office of the County Attorney for authorization to expend additional funds up to $10,000.00 to engage special counsel's continued representation in the lawsuit entitled Kathleen Ah Quin v. County of Kauai, Department of Transportation (USDCT), Civ. No. CV 08-00507 JMS/BMK and related matters: Mr. Furfaro moved to approve C 2010-155, seconded by Mr. Chang, and unanimously carried. Chair Asing: Next item please. Mr. Nakamura: Next matter for approval is communication C 2010-156. C 2010-156 Request (06/02/2010) from the Office of the County Attorney for authorization to expend additional funds up to $100,000.00 to engage special counsel's continued representation in the lawsuit entitled Kristan C. Hirakawa v. County of Kauai, Civ. No. CV09-00247 JMS/LEK (U.S. District Court, District of Hawaii) and for new case Kristan C. Suniga (f.k.a. Kristan C. Hirakawa) v. County of Kauai, et al., Civ. No. 10-1-0114 (Fifth Circuit Court) and related matters: Mr. Furfaro moved to approve C 2010-156, seconded by Mr. Chang, and unanimously carried. Chair Asing: Next item please. Mr. Nakamura: At this time, Mr. Chair, we're on page 3 of the council's agenda on resolutions. The last resolution is Resolution 2010-34. RESOLUTION: Resolution No. 2010-34, RESOLUTION AUTHORIZING THE ACQUISITION OF THE FEE SIMPLE INTEREST IN LANDS REQUIRED FOR PUBLIC USE, TO WIT: THE PEDESTRIAN AND BICYCLE PATH WHICH CONSTITUTES PART OF PUBLIC PARK SYSTEM, SITUATE AT WAIPOULI, DISTRICT OF KAWAIHAU, COUNTY OF KAUAI, HAWAII, AND DETERMINING AND DECLARING THE NECESSITY OF THE ACQUISITION THEREOF BY EMINENT DOMAIN: Mr. Bynum moved to adopt Resolution No. 2010-34, seconded by Mr. Furfaro. Chair Asing: Hang on, we have a public... I'd like to suspend the rules. Glenn. There being no objection, the rules were suspended. COUNCIL MEETING • - 15 - • June 9, 2010 GLENN MICKENS: Thank you, Kaipo. For the record Glenn Mickens. You have a copy of my testimony. I'll read it for the viewing public and the TV audience. When you get my age you need these (glasses). With Reso. 2010-34, let's see if we can separate facts from fiction. Mary Daubert, in her article in the Garden Island of 5/22/2010 said, "The total amount of land to be acquired by eminent domain is 2724 square feet." This figure is apparently wrong. In another article from the Garden Island of 6/22/2010, Councilman Furfaro said, "There's a friendly condemnation of 2724 square feet plus some 62,000 square feet of land, the subject of acquisition negotiations." Thus, his figures seem to be more in line with the number I gave in my testimony of a couple weeks ago of 62,190 square feet, and I believe that the former councilman Mel Rapozo said it best when he testified the condemnation of property, whether it's friendly or hostile, he said that it is never friendly despite that it may be non-hostile simply because someone may not have the funds to fight it in court - an excellent analysis. Councilman Bynum was quoted in the Garden Island of 5/22/2010 saying, "It will cost roughly $100,000.00 to condemn the land." However, Councilman Furfaro wisely said the value of the transaction has not been disclosed because the law allows confidentiality in such instances. Then Chair Asing reprimanded Mr. Bynum for putting out any figures at all while negotiations are still ongoing. Mr. Bynum then did admit that throwing out the figure as a guesstimate might have been imprudent. So we have two facts about 1.5 acres of beachfront property will have to be condemned or acquired, not 2724, and the price, though unknown at this time, will probably be a lot more than $100,000.00. But the bigger story here is not just the condemnation and buying of land, but the obsession of those who have pushed this project from the beginning. I have said over and over that if money were not a finite object, then building a path or any other object would be fine. But with so many issues on Kauai that are top priority, then how can we justify the millions of dollars that have been spent and are projected to be spent on this path. Again, a check of DOT cost, which you... guys know I gave you copies of it, will show figures of around $60,420,000.00 without added cost of land acquisition. That means that this total project would cost $100 million or more with maintenance, more labor and equipment, staff and attorney time added in. The point that Tim and other proponents of this path have made is that most of the money will come from fed funds. Those fed funds are still our money and our 20% of this project would still be $20 million or more, money direly needed for other high priority projects. Pat Fung has told me that fed money is running out and may not be there to finish this path. So again, why are we in this desperation mode to spend our time, money and efforts on it with so many important issues to address. Mr. Nakamura: Three minutes, Mr. Chair. Mr. Mickens: Hopefully, I'm... Chair Asing: Yes. Mr. Mickens: One sentence...hopefully some members of this council will carefully read my testimonies and give me and the public answers to what I've asked. Thank you. Chair Asing: Thank you. Councilmember Furfaro. Mr. Furfaro: Thank you, Mr. Chair. Glenn, thank you for your testimony. I just want to address and clarify the points you referenced. I, with great respect, I do want to say that in a friendly condemnation it should be pointed out I understood what Mr. Rapozo said here, but you know, at the end of the day the offer of the appraisal for the acquisition and a fair market value is actually determined by the court and the judge. It is not a mandate that comes from the COUNCIL MEETING. - 16 - ~ June 9, 2010 council. So you know, it is a burden on us to make sure that we prove for public benefit it is what it is. Also, I want you to know that I reconfirmed today with the county attorney dealing with Section 106 and 4F of the Department of Taxation's pieces that I have written correspondence over to the county attorney's office to give us the clarification on those statutes, and the fact of the matter is that, you know, we have followed policy and I will also be asking for a presentation on the SMA process that...based on that acquisition. We should also know that depending in the documents, the declarations from an association, if they are owning leased property...in other words, the condominium people do not own outright the parcel, we need to check their declaration and their declaration implies that that negotiation for that piece is solely at the discretion of the group that owns it fee simple and not the association of apartment owners. So, all of those questions are in this response I hope to get so that it's very transparent for the public. As you wisely commented on my earlier comments, this condemnation is not something that the funds are publicly known until the negotiation is complete because it is exactly that, it is a negotiation and those privileges of confidentiality are outlined in our charter when we're trying to acquire something. So I appreciate your testimony. I just wanted to structure we're going to have some answers for you. I did send a correspondence over, but we seem to be in full compliance and we'll share that soon. Thank you, Mr. Mickens. Mr. Mickens: Thank you, Jay. Chair Asing: Thank you. Is there anyone else? JOANN YUKIMURA: Chair Asing... Chair Asing: Hi, JoAnn. Ms. Yukimura: ...Members of the Council, JoAnn Yukimura. I spoke on this matter previously a couple of weeks ago and I just wanted to clarify because I somewhat misspoke. Although I still believe that an EIS on the highway project should have been done, I understand now where the condemnation of land is being proposed and I have no objections to that in particular. So I just wanted to make that clear. I'd meant to write a letter. Since I haven't done that, I just wanted to state it for the record. Chair Asing: Thank you. Mr. Furfaro: Thank you. Chair Asing: Is there anyone else? JOE ROSA: Good afternoon, Members of the Council. For the record Joe Rosa. As I spoke about it previously, I don't see what's the hurry that they have to do this thing the way they want to do and go about. Actually, why don't they wait until the State DOT (Department of Transportation) have their plans for widening of the highway over there and incorporate it into that plan, with the State Highway Division. You know, this is something that this...just like being repeated. The county's going to do something, then the state is going to come in and do something. Why don't they work together? Just leave that section blank for the time being. Then when the county incorporates their highway widening project, whatever, incorporate it into that because the state...like you people always mention that the state is going into this kind of bikeway system throughout the state. So why don't you wait? What's the hurry? You can save bucks. You can save taxpayers' money. Don't spend the money like it's coming out of your pocket. Eh, think about the taxpayers. We're overburdened, tax, tax, tax, you know. That COUNCIL MEETING • - 17 - • June 9, 2010 distance along the highway can be incorporated into the state highway system, when they widen it up. Get an additional 10 feet for that. At present you can use it and if you want to use something, cone it up for a marathon or whatever. But don't be taking land at a big cost because any land adjacent to this federal aid highway costs big bucks. That's why people who have property pay bigger taxes. And also, you're going to be dealing with oceanfront property. That's big bucks again. So, you know, those are the things that you're spending money freely, thinking that it's there to be spent, but remember, this federal aid money is coming to an end because of the economic condition of the nation. You know, money is not going to come easy anymore. So think about the senior citizens on this island. You guys cut down this, cut down that. Think about the people here, the elderly. There's a whole lot of elderly people telling me they don't want to come and speak; they're afraid of the mike, this and that. But I'm speaking for everybody here on Kauai, that's including the taxpayers. So, think about it, like as I say, wait until the DOT incorporate their highway planning. I don't think it has been mentioned with DOT because I've talked to some DOT members and they said they don't know nothing about it because everything is planned in Honolulu. This is a Kauai problem, I don't see why Kauai don't handle their own problems. So, those are the kind of things, like as I say, do communication and be open with the public. You know, that's the kind of thing that they want to know. Like just this past weekend, I had two people living in Kapa`a District tell me it's going to be a flop. Mr. Nakamura: Three minutes, Mr. Chair. Mr. Rosa: I figure everything else from Kauai is a fad, a stylish fad. It goes good and then it dies down. You go ask Mr. Ray McCormack about the highway adopt-a-system. It doesn't work. It doesn't work. Thank you. Chair Asing: Thank you. Is there anyone else? If not, I'd like to call the meeting back to order. There being no one else wishing to speak on this matter, the meeting was called back to order, and proceeded as follows: Chair Asing: I believe we have a motion and a second on the floor. Further discussion? Councilmember Bynum. Mr. Bynum: Thank you, Mr. Chair. I just want to clarify a couple of other things. Mr. Mickens says 1.5 acres of beachfront property. I want to be really clear what property we're talking about. This is...most of this square footage is two streets near the Kapa`a Shores condominium. You turn right off...by Kapa`a Shores, there's a little stretch of street and then Niulani Street and I can't remember the exact name. They're private roads and they're all busted up. They're...that is the bulk of the square footage of this property are these two roadways, which will be redone into roadway and bike path. There's 2,724 square feet of an easement, a strip of land, along the highway. The apartment owner there is fully cooperative, so there is such a thing as a friendly condemnation. It's just easier legally to do it that way for the owner and for the county, and the price is negotiated, and when this is completed, that will be public, and we will see how much it was, okay. So, this is not beachfront property, most of it is a roadway, the other is a few feet...extra feet in order to build the path and the road safely in that area. So, thank you. Chair Asing: Thank you. Further discussion? Councilmember Kawahara. COUNCIL MEETING - 18 - ~ June 9, 2010 Ms. Kawahara: Thank you, Council Chair. I just wanted to say that in reference to one of the testifiers here concerned about other...more important issues to address. I believe this county and this administration have both shown their commitment to building a healthy community with policies and facilities that advocate for a healthy community and also alternative transportation modes. So I don't see this as something that is not important and I feel that this is in line with all the other important issues that the county is addressing. Thank you. Chair Asing: Thank you. Any further discussion? Anyone else? If not... Mr. Nakamura: Roll call. Chair Asing: we have a motion and a second. Mr. Nakamura: Roll call. Chair Asing: All those in favor, say aye. Mr. Nakamura: Oh, roll call. Roll call, Council Chair, roll call. Chair Asing: I'm sorry, roll call, resolution. The motion to adopt Resolution No. 2010-34 was then put, and carried by the following vote: FOR ADOPTION: Bynum, Chang, Furfaro, Kaneshiro, Kawahara, Kawakami, Asing TOTAL - 7, -- AGAINST ADOPTION: None TOTAL - 0, EXCUSED & NOT VOTING: None TOTAL - 0. Chair Asing: Can we have the next item please. Mr. Nakamura: Next matter is on page 4 of the council's agenda, a bill for second reading, Bill No. 2318, Draft 3. BILL FOR SECOND READING: Bill No. 2318, Draft 3 - A BILL FOR AN ORDINANCE TO AMEND CHAPTER 8, KAUAI COUNTY CODE 1987, RELATING TO THE COMPREHENSIVE ZONING ORDINANCE (Farm Worker Housing) Chair Asing: Councilmember Kawakami. Mr. Kawakami: Thank you, Mr. Chair. I'm going to read a piece that I wrote last night, quite late at night as I was crafting my bullet points as to my opposition of this bill to make sure that I had covered all of my arguments. So I spent a great deal of time on this, so I'm going to...I'm going to go over this. So, if you guys want to bear with me for a little while, this is going to be one of those "what the hell is he talking about" moments. I think at times we've all sat at this table listening to people go on and on and you sit here thinking, what the hell is he talking about. Well, I'm going to exercise my right to have a "what the hell is he talking about" moment. So you guys be patient because I haven't done that too often. COUNCIL MEETING ~ - 19 - • June 9, 2010 I would like to start off by saying that although I'm on the other side of the fence right now with this issue, it doesn't mean that in the future I will not become a believer. All it means is that right now I have my reasons for not being able to support this and I will expand on this very soon. I would like to say to my colleagues who do support this bill presently that you are not wrong. I would like to say to the public who supports this bill that you are not wrong either. I've said it before that there are many issues in life that are black and white, right or wrong, and this is not one of those issues. The intent behind this is pure and it is from the heart. However, I do have my reasons for not being able to support this bill at this time. Reason number one, in Section 5.2.1 in the General Plan under (b) The primary intent of the Agricultural designation is to conserve land and water resources in order to: (1) insure an excellent resource base for existing and potential agricultural uses; and (2) assure a sufficient supply of land available for sale or lease at a cost that is economically feasible for agricultural enterprise. I am not convinced that this bill fulfills Section 2 of the primary intent behind the ag designation, which is to assure that land is available for sale or lease at a cost that is economically feasible for agricultural enterprise. I believe that a bill like this will drive up the value of ag lands and potentially put it further out of reach for current aspiring and future farmers. And the reason behind this feeling is highlighted by the fact that according to facts presented to us in our packets by the 2007 Census of Agriculture presented by the USDA which they note that there are 748 farms on Kauai, which constitutes 151,534 acres, of which the median size is 5 acres, that the net cash farm income of operation for these 748 farms is $10,475. These are not my numbers. These are numbers from the USDA. So how can we justify that this bill fulfills the primary intent of the agricultural designation which is in part to assure a sufficient supply of land available for sale or lease at a cost that is economically feasible for agricultural enterprise? I cannot justify this at this time. If the average farm is making $10,475 and in my opinion, and it is my opinion, is that there are more immediate concerns to address, such as how do we get farmers to become more profitable. Reason number two is that it remains unclear as to how this will affect our island, how many farms will qualify, how many farms meet the threshold set forth in this bill, mainly the $35,000 benchmark, and not just $35,000 but $35,000 for the last two years. You see, before I approve anything, I'd like to be able to visualize the impact, the potential impact and I'm not sure we have a tangible grasp as to what that number is and if we do, let's talk about it. Reason number three is that... and I will go back to my original statement how do you enforce the unenforceable, and I will go back to the quote from our General Plan which states that Kauai, like the other neighbor island counties, has found it impossible to enforce the state requirement that only farm dwellings and farm worker housing is allowed within the state agricultural land use district. What is the remedy if a person builds a house intending to farm his property fails and gives up farming and instead goes to work at a hotel. By definition, his house is no longer a farm dwelling but is now asingle-family residence. What practical remedy is available to enforce the farm dwelling provision or in this case farm worker housing requirement? It would be unreasonable and infeasible for the county to force the former farmer to sell or in this case remove his home and find a new house outside the state agricultural district. I know that we have said that this is temporary housing and that is why concrete slabs are not allowed, but guess what? Post and pier is not so temporary either. If we're requiring that farm worker housing comply with county building codes, then post and pier homes are not as temporary as you may be led to believe. COUNCIL MEETING ~ - 20 - ~ June 9, 2010 As stated in one piece of written testimony that has been received for the record, the intent of the bill is not to provide any new entitlement to density, but to provide clear criteria to administer a special use permit for worker housing which is completely contingent upon demonstrating need and continued use for commercial farming purposes. When that use goes away, then these worker housing units go away. In my opinion that is not likely to happen and I don't blame anyone. I wouldn't be able to tear someone's house down if they fail to farm, especially when we consider that the average farm only makes $10,475. Heck, I wouldn't even have the heart to put fines on them. So, I appreciate the fact that many of you have worked hard on this bill for three years and I can understand your frustration with me. You have every God-given right to feel this way and I accept this. But I've also been at work too. For the past several years, even before I became a member on this council, I've sat on KEDB's Food and Ag Committee and I must admit that I haven't been as active as some other members, but nonetheless I was asked to serve as I do have some experience in the retail sector which deals with local ag, and here is what I see as an alarming concern. If we have the data proving that the average farmer is only making $10,475, how is this farmer even surviving? If one only has to work 19 hours a week, is that considered fulltime farming? And sure down the line housing for farm workers may be a part of the solution, but I think the overall issue is worker housing in general, not just for farm workers. Farm workers are not the only ones that need housing. We're talking about office workers, shop workers, hotel workers, restaurant workers. In fact I dust ran into my old doctor and asked her how the medical business was doing and she said not that good and I asked her why. And she replied that the average doctor coming out of school is in debt $300,000 to $400,000 and with that kind of debt, they can't even qualify for a loan. Imagine that. And so KEDB has identified some challenges and opportunities to help farmers become first and foremost profitable - - because if you can't even pull in a profit, how can you even afford to build a home. So, some of the challenges that I have identified are that there's a lack of collaboration and cooperation between the food industry and farmers. The cost of freight has doubled in price. The cost of materials has increased. People don't know where to buy local products. People are not educated on the value of buying local. Customers want to buy the cheapest product available, which in most cases is not locally produced. There's a huge misunderstanding that local means cheaper and that is not the case. And yes, they have also identified that affordable housing for farmers and farm workers is lacking. There's an absence of good market information flowing between consumers, which include restaurants, grocers, etc., and producers, who are the farmers, and this hampers growth on both ends of the supply chain. Farmers need training in business and marketing. The industry faces a shortage in farmers, and students are not interested in farming as a career. Along with these challenges, it would be half empty if I didn't find and identify some opportunities. These are not my ideas. These all come from KEDB; they're a collective effort. Some of the opportunities is that renewable energy is a growing component of agriculture. More than two-thirds of all produce is shipped into Hawaii creating opportunities for import substitution. Export potential also exists because agricultural exports increased 23% from 1997 to 2001, ranking Hawaii 7th, that's 7th among 50 states in export growth. There is a growing consumer interest in organic products, quality branded produce and exotic varieties. You know this list goes on, and on and on and basically what this is is me with my business hat on looking at the logistics of a bill and trying to find ways on why a bill wouldn't work and why this doesn't make sense and why we need to address other things first. COUNCIL MEETING • - 21 - • June 9, 2010 I wrote that and I finished that at 1:37 a.m. and I emailed it to my office here at 1:37 a.m. I fell asleep at 2:15 a.m. And some time between 2:15 a.m. and 5 o'clock in the morning something happened, and I'll share it with you and I was contemplating how do I get my message across without sounding completely crazy. So dust bear with me while I try to express my points of view. I went to sleep at 2:15 a.m. and I was...and I had a dream. I had a dream. And I want to show you guys a picture. I don't have a PowerPoint, although I'm Generation X, I'm going to go old school on you guys. This is my PowerPoint presentation. This here is a picture of my mother's side of the family, the Kashima side of the family. And if you were to look up close at this picture, you'd see a little girl here. That girl is my mother. That's my grandmother Dora Kapaka, my grandfather Mutsumi Kashima, my uncles, my aunties. And here's a guy here you guys might know, some of your farmers, his name is Ed Kawamura. You guys may know him. If you look closer, they're all barefoot because they were all farmers. And so I had a dream about this guy here. His name is Edwin Kashima and he was my favorite uncle. He was the only uncle that I could relate to really because he was the kolohe one, but he was the one that farmed. He farmed till the day that he died down in Hule`ia. And I would go and visit him on his farm and I think last night he came to visit me and this is my "what the hell is he talking about" moment. But in this dream I was walking barefooted and I have dreams all the time and some people complain that they don't ever dream. Some people say that they dream in black and white. I dream in color, but this is the first time in my life that it's been so vivid. And I'm walking on this dirt and it's the first time where I can actually feel the dirt beneath my feet and as I'm kicking up this dirt on this farm, I can smell the dirt and I can smell the essence of a farm, which I haven't smelled since he's died I've never been down there. And he had a little shack that he had on this farm and it was probably illegal, but he's dead. So it's not like you can go out and fine him now. But he built this little shack out of shipping crates. You know, the pallets, he got it from Big Save, it's another half of a... But he built this little farm dwelling and I remember going down there and I remember leaving his farm and always feeling kind of bad that he had to live in such conditions. Now I don't know the reason behind this dream, but all I can say is that there was a reason for it. And in the Japanese culture this is obon season where your ancestors and your dearly departed come back to visit you, and I'm not so superstitious in the case that I carry a rabbit's foot in my pocket. But those who have traveled with me, like Dickie Chang and Ron Kouchi, know that when I travel, I always carry my ti-leaf and Hawaiian salt, and I don't know why. I think it's because I carry a piece of Kauai with me wherever I go and I feel that it protects me. But last night, and I don't know if it was a coincidence or if it had anything to do with anything supernatural which I don't believe in really, but what it did to me is it reminded me as to where I've come from. You know, this whole time on this bill I've been looking at this thing from a business perspective, looking at the logics, why it doesn't pencil out and why it doesn't make sense. But last night I woke up and I woke up so startled that I my wife woke up and I was in tears and I haven't cried in a long time, but I've come to the conclusion that somewhere along the line, I forgot where I came from. You see, we're not a family of businessmen because I'll hold up another picture. This is the Kashima side and this is the business side, the Kawakami side. And before these guys became businessmen, they were all farmers in Fukuoka, Japan. And somewhere down the line as I was trying to think logically as to why this bill wouldn't work and why it's not going to be the cure-all for farming, I forgot where my roots are and oftentimes politicians will forget where they've come from and you hear it all the time. You hear comments about people saying that this guy has forgotten where he's come from and I must admit that I, indeed, had forgotten that COUNCIL MEETING - 22 - ~ June 9, 2010 my roots have come from farming, that the only reason why I don't have to farm is because someone before me worked hard on that farm to make sure we had better opportunities. And so, it is against my grain, I guess. Some people have said that I have a backbone of steel, but I have a change of heart on this bill and I can see the merits of it. And when I look into the eyes of farmers like Louisa Wooten and when I look into the eyes of farmers like Roy Oyama and when I look into the eyes of farmers like Jerry Ornellas, it reminds me that I'm looking into the eyes of my own `ohana who's come before me. And so I'm ready to support the bill. I understand that we may need some time to work out some kinks. This is a complete 180 from everything that I've written and I want to say that I still stand strong, that this is not going to be the cure-all for farming and I think that the work needs to continue and if anybody thinks that by us allowing these farm worker dwellings to exist that all of a sudden ag is going to be in a better place, I still believe that it's completely false and a lot of work remains to be done. We need to look into how we can create opportunities. We need to look at how we can create commercial kitchens so that we can transform raw goods into value-added products that are ready to hit the store shelves. We need a slaughter house so that ranchers can process livestock and prepare them for marketing because the art, and it is an art, of butchering carcasses is almost gone. There's very few people that know how to break down cattle into something that's ready to hit the store shelves. We need a treatment, packing and handling facility so that farmers can wash, pack and store their produce to keep products fresher longer, but most importantly, we need farmers and they need to be able to make a living. So if this is a small piece of the puzzle, if this is going to be an incentive for some young guy to want to get involved in farming, then I can support this. Thank you for the opportunity to give you guys my "what the hell is he talking about" moment and I'll turn the floor back over to you, Chair. Chair Asing: Thank you. With that, let me do this first. Let me have the public up first. Is that... Mr. Kawakami: Absolutely. Chair Asing: Okay, with that I'm going to open it up to the public for testimony. There being no objections, the rules were suspended. ANNE PUNOHU: Aloha, Anne Punohu for the record without a walker. You had an epiphany, bruddah. I'm very proud of you. I was going to bring out the big guns today. I guess maybe I don't have to bring out such big ones now. For those of you who may be on the fence on this issue, you have a packet before you that I...hopefully you all got it. I'm here to bring up a different angle. You are federally obligated to provide safe, humane, sanitary and decent housing to all migrant farm workers and farm workers in this state. The federal law supersedes any law made in this room. If the county makes laws and rules that prevent the humane treatment of farm workers, then the county itself is liable for federal violations. Currently as this law stands, this law makes farmers in a terrible position. It causes them to violate a federal law by not being able to adequately provide, and if you read my packet you will see what they are not being able to provide, for those workers. It also makes them violate the current county law by trying to provide something for the workers. In my humble opinion, Mrs. Wooten should be given back her kitchen sink immediately after this meeting. So this is the issue that I want to bring to you. You have no choice but to pass this bill, and Derek, your testimony has given me absolute chicken skin because that's the reason that I'm sitting here representing the Kauai for Housing Law Coalition because I'm COUNCIL MEETING • - 23 - • June 9, 2010 representing the workers and the people who are sitting in the dirt right now in tents because they have no housing, and the farmers need them to produce that business plan that you were talking about and increase their production so that they can qualify for all of these programs so that they can increase the production in the State so we can do that business model that you're talking about. So, if you support the farm worker bill, you will actually be supporting both sides of Derek's mind. And I know that each and every one of you and myself included have been a part of the agriculture community on Kauai. I have been on all sides. I have been a worker; I have been a supervisor. I have seen worker housing work, but I cannot stand to see people living in the dirt when their only desire is to do an honest day's work for an honest day's wage and have a decent roof over their head. It is wrong to put the people that produce the food that we need on this island to be put in a Catch-22 of violating two laws while at the same time just trying to eke a living out of the ground. Mr. Nakamura: Three minutes, Mr. Chair. Ms. Punohu: So I hope that you will take my words to heart today and never, ever make another law that discriminates against a group of people and puts them in the dirt and takes a sink away from a woman who's just trying to provide them a decent meal. I hope I never have to see that again on Kauai. And as far as compliance and as far as making this work and expediting all of the certificates that are involved in this process, you have no choice. You have to do it. If you don't, you violate the federal laws and if you have any doubt about that, it's all in the packet there. Mahalo. Chair Asing: Anne, you want to wrap up? Oh, you did. Thank you. Is there anyone else? Mr. Nakamura: Council Chair, we have two registered speakers. Chair Asing: Go ahead. Mr. Nakamura: Felicia Cowden, followed by Sharon Boll. FELICIA COWDEN: Aloha, I'm Felicia Cowden, and I'm really glad that this is before this group and I think it's such an important thing, and Derek, I...I really, really honor what you have shared with us and I think like appealing to that business mind element of it is when we look at what is in the average, that's an important part, you know. The average might be $10,000, but there are definitely a number of farmers, a few in this room here, who do us a strikingly good job. I know they struggle, but they do a lot of provision and it just takes looking at their farms to see how much food is there. And I think that we've got to really be careful to not be criminalizing a noble profession. And these people who work and live in tents and just above the dirt, as she was saying, they love what they're doing and they love the soil, and I have recently dust gotten so into my own little backyard farming that I...I really extra appreciate how important it is and how easy it would be for Kauai to provide its own food. But we cannot possibly do it without farm worker housing because it...monocropping won't feed us all and we need to honor our history, both longtime history, the time of the Hawaiians, but even in the sugar time, they had the farm worker housing. It's really important, unlike office work and other things that when I had a business, it was a really critical issue for me because I couldn't find housing for my entry-level employees. But it wasn't essential for them to have immediate proximity to their fob and in the farming thing, you can't leave your fields, not a long way. So, I don't want to talk a long time, I just want to say food security for Kauai is a really big deal. It's a really good thing to do for our entire planet when we see the oil all over the gulf right now. All COUNCIL MEETING. - 24 - ~ June 9, 2010 this food that we bring in, that's part of that oil. It's not endless. We need to be starting it now, so we can honor all our ancestors, every one of them by having good farms, diverse farms and I want to say mahalo big to all of those farmers who've been struggling on little water and not much support. So thank you, thank you, thank you to the farmers and thank you to all of you for this important legislation that you're considering. Chair Asing: Thank you. Mr. Bynum: Thank you. Chair Asing: The next speaker, please. Mr. Nakamura: Next speaker is Sharon Boll. SHARON BOLL: Aloha Council, good afternoon. Chair Asing: You want to pull the mike closer to you. Ms. Boll: Sure. Aloha Council, good afternoon. I am Sharon Boll and I have come here today to support the farmer workers' housing bill and that's really the most of what I wish to say. It's important for us to support the farmers so that we can be sustainable. And if we can't feed ourselves, we are living in a world that is quickly changing and it's important for us to support the people that feed us. So, I just want to say thank you very much and I hope you'll consider that. Mahalo. Chair Asing: Thank you. Mr. Furfaro: Thank you. Chair Asing: We don't have any more registered speakers. Is there anyone else in the audience who would like to speak? NED WHITLOCK: Chairman Asing, Councilmembers, this last week... Mr. Furfaro: Ned, you have to introduce yourself. Mr. Whitlock: I'm Ned Whitlock, a farmer. In this last. week at our Farmers Market, we just put out asign-up petition dust for people, hey, do you support this. This is just people. We're not beating the bushes. This is just people coming to us, buying food and we have over 102 people, local residents, no tourists, and just signed on, saying yeah, we support this bill. And so, the farmers may be few, but there's a mountain underneath them and I think Derek, thanks for your inspiration and ~ust...a farmer and their land are inseparable and as far as making a living, if you're...if you're into it, Kauai is...is one of the best places I've ever been to make a living at farming because people are appreciative, the weather's great, and there's so much opportunity here for us, but it's how to reconnect the people with the land and grow more food. And this goes a long way of addressing some issues that need to be addressed. Thank you. Chair Asing: Thank you. Can we have the next speaker, please. Mr. Whitlock: May I hand this over to the Council? Mr. Furfaro: Yes, we would like to have that Ned. One of the clerks will accept it from you. Thank you, Ned. COUNCIL MEETING • - 25 - • June 9, 2010 LOUISA WOOTEN: Council Chair Asing and members of the Council, Louisa Wooten for the record. I have no prepared testimony and I was very moved by Councilmember Kawakami because it is a history. It's his wonderful history. It's the history of so many other people on this island. It's my history. It is the future of our family which sits back here in my son and daughter-in-law, who went away to college and got some fancy degrees that cost us a whole bunch of money. We had to work really hard while they were gone and I'll be darned if they didn't come back here and decide they want to be farmers. And there's few and far in between that want to do that, and Ned's son also came and stated that he wanted to do that too, and so maybe it's a gene of insanity, I'm not sure. But I just... anyway, I dust want you to know that I was... didn't know what I was going to say here today, but I just want to thank you for all the thoughtful discernment and for your leadership and for your listening and for all of us trying to work together because it is a beautiful, wonderful place we live and if we can all just get on the same track, I think that we can do wonderful things in agriculture, in tourism, and whatever it is that we want to accomplish because look where we're at and look at the opportunities that we have. And really not much more to say, but thank you very much and I'm so grateful to be with this group behind me. Thank you. Chair Asing: Thank you. Ms. Wooten: And before me too. Thank you. Thank you, Louisa. Chair Asing: Can we have the next speaker, please? RYAN WOOTEN: Hello, my name is Ryan Wooten. I'm Louisa's son. I came here with a big ole packet of things I was going to say, but after listening to Mr. Kawakami, I really don't have a whole lot to say, but I do support this bill. It's very important to my family. The kitchen sink that everybody's talking about, that's my kitchen sink. That's the one that... we're the young farmers, we're the aspiring farmers, we're the people that are the future of Kaua`i's agriculture. My wife here, we also have two employees at the back that are also young farmers. These are the people that we're protecting and they're also the people that are supporting this bill. So I ask you, plead that you guys support this bill because I really want my kitchen sink back. Thank you. Chair Asing: Thank you. Can we have the next speaker, please? JOANNA MALTAS: Hi, my name is Joanna Maltas, and I'm part of a farm. I just want to thank you for your support. I really believe in these people and what they're doing. I see it changes lives. And on the worker level, we do love what we do, we love to experience and be reconnected with the land, meet people and be inspired by what they do. I'm very impressed. I didn't know people like that existed and that's great to see and understand. So thank you very much for taking your time figuring this out. I really believe in these people and I'm glad to see it working out. Thank you. Chair Asing: Thank you. Can we have the next speaker, please? Going once, going twice... JOE ROSA: For the record Joe Rosa. As an old kama`aina here on this island, I've seen how farming has gone to where it is at today's situation. You take the Wailua Homestead area, it was homesteads for homesteaders, and a lot of them ended up farming pineapple. They might have had 10 acres, but they COUNCIL MEETING - 26 - ~ June 9, 2010 would dust farm 1 or 2 acres because for farm 10 acres, it was too big for them. But fortunately, they had the pineapple cannery and also the sugar plantation that they used to lease land up in Kapa`a Homesteads. Take Manuel Agell Sr., he used to farm cane where Lihu`e Plantation used to haul it down by truck, if you're not aware of it. As I say I'm an old kama`aina. Ching Fat above St. Catherine's School, there was a portion in there after the plantation didn't want to start taking out cane from there because the area developed into housing and everything was a hazard for them, so it was sold to real estate. Housing came up. Now there's a lot of things that have discouraged the farmers here. The canneries have closed up. The plantation has closed up. All those big acreage...farmers that had acreage that used to be subleased to plantation or the canneries, they used to just farm and lease the area. And they used to do mostly truck farming, tomatoes, peppers, cucumbers, something that was fast, that you could get out. But those are the kind of things, I've seen those changes. Like Mr. Kawakami mentioned his uncle, the Kashimas way down Hule`ia Valley. I remember that. The uncle up... after he retired from the plantation or the plantation closed up, he cleared acreage up in Puhi over there and what he's doing? He was raising ti leaves to support himself. There's other ways of farming, not only vegetable farming. You can do fruit farming in acreage like that there, but also up in the Wailua Homesteads, getting back to that area, at that time before the old territory had the ditch coming from the Wailua...big Wailua reservoir, they used to call the East Kauai Water Ditch that used to supply the farmers along the way there. I know the Fuji brothers had big acreage. They used to lease it to the plantation, but after the... not plantation, but the cannery. After the cannery closed it up, they turned it into pasture. After the pasture came up, real estate come up here, dingle the money in front their eyes, sell it out, it all come residential. There was no control. Who's to blame? But here on Kauai, it's a different scenario. Even Mr. Roy Oyama, I think his family they...they leased a lot of their lands to the Lawa`i Cannery to plant pineapple because they had big acreage. The whole Kukuiolono Park area was all pineapple at one time, but was all owned by the families, the Arakakis, the Kawatas, you name it, all Japanese big homesteaders, but they're not there anymore. But they cannot farm those kind of big lands, but they need support. If you want big acreage farming, you'll have to provide some sort of housing. Mr. Nakamura: Three minutes, Mr. Chair. Mr. Rosa: And you know in the mainland, they talk about sanitary conditions, but I'd like to know how that rural farmer way in the boondocks... who's to take care his housing and... which had to do with sewer and whatnot. I'm pretty sure they had cesspools or septic tanks. So you know, don't let that kind of thing discourage the farmers from putting up something so that they can be farmers and produce off the land. And help them by way of making water available like that old East Kauai Water Ditch that used to be there. I remember the territory used to go and take care that until statehood came about that's it. Chair Asing: Joe, you want to wrap up, please? Mr. Rosa: You know, so I know my time is up, but I'd like to leave you with some things that I've seen and you can help those farmers that need help. Thank you. Chair Asing: Thank you. Thank you, Joe. Chair Asing: Can we have the next speaker up, please? COUNCIL .MEETING • - 27 - • June 9, 2010 ROY OYAMA, Farm Bureau: Good afternoon, Councilmembers, Chairman Asing. I'm Roy Oyama of the Farm Bureau. I just...I don't know how to start because I'm not sure if it's going to be true yet, so until the time I hear the votes, then I know because I had to ask someone in the back to pinch me if it's real what I'm hearing. Anyway, I just want to be sure and I'm hoping that the votes go the right way because before the meeting too, you know, several days we've been batting around this subject, talking to each other in a group and trying to stall for the new council. I mean, I'm talking about the future, okay. And... and I don't want to be in the tracks of always trying to defend ourselves, but we need to be in the offense area. So, today or this afternoon, I don't know where it is...a no-fly zone like we talk about fruit flies. A yoke was no-fly zone, and someone else thought that what, the airplane (that's the airport plant now) and that person thought what? We're in a no-fly zone? That's pretty bad. I says no, fruit flies no-fly zone, okay. That's the joke. But anyway, to finish up, I want to thank our... all of our farmers in the back of me as well as whoever wrote to you, I want to really thank them very much for sticking right, not to go overboard and trash you people. I want to make sure you understand that, okay. I'm very happy. They are very professional to me and I honor that. The other thing is what I heard now, the Farm Bureau wants to work with anybody who wants to work with us to advance ourself from this stage on, like getting agriculture in a new level, you know. You gotta understand, the mayor has been very committed to us and we support him very much because he has committed for us to do the ranchers projects, you know, the flower people, our disinfestation plant, and future of that and including upcoming in the matter of a few weeks we'll be announcing a little bit more. So I just want to make sure that this year the Farm Bureau had been very, very productive in working area and then we are about to bring forward more. Also with the fair coming up, this is our biggest moment of education to the public. The fair is welcoming everybody. Yes, we need the dollars because it needs to support us in that fashion and we also support the scholarships. So in all, in closing, I want to thank everyone again, every one of you as well as the farmers who came forth to keep the right issues on the table and help us move forward. So I really want to congratulate you, Councilman Kawakami. I'm just still wobbling around if I'm hearing right, okay? So thank you, that's all I have. Chair Asing: Thank you. Can we have the next speaker, please? PATTY VALENTINE, Hawaii Farmers Union: Good afternoon Council, Council Asing. Chair Asing: Good afternoon. Ms. Valentine: Patty Valentine for the record and with the Hawaii Farmers Union. I want to thank you for your attention this afternoon. I was going through my files before coming to the meeting today and pulled out the 526 signatures that I presented the County Council with two years ago that I solicited from people at our Farmers Markets throughout the island, and you've already had copies made of all of this, but here's some testimony too that we need a reminder o£ Of everybody that I've been talking to on Kauai is talking about this bill, whether you're for or against. It's in the air, it's been on the radio, it's been in the newspapers, there's emails flying around. So, the decision that you all are going to make is really going to have a very widespread effect throughout the island. We all love Kauai. That is a given and that's a place that we all share our hearts from in being here. We all want to see our county prosper and grow. We all want to be able to eat the food here and we certainly want the people behind us to continue doing what they're doing and providing it for us. None of us wants to see ag land abuse. Chair Asing, please know that none of us wants to see ag land abuse. I agree with you that there was abuse in the past, but this bill has been so fashioned COUNCIL MEETING ~ - 28 - ~ June 9, 2010 and so hammered out and so well thought with so much input that I don't even see how somebody could even consider that they could get away with something with all of the points that have been written into this bill, all of the provisions. And it is not a perfect cure-all as Derek said. And we're not looking at it as if it is. We know that there's more work to be done in our county. There's always going to be more, but it is a place to start and that's... that's really the intention that our community group put behind creating this bill and having the council bring it forward to you all. And I just want to thank you all for your attention and for your consideration and I'm really (inaudible) to see what the vote's going to be like today. Thank you. Mr. Chang: Thank you, Patty Chair Asing: Thank you. Can we have the next speaker, please? Is... s ANDREA BROWER, Malama Kauai: That's testimony from somebody else actually (referring to a paper that she handed to a staff). (Inaudible.) Hello, good afternoon, everybody. I think that we all... oh, my name is Andrea and I'm from Malama Kauai. And I think we all support agriculture and I think we all know how critical food security is to the future of this island and to sustainability in general. And one of the things that we obviously need to do is protect and preserve our agricultural lands and there's a whole slew of things that we can do to advance that mission. And some of those bills are sitting somewhere in the county, I know, and one of them you just passed, the open density bill, and there's more work, a lot more work to be done in that area. The other thing we can do to support agriculture is talk to our farmers, our existing farmers and find out what they need and I would like to acknowledge the councilmembers who started over three years ago, Furfaro and Councilmember Yukimura at the time, and then also Bynum and Kawahara, who have been working proactively with the farming community to find out what their greatest challenges are and work on the farm worker housing issue which has been identified by many plans, many boards, and the farming community as something that is really necessary at this time. I would like to address...I love your dream Councilmember Kawakami. I'd like to address some of the things that you said before that. One of them is the statistics with the USDA and I just want to go on the record as saying that that is an average and there's a lot of people who farm as a part-time occupation or just maybe like one tree crop every year and so that brings the numbers way down. Also, there's farmers that are under reporting for some reasons or that sell at Farmers Markets and there's, you know, a lot of... there's the cash trading... cash economy and this... this bill is really about helping the fulltime farmers and people who are making a living doing it, and so I think to fall back on statistics like that isn't... doesn't really make sense. The other thing is about young people not wanting to farm and I know for a fact that that's not true. There's a lot of young farmers here. My little brother, who was born and raised here, he just went to school at UH Hilo, studied ag and he really wants to come home and farm, but he can't because like you said, it's not profitable enough and access to land is one of the major reasons. And to be able to live on your land is one of the main things that's going to make farming more profitable. I know that he has a lot of friends over there who want to come home and farm, who are from here, and I know a lot of friends who are in the landscaping industry and tourism industry who would love to farm, but we need to be proactively supporting them and we need to really, really work together and... and COUNCIL MEETING • - 29 - • June 9, 2010 move forward on the initiatives that we know are going to make farming more profitable, and some of those you mentioned, but there's a lot of others that we can gain insight on from our farming community. And the last thing is I do think that this bill is strongly written, but it is going to need enforcement and I hope that we can, as a community, continue to watch that and not just get all excited about the bill and then turn our heads. I think we need to continue to address the enforcement issue. Thank you. Chair Asing: Thank you. PAT GEGEN: Thank you, Chair. Hello, Council. For the name, my name is...for the record, my name is Pat Gegen. I just wanted to show you I am a Farm Bureau member. I do live on agricultural land, but Derek, I'll never make $5,000 on my property. I'll be lucky if I do that. I've just planted all my trees. My daughter's looking forward to going to the Farm Markets and sitting at the back of the pick-up truck and selling stuff, but at this point it's not happening. I do support this bill. I do think that it is stringent in the requirements that are out there. I think you've done a very good fob of crafting those to ensure that the people are truly farmers, not somebody like myself who says ah, a loophole. I wouldn't be able to do it. That's not going to happen. So I appreciate all the requirements that you have in there and I do agree with Andrea that the enforcement is very important and I hope we can find a way to make sure that it is enforced. I don't want to see the island overrun with additional housing units where they're not needed, that aren't for real. So, if this is going to get us for real housing for farmers who are making a hying doing what they're doing and not just gentleman farmers putting out their fruit trees like myself, I definitely support the bill. And I hope you take a vote on it because I'm tired of pinching Mr. Oyama back here. Thank you. Chair Asing: Thank you. Is there anyone else? JOANN YUKIMURA: Council Chair, Members of the Council, JoAnn Yukimura. I'm really grateful that Councilmember Kawakami has chosen to follow his heart and his roots because modern business thinking can sometime... doesn't... doesn't always add up and as Andrea pointed out, the average of $10,475.00 per acre is really skewed because it doesn't g7ve you the full picture because pasture, for example, brings in small amounts per acre, but there are the other more profitable farms and this bill is focused on the fulltime farmer of high value crop. I also think it's really unrealistic to expect one bill to solve all of the ag problems and if aff...land that...that is affordable for farmers is our goal, what we need to do is to prevent country estates, which means really looking at our whole ag subdivision law and dealing with that. So the thing that addresses condominiumization of ag land and the bill that also addresses ag subdivision and turns it into at least a Class IV process, those are really important bills and they haven't moved forward in this county. So that's something we need to look at, and it's something that the farm worker housing bill cannot address. But to get one piece in place, the very important piece of farm worker housing is important, and so it can't get more important because, you know, transport, value added, nothing matters unless you produce the produce in the first place, that is and that's what farm worker housing is about. ~ And as Andrea was so astute to mention, this farm worker housing bill and a very tight bill is just one-half of the formula. And Chair, you have shown by your presentation that the other half is the administration and enforcement of a law. This body is a legislative body. You do the laws. You create the laws. It is the COUNCIL MEETING ~ - 30 - ~ June 9, 2010 mayor and the administrative departments, like the planning department, that is in charge of administering and enforcing the law, and I have to say the track record, with respect to vacation rentals, shoreline setbacks, all of these things haven't been really good up to now and that is the area we're going to have to focus on once this bill is passed because it's a critical piece. Otherwise, the worst case scenarios as shown by the Chair could happen. So we really have to ask the administration to step forward and do their part. And the last part about how do you enforce the unenforceable, we have to create enforceable laws and we have to do that partly by changing our mindset because we cannot just use a commercially zoned place for a dump, nor can we use conservation land for commercial. And at some point, we're not going to be able to use ag land, at least the important ag lands, for residential. We're...it cannot be solely for residential. We have to find ways to make sure that ag lands are being farmed and are available for farming for future generations. Mr. Nakamura: Three minutes, 1VIr. Chair. Ms. Yukimura: So we have a lot of work to do and that concludes my testimony. Thank you for all the hard work that you've been doing on this bill and we look forward to positive results from you. Thank you. Chair Asing: Thank you. Is there... is there anyone else? Hang on, let...we have...others have a chance first. Is there anyone who has not spoken that wants to speak? Please. MELISSA McFERRIN: Just very briefly because I have spoken on this in the past, my name is Melissa McFerrin. I'm the Executive Administrator for the Farm Bureau and I want to thank you for your dialogue on this. You know as this is just one aspect and there's still much work to be done on this as well as other issues, and we're here for the long haul to be a resource and work together. When I looked at our past testimony from a year ago when it started with planning, it's still very consistent, which is we support worker housing with protections against abuse. And we know that that is a very significant concern and we take that very seriously and that we work together for some...for a few years, but since I started over the past year and it's really been an active teamwork with councilmembers and with various folks in the administration to try to come up with these 11 protections that would help take this forward. Just one thing that was interesting to me this week because Councilman Kawakami brought up the marketing aspect and I spend a lot of time on that aspect and lately we've been working on value-added markets with the Farm Bureau and KCC and also a new one is being introduced on the south shore as well as the Kauai Grown Program. And as we've been going about recruiting and talking with farmers for this, what we learn is that at one point we run into supply and I think that is what this is about is on one hand working on the side to build the demand and the value, and on the other hand working on the supply side to see how can we help the farmers that are currently farming be more productive and more profitable and that this is just one of many tools in the toolbox. But what I...what was most important to me as a citizen is over the last 10 years on Kauai, I have never seen so much attention devoted to agriculture. So, that is something that I see as very hopeful for the future and everyone may not always agree at the same time and there may be new solutions and additional points or challenges that come up, but we're here to work together and we really appreciate your time and dedication as public servants working together with everyone. Mahalo. Chair Asing: Thank you. Is there anyone else who did not speak that wants to speak at this time? If not...you want to come up? COUNCIL MEETING • - 31 - ~ June 9, 2010 Ms. Valentine: Patty Valentine again and I dust wanted to share one statistic that I did bring up two weeks ago at the last council meeting, but it's the next tier of what Mr. Kawakami was presenting, which is that yes, 65.7% of our farmers earn under $10,000 annually, but the next tier is 22.6% earns under $50,000. So if you were to extrapolate that figure, you could say that almost 25% of our farmers could qualify, you know, at least being able to apply for this. So it would be to their advantage, you know, and again that's the State's figure. That's not necessarily what's holding true for Kauai, but I think there will be people that this bill will benefit in a good way. Thank you. Chair Asing: Thank you. Is there anyone else? If not, what...okay, go ahead, come up. Mr. Rosa: For the record Joe Rosa. I think a lot of it here on Kauai we have these problems as far as farming and all that. From the days when JoAnn was the mayor I heard that we need land classification and there's no land classification here on Kauai. Every...everything on this island is urbanized, so the taxes are high. Everybody paying urbanized taxes. So if they have classification, the farmers would probably fall in the rural classification and they'll pay cheaper taxes. So, when it comes to the Comprehensive Zoning, I think that's where it should be established, urbanization and rural, because urbanization you have all the benefits of airports, shopping centers, you name it. But people that live out in the countryside, they don't have those conveniences, so the taxes should come down. There's no land classification. The land cost here in Lihu`e is the same in Princeville or Kilauea. So where's the classification? That's something seriously you guys have to think about. Where's the land classification? That's why the taxes are so high. But the realtors will like that because they make their money and again it's just you're taking care the greedy, not the needy. Thank you. Chair Asing: Thank you. Is there anyone else who wants to speak a second time? If not I'll call the meeting back to order. Councilmember Furfaro. The meeting was called back to order, and proceeded as follows: Mr. Furfaro: Thank you very much, Chair, and for allowing me some time to speak as the co-author of the bill. First and foremost I want to say that there is still a little housekeeping work to do here and we might have to do a deferral for two potential amendments that got us to this point. But more importantly, I want to first of all thank Councilman Kawakami. I think his sharing his reflection on this bill certainly demonstrates...you know the task that we have here in evaluating bills and negotiating on merit and value, and I want to thank him for his leadership and comments. Secondly, I also want to say we do need to have some follow-up on the outstanding issues that are in the Moloa'a area and perhaps that provides you an opportunity, Mr. Asing, to share something with us about concerns and how we move forward on the administration and enforcement of this bill since that came up in today's discussion. You know this bill is not and was never intended to, you know, establish an amnesty for those that have made violations, but it certainly is intended to give people the opportunity to clean up any violations that they might have as they present their application for farm worker housing in front of the planning commission. COUNCIL MEETING. - 32 - . June 9, 2010 You know finding solutions as a group or this council, I'm very proud to be a member of this council. We've been working on this almost for three years and yes, it was about two years ago that we got the first signature petition supporting the bill. But we've had a lot of good dialogue and we have 11 conditions in the bill as it is now ranging anywhere from quality of revenues related to the entitlement of any farm worker housing to also making certain that certain codes are met. And it has been somewhat as a soft message or a soft negotiation on these points in the bill, but it was really intended to avoid conflicts without having people to get...or become angry about perhaps losing their position, but really watching out for everybody's concern and come to some mutual agreement. And that is one of the reasons we have those conditions and controls in the bill. I...you know, I think we've done a very good job on focusing on the interest of supporting farming and not focusing on individual positions and really standing up to the issues that are out there that we have to fix. It's not the responsibility of this council to administer rules and enforcement which has been brought up, but it is certainly our need to qualify the departments that are responsible for that to move for the best interest of the County of Kauai. And so I want to thank you for your presentation, Mr. Asing, and you know, the mutual respect that we have to have for each other coming to a final bill. It's not a perfect bill, that has been mentioned by all and is intended really until we have something in place with the important ag land development. But I have always supported the bill and will continue to do so, but if there is a need to defer this for two weeks to clean up some housekeeping items, I will certainly be supporting that, but I would like it to be no more than two weeks and get to a vote. Chair Asing: Thank you. With that, councilmember Bynum. Mr. Bynum: Thank you, Mr. Chair. It's a really interesting day. I want to start by saying that I too think it's a real honor to serve on this council and whether we agree or disagree, whether we're getting along or squabbling, I know that every person at this table cares deeply about this community and has a lot to contribute to the decisions that we make. This has been a real blessing for me being a councilmember and this issue in particular because I got to meet many of you and I've learned many things about farming over the last seven or eight years. I remember two or three years ago, I got really inspired after coming to a Farm Bureau meeting and learning there that...you know, I had to...I went and looked up Laurie Ho to get my "I Support Kauai Agriculture" bumper sticker to put on my truck because I really, you know, wanted I think sincerely, like everybody in this room, to support agriculture. But to find the ways to do that is not always easy. So, I want to say that I had some real concerns about this bill a few months ago. I expressed those here on this floor because I do believe that land is precious and agriculture land in particular is precious and I believe that there has been lots of abuse of agriculture land on Kauai and continues to be. But as I watched this wonderful process of community and government work out these issues, really sincere caring people that are putting their nose to the grindstone and coming up with solutions to make this bill work. It's been said several times today and I agree totally, this bill is not acure-all. It doesn't address all of the issues that we need and it is not going to impact everybody, but it sure is going to impact those people I've met who are out there working really hard and putting out the $35,000 gross sales or more, you know, of farm product into our community and that's very important. I want to say that that $10,000 figure is a net figure. That's income. So I had a small business on Kauai for 13 years. I remember the first year I made $10,000. I had gross sales of over $100,000 to make $10,000 net and I suspect that farming is similar, that the cost of water and fertilizer and labor and tools make that..and so this bill, the $35,000 is gross sales, not net income and I think that's important, and that's a very important htmus test for this bill. But... and as we've gone through this process, I've learned a lot from councilmember Kawakami and the work that he's done was a business member and things that he's done on COUNCIL MEETING ~ - 33 - ~ June 9, 2010 DBEDT. The outlines that he gave us today are a good example of the issues, many issues that we have to address other than this bill. But as it came together over the last few weeks and I've written many of you this week, I support the bill as it's currently written. In some ways it's a little maybe even too stringent than it needs to be, but I accept the position that we're at and I'm more than willing to look at any additional amendments to make it work and come to a consensus. But having said that, I also have to say that I am deeply concerned about the abuse of ag land, so I want to talk about two different kinds of businesses that currently operate here on Kauai. I've met many of you who are...I consider small and medium business owners. You work really hard and you know, you've basically approached government and said help us address this housing issue so we can increase production. Production is important. I was really moved by this testimony... many... a bunch of the testimonies I was moved by, but this one had a different perspective. It's from a company that... a business that I don't know about called Cultivate, which seems to be helping people market, helping farmers market and it's si...it has...it cites many of the restaurateurs on the island who are buying local produce, who really want more. And I want to read this one paragraph. It says, "Cultivate can market, sell and deliver anything that's grown, but we currently need 10 times the supply to certify our clientele and that's without any growth in accounts. Speaking from a purely business side of the issue, Cultivate needs our growers to grow more food so we can sell more and there is absolutely no way we can do that without the support of a reliant employee base, something that will happen only with the passing of this bill." I think Mr. Kawakami's made it clear that this bill's not going to answer that question about a reliant employee base, but it's going to help and it's going to help a lot, and that's why I support this bill. So we have these small and medium business owners who are saying, let us have housing for our place and we're saying, okay, but you gotta demonstrate $35,000 two years in a row, you have to... and if we let you build a house, it can't be bigger than 1200 square feet and it has to be built in a certain way. And so, you know, I think those are the kind of restrictions we put in the bill. But I need to say that at the same time on Kauai we have businesses that are perhaps larger that are making hundreds of large agricultural subdivisions, building housing that has no limit in size, no expectation that any agriculture will occur, and I know since the council last chose not to regulate that in 2008 that there's at least 400 new ones, right, and I think probably a lot more. So, we need to look at the whole picture and I've heard some of that testimony today. We're concerned about farmers and we put all these restrictions on and we may or may not pass this bill, but we have yet to do anything about wholesale subdivision of agricultural land for no agricultural purposes in ways that dismantle intact water systems. When you draw lines and divide things up in ownership, it's hard to put it back together. And so, you know, because the other thing that Mr. Kawakami said that I agree with totally was that we have to address affordable housing in general, okay. But the housing that we're building on agricultural land-I always have to do this disclaimer, I live on an ag lot, okay, bought it 10 years ago when it was affordable for local people, but it's not affordable anymore. These new ag subdivisions, the land goes for a half a million or more and no agriculture is occurring, and our General Plan asked us to address this 10 years ago and we have yet to do it. I want to read one paragraph from our General Plan, "Contrary to policy, the regulatory playing field is skewed to favor large lot residential development of agricultural land over residential development in urban areas." Now we know smart growth is to make more working class neighborhoods in and around our towns, and I ask you, how many of those have we made? We haven't because the regulatory framework is skewed in favor of doing the wrong thing on agricultural land. This issue has to be addressed. So I'm thrilled to see this focus on agriculture, on sustainability, on growing our own food, about becoming less COUNCIL MEETING ~ - 34 - ~ June 9, 2010 dependent, about getting young people back into farming. That's all great, but we have to look at the whole picture, and so I'm confident that next time around with this new...renewed concern about preserving agricultural lands that we will be successful in creating the regulatory framework we need to manage our agricultural lands more wisely. So I'm prepared to vote on this bill today; however, I'm prepared to defer it i£..and continue to work on it to see what the issues are. But I'm glad and I'm thrilled that we're not voting it down today it appears. So, thank you very much for that opportunity. Chair Asing: Councilmember Chang. Mr. Chang: Thank you, Chair. First of all I'd like to say, unfortunately I didn't have a chance to dream because I didn't sleep. It's pretty interesting because I was at a function last night and I kind of kiddingly when everybody knew what was on the agenda for today, they asked me how I was feeling for tomorrow, meaning today, and I kind of kid to them I was still trying to figure out how to call in sick for today. But I am here and I'm going to start off, because I didn't have a dream, but what I would like to try to express to you folks and I hope you don't take this contents wrong, but I want to just say the Lord works in mysterious ways. Let me just explain to you folks why. Last Wednesday it was about 6:30 p.m. or so that we took a break for dinner. We were going to come back at 7:30 p.m. and there was a few...just a small handful...I think the Whitlocks were here, Cynthia Chiang was here, and we were about ready to take a vote. Councilmember Kawahara was called... a previous plan on business to fly out to San Diego. Little did we know that we were going to...Patty might have been here...little did we know she had to catch the plane. So here we were, we were about ready to vote, but in fairness to and respect to Councilmember Kawahara and our county attorney, we rightfully deferred the bill, keeping in mind had the vote...it had been voted on, I don't believe this bill would have passed. It would have been forgotten, no time to think, no time for testimony and everything else. So, you know, what I would like to say is, you know, on aminute-by-minute basis, hour-by-hour basis, I want you folks to know that the councilmembers are always thinking. We're always thinking what about this, what about that, what about this. I've spoken many times with Roy Oyama, many times with Jerry Ornellas. We've talked to many, many different people within the community and I would like to say is, you know, when we say we all support agriculture, I hope you understand we all support agriculture; however, you know, there are concerns because there are those that might say, hey, if we knew that we could get temporary work housing, we would have bought the land a long time ago or there are people right now with density that, you know, it may affect them having to have to build a home or they can't build a farm worker housing. There's concerns about what about those that want to start up... start up farmers. So there's a lot of different concerns from planning to analysts and one of my concerns initially on...was a concern that we all talk about and care about was the abuse, the enforcement, and what have you. I think the last time I mentioned that I had the pleasure of being up on a helicopter and I'm not sure how many of you folks have been on a helicopter lately, but anytime you fly around the island or you fly somewhere specifically, I think you would be in utter shock to see what has been built out there, okay. So, if you guys can understand what I'm saying, big homes, `ohana house, swimming pool, heliport. I think you get the picture as to why we were very, very concerned. Now, I had the pleasure of going out with our Council Chair to Moloa'a and we went from farm to farm to farm to farm. We looked at different places. We was at Louisa Wooten's house. That's when I met Rachel out there and, you know, we're doing our due diligence, but farming is all around us at this time. Sunday morning I wake up, read the newspaper, see what happened, see if we got any cracks, if COUNCIL MEETING ~ - 35 - ~ June 9, 2010 everything's all right, everything was good and I read the article by Louisa Wooten and Andrea Brower. When I read that article, to and behold, who by omen is one of the first guys I meet at the Taste of Hawaii, Keoni Kealoha, so we start talking story. But as you walk from booth to booth to booth to booth, guess what? More local products, more local products, more local products, many of these farmers and many of these restaurants are personal friends of mine that have supported me. I don't want to mention their names, but they know who they are. Yesterday I was down there at the Hyatt down at Dondero's. I'm not sure if you folks know, but there's a farm right below Stevenson's and Dondero's. What are they growing? Local products that they can use. So what we're going to be...what I wanted to say is that I think it's a real tremendous blessing. I think it's actually a very, very happy day for Kauai because I feel that obviously we're going to be deferring the bill, but when I did talk to our planners and our attorneys, I've been on the phone constantly and I mean call up the planner, call up an attorney, think, call `em back and call `em back. This morning, I did my walk. I have a yard. I have a mini-farm. Every councilmember has been to my farm and I jokingly say, hey, will you support me for my farm worker housing. And when I say jokingly, sometimes we think that people want to abuse and that's a joke to us, but it's a true story. It is the fact that we do need to also police and also enforce and try to help out our county, but what I would like to say is prior to becoming a councilmember, right before becoming a councilmember till about March when Al Castillo took over, there were about seven county attorneys. Some of you guys remember this. You know many of our attorneys were coming back and forth, Honolulu-Kauai, Honolulu-Kauai, Honolulu-Kauai, but I believe that our administration and our county attorney has assembled an incredible bunch of team members that are bright, that are brilliant, that are young, that are hungry, and they are ready to act when they are called upon the duty to defend this county as we all here, I believe that the...they have made the stand that they're going to scrutinize, that they're going to enforce and nobody wants to tear down a house, we all know that. Nobody wants to do things as such. But I do believe that at one point in time when that happens, I hope that whoever's the first to violate, that violator will get prosecuted as quickly as possible because if you know the process, you got four months to tear down what you need to tear down. A week later, two months later, 119 days later, you know what, county? You tear `em down. You tear it down. From that conversation that may take two years or so before there's any face-to-face at one time or another. So, if you multiply... that always... that is the concern that ultimately it's going to be the taxpayers. So, hopefully down the road we may have perhaps a hearing... hearings officer that can actually, you know, police the county code as far as vio...the county code as far as violations are concerned. So there are amendments that I'm sure some of the councilmembers are thinking about right now, but I do want to let everybody know that there's no secret, that everybody is supporting. This is the...this is the wave and everywhere else you go, I think my life is surrounded a lot about this issue. When I go into the Marriott Hotel to do the briefings, what do we have with all the brochures? Farmers Market, Sunshine Markets, so we can let our visitors know where to go. Luau at the Sheraton Kauai, a lot of different kinds of local food. Gaylord's restaurant, now turned into 22 North, they got a farm that they're going to be building back there so the chefs can get exactly what they want and they're going to hire a farmer to actually make that thing go. So, you know, I think it's a...I think it's a very, very happy day for Kauai. We need to work on this bill a little longer because we want to make sure that the...there are a lot of local people that don't come here to testify, but they also too have concerns. So we gotta address their concerns because we do have to make it fair for a lot of people. So I'm really, really thrilled with which the direction that we're going to because I think in the long run, it's going to be really, really great COUNCIL MEETING ~ - 36 - ~ June 9, 2010 thing for the island of Kauai. So, you know, I want to first and foremost thank everybody for coming on over. It hasn't been easy for a lot of people and I know I saw a couple of farmers over here and I know that you guys are taking a lot o£..out of your time and lastly, as far as an omen is concerned, just a couple hours ago, I did call my friend Ka`aina Hull, one of the planners that has been working interestingly and long hours to make this happen, and it only dawned on me that his name meant Ka`aina, the land, and I went, my goodness, that's what we're all about, talking about the land. So thank you everybody and thank you for being patient with us, but I do believe that this is a very, very happy day because I think things will get done and straightened out and hopefully we can get it as perfect as possible. Thank you very much. Thank you. Thank you, Chair. Chair Asing: Lani... councilmember Kawahara. Ms. Kawahara: Thank you, Chair. I just wanted a point of clarification for Mr. Chang. My presence, if I had' been present that day it would have mandated a vote I the vote was called and then that... my presence, it would have come out... it might have come out 3-3. So, my absence was not what was going to kill the bill. If I had been here, there would have been six of us... Mr. Chang: What I was... Ms. Kawahara: at which...we would have had to take a vote. Mr. Chang: Correct. Ms. Kawahara: Yeah. Mr. Chang: But we would have and by the way we would have taken a vote. There was a call to take the vote, but we decided out of respect and with the advice of our attorney not to take the vote because you weren't going to be here. And if I can just add this to say this, I talked to a long, long, long time councilmember and I asked the councilmember, when was the last time that there was a critical bill that went 3-3 and it just pssst out. He couldn't remember it. And I just want to just say this for the record, I am happy for myself personally that there is a deferral and I'm going to tell you why because if it went 3-3, the bill is dead. The democratic process says there needs to be a majority. One way or another, whether it passed or whether it failed, something should be at the bare bone minimum 4-3 or what have you. So I don't believe that a bill should be killed because it's a 3-3. I think it's the democratic process and only fair that majority rules. So that's... Mr. Furfaro: Excuse me, procedure. Councilwoman Kawa... Kawa... BC, Videographer: Check your mike. Mr. Furfaro: Kawa... Kawahara. Ms. Kawahara: Hara. (Inaudible.) . COUNCIL MEETING ~ - 37 - ~ June 9, 2010 Mr. Furfaro: Councilwoman...I started by the gender, I... Councilwoman Kawahara actually has the floor and I do want to reference the fact that it was I that asked for the deferral. So let's recognize the protocol, she has the floor. Chair Asing: Go ahead. Mr. Chang: I apologize. Ms. Kawahara: Oh no, that was...that was it. It was...it was...I think it's pretty, hopefully clear. Mr. Furfaro: I think it's clear. Ms. Kawahara: My presence... my presence would have possibly killed the vote, so. But, you know, me being on the posi...one side and the other three on the other side. So thank you, thank you. You're quite welcome. Ms. Kawahara: Yeah, thank you. Chair Asing: Thank you. With that...yes. Mr. Furfaro: It seems I'm always making the motion about a deferral. I would like to say that that's where I'm headed with this. I do want to ask for a deferral for no more than two weeks. It is the intent to further discuss maybe one or two more amendments that need to be in the bill, and I also want to clarify for the body here that although we heard about issues about (inaudible), it is this body that, and as past President of Habitat for Humanity, that has approved housing in `Ele`ele, that we have done workforce apartment housing in the commercial area in Lihu`e, and we have also done workforce housing in Waipoulh. So I think we've been pretty consistent when it comes to choosing locations. But at this point I would like to say and in respect for the Chair needing to make a presentation to us so we can follow up on Moloa'a, I would like to ask that we defer the bill for no more than two weeks with the intent that we will call for the vote. Mr. Bynum: Second. Mr. Furfaro moved to defer Bill No. 2318, Draft 3, seconded by Mr. Bynum. Mr. Chang: I'd like to make a...I'd like to make a motion to defer no more than two weeks. Mr. Bynum: Second. Chair Asing: He made the motion, so you can... Mr. Chang: Oh, I'm sorry, I didn't... Mr. Furfaro: I'm just looking for a second. Mr. Chang: Oh, okay. Mr. Furfaro: I have two seconds. Mr. Bynum: Second. COUNCIL MEETING ~ - 38 - ~ June 9, 2010 Chair Asing: Okay. There being no discussion on a motion to defer, all those in favor, say aye. The motion to defer Bill No. 2318, Draft 3 was then put, and unanimously carried. Chair Asing: Thank you. This concludes the meeting. ADJOURNMENT. There being no further business, the meeting was adjourned at 3:23 p.m. Respectfully submitted, PETER A. NAKAMURA County Clerk /ds/wa • • SPECIAL COUNCIL MEETING June 16, 2010 The Special Council Meeting of the Council of the County of Kauai was called to order by the Council Chair at the Council Chambers, 3371-A Wilcox Road, Lihu`e, Kauai, on Wednesday, June 16, 2010 at 8:35 a.m., after which the following members answered the call of the roll: Honorable Tim Bynum Honorable Dickie Chang Honorable Jay Furfaro Honorable Daryl W. Kaneshiro Honorable Lani T. Kawahara Honorable Derek S.K. Kawakami Honorable Bill "Kaipo" Asing, Council Chair Chair Asing: Thank you. With that, can we have the first item please? PETER A. NAKAMURA, County Clerk: The first item is approval of the agenda. APPROVAL OF AGENDA: Mr. Furfaro moved for approval of the agenda as circulated, seconded by Mr. Kaneshiro, and unanimously carried. Chair Asing: Next item please. Mr. Nakamura: First matter is a Legal Document, communication C 2010-159. LEGAL DOCUMENT: C 2010-159 Communication (6/10/2010) from the County Engineer requesting authority from the Council to (1) execute a Cooperative Agreement with the United States Department of Agriculture, Natural Resources Conservation Service ("NRCS") and State of Hawaii Department of Land and Natural Resources for the Kilauea River/Wailapa Stream Debris and Sediment Removal, Emergency Watershed Protection (EWP) Project, and (2) to indemnify the State of Hawaii. • Cooperative Agreement, Locally Led Contracting, by and between the Department of Public Works, County of Kauai; the Department of Land and Natural Resources, State of Hawaii; and the Natural Resources Conservation Service, United States Department of Agriculture. Chair Asing: We're going to move this item to the end of the agenda. Is there anyone who wants to speak on this item? There being no objection, the rules were suspended. Chair Asing: If not, the meeting is called back to order and...let's take the next item, please. SPECIAL COUNCIL M~TING - 2 - • June 16, 2010 There being no one wishing to speak on this matter, the meeting was called back to order, and proceeded as follows: Mr. Nakamura: Next matter for... Chair Asing: Hang on. Joe, you want to speak on the first item? JOSEPH MANINI (in the audience): Yeah. There being no objection, the rules were suspended. Mr. Manini: Good morning. Chair Asing and Mr. Furfaro: Good morning. Mr. Manini: Is this on (referring to the microphone)? Chair Asing: Yes, it's on, Joe. (Inaudible.) Mr. Furfaro: Hold on, Joe; hold on, Joe; let her check. Chair Asing: It's not on? Mr. Manini: Good morning, Mr. Chair... Chair Asing: Good morning. Mr. Manini: ...Members of the Council. Mr. Furfaro: Good morning. Mr. Manini: I...I know a lot of people know me as Joe Manini, but I'm not representing Joe Manini now. I'm representing the Kanaka Hui with Manini and Ko Ke Aupuni as joint tenancy. Maybe hard to swallow that, but I tried to get an appointment with the county auditor, but he was kind of busy so I talked to him yes...you know, I think it was yesterday, maybe some time end of the week or next week maybe I might get one appointment with him to discuss about the...the land issues because I talked to John Hunt one time...I mean Herring, but we didn't get into one regular meeting. So maybe... maybe that going include the Council too, I'm not sure, concerning the lands because it's important. Because when I listen the TV and what comes over the air, it's something to do with Moloa'a and now you're talking about Kilauea right here. When I look at my documents, Kilauea is Papa'a. The real Kilauea is by Princeville Ranch. So this (inaudible) changes and switching of names since everybody was born over here. Some of you wasn't born probably. Like Mr. Asing, I know he's old because I used to play basketball against him. So I'll be making 80 this year and I'm pretty sure he's older than me. But I know a lot of you probably are younger, so you don't know too much about the name changes and identification of the land. I don't agree with...I don't disagree with this people cleaning the place, but I disagree with them giving the County Council the jurisdiction of the place to allow them to do what they're doing because I don't think the County Council has the jurisdiction of that area. And I have a map over here that shows that even the place where Pflueger got jammed up with the reservoir, you know the one cause all this rubbish, that it is in Papa'a SPECIAL COUNCIL ~TING - 3 - • June 16, 2010 according to my map. It's a geological survey map. It was taken about 1910 by the geological survey, so. I haven't come forth before this on a lot of issues because when I became the...the head of the estate, it took me long time to look at all the papers because had a lot of paperwork. It goes right down to New Zealand; it's not only here. It's not only on Kauai, it's the whole state and goes all the way down. And I have the deeds and what you call grants and all that. But maybe it's a case where maybe we should defer the thing and meet at least and talk about `em on the table. If you folks want to meet with an attorney or by myself, it's all right, but... Mr. Nakamura: Three minutes, Mr. Chair. Mr. Manini: ...the attorneys would be representing the...the...the attorneys will be representing the State of Hawaii or County of Kauai because this is a separate entity. The Hawaiian Kingdom that the United States overthrew and the Kanaka Nation still holds the lands over there; it's the Kanaka Hui lands, which has been misidentified and is called the people's lands and the Hawaiian lands, but it's not Hawaiian. It's specifically Kanaka. And in the grant, it shows who the Kanaka is. It identifies `em. And the United States Interior Department identifies them. So, maybe it's between the United States Interior Department, the County and the State, and the Native Kanaka. I'm not sure. But my time is up, so maybe something can be arranged. I know...I know there's not enough time when you come here because it's only about three minutes. So thank you anyway for... for allowing me to speak. Chair Asing: Thank you. Is there anyone else who wants to speak on this item? If not, I'll call the meeting back to order. There being no one else wishing to speak on this item, the meeting was called back to order, and proceeded as follows: Chair Asing: And we're going to move this item to the end of the agenda. So, Peter. Mr. Nakamura: Next matter for approval is communication C 2010- 160. C 2010-160 Communication (06/10/2010) from the Mayor, requesting Council approval of the State of Hawaii Legacy Land Conservation Program Grant in the amount of $800,000.00 for Black Pot Beach Park Expansion, to acquire real property identified as TMK (4) 5-5-001:011 which is 0.74 acres of land situate in Hanalei District, Island of Kauai. • State of Hawaii Legacy Land Conservation Program Grant Agreement by and between the Board of Land and Natural Resources, State of Hawaii, and the County of Kauai (Awardee) to acquire 0.74 acres, more or less, in Hanalei District, Island of Kauai. Chair Asing: Can I have a motion to approve? Mr. Kaneshiro moved to approve C 2010-160, seconded by Mr. Furfaro. Chair Asing: Okay, any discussion? Before we go into discussion, is there anyone who wants to speak on this item? There being no objection, the rules were suspended. SPECIAL COUNCIL M~TING - 4 - • June 16, 2010 JENNIFER LUCK, Kauai Public Land Trust: Good morning, Councilmembers. For the record Jennifer Luck with Kauai Public Land Trust. Councilmembers: Good morning. Ms. Luck: I just wanted to take an opportunity to come up here and thank each and every one of you for your support of this project and in particular the staff of the council, for their hard work in getting this item on the agenda today and also for working with us so hard to secure the funds necessary for this project. So, thank you so much for your support and for partnering with us on this. The community is thrilled that the Governor decided to release the funds and is very excited about the closing of the property and the additional space to the park. So, thank you so very much for all of your hard work. We greatly appreciate it. Chair Asing: Thank you. Any questions for Jennifer? If not, I...I'd like to just thank you for all the hard work that you've done. Many times the hard work of individuals who are working behind the scenes don't get recognized and I know that you've done a lot of work yourself as an individual together with the Land Trust. So, thank you for all the work that you've done also and your group. Ms. Luck: Oh, thank you, yes, and in partnership, certainly, with JoAnn Yukimura and Bill Chase and Gary Blaich and the rest of the Board who are phenomenal and donated a lot of time, so. Without their vision, I don't think we'd all be here today. Chair Asing: Thank you. Ms. Luck: Thank you. Chair Asing: Yes, Councilmember Furfaro. Mr. Furfaro: Thank you, Mr. Chair. Jennifer, I too would say thank you very much for this benefit for our community. I just want to hear from you as this thing moves forward and the acquisition is made along with County funds, at what point in time do you see the Land Trust conveying this parcel to the County. Is at a...is it at a scheduled board meeting? Is it something that's yet to come up? What is the mechanics to that? Ms. Luck: Right, we have discussed it and I think it should be a discussion actually with yourselves, with the County Council and council staff in addition. Because most of the funds are County funds and because the County was a co-applicant on the Legacy Land Application, in theory all of the money could go directly to the County and the land could go directly to the County. There really is no need, as I see it, for the land to come to the Kauai Public Land Trust. I think probably it makes the most sense for the property to go directly into County hands if possible. Mr. Furfaro: Okay, so you do understand the rationale behind my question because we will be the majority of the money, but I wanted to make sure since you have so diligently negotiated the agreement and in the presence of our legal representatives that are here, the intent of the actual transaction and the SPECIAL COUNCIL 1V~TING - 5 - • June 16, 2010 escrow action, so it is clear to me how this would be done. It is the Land Board's position...the Land Trust position that the acquisition, in your eyes, will come directly in the transaction to the County. Ms. Luck: Correct. Mr. Furfaro: That's how we understand it right now. There's not another step with an agreement with the Land Trust Board. Ms. Luck: No, correct, that's... that's exactly how we see it proceeding and we've also spoken with the landowner John Hodges and let him know that that path makes the most sense and he's certainly very agreeable to that. Mr. Furfaro: I just want to make sure that your group was agreeable in how that transaction will take place and I'll get confirmation from our attorneys before our money is released to escrow that we all have the same understanding. And I also want to say to you thank you very much for all of your work and coordination and patience. I think this is a great collaborative effort for the public. Thank you. Ms. Luck: I agree. Mr. Furfaro: Thank you, Mr. Chair. Chair Asing: Thank you. Councilmember Bynum. Mr. Bynum: Jennifer, thank you very much for being here today and I know we're all thrilled that this finally came down, and I appreciate you mentioning the Land Trust and Bill Chase and JoAnn Yukimura and I...I want to just take a minute to really recognize Gary Blaich, who is an amazing guy. He's just tenaciously looking out after the best interest of the island and the future. You know I know I've gotten used to getting periodic calls from him to dust kind of touch base, you know, where...what's he working on, what, you know, on behalf of the Land Trust and others, and I think he's probably one of the founders of the Land Trust and I just wanted to appreciate Gary and his tenacity and his vision and I know we'll be back with the next project soon, so. Ms. Luck: Yes, we're all constantly trying to keep up with Gary Blaich. He's an incredible individual. I certainly agree. Mr. Bynum: So, thank you Gary. Chair Asing: Any other comments, Councilmembers? If not, thank you very much. I'll call the meeting back to order. There being no one else to speak on this item, the meeting was called back to order, and proceeded as follows: Chair Asing: Do we have a motion and second? Mr. Nakamura: Yes, we do. Chair Asing: Thank you. With that, any further discussion? If not.. . SPECIAL COUNCIL M~TING - 6 - • June 16, 2010 Mr. Kaneshiro: I... Chair Asing: Yes; go ahead. Mr. Kaneshiro: I just wanted to add, Mr. Chair, I know there was a recent article that came out in the newspaper and it was quoted that the $1.85 million came from Unappropriated Surplus, and I wanted to make a correction on that that the money really did come from the Public Open Space... Mr. Furfaro: Commission. Mr. Kaneshiro: ...area and it did not come from Unappropriated Surpluses. I believe there was a quote in the paper that specifically stated that because the County was frugal and was, you know, really watching how we spent our money that this money was taken from that to purchase the property. So I just wanted to clear that for the record that the $1.85 million did come from the Public Access Fund Program. The $350,000 that we had to also match to get the $800,000, of course that came from the money bill through Unappropriated Surpluses. I just wanted to straighten that out for the record. Thank you, Mr. Chair. Chair Asing: Any further discussion? Yes, go ahead. Mr. Furfaro: I dust want to thank Councilman Kaneshiro for correcting the misinformation that was there and correctly summarizing the funds. Thank you, Mr. Kaneshiro. Chair Asing: Thank you. I guess then just one last comment. _ The Legacy funds were exactly intended for these kinds of purposes. Those funds and that program was set up for this kind of program, so it is very appropriate that the money be expended for these kinds of programs. With that, all those in favor, say aye. The motion to approve C 2010-160 was then put, and unanimously carried. Chair Asing: With that, County Attorney, please. There being no objection, the rules were suspended. MICHAEL DAHILIG, Deputy County Attorney: Aloha kakahiaka, Chair Asing, Honorable Members of the Council, Mike Dahilig, Deputy County Attorney. ES-447 Pursuant to Hawaii Revised Statutes Sections 92-4 and 92-5(a)(4), and Kauai County Charter Section 3.07(E), the Office of the County Attorney requests an executive session with the Council to discuss legal issues pertaining to County-sponsored stream clearing activities in and around Wailapa Stream and Kilauea River. This briefing and consultation involves the consideration of the powers, duties, privileges, immunities and/or liabilities of the Council and the County as they relate to this agenda item. Chair Asing: Thank you, I'd like to call the meeting back to order and have a motion to move into executive session. The meeting was called back to order, and proceeded as follows: SPECIAL COUNCIL ~TING - 7 - • June 16, 2010 Mr. Furfaro: I would like to so move that we move into executive session as requested by the county attorney. Mr. Kaneshiro: Second. Mr. Furfaro made the motion to move into executive session, seconded by Mr. Kaneshiro. Chair Asing: Thank you. Any discussion? Ms. Kawahara: Um... Chair Asing: Councilmember... Ms. Kawahara: Will we be coming back after... Chair Asing: Yes. Ms. Kawahara: ...Executive Session because I think somebody wanted to... did you want to make comment on this when we come back? Are we going to have a chance for the public? Chair Asing: No, we'll be coming back and taking this item... Ms. Kawahara: Back up again... Chair Asing: Yeah. Ms. Kawahara: ...and then we... Chair Asing: It'll be on the agenda. As soon as we get through with the executive session, we'll come back here, call the meeting to order, and have discussion on this item. Ms. Kawahara: Okay, thanks. Chair Asing: Thank you. Any further discussion? If not, we'll move into executive session. Thank you. The meeting was recessed at 8:52 a.m. to move into Executive Session. The meeting was called back to order at 9:10 a.m. and proceeded as follows: Chair Asing: This meeting is now called back to order. With that, Mr. Clerk. Mr. Nakamura: Council Chair, we're back on communication C 2010-159 and the agreement that's attached to it for approval. C 2010-159 Communication (6/10/2010) from the County Engineer requesting authority from the Council to (1) execute a Cooperative Agreement with the United States Department of Agriculture, Natural Resources Conservation Service ("NRCS") and State of Hawaii Department of Land and Natural Resources SPECIAL COUNCIL M~TING - 8 - • June 16, 2010 for the Kilauea River/Wailapa Stream Debris and Sediment Removal, Emergency Watershed Protection (EWP) Project, and (2) to indemnify the State of Hawaii. • Cooperative Agreement, Locally Led Contracting, by and between the Department of Public Works, County of Kauai; the Department of Land and Natural Resources, State of Hawaii; and the Natural Resources Conservation Service, United States Department of Agriculture. Chair Asing: Thank you. With that, is there anyone else who wants to speak on this item? Don? There being no objection, the rules were suspended. DON HEACOCK: Good morning... Chair Asing: Good morning. Mr. Heacock: ...Mr. Chairman, Members of the Council, Don Heacock. I'm here as a... as an aquatic biologist today just to provide information for you. I realize when the emergency debris clean-up and sediment removal project was first drawn up, which was years ago, one of the things that wasn't being considered during those early proposals was that the USDA, another branch of the USDA, the US Forrest Service has very clear policy on leaving storm woody debris on...along the stream banks, the riparian zone. Their...their guidelines are to always leave that on the banks of the stream because it stabilizes the stream banks, helps the stream recover, helps vegetation re...reestablish itself, etc. There's one exception and that's at any place where you've got a bridge or a road crossing or culverts that... where the woody debris is... is blocking it. I spoke with Mr. Lex Riggle this morning from NRCS. One of the reasons that the State and NRCS have kind of moved away from this project is because most of the work has already been done. There's one thing, though, that I believe hasn't been done and that...when that...the Ka Loko Dam breach occurred, it washed an untold number of cars, refrigerators, propane tanks, debris out into the ocean. I've had a number of divers report things to me. I haven't seen them firsthand (inaudible). I've seen some photographs of them. But to my knowledge, no one has gone out to get that man-made debris, some of which has hazardous waste in it. That part needs to be done in my... my professional opinion. We need to clean that material up. And so, that's...I just wanted to provide that little bit of information for you. Thank you. Chair Asing: Thank you. With that, Councilmember Kaneshiro. Mr. Kaneshiro: So Don, you're officially making a statement representing the State of Hawai`i... Mr. Heacock: Oh no, I'm not representing the State, I'm representing myself as a professional fisheries biologist. Mr. Kaneshiro: Okay, I wanted to be clear on that because it sounded like you said officially, you know, at one point. Mr. Heacock: I don't think I ever used the word official. I...I said I'm representing myself as a... SPECIAL COUNCIL ~TING - 9 - ~ June 16, 2010 Mr. Kaneshiro: Well, at the same point, I want to be clear that you're representing yourself and not as an employee of the State of Hawaii. Mr. Heacock: I'm representing myself as a professional aquatic biologist (inaudible). Mr. Kaneshiro: And not as an employee of the State of Hawaii at this point. Mr. Heacock: Which...whichever you prefer. I was a professional... Mr. Kaneshiro: No, I'm asking you. Mr. Heacock: Well, I've been a professional fisheries and aquatic biologist before I worked for the State. Mr. Kaneshiro: I understand that. I understand that. Mr. Heacock: And I'll probably be that until I die. Mr. Kaneshiro: And you're also an employee of the State of Hawaii under those conditions. Mr. Heacock: That's right and I'm...I... Mr. Kaneshiro: So I'm asking, are you here in that capacity or here on your own personal capacity speaking? Mr. Heacock: I'm here in my personal capacity to help you make a good decision. Mr. Kaneshiro: Thank you, thank you. Mr. Heacock: And it's my professional opinion, what I dust stated. Mr. Kaneshiro: Thank you. Mr. Heacock: Thank you, Daryl. Chair Asing: Thank you. Is there any other questions? If not thank you, Don. Mr. Heacock: Thank you. Chair Asing: Is there anyone else who wants to speak on this item? If not, I'd like to call the meeting back to order and have a motion to approve. There being no one else wishing to speak on this item, the meeting was called back to order, and proceeded as follows: Mr. Kaneshiro: So moved. Ms. Kawahara: Can I have the county attorney up really quick. SPECIAL COUNCIL M~ING - 10 - . June 16, 2010 Chair Asing: We're now in discussion. We have a motion to approve. Can I have a second? Mr. Chang: Second it. Mr. Kaneshiro moved to approve C 2010-159, seconded by Mr. Chang. Mr. Kaneshiro: Now okay for discussion. Chair Asing: Discussion, Councilmember Kawahara. Ms. Kawahara: Yeah, yes, if I could have Mike Dahilig up. Chair Asing: Sure. There being no objection, the rules were suspended. Ms. Kawahara: Okay, good morning. Mr. Dahilig: Good morning. Ms. Kawahara: I just want to be sure. We were...it's my understanding that the reason given for the State not continuing in this was not because the work was already done. Is that correct? It was because of the indemnity issues. Mr. Dahilig: From what...what the State's position has been is that the Attorney General could not reach an agreement with the landowners with respect to their template right-of--entry agreements. As a...and so that's...that is what essentially was the reason why the State decided to pull out of the project. Ms. Kawahara: Okay. So there's still work that needs to be done because they never obviously did it. They did a design and consultant work. Mr. Dahilig: As far as what was emplaced by the flooding created by the breach of the reservoir, our understanding is that not all the material has been excavated from areas that were...that originally did not have sedimentation. And so from what we understand, a lot of the settlement that is in the lower parts of Wailapa and Kilauea Stream were emplaced by the disaster and not through natural causes. Ms. Kawahara: So the sedimentation, does that include removal of foreign objects and not debris along the banks? Mr. Dahilig: In reviewing the State plans, the County Engineer is aware from their plans that this is not just a sediment removal. It's also a debris removal and that debris could include manmade objects, other types of foreign debris that came down as a result of the flood. And so yes, to answer your question, it would also include things that you have mentioned. Ms. Kawahara: Okay, thank, you. Thank you. Chair Asing: Thank you. With that, I'd like to call the meeting to order and is there any further discussion? SPECIAL COUNCIL M~'I+:TING - 11 - ~ June 16, 2010 The meeting was called back to order, and proceeded as follows: Chair Asing: If not, all those in favor, say aye. The motion to approve C 2010-159 was then put, and unanimously carried. Chair Asing: Next...I believe that's the end of the agenda. The meeting is adjourned. Thank you. ADJOURNMENT: There being no further business, the meeting was adjourned at 9:18 a.m. Respectfully submitted, PETER A. NAKAMURA County Clerk /wa - • t COUNCIL MEETING June 23, 2010 The Council Meeting of the Council of the County of Kauai was called to order by the Council Chair at the Council Chambers, 3371-A Wilcox Road, Lihu`e, Kauai, on Wednesday, June 23, 2010 at 9:10 a.m., after which the following members answered the call of the roll: Honorable Tim Bynum Honorable Dickie Chang Honorable Jay Furfaro Honorable Daryl W. Kaneshiro Honorable Lani T. Kawahara Honorable Bill "Kaipo" Asing, Council Chair EXCUSED: Honorable Derek S.K. Kawakami Chair Asing: Please note that Councilmember Kawakami is excused. He is attending a conference in Honolulu and councilmembers will be leaving tomorrow for that conference also. With that, can I have the first item please? PETER A. NAKAMURA, County Clerk: First item is the approval of the agenda. APPROVAL OF AGENDA: Mr. Furfaro moved for approval of the agenda as circulated, seconded by Mr. Chang, and unanimously carried. Chair Asing: Next item please. Mr. Nakamura: Next matter is approval of the Minutes of the following meetings of the Council. MINUTES of the following meetings of the Council: Public Hearing of May 5, 2010 re: Bill No. 2356, Bill No. 2357, and Resolution No. 2010-33 Council Meeting of May 26, 2010 Public Hearing of May 26, 2010 re: C 2010-130 Special Council Meeting of June 16, 2010 Mr. Chang moved for approval of the minutes as circulated, seconded by Mr. Kaneshiro, and unanimously carried. Chair Asing: Next item please. Mr. Nakamura: Mr. Chair, at this time, there's been a request to take up on page 2 of the council's agenda, communication C 2010-165. COMMUNICATIONS: C 2010-165 Communication (06/09/2010) from Council Vice Chair Jay Furfaro, requesting the Administration's presence to discuss the status and update of the Host Community Benefits Program. COUNCIL MEETING • - 2 - ~ June 23, 2010 Chair Asing: Thank you. With that what I'd like to do is turn it over to Council Vice Chair Jay Furfaro. With that... Mr. Furfaro: Thank you. Thank you very much, Chairman Asing. The intent that I have with this communication is first and foremost is to have an opportunity for the CAC to give us some testimony this morning prior to what I would hope would be a reappearance of this item on the July 28 calendar. The general mission of the CAC and the roles and goals of the commission as selected by Mayor Carvalho is one that I would like to just have a little basic discussion on this morning with the committee and the committee members understanding that within the structure of their role and the administrative support able to be provided by the administration, this council is really looking for a final report and I've tentatively set the goal for that tentative report for July 28 in our meeting. I also have available to the councilmembers a copy which the staff put together chronologically demonstrating how everything has evolved in the committee thus forth, as well as with the last committee meeting copies, that I believe we have for February. The goal of the CAC was certainly to develop a criteria and a list of specific projects in which financial funding for the benefits program could be finalized for the community and also our ability to look at that after we know that it has in fact been reviewed, discussed and finalized in a report that I'm anticipating for the July 28 date. There are some particular questions that we need to surface maybe today or maybe in the future as to the committee's... the volunteer committee's management of the funds. There may be some legal questions or fiscal questions that deal with our role within our charter. For me it's very clear that there are opportunities here for managing of grant moneys that might be distributed. But on the other hand, the reality and for the purpose of auditing, that is jurisdiction that is solely left with the body of the council by charter. So, I would like to have an opportunity to get an overview as to what is being developed with the committee, a clear indication that it is my intent to have a final report presented to this council by July 28. You will also see in their meetings that they have already started to really digest the future of the committee, its role, its mission in their last set of minutes from February, and it's really a question as to after July 28, what now for the committee, where do they go from here. So, on that note, Mr. Chair, I'm hoping that you would suspend the rules and allow those individuals that are here to give us their overview of the progression of the committee. Chair Asing: Thank you. With that, I am going to suspend the rules now and we'd like to have members of the public up, please. There being no objection, the rules were suspended. Chair Asing: Good morning. JOSE BULATAO, JR.: Good morning. Mr. Furfaro: Good morning. Mr. Bulatao: For the record, my name is Jose Bulatao, Jr. I am...I serve as vice chairman of the Kekaha Host Community Benefit Fund CAC, but I am also a private citizen, a proud member and resident of the community of Kekaha, and a concerned citizen. And in this respect, I struggle with what is set upon me in terms of what sunshine law prevents me from doing as a member of a COUNCIL MEETING • - 3 - • June 23, 2010 CAC and I need to respect what the tenets of the sunshine law prevents me from doing in terms of making statements that may violate, if you will, the work or the duties and responsibilities of the service that I provide as a member of this committee. So, if at any time I may broach in areas that would be of concern legally, I would prevail upon the services of our county attorney to assist and help me in this regard because I certainly respect and the duties and responsibilities that are upon me. But I also want to speak from my heart about what is important to me, what is important to the community, and what the purposes and intents may have been from the point of view of the council of the County of Kauai and what the expectations may be of the community and of the residents about the entire aspect of having a host community benefit fund available to us to consider for the welfare and benefit of the citizens...oh the residents rather of the community of Kekaha. So with that in mind, I would like to simply say that historically when the entire idea came about beginning with a meeting in August 2007, when the idea of a host community benefit fund was a possibility of an idea that could have been considered here on the island of Kauai, it opened an avenue of a revenue possibility that could be made available for the first time here in the island of Kauai for a community in closest proximity to the municipal landfill on the island of Kauai. Mr. Nakamura: Three minutes, Mr. Chair. Chair Asing: Thank you. Go ahead. Mr. Bulatao: And then we went through the historical aspect of establishing the community from the work that was done with the proposal by the administration and everything that transpired historically, which I do not have to go into. And if I can fast-forward quickly, it led to the establishment of the CAC that went through the process that has been challenging and has been the opportunity for us to struggle and to face the opportunities to see what can be done. And because we were the first...we are the first group to go through the process and there were no previous or prec...or precedence for us to fall back on, it was a challenging task for us to go through because we had no prior background to fall back on on how to go about doing what we did. But I would like to say this, that I think the efforts have been sincere. We may not have agreed on the things that we have done, but I think we have tried our very best to move forward in what we have tried to do. But I also feel that in spite of what we have done, we need to keep in mind that the bottom line is that it is extremely important for us to keep our community residents front and center with the opportunity to be empowered to have the opportunity to participate, to have the opportunity to be involved in the decision-making process of what to do about this allocation. The County of Kauai so generously made this allocation available to the residents of the community of Kekaha and how wonderful that is. Now I feel that the opportunity should continue with the residents of the community of Kekaha directly and to that extent, the community organization by token of one of the recommendations that appeared in the handbook that appeared...that was given to us on the CAC that an option was if there is a community organization that has anon-profit status with the appropriate documentation that could work with the county to handle the fiduciary responsibilities, it could request for the money. Mr. Nakamura: Six minutes, Mr. Chair. Mr. Bulatao: And we do have a community organization with the appropriate documentation of anon-profit status. So, that option has been offered, but no official action has been taken so far. Chair Asing: Okay, you want to wrap...wrap it up, Jose. COUNCIL MEETING. - 4 - ~ June 23, 2010 Mr. Bulatao: So, in conclusion, I hope that as we continue in the process that we explore that option and we give the community organization the opportunity to work with the county, to be front and center so that the community can be empowered to participate in the process. Thank you very much. Chair Asing: Thank you. Any questions? Councilmember Furfaro. Mr. Furfaro: Yes, first of all, Jose, thank you very much for being here. Thank you for your work on the CAC, but I do want to go back and share with you how I see us structuring this piece going forward. It is...what I believe the mission of the CAC to actually as a group and body first to approve a general plan of where the intent is for the capital improvements to be spent and I think I have surmised that your Chairman, Mr. Hee, is hopefully having something summarized for the committee first to approve before it comes before this body, and that's what I'm asking for in the July 28 date, that the summary and feedback that the community received, I guess, through a summary of questions of needs...particular needs that the property...I mean the community would like to see the money spent on comes to us in a final document on July 28 and I'm hoping that, you know, we can be target for that. Secondly, as it relates to funding, these are handled like CIP projects and it is not traditionally been my understanding that other than the appropriate fiscal accounting for the funds that are in this amount, that it has not been the practice o£..from the both legal, financial and audit perspective that the county would then draw a check over to a non-profit organization. I think that only happens through the process of actually giving a grant, which I don't necessarily see this as a one- time project for Kekaha, but rather in answering the questions in your minutes, an ongoing process as funds will continue to go into that account as long as you are the host benefit community. So, I will be sending over two questions to the county attorney. Number one, the legal questions as it relates to fiscal accountability, staying in accounting, and secondly if any of the projects that come in on the final list actually be considered grant projects. So that'll be a two-part question going forward, but I don't think the body is intended to be participating in discussing the final list. I think that totally comes from your community and I've expressed such through Beth Tokioka's office on to Mr. Hee. We want to see a final list on July 28 that through a process of elimination or prioritizing the projects, Kekaha community agrees with that. But I...I do want to make it very clear that I think from a procedural and an audit position, no different than we acquired recently for Black Pot. It is the responsibility of this county and this council to distribute those funds once we agree on the project list. But I will raise those two questions. I also do want to say that there is kind of a draft proposed list that I've included for everyone. I believe it was from your February 1St meeting. Mr. Bulatao: Yes, that's correct. Mr. Furfaro: And that met all the sunshine goals as well as the way we posted this item today. So I think within reason and I do recognize that the county attorney is here and he could raise a flag if we stray anywhere, but since this is a posted meeting regarding an overview of the process and where we're at now, I think we can speak pretty freely on the project list as well. So on that note, is there anything you would like to add to the council at this point regarding the February 1, meeting and the ongoing dialogue on the hst of projects that you've identified. Mr. Bulatao: Not so much that, but interestingly as you were talking, what really led to a lot of the confusion in terms of how we came or arrived COUNCIL MEETING • - 5 - • June 23, 2010 at where we are at at the moment, is because we struggled with how we were dealing with what we were dealing with because of how things began with in the first place. When the ordinance was passed at the very beginning of an allocation of $650,000.00, it came to us with the information that the allocation went to the Solid Waste Department rather than to the community of Kekaha. And when the question was raised at the CAC as to whether or not the...why the allocation went to the Solid Waste Department, there was no clear explanation to us at that time why it went there. Secondly, the question was raised if that allocation of $650,000.00 was earning interest, and if it were, where is that interest and who does that interest belong to because there was no clear indication as to what that interest earned may be and who that interest belongs to. We still have no clear indication on that. Mr. Furfaro: Mr. Bulatao, is it...I think that was my email that responded to the best of my knowledge and you know for six years I was the Finance Chair for this council. The accounts, when we put the money in a CIP, it is my understanding and I think I might have communicated that that it does not earn interest. That is my understanding. Now, I was hoping if there was a difference of opinion by the administration in my response to you, they would have responded to you either confirming or correcting me. But it is my understanding annually we put the money in a CIP earmarked account and each year as we appropriate additional moneys, it is very clear; it's summarized on our CIP spreadsheet. So I think subsequently now that original fund of $650,000 is now at $810,000. Mr. Bulatao: That's correct. Mr. Furfaro: And none of it reflects any interest. But that is my interpretation and you have gotten no other confirmation of that from the administration? Mr. Bulatao: No. Mr. Furfaro: I'm sorry. So mine was the only communication to you? Mr. Bulatao: Yes. Mr. Furfaro: I'm sorry. Okay, okay, well, I'll ask to get that confirmation when I ask the question about our legal position for the purposes of audit and so forth. You should get a summary of those CIP spendings and/or contributions. But it's my understanding for the purposes of audit, those funds stay within the Finance Department of the County of Kauai and do not earn interest. I will get a written clarification and hopefully have something back by the July 28 meeting. Mr. Bulatao: And finally, in...in our attempt to ascertain and determine what would be the wisest and best way to make recommendations of expending some of this money, when we came with the presumed recommendations coming from the survey that we had conducted, when we revisited the results of the survey, we questioned the way the survey was conducted and how the survey was being interpreted, and there were some of us who wanted to bring the survey back for further dialogue and review with our community residents so that there would be a clear understanding as to whether or not the outcomes of the survey were the true reflections of what the community residents really wanted. Let me clarify. The leading survey outcome was improvement at the Kekaha Beach Park. That COUNCIL MEETING • - 6 - ~ June 23, 2010 was what was number one. Improvement at the Kekaha Beach Park, it was interpreted to be build a bathroom. The reaction to that was, isn't building a bathroom a county or a state responsibility instead of a community responsibility? Who should financially be responsible for that? It wasn't clearly delineated. So we were struggling with that. We still are struggling with that, so we do not know whether or not this will emerge as a final recommendation as a for instance. Mr. Furfaro: I will add a fourth question to my communique to the administration. You know, obviously during these tough economic times, the council looks and approves the budget under the leadership of Mr. Kaneshiro, and that's how we arrived at the number that was contributed for this upcoming year. The reality of how you prioritize those I would think you do have legal counsel participating in your activity... at each meeting? Mr. Bulatao: Yes, we do. Mr. Furfaro: You do? Okay. I will ask the question of the legal department to give you a better definition of that. Obviously in very good years, the reality is public improvements can be made within the public works department. In bad years, when finances are difficult, it doesn't change the contribution that's earmarked for you, but I would think there should have been some kind of explanation...talking about how these priorities are established. You know, we...we too had to make some tough decisions in other parts, but it is the CAC that then decides what do you want to accelerate regardless of the county's ability with the money earmarked solely for your community. Mr. Bulatao: But...but I also feel that it should be the community's decision and not the CAC's personal interpretation of what the community may decide. Mr. Furfaro: I understood that second portion of the question, but you know, that's...that's part of stepping forward in a volunteer position that those calls will necessarily need to be in a final report which we're looking for for July based on the fact that there is agreement by the majority of the CAC members on where you want that money earmarked and the documentation as it's spent and controlled by the finance department. So that is the mechanism for the CAC to make the final determination and it is clearly part of volunteering to be a leader on that committee and I appreciate you serving. But those are the decisions that the committee has to make and how you balance that out between community feedback and how you see the priorities. That's the best answer I can give you for now, so. Mr. Bulatao: But our rec... Mr. Furfaro: It's kind of like what we do here. Mr. Bulatao: Yes. Mr. Furfaro: I mean, we're not going to please everybody all of the time, but we try to do the best... Mr. Bulatao: But having said that... having said that, our records show in our minutes that when that was discussed officially in our minutes, when it came up in terms as to whether or not the committee wanted to take this up officially, it was brought up in motion and the motion did not pass. Mr. Furfaro: That's a good point. COUNCIL MEETING • - 7 - • June 23, 2010 Mr. Bulatao: And then we went ahead to discuss it because it was in the agenda and because it was in the agenda, we went on ahead to discuss it for the purpose of discussion, but not for the purpose of making this an official action because it did not pass, and it is a matter of official action. Mr. Furfaro: I hear what you're saying and being that, you know, we're the body that's looking for the final report, I can appreciate your comments about it not passing and recorded as such, but before we leave today, may I ask, did you as an officer of the committee, do you have the Five-Year CIP Plan for the County of Kauai so you could see what is already in the county's plan and that it doesn't conflict with the benefits that you would like to see. If you don't, I will give you one of those documents... Mr. Bulatao: I would appreciate having. Mr. Furfaro: ~ I will get it to you. Mr. Bulatao: Thank you. Mr. Furfaro: I have no more questions. Chair Asing: Okay. Any other questions (inaudible)? Mr. Bynum: I just have one. Chair Asing: Councilmember Bynum. Mr. Bulatao: Yes. Mr. Bynum: Specifically, Jose, what was it that didn't pass? The priority...that the committee never officially passed on a priority, is that what didn't pass? Mr. Bulatao: What specifically did not pass was when there was the presentation of the five items that emerged as the five leading items that were in...on the survey to be put fortyard for recommendation to the mayor and it was seconded. It...those five leading recommendations did not pass. Mr. Bynum: Thank you. Thanks for that clarification. Chair Asing: Okay. Any other questions? If not, thank you. Can I have the next speaker please? Barbara. ROSELIND B. BULATAO-FRANKLIN: Hi, good morning. Councilmembers: Good morning. Ms. Bulatao-Franklin: For the record, my legal name is really Roseland and interestingly I got a call from a friend who said you know, you're not registered to vote, and I said but I've never missed voting and she said but you're not on the list, and I said oh, that's because my name is Roseland Barbara Bulatao-Franklin. It's a long (inaudible). You only know me as Bobbie. But I'm glad to be here and I'm glad to see all of you. I just want to share very briefly just a couple of things that I felt very uncomfortable with regarding what's been happening about the CAC, whole project. The survey really bothered me. The survey was only given to homeowners, not residents. And only one per household. You know Jose is two years older than I am. I'm 72, but the house is in my name. So I could fill out COUNCIL MEETING • - 8 - ~ June 23, 2010 that survey. He was not privileged to have one. Now on Saturdays our church delivers 18 lunches to the elderly housing, many of whom grew up and maybe were born right in Kekaha and even in Waimea, but because they do not own a home, none of them could also fill out that survey. So it bothered me terribly when the survey finally did come out and I looked at the questions and as you look at those state and county facilities that were listed, nothing was prefaced to say that these - are state and county facilities. Would you, as a community resident, be willing to expend those funds for such projects? So as you...if you have not seen the survey, I hope you can get copies of it because I think it would surprise you. And you know politically, many of us have been involved in many surveys and there's always some measuring level that you want to look at. Why are you asking this question and what are you measuring and what kind of conclusion do you think we should come to, if any? And I think that that survey is very questionable. Last of all, on the five projects listed and further discussed and then put on the...because I'm a private citizen of Kekaha, but I have tried to make as many of the CAC meetings as possible because it's open to the public. September 14, 2009 and I taught parliamentary procedure, you know, with Phil Tacbian. Phil Tacbian and Sam Miyoshi were two of the only two certified parliamentarians that we had on the island of Kauai. Now when you vote and there's a lack of a second or a second, but the motion fails, it fails. Why do you continue to put this on the agenda to ask for ideas of how much do you think this toilet might cost? Mr. Nakamura: Three minutes, Mr. Chair. Ms. Bulatao-Franklin: And it doesn't say who's going to be responsible for the accessibility for the handicapped. Who's going to maintain it? Who's going to clean it? Do all of those funds then come back as a CAC responsibility funding for a community project? So that's all I wanted to say. Nice seeing all of you. Thank you. Chair Aeing: Thank you. Mr. Furfaro: Thank you, Barbara. Chair Asing: Is there anyone else? MARY JEAN BUZA-SIMS: Good morning, my name is Mary Jean Buza- Sims. I'm president of the Kekaha Community Association. Mr. Furfaro: Good morning. Ms. Buza-Sims: And I just have one. I appreciate you having us on the agenda this morning, but it is of great concern to many of our residents, renters and homeowners, that... that the survey went out to only a few people and not everybody who resides in Kekaha. And the original intention that we...of the CAC's role was thought to be one of developing a process in which the funds would be expended, not to come up with a list of projects because we were looking at what happened on Oahu with Kahuku and their HCB funds in terms of RFPs that came from the community and not from a committee to determine the projects that were going to be funded through the HCB funds. So that's one question we had as a community association that it was to determine the process in which...whether or not the community holds the funds because it was in the council saying that it would come directly to the community that was another thought we had. 50, I encounter people every day in the community asking oh, we never going to get those funds, you're not going to see it. So whichever form it takes, whether it's through RFVPs is not an issue, but the big issue and this...I'll leave this with the County COUNCIL MEETING • - 9 - • June 23, 2010 Council is we had requested the CAC to take back... send back the final list...priority list to the community for verification and input again because we felt it was not a total reflection of the community's needs really. It's not really a total reflection or true reflection, I feel, and the CAC said no. So, you know, what does that say in terms of the residents' opinion or view on how their opinions and their view about what they want in their community and what the needs are. So that's...that's the big question right now and I really feel that the list should go back to the community once more before it is a final recommendation to the Mayor. Thank you. Chair Asing: Thank you. Any questions, councilmembers? If not, thank you very much. Is there anyone else who wants to speak? Good morning. EVELYN OLORES: Good morning, councilmembers. Evelyn Olores here and I was a member of the CAC, but more concerned I'm a member of the Kekaha community. And what I want you to know is I was one of those that went house-to-house to bring out the survey and being that the survey was so vague, you know what, there was no explanation to people as to the number of items on this survey and a lot of feedback I got from the community was isn't this the county's kuleana or isn't this the state's kuleana or this is what we want, you know. And there was hardly anything that didn't come up addressing the county or the state in all the projects that was listed in that particular survey. More so, the survey was sent to the head of the household, you know, and I have my grandkids living with me. They're not the head of the household, but grandma, we want the skateboard rink; grandma, we want the swimming pool; we want more playgrounds for the kids, you know. And those were the lowest in the priority of the surveys when the final five was voted on in our committee, you know. So, what I'm here to say is, you know, I want all of you to look at all the items on the survey because there's lots of things that the community is concerned about and one thing I'm concerned about in Kekaha especially, being that we are in the tsunami zone, I'm looking for something where the community can go, a corridor or a piece of land where the kids can finally go for evacuation purposes come time for tsunamis or whatever alerts we may be. You know, right now we have Kekaha School, St. Theresa's School, we have the Kanaka School and the two Niihau Schools. You know, that's over 500 kids that walk about a quarter mile dust below the Koke`e Road station, you know. Now, I'm looking at if we do have an emergency alert, you know, there's no place for 500 cars to go up there and pick up their kids, you know. So this was a big concern when I went house-to-house looking for... dropping off the survey, so these are things that, you know, if it's going to take us 10 years to build just a place where if the kids have to go for evacuation, you know, right now Kekaha School, as far as I know, the kids walk in their... in their evacuation purposes they carry a bag of water a small snack and some papers in a backpack. Now, if they had to stay there for more than four hours, there's no covering; there's no bathroom sites; there's not enough road opening for parents to go there to pick up their kids. So that's really a big concern of Kekaha, you know, and... Mr. Nakamura: Three minutes, Mr. Chair. Ms. Olores: I belong to the CERT program that the Mayor first opened. In fact I was in the second program that we had on the Westside and we have quite a bit of CERT people and their concern as to where are we going, you know. Oh, we want our staging area to be Kekaha Neighborhood Center, you know, and they spent money to get a big map of Kekaha and they find out the whole Kekaha is in the flood zone area, you know. So this is another big concern with the community. So I hope you would look at all that pieces of the survey and, you know, have the community come back before we give you the final list as to what our COUNCIL MEETING - 10 - ~ June 23, 2010 priorities would be, you know, so that the community has more understanding as to where we're going to spend our moneys, you know, and not... a lot of them said, not bathrooms; we don't need any bathrooms close to the beach because it's going to be water anyway if you dig for bathrooms, you know. So that's all I have to say. Thank you. Chair Asing: Thank you. Any questions, councilmembers? If not, is there anyone else who wants to speak? PBIYANEGRA LAVEZZARI: Aloha and good morning, my name is Pbiyanegra Lavezzari. I'm a resident of Kekaha. I have some concerns regarding the process of the whole CAC committee and I have some questions. I am asking for some recommendations from any or all of the councilmembers. When the process is not carried out by the members who are elected to represent the best interest of the residents, in a situation as...with as high an impact as this project is, what do you recommend that we do to address it and seek remedy because the issues that have been brought before you concerning the project list, concerning the survey itself, concerning the process of deciding which were the priority items for the project list and the fact that maybe one or more of the projects were vetoed in a vote and still carried forward. As residents and those of us who see it as a citizen's responsibility to hold accountable those who represent our best interest when our best interests are not being responded to, what is your recommendation that we as a community can do to hold those members of the CAC elected to represent our best interests accountable? Is there a process because if your final report is due on July 28, and you have so many people voicing a concern that the process itself was inappropriately used, then I think we need to be able to go back to the community and be prepared at our next meeting to answer those questions. Mr. Furfaro: Well...well, let me...let me give you a quick summary here. First of all, I put this on the agenda. It's not my committee. The two committee members for public works that are represented in Mr. Bynum and Mr. Chang as the Vice Chair. They are individuals without communicating to the whole council and getting us involved in dialogue, those are the two links to the council for capital improvements. Secondly, I do believe that the Mayor's appointment of the CAC was to solicit feedback, whether it was from a survey as we heard and so forth from today or community meetings, is a good idea, but it is certainly something that needs to be in liaison with the Mayor's Office. This council cannot arbitrarily be making the decisions about the specific community of Kekaha. That is why there is the advisory committee. But I think one of the pieces that needs to be also shared with your advisory committee is this CIP Improvement Program that is mandated by the council every five years and it does earmark projects that are in the future that affect the community in that area, whether it's roads or a beach pavilion and so forth. And I'm going to first thank the staff for producing an extra copy, but I'm going to give this to Mr. Bulatao of the committee. The other particular piece that I just wanted to touch on is the July 28 date was set by me as a member of the Council saying, okay, in 30 days will we see a final report and there's nothing binding about that date. If that date needs to be moved back, we will move back. But on your other questions on procedural issues and legal issues, if I can direct that question towards the county attorney, if he chooses to answer it now or send a communique to the committee, I believe that's where that question should be earmarked. So Mr. Castillo, would you like to expand on that question? COUNCIL MEETING • - 11 - • June 23, 2010 ALFRED B. CASTILLO, JR., County Attorney: Council Chair, if I may? Thank you. I'm sorry, what was your name. Ms. Lavezzari: Pbiyanegra Lavezzari. Mr. Castillo: Okay, I'm sorry, how do you spell that for our records? Ms. Lavezzari: Pas in Peter, b as in boy, i-y-a-n-e-g-r-a. Capital L- a-v as in victor-e- two z's as in zebra-a-r-i. Mr. Castillo: Thank you. You got that? Good morning. Since this is a project that came out from administration, I strongly suggest that your...your concerns be routed to the Mayor's office and could you please cc my office, the county attorney's office. And could you please be as specific and cover all of your concerns because the more information that you can relay to us and also your contact numbers so we can contact you directly. Ms. Lavezzari: Thank you. Mr. Castillo: Thank you. Ms. Lavezzari: Thank you. Mr. Furfaro: Thank you for your testimony. Thank you, Mr. Chair. Chair Asing: Thank you. Is there anyone else? BC, Videographer: Check your mike. Chair Asing: I'm sorry, go ahead. KEN TAYLOR: Chair and Members of the Council, my name is Ken Taylor. I don't live in Kekaha, but I appreciate all the efforts that the folks have been doing and wrestling with this issue. One of the concerns that has come to my mind in listening today to some of the testimony is that it was very generous for the county to give this community this moneys to do with which when it was given I thought it was given to them to do with what they as a community would like to do. Now, if I understand the testimony correctly today, it seems to have come with strings attached and I think is disingenuous and I really believe that the county in all good faith in giving this community this...these funds, it should be up to the community to come to grips with their decision as to what they would like to do with it and be allowed to move forward. I really am disturbed if in this survey it was...I don't know who put the survey together, but it sounds like it came from the county with a list of projects that the county wanted to see take place and I just think that that's wrong. So that's my thoughts and again, I want to thank the community members for their efforts and diligence in this project. Chair Asing: Councilmember Kaneshiro. Mr. Kaneshiro: Thank you, Chair. I have a question for Mr. Taylor. I'm trying to understand what you mean when you mention strings attached. Mr. Taylor: Well from the testimony I heard today and I haven't seen any of the documents, so I don't know, but it sounds like if... if the COUNCIL MEETING. - 12 - ~ June 23, 2010 survey was put together by the county and sent to the community and it had a list of projects that the count... that the community was to prioritize, then those are strings in my mind. Mr. Kaneshiro: Okay, but the facts are not as you stated. The CAC met and they came up with several options. They themselves developed the survey. The county had nothing to do with the survey and what Mr. Furfaro has been explaining is simply that once they decide what are their top projects, then we'll come in with an ordinance and go ahead and appropriate the money to that specific CAC recommendation. So I'm not certain about strings attached as you mentioned, so I want to clarify that as Chair of the Finance Committee that, you know, the CAC, advisory committee, brings out the survey. The CAC committee goes and distributes that. The CAC community... group, advisory group will get those information together and come up with the list.. What I'm hearing from them is that perhaps with the survey that went out, there are some areas that the total community may not agree on, but I don't see anything where the county, you know, had some strings attached to what they're doing, so. Mr. Taylor: And I appreciate... Mr. Kaneshiro: We're here to appropriate the money. Money's there. Let them decide and through the process when they decide, we as the body will go ahead and move and supply the moneys wherever it's needed, whatever it comes to out from the association. So when you mention strings attached... Mr. Taylor: I appreciate the clarification and... Mr. Kaneshiro: All right. Mr. Taylor: I only said what I said because that was the way it came across and if I misinterpreted it, I apologize for that... Mr. Kaneshiro: Thank you. Mr. Taylor: But as I say, there...the community must be the ones that decide where and how this money is utilized. Mr. Kaneshiro: Absolutely, we're not disagreeing with you. Mr. Taylor: Thank you. Mr. Furfaro: Mr. Taylor, I would like to also say that, you know, the July 28 date is not firm. I can suggest through communications that we move that back a month so that the community has more time, but I think what Mr. Kaneshiro said is it is not a decision from this body. This body is a...we have a fiduciary responsibility on releasing of the moneys; I said that early on. But the project list, the estimates, and so forth for that, I'm going to use the word wish list, must have community involvement but comes to us as a whole piece, not a discussion from us. We put that in an ordinance, we spend the money accordingly, and the charter requires that money be voted on when it's released for a specific project by ordinance and that's what we intend to do from the council. I hope that helps clarify it a little bit more. Mr. Taylor: Thank you. Chair Asing: Yes, come up. COUNCIL MEETING • - 13 - ~ June 23, 2010 Ms. Buza-Sims: Just one more thing. That final list that came... that is out there, some of the items... at least one that I know of was not on the original survey. So I question the validity of the final list because community input wasn't on especially that one. So my question is how did rt get on the list without the community knowing about it. So can anybody on the CAC put their agenda on that list without community input? So, you know, I and I appreciate you taking the time and asking the questions and really discerning this whole project because I think it's important that it's done well because we're the first one on the island and you know, it took 50-some odd years to get this money. I don't expect it to take another 50 years to be determined how to spend it, but we do have time to make it good and to make it what the community wants, not a group of people who have some hidden agendas that were seated at the table on the CAC and there were. I... you know I've been to some of the meetings, I know I could not be on the CAC because I don't live in Kekaha, but I'm a Kekaha at heart person because I'm a plantation, Kekaha plantation girl. I am concerned about the money that it's...that it be spent well and it's from the community. It's our way; it's your way, as leaders of the island to empower a community to expend funds for their need, not for the need of a few people. Thank you. Chair Asing: Thank you. Is there anyone else? Is there anyone else who wants to speak? Barbara, go ahead, one more time. (Inaudible from the gallery.) Chair Asing: Come up, come up, Barbara. Mr. Furfaro: Barbara, you have to come up. Ms. Bulatao-Franklin: Some of us wanted to hear the input of the children. Like was mentioned, we do have five schools. Mary Jean is a principal of St. Theresa's School and I was very much involved at the Kekaha Elementary School on the SCC committee...council. It would have been wonderful to have the children at least be able to participate. What a wonderful learning process. Okay, maybe that's a given, they want a roller skate park. That might not be feasible, but for them to do the research: Where would you think we should put this in Kekaha? How much do you think it's going to cost? What is your individual student hopes? What are you class hopes and what can you do as a group to set priorities? What a wonderful learning process. But my understanding was they didn't want children's input and I think that that's what this money is about. It's for their future and we should have at least given them the opportunity to have a copy of the survey or even to come up with their own, go back to the learning process, and we're all learning something, I think, from this. Thank you. Chair Asing: Thank you. Go ahead, Jose. Mr. Bulatao: Some quick closing comments. Thank you, Daryl, for asking from some quick clarifications on the matter that you did bring up and you are entirely correct about this being a community driven survey, dust exactly the way you described it. I want to emphasize that aspect of it. And I do also want to say along those lines that in the process, because we were all brand new in approaching this thing that we came naivete, if you will, about how to go about doing it and perhaps in that process we didn't know how to have the expertise in doing it well and so we may have blundered along the way in being too broad or too general in the process and so it was a learning experience for us. And finally, I do want to say this, that it was a learning pro...it continues to be a learning process for all of us as we move along. And as Mary Jean and Bobbie have pointed out that we continue to want to be a part of that process as a community, that we continue and COUNCIL MEETING - 14 - ~ June 23, 2010 want to have the community involved and that it is essential that the children be involved. It is essential that the community, from kupuna to keiki, have an opportunity for input and that the timeline should be our timeline, and we are asking for that opportunity. Thank you. Chair Asing: Thank you. With that, Councilmember Kaneshiro. Mr. Kaneshiro: Thank you for that Mr. Bulatao. I don't have a question for you, but I just wanted to point out that that is why it was so important for us, and I believe with Mr. Furfaro that Mr. Furfaro was the Chair of Finance was that we try to find a way where we can get this money into some account... some sort of account perhaps and I've had some discussion with the administration, Mr. Rezentes, is that perhaps we may be able to. So in the meantime, if there's some interest that you or the, you know, the community can benefit from and even if the process takes years, that's okay, you know. That's how it works. The process needs to work like that, but I know we have money allocated there. Now how do we do that and we're grappling with that right now. And I think, you know, at the same time we're also learning and we're in that process. But my desire and I believe Mr. Furfaro's and even the rest of the council's desire was to put this money in some trust fund or something so as you go through this process, even though it takes years, at least you'll be gaining interest on whatever amount that's in there too, so one day when you reach that point, you know, the interest portion plus several million dollars may be there for the community to take and use that for their benefit. I guess the process will work (inaudible). Mr. Bulatao: Please take a look at page 11 in our handbook then... Mr. Kaneshiro: Okay. Mr. Bulatao: ...under option that is available to... Mr. Kaneshiro: All right. Mr. Bulatao: to us. Mr. Kaneshiro: Thank you. (Inaudible.) Chair Asing: Thank you. Mr. Furfaro: Excuse me. Chair Asing: Any questions? Go ahead. Mr. Furfaro: But until then, Jose, I want to make sure you understand. Mr. Bulatao: Yes. Mr. Furfaro: Under the current charter, the fiduciary responsibility for this money lays with this body. Mr. Bulatao: I understand. COUNCIL MEETING ~ - 15 - ~ June 23, 2010 Mr. Furfaro: So I'm going to be posing that question in the form of correspondence. Now, I also want to say in scheduling today's piece and I think I sent you a communication on that, you know, that date of July 28 to see a final report was an arbitrary date... Mr. Bulatao: I understand. Mr. Furfaro: ...from me so that we could at least reach out and expedite this. But... Mr. Bulatao: Yes. Mr. Furfaro: ...you know, you folks, at your next meeting, i£..i£..as it was well said, if you want to, you know, postpone this process a little bit until you have an opportunity to gain some additional insight or revisit the list or now that I've given you the five-year county historical and future projections for CIP, you know, I can move that date back. But if you want the date moved back, please only communicate it to Mr. Bynum or Mr. Chang, who are the Chair and Vice Chair of that Committee, and they can take it from here rather than having a hope that, you know, all councilmembers would do some response because that is a violation of the sunshine rules. Mr. Bulatao: I have a point of clarification on the county CIP thing. In the consideration of expending this allocation, does it have to be involved with the CIP projects only? Mr. Furfaro: Well, to handle it appropriately and if I would just kind of dust off my accounting process, any fiscal improvements that we make in the Kekaha area, which is part of the County of Kauai, then becomes an asset for the county and must be recorded as such on our books, so. Mr. Bulatao: Yes, but at the same time, if the community were to decide as a for instance, because they did come up in discussion, Mr. Bulatao, that money should be set aside for scholarships for the children in our community and I said, that's a consideration, nothing to do with CIPs, and if the community did desire to have that money put aside for something of that nature, can the community decide that this is the way we should set that money aside for that purpose? Mr. Furfaro: Well, I would say as I mentioned earlier, is it possible to use some of this money for the purpose of grants. Mr. Bulatao: Right. Mr. Furfaro: And I would say I have not had the time to research that, but I would think at first blush that is possible, but then it would slowly be funds that are served through a grant and a process. I can add that as the fifth question to my questions, but, you know, I don't want to give you any false hope. I want to be very clear that the money currently is accounted for and held in anon-interest earning account in our CIP fund as a summary, and I think, you know, that's where we need to start that discussion can go over to the county attorney, but the discussion should happen in your CAC committee. But it could be possible. You could possibly earmark some money for that. But again, that's my first blush answer. Mr. Bulatao: Then in closing, it would help us tremendously if we be given a copy because we have never had one, the language of the ordinance as COUNCIL MEETING - 16 - ~ June 23, 2010 it was originally made that when the $650,000 was appropriated to the community of Kekaha, we need to see what was written in that original language so that we know and understand what was originally intended, and if that can be reviewed by the receiving people, because we are the ones who are receiving it and we can say, may we receive it on these terms because we need to come to some clear understanding. If we are getting the gift, is it ours to use the gift as we perceive that we may use it legally. Mr. Furfaro: Okay, I want to make sure we understand. When we reference an ordinance, what we're talking about is the budget ordinance. The money was earmarked in the budget ordinance. There isn't a separate ordinance. Mr. Bulatao: Yes. Mr. Furfaro: Secondly, I want to say that for all intents and purposes as it stays under the body but we create an ordinance that says where the money is going to be spent, we want to keep that money within the Finance Department here, certainly for the...just the first blush look at an annual audit. Mr. Bulatao: Yes. Mr. Furfaro: You want that for general protection. But the money is part of the budget ordinance. It's not a separate ordinance, so, I want to make sure (inaudible). Mr. Bulatao: But it is not until this very moment that we have had any clear understanding of what was originally intended until right now. Mr. Furfaro: Well, I'm delighted that...that's the reason I put it on the agenda as I've watched you... Mr. Bulatao: Thank you. Mr. Furfaro: ...your emails and communications, I think this was necessary. But CIP items come under Public Works. Going forward, questions dealing with that should be directed at those two committee members. I will copy your committee on my five questions that go over... Mr. Bulatao: All right. Mr. Furfaro: so that you have them and we'll shoot for the 28th of July as only a tentative date. We can push that back. Mr. Bulatao: All right. Thank you. Chair Asing: Thank you. Councilmember Bynum. Mr. Bynum: Just another quick question and when we call the meeting back to order, I'm going to have some comments to make, but right now, there was a consultant from AECOM that was part of your committee. Is that correct? Chair Asing: Yes. Mr. Bulatao: Yes, a facilitator you mean? Mr. Bynum: And what was the consultant's role? COUNCIL MEETING • - 17 - June 23, 2010 Chair Ating: Yes. Mr. Bynum: Was it a facilitator, Mr. Pflum or... Mr. Bulatao: Well, someone was brought into our meeting and introduced to us as a facilitator and served in that capacity. Mr. Bynum: That's Mr. Pflum? Mr. Bulatao: Yes. Mr. Bynum: And he's no longer a member of the committee? Mr. Bulatao: My understanding that he was hired to be a part of our committee's efforts and served in the capacity as a facilitator. Mr. Bynum: Okay, his role then was facilitator. Mr. Bulatao: Correct. Mr. Bynum: Okay, thank you. Chair Asing: Thank you. With that, I'll call the meeting back to order and is there any further discussion? Councilmember Bynum There being no one else wishing to testify, the meeting was called back to order, and proceeded as follows: Mr. Bynum: Yeah, I...this first came up on the budget in 2008 and I... and then again in 2009 and then again this year. I originally understood host community benefits as a process for siting a new landfill and that's the original discussion with the administration was as we site a new landfill since we last sited one many years ago, you know, many communities are exercising this host community benefits as part of the package and the contract they make with the community that sites a landfill. And so originally when I heard about this I expected it to be part of that siting of a new landfill process. Then what happened, in my view, is all of a sudden councilmembers said, hey, what about Kekaha? They've been hosting this for a long time and we... suddenly there was a proposal in the budget to put a very large sum of money into a fund to recognize the impact that hosting the landfill has on the community. I don't think anybody objected to that concept, but I want to read some things I said in 2009 that are in the transcripts because I had concerns then and I still have concerns as do several people who came here today where that concern has come up. But I want to read this because this is kind of where I was at then. It says, I'd like to see this fee institutionalized, but because we kind of went at this backwards, we didn't have a discussion about implementing host community benefits, we dust kind of plugged this money in last year without any real planning, without a decision about how the use of these funds would be operationalized and again this year the funding is based on a rationale, but it's still not institutionalized. And so I have some real concerns about how the decisions made about the distribution of what is now over $700,000 will occur in Kekaha. It would have been nice to work out the plan first before we started dumping funds into this and I think it will be an issue here for the council in the future because there's some struggle about how we equitably make decisions and I think that because we did it kind of funding in advance, not to diminish our desire, I think, from everyone to recognize the impact on the Kekaha community of hosting the landfill. So, you know, in the second year of this process I was saying, hey, we COUNCIL MEETING ~ - 18 - ~ June 23, 2010 haven't institutionalized these funds. We didn't start up front with a clear thought- out plan, you know, in our desire and our collective desire to do what's fair and right for Kekaha. We put, in some ways, the cart before the horse. So then, you know, I remember this being at council when we first started to do... make this decision and there was concerns and difficulties about process. At the time I expressed concerns that we had our solid waste managers involved in this host community benefit thing and they're engineers. They are tasked with the operations and the development of our solid waste program, and I didn't believe had the expertise to properly...you know, this was like this whole other level of all of a sudden that they weren't prepared for because they're very competent at running the program but weren't the kind of people, so I strongly encouraged at that time that we engage consultants because host community benefits operate in many communities. So, that's why I asked a few minutes ago the question about the consultant who... at least Mr. Bulatao's perception was he was there to facilitate the meetings. But I think that we needed to have expertise about how to develop that equitable process and apparently we still do. I think that's unfortunate and so... and then I want to say something about the separation of powers. This is not the council's job to work out the administration of a host community benefit. It is our job to make decisions about the amount of the -funding and eventually to give blessing to how funds are expended in the county. That's the legislative body's responsibility. But it's the administration's responsibility to administer this and to actually directly engage with the community. We'd be overstepping our bounds if we started getting into that, you know. But obviously... and I also want to say that when speaking with the administration, Ibelieve that everyone in this has the best of intentions, that they want this to work out equitably, but I guess it's human nature when you start talking about sums of money that are very large that there's going to be differences of opinion. So, whatever the decision gets made in the long run, you know, it's important that that decision was made equitably. That's a really important word where people feel like there's a sense of fairness and I had hoped that we would engage a consultant who really has this experience and expertise. You know, I haven't watched every nuance of this. We now have a packet of information at our...a...and we can do more research, but you know, I...just reading through this, I noticed one of the decisions was to have the survey be an informal process. That was voted at the CAC and not kind of institutionalized in a formal way, you know. So when I thought the consultant from AECOM would be the one that brings that expertise, those best standards of practice, and implements them in the community. So, I trust that we are a caring and loving community and we need to get through these issues in ways that are equitable, but it's important that the council not, you know, have... show its concern, do its oversight responsibility, but not get directly involved in the administration issues and I know all the councilmembers understand that too. So, I just wanted to make those comments and hopefully have faith that we come to a conclusion because when I last heard about this it was like oh, the committee's been operating, they've tasked somebody to write the report and so we'll see where it goes from here, but I wanted to make those comments on the record today. Thank you, Mr. Chair. Chair Asing: Thank you. Anyone else have any comments? Mr. Furfaro: I do. I have one. Chair Asing: Go ahead. Mr. Furfaro: As someone who was on the council when we moved on this item, I want to make it very clear that this was not a condition of siting the new landfill. This was a condition to try and make something right for the community for the years that they hosted the landfill, and that is how we arrived at the $650,000 initial fee with an ongoing contribution as long as the community COUNCIL MEETING ~ - 19 - ~ June 23, 2010 hosted that facility, and I just wanted to make clear. That's what I voted for and that's how I understood it. So, thank you, Mr. Chair. Chair Asing: Thank you. Any other comments? If not, let me try to put this together. I don't have any problems. I think that everything was ironed out, is ironed out, but it is not taken with that in context. The problems that Councilmember Bynum makes reference to is not a problem. As a matter of fact, we hired AECOM. AECOM Technical Services is a consulting firm that does that type of work and that's the reason they were hired to assist the county and assist the community to do just that work. Let me read you this. You will find this on the website also. Kekaha Host Community Benefit Program and again, let me repeat, it is on the website. The objective of the Host Community Benefits is to balance the need for safe disposal of solid waste with the sacrifices borne by the host community. The cornerstone of host community benefits are mitigation, alleviation of landfill impact such as landscaping and re-vegetation to alleviate visual impacts, and compensation, just payment, for offset living near the landfill. So that's the objective, clear. It can't be clearer than that. That's subjective. Now, last year, the County Council and this is for 2008. Last year the County Council appropriated $650,000 to the Kekaha community as a form of compensation for the upcoming expansion of the Kekaha landfill. At the request of the community, at the request of the community, Mayor Bernard Carvalho, Jr., recently appointed nine Kekaha residents to serve on a citizens advisory committee for the host community benefits program. The appointed community members are Jose Bulatao, Jr., Myra Elliott, Randall Hee, Robert Jackson, Big Boy Kupo, Jr., Glenn Molander, Evelyn Olores, Bruce Pleas and Walter Stalker. These are the nine members that were appointed. Four county employees serve as advisors and are non-voting members of the CAC, including Beth Tokioka who is the Executive Assistant to the Mayor, Allison Fraley who is the Solid Waste Program Developer Coordinator, Christobel Kealoha as the Deputy County Attorney, Leonora Kaiaokamalie who is the long-range planner, and in addition, Jeff Kaohi with the Solid Waste Management of Hawaii Inc., the company that manages the Kekaha landfill also serves as an advisor to the CAC. So the structure is there. It's not only there, they met at least eight times. They met; they made their minutes available; the meeting was open to the public; the public gave some input; they did their work, put their pieces together; and you have their recommendations here. Evidently there is some members of the community who might not agree. There is also the Kekaha Community Association that might not agree, but you know, we can only have one group making a decision. We can't have everybody making decisions. So I...I don't have any problem. I would say, work with the administration. I can tell you that if I look at the record, here's what you'll find. Two thousand and eight (2008) in the CIP, allocation for host community benefits Kekaha $650,000; 2009 host community benefit $80,000; 2010 another $80,000; total on hand today available for funding all of these projects that came from the CAC $810,000 available. That's what this council has done. So we have put the money into the budget, into the program. It's available to you, you meaning the Kekaha Association, the whole Kekaha community, and work with the CAC to get your programs as you see fit. So I...the only recommendation I can make to you is for all of you in Kekaha to work together with your CAC. You have nine members that were appointed. You had at least eight meetings conducted. You made some decisions at those meetings. Work together and come up with the final resolution and we'll be here at the council to support all of you. But work with the CAC and that was the program that was set up and you know, I was at the Mayor's office when this thing kind of blew up a little bit. So I have some background on and knowledge of what happened. But that is the process that was set up. It's a good process. The reason for the administration being there at the meeting is to assist the community and that's why those people are there at those meetings. The COUNCIL MEETING - 20 - ~ June 23, 2010 consultant was there, the engineer was there, Solid Waste was there; all of these people were there to assist the community. They were non-voting members. They were members of the CAC, but non-voting. Only the members, the nine members was able to vote on any item that was put forward. So again, my message to you is work together with the CAC and come up with whatever you folks in Kekaha feel that you want to have done. Councilmember Furfaro is going to send you the 5-year CIP list so that... that might also help you to know what the county is doing so that when you do and propose something that you will know what the county is doing also. So with that, thank you very much. I'd like to have a motion to receive. Mr. Furfaro: Mr. Chair, I'd like to move to receive, but I would also like to, for the record, know that I'll push the actual final report due to the council back to August 25, 2010 as a tentative date... Chair Asing: Thank you. Mr. Furfaro: ...but I'd like to move to receive. Mr. Kaneshiro: Second the motion. Chair Asing: Any further discussion? If not, all those in favor, say aye. Mr. Furfaro moved to receive C 2010-165 for the record, seconded by Mr. Kaneshiro, and unanimously carried. Chair Asing: Next item please. Mr. Nakamura: We're back on page 1 of the council's agenda, Mr. Chair, on communications for receipt, communication C 2010-161, C 2010-162, and C 2010-163. C 2010-161 Communication (05/13/2010) from the Director of Personnel Services, transmitting for Council information, the Third Quarter Reports (January - March) relating to vacancies, new hires, reallocations, promotions, and positions established, pursuant to Section 20 of the County Budget Ordinance: Mr. Kaneshiro moved to receive C 2010-161 for the record, seconded by Mr. Bynum, and unanimously carried. C 2010-162 Communication (05/20/2010) from the Chief of Engineering, Department of Public Works, requesting Council approval of a traffic resolution that establishes a school zone and a speed limit of 15 miles per hour for the entire length of Kress Street, Halenani Street and a portion of Kalena Street in Lihu`e for the Ae Kamali`i School located at 2943 Kress Street: Mr. Kaneshiro moved to receive C 2010-162 for the record, seconded by Mr. Bynum, and unanimously carried. C 2010-163 Communication (05/20/2010) from the Chief of Engineering, Department of Public Works, requesting Council approval of a traffic resolution that establishes no parking at any time along Papalina Road in the vicinity of Alelo Road to minimize obstructing the line of sight of motorists turning onto Papalina Road from Alelo Road: Mr. Kaneshiro moved to receive C 2010-163 for the record, seconded by Mr. Bynum, and unanimously carried. Chair Asing: Next item please. Mr. Nakamura: At the top of page 3...page 2, my apologies Mr. Chair, for receipt communication C 2010-164. COUNCIL MEETING • - 21 - • June 23, 2010 C 2010-164 Communication (06/03/2010) from the Director of Finance, transmitting for Council information, the Period 10 Financial Reports -Statement of Revenues as of April 30, 2010, pursuant to Section 17 and Section 20 of the Operating Budget Ordinance (B-2009-690): Mr. Kaneshiro moved to receive C 2010-164 for the record, seconded by Mr. Chang, and unanimously carried. Chair Asing: Next item please. Mr. Nakamura: At this time, Mr. Chair, we're on communication C 2010-166. C 2010-166 Communication (06/15/2010) from the Director of the Office of Economic Development, requesting agenda time to present the Final Kauai Energy Sustainability Plan (KESP) and Recommendations. Chair Asing: Thank you. With that, I'd like to suspend the rules. George, please. There being no objection, the rules were suspended. GEORGE COSTA, Director of the Office of Economic Development: Aloha and good morning, Council Chair Asing and County Councilmembers. Councilmembers: Good morning. Mr. Costa: For the record George Costa, Director for the Office of Economic Development, and I also have here today Glenn Sato, our Energy Coordinator. We are here today to present the final version of the Kauai Energy Sustainability Plan. The plan began with Councilman Jay Furfaro and former Councilwoman JoAnn Yukimura, as well as Chairman Asing and the County Council presenting a resolution in 2008 requesting the mayor, through the office of economic development, to prepare the Kauai Energy Sustainability Plan for Kauai County. Kaua`i's reliance on a finite supply of fossil fuels in the midst of an unprecedented and growing worldwide demand puts Kaua`i's families, economy and way of life at great risk to ever rising prices and the possibility that fuel supplies could be insufficient to meet basic human needs some time in the future. Kaua`i's dependence on fossil fuels is also sending millions of dollars each year out of the local economy and releasing thousands of tons of greenhouse gases and other pollutants into the atmosphere annually, thereby contributing to global warming and its detrimental impacts to the global ecosystems. The Kauai Energy Sustainability Plan is the start of a roadmap that will assist to strategically guide policies, initiatives, and public, private and collaborative actions toward achieving a way for present and future generations to live a sustainable way of life. The road to energy sustainability will be a long and challenging one. As the community and stakeholder meetings pointed out, there are various opinions on how this goal should be achieved, as well as the environmental, cultural, and financial issues that should be addressed. There will be many more opportunities to provide concerns and solutions as the plan is being further developed and implemented. Education of our island residents is the key to the success of this plan being implemented and maintained. We will have more opportunities for renewable energy resources and the fobs it will create for our island. Another part of the education equation is in workforce development of green jobs for island residents. After a year of stakeholder and community meetings, numerous hours of research by the consultant SENTECH Hawaii and feedback from the community and businesses, we have a plan that presents recommendations relating to ground COUNCIL MEETING - 22 - ~ June 23, 2010 transportation and electricity generation. These recommendations include in the actual plan under Section 4.1 Ground Transportation: Pass 2% Fossil Fuel Tax to Reduce Consumption of Fossil Fuel; 4.2: Improve the Kauai Bus System to Reduce Consumption of Fossil Fuel; 4.3: Offer Hybrid Electric Vehicle Incentives to Reduce Consumption of Fossil Fuel; 4.4: Support as needed visitor vehicle Rentals to Reduce Consumption of Fossil Fuel; recommendation 4.5: To Purchase Five Vegetable Oil Presses to Allow Small Farmers to Produce Straight Vegetable Oil to Increase Renewable Fuel Production and Use; 4.6: Offer Incentives to Convert Gasoline Vehicles to Gas Ethanol Flex Fuel Vehicles to Increase Renewable Fuel Production and Use; 4.7: Offer PHEV Incentives and Support Nighttime Charging Infrastructure to Increase Renewable Fuel Production/LTse. In the electricity generation section, recommendation 6.1: Divert a Percentage of the KIUC Franchise Tax to Enable County to Lead Energy Efficiency Initiatives to Decrease Electricity Demand; 6.2: Increase KIUC Franchise Tax by 30% or From 2.5% to 3% to Facilitate Open Source Project Development Process to Increase Large Scale Renewable Energy, and the last recommendation 6.3: To Participate in the PACE Program to Increase Distributed Energy Capacity. Again, please keep in mind that although this is the final version of the Kauai Energy Sustainability Plan, it's the beginning of a process that will involve all of us, our entire Kauai community to be positive and diligent in using the plan as a roadmap to our energy sustainability future. We look forward to collaborating and working with the County Council, Kauai residents, businesses, KIUC, and stakeholders in taking these recommendations to help shape our energy future. At this time, I would like to thank various individuals and organizations who contributed their time, knowledge, passion and commitment, and they include and aren't limited to Glenn Sato, the Office of Economic Development's Energy Coordinator for the coordination of the RFP process and consultant selection process; Councilman Furfaro and former Councilwoman JoAnn Yukimura for initiating the plan; Diane Zachary and Rayne Regush of the Kauai Planning and Action Alliance for coordinating stakeholder and community meetings as well as hosting the Kauai Energy Sustainability website...on their website; the EPAC or Energy Planning Committee comprised of Walt Barnes, Rohit Mehta, Ed Nakaya, JoAnn Yukimura, and Jay Furfaro for their guidance throughout the process; as well as strategic advisor Maurice Kaya; consultant Doug Hinrichs and Jon Hurwitch of SENTECH of the SENTECH Hawaii team; Mayor Bernard Carvalho, the county administration and the county council; and especially the Kaua`i...to the Kauai residents and businesses for their participation, comments and concerns at stakeholder public meetings, emails and letters. Mahalo and aloha. Chair Asing: Thank you. Any questions, councilmembers? Councilmember Furfaro. Mr. Furfaro: Yes, so George, now as we have it, 2% of the current gas rate is about 7 cents earmarked per gallon to expand the bus. Mr. Costa: That's correct. Mr. Furfaro: That's what it boils down to. Mr. Costa: The proposal to set aside those funds. Initially when the first...when the plan first came out, I think everyone remembers, you know, we started with a 50-cent gas tax which, you know, got a lot of attention and a lot of feedback. And with the latest recommendation 2%, obviously there's concern because the state has its barrel tax that has been initiated, so it will have, you know, a definite effect on our...our traveling public. So, you know, the original • COUNCIL MEETING • - 23 - June 23, 2010 recommendation is now, you know, primarily focusing on our Kauai Bus public transportation. Mr. Furfaro: I just wanted to reconfirm and focus on the fact that it is actually earmarked to provide alternative transportation for the purpose of the growing fuel costs, so the bus will be more and plentiful over time. Mr. Costa: That's correct. Chair Asing: Any other questions, councilmember? If not, thank you. Oh, I'm sorry, go ahead. Mr. Bynum: I'm sorry. I guess this is the right time. I want to thank you and the office of economic development for shepherding this, also the KPAA Diane and Rayne. I think the...it's been a really interesting endeavor. You know, there are a number of recommendations in the plan and as you've correctly pointed out, this is the beginning and we decide if we have political will to move on these redec...on some of the recommendations and I...speaking for myself hope that we do. There are areas of the plan that I personally don't agree with and then there are areas that I think I'm thrilled with, so. And that's what you'd expect given, you know, the comprehensive nature of the examination we did, but I certainly believe that was a worthwhile and appropriate endeavor and it behooves us all to move on some of these recommendations so we don't again spend money...you know, taxpayers money on a plan that doesn't change behavior. And I think clearly we need to change behavior. I think there are areas that we will. I appreciate councilmember Furfaro has a resolution, you know, just... and I think we'll all agree with that we continue to collaborate, the administration, the council, and the community, to look at our energy future, so. Thank you very much, George, for coming...bringing it to a final sta...but it behooves us all to act on some of these recommendations and see where we have consensus and can move forward. Thank you very much. Mr. Costa: All right, you're welcome, thank you. Chair Asing: Yeah, George, hang on, George. Yes, go ahead, councilmember Furfaro. Mr. Furfaro: George, this is coming later on our agenda today, but you're familiar with the proposed Resolution 2010-35, which is going to kind of break the plan up into a couple paired committee reviews here by various chairmen of various committees. Myself and Mr. Kawakami will be dealing with KIUC and Lani Kawahara folks with transportation and so forth. You do understand our intent... Mr. Costa: Yes. Mr. Furfaro: ...to further meet with these agencies or coops to understand how they can merge this into their plan. You're familiar with that? Mr. Costa: Yes, I'm familiar with it and you know, from a personal standpoint, I really appreciate the fact that, you know, through the County Council as well as my previous meetings with different stakeholders in the community and businesses, there is interest out there to have more collaboration and involvement to help...really to help us all to move this plan forward and some of the recommendations. So that's a very good sign of the community wanting to be involved. COUNCIL MEETING. - 24 - ~ June 23, 2010 Mr. Furfaro: Thank you for the use of that word, community collaboration. Thank you. Mr. Costa: You're welcome. Chair Asing: Any other questions? If not, I have one question and that is in Section 9, Recommendations for Successful Plan Implementation, and I think, in my opinion anyway, this is the biggest question mark that should be addressed and so my question to you is who's going to do it and when is it going to be done, and let me just read it to you. "To increase the odds of the successful and timely implementation of the plan, a sustainable energy team should be formed with the following operational parameters: meeting quarterly to ensure progress, report to the mayor's office, and it will be funded by the fossil fuel tax plus the KIUC franchise tax increase, facilitated by a third party to ensure objectivity." So, to me, this is the really the crux. Unless you have this team put together, nothing's going to happen, in my opinion. So the question is when will this be initiated? Mr. Costa: Well, Chair, you're absolutely correct and that's what I alluded to and...just a few minutes ago. In some of our meetings with different stakeholders, the question came up, you know, that's great that we have this plan that's put forward, but who will drive the plan? Is there any one individual or is there an entity that's going to basically be the lead and take charge? And I know with the various meetings that we've had, whether it be the Kauai Economic Development Board, Renewable Energy Committee which is comprised of again various business stakeholders, you know organizations like Apollo Kauai, there's numerous interest that want to be involved and be a part of this energy team, so to speak. For right now, I must say because the initial plan was placed in the office of economic development to shepherd this plan to...you know, so far we are the lead organization and it is our goal to work with the council and these organizations to put this energy team together to help us to meet, as stated, on a quarterly basis to ensure that, you know, it's not a plan that sits on a shelf and then we revisit it maybe a year from now, maybe a year and a half from now. It's something that, you know, needs to take place soon because as we've seen, you know, in recent events, you know, with the gulf oil spill, you know, there's no telling what's going to happen next as far as fuel prices, availability, and how long would some of these renewable energy opportunities take to really get off the ground. So time is of the essence, and you know, to answer your question, Chair, I don't have an exact date or start date, but you know, I do look forward in working with the council and the Chair... Councilman Furfaro's resolution to see what we can do to put this energy team together and move forward. Chair Asing: Thank you. Any other questions for George? If not, thank you. Is there anyone in the audience who wants to speak on this item? CARL IMPARATO: Aloha Councilmember, my name is Carl Imparato and I'd like to urge you that before acting on any of the recommendations in the plan that you give some serious thought to both the cost and other implications of those recommendation, most of which I believe are misdirected. I think the problem with the plan is that it begins with this unfounded premise that the community has indicated that it wants to achieve 100% local energy sustainability by 2030. I don't think that that's true. I think that while that might have been the feeling of a number of participants in the study who were asked that input before the ramifications of that premise were examined, I don't think that that's the sentiment of the general Kauai community. But based on that premise, the plan proposes that you tax Kauai residents more than $62 million over the next 17 to 20 years. That's $4,000 for every family of four. Then it proposes that you spend that $62 million on primarily subsidies for projects that should stand on their own or should • COUNCIL MEETING • - 25 - June 23, 2010 be paid for by the beneficiaries of the project, not the general public. I've summarized on the handout there the recommendations without the misleading euphemisms that are in the study. I note that $50 million of the $62 million would be spent on subsidies, but you won't find the word subsidy anywhere in the plan at all. So let's go down that list. First of all, there's $35 million in subsidies to owners of hybrid, flex fuel and electric vehicles. If those vehicles made economic sense, the purchasers of the vehicles should...who are going to get the benefits of those vehicles, should pay for them. The purchasers, not other Kauai families, should pay for that. There's $2 million in subsidies to this hourly vehicle rental program for tourists. Now if that program makes any economic sense, then the tourist and the car rental agencies who use the programs, not Kauai families, should pay that money. There's a $10,000 subsidy to businesses that make vegetable oil. Well, if that makes economic sense, then the manufacturers of vegetable oil should be paying for those presses. There's a total of $6 million in subsidies to developers, $3 million for the county to pay for developers' environmental impact assessments and $3 million for a project facilitator who performs basically what the developers' tasks are. The developers of energy projects, not the taxpayers, should pay for all of this, not the county to get involved with that. There's $3 million in subsidies to this property assisted clean energy program. Now that's a good program but should be designed to be self-sustaining so the beneficiaries of the program pay for the cost of administering the program, not the general public. There's $5 million to fund this new county energy manager and facility specialist position. You know those are positions that don't need to be funded by new taxes because if they truly are finding efficiencies in county operations, then the reduced energy cost should be what funds those. And if the reduced energy cost don't fund that, then those positions really aren't warranted. There's a total of $8 million for funding the sustainable energy team to "educate the community" and I'm very concerned that community education really means public relations and propagandizing the community rather than truly educating. WILMA AKIONA, Council Services Assistant: Three minutes, Mr. Chair. Chair Asing: Yeah, go ahead. Mr.Imparato: Finally, there's $3 million in subsidies... $3.3 million for the Kauai Bus system. Now even there while that might be a good idea, I don't think you should be increasing the bus system except based on surveys and studies that show that that's money well spent, that if you increase the bus system that it runs and the new equipment won't be underutilized. I want to correct something. That's the three...that's the amount in the plan for the Kauai Bus $3.3 million, so when you talk about the 7-cent gas tax, which raises $43 million, only $3.3 of the $43 million is for the Kauai Bus. That's half a cent of the 7-cent gas tax. The lion's share of the rest of it went all for subsidies to these other projects. So, it's clear to me that the authors of this plan don't really have the confidence that alternative vehicles, hourly tourist car rentals and vegetable presses really make economic sense, so instead the public should subsidize these ventures. I don't believe that it's also appropriate for the county to increase the KIUC franchise tax by more than a million a year to subsidize the developers of energy projects and the direct beneficiaries of PACE bonds. Its...it looks to me in general that what we have here is really an astounding...outstanding example of what's called OPM, other people's money syndrome, where it's easy to basically spend other people's money on projects that may not be really justified. COUNCIL MEETING. - 26 - ~ June 23, 2010 So, in conclusion, I don't believe that the county should be taxing Kauai residents and spending another $63 million for things which individuals, businesses and developers should pay. But beyond the money and more importantly, the plan proposes that the county government intrude into a number of new areas, subsidizing vehicle purchases by consumers, subsidizing other businesses, subsidizing developers, getting involved in KIUC's planning and contracting, and basically proselytizing the citizenry. So, I really urge you to consider where this plan would take you if you approve these recommendations because it is a question of both money and the county getting involved in areas where maybe it shouldn't be treading, in my opinion. Thank you very much for your time. Chair Asing: Thank you. Councilmember Furfaro. Mr. Furfaro: Hi, Carl, first of all thank you very much for this very complete overview of the plan put into a summary of about three pages. Thank you very much. Mr. Imparato: You're welcome. Mr. Furfaro: And you do understand the intent now also is looking at a resolution where we can kind of break up some of these programs, study them in various ad hoc committees, and determine what kind of value they actually add because the trigger is then going to be the council's will, political will you might say as mentioned by Mr. Bynum earlier, to actually implement by ordinance some of these particular pieces. So, could I ask you if I made contact with you and we were successful on this resolution that we might count on your very professional energy background and willingness to serve on one of the committees? Mr. Imparato: Always willing to try to help where it looks like it might be productive. Mr. Furfaro: Thank you very much because obviously your evaluation here raises the kind of questions that need to be done by these various committees and I appreciate the quick summary. And the math here you did do on a cumulative total of 17 years or 20 years? Mr. Imparato: The plan basically has some things that talk about 17 and some about 20, so I basically roughed it out at 20. Mr. Furfaro: So, you made the whole summary here as a 20-year plan. Mr.Imparato: Pretty much, although things might change by (inaudible). Mr. Furfaro: We all round out numbers. Mr. Imparato: Okay. Mr. Furfaro: So, got it. I just wanted to make sure that that's how you applied it. Thank you very much, Carl. Mr. Imparato: You're welcome. Chair Asing: Thank you. Any other... Councilmember Bynum. COUNCIL MEETING • - 27 - • June 23, 2010 Mr. Bynum: Thank you, Carl, for this analysis of the cost, and I think it is appropriate that the word subsidy be used and is not in the plan. And as I indicated earlier, I think there are...when some of these proposals first came out, there was very strong reaction from the community and this council saying, basically this aspect is anon-starter. There still are things in this plan that are recommended that I think are in that category of non-starter, so. And I think your, you know, and so your call to us to look at this in terms of taxpayers' dollars going for specific purposes and, you know, is a good one. So, you know, having said that I still think there are elements in the plan that don't require subsidies that are about, you know, that are worthwhile for us to look at. But there's no question in my mind, for instance, the largest one you have here are subsidies to hybrid and flex fuel vehicles. I don't see that happening and, you know, I have a hybrid vehicle. I made that choice on my own and I think many people will make those choices and the federal government may get involved in this kind of incentivizing, but it probably doesn't make sense for the county, in my opinion, to move in that direction. So that's one really big glaring one. And as I think Mr. Furfaro already indicated, any looking at fuel tax, you know, is a discussion I think we should have but focused on public transportation, not subsidizing vehicle purchases for private individuals. So thanks for the... the start of this dialogue. Chair Asing: Thank you. Any other questions for Carl? Carl, I just want to thank you too for this very thorough review of the plan and I want you to know that I have the same concerns too. Looking at some of the areas and when I see as an example county to fund energy manager and facilities specialist at $255,000 a year, I'm saying holy caroly (sic), what in the world are we doing? Is it right? How we're going to actually do it? Of course the funds was planned to divert 7.5% from the franchise tax, but you know, will that happen? Won't it happen? It's a gray area. In fact I think it's very gray. So, I understand your concerns and I agree with some of the concerns that you have on your memo. So thank you. Mr. Imparato: I very much appreciate your attention. Thank you. Chair Asing: Thank you. Any other question for Carl? If not, is there anyone else who wants to speak on this item? JoAnn. JOANN YUKIMURA: Chair Asing, members of the Council, good morning. Councilmembers: Good morning. Ms. Yukimura: JoAnn Yukimura for the record. I...I agree with many of the things that Mr. Imparato has raised. I think, however, that we do have to get off of oil and I think the BP gulf oil spill drove that home to us. We wouldn't have this huge disaster if we didn't have all the pressures to keep producing oil and given that oil is a limited resource, inevitably the price of oil is going to go up and we've seen that already. It may go down every now and then, but the basic trend is up, and if we are to save our families and our businesses from the huge disaster of higher oil prices and the cost of it, not only in terms of the monetary costs, but the drag on the economy at a time where we have to create jobs. We have to keep in mind that getting off of oil is a very important goal and I think this tax is a form of self-discipline of the nature that our...the former generations, our ancestors did in sacrifice for the future. So, because if you impose a tax, the money will stay here to help get us off of oil. If we wait for the future to come to us, and wait till the price of gas is over...or the price of oil is over $100 a barrel again, we...that money is going to go out of our economy rather than stay in our economy to be put toward the things that will get us off of oil. So I think the tax is very important. Now, how much is one of the questions and how we use that money is the most important COUNCIL MEETING. - 28 - ~ June 23, 2010 question. Surely to subsidize our bus system and a11ow...I rode the bus recently and people in the bus said Sunday service, Sunday service, we need Sunday service, and they also said we need later hours so when my job ends at 11 at night, I can go home on the bus as well. And we need to look at those, the subsidy of the bus as a way to avoid huge expenditures. For example, we are spending $50 million to expand Wailua Bridge and the road for one mile, $50 million. I think we could have spent $10 million on the bus and gotten the same results without the expenditure of $50 million. We would have had to have shuttles coming from the homesteads in Kapahi every 15 minutes, a bus that went along the main highway every 15 minutes, maybe coffee in the morning for the bus riders, things like that, but...things that would get people into the bus and we could have reduced our traffic. Mr. Nakamura: Three minutes, Mr. Chair. Ms. Yukimura: Thank you. May I? Chair Asing: Go ahead. Ms. Yukimura: And the bus service also gives a bigger discretionary income to our families. If the family can release one car, give up one car, that will qualify them for $50,000 of mortgage money. That's how we would be helping our families. and also it helps our employers. You know, the Haraguchis used to come from Hanalei to pick up their workers in Lihu`e and do that twice a day to bring them back. But now because of the bus, their workers can go on the bus and so do workers to Pomare or Hilo Hattie's and so do workers to the county. It helps employers and you don't have to have as much parking spaces. So we have to look at it in the big picture and also, to have solar water heating on every house so that we can...and pay no more than you're paying for your electric bill now which is what the PACE bonds are about, this is...this could be a huge boon to our families on long-term because after you pay off the water system... the solar water system, you're actually getting hot water for free. So, you have to look at the big picture and I think there's...there's really exciting possibilities for us to get off of oil. But Mr. Imparato is right. I would not spend it on subsidizing electric vehicles. I would really look at where the return on investment for our families and our communities make it worthwhile to invest that money. Thank you very much. Chair Asing: Thank you. Councilmember Bynum. Mr. Bynum: I dust wanted to thank you also for your testimony and you know, you certainly have hit on the two areas that I'm most interested in this plan, the PACE and the... and a balanced approach at expanding public transportation because... and you hit on what I think is a really important priority because of the significant percentage of our population that's growing that is dependent on the bus. And I hope that commu...that citizens on Kauai understand that having a better bus system even if you never ride it benefits you. Even if you continue to be a commuter and so, you know, I appreciate your testimony and I have to also recall when I was a young man, we had an oil crisis and I... a lot of young people don't remember that we stood in line and could only buy gas on every other day because of...politically afew countries were mad at the United States and... and withdrew their production from the world market and our President at the time Jimmy Carter proposed a gas tax and said kind of what you said today. Either this money, we keep it here at home and address our dependency on foreign oil or we will pay this amount anyway and it will go overseas to another country, and of course, we know that that's exactly what happened and you know, every President since then has talked about our dependence on foreign oil and how that's bad for us politically, economically, you know, and you know, I think now maybe COUNCIL MEETING • - 29 - • June 23, 2010 we're ready to get serious about it after 30 years. But for those of us who are a little older, we think what i£..what if we would have made that commitment when Jimmy Carter was President in the 70s? How would we be? A different country in a different position geopolitically? Maybe we wouldn't be in two wars right now, so thanks for your...for your testimony. And I think there are elements of this plan that we need to seriously address as a community and you've hit on the two key ones, I think so. Ms. Yukimura: Thank you. Chair Asing: Thank you. Any other questions? If not, thank you. Ms. Yukimura: Thank you. Chair Asing: Yes. Excuse me, we need to take a caption break. My apologies and we'll be back and you'll be the first speaker up after the caption break. Thank you. There being. no objection, the meeting was recessed at 11:15 a.m. The meeting was called back order at 11:30 a.m., and proceeded as follows: Chair Asing: This meeting is now called back to order. With that... There being no objection, the rules were suspended. Chair Asing: Good morning. LINDA NEWMAN: Good morning, aloha and thank you. I would like for the council to... Chair Asing: Your name please. Ms. Newman: Hi, okay, there you go. I would like for the coup... Chair Asing: Your name please. Ms. Newman: Oh, my name is Linda Newman and I would like for the council to please consider really looking at the bus system. I am the parent of a 15-year-old who is a road warrior. And I think what we should do is start educating our children maybe at the freshman level of high school on how to access the bus. I would like to see more youth on the bus because in another year she's asking me for a driver's license, another car on the road, and I don't trust her driving with her...kids right now. I'm just a little nervous at this state, so I prefer for her to ride the bus. And she is starting to utilize it, but I think if we educate our children and the parents, and make our buses safe, then they can get to the movie theater and at that point I would like the bus maybe to look at where the youth go, to the movies. When the movie gets out at 11 o'clock at night, the parents still have to drive down to the bus and pick up all of the kids that are there. So, in your consideration of sustainability, please consider our youth, train them on the bus and then you have a generation of people who will use the bus and I think your buses will be used more and parents won't...will allow their children to get opportunity, dance KPAC here and there, but you know, driving up and down is tremendously costly for me as a parent also. So that's all I'd like to say and I'm all for bus sustainability. Thank you. COUNCIL MEETING. - 30 - ~ June 23, 2010 Chair Asing: Thank you. Mr. Bynum: Thank you. Chair Asing: Is there anyone else? Mr. Taylor. KEN TAYLOR: Chair and council, my name is Ken Taylor. First I'd like to thank George and Diane for spending so much time and effort on this issue and with the community to bring this to this point. I certainly agree with the issues that Carl has raised. I agree with the comments that JoAnn made that the buses and water heaters are a very important part of this plan and should be top priority for a lot of reasons. But the plan as I see it today, even if though we don't agree with everything that's listed in it, is a starting point and I think it was mentioned that from this point, the opportunity is to...to take different parts of it and work with it and move forward and I think that's the important thing. Carl touched a lot on issues of subsidizing and when I look at what the federal government has done with subsidizing the ethanol issues, it troubles me a lot that... if it's really beneficial, it will take place in the open market. It doesn't have to be subsidized and so I think these are important issues. I really have to commend Carl for the tremendous report that he's presented to you folks and again, the efforts, we wouldn't be here today if it hadn't been for Diane and George and the whole community to bring this to this point. So, I hope as you pass it and we move into the next phase of this report, starting to massage and work out the details, we will see the benefits come to the community as we move forward. Thank you. Chair Asing: Thank you. Is there anyone else? If not, I'll call the meeting back to order, and can we have a motion? There being no one else to speak on this matter, the meeting was called back to order, and proceeded as follows: Mr. Furfaro: Yes and this... Chair Asing: Councilmember Furfaro. Mr. Furfaro: ...this motion would be to approve? Chair Asing: Receive. Mr. Furfaro: I'm sorry. This motion would be to receive. Yes, this motion would be to receive. Mr. Bynum: Second. Mr. Furfaro moved to receive C 2010-166 for the record, seconded by Mr. Bynum. Chair Asing: Thank you. There's a motion to receive and a second. Yes, Councilmember Furfaro. Mr. Furfaro: Yes and I'm sorry for my delay there. I was thinking in terms of how it relates to the upcoming action we're going to take on a resolution, and I do want to say that the committee worked very hard on evaluating these particular pieces. But I want us to think of it in terms of it being a...a strategic thinking plan, not so much as the plan. That is why I'm hoping we can approve the resolution that's coming up later as, you know, we need an energy strategic thinking document no more or less than this well-known strategic thinker COUNCIL MEETING ~ - 31 - • June 23, 2010 Maurice Mascarenhas had posed over the years with companies like IBM and Volkswagen knowing that in the future things are not going to be the same. I know this discussion here today about subsidies, which I appreciate Carl bringing up, I certainly appreciate Carl's report, thank you very much, Carl, but I also have to say that we have to throw in the question about investment versus subsidy. Investments are extremely important and that's why I hope we can get refinement and press this thing down through the considerations that I'm asking for in the upcoming resolution. So, George, your staff, thank you very much. Thank you, Mr. Chair. Chair Asing: Thank you. Any further dis... yes, Councilmember Bynum. Mr. Bynum: I'll be quick. I already said that two of the areas that are of big interest to me is about how we expend public transportation in the bus, and we mentioned this PACE Program. So I just want to say briefly, this is a concept that the county have a program that helps create financing for alternative energy projects, particularly solar water heating or even perhaps PV. Structured properly, it doesn't have any cost to the taxpayers necessarily. People use...but government has the ability to float bonds, to borrow money at large...I mean at very low interest rates compared to the population, so it's giving individuals access to that purchasing power in essence to do and it's being done successfully in many parts of the country. It was a new idea a few years ago. You know, it was only one or two communities doing it, but there are an increasing number and I believe, I haven't run the numbers, but for something like solar water heating, you know, the consumer it may be a situation where you'd be foolish not to because you will pay less by using the program than by not using it. So, you know, mo... a lot of these alternative energy things we say, well, oh, when's the return on investment, you know, I have to wait six or eight years before I get a return. But with this kind of PACE Program, you know, there's a potential of having an immediate return on investment, meaning you're not paying any more not for one year, but right at the beginning you're saving money and saving the environment and reducing our dependence. So that's one I really hope that we pursue and I see people in the audience nodding, including our Energy Specialist, so. Those, you know, and there are other... many other elements of this plan that are worth looking at, but those two just really leap out at me anyway. So thank you very much, Mr. Chair. Chair Asing: Thank you. Councilmember Kawahara. Ms. Kawahara: Thank you, Chair. First of all I want to say thank you to Councilmember Jay...and~ Vice Chair Furfaro and former Councilmember JoAnn Yukimura for actually having the vision to request and follow through on a sustainability plan for the county regarding energy. My understanding and I've been told that the general plan of 10 years ago for... in general for our whole island didn't even acknowledge a concept of sustainability. So to have a plan for energy sustainability in our hands and recommendations in our hands, I think, is a major feat and definitely an educational experience for everybody in the county and everybody that's interested in trying to attain sustainability. The recommendations that I saw in the program or in the reports didn't really excite me much because they... they are quite heavy in investment and what I did see was a focus on the Kauai Bus and transportation...public transportation, which I really, really am willing to put time and energy and effort into to see that we maximize that particular piece of the pie in our transportation plan regarding sustainability. I also wanted to mention along with the other Councilmember that PACE is . something that did come up in the state legislature this year, so the state has also been looking at it and I think they wrangled with it a bit. There's probably a lot of work that still needs to be done because it didn't get through this session. I'm COUNCIL MEETING • - 32 - ~ June 23, 2010 II hoping that the county and the state can work together to figure out a way to make a PACE plan possible for the county or the state, whichever level that feels that they can do it best. But overall I'm again, glad that there's such a thing as a sustainability plan for Kauai in regards to energy and I appreciate the time that it took and George's Costa's office and his staff that went through this with SENTECH, so thank you very much. Chair Asing: Thank you. Any other discussion? If not, all those in favor, say aye. The motion to receive C 2010-166 for the record was then put, and unanimously carried. Chair Asing: Next item please. Mr. Nakamura: We're on page 2 of the council's agenda, Mr. Chair, next matters are matters for approval. First matter for approval is C 2010-167. C 2010-167 Communication (06/01/2010) from Councilmember Tim Bynum, requesting Council approval to accept his donation of an HP Laser Jet 1022 Printer to the Office of the County Clerk -Council Services Division, an approximate value of $300.00, to be located in his office for use by all Councilmembers: Mr. Furfaro moved to approve C 2010-167 with athank-you letter to follow, seconded by Ms. Kawahara, and unanimously carried. Chair Asing: Next item please. Mr. Nakamura: Next matter for approval is communication C 2010-168. C 2010-168 Communication (06/09/2010) from the Director of Parks and Recreation, requesting Council approval of the Ho`olokahi Program Grant Application for $3,000.00 submitted by the West Kauai Business & Professional Association (WKBPA) to purchase and install a permanent sign within the "Welcome Wall" at Hofgaard Park in Waimea: Mr. Furfaro moved to approve C 2010-168, seconded by Mr. Chang, and unanimously carried. Chair Asing: Next item please. Mr. Nakamura: Next matter for approval is communication C 2010-169. C 2010-169 Communication (06/15/2010) from the Director of Economic Development, requesting Council approval to receive and expend funds annually awarded through Agreements for Health and Human Services with the State of Hawaii, Department of Labor & Industrial Relations for the Adult, Dislocated Worker, & Youth Programs funded under Title I of the Workforce Investment Act bf 1998, and to indemnify the State of Hawaii for the same as described in the indemnification clause included in each contract associated with this program: Mr. Furfaro moved to approve C 2010-169, seconded by Mr. Chang, and unanimously carried. Chair Asing: Next item please. Mr. Nakamura: Next matter for approval is a legal document transmitted by communication C 2010-170. COUNCIL MEETING • - 33 - ~ June 23 2010 LEGAL DOCUMENT: C 2010-170 Communication (06/15/2010) from the Director of Economic Development, requesting Council approval to execute Amendment No. 1 to Contract No. 8295 (lease to the State of Hawaii, Department of Accounting and General Services for premises at the Pi`ikoi Building, 4444 Rice Street, Suite 302 for Workwise! One Stop Job Center), and to indemnify the State of Hawaii regarding the same. • Amendment No. 1 to Contract No. 8295 (extends the early occupancy date to March 1, 2010, the commencement date to April 1, 2010, and the expiration date to February 28, 2018) Mr. Chang moved to approve C 2010-170, seconded by Ms. Kawahara, and unanimously carried. Chair Asing: Next item please. Mr. Nakamura: Next matters are Claims on page 3 of the council's agenda, communication C 2010-171 which is a claim filed against the county by Rick K. Oshita, communication C 2010-172 which is a claim filed against the county by Kai Palama, and communication C 2010-173 which is a claim filed against the county by Shane N. Matias. CLAIMS: C 2010-171 Communication (06/02/2010) from the County Clerk, transmitting a claim filed against the County of Kauai by Rick K. Oshita for physical injury and damage to his scooter, pursuant to Section 23.06, Charter of the County of Kauai: Mr. Furfaro moved to refer C 2010-171 to the County Attorney's Office for disposition and/or report back to the Council, seconded by Mr. Bynum, and unanimously carried. C 2010-172 Communication (06/02/2010) from the County Clerk, transmitting a claim filed against the County of Kauai by Kai Palama for damage to his vehicle, pursuant to Section 23.06, Charter of the County of Kauai: Mr. Furfaro moved to refer C 2010-172 to the County Attorney's Office for disposition and/or report back to the Council, seconded by Mr. Bynum, and unanimously carried. C 2010-173 Communication (06/03/2010) from the County Clerk, transmitting a claim filed against the County of Kauai by Shane N. Matias for physical injury, pursuant to Section 23.06, Charter of the County of Kauai: Mr. Furfaro moved to refer C 2010-173 to the County Attorney's Office for disposition and/or report back to the Council, seconded by Mr. Bynum, and unanimously carried. Chair Asing: Next item please. Mr. Nakamura: Next matters for approval are Committee Reports from your committee on Public Works/Elderly Affairs, committee report CR-PWE 2010-08. COUNCIL MEETING • - 34 - • June 23, 2010 COMMITTEE REPORTS: A report (No. CR-PWE 2010-08) submitted by the Public Works/Elderly Affairs Committee, recommending that the following be received for the record: "Communication (6/8/2008) from Committee Member Jay Furfaro, requesting the presence of the Administration to discuss the status of repairs to the staircase at the intersection of Olohena Road, the Kapa`a Bypass, and Opala Road, in addition to striping a crosswalk near the vicinity of the Kapa`a Roundabout," Mr. Bynum moved for approval of the report, seconded by Mr. Kaneshiro, and unanimously carried. Chair Asing: Next item please. Mr. Nakamura: Last committee report is Committee Report No. CR-COW 2010-01 from the Committee of the Whole. A report (No. CR-COW 2010-01) submitted by the Committee of the Whole, recommending that the following be received for the record: "Bill No. 2346 - A BILL FOR AN ORDINANCE AMENDING CHAPTER 3, ARTICLE 1 KAUAI COUNTY CODE 1987, AS AMENDED RELATING TO THE CODE OF ETHICS," Mr. Kaneshiro moved for approval of the report, seconded by Mr. Furfaro, and unanimously carried. (See later for Bill No. 2346.) Chair Asing: Next item please. 1VIr. Nakamura: Next matters for approval are Resolutions. First resolution is Resolution No. 2010-35. RESOLUTIONS: Resolution No. 2010-35, RESOLUTION REQUESTING THE MAYOR TO CONSIDER INCLUDING THE COUNCIL OF THE COUNTY OF KAUAI IN THE IMPLEMENTATION OF THE KAUAI ENERGY SUSTAINABILITY PLAN: Mr. Bynum moved to adopt Resolution No. 2010-35, seconded by Mr. Kaneshiro. Chair Asing: Any discussion? Mr. Furfaro: Yes, thank you, Mr. Chair. Again I think this is the next step that actually moves the term plan into some real strategic thinking where we can look forward to those organizations that perceived... are perceived as stakeholders and be able to, you know, really refine anything that could in fact lead to an ordinance that we would like to implement. A perfect example that is the presentation made by Mr. Carl Imparato and I would certainly like to recruit him to get on one of the ad hoc committees. But it also, and before you vote on this, does require certain committee chairs to make commitments on certain pieces to be involved, so. Thank you, Mr. Chair. Chair Asing: Thank you. Any further discussion? Councilmember Bynum. COUNCIL MEETING • - 35 - • June 23, 2010 Mr. Bynum: Yeah, I'd like to take this opportunity to thank Councilmember Furfaro for his leadership on these energy issues, also Councilmember Yukimura when she was here last term. I also appreciate the question the Chair asked earlier of economic development about, you know, who takes the lead and who formulates the team. That was an excellent question and I appreciated Mr. Costa's response saying that as far as he's concerned this has been in his camp and he's responsible. So, I appreciate that commitment from the administration and I think combined with this resolution, assuming it passes now, you know we have the commitment of the council to be a part of that collaborative team too, so thank you. Chair Asing: Any further discussion? If not, roll call please. The motion to adopt Resolution No. 2010-35 was then put, and carried by the following vote: FOR ADOPTION: Bynum, Chang, Furfaro, Kaneshiro, Kawahara, Asing TOTAL - 6, AGAINST ADOPTION: None TOTAL - 0, EXCUSED & NOT VOTING: Kawakami TOTAL - 1. Chair Asing: Next item please. Mr. Nakamura: Next resolution for approval is Resolution No. 2010-36. Resolution No. 2010-36, RESOLUTION ESTABLISHING A SCHOOL ZONE 15 MPH SPEED LIMIT FOR KRESS STREET, HALENANI STREET AND PORTION OF KALENA STREET IN THE LIHU'E DISTRICT, COUNTY OF KAUAI: Mr. Furfaro moved to adopt Resolution No. 2010-36, seconded by Mr. Chang, and carried by the following vote. FOR ADOPTION: Bynum, Chang, Furfaro, Kaneshiro, Kawahara, Asing TOTAL - 6, AGAINST ADOPTION: None TOTAL - 0, EXCUSED & NOT VOTING: Kawakami TOTAL - 1. Chair Asing: Next item please. Mr. Nakamura: Next resolution for approval is Resolution No. 2010-37. Resolution No. 2010-37, RESOLUTION ESTABLISHING NO-PARKING AT ANY TIME ALONG A PORTION OF PAPALINA ROAD, KOLOA DISTRICT, COUNTY OF KAUAI: Mr. Chang moved to adopt Resolution No. 2010-37, seconded by Mr. Furfaro. Chair Asing: Any discussion? Yes, Councilmember Kawahara? Ms. Kawahara: Thank you, Council Chair. I still am in discussion with Mr. Kudo at the engineering office. I don't have problems approving the resolution, but I will be sending over a communication regarding the full...whether or not the whole road there needs to be no parking. This... along this road part are several commercial establishments along with the opposite side, so I just wanted to confirm with them if the whole road needs to be no parking or if for safety reasons COUNCIL MEETING - 36 - • June 23, 2010 we can make just portions of it no parking so that there's a line of sight because I know there's line of sight issues. So I'll be sending over a communication about those and...but no problem approving it, just maybe there might be some changes that might be made later. Chair Asing: Okay. Ms. Kawahara: Thank you. Chair Asing: Any further discussion? Mr. Furfaro: Yes. Chair Asing: Yes. Mr. Furfaro: This resolution is in particular and I understand your question and your rationale, but this is for a portion of the road right now to approve. But if you pursue further dialogue with the engineering department, I will certainly entertain expanding it. Thank you. Chair Asing: Okay, thank you. Any further discussion? If not, roll call please. The motion to adopt Resolution No. 2010-37 was then put, and carried by the following vote: FOR ADOPTION: Bynum, Chang, Furfaro, Kaneshiro, Kawahara, Asing TOTAL - 6, AGAINST ADOPTION: None TOTAL - 0, EXCUSED & NOT VOTING: Kawakami TOTAL - 1. Chair Asing: Next item please. Mr. Nakamura: Next matters are Bills for Second Reading. First bill for second reading is Bill No. 2318, Draft 3. BILLS FOR SECOND READING: Bill No. 2318, Draft 3 - A BILL FOR AN ORDINANCE TO AMEND CHAPTER 8, KAUAI COUNTY CODE 1987, RELATING TO THE COMPREHENSIVE ZONING ORDINANCE (Farm Worker Housing) Mr. Furfaro: Mr. Chair, with Mr. Kawakami's absence and he is traveling on council business, I would like to ask for a deferral for two weeks. Chair Asing: Thank you. Can I have a second please? Mr. Chang: Second it. Chair Asing: All those...I'm sorry, all those in favor, say aye. Mr. Furfaro moved to defer Bill No. 2318, Draft 3, seconded by Mr. Chang, and unanimously carried. Chair Asing: Next item please. / COUNCIL MEETING ~ - 37 - June 23, 2010 Mr. Nakamura: Next bill for second reading is Bill No. 2346. Bill No. 2346 - A BILL FOR AN ORDINANCE AMENDING CHAPTER 3, ARTICLE 1 KAUAI COUNTY CODE 1987, AS AMENDED RELATING TO THE CODE OF ETHICS: Mr. Kaneshiro moved to receive Bill No. 2346 for the record, seconded by Mr. Furfaro, and unanimously carried. Chair Asing: Can I have the County Attorney up, please. There being no objection, the rules were suspended. ALRED B. CASTILLO, JR., County Attorney: Council Chair, good morning, members of the Council, Al Castillo, County Attorney. Chair Asing: Good morning. Mr. Castillo: Good morning. Do you want me to read all of the... Chair Asing: Yeah, I think we need to take care of all of it. Mr. Castillo: Okay, thank you, and I'll start with Executive Session ES-448. EXECUTIVE SESSION: ES-448 Pursuant to Haw. Rev. Stat. §§92-4 and 92-5(a)(4) and (8); and Kauai County Charter §3.07(E), the purpose of this executive session is to consult with the Council's legal counsel to receive legal updates, overviews, and recommendations for purposes of obtaining Council approval of proposed settlement of a workers' compensation claim, and evaluate employees' ability to return to work. This deliberation and/or decision making involves matters that require the consideration of information that must be kept confidential as, inter alia, it concerns significant privacy interests. The significant privacy interests relate to a medical history, diagnosis, condition, treatment, or evaluation and which, pursuant to state or federal law, ;including Health Insurance Portability and Accountability Act, are protected from disclosure. ES-449 Pursuant to Haw. Rev. Stat. §§92-4 and 92-5(a)(4) and (8); and Kauai County Charter §3.07(E), the purpose of this executive session is to consult with the Council's legal counsel to receive legal updates, overviews, and recommendations for purposes of obtaining Council approval of proposed settlement of a workers' compensation claim, and evaluate employees' ability to return to work. This deliberation and/or decision making involves matters that require the consideration of information that must be kept confidential as, inter alia, it concerns significant privacy interests. The significant privacy interests relate to a medical history, diagnosis, condition, treatment, or evaluation and which, pursuant to state or federal law, including Health Insurance Portability and Accountability Act, are protected from disclosure. ES-450 Pursuant to Haw. Rev. Stat. sections 92-4, 92-5(a)(2), (4) and (8), and Kauai County Charter §3.07(E), the purposes of this executive session are to consider the evaluation of officers and/or employees where consideration of matters affecting privacy will be involved and associated matters relevant to the activities of the personnel gratis consultant. This briefing and consultation involves consideration of the powers, duties, privileges, immunities and/or liabilities of the Council and the County as they relate to this agenda item. COUNCIL MEETING - 38 - ~ June 23, 2010 ES-451 Pursuant to Haw. Rev. Stat. sections 92-4, 92-5(a)(4) and (8), and Kauai County Charter section 3.07(E), the Office of the County Attorney requests an executive session with the Council to provide a briefing regarding legal issues related to the implementation of Kauai County Charter Section 3.19. This briefing and consultation involves the consideration of the powers, duties, privileges, immunities and /or liabilities of the Council and the County as they relate to this agenda item. Chair Asing: Thank you. With that, I'd like to call the meeting back to order and have a motion to move into executive session. The meeting was called back to order, and proceeded as follows: Mr. Furfaro: So moved. Mr. Bynum: Second. Chair Asing: Any discussion? All those in favor, say aye. Mr. Furfaro made a motion to move into executive session, seconded by Mr. Bynum, and unanimously carried. Chair Asing: We'll move into executive session and we will return at 1:30 p.m. for the public hearing. The meeting was recessed at 11:55 a.m. to move into executive session. ADJOURNMENT. The meeting was called back to order, and there being no further business, the meeting was adjourned at 6:17 p.m. Respectfully submitted, PETER A. NAKAMURA County Clerk /wa