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HomeMy WebLinkAbout11/16/2016 Council minutes COUNCIL MEETING NOVEMBER 16, 2016 The Council Meeting of the Council of the County of Kaua`i was called to order by Council Chair Mel Rapozo at the Council Chambers, 4396 Rice Street, Suite 201, Lihu`e, Kaua`i, on Wednesday, November 16, 2016 at 8:31 a.m., after which the following Members answered the call of the roll: Honorable Mason K. Chock (excused 12:34 p.m.) Honorable Gary L. Hooser (present at 8:41 a.m.) Honorable Ross Kagawa Honorable Arryl Kaneshiro Honorable KipuKai Kuali`i Honorable JoAnn A. Yukimura Honorable Mel Rapozo APPROVAL OF AGENDA. Councilmember Kuali`i moved for approval of the agenda as circulated, seconded by Councilmember Kaneshiro, and carried by a vote of 6:0:1 (Councilmember Hooser was noted as excused). JADE K. FOUNTAIN-TANIGAWA, County Clerk: Chair, the next item are interviews. This is for the Police Commission, Roy Morita, for a term ending December 31, 2019. Council Chair Rapozo: Mr. Morita, welcome back. INTERVIEWS: POLICE COMMISSION: • Roy M. Morita —Term ending 12/31/2019 ROY M. MORITA: Good morning Chair, Vice Chair, and Members of the Council. Council Chair Rapozo: Good morning. You are being nominated for a term on the Police Commission. At this point, you can give an overview about yourself, and then we can open up the floor for questions. COUNCIL MEETING 2 NOVEMBER 16, 2016 Mr. Morita: Chair, if you remember, six (6) years ago, when I was asked to be on the Civil Service Commission, I asked you to write a letter of recommendation, and I will say this in a nice way, but you said, "Yes, I will be good and I will learn how the government operates." I appreciate that and I have learned a lot in the six (6) years, so I am looking forward to another six (6) with the Police Commission. Council Chair Rapozo: Everyone has their application in their packet. Are there any questions for Mr. Morita? Councilmember Yukimura. Councilmember Yukimura: Good morning. Mr. Morita: Good morning. Councilmember Yukimura: Thank you for your service on the Civil Service Commission because you did some very important things in the past six (6) years. I appreciate that because it took a lot of work. Mr. Morita: It did. Councilmember Yukimura: So this time around, you are being appointed to the Police Commission and you have indicated your understanding of the Police Commission's work. You did not mention that part of it is to appoint or dismiss the Chief of Police, and I just wanted to make sure that you were aware of that responsibility. Mr. Morita: I am. I think there are six (6) commissions that have the appointing authority. I know that the Police Commission, Fire Commission, Civil Service Commission, Planning Commission, and the Board of Water Supply have that authority. Council Chair Rapozo: Also Liquor Control Commission. Mr. Morita: Yes. Councilmember Yukimura: So you are familiar with the process of evaluating performance on an annual basis, I presume, because that is what I presume the Civil Service Commission did. Mr. Morita: The first year that I was on, for some reason we did not do it. I think it was because they had the wage freeze. Every year after that, we would do it in either October or November. COUNCIL MEETING 3 NOVEMBER 16, 2016 Councilmember Yukimura: Okay. You understand the importance of that responsibility, right? Mr. Morita: Absolutely. In fact, the Civil Service Commission, about three (3) years ago, decided to change the evaluation and make it a little bit more detailed and specific. It took us two and a half (2.5) years to change that evaluation. Councilmember Yukimura: So you were intimately involved with the evaluation process? Mr. Morita: Yes. Councilmember Yukimura: Okay. Now you will be applying it in another context with the Kaua`i Police Department (KPD). Mr. Morita: Yes. Councilmember Yukimura: Okay. Coming in, do you have any priorities or key issues that you see coming up for the Police Commission that you think need to be addressed? Mr. Morita: I am not sure if it is an upcoming issue, but on a daily basis pretty much, you see in the news about officers getting shot and things like that. So for me, one of the important matters would be the safety of the police officers while on-duty and off-duty. Councilmember Yukimura: That is excellent. I think that is a concern of everyone. Luckily, we do not have those issues as frequently, perhaps, as some places on the mainland. Mr. Morita: Right. Councilmember Yukimura: But is still a concern, nonetheless. Mr. Morita: I am hoping that it stays away from this island. Councilmember Yukimura: The Police Commission serves as a lay body between a paramilitary organization and the community, so there is a lot of community interest that the Police Commission holds. Do you have any concerns in that arena? COUNCIL MEETING 4 NOVEMBER 16, 2016 Mr. Morita: It is another issue that we went over when I was on the Civil Service Commission, especially with the media. To be honest, I would be more comfortable if there was an issue that they contact the Chair of the Police Commission to get information and/or the Public Information Officer (PIO). I think it states that we can make statements, as long as it does not involve names and things like that. I am not comfortable, not that I do not like the media or anything like that, but they have a tendency to misinterpret what you are trying to say. Councilmember Yukimura: So your concern is with the protocol of the media and how it interfaces or interviews commissioners versus the chair of the commission or the PIO? Mr. Morita: Yes. Councilmember Yukimura: Okay. Thank you very much. Mr. Morita: Thank you. Council Chair Rapozo: Any other questions for Roy? I just have one and it is kind of a follow-up. Are you familiar with the past history between the Police Commission, the Mayor, and the Chief of Police? I am not sure if you were informed or made aware of the recent Supreme Court decision regarding that lawsuit that was filed. Are you aware of that or were you made aware of that? Mr. Morita: No. Council Chair Rapozo: Yes, because no one made anyone aware. The press did not cover it and the County did not come out with a press release. I did ask the Police Commission to issue a press release because I think it is very important, but the Supreme Court made a ruling that basically rejected the appeal of the Mayor that the Mayor felt that he had the control of hiring, firing, and disciplining the Chief. That case had statewide ramifications. All of the four (4) counties were waiting for that decision to be made and it was made a couple of weeks ago. I left for one (1) week, came back, and still there was no press release. I was just curious if you were made aware that, in fact, as of this date—and it is the final decision of the Supreme Court—that the responsibility to discipline the Chief lies solely with the Police Commission. So you were not made aware of that? Mr. Morita: I did not expect to be aware until I am confirmed here, and then possibly get involved. Moving forward, we have to abide by whatever the decision was made by the Supreme Court. Whether I like it or not, at this point, it is all moot. COUNCIL MEETING 5 NOVEMBER 16, 2016 Council Chair Rapozo: I guess I am trying to use this medium or this venue to make the people aware because that, to me...if it had gone the other way, it would have made the press release the very next day; one would have been issued the very next day. I know there is no reporter here and they probably will not print it anyway because I know they were made aware. It is a very critical component of a system as it relates to the oversight of the Police Department. I guess I just wanted to bring that up. As far as the safety of the police officers, I am glad to hear that because that is really my priority. Everyone thinks that it will never happen here or may not happen here, but if you follow the police involved shootings or police killings throughout the country, there is no shortage of small municipalities like ours that has one of their officers killed and it just turns the whole community upside down. Just because we are small does not mean that it cannot happen here. Mr. Morita: Right. Council Chair Rapozo: I am glad to hear that you have that as a priority. I appreciate your willingness to serve. Thank you. Mr. Morita: Thank you. Council Chair Rapozo: Okay. You are excused. Thanks again, Roy. Mr. Morita: Okay. Thank you. Council Chair Rapozo: May we have the next interviewee, please? Ms. Fountain-Tanigawa: The next interviewee is Mia Shiraishi for the Board of Ethics, term ending December 31, 2018. BOARD OF ETHICS: • Mia R. Shiraishi — Term ending 12/31/2018 Council Chair Rapozo: Good morning. MIA SHIRAISHI: Good morning. Council Chair Rapozo: I think this is your first time here. Ms. Shiraishi: This is. Council Chair Rapozo: Okay, good. Welcome. COUNCIL MEETING 6 NOVEMBER 16, 2016 Ms. Shiraishi: Thank you for having me. Council Chair Rapozo: You are being nominated as a board member for the Board of Ethics, and as we do with all the nominees, we ask that you give us an overview and reasons why you want to serve, and then we will have discussion and questions for you afterwards. Ms. Shiraishi: Okay. Thank you very much. Mia Shiraishi, for the record. I was born and raised on Kaua`i in Lihu`e. I went to high school at Punahou and following that, I did my undergrad at the University of Pennsylvania. Once I graduated, I went to law school at the University of Washington. Upon graduating, I spent an additional two (2) years in Seattle, working as an attorney, doing worker's compensation law. Finally, I got to move back home a little over one (1) year ago, and I am here to stay. I am very happy to be working as an attorney in Lihu`e. I really do feel that a position on the Board of Ethics is somewhere that I could be useful to the community. With my legal background and training, I feel that a position on the Board of Ethics fits squarely within my background, knowledge, and skillset. Since I am back and here to stay, I am really looking forward to becoming more involved in the community and helping out in whatever way that I can and be useful to you. (Councilmember Hooser was noted as present.) Council Chair Rapozo: Wow. Thank you. Any questions for Mia? Councilmember Chock. Councilmember Chock: Thank you so much for considering serving the community. I appreciate it. Welcome home. Ms. Shiraishi: Thank you. Councilmember Chock: One of the things that occur with the Board of Ethics is that we often get into situations where we have to address in ethics, concern right in the middle of an important issue or a decision that needs to be made. I was wondering if you had any ideas or thoughts about how we might be able to be a little more proactive at that board to kind of vet what potential conflicts might occur prior to. For us, even as elected officials, we do not sign a disclosure form until we are elected to kind of vet out what those potential issues might be. I would like to be able to see how some of those issues can come to light before they get politicized, because I think often times when we get to that point, it gets much more difficult to act on things. If you have any ideas, I would love to hear them. If not, not a problem, but if you see your role specifically on the Board of Ethics and what you might bring to it in light of these concerns. COUNCIL MEETING 7 NOVEMBER 16, 2016 Ms. Shiraishi: I think it is very important to have open communication on the board and to have a very good and free flow of communication between the members so that there are no surprises or whatnot, down the road. One of the things that I think is important to consider and look at as a member of the board is to look at precedence and how that plays into decisions going forward. Councilmember Chock: Thank you. Council Chair Rapozo: Councilmember Yukimura. Councilmember Yukimura: Good morning, Mia. Ms. Shiraishi: Good morning. Councilmember Yukimura: It delights me no end to see a young person willing to be part of the governance of the County and to see that you have come home. I am really thankful that you are willing to serve. Similar to Councilmember Chock, in working with ethics issues as a Councilmember, being a subject of complaints, as well as bringing complaints before the Board of Ethics, I have wondered about our process because often times we are not sure whether there is a violation of ethics, someone from the public or even the Councilmember. Yet, the only way to request a ruling is to file a complaint, which presumes that there is a violation. I guess my question or my request is that when you get on the board that you might look at that process and see if there is also...maybe it is something like requesting a declaratory judgment, but that revolves an actual conflict...some process maybe and maybe exploring other processes elsewhere in the State, as well as the country, where you could make an inquiry without presuming a complaint or a violation. With your legal background, I think it would be very helpful to take a look at that. Ms. Shiraishi: Yes, I agree that, that would be a very valuable thing to look into. I know there is not supposed to be any sort of stigma associated with filing a new complaint until a decision is made, one way or the other, but I do feel like you have valid concerns and that is something that definitely feel is important. Councilmember Yukimura: Thank you. Your mentioning of precedence is interesting because a question that I asked Judge Fernandez, who was before us recently as an appointee for the position, was how we could get the board to follow precedence or be more sensitive about that, because there does not seem to be a formal process with the commission to consider precedence. Ms. Shiraishi: I see. COUNCIL MEETING 8 NOVEMBER 16, 2016 Councilmember Yukimura: Again, someone with your legal background might help look at that process and see whether there are ways we could make it better. Ms. Shiraishi: Sure. Councilmember Yukimura: I am excited that you will be joining the Board of Ethics. Ms. Shiraishi: Thank you. Councilmember Yukimura: I think you will bring a lot of valuable insights. Thank you. Ms. Shiraishi: Thank you very much. Council Chair Rapozo: Councilmember Kagawa. Councilmember Kagawa: Thank you, Chair. As Councilmember Yukimura was asking her question and stating that the only venue to file a complaint was to actually file a complaint with the Board of Ethics and I saw our County Attorney shaking his head, so I just wanted to make sure that we had clarity as to the true process, because I would not want the public to hear Ms. Shiraishi going through the interview and the Council here stating an untrue statement and the public not being clear as to what the actual way is that we can clarify ethics problems. I do not know if you wanted Mauna Kea to quickly sum up some of the misstatements that were made. Council Chair Rapozo: I do not think today is appropriate for that. Mia, I apologize that you were caught in the crossfire, but as I understand it, there is a two (2) track process at the Board of Ethics. One is a formal complaint, which the person that you are complaining against has certain rights, and then the second option is you can request a ruling on an ethics issue on whether or not it is a conflict. That is the second part. You do not have to file an official complaint with that. Like Mr. Morita, he was not aware of certain things, not even appointed yet. So I just wanted to put that on the record right now. Although, I do agree that, like in the Office of Information Practices (OIP), if we have an OIP Sunshine Law issue or a transparency issue, we can actually call OIP and speak to an attorney of the day and they can give us a verbal opinion. I understand that the Board of Ethics is not a full-time position, so it is kind of hard to expect the commission to provide that service, but I think what we are looking for is somehow when we get into an issue and we need an ethics ruling, that there is someone that we can call. The County Attorney by Charter is not the arbiter of the ethics law; it is the Board of COUNCIL MEETING 9 NOVEMBER 16, 2016 Ethics. That is something that warrants some discussion and that is where we will be able to have the discussion. Councilmember Kagawa. Councilmember Kagawa: On that note, I just want to thank Mia for applying. I cannot think of somebody more credible to serve on this position. Thank you, Mia. I just want to let you know that there were two (2) decisions that I had interest in with the Board of Ethics, and basically, they are 0 for 2. I was not satisfied with their rulings on both and I hope that you will add a breath of fresh air to that board. Thank you. Council Chair Rapozo: Any other questions? Thank you, Mia. I appreciate your willingness to serve. Welcome back home. It is so nice to see you folks come back home. My son is still in Oregon and I wish he would come back home, but he is not. Ms. Shiraishi: You never know. Council Chair Rapozo: Your dad is in the audience. Sherman Shiraishi is a well-known, respected attorney here. He must be a proud dad. One thing I just was thinking is now you can retire and you do not have to change the sign on your office. She can walk right in. Thank you, Mia. Ms. Shiraishi: Thank you for having me. Council Chair Rapozo: Next candidate, please. Ms. Fountain-Tanigawa: The next candidate is Donna Apisa for the Planning Commission, term ending December 31, 2018. PLANNING COMMISSION: • Donna Apisa —Term ending 12/31/2018 Council Chair Rapozo: Good morning, Donna. Welcome to the Council Chambers. DONNA APISA: Good morning. Council Chair Rapozo: Have you ever served on a commission? Ms. Apisa: I served on a real estate commission at the State, but not at the County level. COUNCIL MEETING 10 NOVEMBER 16, 2016 Council Chair Rapozo: Okay. It is always nice to see a new face here. Ms. Apisa: Thank you. Council Chair Rapozo: The process is very simple. Can you open up with an overview of yourself and why you want to serve? We will open it up for questions afterwards. Ms. Apisa: Okay. For starters, I was born and raised on a small farm in Michigan. I grew up in a place similar to Kaua`i, I suppose, worked hard out in the fields and neighbors knew neighbors and helped each other. I lived on O`ahu in the `70s for ten (10) years and discovered Kaua`i in 1981 and said, "Wow, where have I been all my life?" It was a rural lifestyle, but it was always warm. This has been my home for the last thirty-five (35) years and I plan to stay here, live and die here. I have been involved in the Chamber of Commerce, Board of Realtors, and various other functions, but not on a County board. I have been asked to serve on the Planning Commission and I think I could give a very unbiased and open opinion. I care about Kauai as my home, so here I am. Council Chair Rapozo: Thank you very much, Donna. I appreciate you willing to step up and serve. Any questions? Councilmember Kuali`i. Councilmember Kuali`i: Aloha Donna. Good morning. Ms. Apisa: Aloha. Councilmember Kuali`i: It is kind of hard to believe that you have not already been on a commission because I know you have done so much in our community in many different roles. I think that this is an excellent fit for you and I think you will do great work for us on the Planning Commission. Do you have any thoughts on what might be your first big challenges or what you are looking forward to, as far as serving on the Planning Commission? Ms. Apisa: I do not have any expectations. I know from my experience or having served on other organizations, I always walk away with more than I feel like I am able to give. I am ready to learn and I am sure sometimes there are tough decisions, but I will spend the time to learn what I can and make a fair and honest decision. Councilmember Kuali`i: I just want to say mahalo nui loa for all that you have already given to our community and thank you for stepping up and being willing to serve on the Planning Commission. COUNCIL MEETING 11 NOVEMBER 16, 2016 Ms. Apisa: Thank you. Council Chair Rapozo: Any other questions? Councilmember Yukimura. Councilmember Yukimura: Good morning. Ms. Apisa: Good morning. Councilmember Yukimura: I am so delighted that you are willing to serve on the Planning Commission. Ms. Apisa: Thank you. Councilmember Yukimura: I think that the decisions it makes are among the most far-reaching of any commission, so thank you. You indicate that the main duty of the Planning Commission is to give sound advice to the Mayor, County Council, and Planning Director, and that is certainly the case in many instances and the one that is coming up—I was just at the last community meeting last night on the General Plan Update—is one area that you will be involved with soon. In that case, it is a matter of giving advice because the recommendations of the Planning Commission are not final and they will come up to the Council and the Mayor for final action. There are some actions that are final at the Planning Commission level and I was wondering whether you were aware of that. Ms. Apisa: As far as like use permits and things like that? Councilmember Yukimura: Yes. They are pretty much the final decisions, except for court appeal, but that is kind of extraordinary. So you are familiar with use permits, Class IV permits, and those kinds of permits? Ms. Apisa: Yes. Councilmember Yukimura: You will get more familiar, but they are final decisions of the Planning Commission or in the system, more like. Okay. Do you have any particular issues that you feel should be addressed in the planning system? Ms. Apisa: Well, with a realtor background, the one thing I hear about are the time it takes for building permits to get processed, but that is about the only thing that comes to mind. COUNCIL MEETING 12 NOVEMBER 16, 2016 Councilmember Yukimura: Well, that is something that I think a lot of people, especially those involved in the development and building process, have concerns about. I think your work in the Planning Commission will address part of it. Part of it is not really under the Planning Department, but you will be able to take a look at some parts of it, I think. Okay. Thank you. Ms. Apisa: Thank you. Council Chair Rapozo: Any other questions for Donna? Councilmember Kagawa. Councilmember Kagawa: Thank you for being willing to serve. Ms. Apisa: Sure. Councilmember Kagawa: There have been some bills discussed recently to perhaps allow multi-family dwellings or Additional Dwelling Units (ADUs), residential units, or rental units on lots a lot smaller than the norm, which is ten thousand (10,000), possibly bringing it down to as small as four thousand (4,000) square feet or so. I see that your residence is in Princeville. Ms. Apisa: Actually, I live in Kilauea. My main office is in Princeville, but I live in Kilauea. Councilmember Kagawa: I guess some of the concerns brought up were that perhaps the north shore area would be opening up the door for Transient Vacation Rentals (TVRs) and bed and breakfasts (B&Bs) to expand when we actually want them to reduce. So with these types of bills, perhaps leaving out Kilauea to north shore and not allowing those there—do you think that is an option that we should seriously look at? Ms. Apisa: Maybe I understand and maybe to paraphrase or repeat it back, you are asking if it would be wise to allow additional dwelling units for... Councilmember Kagawa: The entire island, except those areas that the Council sees that could be in danger of being taking advantage of. Ms. Apisa: As everyone knows, there is a dire need for residential housing and I do not see how allowing additional...I guess if you allow additional dwelling units, I do not see how they would become a vacation rental because you have a pretty good bill in place right now that you have to have been doing that and registered prior to 2008. I think that is a pretty good bill in place and there is some natural attrition, too, because some people buy it and convert it to COUNCIL MEETING 13 NOVEMBER 16, 2016 residents. I do not really see TVRs as growing, especially outside of a Vacation Destination Area (VDA). Councilmember Kagawa: Okay. Thank you. Council Chair Rapozo: Thank you. Any other questions? If not, thank you very much, Donna. I will say, kind of like what Councilmember Kuali`i said, that you have been everywhere in the community. It is like every time we are at a community event, you are there. I appreciate your contributions to the community and I am looking forward to see you serve on the Planning Commission. Ms. Apisa: Thank you very much. I look forward to hearing from you all. Thank you. Good job to you folks. I know it is not easy. Council Chair Rapozo: Thank you. Next, please. Ms. Fountain-Tanigawa: The next candidate is for the Board of Water Supply, Thomas Canute, for a term ending December 31, 2019. BOARD OF WATER SUPPLY: • Thomas J. Canute —Term ending 12/31/2019 Council Chair Rapozo: Mr. Canute. THOMAS J. CANUTE: Good morning. Council Chair Rapozo: Good morning. Welcome. We have another first timer here to serve on a County commission. Correct? Mr. Canute: That is correct. Council Chair Rapozo: Welcome. Thank you for your willingness to serve. If you could just start off with an overview about yourself and your reasons for wanting to serve. We will open it up for questions afterwards. You are being nominated for the Board of Water Supply. Mr. Canute: That is correct. My name is Thomas Canute. I have worked for First Hawaiian Bank for thirty-five (35) years. I am currently the Vice President and Branch Manager for the Lihu`e office. I am married and I have three (3) children, who are all grown, and I live in Hanapepe. Council Chair Rapozo: Okay. Thank you very much. Any questions for Mr. Canute? Councilmember Yukimura. COUNCIL MEETING 14 NOVEMBER 16, 2016 Councilmember Yukimura: Hi Tom. Good morning. Mr. Canute: Good morning. Councilmember Yukimura: What is your understanding of the Board of Water Supply's duties? Mr. Canute: My understanding is that they look at policy and for the Board of Water Supply in terms of the financial aspects of raising money, making sure that they are fiscally responsible to the community for future development, water needs, and water use. Councilmember Yukimura: That is true. They also are responsible for appointing and/or dismissing the head engineer or the water director. Were you not aware of that? Mr. Canute: No, I was not aware of that. Councilmember Yukimura: That is really important because it is the person who runs the department. So you will be involved in executive evaluation of performance and direction to a certain extent. Although, there is a line in the Charter between...the board is supposed to mainly set policy and not cross the line into management...wait...excuse me...the Board of Water Supply is a manager, too. They do have management functions. They are the only commission that has management functions. You will, I think, look at or give direction to the manager. So that is a really big responsibility, too. Do you have any particular aspects of the Board of Water Supply functioning that you are interested in or concerned about? Mr. Canute: I currently sit on the Kaua`i Habitat for Humanity Board, so I know that there is currently something in front of the Board of Water Supply right now regarding providing a lower Facilities Reserve Charge (FRC) for affordable housing. Obviously, Kaua`i Habitat is very interested in that and if that ended up going into my term on the Board of Water Supply, I would obviously have to declare my conflict of interest to that situation. Again, being a nonprofit, it is not entirely a conflict, but it probably would be appropriate if I did not vote on such a measure. Councilmember Yukimura: It is something that you should consult with the attorneys and maybe the Board of Ethics on. Mr. Canute: Right. COUNCIL MEETING 15 NOVEMBER 16, 2016 Councilmember Yukimura: At the same time, I think if it is a Habitat for Humanity application before the board, there would definitely be a conflict of interest. If it is a generalized issue regarding affordable housing, I do not know if there would be a conflict of interest. The other way of looking at it is that you would bring valuable insight from an affordable housing perspective. The other side of the equation is who then pays for the charges that are subsidized or that subsidy portion, and how will the County have a viable budget into the future? Those are the issues. Okay. Thank you. Mr. Canute: Okay. Council Chair Rapozo: Councilmember Kagawa. Councilmember Kagawa: Thank you, Tom, for being willing to serve. I think the change of the FRC from like four thousand six hundred dollars ($4,600) to fourteen thousand dollars ($14,000) was one of the worst decisions I have seen on a board of all time, to go in one (1) year with a ten thousand dollar ($10,000) increase. I hear that the affordable housing proposal, but to me, all local housing, housing for your families and kids, should be included as well for local residents. I do not know why only the affordable rental is going to have a break. It just does not make sense to me. Anyway, I was just wondering what your take on that is. I can see the rationale, "We do not want to charge the existing ratepayers the cost of new homes coming on board," but in any normal business practice or government practice of raising fees, you go gradually. You go one thousand dollars ($1,000) a year until you hit where you want to be. To just jump ten thousand dollars ($10,000)—what is your feeling on that? Mr. Canute: Being that I have not been on the board, I do not really understand all of the fiscal issues or complexities of why the Board of Water Supply decided that, that was an appropriate decision at that time. What I can say is that I am very passionate about affordable housing and I think there is a real lack of affordable housing on the island. To increase the cost to the FRC charge for those building affordable housing is only going to discourage them from doing so. It is only going to increase the cost because the margins of building affordable housing is already smaller than it would be to build more expensive housing. If you increase the cost of the FRC charge, it is only going to further discourage developers. In the case of the County and Kaua`i Habitat, I do not understand why the County would still have to pay the FRC charge when they are building affordable housing, because you are really paying yourself, essentially. Councilmember Yukimura: No. Mr. Canute: You are not? Okay, so if it is a separate entity, you are still paying it, but the County is still going to build affordable COUNCIL MEETING 16 NOVEMBER 16, 2016 housing. For the Kaua`i Habitat, that is certainly going to cause us to have to come up with...if you are building one hundred (100) homes, that is a lot of money for an additional ten thousand dollars ($10,000) here. As far as whether or not everybody should pay or not pay the additional charge, there are some people that certainly can afford to pay it, people that are well-heeled that have a lot of money that are coming here. I really do not think that we should be assessing those that are willing to develop affordable housing. Councilmember Kagawa: Tom, to clarify, my point is not to increase...we have a housing shortage. Mr. Canute: Correct. Councilmember Kagawa: So I am talking about increasing all housing opportunities. To go with gradual step increases overtime, would that not make a lot more sense if we have a housing crunch? I think we are short five thousand (5,000) homes right now, as we speak, on Kaua`i. That ten thousand dollar ($10,000) jump in one (1) year does the opposite, right? Mr. Canute: The fact that housing prices have spiked so significantly in such a short period of time would seem to indicate that certainly the demand is outpacing the supply right now. Councilmember Kagawa: Thank you, Tom. I appreciate your response. Council Chair Rapozo: Any other questions for Tom? I guess the way I compare it is, imagine if at the bank your board of directors came back and said, "We are going to raise the interest rates on loans from four percent (4%) to fourteen percent (14%)." Out of your hands... Mr. Canute: Correct. Council Chair Rapozo: Just like it is out of our hands on the County Council because we do not control anything that the Department of Water does. It is frustrating and I think you sense that. It is fourteen thousand dollars ($14,000), plus all of the other fees and costs to build a new home today takes an affordable unit out of affordability and we are hoping that the Department of Water can take a look at that and at least see that part of it because you are just not going to be able to get these homes affordable. Councilmember Yukimura. Councilmember Yukimura: The money you say that the County saves from the FRC is going to the same entity, but actually, the money saved is for the Housing Agency's budget on housing. The money that is being taken away does not COUNCIL MEETING 17 NOVEMBER 16, 2016 go back to the County Department of Water for development of water infrastructure. Mr. Canute: Well, it ends up in the County Department of Water's trust funds for future development and infrastructure for the Department of Water. Correct? Councilmember Yukimura: What? Mr. Canute: So the extra money they are raising will end up in trust funds that are available for the Department of Water to develop additional infrastructure and repairs down the road. Councilmember Yukimura: No, it will save the project developer money for the affordable housing. Mr. Canute: No, but what I am saying though is if the Department of Water, the extra money they are getting is at the expense of the County, but at the benefit of the Department of Water to have money in their trust funds available to develop future projects. Councilmember Yukimura: No, it is to pay for the costs, all of the infrastructure, the tanks, and water source that are going to feed the housing project that was approved. Mr. Canute: Correct. Councilmember Yukimura: So it is a deficit. Mr. Canute: To the County? Councilmember Yukimura: To the County Department of Water and its efforts to have a sustainable water system. Council Chair Rapozo: A lot of challenges. Mr. Canute: I obviously have a lot to learn. Council Chair Rapozo: You will do fine, Tom. Councilmember Yukimura: Yes. Thank you. COUNCIL MEETING 18 NOVEMBER 16, 2016 Council Chair Rapozo: Anymore questions? If not, thank you very much, Tom. I appreciate your willingness to serve and looking forward to it. Thank you. Mr. Canute: Thank you. Council Chair Rapozo: Okay. Can we go to the Consent Calendar real quick? Wait, Mr. Furfaro wants to say something. JAY FURFARO, Boards and Commissions Administrator: Good morning, Chair and Councilmembers. I do want to say that if there are any particular questions on the operation as it comes to orientation and so forth, my office is really prepared to respond to any of your questions on the operational procedure. For example, with Councilmember Chock's question about identifying potential conflicts and challenges, I just want to remind you all that in Executive Session for the Board of Ethics, they actually review the disclosures. So if there is something that goes off with a red flag, there is an opportunity and the County Attorney's Office fully staffs these commissions to guide them, as well as should we have candidates successful for Planning and so forth, they do get a final orientation before they are sworn in by the Planning Director. I just want to point out, Chair, that there are some operational issues that are in place and if you have any questions, I will be happy to answer them in writing. Thank you for the time this morning. Council Chair Rapozo: Thank you for making that clarification. I appreciate that. CONSENT CALENDAR: C 2016-240 Communications (09/29/2016 & 10/26/2016) from Michael P. Victorino, Hawai`i State Association of Counties (HSAC) President, transmitting for the Kauai County Council's consideration, the following proposals to be included in the 2017 HSAC Legislative Package, which were approved by the HSAC Executive Committee on August 23, 2016, September 26, 2016, and October 24, 2016: 2017 HSAC LEGISLATIVE PACKAGE PROPOSALS: 1. A Bill For An Act Relating To Tort Liability (County of Kaua`i) 2. A Bill For An Act Relating To Unadjudicated Traffic Fines (County of Kaua`i) 3. A Bill For An Act Making An Appropriation For Emergency Medical Services (County of Kauai) 4. A Bill For An Act Relating To Unmanned Aerial Vehicles (City & County of Honolulu) COUNCIL MEETING 19 NOVEMBER 16, 2016 5. A Bill For An Act Relating To Noise Control (City & County of Honolulu) 6. A Bill For An Act Relating To Community Meetings (County of Maui) 7. A Bill For An Act Relating To Identification Cards For Persons With Disabilities (County of Maui) 8. A Bill For An Act Relating To Transient Accommodations Tax (County of Maui) 9. A Bill For An Act Relating To The Conveyance Tax (County of Maui) 10.A Bill For An Act Relating To Government Records (County of Maui) 11.A Bill For An Act Relating To Important Agricultural Lands (County of Maui) 12.A Bill For An Act Relating To Land Use (County of Maui) 13.A Bill For An Act Relating To Collective Bargaining (County of Maui) Councilmember Kuali`i moved to receive C 2016-240 for the record, seconded by Councilmember Kagawa. Council Chair Rapozo: Any discussion or public testimony? Councilmember Yukimura. Councilmember Yukimura: That is coming up in the Resolution at the end and we can have discussion at that time, right? Council Chair Rapozo: Yes. My plan is to take each item individually and have a discussion on each item when we get to that point. Councilmember Yukimura: Okay. Thank you. Council Chair Rapozo: Any public testimony? The motion to receive C 2016-240 for the record was then put, and unanimously carried. Council Chair Rapozo: Motion carried. Let us take a recess. There being no objections, the meeting recessed at 9:13 a.m. The meeting reconvened at 9:31 a.m., and proceeded as follows: COUNCIL MEETING 20 NOVEMBER 16, 2016 Council Chair Rapozo: The meeting is called back to order. Can we have the next item, please? COMMUNICATIONS: C 2016-241 Communication (10/17/2016) from the Chief of Police, requesting Council approval to receive and expend Fiscal Year 2014 STOP Violence Against Women Formula Grant Federal funds for the Sex Assault Nurse Examiners (SANE) program, in the amount of $48,595.00, which will be used to provide stand-by pay, training, and non-reporting exams for SANE nurses; and approval to indemnify the State of Hawai`i, Department of the Attorney General for the term commencing December 1, 2016 to June 30, 2017: Councilmember Kuali`i moved to approve C 2016-241, seconded by Councilmember Yukimura. Council Chair Rapozo: Any discussion or public testimony? The motion to approve C 2016-241 was then put, and unanimously carried. Council Chair Rapozo: Next item, please. Ms. Fountain-Tanigawa: We are on page number 3, C 2016-242. C 2016-242 Communication (10/31/2016) from the Executive on Transportation, requesting Council approval of indemnification provisions contained in the Donation, Waiver of Liability, and Indemnification Agreement for Surplus Personal Property, by and between the County of Kaua`i and the University of Hawai`i, for the benefit of Kaua`i Community College, to utilize the vehicles in connection with the University's vehicle maintenance, repair, and mechanic programs at Kaua`i Community College, including allowing Kaua`i Community College to use engines and related operating and safety systems as educational instructional aides: • Donation, Waiver of Liability, and Indemnification Agreement for Surplus Personal Property Councilmember Kuali`i moved to approve C 2016-242, seconded by Councilmember Yukimura. Council Chair Rapozo: Any discussion? Councilmember Yukimura. Councilmember Yukimura: I am really pleased that this is happening. I love that the buses will be used when we can no longer use them in our bus system for training community college students in how to maintain, repair, and do the COUNCIL MEETING 21 NOVEMBER 16, 2016 mechanics of bus systems because I am anticipating that we will have a lot of buses to fix in the future. I hope that there will be buses that run on renewable energy. Council Chair Rapozo: Before we go on, Celia, can you come up real quick? I have one question. If there are no objections, I will suspend the rules. There being no objections, the rules were suspended. CELIA M. MAHIKOA, Executive on Transportation: Aloha. Celia Mahikoa, Executive on Transportation. Council Chair Rapozo: Thank you for being here. I just have one question. By any chance, are these the buses that we got from Honolulu? Ms. Mahikoa: No. These are seven (7) that were fully utilized in our fleet beyond their useful lives. Council Chair Rapozo: You did not want the Honolulu ones? Ms. Mahikoa: Those were not an option at this point. Council Chair Rapozo: Okay. I am not going to discuss that because it is not on the agenda, but can the staff send something over? I want to know the status of those Honolulu buses. Councilmember Yukimura. Councilmember Yukimura: So they are the result of our replacement program, correct? Ms. Mahikoa: Yes, that is correct. Councilmember Yukimura: We have a policy, whereafter so many miles or so many years, we replace the buses so we can be sure that we have well-operating buses. Ms. Mahikoa: Ideally. That would be the greatest way to operate it. We have been replacing them as funding has become available to replace them. We are allowed to replace them at either one hundred fifty thousand (150,000) miles or five (5) years of use, whichever comes first. That gives us the allowable point to dispose of. Typically, we are able to, through the great maintenance program that we have with our shop team, get them to double that on the odometers, so three hundred thousand (300,000) miles is typically where we end up disposing them. Councilmember Yukimura: Okay. Good. Thank you. COUNCIL MEETING 22 NOVEMBER 16, 2016 Council Chair Rapozo: Councilmember Kuali`i. Councilmember Kuali`i: My question was going to be how many, and you just said seven (7) that were fully utilized. Ms. Mahikoa: Yes. Councilmember Kuali`i: So it is seven (7) that came out of operational circulation, if you will, because of the age of the vehicles. Ms. Mahikoa: Yes. Councilmember Kuali`i: So will more come out every year? Ms. Mahikoa: Yes. Councilmember Kuali`i: How many is anticipated next year? Ms. Mahikoa: I believe we have funds that will allow us to replace, I believe, it is twelve (12) of them at this point. Councilmember Kuali`i: This approval is just for the seven (7)? Ms. Mahikoa: Yes, the seven (7) that were disposed of in the last round of disposals. So next year, we will be disposing of additionally. Councilmember Kuali`i: By the word "donation," that means that these are being given to them? So will they own it and be able to fix it and sell it as they please? Ms. Mahikoa: There are stipulations included within the agreement that we have with Kaua`i Community College (KCC) and the University of Hawai`i (UH) that disallows them from being able to use it for that purpose. They are to use it for educational purposes. Councilmember Kuali`i: My logic tells me that the purpose of training and fixing means that once the vehicle is fixed, it is fixed; it is maintained or what have you. Are you just saying that they are breaking it apart and teaching them how to build it? Ms. Mahikoa: Yes, that is my understanding. COUNCIL MEETING 23 NOVEMBER 16, 2016 Councilmember Kuali`i: Do they need seven (7)? There must be some value to the County in being able to auction, if you will, whatever useful life there is still left on the vehicles. Are we doing some of that as well or is it all going to KCC? Ms. Mahikoa: Actually, these vehicles are result of having gone through that required auction process and they were not purchased. They were remaining and would have needed to be junked, so this is actually an excellent use for them, rather than just going through the junking. Councilmember Kuali`i: So in the auction process, you take any bids or was there a minimum bid that was not met? Ms. Mahikoa: We are typically required to set a minimum bid for them. Councilmember Kuali`i: So when a minimum bid is not met, you cannot go any lower, so you are then going to junk it? Something seems wrong with that. What was the minimum bid? I am curious. Ms. Mahikoa: I can look that up for you, but they are typically set at either two hundred fifty dollars ($250) or five hundred dollars ($500). Councilmember Kuali`i: Were the buses still operational when they were auctioned? Could they have been driven? Ms. Mahikoa: My Program Specialist may be able to better answer that. JEREMY LEE, Program Specialist III: Council Chair and Councilmembers, for the record, Jeremy Lee. Most of the vehicles were in operable condition and some of them were not. So the total of seven (7) vehicles did go through the auction process as stipulated by the procurement office. None of them sold. They were all marked at two hundred fifty dollars ($250) for sale. I believe we received no bids for each of them. So what we were left with was paying to have them towed and adding junk to our island. In this case, we are saving the County money and allowing KCC to have an educational benefit as a result. Councilmember Kuali`i: So just to be clear, you said of the seven (7), most of them were in operable condition, which meant that the person who bought it for two hundred fifty dollars ($250) could have drove it off and use it? Mr. Lee: Yes. COUNCIL MEETING 24 NOVEMBER 16, 2016 Councilmember Kuali`i: How do we publicize the auction? I would imagine there are nonprofits with youth programs that need to transport them and if it can pass safety standards, it would be something that they would be interested in. I would just imagine that. Mr. Lee: The question might be best answered by the procurement office. Councilmember Kuali`i: By who? Mr. Lee: The Purchasing Department. We do not run the procurement for that auction. Councilmember Kuali`i: Okay. Mr. Lee: We just provide the information of the vehicles to them and they execute that process of auction. Council Chair Rapozo: Councilmember Yukimura. Councilmember Yukimura: One of the reasons we discard them is because even though they are still running, the repairs and the unreliability of it would be far more costly than to keep them running, right? Ms. Mahikoa: Yes. Councilmember Yukimura: Even though you might actually be able to drive it off the auction block, you just do not know how much longer it will drive or you are going to have to make constant and more expensive repairs. Ms. Mahikoa: Exactly. Councilmember Yukimura: Okay. There are some rationale behind why we are doing it and probably why people do not buy it. Thank you. Council Chair Rapozo: Councilmember Kagawa. Councilmember Kagawa: Thank you, Chair. I am just curious, but how many miles is the average of these seven (7) vehicles, 2005 through 2008 models? They are all ElDorado's, right? Ms. Mahikoa: Yes. COUNCIL MEETING 25 NOVEMBER 16, 2016 Councilmember Kagawa: So how many miles on average were put on these vehicles? Mr. Lee: I do not know if the document listed it, but it was probably about two hundred fifty thousand (250,000) to three hundred thousand (300,000) for vehicles or over. Councilmember Kagawa: Going forward, are the ElDorado's the only types of vehicles or do we feel like they are efficient, given the costs and we are going to stay with that line? Mr. Lee: Purchasing requires us to go open bid, so Invitation For Bids (IFBs). When we do open bid, anybody can bid on it. There are multiple manufacturers that can bid on our type of vehicles. So we go and put it out to bid and whoever is the lowest bidder, in this case, would win the contract. Councilmember Kagawa: But does efficiency and past history of vehicles not count? If you had a line of vehicles that were breaking down a lot sooner than a vehicle that we had in the past...is it always low bid or do we look at low bid, plus efficiency of the vehicle? Mr. Lee: I better understand your question. When we build the specs, the specs are built to a federal standard at minimum, and on top of that, we build into the spec a desired quality of vehicle. Councilmember Kagawa: Okay. Mr. Lee: So to answer your question, yes, we do require certain levels of performance for each of the vehicle's components and each of the manufacturers can meet that. Councilmember Kagawa: Thank you. Council Chair Rapozo: Thank you. Any other questions? We have had some suspension issues with the buses. Are these seven (7) part of that batch that had some suspension issues? In other words, if someone was to purchase this for two hundred fifty dollars ($250), as Councilmember Yukimura said, the cost to fix the suspension and get it would outweigh the low cost of the actual vehicle. Is that what you think happens? Mr. Lee: To clarify your question, are you asking us about the shimmy that occurs in the buses? COUNCIL MEETING 26 NOVEMBER 16, 2016 Council Chair Rapozo: Yes. Did these seven (7) have that problem as well? Mr. Lee: No. Council Chair Rapozo: Okay. Wow. Two hundred fifty dollars ($250)—that is something. Mr. Lee: It is a steal. Council Chair Rapozo: Yes. Son of a gun, I intended to go to that auction and I missed it. Dang. If you buy it for two hundred fifty dollars ($250) and sell for five hundred dollars ($500), you would double your money. Any other questions? Councilmember Kuali`i. Councilmember Kuali`i: I just want to clarify. When I asked about the auction process, you said to ask the Purchasing Department, right? What the process was to auction, how it was notified to the public, whether... Mr. Lee: Yes, I am sorry. I do not know what the process of what they do, their full extent, and how they promote auctions. Councilmember Kuali`i: I would like to follow-up with the Division of Purchasing. Council Chair Rapozo: Okay. Any other questions? Councilmember Kagawa. Councilmember Kagawa: It does not cost anything for us to junk it, right? What if we wanted to drive it to Puhi and it is no longer useful? Does it cost us anything? Mr. Lee: For Reynolds or the recycling place, there is a towing fee for us to deliver it there because all these vehicles that had a "junk" status for their title and could not be operated on the road. We would have to pay the towing company to have it towed over there, so at five hundred dollars ($500) a pop, we do incur some costs. In this case, KCC is now responsible of incurring that cost to remove it from our property to theirs for use for educational purposes. Councilmember Kagawa: I just thought that there was a difference, like if you brought a small vehicle like a regular car, you do not have to pay anything there. But I thought if you brought a larger vehicle, like a bus or large, heavy equipment that there was a cost, but there is not, right? COUNCIL MEETING 27 NOVEMBER 16, 2016 Mr. Lee: No, the County does not pay any fees for that service. Councilmember Kagawa: Thank you. Council Chair Rapozo: Councilmember Yukimura. Councilmember Yukimura: Once the vehicle gets to the County site where we receive junked vehicles, we have to pay to process it and get rid of it, right? Mr. Lee: No. We would have to pay the towing fee to get the vehicle. Councilmember Yukimura: No, but the Solid Waste Division has to pay. We pay the contract. Mr. Lee: There is a contract, yes. Councilmember Yukimura: So we have to pay. We either offset it with people paying for their cost or the County pays...not your department or division, but the County has to pay for it. Mr. Lee: There is a contract in place, yes. Councilmember Yukimura: Okay. Thank you. Council Chair Rapozo: Any other questions? If not, thank you. Ms. Mahikoa: Thank you. Council Chair Rapozo: Any public testimony? Mr. Bernabe. MATTHEW BERNABE: Matthew Bernabe. Good morning everybody. I would like to first start off by saying that they do a really good job of taking care of these buses. I went to check it out and it is a clean motor pool. I am a 62 Bravo from the Army. I used to be in a motor pool. When I trained to be a 62 Bravo, we worked on all older equipment that were (inaudible), as we are talking about now. So it is important to have extra vehicles. Even if you have two (2) vehicles that are being worked on, it is good to have a spare in case they cannot find the part. Some of these parts might be obsolete, you do not know that. What I would like to say is that this is an opportunity here to hybridize this program a little further. Why are we not having the hotels at this discussion with making some deal where the maintenance is done by KCC, we get them out of the "junk" status, and they use it COUNCIL MEETING 28 NOVEMBER 16, 2016 to pick up employees to reduce traffic on our road? There has to be some out-of-the-box thinking that we can tie everything in and not waste anything. I am not going to go too deep into it, but I was educated on some of the procurement processes for the bus. There are some inconsistencies that should be looked at. I was very upset when I learn...I am not going to go into it here...it was a half an hour lesson to me, if not an hour, but I think we need to investigate what is going on with this. I will just give a clue. I believe that it is the bus chassis. With that said, we have to come up with some way to reduce traffic, get these things operational, and get the kids to learn how to wrench on them. Thank you. Council Chair Rapozo: Thank you. Any other public testimony? Seeing none, we will call the meeting back to order. Further discussion? I just want to say thank you. I think it is a great program that the college kids get to work on these types of equipment. The waiver or the agreement clearly says that they cannot use this...it can never been titled again, so this will never see the road again. That is awesome for the kids or the students, I should say, because we have some adults going to school at KCC that will have an opportunity to work on these things. It is a great, great program. There were also some good suggestions from Matt. I never thought of that. You have twelve (12) turning over next year and maybe we can incorporate some other programs and look into some other ways to get rid of it. There being no further testimony, the meeting was called back to order, and proceeded as follows: The motion to approve C 2016-242 was then put, and unanimously carried. Council Chair Rapozo: Motion carried. Thank you. Next item. C 2016-243 Communication (11/04/2016) from Council Chair Rapozo, requesting the presence of the Managing Director, to provide the Council with a briefing on the auction and relocation of the old Kapa'a Police Substation building near Kapa'a Beach Park: Councilmember Kuali`i moved to receive C 2016-243 for the record, seconded by Councilmember Kaneshiro. Council Chair Rapozo: Thank you. With that, I will suspend the rules with no objections. Mr. Rezentes. Maybe you can start with a chronology of this building. There being no objections, the rules were suspended. WALLACE G. REZENTES, JR., Managing Director: Wally Rezentes, Jr. I apologize, I do not have the chronology. I got involved in the process because I guess it was not being moved timely. I can tell you that it was auctioned...I think it COUNCIL MEETING 29 NOVEMBER 16, 2016 was at the same time...the last auction...we do it once a year...the same time the buses normally go out. I have been in communication with the bidder that won a number of times, numerous times. The progress so far has been that they took out the Americans with Disabilities Act (ADA) walkway, took out the utilities like water, sewer, and electrical, and he contracted with a construction company to do the hauling. I spoke to him actually this morning and he is hoping to have the building hauled no later than next week. Hopefully, they get it done and they get it scheduled. He told me that they are going to work on organizing a police escort for the hauling of the building, but it should be done within a couple of weeks. Council Chair Rapozo: It is on the agenda because that was the last answer I got. I do not have the dates. I should have had the dates with me. Mr. Rezentes: I got on this late. I think this preceded me working back at the County. I have been in contact with the owner and worked through any and all permitting issues with the Planning Department, the Department of Public Works (DPW), et cetera. All of that, I think, is taken care of. Council Chair Rapozo: United Public Works (UPW)? Mr. Rezentes: No, DPW. Council Chair Rapozo: Oh. What is our remedy? Is there a remedy for us? Can we charge this guy a daily fee? He purchased the building, he is supposed to get it out of there, and he has done nothing. I do not know who he is or she is, but that needs to go. Is there a remedy for us to move it, take it away, and charge him or bill him? Maybe put a lien on his property? Mr. Rezentes: One of the remedies, I assume, is to take it back and re-auction it when we normally do our annual auctions. I am hoping... Council Chair Rapozo: I am not interested in the sale. Did we get paid for it? Mr. Rezentes: Yes. Council Chair Rapozo: So it is his now or hers? Mr. Rezentes: Yes. Council Chair Rapozo: I do not want to re-auction it; I want it off that property because it is a health hazard, a safety hazard, and it is a problem. I do not know what...are we just going to let it go? Anyway, let me open it up for other questions. Mauna Kea, maybe you can come up and help me on this? What is COUNCIL MEETING 30 NOVEMBER 16, 2016 the County's remedy right now? This has gone on way too long and every time I ask, I get the same answer, "By the end of this week...in two (2) weeks," and it has been months already. If you are not prepared, Mauna Kea—I am sorry, I should have asked you this before. I honestly hoped that by putting it on the agenda, Wally would have come up and say, "Chair, it has been moved," but it has not been moved. I want to know what is the County's remedy for people like this...if that person bought the bus and left the bus, what would we do? MAUNA KEA TRASK, County Attorney: For the record, Mauna Kea Trask, County Attorney. Preliminarily, I apologize, but the County is a corporate body politic comprised of the people of islands of Kaua`i and Niihau. So we can own land, we can contract, and sue and be sued in our corporate name. So we would have generally all rights and duties of a normal landowner. Beyond that, I would have to look at the specifics and get back to you. I would like to get back to you with an accurate answer, although, I would like to answer today. So if I could have two (2) weeks? Council Chair Rapozo: I do not expect an answer today. Like I said, I just hoped for a different outcome. This is one of the things that "Da Shadow" brought up a long time ago, before Wally was here. Even since Wally has been here, he has been given the runaround by this guy who purchased it and I think it needs to go. If somebody gets hurt on that property, it is going to be our kuleana. I guess we do not think about those things, but I do. It is always, "Oh my God, I wish we had done that," and then we are too late and somebody gets hurt. All of the drug activity is still going on down there and they are using that damn building. Anyway, I have asked Scott to pull all of the communications because I want the public to see that we do not do these things, just put it on the agenda to embarrass people—we try and when we do not get the answers that we want or we need, then it shows up on the agenda. This is one of them that I am frustrated with, as you can tell. Any other questions for Mauna Kea or Wally? If not, thank you. Mr. Trask: Thank you. Council Chair Rapozo: Anybody in the audience wishing to testify? Mr. Bernabe. Mr. Bernabe: Matt Bernabe, for the record. I actually had a different testimony lined up because I did not realize that it had been sold already. In hindsight, well, now we are with the new information, I would like to just say that I would like to see...I do not know where the funds are going from this sale if they are not already expended, but I would like it to be recycled into their substation up by Mahelona, if that is even a possibility. I am not quite sure how it works. I did not realize that it was sold already. I agree with the Chair that if he has not picked up his building by "x" amount of time, then something has to be COUNCIL MEETING 31 NOVEMBER 16, 2016 done. That is ridiculous. I do see the people using them. I go there all of the time and I see the same things that you folks see. I am in support of moving on this. Thank you. Council Chair Rapozo: Anyone else wishing to testify? Jerome, this is the Kapa'a substation. I am not sure if you wanted to testify. Please come up. Do not be afraid to speak, but stay on the topic of the police substation, which is the issue that you brought up a long time ago. JEROME FREITAS: My name is Jerome Freitas. Council Chair Rapozo, Vice Chair Kagawa, and the rest of the Councilmembers and the staff. Like I said, this Kapa'a police substation at the Kapa'a Beach Park—I know that the police moved to the Armory about three (3) years ago. Six (6) months later, I called the Department of Public Works and asked what they were going to do with the police substation. This is all written down, black and white, so they cannot deny this. Whoever made the responses back...they cannot play games. Do the right thing. The first one was in 2014. They said that they looked into that and that the Police Department is going to use that for something, and then they are going to remove it to someplace else, but so far nothing happened. I have another one dated March 11, 2015, where I asked, "What is the status of the old Kapa'a substation?" They said, "The substation will be used for Fire Department training. The Police Department is currently looking for permanent use of the facility and if none found, the structure will be removed." This was in 2015, one (1) year later. Another year late, they said that somebody purchased the building. So I asked them, "What is going to happen?" They said, "It is not their problem. It is the owner's problem." I told them, "No, but it is on County property." They are responsible. There are a lot of homeless sleeping in there, too. There is no sign "Keep Out" or anything like that. That is our liability. The Administration better start doing the right thing and look for the safety of the public. We have a lot of things out there that has not been done. I am going to stay on subject and not mention anything else, but if you want to look at it, I will meet with you folks one day. A lot of things have not been done for years and years. Do not play the game. Just do the right thing for everybody. Thank you, Chair, for putting it on the agenda. I appreciate it very much. If you folks want to check it out, I will show you one day. Call me up. I will bring all of my pictures so that you know what I am talking about. I know my time is up. Can I come back for my second three (3) minutes? Council Chair Rapozo: Yes. Mr. Freitas: Okay. Thank you. Council Chair Rapozo: Anybody else wishing to testify on this matter? If not, Jerome, you can have your second three (3) minutes. COUNCIL MEETING 32 NOVEMBER 16, 2016 Mr. Freitas: Like I said, I have a lot of E-mails. I forgot to bring them with me today. A lot of them are from the public saying, "Jerome, when are they going to move the structure there?" I do not know the last time they were in Kapa'a to check on that police substation. I guess they had the ramp for the handicap and it is already gone. Yet, still the people go to sleep there and underneath there, they have a small gas tank. It is still there yet and has not been removed. So go out and check around the area, rather than staying in the office and wondering, "What is going on over here?" The people have the power. We pay your wages. Do your folks' job. What is priority of the Administration? Getting things done that is not necessary or can wait? Do things that are important now for the public, like safety issues and things like that. I can tell you a lot of other things, but Chair told me to stick to this subject, so I am going to do that. Work together and do your folks' job; that is all we are asking for. I am not getting paid. I do this because I love my island. I love Kaua`i, for the betterment of everybody. You have to do it from your heart. Money is not everything in life. Do your folks' job, work together, and everybody will be happy. That is it. I want to thank all of you folks— Chair, Vice Chair, Councilmembers, and staff—for listening to me. Mahalo. Have a nice day. Council Chair Rapozo: Thank you. With that, I will call the meeting back to order. Any discussion? There being no further testimony, the meeting was called back to order, and proceeded as follows: Council Chair Rapozo: Let me just give you a historical review of this. I submitted my first request on January 5, 2016. On January 7th, that went to the Department of Public Works, Department of Parks & Recreation, the Police Department. On January 7th, I got a response from the Police Chief saying that, that building had been sold at the auction and that the owner—within two (2) days I received a response from KPD—that they sold the building and the owner was awaiting permits to move. That was the only response I received. I think even before Jerome came and started to discuss with us—June 14th I sent one again. That is six (6) months. I sent over a second request to the Administration, to the Department of Public Works, "Hey, it has been six (6) months. What is up with the building?" That was on July 14th. On July 29th, I sent a follow-up because I heard that it had been sold and so forth. That was July. On August 23rd, I sent another follow-up to the Administration. This would be to Mr. Rezentes. On August 25th, I am informed by Mr. Rezentes that he is waiting to hear back from the person who bought the building and that person is working with Kikiaola Construction on removing the building as soon as possible. That was August 25th. On September 27th, it was the third request because I had heard nothing. On September 29th, we got another response from Mr. Freeman, who purchased the COUNCIL MEETING 33 NOVEMBER 16, 2016 building. He was off-island and that is what we did not hear back from him. According to Mr. Freeman, he has crews scheduled to dismantle the ramp and deck on Saturday, which was October 1st, and is working with the State to move the building next week. That was September 29th. Today is November, almost heading to the end of the year, and that building is still there. There needs to be some sort of remedy by this County. I do not know. I am not sure if when we sell these kinds of things if there is a time period where they have to remove that item. I do not know if we made that part of the contract or the document when we sold it, but we cannot have that there. I know we asked for a motion to receive, but I am suggesting that we defer it and get them every week at every meeting up here to give us an update. That is my recommendation. I am not going to put up with this again. This is ridiculous. It has been almost one (1) year and that building is still there. It is not usable for a police substation. Our police deserve a little better than that. That is trash, and somebody bought the trash, so now they need to remove the trash. That is where it is at. I am going to ask that you folks reconsider and change your motion to a deferral and get this on every meeting until it is moved. Councilmember Yukimura. Councilmember Yukimura: I have a question about your point where in the auction documents we would not...I mean it seems very logical that we should put a deadline for removal of the property, and I would like to have a question go to Procurement...I guess it is Procurement and/or Police, who oversee the auction process to ask: one, if a deadline was set; and two, whether in the future a deadline could be set as part of the documents? Council Chair Rapozo: I do not have a problem calling somebody over. Does anybody know the answer to that question? Wally, do you know? Councilmember Yukimura: That seems like a fundamental, procedural thing that should be done. Council Chair Rapozo: If you buy a car, you take it out today. If you buy a building, you get so many days. It is unacceptable. As you can see, people say that I am impatient, but look how long... Councilmember Yukimura: So if you want somebody now, can we just move the item to the end of the agenda? Council Chair Rapozo: Yes, let us do that. Councilmember Yukimura: Thank you. Council Chair Rapozo: Next item. COUNCIL MEETING 34 NOVEMBER 16, 2016 C 2016-244 Communication (11/04/2016) from Council Chair Rapozo, requesting the presence of the Acting County Engineer, to provide the Council with an update on the Notice of Violation and Order (NOVO) from the State of Hawai`i Department of Health, Clean Water Branch for National Pollutant Discharge Elimination System (NPDES) Permit and related violations and penalties at the four (4) refuse transfer stations: Councilmember Kuali`i moved to receive C 2016-244 for the record, seconded by Councilmember Yukimura. Council Chair Rapozo: We have a companion Executive Session, which we will be able to discuss the specifics of the actual investigation, but this is to have the Administration update the public on where we are at, as far as the process and the investigation. Can you folks come up? Discussion? Councilmember Kagawa. Councilmember Kagawa: I just want to make sure that we have the County Attorney watching this and stopping us if we should not be asking or answering questions that perhaps should not be answered in open session. Thank you. Council Chair Rapozo: Thank you. The rules are suspended with no objections. Lyle, can you give us an update that you can discuss? We will deal with all of the other questions in Executive Session. There being no objections, the rules were suspended. LYLE TABATA, Acting County Engineer: Good morning, Chair and Members. I believe Scott is bringing out your packets of information that we just delivered. Council Chair Rapozo: Can you just give us an overview? Mr. Tabata: You are being handed the packets right now. The front cover is a timeline of all of our actions. Even before the Notice of Violation and Order (NOVO), as I had mentioned to you, we had prior communication from the department in 2014 and we had been working on remediation. I believe the bottom line is that our communications with the department and understanding was not clear enough, and as I stated... Councilmember Yukimura: With the Department of Health? Mr. Tabata: Department of Health, I am sorry. When we got hit with the violations, they sent a clear message of what they were looking for. The Notice of Violation and Order was issued on May 23rd and you can see the actions that we had taken on this front cover page that is highlighted in yellow. COUNCIL MEETING 35 NOVEMBER 16, 2016 The first set of actions, in May through June 23rd, were immediate actions that we took based on what we received in the Notice of Violation. The items in yellow from the 23rd or 24th on are items that we submitted in writing and responses to the Department of Health, along with our check of payment for the one hundred thirty-eight thousand six hundred dollars ($138,600). Since then, we have installed items that we determine are immediate actions that we can take. All of the backup information for these actions is in the information we have provided you. You can peruse that and send us back questions that you have. We are trying to be as thorough as possible to meet the needs of any possible lack of communication. We want to be as clear as we can be. Then the next page behind the front page in this blue document is what we are doing, working from late-July when we started the process of creating preliminary design that the Department of Health will deem acceptable for us to get to final design and construction to be completed in 2018. So these are the steps that we are traveling right now. In July, we went to O`ahu with preliminary designs that we were working on, from the onset when we got the violation and we started taking care of what we can take care of, right away, midterm and long-term. So by the end of September, we had a draft conceptual design that we sent comments back. At the end of October, we are completing the pre-final designs, and just this week we submitted our final comments back to AECOM, for which then they will prepare our documents to submit to the Department of Health as of the first week of December of our preliminary design. All along, we have been communicating our new staff engineer for the Solid Waste Division, Don Kakuda, daily communications with the department, passing information by them that we received from AECOM, going back and forth to hash it out so that when we do submit, it is a thorough document that they can then complete investigation and a thorough review to tell us, "Okay, go ahead and proceed." Then we will come back to you to fund the final design improvements. At this point, after we gain approval for funding, we go to that second page and it outlines our timeline of how we are going to get to final construction and acceptance and fully qualify under the National Pollutant Discharge Elimination System (NPDES) program to meet the needs of the department so that we will be in complete compliance with their NPDES program. That is just a thirty thousand (30,000) feet view. I know it is a lot of information. We determined, after we received the communication, how detailed and specific, and not hold back any information from anybody to send forward. Council Chair Rapozo: Thank you, Lyle. I appreciate the thoroughness. I really do. Councilmember Kagawa. Councilmember Kagawa: I think pictures speak a thousand words. I have one (1) picture that I wanted to show. Can you clarify for me what the reason is for that filter sock around that drain that is going to be shown? Because if it is a low area and a lot of this Environmental Protection Agency (EPA) stuff is because when we have rain saturation, and then it is mixed with any type of waste and then COUNCIL MEETING 36 NOVEMBER 16, 2016 we have these EPA violations. Why is that filter sock covering or preventing water from going into the drain? Is that not what the drain is for? Councilmember Yukimura: Not if it is poisoned. Mr. Tabata: Yes. I will let Keith Suga, who has been doing the actual work with the field, answer that for me. KEITH SUGA, Executive Assistant: Keith Suga, Department of Public Works. Good morning, Council. This particular picture that you have up there reflects a Filtrexx filter sock that was recommended with discussions with our consultant, as well as the Department of Health, to put around this particular drain inlet so that we filter out any of the items that could contribute to the exceedance levels for the test samples. Really, we want to filter the water that is going into this particular drain inlet. Councilmember Kagawa: Filter it so that it does not go in there? Mr. Suga: No, well, filter out the particulates we do not want to be entering into the drain inlet. Councilmember Kagawa: So you are hoping that, that sock will be like a filter that will keep contaminated type of materials and then only the water will flow down? Is that the purpose? Mr. Suga: The liquid, correct. That is the intent. Councilmember Kagawa: I thought we were blocking the drain. Mr. Suga: Negative. That particular material that is made up of that filter sock does allow the liquid to pass through and it basically acts like a filter. Councilmember Kagawa: Okay. My thinking was that if you block the drain, then you are just allowing saturation into the ground, which is the same thing. I just wanted to know the purpose of that. Thank you. Councilmember Yukimura: I have a follow-up. Council Chair Rapozo: Go ahead. Councilmember Yukimura: As a follow-up, what are these contaminants? Are they nitrates, sulfur, and so forth? I can see that it would keep out solids and let liquids go through, but are they actually taking the contaminants? COUNCIL MEETING 37 NOVEMBER 16, 2016 Mr. Tabata: I believe, because I reviewed the test results that we sent into the department, there are petroleum products, aluminum, lead, copper, zinc, and a whole bunch the heavy metals that are preventing or being absorbed or filtered through with the sock. These socks need to be replaced on a routine basis. It does not sit there for months on end. Councilmember Yukimura: Okay. What happens to the contaminants that are kept out? Do they just flow somewhere else? Mr. Suga: That is a great question and that is the reason why we are in current discussions with the Department of Health, along with the consultant for the future improvements that would install containment systems that would collect all of that. Currently, this here is an intermediate step that is being recommended that we do on an ongoing basis right now until the future improvements put in that infrastructure that has the collection system to contain all of that liquid that you are speaking of. Councilmember Yukimura: Okay. So it is an interim mitigation, but it does not solve the problem on a long-term basis? Mr. Suga: Correct. Councilmember Yukimura: Okay. Thank you. Council Chair Rapozo: Any other questions? Go ahead. Councilmember Yukimura: On your flowchart timeline, it might be good if we can get that up, but on the second page, you say "transfer station design." What transfer station are you talking about? Is that all transfer stations? Mr. Tabata: All of them: Hanalei, Kapa`a, Lihu`e, and Hanapepe. Councilmember Yukimura: So "transfer station designs." Mr. Tabata: Yes, "designs." Councilmember Yukimura: Okay, so all of them need substantial improvements in order to comply? Mr. Tabata: Yes. COUNCIL MEETING 38 NOVEMBER 16, 2016 Councilmember Yukimura: That is the right word. Okay. You say then that you are going to have these plans by late March 2017. Then you have to go through permitting and you have the final storm water pollution prevention plan sent to the Department of Health...wait...I am sorry...I am going the wrong way. Council Chair Rapozo: I am having them put up the thing up on the screen so that everybody can see. Councilmember Yukimura: Thank you. Do you want me to stop talking? Council Chair Rapozo: No, go ahead. Councilmember Yukimura: Okay, so you have a plan...I am going to start at the beginning of the chart on the second page. Mr. Tabata: The timeline December 16th to October 18th. Am I correct? Councilmember Yukimura: Yes. Mr. Tabata: Okay. Councilmember Yukimura: So by next month, you will have a plan and with comments back from the Department of Health. So you will get the final storm water pollution prevention plan to the Department of Health by mid-December, next month, and then you are going to have transfer station designs, one hundred percent (100%) complete by late... Mr. Tabata: No, we go ten percent (10%) below, then we revise our conceptual, which is a ten percent (10%) design... Councilmember Yukimura: Right, and then you have one hundred percent (100%). Mr. Tabata: Then the one hundred percent (100%) is later in March. Councilmember Yukimura: Yvette, it is the next one I think. Mr. Tabata: The next one. Councilmember Yukimura: It would read "Timeline—December 2016 to October 2018." COUNCIL MEETING 39 NOVEMBER 16, 2016 Mr. Tabata: Yes. Council Chair Rapozo: It is actually the second flow chart on the third page. Councilmember Yukimura: The title is "Timeline—December 2016 to October 2018." Thank you. Mr. Tabata: This is the track, this way. Councilmember Yukimura: Okay. Mr. Tabata: Then we go back up. Councilmember Yukimura: Right. Mr. Tabata: So by March, we get the one hundred percent (100%). As we are designing, we are working with the department and going back and forth. In February, we hope we get sixty percent (60%) done, have comments from them, and then after that, we finish all of the designs and go through the permitting process. The consultant will then complete the final bid package that we can send out for procurement and hopefully we can start construction September 2017. Councilmember Yukimura: Do you have estimated costs of these transfer station improvements? Mr. Tabata: Preliminary, we do. It all depends on the feedback from the department. Mr. Suga: At this point, our preliminary estimate is six million two hundred thousand dollars ($6,200,000) for all of the transfer... Councilmember Yukimura: Six million two hundred thousand dollars ($6,200,000)—if you are going to go to bid, you need that in the budget. Do you have the six million two hundred thousand dollars ($6,200,000) in the budget? Mr. Suga: Currently, we are in discussions with the Department of Health on the State Revolving Fund (SRF) funding side of the house there and we met with the representative a couple of weeks ago, so a lot of the work that is being incorporated in this scope is eligible for SRF funding. We are in the process of providing them more additional breakdown of the different components at each of the transfer stations to help them identify specifically what components at COUNCIL MEETING 40 NOVEMBER 16, 2016 each transfer station will be eligible through SRF and that will help us identify the difference that we would need to fund through County funds. Councilmember Yukimura: At this point, do you have an estimate of the County funds that will be needed? Mr. Suga: We are guesstimating. Again, we need to finalize that process with the Department of Health, but we are guesstimating that it might be 50/50. Councilmember Yukimura: So about three million dollars ($3,000,000)? Mr. Suga: Yes, roughly. Councilmember Yukimura: Is that in our budget presently? Mr. Suga: Currently, we are working on having that incorporated into our budget. Councilmember Yukimura: You mean taking from other things or are you coming up with an amendment to the budget? Mr. Suga: This was a consideration with regards to the next potential bond issuance proposal. Councilmember Yukimura: What is the timeline for the bond? Mr. Suga: I think that will be better answered by our Finance Director. I do not know. Councilmember Yukimura: Okay. I guess the question is are we going to have that money in place by the time the final bid package is... Mr. Tabata: We hope to. Mr. Suga: That is certainly the goal. Councilmember Yukimura: Three million dollars ($3,000,000) out of the anticipated fiscal year budget for 2018, it will be...we already have a lot of things that need to be covered. Do you have something to say, Managing Director? Mr. Rezentes: Wally Rezentes, Jr., Managing Director. I think that we kind of touched on the subject in the last meeting about the bond issue and the projects. Again, this is one of those that is a project that is influx COUNCIL MEETING 41 NOVEMBER 16, 2016 because obviously, we would want to maximize the use of SRF funds because the rate is much more in our favor than our bond issue. Our hope is on the timing of it that we will be notified on the SRF side as to how much of the project would be deemed eligible, and then we would likely have to pick up the remainder through bonds or reprioritization of our existing bond funds from other projects to this one. It is going to be somewhere in that mix that we would ultimately have to come to the Council and get the Council's approval on all of the various funding sources. Councilmember Yukimura: So back to my question, what is the anticipated schedule for the new bond float? Mr. Rezentes: Right now, we are developing a laundry list of projects and, if I could estimate, within a couple of months, we will have that completed. We would need to engage the Council with some of our draft projects of what made the cut and what did not make the cut, and we hope to have that within that timeline. Councilmember Yukimura: Are you consulting with bond experts on the timeline for floating a bond? The question is whether that is going to be able to be incorporated into the next fiscal year 2018 budget, or whether that is going to come later, and therefore, I do not know how we are going make a final bid package by May of 2017. Mr. Rezentes: You can structure bonds, timing-wise in ways that the debt service will take effect in ensuing years. So we can package a bond and debt service of the bond accordingly. Ideally, I hear what you are saying, Councilmember Yukimura, and we would want to have the approvals made, understanding of what the debt service requirements are in advance of the fiscal year 2018 budget. Councilmember Yukimura: You are going to have to have the bond proceeds in order to go to bid, I think. Mr. Rezentes: Yes. Councilmember Yukimura: So it is not about a debt that you have to pay later. It is about... Mr. Rezentes: One option is to, via an ordinance, amend the Capital Budget to include this if this needs to go earlier. Then on the back-end when we do our bond, we replenish the moneys that were deemed for other purposes. If I have projects "a, b, and c" listed in a bond fund—I did not spend those moneys—I am going to use it for this project. I come up here, request to get your approval to take the "a, b, and c" money temporary, use it for this in the next bond COUNCIL MEETING 42 NOVEMBER 16, 2016 issue, and replenish "a, b, and c." That is a possibility. We are hoping that everything can line up where we know what we are going to likely get on the SRF side and we know what we are likely going to have to backfill, as far as the bond moneys, and we do it in a time where at least by the time of decision-making on the budget, we have a clear idea of what our debt service requirements are for fiscal year 2018. Councilmember Yukimura: What you are saying helps me understand how the Administration is thinking, because that is what we are concerned about in terms of timing. It would give me a better comfort level to see a schedule for the bond float because there are all of these publications, deadlines, when you have to have the Council approval, and all of that. The time seems so tight. It seems like three (3) months, basically, until you submit the budget. Maybe if you are looking at supplemental, that is a little later, but it feels like a kind of mad scramble. For us, who are thinking about what actions are going to be required from the Council, it would be helpful to have some kind of timeline. Mr. Rezentes: Okay. Council Chair Rapozo: Councilmember Kagawa, did you have a question? Councilmember Kagawa: Yes. I have another picture that I wanted to put up. I have a question about it. It looks kind of alarming. It shows a ponding...water pooled in an area near the wastewater holding tank, looking north west, and I believe this is the Lihu`e Transfer Station. This does not show what we have done. Is there a wastewater holding tank near that area? Is that by the green waste? What area is that? Do you folks have any idea? Troy is back there. Council Chair Rapozo: Have somebody that can explain that, please. Mr. Tabata: We have a holding tank that receives the storm water at the Lihu`e Transfer Station. Is that the one? There is one. Councilmember Kagawa: This says "wastewater." Councilmember Yukimura: Is it Lihu`e first of all? Councilmember Kagawa: I am thinking it is "wastewater"...is that from cesspool pumpers that bring water there? Mr. Tabata: It is a leachate. Councilmember Kagawa: Was that cesspool water there that came up? COUNCIL MEETING 43 NOVEMBER 16, 2016 Mr. Tabata: No. Councilmember Kagawa: What is that? Mr. Suga: Councilmember Kagawa, if helpful, we could put up an exhibit with a map to better help identify the location of this picture. Councilmember Kagawa: Okay. We do not need to see this picture already. We know what it looks like. What area is that wastewater holding tank, what goes into that tank, and where was that pond? What did we do to rectify the problem? TROY TANIGAWA, Environmental Services Management Engineer: Troy Tanigawa, for the record. The wastewater holding tank is right here. This is located at... Council Chair Rapozo: Can you point out where the entrance is? Mr. Tanigawa: At the back of the station. This is the driveway. Councilmember Yukimura: Is this Lihu`e? Mr. Tanigawa: Lihu`e Transfer Station. Councilmember Yukimura: Okay. Mr. Tanigawa: Ahukini Road is here on the bottom and the driveway comes up this way, and then it turns left to go into the transfer station tipping floor area. If you continue further, we have black top all the way down to the bottom and this is where the trailer parks, right here. The wastewater tank is downgrade of everything. It is kind of in a low section, so whenever there are heavy rains, it is in a natural area that kind of ponds and the water collects. We monitor that tank. There is a riser that comes up. The tank is pumped as needed. The water effluent is removed and taken to the Lihu`e Wastewater Treatment Plant. Councilmember Kagawa: So that is just wastewater from the natural slope of whatever comes down and collects in that wastewater tank? Mr. Tanigawa: What goes in the tank is drainage that comes from the tipping floor, the leachate. It is also receiving area for the (inaudible) sewage from the bathroom at the site. COUNCIL MEETING 44 NOVEMBER 16, 2016 Councilmember Kagawa: Okay. Thank you. Council Chair Rapozo: Can you put your picture back up? Councilmember Kagawa: I am done with questions, Chair. Council Chair Rapozo: I am just curious as far as the reference. Where is the trailer? Where is the drop-zone for the trash? Is it on our side? Is it behind the guy in the yellow shirt? Mr. Tanigawa: This is...I am just guessing now...this is probably looking... Council Chair Rapozo: I do not want you to guess, Troy. Councilmember Yukimura: Can you use the pointer? Mr. Tanigawa: It is hard to say what way the picture is oriented. It is hard to see, basically, but I can describe how the operation is run. We have green waste at the bottom, further to the south side of the property, away from the holding tank area. If we put up the other map, I can kind of show you where I believe the spot is. Council Chair Rapozo: I am just trying to figure out why the water is pooling like that and not going into the tank or drainage. Mr. Tanigawa: We do not have a drain near that tank. What you see where it is ponding is bare ground, so that is not drainage that goes into the tank. Council Chair Rapozo: I see. What is the remedy for that? What are we doing or what have we done to stop that from happening? Apparently, it is an issue for the Department of Health, right? Mr. Tanigawa: It is just rainwater drainage from the surrounding area that is kind of ponded in that low section. Council Chair Rapozo: So that is not an issue for the State? Mr. Tanigawa: I do not believe so. Council Chair Rapozo: They took the pictures... COUNCIL MEETING 45 NOVEMBER 16, 2016 Mr. Tabata: If it leaves the property with contaminants, then it is an issue. Council Chair Rapozo: We have to assume that any ponding water in that facility is going to have contaminants. Mr. Tabata: Right. Part of the future design is to create more holding areas. In fact, anything, and we are going to roof a lot of the facilities so that as long as the direction we are getting, the water does not get contaminated, or rainwater does not touch refuse and get contaminated then we are okay. So if we take water and just keep it separate and it is just rainwater/storm water, then it can flow off the property. If it touches the refuse, then we have a problem, and that is part of the design for installing holding tanks when material does get wet. From there, it is contained and then we remove it appropriately. Council Chair Rapozo: Okay. Councilmember Yukimura. Councilmember Yukimura: In this picture, where is this related to the holding tank? Do you need the diagram to show us? Mr. Tabata: Can we have the map back up? Councilmember Yukimura: How big is the holding tank and what happens to it? Does it evaporate? Mr. Suga: The holding tank, as Troy mentioned earlier, there is an inspection port that they take readings to see the levels of the tank, and once it reaches a certain threshold, the tank is pumped. Council Chair Rapozo: When we pump it, where does it go? Mr. Tabata: To the Lihu`e Wastewater Treatment Plant. Council Chair Rapozo: Okay. Mr. Tanigawa: If we go back to this map now, I believe the picture taken was probably from here, looking back this way, possibly. It is hard to say. This is the tank. This is where that bunch of grass was, right here. Councilmember Yukimura: Is it an underground tank? Mr. Tanigawa: It is a ten thousand (10,000) gallon underground tank. COUNCIL MEETING 46 NOVEMBER 16, 2016 Council Chair Rapozo: The picture said facing northeast. I am assuming that north is this way and northeast would be this way. So the camera person would have been facing back towards this corner, I am assuming. Mr. Tanigawa: If it is northeast, then it would be kind of oriented to this arrow and maybe the arrow would be pointed a little bit to the four o'clock or five o'clock position. It looks like there was green waste in the background so that is why I mentioned that direction. Council Chair Rapozo: It looked like the green waste pile, so that would make sense, facing northeast like the picture said. Mr. Tanigawa: Green waste is actually stockpiled here, all over here, and there is no green waste here in this area. Over here is the holding tank and that is where that pile of green grass that was growing is. So my guess is...I am not going to say that the text may have been a typo, but because I saw green waste, I am thinking that this is where the picture was pointing to when it was taken. The camera was pointing towards this direction. Council Chair Rapozo: Councilmember Yukimura. Councilmember Yukimura: So when water passes through green waste, is that considered contaminated water as well? Mr. Tanigawa: No, it is not. Mr. Tabata: Refuse. Mr. Tanigawa: When it passes through solid waste items like mixed refuse, construction and demolition (C&D), and other types of materials, it is considered leachate. Councilmember Yukimura: Okay. Thank you. Council Chair Rapozo: Any other questions? I have a question and I think it would be for Wally. I want to kind of follow-up on Councilmember Yukimura's line of questioning. I, too, want to be prepared for worst-case scenario and best-case scenario. The estimate right now is 50/50. If we can get 50/50 SRF, our liability would be around three million dollars ($3,000,000). Mr. Suga: Correct, roughly. Like I mentioned, Chair, we had a recent discussion with personnel from the Department of Health and we owe them some information to better breakdown the different components at each transfer station and once we get their feedback from that, we will have a better COUNCIL MEETING 47 NOVEMBER 16, 2016 understanding of what that percentage breakdown would be. But my initial guess is 50/50. Council Chair Rapozo: Okay. Is that assuming that we can get some SRF loans? Mr. Suga: Yes. Council Chair Rapozo: I do not know what the ceiling is. I am assuming that the SRF pot is not unlimited and there is some limit to that statewide. Mr. Suga: Correct. Council Chair Rapozo: I am trying to remember when we had the discussion here...I think it was with Wastewater or whatever, that they have some important projects and major projects that we have to look at and we were relying on SRF. It seems like maybe three (3) or four (4) projects that we are in need of, we were relying or hoping to get SRF funds. My concern is that...again, is that an unlimited source? We cannot just keep on saying that we are going to get SRF, and then we do not. Of course, we all hope that we can if it is a low-interest loan. Mr. Tabata: Chair, let me try to explain that there are several and wastewater has its own bucket, drinking water has its own bucket, and this bucket we want to attempt to get a loan from is from the Clean Water Branch. Council Chair Rapozo: Okay, so this would not be related to... Mr. Tabata: It is not wastewater. Council Chair Rapozo: Okay, well that is good news. Mr. Tabata: Yes. There are three (3) buckets and there are even SRF loans for housing and so forth. As far as for the Department of Health, the three (3) buckets are wastewater, drinking water, and clean water. Council Chair Rapozo: Okay. Thank you for that clarification. I know Wally went back, but that is all right, Wally. If I am wrong...what I got from Councilmember Yukimura's questioning and what I got from the responses is that, like Councilmember Yukimura, I do not believe that we are going to be able to get bond proceeds before we start discussing the budget for next year. I just do not think it will happen. We just hired Bond Counsel or we just approved the funding for Bond Counsel. So if, in fact, which I do not believe we will have proceeds before the budget—in other words, when we discuss the budget for next year, we will not COUNCIL MEETING 48 NOVEMBER 16, 2016 have, let us say the three million dollars ($3,000,000) for transfer stations. I understand Wally is saying that we are going reprioritize the existing bond, right? In other words, we are going to take money from an existing project and move it to this one so that we can get this one done, and then when the bond proceeds are received, we will put the money back into...basically, just moving the funds. Mr. Rezentes: Correct. Council Chair Rapozo: What project or projects would this transfer station project, which projects would you transfer funds from or move funds from? Mr. Rezentes: We have not yet made that determination. Obviously, we would not pull it from any project that we are going to be bidding out soon. It is something that maybe has a horizon outside of our anticipated bond timeline, so we would not affect projects that are in the "hopper," so to speak, that will delay it any further. That would be the projects that we would go after if we need to. Again, I am talking in general terms. We are not drilling down specifically to anything at this point, but that is a possible option to consider when more information is known and readily available from the SRF side. Council Chair Rapozo: Okay. Even if we get SRF, we are still looking at three million dollars ($3,000,000). Mr. Rezentes: Right. Council Chair Rapozo: So are you comfortable that we have three million dollars ($3,000,000) worth of existing bond projects that could wait? Mr. Rezentes: I am not sure. I am saying that we have a laundry list of bond funded projects that have not yet gone to the procurement stage. Council Chair Rapozo: Right. Mr. Rezentes: So we would have to look at...if we need to go there and if we need to prioritize this ahead of the existing projects that has already been approved, we would just have to go after the projects that have a timeline outside of the... Council Chair Rapozo: Right, out of the hopper. Mr. Rezentes: Yes. COUNCIL MEETING 49 NOVEMBER 16, 2016 Council Chair Rapozo: I guess for me, do we have enough projects to cover that expense? Mr. Rezentes: I believe we do, but we would need to prioritize that at that time. Council Chair Rapozo: It would be temporary until the bond proceeds are received. Mr. Rezentes: Yes. Council Chair Rapozo: Okay. Thank you. Anymore questions for the Department of Public Works? Councilmember Yukimura. Councilmember Yukimura: In your timeline of actions and events, you show that the County received the Notice of Violation on May 25, 2016. On May 27, 2016, the annual discharge monitoring reports for each transfer station was submitted to the Department of Health. I presume these reports were required, but were not submitted and were part of the reason we got the Notice of Violation. So my question is it appears if you were able to submit them two (2) days later, that they were available, so why were they submitted so late? Mr. Tabata: That is correct and that is why we got fined. Councilmember Yukimura: I know, so I am...go ahead...I am sorry. Mr. Tabata: We did not hit the mark. Councilmember Yukimura: Okay. You have done quite a thorough job of talking about your actions after receiving the Notice of Violation, but this is crisis management. This is a response because you got this huge fine and notice. My question is what happened leading up to this that caused us to get this Notice of Violation? How are you addressing those issues? I see the County Attorney standing... Council Chair Rapozo: Yes, because I think that will be discussed in the Executive Session. Mr. Tabata: Exactly. Councilmember Yukimura: Okay. Council Chair Rapozo: That is why we did the companion Executive Session because I am sure that we all have the same concerns. COUNCIL MEETING 50 NOVEMBER 16, 2016 Mr. Trask: For the record, Mauna Kea Trask, County Attorney. Just on that point, if any of these questions can be answered without getting into the confidential personnel information, then they should attempt to. But if they cannot, I would just say generally to refrain from doing so, as to protect the integrity of the process. Council Chair Rapozo: Thank you. Mr. Trask: Thank you. Councilmember Yukimura: Thank you. I will hold that question for Executive Session. I do have another question about your forward actions that are being projected into the future. For the Hanalei Transfer Station, the topography there is a pretty difficult topography, but you feel that there is a design that is going to address all of these issues that can serve us into the future? Mr. Tabata: We believe so, yes. Councilmember Yukimura: Are you doing these improvements to accommodate the future growth, as well as the existing volume of trash? Mr. Suga: Correct. Just to add, our preliminary design that we had that we share with the Department of Health, we got some feedback from them and were able to incorporate some of that from a standpoint of looking at the different topography and relocating some of the activities at Hanalei. So we believe the design will be able to accommodate that. Councilmember Yukimura: Okay. So these improvements are not just for the existing capacity, but going to be to accommodate future projected growth? Mr. Tabata: We have begun communication with the landowner for possible expansion. Councilmember Yukimura: Okay. Good. Thank you. Council Chair Rapozo: Any other questions? Just one last general question, as far as the State and our collaboration, I guess... Mr. Tabata: That is exactly how you can characterize it, as "collaboration." Council Chair Rapozo: They are being helpful and they want to see us succeed? COUNCIL MEETING 51 NOVEMBER 16, 2016 Mr. Tabata: Exactly. Council Chair Rapozo: So they are not trying to nail us with another one? Mr. Tabata: No. Mr. Suga: Absolutely not. Matt Kurano at the Department of Health, Clean Water Branch has been extremely helpful at setting up meetings for us to talk to the other representatives at the Department of Health and providing timely feedback to our comments or our plans. So yes, they have been very helpful. Council Chair Rapozo: Okay. Mr. Tabata: This is multiagency in the Department of Health. It is the Clean Water Branch, along with Solid Hazardous Waste, and so forth. Councilmember Yukimura: Thank you for that. It is really good to hear and see that there is this kind of interagency/intergovernmental work. What was my question now? So in working with them, do you feel that if we follow this projected plan, we will avoid any further penalties? Mr. Suga: Correct. That is part of the dialogue that we are currently having with the Department of Health. Councilmember Yukimura: Great. Thank you. Council Chair Rapozo: Anymore questions? If not, thank you very much. Anybody in the audience wishing to testify? Did anybody sign up to testify on this? No? Mr. Mickens. GLENN MICKENS: For the record, Glenn Mickens. Within the last few weeks, I found out from a reliable source that this problem is still ongoing and the violation is still happening. I did not hear these guys say that it is been corrected. Maybe I missed something. I did not hear them say that. Let me briefly read you from this June testimony of Walter Lewis, just a short paragraph: "It is unacceptable that County employees should be permitted to knowingly act in violation of law." Remember, this is coming from a lawyer. "Unless the Council wishes to be collusive as to such violation, I strongly urge that the Council initiate it and prosecute with such competent counsel, as it shall deem advisable, an investigation pursuant to the provisions of Kaua`i County Charter Section 3.17 on COUNCIL MEETING 52 NOVEMBER 16, 2016 all matters related to the violation of law found by the State." Also, what corrective measures have been taken to see that money is not going to be transferred again like it was before? Chair, you found out and you had to investigate it to find it out. They transferred money from one account to the other account to pay for this violation, close to two hundred thousand dollars ($200,000). So what corrective action has been taken to see that they just are not going to keep doing this anymore without coming to this Council for approval. Whether it is a bond fund or what, something should obviously be done about it. I did not hear answers from the Administration about these things, so maybe they have answers or maybe you do. I appreciate it. Thank you. Council Chair Rapozo: Thank you. Mr. Bernabe. That mic is very sensitive and there is a crackling sound. I do not know if it is the tone or frequency of your voice. Mr. Bernabe: I have been accused of being loud. I will try to tone it down. Council Chair Rapozo: Thank you. Mr. Bernabe: Matt Bernabe, for the record. I campaigned on solid waste and I sit up here and hear all of these people, and I hear correctly from you folks that this is "crisis management." They testified on a few things that just kind of got my ear, and one is, "We got our fine and we moved on it." The thing about it is that I know for a fact, as well as all of you know that we had good employees and this is what they cannot talk about? I am shocked because I thought this employee won his case on one of the transfer stations. That should be public knowledge. We had an employee point out several of these problems that we were fined for and the real issue here is when are we going to get a qualified Department of Human Resources and a qualified department head for the Solid Waste Division? This should be a job for a sanitation degree and an ecology degree, not an electrical engineering degree. That is right off the bat. For me, I saw pictures myself of a timeline that was too long of solvents coming out of the transfer station out in Princeville through rust holes. Then it eroded the asphalt that led to the drain that went to those in-ground tanks we are speaking of today that have pictures of water overflowing. They only capped it after-the-fact. The fact is that employee, not only did he do the right thing by following the chain of command, but then he got harassed to the point where he won a lawsuit and we pay him to stay home. That is a sanitation employee that followed the chain of command, not just on these water quality issues, but on the overloading of the weight of the vehicle driving to the Kekaha Landfill, which by the way, is a Roads issue, because if you are overweighting the vehicle, you are damaging the road. Also in the Princeville Transfer Station, there was a hole in the gate and were making our employees jump through that hole, onto the other roof, and maintain that equipment, which COUNCIL MEETING 53 NOVEMBER 16, 2016 they are not qualified, which we do not have maintenance records, and so on. This problem is enormous. This is an enormous problem. These guys should be terminated and we should be looking for a new person. Are you kidding me? I am done. ANNE PUNOHU: Aloha. My name is Anne Punohu. I am wondering, am I allowed to ask a question instead of just make a comment? Council Chair Rapozo: You can ask a question and we can try to answer it once you are done with your testimony. Ms. Punohu: Okay. My question is I know that this is an intergovernmental funding thing and I know that some of the money is supposed to come from the State, but I am also wondering if there are any Federal funds coming through the EPA to fund this. If they are State funds, are those State funds dependent on EPA funds? The reason why I am bringing this up...you are probably not going to like me right now, but I really do not care—after January 20th, we changed the administration in this country and we have a new head of the EPA, and it is no secret for anybody that the prospect that the EPA may be seriously dismantled or changed dramatically, especially on what it will fund and not fund, I want to know what kind of contingency, "plan b's," does the County have to protect Kaua`i's citizens, should the national EPA change its direction, scope, and intensity on especially things like clean water and exactly what we are talking about at this table today. I think it is something that you need to assure the people on that should the EPA be dismantled or degraded in any way, that even though you may not have funds coming from the Federal side, and even through the State, from the Federal, that the County is going to be able to maintain our water supply and the safety of the people of Kaua`i. Mahalo. Council Chair Rapozo: Thank you. Anyone else wishing to testify? Seeing none, I will call the meeting back to order. Just real quick to answer Anne's question, I think the "plan b" is what Wally talked about, reprioritization of the existing bond projects in anticipation of a new bond float. I think the contingency plan is in place. It is not a good one, but that is all we have right now. We will wait and see what the State and Feds do. Councilmember Yukimura. There being no further testimony, the meeting was called back to order, and proceeded as follows: Councilmember Yukimura: I want to add that SRF is a State fund and I am not sure...I do not believe it is EPA moneys, but...okay...it is EPA moneys...I see Lyle. Okay. It is a brilliant funding mechanism, actually, which really helps local government. So it is clear that we are going to be accessing that to the max. I appreciate all of the Administration's efforts to that. COUNCIL MEETING 54 NOVEMBER 16, 2016 Council Chair Rapozo: Councilmember Kagawa. Councilmember Kagawa: Are we in discussion? Council Chair Rapozo: Yes. Councilmember Kagawa: I have been pretty frustrated over the past four (4) years with the Solid Waste Division. When it comes to handling these types of problems, the worst thing you can do is react after something bad happens, and this is what happened in this case. It is obvious for years and years we knew of some of the problems and when it rains heavier, the problem is even worse. You have to be proactive. If that is your job and your duty to handle waste, then of course you have to deal with times when there is rainwater. It is simple. Everybody has their job. The Solid Waste Division has their job and they have to manage their job. When it comes to asking to extend the landfill vertically and horizontally, they come and ask and we give them what they need. When it comes to increasing the tipping fees, they came up twice in four (4) years. When you are asking the taxpayers to pay more and do more, you also have to do more. You have to improve yourself. I am not seeing that and I hope that in the coming years we will see some improvement in solid waste, in not doing crisis management, but proactive management; proactive actions that our taxpayers can swallow and say, "Hey, they are doing the best job they can." I think right now, when the public looks at a lot of these things, they see the same thing as I, that we should do a lot better in solid waste. It costs the taxpayers every year huge amounts of money. It is a huge government function, County government function, that takes up a lot of money and we need to do better. I think even something like "Pay As You Throw." When "you pay as you throw," if you wanted to keep your ninety-six (96) gallon can, they doubled your price, but it is more efficient because we are not getting workers' injuries by not having to carry it; we are doing it manually. I think it got better, but again, when we are asking the taxpayers to pay more and more, our County Solid Waste Division has to perform and I think it can do better. I am hopeful that going forward in the future we will do better. We have to get better in that department. Everybody needs to improve, but certainly, something like this, where clearly the evidence was there, and even from the employees that there were problems and contamination, and they were warned. After the thing happens, you can see all of the pictures that we have shown, right? To rectify the problem, we could do it. When we had to do it, we could do it. So why can we not do it before we get fined? It is simple. If you can do the job, you do the job. You do not do the job after you get fined. That is the wrong time to do the job. Again, I am frustrated, but we need to move forward, work with the Department of Public Works and the Solid Waste Division; going forward, we all need to do better, myself included. Let us stop this nonsense type of fines. We are just throwing away money and we are not in COUNCIL MEETING 55 NOVEMBER 16, 2016 position to throw away money. If we are going to throw away money, we should all resign, right now. Thank you. Council Chair Rapozo: Anyone else? No one else? Councilmember Yukimura. Councilmember Yukimura: Actually, I think Vice Chair Kagawa said a lot of it. We appreciate the response that has happened since the fines. I think there has been a lot of really good effort, but the question is how did we get here? That is an administrative kuleana and I am hoping that the Mayor and the Managing Director and the Department of Public Works will really look at this, because we cannot continue this way. It is not right for the taxpayers. It is not right for our workers. We can do better and we must do better. I am hopeful that out of this, we can actually use a major problem and get better from it. Council Chair Rapozo: Anyone else? It has already been stated and I think the frustration is pretty high. This has been a problem. This County, and not just in the Solid Waste Division, but in many departments, we do not really have a good preventive maintenance program or a good training program. We do not have a program where employees can make suggestions for change. If they do, they are not listening to the suggestions. There are a lot of things that we can learn out of this situation. This one was graphic because we got hit with a large fine. The fact that we are not fined in the other departments does not mean that they are all running smooth and I think that is where we have to pay attention to this. I do appreciate the response to the fine, but a lot of it was because it was brought here on the public floor in front of the camera. It is unfortunate that we have to come down this road. I have spoken of audits and investigations, and I know Mr. Mickens talked about Walter Lewis' recommendation, but we are going to try and find out what we can today in Executive Session. I think it is pretty clear—if you read the report, you read the investigation, and you spoke to the employees, it is very clear that we just chose not to follow the recommendations of the consultant, which we hired. The recommendations were there, we just did not implement them. We were warned with field violations and field notices and we still did not comply. Then we finally get hit with the big one. Like Councilmember Kagawa said, it is interesting how when I talk about energies and resources in non-priority issues, there is no shortage of that. If it is something that is a nice thing to have and we want to implement it then we go all the way, all resources and all energies are directed to that. When it comes to something like this where the people's health, employee health and safety are at risk, I do not think we put enough emphasis on it. This is the proof right here, we did not. Now we pay the fine. The fine is the least of my worries because we have some employees that were exposed to this toxic crap. If you saw what was in the discharge, there was some dangerous stuff in there that went into the water. I do not know...maybe it is just me, but I think this is pretty serious. It does not seem like the Administration has...aside from doing what we COUNCIL MEETING 56 NOVEMBER 16, 2016 have to do, and I appreciate them working with the Department of Health and all of that, but this is one of the most serious things I have seen, aside from employees getting killed or injured. On a normal day to day function of our departments, this is probably one of the worst things I have even seen. The fact that we have these discussions and we appreciate the crisis management, I think Councilmember Yukimura hit it right on the head, "crisis management." That does not stop our obligation to move forward and explore. I can tell you that whether it is 3.17 Investigation or a performance audit, something will come out of this; a request by me will come out. We will have that discussion in Executive Session, but at least one of the two (2), because we cannot continue to do "crisis management" and be okay with it. I think we need to determine the root of the problem. Councilmember Kagawa kind of talked about the increases in the tipping fees—all of the things we have done, as far as recycling efforts, the automated refuse pickup, and all of these elaborate programs that we have spent millions of dollars on. But the core function of the Solid Waste Division, which is our transfer stations and our landfill, got neglected because we put all of our energies into recycling. It is not that it is not important, but when you come over here and ask for a tipping fee increase because we want to do a change in the barrels or whatever the case is—no, if you are going to come here, you take care of the problems that we have to fix first. Without these transfer stations operating safely and in a healthy manner for our employees and our public...the recycling effort is not as important. We have to take care of the core functions before we can start expanding all of the other programs. Expect a resolution to come forward very shortly, whether it is a 3.17 or a performance audit. Councilmember Yukimura. Councilmember Yukimura: I hope we are not saying that one aspect of our solid waste management is more important than the other, because the recycling is diversion and it is going extend the life of our landfill. But I do agree, and I want to point out, that we have had several other red flags about the management. We are paying two million dollars ($2,000,000) because of the lack of oversight and proper management at our metals recycling place and that was part of our solid waste program. We have to address this problem and it is the Administration's kuleana to do that, and we, the Council, are expecting to see that addressed. Council Chair Rapozo: Obviously, I am not saying that recycling is not important, but if you had a life-threatening wound in your artery, you take care of the artery before you take care of the broken ankle. That is all I am saying. You have certain resources. Fix the core functions first because the diversion going to a noncompliant transfer station is not good. We just have to make sure that all the facets of this system work. Councilmember Yukimura is correct. With that, the motion is to receive. We are going to have the Executive Session to go into the details. Is there a motion? Okay. COUNCIL MEETING 57 NOVEMBER 16, 2016 The motion to receive C 2016-244 for the record was then put, and unanimously carried. Ms. Fountain-Tanigawa: The next items are the Claims. CLAIMS: C 2016-245 Communication (10/26/2016) from the County Clerk, transmitting a claim filed against the County of Kaua`i by GEICO Insurance Company as subrogee of Bruce Finnila, for damage to his vehicle, pursuant to Section 23.06, Charter of the County of Kaua`i: Councilmember Kuali`i moved to refer C 2016-245 to the County Attorney's Office for disposition and/or report back to the Council, seconded by Councilmember Yukimura. Council Chair Rapozo: Any discussion or public testimony? Mr. Bernabe. I will suspend the rules. There being no objections, the rules were suspended. Mr. Bernabe: Matt Bernabe. This is the one that I was waiting for all day. I am not going to go and talk against the TIGER grant because it is way down the line, but while I was talking about the TIGER grant, I pointed out how we left out so many other roads and I recently... Council Chair Rapozo: Hold on. Mr. Bernabe: This is car damage, right? Council Chair Rapozo: This is claims. Mr. Bernabe: For car damage, right? Council Chair Rapozo: It does not say what the claim is for. Mr. Bernabe: Mine said "for damage to his vehicle." Council Chair Rapozo: Yes. Okay. Mr. Bernabe: This is germane because I recently broke my upper ball joints on a stretch of road that I had been using constantly as something that I think is higher priority than Rice Street, and that road is Kawaihau. About three (3) weeks ago, I hit a bump coming around the turn, right in front Mahelona, and I have said it one hundred (100) times, jokingly, that we have to lock our hubs, and then boom—I had to replace my upper ball joints. That is directly correlated to COUNCIL MEETING 58 NOVEMBER 16, 2016 those speed bumps. I have a line...I took a video from where I hit the speedbumps all the way and the funny thing is, is that there is a sloth of speed holes in the road. There is not only one (1), the whole stretch from around the turn by Kapa'a Elementary School to the bottom is an off-road road. That is our County road. So when I see these claims, which I am not going to make one because I fix my own vehicle and the parts are cheap...I got it all done...I have the Toyota folks...but this is something that I have been talking about prioritizing our core services. I see time and time again. I, myself, have asked, "What are these claims for?" Nobody really says and it just goes through the process. But now that I see two (2) on the docket and I just recently had one, I would like...as a public member, I want to know how much money have we spent on vehicle damage correlated to our roads. I hope we can get that on the agenda one day. Council Chair Rapozo: Anyone else wishing to testify? If not, I will call the meeting back to order. Councilmember Yukimura. There being no further testimony, the meeting was called back to order, and proceeded as follows: Councilmember Yukimura: On the average, this is a national statistic on O`ahu, that a car driver pays seven hundred dollars ($700) a year for car repairs due to bad roads. So that is an answer to Matt's question and I could not quite understand whether the issue was bad roads or speed humps, but it is bad roads, right? Council Chair Rapozo: Yes. I guess it is every quarter that we get a report from the County Attorney of settled claims, which is public record. You can take a look at that and it shows all of the settled claims. Councilmember Yukimura: This could also be golf balls, right? Council Chair Rapozo: Yes, it could be a County car hitting someone, which is quite common nowadays. It could be a tree branch that fell on the windshield. I believe one of these actually was a pothole. I read both of them and I cannot remember which one is which, but I believe one of them was a pothole. I wish I had known you a couple of years ago when I broke my ball joints because I took it to...and they hammered me solid. Anyway, Councilmember Yukimura. Councilmember Yukimura: Can I say one more thing? Mr. Bernabe's testimony is support for fixing our roads and we have a one hundred million dollar ($100,000,000) backlog in fixing our roads, which is growing by the day, because we do not do preventive maintenance. That is one unfinished agenda of this Council. We have to find out how we are going to do that; otherwise, it is a bomb ready to explode. If you look at just my road, there is grass starting to grow in the road and COUNCIL MEETING 59 NOVEMBER 16, 2016 I was in Molokoa and there are roads like that, too, everywhere on this island. If we do not solve that problem, we are in super, big trouble and we are not doing our taxpayers justice. I just want to headline that, that is going to be one of the issues in this upcoming term. The motion to refer C 2016-245 to the County Attorney's Office for disposition and/or report back to the Council was then put, and unanimously carried. C 2016-246 Communication (11/02/2016) from the County Clerk, transmitting a claim filed against the County of Kaua`i by Michelle Melendez, for damage to her vehicle, pursuant to Section 23.06, Charter of the County of Kaua`i: Councilmember Kuali`i moved to refer C 2016-246 to the County Attorney's Office for disposition and/or report back to the Council, seconded by Councilmember Yukimura, unanimously carried. Council Chair Rapozo: Did we get in touch with someone regarding the Kapa'a Police Substation? Is there someone here that can answer that question? Was there a requirement to move that thing as a term? If not, we only have one (1) more Resolution left and I want to try and get through it before our caption break. It is probably going to take longer than that anyway. There being no objections, the rules were suspended. Mr. Rezentes: Just on that, I did get the permission from the awardee, the bidder to contact his contractor. I was outside talking to his contractor on the phone and they are trying to schedule it for next week Wednesday. That is their intent, so hopefully I am not going to be invited the next time to the Council on this issue. Council Chair Rapozo: Wally, I appreciate that. Mr. Rezentes: I am trying. Council Chair Rapozo: I can tell you what he said a while ago. I am not worried about that. My question and the reason we brought it back was do we have a clause in the purchasing or auction agreement that required him to move the item? That was the question. Mr. Rezentes: We do not, but we will include it on future auctions because it is relevant. Council Chair Rapozo: Okay. COUNCIL MEETING 60 NOVEMBER 16, 2016 Councilmember Yukimura: Can you also put in a contract or in the auction/procurement documents, a daily penalty that will be imposed if the timeline is not met? Mr. Rezentes: I think if that is allowed, and we can check with our attorneys if that is something that we can include, but yes, I do not see a problem. We definitely should look at that. Councilmember Yukimura: Okay. Great. Thank you. Council Chair Rapozo: If it is not removed, that the County has the right to dispose of the matter, they forfeit their payment, and we charge them for the disposal, period. I do not know what they think we are. Anyway, we will deal with it. Mr. Rezentes: To be honest, in fairness, I think there was some confusion about what types of permits the person needed initially, whether it was planning or building. When I got involved, when I came back, it was later determined that because of the use, his future use of the building, it would not require certain permits, so that took a little bit of time. Still, there are no excuses. We could have still done this thing a few months back. Council Chair Rapozo: Wally, if you go to Home Depot and you buy a big shed, you better know that you have to get a permit for that shed. If you do not, you do not leave it at Home Depot and say, "Hey, leave it out here. I did not realize that I had to get a permit." His excuse...I do not really care...it is not the County taxpayers' problem if he went ahead and purchased that. How much did we sell that thing for? Mr. Rezentes: I think it was one thousand one hundred fifty dollars ($1,150). Council Chair Rapozo: One thousand one hundred fifty dollars ($1,150). Then he needs to pay another one thousand five hundred dollars ($1,500) or two thousand dollars ($2,000) to get it out of there. To move the thing, I do not understand why he would need a use permit to move it...maybe to use it, yes. He does not need a use permit to move it. All he needs is the permitting to get... Mr. Rezentes: The place involved in... Council Chair Rapozo: Exactly. He does not need any use permit, building permit, or planning permit. He just has to get it on the trailer, get it out of there, and when he wants to use it for whatever he wants, and then he gets the permit. Just to say that we are waiting for a permit—for what? You get a police COUNCIL MEETING 61 NOVEMBER 16, 2016 permit, get a police car, escorts, and gone, out of there. I will ask for a deferral for this. Wally, if it is moved, we will just receive it at the next Council Meeting. Mr. Rezentes: I will definitely let you know. I will text you when it is done. Council Chair Rapozo: I know. Wally has been working extremely hard. I know that, Wally. You have been in contact with me, but at some point we have to put our foot down and say, "Sorry. He has to get that thing out of there." Can I get a motion to defer? Councilmember Kagawa moved to defer C 2016-243 to the December 14, 2016 Council Meeting, seconded by Councilmember Chock, and unanimously carried. Council Chair Rapozo: With that, let us take our caption break. We will come back and wrap up the Hawai`i State Association of Counties (HSAC) Resolution before lunch. There being no objections, the meeting was called back to order, and proceeded as follows: There being no objections, the meeting recessed at 11:30 a.m. The meeting reconvened at 11:40 a.m., and proceeded as follows: Council Chair Rapozo: The meeting is called back to order. Can we have the next item, please? Ms. Fountain-Tanigawa: Chair, we are on page number 4, Resolution No. 2016-79. RESOLUTION: Resolution No. 2016-79 — RESOLUTION APPROVING PROPOSALS FOR INCLUSION IN THE 2017 HAWAII STATE ASSOCIATION OF COUNTIES LEGISLATIVE PACKAGE Council Chair Rapozo: I would ask that we take each item individually, if there are no objections. Councilmember Kagawa moved to vote all items of the 2017 HSAC Legislative Package in seriatim, seconded by Councilmember Chock, and unanimously carried. COUNCIL MEETING 62 NOVEMBER 16, 2016 Council Chair Rapozo: Let us start with item number 1, "A Bill For An Act Relating To Tory Liability." 1. A Bill For An Act Relating To Tort Liability (County of Kaua`i) Councilmember Kagawa moved to approve A Bill For An Act Relating To Tort Liability (County of Kaua`i), seconded by Councilmember Chock. Council Chair Rapozo: This one is the lifeguards' protection. This removes the sunset provision. This is one that we have attempted every year and the legislature has conveniently put it off and this is the last year. The sunset is in 2017, so we need this to pass. Unless there is any further discussion, the motion is to approve. The motion to approve A Bill For An Act Relating To Tort Liability (County of Kaua`i) was then put, and unanimously carried. 2. A Bill For An Act Relating To Unadjudicated Traffic Fines (County of Kaua`i) Council Chair Rapozo: This is another one that we have...all of these bills are in your packet. Councilmember Kuali`i moved to approve Bill For An Act Relating To Unadjudicated Traffic Fines (County of Kaua`i), seconded by Councilmember Chock. Council Chair Rapozo: This one simply asks the State...it basically says, "Judiciary shall identify those fines paid for uncontested traffic infractions as dived in 291C-A. The disposition of these fines is forfeitures paid to the Director of Finance shall be subject to Section 291C-B." Basically, all unadjudicated uncontested traffic fines would be sent to the individual counties. There is no percentage. Right now, this is just where we can have a starting point to have the discussion with the legislature. We have been unsuccessful every year, but hopefully we can get some headway this year. Any discussion or public testimony? The motion to approve Bill For An Act Relating To Unadjudicated Traffic Fines (County of Kauai) was then put, and unanimously carried. 3. A Bill For An Act Making An Appropriation for Emergency Medical Services (County of Kaua`i) COUNCIL MEETING 63 NOVEMBER 16, 2016 Councilmember Kuali`i moved to approve A Bill For An Act Making An Appropriation for Emergency Medical Services (County of Kaua`i), seconded by Councilmember Chock. Council Chair Rapozo: This one here was a joint effort by the counties, state, as well as the American Medical Response (AMR), the providers of the Emergency Medical Services (EMS) throughout the State. They decided to unite, unify, and go as one voice to the legislature. I think it is a good thing and hopefully we can get some movement on this as well. Are there any questions? Councilmember Yukimura. Councilmember Yukimura: Does anybody know the cost of emergency medical service per capita if this thing passes? Council Chair Rapozo: The cost? All I know is that to put a new ambulance in the County for Kauai is one million two hundred thousand dollars ($1,200,000). I would not know per capita. Councilmember Yukimura: How many ambulances do we have right now? Council Chair Rapozo: Five (5). Councilmember Yukimura: We have five (5) now, so that is five (5) times one million two hundred thousand dollars ($1,200,000), so that is six million dollars ($6,000,000). Council Chair Rapozo: That is because it is private. We do not fund the benefits. We contract that out, as opposed to some of the other counties who actually have it as county employees, which they are subject to collective bargaining. So it is a lot higher in Oahu than it is here. Councilmember Yukimura: Per capita? Council Chair Rapozo: I do not know about per capita. Are you talking about per person, per capita? Councilmember Yukimura: Yes. Council Chair Rapozo: No, I know that the unit is a lot higher to the cost to fund an ambulance unit with staff...in the City & County of Honolulu, it is higher than it is here on Kaua`i. COUNCIL MEETING 64 NOVEMBER 16, 2016 Councilmember Yukimura: Okay. I am going to vote for this, but I think that the present system...with the present system and an additional service, there is going to be considerable overlap and I think there needs to be some innovation and creative collaboration applied to this problem of emergency medical service delivery. I think there are possibilities that we need to explore between the Fire Department and emergency medical because both of us do emergency medical response, of different levels admittedly, but I think it is time to be more creative. We have a responsibility to make sure that we are providing the most cost-effective service as possible. I am not sure that we are doing that. I raised it before and I have challenged both the Fire Department and the EMS service contractor to see if there are ways we could work together to reduce the per capita cost. I would like to ask staff to ask for information on that and find out what the per capita costs are comparatively across the State. We talked earlier about having a really tight budget and having a really tight budget means it is more important than ever to make sure that we have the most efficient and effective service. Council Chair Rapozo: This would be State funds, not County funds. So the State funds, as far as our County budget, we are not impacted by the AMR or the contract for ambulance services here. What this is saying is that the State legislation look at prioritizing the next ambulances to Hawai`i island and Kaua`i, versus all four (4) counties going to the legislature saying, "Hey, we need a new ambulance." They got together and they prioritized it. Hawai`i island and Kaua`i need it the most; obviously Kaua`i, because we only have five (5). When you look at the coverage, when one (1) ambulance is out, that leaves a huge area that has got to be covered by the remaining four (4) stations. Councilmember Yukimura: Chair, it is still the taxpayer that is paying all of this money, whether it is State money or County money, so if there are ways we can find more cost-effective services...that is why I am looking at the total budget. I would like to see that happen. Thank you. Council Chair Rapozo: Okay. Any other discussion? The motion to approve A Bill For An Act Making An Appropriation for Emergency Medical Services (County of Kaua`i) was then put, and unanimously carried. 4. A Bill For An Act Relating To Unmanned Aerial Vehicles (City & County of Honolulu) Council Chair Rapozo: Next up is A Bill For An Act Relating To Unmanned Aerial Vehicles, which are the drones. This came out of the City & County of Honolulu. Basically, they are adding in a section that prohibits drones. You almost wonder if we even need a law, but I guess we do. "It shall be unlawful COUNCIL MEETING 65 NOVEMBER 16, 2016 for any person to intentionally, knowingly, or recklessly use an unmanned aerial vehicle to record or photograph a person in a private place without the consent of the person for the purposes of spying on the person and invading the privacy of another person with an unlawful purpose, under circumstances which a reasonable person in a private place would not expect to be observed." Councilmember Kuali`i moved to A Bill For An Act Relating To Unmanned Aerial Vehicles (City & County of Honolulu), seconded by Councilmember Yukimura. Council Chair Rapozo: Councilmember Kagawa. Councilmember Kagawa: Thank you, Mr. Chair. I had worked on a bill or a solution to this exact problem with Peter Nakamura...I mean Peter Morimoto, I am sorry—anyway, Peter left and the reason why we kind of stopped was that we reached a major roadblock that he ran into while trying to research what we could do, which the Federal government solely controls anything regarding airspace. I had the same concerns brought to me by a number of constituents, where while they see the value in technology and children having hobbies besides just playing videogames—certainly, when into the hands of a sexual predator or some other person of that nature, it could be very harmful if used in the wrong way, like to spy on some of our residents. Because you cannot just regulate it to certain individuals, I had sought to look at banning it in residential neighborhoods because I felt that the protection to the residents and the general public was more important than recreation in the neighborhood areas where children are playing. So we were looking at ways where it would be legal to fly it in the park or some open space area away from residential neighborhoods. Even from time to time, I see a drone flying around in my neighborhood and they like to fly it at night, so you can see the lights. I think the lights are green and red. Anyway, they are flying relatively low and there are video cameras on that thing. It is very dangerous. It is something that we should be aware of and I am very curious to see if the legislature will approve of this and how it will play out, should it hit the court system. Like I said, this is an area where the Federal government solely controls anything regarding laws in the air. This something that I strongly support. Thank you, Chair. Council Chair Rapozo: Thank you. Councilmember Yukimura. Councilmember Yukimura: Do we have any background information that shows that the legal issue has been addressed? Council Chair Rapozo: It went through the City & County of Honolulu. It passed through their Department of the Corporation Counsel. There is an existing statute regarding unmanned aerial vehicles. This one really just specifies the privacy component, but the State law right now talks about where it COUNCIL MEETING 66 NOVEMBER 16, 2016 can be used to monitor traffic, but it was very broad as far as spying, so this one just specifies the restrictions. Councilmember Yukimura: Apparently, it is a combination of a totally new chapter, and then also a revision to what must be a section on personal privacy and videoing people on ground, as well as in the air. Council Chair Rapozo: Correct. Councilmember Yukimura: I think there is a great need to regulate this new technology, so I do not have any problems with it, but I would like to ask if perhaps we can explore with HSAC, a process where at least we have an informational sheet with every proposal that can tell us the purpose, the background, and if there are legal issues or the fact that there is now an opinion that addresses that legal issue. Council Chair Rapozo: We actually have the justification sheet. I am not sure if we have it available. Councilmember Yukimura: I remember those. They were pretty skimpy. They kind of just tell you the purpose. Council Chair Rapozo: Right. Councilmember Yukimura: So maybe in the future if we could have informational sheets that are a little more substantive, it will help us. Council Chair Rapozo: It would not hurt to have a portion of the form which will show that it went through legal review, just in case. Legal opinions differ from county to county. It is all interpretation. I was just shocked that we needed a law to stop a drone from looking into my bathroom while I was using the bathroom. That is what this kind of addresses. It is just really bizarre. The motion to approve A Bill For An Act Relating To Unmanned Aerial Vehicles (City & County of Honolulu)was then put, and unanimously carried. Council Chair Rapozo: The next one is "A Bill For An Act Relating To Community Meetings." This is proposed by Maui County, basically, a Sunshine Law exemption that would allow Councilmembers to attend community meetings that are open to the public without having to... Councilmember Hooser: You are skipping the noise control item. Council Chair Rapozo: I am sorry. COUNCIL MEETING 67 NOVEMBER 16, 2016 Ms. Fountain-Tanigawa: We are on number 5, Chair. Councilmember Yukimura: Actually, it is not on our... Council Chair Rapozo: I am following C 2016-240. Ms. Fountain-Tanigawa: On page 2. Councilmember Hooser: Number 5 was noise control? Councilmember Yukimura: Do we have a copy of the Bill? Councilmember Kuali`i: Number 5, community meetings on September 29th. Council Chair Rapozo: Hold on. I am looking for the Resolution. I was looking at the letter. Number 5 is the... Councilmember Yukimura: It is not in the first Consent Calendar attachments. Councilmember Hooser: It is not on the Resolution either. Councilmember Yukimura: The Bill is not. Council Chair Rapozo: Let us take a five (5) minute recess. There being no objections, the meeting recessed at 11:54 a.m. The meeting reconvened at 11:57 a.m., and proceeded as follows: Council Chair Rapozo: The meeting is called back to order. I apologize, I was going off of a communication instead of the Resolution. With that, we will use the Resolution number 5, which is "A Bill For An Act Relating To Noise Control." May I get a motion? 5. A Bill For An Act Relating To Noise Control (City & County of Honolulu) Councilmember Kagawa moved to approve A Bill For An Act Relating To Noise Control (City & County of Honolulu), seconded by Councilmember Kaneshiro. Council Chair Rapozo: Any discussion? Councilmember Hooser. COUNCIL MEETING 68 NOVEMBER 16, 2016 Councilmember Hooser: This appears to transfer legal authority for noise ordinances to the State. I do not know if this would supercede County authority or not, but that is certainly what it looks like to me and I will not be able to support that. Council Chair Rapozo: Councilmember Yukimura. Councilmember Yukimura: My understanding was that the City & County of Honolulu has a pretty robust noise control ordinance. Council Chair Rapozo: Excuse me real quick, can you tell those people outside to be quiet? I am sorry, Councilmember Yukimura. Councilmember Yukimura: My understanding is that the City & County has a pretty robust noise ordinance. For the rest of the counties, the Department of Health has regulations regarding noise that they are supposed to enforce. I think in our experience here on Kaua`i, that enforcement has not been that satisfactory. So to give that power to the State Department of Health just does not make sense to me. Is this just for the City & County of Honolulu or is it for all counties? Council Chair Rapozo: No, for all counties. This was introduced by the City & County, I believe. Apparently, they are running into the same problems that we do. The people call the State and they say, "Hey, we cannot do anything. Tell your county to propose a noise ordinance." This basically requires the State to investigate and control noise pollution. Councilmember Yukimura: Chair, you said you were going to introduce a noise bill because I think we have not had satisfactory enforcement by the Department of Health and I am pretty sure that Joan Hayes, back in the `70s, got a noise ordinance through the City & County, so this seems like they want to give that responsibility back to the Department of Health. It does not make sense. Council Chair Rapozo: I do not believe this would prohibit the counties from having a noise ordinance. This now just makes it mandatory that they do investigate because they have been passing it off on the counties, which the Department of Health should be investigating complaints. I do not care if it is the chicken or the radio, but they do not. Councilmember Hooser. Councilmember Hooser: I think this is giving the State more power over the County and I do not think it is a good idea. We are a rural county and we might like our chickens and noise of the country and those in the State may not. I think we need to be very careful about giving the State people in Honolulu the right or additional power and direction and telling them to control noise in the county. COUNCIL MEETING 69 NOVEMBER 16, 2016 Council Chair Rapozo: Okay. Any other concerns? I did not think about it that way and I am not prepared to answer that question of whether or not it takes away the County's authority? I am okay with whatever you folks want to do. Councilmember Yukimura. Councilmember Yukimura: It says "in addition to other powers," so it may be dual powers where the County has some power and the State has some power, but even that situation is not good, unless we are coordinated because that can make agencies "pass the buck." So I think unless we are sure this is a good thing, we should vote against it. I am going to be voting against it. Council Chair Rapozo: Okay. Anyone else? I will suspend the rules with no objections. There being no objections, the rules were suspended to take public testimony. Ms. Punohu: Aloha, Anne Punohu. I had been a decades long proponent of home rule for Kaua`i. In some cases, I am a proponent of Federal protection for United States citizens. In some cases, I am a proponent of the State protecting us, but in light of current national events—Kaua`i, it is imperative that we hold on to as much home rule as we can, in case the proverbial "ahem" hits the fan. We must be able to protect Kaua`i's citizens at all costs in the future. Therefore, anything that gives up any more power to a government that may come in and tell us to do things that could be detrimental to the health, welfare, and safety of Kaua`i residents should not be considered at this time until our national platform is stabilized and we are sure that there will be no destabilization of this State or this island. Mahalo. Council Chair Rapozo: Thank you very much. Anyone else wishing to testify? If not, I will call the meeting back to order. Any further discussion? Go ahead. There being no further testimony, the meeting was called back to order, and proceeded as follows: Councilmember Kuali`i: I think to a certain degree, if it is part of the Department of Health's responsibility, and this is just clarifying it and making them more accountable, I do not see why...obviously, if the City & County of Honolulu is the only county that have good ordinances, as Councilmember Yukimura says, in place and they are the ones putting this forward, they must be saying that the State needs to be held more accountable to the people for addressing noise. I do not know if we do not do this, if we disapprove this, that we are not just saying the State is off the hook and that we will be responsible for it, and then we COUNCIL MEETING 70 NOVEMBER 16, 2016 will come to the position where, "Well, who actually in the county? Do we have to fund additional positions for enforcement?" There will still always be noise complaints and the KPD will still do what they do, but what does it hurt to have the State Department of Health playing a role as Hawai`i Revised Statutes (HRS) states they should? Council Chair Rapozo: Councilmember Kagawa. Councilmember Kagawa: I am going to be supporting this, and this is why—for me, if I do not foresee the legislature passing an unreasonable noise law that they cannot enforce or if it is unreasonable, if they do even pass something like this. I think a lot of times we have residents just asking for reasonable noise control and I think reasonable noise control should be applied statewide. There should be levels and I trust that the legislature will have the judgment to determine what is reasonable and unreasonable. If they venture upon something new, I would think that they would be willing to work out the details and improve the bill, should it have any problems. I think if we can get the State to handle something like this where I think residents deserve a reasonable noise law that will make for more peaceful communities, especially residential areas, then I am all for it. Just to remind us, the State has taken away yet another thirteen million dollars ($13,000,000) and now it is up to sixty-fix million dollars ($65,000,000) of our Transient Accommodations Tax (TAT) because they have imposed a cap on our TAT; why would we want to take more responsibility when they are taking away more money from us? If they are going to take more money then let them handle and try to improve the quality of life for our residents using their money, since they are actually taking our money. So I am for it. I am hoping, again, that the State will have their elected officials, as well, and that they will be able to try to pass something that is reasonable, that our residents deserve, and hopefully they can do a better job of controlling unreasonable noise in our communities. Thank you, Chair. Council Chair Rapozo: Thank you. Anyone else? Councilmember Hooser. Councilmember Hooser: I think we are voting on something that we do not have all of the answers to. Number one, we do not really know what this is going to do or how much power it is going to take away from the counties, and what is reasonable to someone living in Waikiki is totally different to what is reasonable to somebody who is living in Hanalei or Kekaha. We have four (4) representatives in the state legislature out of seventy (70) plus. We have very little representation, so it just does not make sense to me to support something and we do not really know what it will do and how much power it takes away, and yet give additional authority to people living in Honolulu and other places to govern and pass laws that COUNCIL MEETING 71 NOVEMBER 16, 2016 are going to impact the residents in our rural community. I am going continue to vote "no." Council Chair Rapozo: Aida, we are going skip this one for now. Can we get the justification sheet for that? I am not sure if it is skimpy, but maybe we can get more information. We are going to go to the next item. 6. A Bill For An Act Relating To Community Meetings (County of Maui) Councilmember Kuali`i moved to approve A Bill For An Act Relating To Community Meetings (County of Maui), seconded by Councilmember Kagawa. Council Chair Rapozo: Again, the Sunshine Law—to make it legal for more than two (2) members of any County Council to attend a community meeting that is open to the public. Right now, we are prohibited and it is one of the most ridiculous laws that I think I have ever seen, but that is what this is. Any discussion? Questions? Councilmember Yukimura. Councilmember Yukimura: We have so many separate cover letters, but there is one relating to government records and that is not what we are talking about, right? We are talking about community meetings. Council Chair Rapozo: Correct. Councilmember Yukimura: Okay. I would like to say that I am in complete support of this Bill. It makes some really good amendments because it specifies that any meeting where this would apply has to be open to the public, so it cuts out special interest meetings that want all of the Council to be present. Right now, the prohibition against us being more than two (2) in number at a community meeting on a subject that might come before us is really restrictive. It is anti-learning and anti-community because it gets us out in the community with the community and it is often about things that are informational that we need to learn and this law says that we cannot be there if we are more than two (2). To me, it contradicts the very purpose of the Sunshine Law for robust debate and good information. I am in complete support of it. Council Chair Rapozo: Councilmember Hooser. Councilmember Hooser: I had a question. On the last page, it says "Notwithstanding Sections 92-3.1(b)" and I cannot find that anywhere. Council Chair Rapozo: 92-3.1(b)? COUNCIL MEETING 72 NOVEMBER 16, 2016 Councilmember Hooser: Yes. It does not seem to be, unless I am missing it. Councilmember Yukimura: It is not printed in this Bill. Council Chair Rapozo: Can we get 92-3.1(b)? Councilmember Hooser: Also, I have some concerns about this. The Sunshine Law is a fundamental law and I know it has many, many flaws to it and inhibits discussion in many ways. This does not seem also to define what a public meeting is in terms of notice. So any big developer or other special interests could have a meeting and could say it is public, but not notify the public or not give notice twenty-four (24) hours, four (4) days, or whatever. So it leaves the door wide open, if you would. If there is a public meeting and nobody knows about it, then it is not really a public meeting, but they could say it is a public meeting. There are no definitions in this. Council Chair Rapozo: I am going to have Mauna Kea come up to explain Section 92-3.1(b). Councilmember Kagawa. Councilmember Kagawa: Before he answers that, I just want to comment that I totally agree with Councilmember Hooser on this one. There are times when I think the Sunshine Law is helpful and serves a purpose to notify the public of when we are going to be discussing something and making our points of view. The other more confusing part is why this applies to councilmembers and does not apply to the state representatives? It is almost ridiculous where you have elected officials in one (1) branch who have to comply with this and elected officials under the State that have no law to follow under the Sunshine Law and they can do whatever they want, whenever they want. It is just difficult for me to even decide which way we should go because it is just so contradictory that one (1) branch follows it and the other branch disregards it. It does not make any sense at all. Thank you, Chair. Council Chair Rapozo: With that, I will suspend the rules with no objections. Mr. Trask. There being no objections, the rules were suspended. Mr. Trask: Aloha. For the record, Mauna Kea Trask, County Attorney. For the record, the proposed bills before you are specific and the rest of the chapter still remains. So this is to be read in the context of the entire Chapter 92, the Sunshine Law. So 92-3.1 defines and pertains to limited meetings and 92-3.1(b) provides that, "1) a county council may hold a limited meeting that is open to the public as guest of a board or community group holding its own meeting COUNCIL MEETING 73 NOVEMBER 16, 2016 and the council shall not be required to have a quorum of members in attendance or accept oral testimony provided that notice of the limited meeting shall be provided in accordance with 92-7, shall indicate the board or community group whose meeting the council is attending and shall not be required to include an agenda; 2) if the board or community group whose meeting the council is attending is subject to Part 1, Chapter 92, then the board or community group shall comply with the notice, agenda, testimony, minutes, and other requirements...." Then it goes a little further, I do not want to have to read the whole thing, but that would reference the limited meetings provided by in 92-3.1. Council Chair Rapozo: Any questions for Mr. Trask? Councilmember Yukimura. Councilmember Yukimura: What a convoluted way to write a law. If councilmembers are just attending a meeting, it is obviously not their meeting. So to read requirements of a limited meeting makes no sense at all. Mr. Trask: The limited meeting is that the county council may hold a limited meeting. So in the proposal, you are attending someone else's meeting. Councilmember Yukimura: Right. Mr. Trask: The limited meeting is what this body may hold...like host a meeting for another board or community group. Therefore, you do not need quorum, subject to certain conditions. The limited meeting's approach seems to be the other way, but I agree with you, even as a practicing attorney, "the notwithstanding" language, those are always the kind of difficult provisions to deal with. It is the way the law is written a lot of the time. So if you would like further information, it is good to read these in the context of the entire chapter. Councilmember Yukimura: I have a question. Council Chair Rapozo: Go ahead. Councilmember Yukimura: So notwithstanding this section about limited meetings, for meetings described in subsection (e), which is described here in this Bill, "the limitation on number of attendees shall not apply to members of a county council." So the meetings where that shall not apply are "two (2) or more members of the Council, but less than the number of members which would constitute a quorum for the board." So in the Kaua`i County Council's case, that means up to three (3), but less than the number of members which would constitute a quorum. A quorum is four (4) for the Council. So it is basically saying that at COUNCIL MEETING 74 NOVEMBER 16, 2016 least three (3) can attend an informational meeting or presentation on matters relating to official council business, including a meeting of another entity, a legislative hearing, a convention seminar, or community meeting open to the public, provided that the meeting or presentation is not specifically or exclusively organized for or directed towards members of the board. Members in attendance may participate in discussions. I do not know why it says "including discussions among themselves," but, "provided that the discussions occur during and as part of the informational meeting or presentation, and that further no commitment relating to a vote on the matter is made or sought." That is reasonable. It is too bad that more than three (3) cannot attend. Council Chair Rapozo: Well, it is actually two (2) for Kaua`i because OIP has ruled that because our committees are made up of five (5) members, they look at that as a "board," so a quorum is three (3). That is just how restrictive they are. So it is two (2). Councilmember Yukimura: But it is three (3) if you belong to the committee of the subject matter. Council Chair Rapozo: Right. We are still ex-officio members. Again, at one of our HSAC meetings, we had that discussion because we questioned whether or not it was off the committee or the council and they made the ruling that it would be off of the committee. They are very tough. Basically, this for a meeting open to the public, more than two (2) of us could attend. Councilmember Yukimura: But less than three (3) or two (2), depending on whether... Council Chair Rapozo: If this passes, seven (7) of us could go. It says "this shall not apply to members of a county council." So we would be able to attend the community hearings and the community meetings. It just makes sense. I am hoping that we can get the legislature to move on this. Every legislator that I have spoken to agrees with this, so we will see how they vote, if we even get a hearing date. Councilmember Yukimura: Okay. Council Chair Rapozo: Any more questions for Mauna Kea? If not, I will call the meeting back to order. Any further discussion? Councilmember Hooser. There being no objections, the meeting was called back to order, and proceeded as follows: COUNCIL MEETING 75 NOVEMBER 16, 2016 Councilmember Hooser: Just real brief, this is a big, important issue and I would like to see a more comprehensive look at it, rather than just piecemeal. I think it was last year at the legislature where they had a public meeting with fifteen (15) minutes' notice. So when is a public meeting not a public meeting just because you call it a public meeting? Hopefully when this goes through the legislature, that will happen where they put some kind of public notice requirements on there so that people do not have public meetings when the public is not aware of it and use that as a way to circumvent what is intended to be an improvement of the law. Thank you. Council Chair Rapozo: Thank you. Any further discussion? If not, roll call. The motion to approve A Bill For An Act Relating To Community Meetings (County of Maui) was then put, and carried by the following vote: FOR APPROVAL: Chock, Kagawa, Kaneshiro, Kuali`i, Yukimura, Rapozo TOTAL — 6, AGAINST APPROVAL: Hooser TOTAL— 1, EXCUSED & NOT VOTING: None TOTAL — 0, RECUSED & NOT VOTING: None TOTAL — 0. 7. A Bill For An Act Relating To Identification Cards For Persons With Disabilities (County of Maui) Councilmember Chock moved to approve A Bill For An Act Relating To Identification Cards For Persons With Disabilities (County of Maui), seconded by Councilmember Kuali`i. Council Chair Rapozo: Any discussion? Public testimony? The motion to approve A Bill For An Act Relating To Identification Cards For Persons With Disabilities (County of Maui) was then put, and unanimously carried. 8. A Bill For An Act Relating To Transient Accommodations Tax (County of Maui) Councilmember Kuali`i moved to approve A Bill For An Act Relating To Transient Accommodations Tax (County of Maui), seconded by Councilmember Kaneshiro. Council Chair Rapozo: Before the State changed the rules and changed the percentages, this basically pays out all of the special funds in the remaining balancing, which now for us is capped, will provide us with a forty-five COUNCIL MEETING 76 NOVEMBER 16, 2016 percent (45%) share. So the State would still retain the fifty-five percent (55%). The counties would share the forty-five percent (45%); in the same proportions, Kaua`i would still get fourteen point five percent (14.5%). So the individual percentages would not change; just the counties' share. That is the proposal and we hope to get some traction this year. Councilmember Yukimura. Councilmember Yukimura: What is the monetary amount that the County would get under this proposal? Council Chair Rapozo: It is forty-five percent (45%) of the remainder of total moneys generated. Councilmember Yukimura: Right, assuming that it is the amount we have been getting in the last two (2) or three (3) years? Council Chair Rapozo: I am not sure what the exact number is. Councilmember Kagawa: I believe if the percentages are the same as it was before the cap was in place, the latest calculation they said was thirteen million two hundred thousand dollars ($13,200,000) or something, in addition. Council Chair Rapozo: That is what we get now. I do not want to speculate, but it is significantly higher. Councilmember Yukimura: Surely, we should know that though. Councilmember Kagawa: Do we know? I thought it was thirteen million two hundred thousand dollars ($13,200,000). Council Chair Rapozo: No, we are getting the thirteen million dollars ($13,000,000) now. Councilmember Yukimura: I think it might be another ten million dollars ($10,000,000). Council Chair Rapozo: We are capped, so it does not change. With this one, the cap is removed and we get the forty-five percent (45%). The number is the number, whatever it is. I think the concept of this proposal is to bring back fairness to the distribution of the funds, that, in fact, the County should get more than a capped amount and forty-five percent (45%) is the task force recommendation; the task force that the legislature put together two (2) years ago came out with a recommendation and this is what it was. This was their recommendation to the State, which the State politely picked it up and threw it away in the trash can and said, "No, that is not what we want," after we spent all of COUNCIL MEETING 77 NOVEMBER 16, 2016 that time and money. So this basically implements the recommendation that was put forth by the TAT Task Force. Councilmember Yukimura. Councilmember Yukimura: I have no problem with asking for a better percentage and removing the cap, but I do have problems with some of these expenditures that are part of this bill, like one million dollars ($1,000,000) for, and this is every year, the operation of a Hawaiian Center and Museum of Hawaiian Music and Dance at the Convention Center? One, it makes more sense to do a one-time exhibit and have it at the Bishop Museum. Council Chair Rapozo: That is not a change though, Councilmember Yukimura. That is currently... Councilmember Yukimura: It is a change in the bill. Council Chair Rapozo: No, it is not. All the takeaways are the same. They just rewrote it, so the numbers may change. Councilmember Yukimura: Well, I would really rather see that one million dollars ($1,000,000) spread to neighbor islands to promote Hawaiian music and dance. Council Chair Rapozo: Trust me, HSAC is not happy with that either; the outer islands are not happy that we are taking moneys generated statewide and sending it to the Convention Center, which does not benefit Kaua`i. The one million dollars ($1,000,000) that you talked about to Turtle Bay, that does not impact...HSAC's proposal was, "Hey, you take all of that stuff out of O`ahu's portion because they are the beneficiary of that." Of course, the task force came out. This is simply because HSAC felt that rather than just going there and grabbing a number out of the sky and not being able to justify it at the capitol—trust me, it is not fun going over there and trying to justify getting more money from them. It is like squeezing blood out of a turnip. We felt the best chance that we had was going with the task force recommendation, because that was their commission task force. I do not agree with the one million dollars ($1,000,000)...I do not agree with giving Turtle Bay any money either. The Convention Center benefits Honolulu. Yes, we get some benefit. Some of those tourists come to the outer islands, but for the most part, they fly in, hit the convention, and they go back. We get no benefit. This is really trying to implement the task force recommendations because that is the only justification that we, as HSAC, can go up and really say, "Hey, we just want you to implement the task force recommendation." Councilmember Yukimura: Especially since the legislature itself does not like the task force recommendation, I would rather we just stay focused on what COUNCIL MEETING 78 NOVEMBER 16, 2016 we want for ourselves and not go around endorsing all of these other expenditures, which we seem to be doing by endorsing this bill. Council Chair Rapozo: Councilmember Kagawa. Councilmember Kagawa: The County of Kaua`i may not be happy with what is before us right now with all of it, but I think one can agree that HSAC having a unified front, saying that we want the cap lifted and getting us what we had six (6) years ago, our fair share of the TAT, is really the primary goal. Although there are some bits and pieces that we would like changed, I think changing those may not get us in agreement with the other counties, so we can get a unified front from HSAC saying that we want the cap lifted. That is the main thing. Like you said, we are following the working group's proposal, which gives us the best chance of getting the State to budge. It is highly unlikely, but I think staying unified gives us a better chance, rather than going individually with our request. Thank you, Chair. Council Chair Rapozo: Just from my personal experience as far as the other funds that these moneys go to, those will not change. Our only hope is to get a better percentage off the revenue. The task force did all of the work. They did all of the calculations and looked at the percentages of revenues versus expenditures for each county and they came up with this number, and I think that we should probably accept it. To go on it separately as the Kaua`i County versus the rest...it is just not going to happen. Again, our legislators play a key role this year, and to the members of the public watching, you need to contact your Kaua`i Delegation and make sure that they go up and speak for us. This is going to be a critical year for all counties. Councilmember Yukimura. Councilmember Yukimura: I agree that we should unify around that position of how much the County should get. I do not agree with this vehicle, which indicates that we support a lot more. I do want to say that we got the excise tax power from the legislature when HSAC was not willing to support it. So it is possible to get it without a unified front. My feeling is that Kaua`i County should go with what is the most strategic and best way to get what we want. Thank you. Council Chair Rapozo: Anyone else? Councilmember Kuali`i. Councilmember Kuali`i: I do think the most important part about this is the language that says "there should be no fixed dollar amount caps, floors, or similar restrictions on allocations to the state and counties," and that...this fifty-five percent (55%) and forty-five percent (45%) split, should there be any increases or decreases with the TAT revenues, then that would still play out 55/45. So it is most important, I think, that we remove the caps. The other thing is that of COUNCIL MEETING 79 NOVEMBER 16, 2016 the forty-five percent (45%) that does go to the counties, that Kaua`i is maintaining its fourteen point five percent (14.5%). Councilmember Yukimura: What is that amount we were going find out if we assumed the total amount in TAT? Did we get that? Council Chair Rapozo: Scott, did you figure it out? It fluctuates and I am not sure if you are talking about last year's allocation. Councilmember Yukimura: Yes. Do we know? Council Chair Rapozo: We could find out. Councilmember Kuali`i: We probably know what we lost as a result of the cap, right? Council Chair Rapozo: I want to say it would be... Councilmember Kuali`i: TAT revenues went up, but we did not get that increase because the cap held us. Council Chair Rapozo: If we can pull up Mike White's presentation, it is in there. It is something significantly higher. I do not know if you want to move on or take the vote. Councilmember Yukimura: Alright, go ahead. Let us vote, but we really should know this. Council Chair Rapozo: To me, it is not the number. It is the fairness of it; it is the percentage. Regardless of what the number is, to me, it is just a matter of bringing back fairness. Before the State went ahead and increased the TAT from seven percent (7%) plus to nine percent (9%), the extra two percent (2%) and put the cap, they told the counties and the public that once the economy got better and the tourism got better, they would reduce the TAT back to the seven percent (7%) plus and they would remove the cap. They never did that. This is just one opportunity for us to bring more fairness and equity into this disbursement. So whatever the number is—I understand it is important, but that was not the concept of this proposal. It is the percentage and the fairness and to get our fair share. It was not tied to a number. I am perfectly fine with waiting. Councilmember Yukimura: Chair, the way I see it is we are entitled to the TAT money to the extent that it offsets the cost of tourism to county operations, whether it is tourist promotion or whatever. I think when we did our calculations, it was about ten million dollars ($10,000,000) or fifteen million dollars ($15,000,000) COUNCIL MEETING 80 NOVEMBER 16, 2016 of our budget, or even twenty-three million dollars ($23,000,000) at the most. To me, amount makes a difference, in terms of fairness. Council Chair Rapozo: Okay. Any other discussion? Councilmember Yukimura: I think we will have stronger arguments before the legislature if we put it that way. Council Chair Rapozo: Like I said, the strongest argument we have is we go in with the task force recommendation. The work has been done by their commission and we are supporting their recommendations, so it is not an independent council or county's interpretation. This is what they recommended and this is what we want; this is what we should get. Please dig it out of the trash so that we can look at real numbers. We will see how it goes. I am not optimistic at all, but we have to keep applying the pressure. With that, motion is to approve. Roll call. The motion to approve A Bill For An Act Relating To Transient Accommodations Tax (County of Maui) was then put, and carried by the following vote: FOR APPROVAL: Chock, Hooser, Kagawa, Kaneshiro, Kuali`i, Rapozo TOTAL — 6, AGAINST APPROVAL: Yukimura TOTAL — 1, EXCUSED & NOT VOTING: None TOTAL — 0, RECUSED & NOT VOTING: None TOTAL — 0. Council Chair Rapozo: If everyone can take a look, we have 9, 10, 11, 12, and 13. Councilmember Kuali`i: We also have a public hearing at 1:30 p.m. Council Chair Rapozo: Yes, I know. We are not going to finish in time. BC, I am sorry, but you have to come back at 1:30 p.m. anyway. We will complete this right after the public hearing. We will recess for lunch now and be back at 1:35 p.m. There being no objections, the meeting recessed at 12:34 p.m. The meeting reconvened at 2:19 p.m., and proceeded as follows: (Councilmember Chock was noted as excused.) COUNCIL MEETING 81 NOVEMBER 16, 2016 Council Chair Rapozo: The Council Meeting will now come back to order. Let the record reflect that Councilmember Chock did leave for the day and he is excused for the rest of the day. We will now move onto number 9 on the Resolution. 9. A Bill For An Act Relating To The Conveyance Tax (County of Maui) Councilmember Kagawa moved to approve A Bill For An Act Relating To The Conveyance Tax (County of Maui), seconded by Councilmember Kaneshiro. Council Chair Rapozo: Any questions or discussions? Councilmember Hooser. Councilmember Hooser: This is a bill to increase the conveyance tax, which is a tax on real estate when it is sold and a tax that is sold by the seller. It purports to increase the tax on properties that are priced at over one million dollars ($1,000,000). From my read, it potentially increases the tax by four hundred percent (400%). I think that is quite a bit to put on, even people with a one million dollar ($1,000,000) property. A lot of those million dollar properties are friends and neighbors and moms and dads who maybe have owned the property their entire life and they are going to sell it, and now this tax basically, again, goes from thirty cents ($0.30) per one hundred (100) to one dollar and thirty cents ($1.30) per one hundred (100), if I am reading it correctly, which I think I am. Even though it goes to a good cause like affordable housing, I think there are probably other ways to do it, which might be more appropriate or certainly it could be done incrementally without such a huge tax increase. Therefore, I am having a very difficult time supporting this measure. Council Chair Rapozo: Thank you. Any other discussion? Councilmember Kagawa. Councilmember Kagawa: You always have to worry about the unintended consequences. So on the front, it looks good, but when you raise a tax like this in such a large amount, what you do is raise the market value and raise the price and it just affects every other property next to it or comparable. Again, this kind of large increase scares me because of the unintended consequences that always seem to hit us on the back-end when we do not do enough due diligence. I am not going to support this. Thank you. Council Chair Rapozo: Anyone else? Councilmember Yukimura. Councilmember Yukimura: I think the concept of taxing conveyance of highly-priced property, which causes the housing problem on Kaua`i, the problem of not having enough affordable housing, is a good one. I am not familiar with the COUNCIL MEETING 82 NOVEMBER 16, 2016 basic rationale for this Bill in terms of the exact level of taxing. That is why it would really help to have more background information, but I would prefer that we take it under advisement and really understand what we are doing here, and perhaps propose it at another time when we are sure about what we are going to be passing, approving, or advocating. Council Chair Rapozo: Any other discussion? The agenda was posted six (6) days ago and this material was all in there six (6) days ago. I am hoping that we have read it and if we had any questions, we could submit the questions prior to today's meeting, because the HSAC Package is very time-sensitive and this needs to go back to Honolulu before the next HSAC meeting, which is on November 28th. We do not have another meeting before then, so this has to be either "pass" or "fail" today. I apologize for the time-sensitivity, but that is just how this system works. We have a week to study this and come to your opinion, and if you are not sure or not aware...I am concerned as well, with the one million dollar ($1,000,000) number, because as Councilmember Hooser said, today a one million dollar ($1,000,000) home is not the one million dollar ($1,000,000) home that was there ten (10) years ago, where only millionaires own million dollar homes. Affordable housing today is five hundred thousand dollars ($500,000)—six hundred thousand dollars ($600,000) is so-called "affordable." We went through this with property taxes on the properties on the north shore, the Hanalei properties that have been in the family for generations, but because of their location, they are appraised at a very high rate and this will affect these families. I am concerned about the number as well, the threshold. I think Julia Powers...or what is her name? Julia Roberts or whatever who just sold her house for twenty million dollars ($20,000,000), thirty million dollars ($30,000,000), or forty million dollars ($40,000,000). Yes, for those tax them, but the one million dollar ($1,000,000) home, I think, is a problem. I guess my point is that not all million dollar homes are owned by millionaires. Councilmember Yukimura: That is true. Council Chair Rapozo: Councilmember Kuali`i. Councilmember Kuali`i: As conveyance, this would only happen at sale, correct? Council Chair Rapozo: Correct. Councilmember Kuali`i: If you look at what they are attempting here, it is a wide range that starts at ten cents ($0.10) per one hundred dollars ($100) and goes all the way up to one dollar ($1) per one hundred dollars ($100). The one dollar ($1) per one hundred dollars ($100) is for properties with a value of ten million dollars ($10,000,000) or greater, and then the ten cents ($0.10) is for properties with COUNCIL MEETING 83 NOVEMBER 16, 2016 a value of six hundred thousand dollars ($600,000) or less than six hundred thousand dollars ($600,000). So the one million dollar ($1,000,000) value...one million dollars ($1,000,000) or greater, up to two million dollars ($2,000,000) is thirty cents ($0.30), so upon sale, that conveyance would be three thousand dollars ($3,000). Council Chair Rapozo: I think the amendment though, if you look on item 3, it is in addition to the rate established by paragraph 1. Councilmember Kuali`i: And 2. Council Chair Rapozo: Yes. This will increase with the value of more than...it will add another one dollar ($1) per one hundred dollars ($100). In addition to all of the ones that you just referenced, this is additional one dollar ($1) per one hundred dollars ($100), so on every property, condominium or residence, valued at one million dollars ($1,000,000) or more. Councilmember Kuali`i: So what was three thousand dollars ($3,000) would add ten thousand dollars ($10,000) and it would become thirteen thousand dollars ($13,000). Council Chair Rapozo: On a one million dollar ($1,000,000) home, correct. Councilmember Kuali`i: Yes, that is a huge jump. Council Chair Rapozo: Yes. Councilmember Yukimura. Councilmember Yukimura: We always come to this position every time we have to approve the HSAC Package and I think it would be maybe better if we could, at our mid-year meeting, which is in June or something, where we could actually at our conference and workshops on various proposed legislative packages...so even before it goes through the Council process and gets to the HSAC Executive Committee, we would have some familiarity and input so that we can be more strategic and more credible in the bills that we propose for the legislature, and more ready to support really good ideas. I think I am going to vote against it at this point, but I am really willing to work on it. I also hear that I think part of the conveyance tax goes into the general fund of the State. It might be only for the part of the conveyance tax that goes for natural areas habitat/acquisition, but some of this might be going into the general fund, so we should know that, too. Council Chair Rapozo: Any other discussion? Councilmember Yukimura: I have a lot of questions. Sorry. COUNCIL MEETING 84 NOVEMBER 16, 2016 Council Chair Rapozo: Councilmember Kaneshiro. Councilmember Kaneshiro: Even for me, I am just concerned about the basis for the number. It is a big jump, so I am not comfortable voting on this one. Council Chair Rapozo: Councilmember Kuali`i. Councilmember Kuali`i: The only other point I would make is the way the original stuff is setup is graduated with a lower rate for the lower-valued properties all the way up to the ten million dollar ($10,000,000) property that would pay one hundred thousand dollars ($100,000). What they are doing is adding a flat rate of ten thousand dollars ($10,000) to either the lowest value or the highest value. So it is like defeating the purpose of graduated increases for the higher valued properties if now you are going to add a flat fee to everyone at one million dollars ($1,000,000) or higher. So whether you have a one million dollar ($1,000,000) property paying three thousand dollars ($3,000) or a ten million dollar ($10,000,000) property paying one hundred thousand dollars ($100,000), you would pay three thousand dollars ($3,000) plus ten thousand dollars ($10,000), so thirteen thousand dollars ($13,000); or one hundred thousand dollars ($100,000) plus ten thousand dollars ($10,000), one hundred ten thousand dollars ($110,000). It does not seem right. It is not fair to the people at the bottom, at least. Council Chair Rapozo: Any other discussion? Public testimony? The rules are suspended. Thank you. There being no objections, the rules were suspended to take public testimony. CHAD DEAL: Chad Deal, Interim Government Affairs Director for the Kaua`i Board of Realtors (KBR). Generally speaking, the realtors oppose tax increases on property and I tend to agree with Councilmember Kagawa that any increase on the sale of a property on any burden, I should say, placed on a sale of a property will increase the value of that property because the seller is not going to keep the price lower if he or she has to pay more taxes on it. So I think in general, a conveyance tax does increase property values, which we are trying to stay away from here on the island. As we all know, we have a shortage of property, and supply and demand is the general rule. If we had more housing in general, period, it would help out. It would be great if this tax was going specifically to affordable housing, but I do not see where it would add that much to affordable housing as far as trying to alleviate that problem for us in general on Kauai. Therefore, I like the idea that most of you are against this and would like to consider more investigation of it in what exactly it is going for and what it is doing to property values on Kaua`i. Thank you very much for the opportunity to testify. COUNCIL MEETING 85 NOVEMBER 16, 2016 Council Chair Rapozo: Thank you. Anyone else wishing to testify? Seeing none, the meeting is called back to order. Further discussion? Councilmember Yukimura. There being no further testimony, the meeting was called back to order, and proceeded as follows: Councilmember Yukimura: Do we know how much money will be generated by this proposal and how it is going to be allocated to the counties? Council Chair Rapozo: No. Councilmember Yukimura: So does each county get money from the property sold on their island? Is that clear? Council Chair Rapozo: No, it is not. Councilmember Yukimura: Okay, well, I think we need that information. Like I said, I think the concept is a good one, but we cannot tell whether how helpful it is going to be and what the unintended consequences are going to be. I do not think we are ready to approve it. Council Chair Rapozo: Councilmember Hooser. Councilmember Hooser: Actually, the bill does say one hundred percent (100%) of the revenue in each county accruing from the rate shall be allocated to the counties' affordable housing. So it looks like it is intended to say what we sell here, we keep. Regardless of that, I think it is poorly thought out. It is way too big a jump, again, from thirty cents ($0.30) to one dollar and thirty cents ($1.30). Though generally, I support that those who have more should pay a larger burden, I think this is poorly thought out and way too big a jump all at once. So I will be voting "no." Council Chair Rapozo: Thank you. Any further discussion? If not, roll call. The motion to approve A Bill For An Act Relating To The Conveyance Tax (County of Maui) was then put, and failed by the following vote: FOR APPROVAL: None TOTAL — 0, AGAINST APPROVAL: Hooser, Kagawa, Kaneshiro, Kuali`i, Yukimura, Rapozo TOTAL— 6, EXCUSED & NOT VOTING: Chock TOTAL — 1, RECUSED & NOT VOTING: None TOTAL — 0. COUNCIL MEETING 86 NOVEMBER 16, 2016 Ms. Fountain-Tanigawa: Motion fails. Council Chair Rapozo: Thank you. 10. A Bill For An Act Relating To Government Records (County of Maui) Councilmember Kagawa moved to approve A Bill For An Act Relating To Government Records (County of Maui), seconded by Councilmember Kaneshiro. Council Chair Rapozo: Any discussion? This is the one regarding the records. This is the one that basically the serial communication where members could communicate with each other, as long as no commitment on a vote is made or solicitation of support. Right now as you all know, I can E-mail or talk to one (1) other Councilmember per agenda item or one (1) item, any issue that is on the agenda. So we are not allowed to send out a blanket E-mail. It is perfectly fine for the public to send all of us E-mails, but we cannot reply to all. We can respond, but not share our discussions with anybody else. That is the gist of this proposal. Any discussion? Councilmember Yukimura. Councilmember Yukimura: It is further restricted to a statement describing the government record and the issue related to the government record shall be included in...so it says "no additional discussion, other than a statement describing the governmental record, and the issue related to the government record shall be included in the transmittal." Council Chair Rapozo: Right. Councilmember Yukimura: What does that mean? Council Chair Rapozo: It is an official document that is on your agenda, any official proceeding. Again, the Sunshine Law only applies to matters that are before the body. So if something is not before the body and there is no matter that is before this body, then it is not subject to the Sunshine Law. If we are not discussing an item that is currently board business, then there is no Sunshine Law compliance requirement, but anything that is, or is anticipated to be, then we need to comply with the Sunshine Law. In this case, take for example the Hoban property wanted to disseminate an appraisal, for example, or anything to that affect, we would be able to disseminate to all members, which right now we are prohibited. COUNCIL MEETING 87 NOVEMBER 16, 2016 Councilmember Yukimura: I was advised that I could not do a transmittal letter to the Council transmitting amendments to our Council Rules and explain the rationale therefore. Council Chair Rapozo: Correct. Councilmember Yukimura: If this allows that then I am for it because I thought it was ridiculous that I could not layout the rationale, not only to the Councilmembers, but to the public because it would be on the agenda as a transmittal letter. I found that extremely anti-democratic and limiting of really pertinent discussion. Council Chair Rapozo: As far as going out to the public, this does not address that. This just addresses the communication between Councilmembers. Councilmember Yukimura: But a communication that goes on the agenda that is a communication to the Council will be allowed, right? Council Chair Rapozo: If this passes, you would be able to circulate that. Councilmember Yukimura: And I would be able to put it on the agenda as well? Council Chair Rapozo: Correct. Councilmember Yukimura: Okay. Council Chair Rapozo: That is what I was informed. Is Mauna Kea here? Where is he? I am not sure if is he here, but that is the understanding that we were provided at HSAC. Councilmember Kagawa, do you have a question? Councilmember Kagawa: Overall, is this not to kind of take away some of all the barriers of communicating and working on an item? I worked here as a staff member for six (6) years and it was kind of frustrating that sometimes the Councilmembers could not just work it out among themselves and discuss things because they always had to worry about barriers and now that I am on, it is the same thing. As long as there is no corruption going on, the communications and the sharing of where one is at, at the present time—to me, I think it is pretty silly that we have those in place and we have never changed it. I am all for opening up the door a little bit more, so we do not need to worry about barriers or decision-makers can talk freely, and always at the end, always have the right to change their minds. It does not mean that you are for something now and then you hear something later. I have done that before, to the surprise of other members, but it happens. I COUNCIL MEETING 88 NOVEMBER 16, 2016 do not think we should stick with barriers that prevent us from having healthy discussions that really show our opinion. Council Chair Rapozo: For whatever reason, whether they agree or disagree or believe or do not believe, the public looks at these meetings on Wednesdays and they see the Councilmembers getting into some healthy debate, and the reality is, because the members of the public are seeing the amendments or propose amendments at that point for the first time. It would be much easier if Councilmember Yukimura could send out an E-mail to all members of the Council and say, "These are the amendments that I intend to introduce on Wednesday. Please review." It would not be soliciting support, but just sending out the information so that everybody knows that when we come here on Wednesday, we have already seen it. The first person to get to Councilmember Yukimura and say, "Hey, I have a little question," and that person could talk to Councilmember Yukimura and everybody else would have to not talk to Councilmember Yukimura. I think this is a good thing. Mauna Kea, unless there is something that we are missing, I will suspend the rules. There being no objections, the rules were suspended. Mr. Trask: For the record, Mauna Kea Trask, County Attorney. When I saw this, it looks like...like you said, technology and E-mail makes communication a lot easier and just kind of facilitating that. Like Councilmember Kagawa said, you are not seeking to keep the public out or be secretive or anything like that. I think we can all agree that the intent of the Sunshine Law is good to keep people informed and be fair and all of that. In doing that, you create your own problems and make it difficult to communicate, slow government down, and response time follows. I have no problem personally. Council Chair Rapozo: Thank you. Councilmember Yukimura. Councilmember Yukimura: Mauna Kea, the way I read it, it will enable me to do a transmittal letter explaining the rationale for anything I am proposing in a fairly detailed way. Right now, I am told that the law prohibits that. Mr. Trask: Yes. That is correct. Councilmember Yukimura: So it will remove that prohibition, but it will not allow us to make commitments of our votes one way or the other? Even if we can change them, it will not allow us to make commitments. Mr. Trask: Correct. Clearly, (h)(1), "No commitment relating to a vote on the matter is made or sought by the board member in the means of transmittal." That would be correct. COUNCIL MEETING 89 NOVEMBER 16, 2016 Councilmember Yukimura: Okay. Thank you. Mr. Trask: Again, I always like to remind people when I can that the State Legislature, in their wisdom, has decided that this law does not apply to them. Council Chair Rapozo: They make a good argument why, too, which is hogwash, but it is what it is. Thank you. Anne Punohu, do you have testimony? Please come up. Ms. Punohu: Anne Punohu. Yes, I am in support of this. This is awesome. Anything that gets you guys together and gets you guys communicating better with each other is great. Councilmember Yukimura is very detailed in what she does and sometimes it can be overwhelming if you are hearing it for the first time, and from somebody who observes this a lot, I think that it would release a lot of tension that in is the room a lot of times when you ask, "What is this?" I think it would solve a lot of problems and help things run smoothly. I am a huge supporter of the Sunshine Law, but I feel that this has been a hindrance and I think it would be a great idea and I would love to see it implemented. Aloha. Council Chair Rapozo: Thank you. With that, I will call the meeting back to order. Again, all of these package items are for the State to amend State law. So if you like what you see, contact your Kaua`i Delegation and let them know how you feel because they are our advocates at the Capitol. Any further discussion? Councilmember Kaneshiro. There being no further public testimony, the meeting was called back to order, and proceeded as follows: Councilmember Kaneshiro: For me, I definitely see the value and efficiency of having something like this. We are not going to be E-mailing each other on where we stand on the position or anything, but a lot of times we get an amendment here and that is the first time we see the amendment and we are trying to figure out, "Okay, what does this amendment mean? Do I like it?" We have to make the judgment on the spot right now. There is definitely value to, say if Councilmember Yukimura has an amendment, and sends it out to everybody and we are able to read through it. We are the decision-makers and we have to decide if we agree with this or do I not agree? We can come to the meeting and be prepared to say why we are in support of it or why we are not, rather than getting the amendment on the floor and just being on the fly—do we like it or do we not like it? We are not hiding anything from anybody. We are not making a decision or a commitment. We are just getting information in order for us to have time to make a good decision on it. For me, I think there is a lot of value and efficiency to it. COUNCIL MEETING 90 NOVEMBER 16, 2016 Whatever amendments we see, the public will also see, but we would have had a little more time to be able to figure out if we are for or against it and our reasons. I am for it. Council Chair Rapozo: Thank you. For the community's comfort, it is limited to just explanation of what that government record or amendment is all about. No other discussion is allowed. So it is not where we can have a full-on communication between seven (7) Councilmembers via E-mail, "No, it is a one-way thing. This is the deal. This is my explanation of what I am going do," period, and it is over. Councilmember Yukimura: You mean that somebody cannot see the amendment, call me up, and say, "What are you trying to do or I do not understand it?" Council Chair Rapozo: One (1) person. Councilmember Yukimura: So this amendment will not allow more conversation about it? Just a one-way conversation? Council Chair Rapozo: It will allow you to at least explain your amendment or whatever your proposal is to the other members because item 2 says "no additional discussion, other than the statement described in government record and the issue related to the government record shall be included in the transmittal." Councilmember Yukimura: Thank you for clarifying that. That is better than nothing. Council Chair Rapozo: Exactly, it is a small step. We are trying to get the door a little bit, because I do not know why, but the State does not want to touch this Sunshine Law. Councilmember Yukimura: Or apply it to themselves. Council Chair Rapozo: Yes. The motion to approve A Bill For An Act Relating To Government Records (County of Maui) was then put, and carried by a vote of 6:0:1 (Councilmember Chock was noted as excused). 11. A Bill For An Act Relating To Important Agricultural Lands (County of Maui) COUNCIL MEETING 91 NOVEMBER 16, 2016 Councilmember Kagawa moved to approve A Bill For An Act Relating To Important Agricultural Lands (County of Maui), seconded by Councilmember Kaneshiro. Council Chair Rapozo: Thank you. Any discussion? Councilmember Yukimura: Yes. May I? Council Chair Rapozo: Go ahead. Councilmember Yukimura: It is for an appropriation of sixty-two thousand five hundred dollars ($62,500) to each county for identification and mapping. Council Chair Rapozo: Correct. Councilmember Yukimura: We have done a lot of that already. Council Chair Rapozo: Yes, we have. Councilmember Yukimura: Maybe we need to broaden it so we could use it for...although, we have not seen any of the results of what our County has done with that money. I just want to make sure that it will not restrict us from using the money. Council Chair Rapozo: Act 183 was a mandate from the State to the counties saying you will identify and map and it came with no funding...I cannot remember who introduced this one...it was probably an outer island. Councilmember Kuali`i: Maui. Council Chair Rapozo: Yes, because it is basically saying, "You folks mandate us to do these things, send us some money." They are looking at two hundred fifty thousand dollars ($250,000), which to be split among the four (4) counties. That is all this is. It is basically a money bill. Councilmember Yukimura: Related to that, can I ask that we get a briefing on where we are with our mapping for Important Agriculture Lands (IAL)? Council Chair Rapozo: That is noted. Jade, can we get that on? Thank you. Councilmember Yukimura: Thank you. COUNCIL MEETING 92 NOVEMBER 16, 2016 Council Chair Rapozo: Any further discussion or public testimony? The motion to approve A Bill For An Act Relating To Important Agricultural Lands (County of Maui) was then put, and carried by a vote of 6:0:1 (Councilmember Chock was excused). 12. A Bill For An Act Relating To Land Use (County of Maui) Councilmember Kagawa moved to approve A Bill For An Act Relating To Land Use (County of Maui), seconded by Councilmember Kaneshiro. Council Chair Rapozo: Any questions? Councilmember Yukimura: Can someone explain exactly what this Bill is going to do if it passes? Council Chair Rapozo: All this does is adds in, if you look at Section 2(b), "The counties may submit their General Plans to the commission for review and request land use boundary amendments for those lands designated for Urban, Rural, Agricultural, and Conservation uses in conformance with those plans." Councilmember Yukimura: We cannot do that now? Council Chair Rapozo: Apparently not. I thought we were able to. At the HSAC meeting, I guess we were not able to do that. I am not sure if anyone is here that can answer that question. Councilmember Yukimura: It is my understanding that the County can initiate any boundary amendments they want to. Council Chair Rapozo: But this is your General Plan. Councilmember Yukimura: Yes. Council Chair Rapozo: Mauna Kea, you are probably the wrong person to ask. Maybe we can just have someone call the Planning Department real quick. Councilmember Kagawa: If there is no harm, then...if we have no problem with that...it may pertain to something like the agriculture, which the State solely dictates now, that our General Plan would lead the direction of agriculture. I cannot see anything bad with this though. It is good that the COUNCIL MEETING 93 NOVEMBER 16, 2016 counties are using home rule and submitting our General Plans for the Land Use Commission (LUC) to review and try and conform with. Councilmember Yukimura: It is just that if we already can do it, we look fairly uninformed when we go before the legislator. Council Chair Rapozo: Councilmember Hooser. Councilmember Hooser: I think it would be useful for me to talk to the Planning Department, because it might be that the landowner is the one that requests boundary adjustments and not the County. Councilmember Yukimura: It could be. Councilmember Hooser: I am not comfortable voting on it with the information that I have right now. Council Chair Rapozo: I am reading page 4. It says, "The Office of Planning shall undertake a review of the classification and districting of all lands in the State within five (5) years from December 31St, and every fifth year thereafter and the office in its five-year boundary review shall focus on efforts between the Hawai`i State Plan, county General Plans..." It seems like it is every five (5) years and this will allow the counties to send it whenever. I will suspend the rules. There being no objections, the rules were suspended. Mr. Trask: For the record, Mauna Kea Trask, County Attorney. As Council Chair said, this pertains to the General Plans. So under the current practice, district boundary amendments are done almost exclusively on a case-by-case basis, driven by landowners and developers. That does include the County. So like the LUC for Lima Ola District Boundary Amendment that appeared before you a couple of weeks ago—we are doing that, the County is doing that. However, although the Office of Planning may initiate comprehensive state land use boundary amendments currently, after completion of its five-year boundary review plans, it seldom does it. So this is a missed opportunity, as viewed by this Bill, to ensure that State land use districts conform to county plans. It allows a comprehensive general plan review, versus a spot-spot sort of one. Council Chair Rapozo: Ka`aina Hull from the Planning Department is on his way. Councilmember Yukimura: I have seen that happen, where we made...in fact, Nukoli`i, was a General Plan amendment made through the community plan process. It was actually made. It was not just a recommendation. It did not get the COUNCIL MEETING 94 NOVEMBER 16, 2016 kind of case-by-case review that is normally given to land use amendments, so I would have...because then a citizen would have to be prepared to address many Land Use Commission changes at once. Mr. Trask: I do not want to argue the point of it, but just if you look...the amendment is, "The counties may submit their General Plans to the commission for review and request land use boundary amendments for those lands designated for Urban, Rural, Agriculture, and Conservation uses in conformance with the plans." That is only after the entire community participates in the General Plan process. You go to the public comment period, you do an Environmental Impact Statement (EIS), and all of those things. Therefore, after it is adopted by this body, which again, the public can participate in, the County can then submit that plan to the LUC and go via that way, so they match up. I think this assumes that, as you would have to, go through all of that review process, community involvement, et cetera. Council Chair Rapozo: Councilmember Hooser. Councilmember Hooser: It looks like reading the purpose clause that at the present time, at the bottom of page 3, it says, "The district boundaries would determine on a project by project basis," which I think as Councilmember Yukimura says, in my opinion, allows for more scrutiny, more public participation, and overtime, things change. If the entire plan was reviewed at once today and not implemented for ten (10) years or five (5) years is projects and things change. I would think that case-by-case is better. Mr. Trask: Just on that point, I do not think this would get rid of that at all. You can still do the case-by-case, and not to argue again, but conversely, the same could be said that you lose general context when you go case-by-case. If you are just doing this one fifteen (15) or sixteen (16) acre parcel, over fifteen (15) acres you have to go the LUC—you could miss the forest for the trees by focusing just there on and forget what is going on right next door or maukalmakai sort of thing. It really depends how you approach it. Councilmember Hooser: I think this is a policy decision. Mr. Trask: Correct. Council Chair Rapozo: It is exactly what it is. I think the concern, and I am kind of sharing that, is you have a General Plan that may have four (4) or maybe five (5) land use zoning changes, and one might be a very controversial big one and that is going to get all of the attention. In the process, some of the others will just slip through, only to find out three (3) years from now...anyway, let us wait for the Planning Department to come. I am curious to hear what their point is. COUNCIL MEETING 95 NOVEMBER 16, 2016 Councilmember Yukimura: I wonder if they even knew about this Bill. Council Chair Rapozo: Well, if they do not...I am not inclined to support it if they are not ready to give an opinion. Councilmember Kuali`i: Can I just add something real quick? Council Chair Rapozo: Yes. Councilmember Kuali`i. Councilmember Kuali`i: Near the bottom of page number 2, it says, "Although the Office of Planning may initiate comprehensive state land use boundary amendments after completion of its five-year boundary review plan, it is seldom done so." Council Chair Rapozo: Right. Councilmember Kuali`i: So this is a missed opportunity to ensure that State land use districts confirm to county plans. So I see it as the County giving the information to the State so that they can update their records so they can follow our General Plan, as well, and there could be uniformity between what our General Plan and our citizens have said for us. Council Chair Rapozo: It is basically a multi-project petition for zoning changes, so it is pretty serious stuff. I apologize, Ka`aina. I am not sure if you are even aware of this, and if you are not, I do not want you to speculate or guess, but if you are not prepared, that is fine. Councilmember Kuali`i: I want to say one more thing. Council Chair Rapozo: Sure. Councilmember Kuali`i: It also says "allowing the counties to submit their General Plans to the commission for review, and to request land use district boundary amendments where appropriate would accomplish the intent of Act 187 to further efficient land use patterns, aid the counties in implementing their General Plans, and reduce the cost of permitting that is passed along to consumers." Council Chair Rapozo: Ka`aina, we have one more item left. I am going to call the meeting back to order and you can take some time to look at this and maybe talk with Mauna Kea, and then we will go on to the collective bargaining item and bring the Planning Department back up. Is that okay? 13. A Bill For An Act Relating To Collective Bargaining (County of Maui) COUNCIL MEETING 96 NOVEMBER 16, 2016 Councilmember Hooser: Just real brief, I want to remind everyone that the writers of these bills, the advocates of the bills write the statements, including supportive statements for their position. They do not talk about the lack of the community input or possible environmental kind of stuff. So I just want to remind everybody that the positive statements are put there by advocates. Council Chair Rapozo: By the person that wants it to pass, yes. So let us go to the last one. I think the last one is related to collective bargaining. This one is going shock a lot of people, because right now, as you know, for certain bargaining units, the Governor has four (4) votes and the counties each have one (1). I am not sure where the rest of this is...does somebody have...you all have the packet. It shows the dissemination of the votes and basically gives the county councils more input and more authority in the collective bargaining process. Councilmember Kagawa: Mr. Chair? Council Chair Rapozo: Yes? Councilmember Kagawa: The non-voting though. Council Chair Rapozo: What? Councilmember Kagawa: It is a non-voting member. Council Chair Rapozo: Correct. Councilmember Kagawa: At least it gives us input there to try to convince the State who controls the county pay increases to maybe at least listen to our concerns from a budgetary standpoint. I am in support. Council Chair Rapozo: But if you look at paragraph number 2, this is the big one, Units 11 and 12 and that is Police and Fire, "The governor shall have, instead of four (4) votes..." that will be reduced to one (1) vote, "...and the mayors shall each have one (1) vote and one (1) representative from each county council will be allowed to attend as non-voting." As you can see, the Governor will only have one (1) vote, as opposed to four (4). Right now, he gets one (1) county and mayor, it is a done deal. We will see how this goes through the legislature, but this is what people have been yelping at for a long time and HSAC is finally saying "enough is enough," because every county is suffering the same thing, especially from Police and Fire. They are the huge increases and the counties really have no say. One (1) mayor and it is done. So this is out to change it, where the Governor only has one (1). That is really the gist of this one here. COUNCIL MEETING 97 NOVEMBER 16, 2016 Councilmember Kagawa: Can I comment? Council Chair Rapozo: Sure. Councilmember Kagawa: So you said the mayor has the vote? Council Chair Rapozo: That is how it is right now. Councilmember Kagawa: So the Council will be on as a non-voting member? Council Chair Rapozo: Correct. Councilmember Kagawa: But if the mayors agree with the unions like the State of Hawai`i Organization of Police Officers (SHOPO) and the Hawai`i Fire Fighters Association (HFFA), then we still we be stuck with massive pay increases. Council Chair Rapozo: Yes. The difference though is that the four (4) mayors will be able to listen to the representatives from each council. The biggest difference though is the Governor now would only get one (1) vote, so he or she will have to secure the votes from three (3) other councils, as opposed to one (1). I think the representation from each county council, whether it is the finance chair or public safety chair, whatever the case may be, I would assume it will be probably finance or...I am hoping that the package that we present at these discussions, even though we are not voting, might enlighten some of the other counties and some of the other mayors. We just do not know. Councilmember Hooser. Councilmember Hooser: So this measure passed into law would take away power from the governor and give it to the counties with regards to negotiating with Police and Fire. Council Chair Rapozo: Correct. Councilmember Hooser: Are Police and Fire aware that this is on our agenda today? Council Chair Rapozo: I am not sure. Councilmember Hooser: It seems like it would make sense to let them know. Council Chair Rapozo: Yes. Again, this is an HSAC initiative that... COUNCIL MEETING 98 NOVEMBER 16, 2016 Councilmember Hooser: Do you know if they support or oppose this measure? Council Chair Rapozo: I would guess that they would probably oppose. Councilmember Hooser: Okay. I am just saying whether we are talking about homeowners or any group that we are going to take action that has significant effect on their kuleana or their area, then it makes sense to get their input on it. Council Chair Rapozo: For me, I do not envision this as trying to take away from Police and Fire. I just want to make sure that the counties have a much more impact, a bigger impact, in the discussion. The councils do not vote. At the end of the day, the mayors will...I really do not expect much to change, but at least, again, we are trying to take smaller steps going forward to try to be more inclusive in this collective bargaining process. I did not make SHOPO or the Fire union aware. Councilmember Hooser: So the three (3) counties could then control the outcome? Councilmember Yukimura: No, the Governor... Councilmember Hooser: No, three (3) because there are five (5) votes. Council Chair Rapozo: Right. If three (3) mayors say "no," then... Councilmember Hooser: So the three (3) smallest counties can control the "fate," if you would, of the collective bargaining for these two (2) units? The way it is written now, Maui, Hawai`i island, and Kaua`i, which compose only about one-third of the population...I am just... Council Chair Rapozo: Yes. Councilmember Hooser: Okay, just so I understand it. Thank you. Council Chair Rapozo: Councilmember Kagawa. Councilmember Kagawa: I just wanted to shed to light that should Police and Fire union strongly oppose this change, you can bet your life that they will be massively up at the legislature opposing any change to that Bill. They have huge moneys going into their unions out of their large salaries and they will put on a very powerful lobbying effort against this Bill. I can guarantee you that. I do not COUNCIL MEETING 99 NOVEMBER 16, 2016 think SHOPO or Fire needs to be here. We need to lookout after our taxpayers right now. That is what I believe. Calling them here today to oppose it, for me, is not looking after the taxpayers. We are trying to solve a problem and I think we have to take steps to try and solve the problem. Council Chair Rapozo: Councilmember Yukimura. Councilmember Yukimura: The problem is not that we cannot call in SHOPO and Firefighters now; the problem is this whole process with HSAC bills that people get six (6) days' notice and we cannot defer or continue the discussion because the time is of an essence in our timetable for HSAC. That is why I hope maybe we can use our mid-year conference and do some of this really good discussion and have enough time for all of the stakeholders, whatever the bill, to participate in it. The rationale for the counties having more power versus the governor is clear. The personnel are in the counties. The bulk of the firefighters are in the counties and the bulk of police are in the counties. So it makes sense that the counties would have more equalized power with the Governor. Also, it is important that the smaller counties, which have much lower tax base and much harder budgets, would also have a way for their voices to be heard. I also want to say that one of the key things for me is whether the non-voting councilmember will be able to communicate to the other councilmembers to keep us abreast of the negotiations, even though that might have to be in Executive Session, so that one (1) councilmember can get input from the body as this process goes on and we can be informed, too. To me, that would give better quality input from the counties. Council Chair Rapozo: If you look at number 5, it mandates that the mayor or the mayor's representative will provide timely updates relating to the negotiations to the county council in Executive Session. That is another addition that the other counties are struggling with because these guys go up there, they negotiate, they do their thing, and we do not know what is going on, and we come back with the bill. This will require the mayors to come to us. We define "timely." To me, "timely" is once a month during negotiations. To me, that is timely because a lot happens in one (1) month in these negotiations. This mandates that will happen. Councilmember Yukimura: Okay. Thank you. Council Chair Rapozo: The other thing, just in defense of HSAC, is we have to understand that, that is a separate entity and we got to kind of look...we have the agendas and we have the minutes. We have the opportunity to show up at those meetings as well. I like the suggestion of the mid-year meeting, but the mid-year meeting is kind of too soon. We do not actually start taking the proposals until somewhere around September or so. I take that recommendation, and in June, we do have our HSAC Conference here on Kaua`i. We will set up a time COUNCIL MEETING 100 NOVEMBER 16, 2016 where we can have that open discussion statewide for issues that may affect each county. I do appreciate that suggestion. Councilmember Kaneshiro. Councilmember Kaneshiro: For me, it comes down to fairness. I think to set the record straight, the Governor right now has four (4) votes and they do not have any police officers or firemen under them; they have sheriffs and airport. So they have the majority of the votes, yet we have a majority of the employees and they are able to control that. I think it just comes down to fairness. Council Chair Rapozo: Councilmember Kuali`i. Councilmember Kuali`i: The other thing I think is with the Governor having four (4) and the mayors four (4), because four (4) counties, out of eight (8); currently any of the unions or whoever is trying to get a decision in their favor, only needs the Governor plus one (1) mayor, so that is five (5) out of eight (8). In the new system, with the governor having one (1) and the mayors each having one (1), four (4), that is five (5) votes. They would still just need the Governor, but instead of one (1) county, they would need two (2) counties. So all we are talking about is the difference of is one (1) more county to make a decision and that one (1) more county could be us or it could be Maui. It is democracy in action in a way, giving us more of a say. I do not know that it is that different, so I do not know that the unions would necessarily be vehemently against it, but I do not know. Council Chair Rapozo: They would need five (5). Councilmember Kuali`i: Three (3) out of five (5) or five (5) out of eight (8). Council Chair Rapozo: Correct. Councilmember Kuali`i: Currently, they need five (5) out of eight (8); Governor plus one (1). Council Chair Rapozo: Right. Councilmember Kuali`i: But for the three (3) out of five (5), it would be Governor plus two (2). Council Chair Rapozo: Correct. Councilmember Kuali`i: So they could still have two (2) counties against it and get...whatever the issue is. COUNCIL MEETING 101 NOVEMBER 16, 2016 Council Chair Rapozo: I think the bigger part of this is not so much the votes, because I think that will happen anyway, but I think it is the participation and mandatory updates by the mayor. I think that really makes it easy and makes the councils part of the process. Any further discussion? Councilmember Hooser. Councilmember Hooser: I support having the counties involved to a greater degree and support the reports, but I think since we acknowledge that the people being affected by this measure would not support the measure, I would like to hear from them and to see why. We talk about fairness and I do not think it would be fair to vote on something without hearing their side of the coin. Whether it is Fire, Police, UPW, HGEA, or any public worker union or any other major constituent group, before I vote on something that I know they are going to be opposed to, I would rather at least have a conversation with them so I understand their position. So I am not going to be supporting this. Council Chair Rapozo: Okay. Thank you. Any other discussion? I need a motion to approve. Councilmember Kagawa moved to approve A Bill For An Act Relating To Collective Bargaining (County of Maui), seconded by Councilmember Kaneshiro. Council Chair Rapozo: Okay. Roll call. The motion to approve A Bill For An Act Relating To Collective Bargaining (County of Maui) was then put, and carried by the following vote: FOR APPROVAL: Kagawa, Kaneshiro, Kuali`i, Yukimura, Rapozo TOTAL — 5, AGAINST APPROVAL: Hooser TOTAL— 1, EXCUSED & NOT VOTING: Chock TOTAL — 1, RECUSED & NOT VOTING: None TOTAL — 0. Ms. Fountain-Tanigawa: Motion passes. Council Chair Rapozo: With that, let us go back to item number 12, A Bill For An Act Relating To Land Use. Ka`aina is here. I will suspend the rules with no objections. Any questions for Ka`aina? There being no objections, the rules were suspended. KAAINA HULL, Deputy Planning Director: Good afternoon, Chair and Members of the Council. Ka`aina Hull on behalf of the Planning Department. COUNCIL MEETING 102 NOVEMBER 16, 2016 Council Chair Rapozo: I guess the question is, are you in a position today to offer support or non-support or did you need more time? Mr. Hull: To officially weigh-in on whether or not the department is supportive of this proposal, we would need one (1) week or two (2) to digest it. This is the first time I am seeing it. It raises an issue that has been a point of concern of land use for some time, concerning the fact that often times the General Plan in the County process is disjointed or fragmented from the land use process. There is a point where the issue has come up and it looks like this is trying to address that. Like I said, because I am just seeing it now, I cannot officially weigh-in on our position of it yet. Council Chair Rapozo: Councilmember Yukimura. Councilmember Yukimura: To say that we could go before the Land Use Commission with all our changes from a General Plan, and they are recommended changes...they are not actual zoning or General Plan amendments, right? To say that would mean that you folks would be okay with passing zoning and General Plan land use amendments in a General Plan update process. Mr. Hull: That is why with something like this, we need time to take back and look at it because you have had different General Plans take on General Plan designations from a different viewpoint. In at least one circumstance, the General Plan prior to the 2000 plan, recognized an area for its type of land uses, despite the fact that it did not have the underlying zoning per se. The case I am thinking of is if you look at Homesteads, which are agricultural lands. A previous iteration of the General Plan recognized that and called it somewhat "Rural/Residential," recognizing the fact that there is more of a Rural/Residential component to the Homesteads, despite the fact that it is actually Agricultural zoning. But there was no intent to say it should be, therefore taken to the Land Use Commission and turned into rural. In the 2000 General Plan, in order to ensure that was not misinterpreted, that it wanted to go into rural LUC, the 2000 General Plan said, "No, that is agricultural actually," despite the fact that there is a recommendation that much of it is much more in residential use. As I was saying, I would want to take this back and digest it a little bit because of the fact that for some General Plan designations, it may not be officially recommending that an LUC change be made. Councilmember Yukimura: What is it recommending then? Mr. Hull: No, I am saying that in some situations they are and in some situations it is not. COUNCIL MEETING 103 NOVEMBER 16, 2016 Councilmember Yukimura: What determines when they are and when they are not? Mr. Hull: The policy itself as set in the General Plan. Councilmember Yukimura: So when you say that it is not really our recommendation, but we are putting something in that says it is Rural/Residential then it is meaningless. Why would you do that? Mr. Hull: I did not do that. I am just recognizing decades past, that is the way General Plans have functioned. But there was a very concerted effort in that plan to recognize the fact that it was not saying it should be put in Rural. That is all I am saying is that there are some nuances to it, so I would want to look back at some previous past land use actions to see how this might be interpreted and eventually utilized, should it be passed. Councilmember Yukimura: Hopefully, we have clear designations and we know what they mean when we put them in, and when we do not mean them, we do not put them in, like (inaudible) designation. Council Chair Rapozo: Councilmember Hooser. Councilmember Hooser: What I think I heard you say was sometimes the plan will attempt to designate certain areas, but not want a boundary adjustment. Mr. Hull: Correct. Councilmember looser: But will acknowledge that this is the use maybe, but we are not asking the State to change. Mr. Hull: Correct. Councilmember Hooser: Okay. Thank you. Council Chair Rapozo: Any other questions? Thank you. I will call the meeting back to order. Further discussion? Councilmember Hooser. There being no objections, the meeting was called back to order, and proceeded as follows: Councilmember Hooser: If the Planning Department is not prepared to support this, I am certainly not. COUNCIL MEETING 104 NOVEMBER 16, 2016 Council Chair Rapozo: Councilmember Kaneshiro. Councilmember Kaneshiro: Even for me, I am a little uncomfortable. A General Plan is a plan and I am sure that we have not followed all of our General Plans that we have always done and if we completed a General Plan, we took the whole thing to LUC, changed the boundaries, and I am sure within twenty (20) years, that plan may not have turned out the way it was meant to be and there may be more changes and I do not think there is a way to go back. Right now, I guess I am not too comfortable with it, so I am not going to be voting for it. Council Chair Rapozo: Any other discussion? For me, it is the same. This action to the Land Use Commission is a petition for multiple amendments to the State land use map. So with Ka`aina's testimony here today, I am not prepared to move forward either. The motion to approve A Bill For An Act Relating To Land Use (County of Maui) was then put, and failed by a vote of 0:6:1 (Councilmember Chock was excused). Council Chair Rapozo: We have to go back to number 5 real quick, relating to Noise Control. Staff has passed out the City & County of Honolulu Resolution, and actually it is the Resolution that they passed for the HSAC proposal. In essence, what they are saying is that, "The Department of Health has not regulated residential and commercial noise in the State except for noise from stationary sources and equipment and the council is often asked to address noise complaints in the community through legislation at the county-level, but none of the county agencies or departments are sufficiently equipped or appropriately trained to respond to community noise control complaints on a local level, whereas the Department of Health has the authority, skill, and equipment to prevent, control, and albeit noise complaints in the state, and whereas..." It goes into the process for HSAC. That is the justification. Again, I do not know and I am not prepared to tell one way or the other if this would preempt the counties from passing a noise ordinance. As I read the language, it may appear that it would preempt, that this would give the State the authority, and I am not even going to ask Mauna Kea to come up because it is not fair for him to do an on the fly opinion, but I think I have some concerns because of that and I will not be supporting this. Again, keep in mind that just because it is in the HSAC Package, it is not because I support it. It is because I wanted the Council to have the discussion. The fact that it is on this agenda does not mean that I am supporting it and it is ultimately the Council's choice. Because of that possible preemption, I am just not comfortable enough. Any further discussion? Councilmember Yukimura. Councilmember Yukimura: I agree with you, Chair, that it could raise the preemption question. I think noise is a can of worms that both the State and COUNCIL MEETING 105 NOVEMBER 16, 2016 the County would prefer not to address. As we learned from the Barking Dogs Bill, noise is an issue that affects people's lives on this island and I actually think that the County is the better level at which to address the problem, and it will take a lot of effort to both write a bill and to develop the enforcement capacity. I think that is probably the better route than to let the State do it. If this has the potential to preempt local control and local self-government then I am not in favor of it. Council Chair Rapozo: Councilmember Hooser. Councilmember Hooser: I feel the same way. It looks to me very strongly that this would preempt the counties. I do not think it is fair to our residents. It just gives all the councilmembers an excuse to say, "It is not me, it is the State. There is nothing I can do about it. There is nothing I can do about your dog, about the radio, about the boom box, about the factory next door, and about the parties. There is nothing I can do. It all says it right here that it is the State's responsibility." So that is not fair to our residents and I do not think we should be passing this. Council Chair Rapozo: Any further discussion? Councilmember Kagawa. Councilmember Kagawa: I am not going to support it, but I do not know what we are preempting. We suck at handling noise issues. We are 0-7 in dog barking cases in court. It is as if we are saying we are good at enforcing noise ordinances when we are not. I do not think it is a big deal about preempting us because we suck at enforcing noise ordinances. We do not have the expertise or the jurisdiction. We have the jurisdiction if we pass a bill, but it is like, we are not good at it and we have no place to expand our government to handle noise ordinances and noise bills. I think the State is better equipped. They have the Department of Health, doctors, and medical experts. They have a lot more than we do. It seems like the vote is there to kill it and I do not think this is something that we should pass with a weak vote. Thank you. Council Chair Rapozo: Any other discussion? For me, the State has the ability right now to enforce the noise issue. The way the law is written today, they can, if they wanted to. The fact that we would rewrite the statute to say, "Okay, now you will..."—to me, it is not going to get any more support from the State. It is just not going to happen. Councilmember Kagawa brings up a really valid point and I admit that the noise ordinance that I talked about has been worked on and it is kind of out there and hopefully we can get back to that discussion shortly, but we will meet the same fate as the State. We will have the law, but who is going to enforce it? Who is going buy the sound meters? It is a tough nut to crack, but like Councilmember Kagawa said, but the State is in that position to do so and they should be the ones doing that. But the preemption issue COUNCIL MEETING 106 NOVEMBER 16, 2016 is one of concern because I do intend to put forth some sort of noise ordinance and with this State law or with this proposal anyway, it could prevent that. I am not going to support it and we will revisit the noise ordinance issue in the near future. Any further discussion? The motion to approve A Bill For An Act Relating To Noise Control (City & County of Honolulu) was then put, and failed by a vote of 0:6:1 (Councilmember Chock was excused). Council Chair Rapozo: The motion fails. We need an amendment now to clean up what we just did. Councilmember Kagawa moved to amend Resolution No. 2016-79 as circulated, and as shown in the Floor Amendment, which is attached hereto as Attachment 1, seconded by Councilmember Kaneshiro. Council Chair Rapozo: Thank you. Any discussion? Councilmember Yukimura. Councilmember Yukimura: I just want to note the absence of our Bill, which we proposed to exempt a county manager from the civil service if a county chooses a council-manager form of government. Apparently, it did not make it through the Executive Committee, but it will be part of our legislative package and it is a neutral bill in the sense that it does not mandate the counties to adopt the council-manager form of government, but it does allow for the option to be a viable option. Council Chair Rapozo: It basically was an attempt to do what the Attorney General recommended in his ruling or opinion. I will say for the record that in HSAC you need all four (4) counties to approve and that proposal from Kaua`i...Maui and Hawai`i island voted against it; Kaua`i and O`ahu did support the proposal. With that, any further discussion on the amendment? The motion to amend Resolution No. 2016-79 as circulated, and as shown in the Floor Amendment, which is attached hereto as Attachment 1, was then put, and carried by a vote of 6:0:1 (Councilmember Chock was excused). Council Chair Rapozo: We are back to the main motion. Any further discussion? If not, roll call. The motion for adoption of Resolution No. 2016-79, as amended to Resolution No. 2016-79, Draft 1, was then put, and carried by the following vote: COUNCIL MEETING 107 NOVEMBER 16, 2016 FOR ADOPTION: Hooser, Kagawa, Kaneshiro, Kuali`i, Yukimura, Rapozo TOTAL — 6, AGAINST ADOPTION: None TOTAL — 0, EXCUSED & NOT VOTING: Chock TOTAL — 1, RECUSED & NOT VOTING: None TOTAL — 0. Council Chair Rapozo: Thank you. Councilmember Yukimura. Councilmember Yukimura: Can I do a personal privilege? Council Chair Rapozo: Sure. Councilmember Yukimura: I just wanted to take this opportunity to congratulate the Clerk's Office, and in particular, the Elections Division, and all of the staff people who worked so hard to make Elections happen on Kaua`i, because that was a huge job. They did well and the right to vote and having fair elections is such an important part of our democratic process. Just kudos and thanks. I know Lyndon is not here, but I hope he gets the message, and to all of you who I know were involved in all the work that it took. Thank you very much. Council Chair Rapozo: Thank you. Can someone read us into Executive Session, please? EXECUTIVE SESSION: ES-865 Pursuant to Hawai`i Revised Statutes (HRS) Sections 92-4, 92-5(a)(4), and Kaua`i County Charter Section 3.07(E), on behalf of the Council, the Office of the County Attorney requests an Executive Session with the Council to provide the Council with a briefing regarding the claim filed against the County of Kaua`i by Randal Miyashiro of Kalani Construction, Inc. 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. ES-883 Pursuant to Hawai`i Revised Statutes (HRS) Sections 92-4, 92-5(a)(2), 92-5(a)(4), and Kaua`i County Charter Section 3.07(E), the Office of the County Attorney, on behalf of the Kaua`i County Council, requests an Executive Session to brief the Council on matters regarding the Notice of Violation and Order (NOVO) from the State of Hawai`i Department of Health, Clean Water Branch for National Pollutant Discharge Elimination System (NPDES) Permit related violations and penalties at four (4) refuse transfer stations, and related matters. 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. COUNCIL MEETING 108 NOVEMBER 16, 2016 ES-884 Pursuant to Hawai`i Revised Statutes (HRS) Sections 92-4 and 92-5(a)(4), and Kaua`i County Charter Section 3.07(E), the Office of the County Attorney, requests an Executive Session with the Council, to provide the Council with a briefing and request for authority to settle the case of Carl A. Ragasa vs. County of Kaua`i, et al., Civil No. CV14 00309 DKW BMK (United States District Court for the District of Hawai`i) 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. Councilmember Kuali`i moved to convene in Executive Session, seconded by Councilmember Yukimura, and carried by the following vote: FOR EXECUTIVE SESSION: Hooser, Kagawa, Kaneshiro, Kuali`i, Yukimura, Rapozo TOTAL — 6, AGAINST EXECUTIVE SESSION: None TOTAL — 0, EXCUSED & NOT VOTING: Chock TOTAL — 1, RECUSED & NOT VOTING: None TOTAL — 0. Council Chair Rapozo: Thank you. That will end the formal proceeding. BC, you can leave. With no objections, the meeting is adjourned. ADJOURNMENT: There being no further business, the Council Meeting adjourned at 3:26 p.m. Respectfully submitted, JADE K. FOUNTAIN-TANIGAWA County Clerk :cy ATTAaJMENT 1 (November 16, 2016) FLOOR AMENDMENT Resolution No. 2016-79, Resolution Approving Proposals For Inclusion In The 2017 Hawai`i State Association of Counties Legislative Package Introduced by: ROSS KAGAWA Amend Resolution No. 2016-79 in its entirety to read as follows: "WHEREAS, legislative proposals have been submitted by member counties of the Hawai`i State Association of Counties (HSAC) for consideration by the county councils for inclusion in the 2017 HSAC Legislative Package; and WHEREAS, at its meetings of August 23, 2016, September 26, 2016, and October 24, 2016, the HSAC Executive Committee approved for inclusion in the 2017 HSAC Legislative Package the following: 1. A Bill For An Act Relating To Tort Liability (County of Kauai) 2. A Bill For An Act Relating To Unadjudicated Traffic Fines (County of Kauai) 3. A Bill For An Act Making An Appropriation For Emergency Medical Services (County of Kauai) 4. A Bill For An Act Relating To Unmanned Aerial Vehicles (City & County of Honolulu) 5. A Bill For An Act Relating To Noise Control (City & County of Honolulu) 6. A Bill For An Act Relating To Community Meetings (County of Maui) 7. A Bill For An Act Relating To Identification Cards For Persons With Disabilities (County of Maui) 8. A Bill For An Act Relating To Transient Accommodations Tax (County of Maui) 9. A Bill For An Act Relating To The Conveyance Tax (County of Maui) 10. A Bill For An Act Relating To Government Records (County of Maui) 11. A Bill For An Act Relating To Important Agricultural Lands (County of Maui) 12. A Bill For An Act Relating To Land Use (County of Maui) 13. A Bill For An Act Relating To Collective Bargaining (County of Maui) 1 ATTACHMENT 1 WHEREAS, HSAC Bylaws require that all four counties approve each proposal for inclusion in the HSAC Legislative Package; now, therefore, BE IT RESOLVED BY THE COUNCIL OF THE COUNTY OF KAUAI, STATE OF HAWAII, that it hereby approves the following proposals attached hereto for inclusion in the 2017 HSAC Legislative Package: [1. A Bill For An Act Relating To Tort Liability 2. A Bill For An Act Relating To Unadjudicated Traffic Fines 3. A Bill For An Act Making An Appropriation For Emergency Medical Services 4. A Bill For An Act Relating To Unmanned Aerial Vehicles 5. A Bill For An Act Relating To Noise Control 6. A Bill For An Act Relating To Community Meetings 7. A Bill For An Act Relating To Identification Cards For Persons With Disabilities 8. A Bill For An Act Relating To Transient Accommodations Tax 9. A Bill For An Act Relating To The Conveyance Tax 10. A Bill For An Act Relating To Government Records 11. A Bill For An Act Relating To Important Agricultural Lands 12. A Bill For An Act Relating To Land Use 13. A Bill For An Act Relating To Collective Bargaining] 1. A Bill For An Act Relating To Tort Liability 2. A Bill For An Act Relating To Unadjudicated Traffic Fines 3. A Bill For An Act Making An Appropriation For Emergency Medical Services 4. A Bill For An Act Relating To Unmanned Aerial Vehicles 5. A Bill For An Act Relating To Community Meetings 6. A Bill For An Act Relating To Identification Cards For Persons With Disabilities 7. A Bill For An Act Relating To Transient Accommodations Tax 8. A Bill For An Act Relating To Government Records 9. A Bill For An Act Relating To Important Agricultural Lands 10. A Bill For An Act Relating To Collective Bargaining BE IT FURTHER RESOLVED, that a certified copy of this Resolution be transmitted to the HSAC Executive Committee." (Material to be deleted is bracketed. New material is underscored.) 2