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HomeMy WebLinkAbout08/09/2017 Council minutes COUNCIL MEETING AUGUST 9, 2017 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, August 9, 2017 at 8:33 a.m., after which the following Members answered the call of the roll: Honorable Arthur Brun Honorable Mason K. Chock Honorable Ross Kagawa Honorable Arryl Kaneshiro Honorable Derek S.K. Kawakami Honorable JoAnn A. Yukimura Honorable Mel Rapozo APPROVAL OF AGENDA. Councilmember Yukimura moved for approval of the agenda as circulated, seconded by Councilmember Chock, and unanimously carried. Council Chair Rapozo: Motion carried. Next item, please. MINUTES of the following meeting of the Council: July 26, 2017 Public Hearing re: Bill No. 2658 and Bill No. 2659 Councilmember Chock moved to approve the Minutes as circulated, seconded by Councilmember Yukimura. Council Chair Rapozo: Any discussion or public testimony? There being no objections, the rules were suspended to take public testimony. There being no one present to provide testimony, the meeting was called back to order, and proceeded as follows: The motion to approve the Minutes as circulated was then put, and unanimously carried. COUNCIL MEETING 2 AUGUST 9, 2017 Council Chair Rapozo: Can we dispose of the Consent Calendar? Then we will go into our first item. CONSENT CALENDAR: C 2017-173 Communication (06/21/2017) from the Mayor, transmitting for Council consideration and confirmation, the following Mayoral appointees to the Charter Review Commission: • Virginia M. Kapali— Term ending 12/31/2018 • Galen T. Nakamura —Term ending 12/31/2018 C 2017-174 Communication (06/23/2017) from the Mayor, transmitting for Council consideration and confirmation, Mayoral appointee Alfred Levinthol to the Fire Commission — Partial Term ending 12/31/2017. C 2017-175 Communication (07/20/2017) from the Director of Finance, transmitting for Council information, the Period 12 Financial Reports — Detailed Budget Report, Statement of Revenues (Estimated and Actual), Statement of Expenditures and Encumbrances, and Revenue Report as of June 30, 2017, pursuant to Section 21 of Ordinance No. B-2016-812, relating to the Operating Budget of the County of Kaua`i for Fiscal Year 2016-2017. C 2017-176 Communication (07/21/2017) from Councilmember Kawakami, providing written disclosure of a possible conflict of interest and recusal regarding all matters involving N.F. Kawakami Store, due to his familial and potential business relationship with N.F. Kawakami Store. Councilmember Kagawa moved to receive C 2017-173, C 2017-174, C 2017-175, C 2017-176 for the record, seconded by Councilmember Yukimura. Council Chair Rapozo: Any discussion or public testimony? There being no objections, the rules were suspended to take public testimony. There being no one present to provide testimony, the meeting was called back to order, and proceeded as follows: The motion to approve receive C 2017-173, C 2017-174, C 2017-175, C 2017-176 for the record was then put, and unanimously carried. Council Chair Rapozo: With that, we will take our first item, C 2017-177. COUNCIL MEETING 3 AUGUST 9, 2017 There being no objections, C 2017-177 was taken out of order. COMMUNICATIONS: C 2017-177 Communication (07/13/2017) from the Mayor, requesting agenda time for a briefing from Smith Dawson & Andrews, Inc., Washington, D.C. consultants, to provide a recap of the services and activities they provided to the County during the past year as part of their professional services contract. Council Chair Rapozo: Thank you for being here. With that, I will suspend the rules with no objection. Welcome back to Kaua`i. There being no objections, the rules were suspended. JIM SMITH, President of Smith Dawson & Andrews, Inc.: Aloha. Good morning, Chairman and Members of the Council. It is a pleasure to be here today. My name, for some of you who do not know, Councilmember Brun, who we have not met before, I am Jim Smith, President and founder of Smith Dawson &Andrews, Inc. We are a public affairs lobbying firm headquartered in Washington, D.C. I am joined today by my colleague, the Managing Director of Smith Dawson & Andrews, Inc., Mary Cronin: First of all, let me just say that it is a real pleasure and honor to be here today and it has been an honor to serve as the County's consultant in Washington for the past five (5) years. Time flies. We think that it has been a very productive five (5) years and we greatly value our relationship and our partnership that we have built with the County and the collective successes that we have achieved over the last five (5) years. We are very optimistic about the future. We think there are a lot of good things in the pipeline, both here and in Washington, D.C. that will match-up well for the County. We will be pursuing those in the months ahead. I thought I would start off and just give an overview of where things stand in D.C. today, both legislatively and with the budget. Mary will give you an update on our activities and accomplishments over the last year and talk about a number of grant opportunities that we will be pursuing with the County. My, how the year has changed since we were here in August of 2016. Needless to say, there was quite a shake-up in Washington as a result of the November election. A year ago today, we were here talking about the former Administration's priorities, which were very consistent and aligned well with the County's priorities. But that all changed in the November election last fall, and with the inauguration of President Trump, we are dealing with a much different administration than we have in the last two. The President came into office in January and it was very much unclear and unknown what his priorities were going to be, in terms of federal spending in federal programs, but that quickly crystallized when he submitted his first budget to Congress in April of this year. In April of this year, 2017, he presented a budget that frankly would have been devastating to domestic discretionary programs and programs that were COUNCIL MEETING 4 AUGUST 9, 2017 and are important to the County. The Administration's proposal would have eliminated Community Development Block Grant (CDBG), it would have imposed drastic cuts in Native Hawaiian programs, and eliminated the Transportation Investment Generating Economic Recovery (TIGER) grant. Across the board, it was just sort of cut/slash/burn. We organized and responded very quickly, working very closely with the Hawai`i Congressional Delegation and put forward our thoughts and positions on those programs and submitted a very comprehensive appropriations request through the delegation. Fortunately, the Congress seemed to side with us and really beat back most, all of those, proposals that the Administration had put forward. So the bottom-line is that we finally got a budget for the current fiscal year, which did start last October, but we did not get a budget until May of this year. For the most part, all of those programs that we care so much about were protected and even were fully-funded at the previous year's levels. So that is good. With that, now we are starting to see a number of grant opportunities coming out of the federal agencies that we have brought to the attention of the Office of the Mayor and to the County departments and will be working with them to pursue some of these in the months ahead. The other thing I might just mention, too, speaking of the Trump Administration and how things have changed is that the Trump Administration has been slow to organize and to get their appointees in place, all across the Administration, from one branch and agency to the next. I think that, and do not hold me to this—I am just approximating—but I believe there are something like six thousand five hundred (6,500) politically appointed positions at the power of the President that require senate confirmation. To-date, I believe that there are only about five hundred (500) of those positions full. The point is that we are dealing with these vacancies all across the federal government. In a lot of agencies, other than the cabinet's secretary, there is really just nobody at home. So that has had an effect, in essence, freezing a lot of activity and decisions within the federal bureaucracy that has held up a lot of programs and a lot of grant announcements. The Mayor, of course, and the Chairman were in Washington in June and we had a number of meetings— Mary will go through that in a little more detail—but a number of meetings with the executive branch agencies and met with some of the new Trump appointees, where they are in place. I think that was very productive. But you should know that there are still a lot of empty offices around the federal government. Going forward, as I mentioned, Congress did enact the Fiscal Year 2017 Budget, but here we are...it is already almost the middle of August and the new Fiscal Year for 2018 starts October 1st, the Congress has yet to enact an Fiscal Year 2018 budget resolution. They have yet to enact any of the twelve (12) standing appropriations bills, which provides funding for spending to the agencies for the new year, starting October 1st. So there is still a certain amount of uncertainty going forward. Congress is currently in recess. The House went out at the end of July; the Senate just recessed last week. They will be back in session after Labor Day. Between Labor Day and October 1st, the start of the new fiscal year, they have a lot of work to do. Of course, I mentioned COUNCIL MEETING 5 AUGUST 9, 2017 that they have not done a budget resolution. They have not passed any of the appropriations bills for Fiscal Year 2018. At the same time, the federal government is running up against the federal debt ceiling, which I am sure you are all familiar with, a statutory authority that allows the treasury to borrow to keep the government operating and to pay our debts and obligations of the United States. That has always been a very controversial measure in the past and it is certain to be again this year. There are many members of congress particularly on the Republican side, and especially among the Tea Party Caucus of the Republican Party in the Congress that are adamantly opposed to increasing the debt ceiling. The net effect of not doing it is that we default on our debt and obligations and the United States is not able to borrow money to pay its bills. If that happens, you know just at your own County-level what it is to be maintain a budget and to pay your debts. If you do not, you are going to get a really negative credit rating, and that has happened to us once before when Congress played around with this and was not responsible in doing it as quickly as they should. The other effect of that is if you do not increase it, you do default and you do get the negative rating, then when you go back to the markets, you are just going to have pay that much more. The estimates more are going forward, it could cost the federal treasury billions of dollars in additional federal interest payments. So that is staring Congress right in the face when they come back after Labor Day and there are only sixteen (16) legislative days between Labor Day and October 1st. So to think that they could get a budget done and pass twelve (12) appropriations bills at the same time they are dealing with the debt ceiling...and incidentally, I should mention that one of the most adamant opponents of the debt ceiling is a former member of Congress, Mick Mulvaney, who is now the Director of the Office Management and Budget for the President. So it is going to be interesting to see how that plays out. Of course, we have all of these other distractions, not to mention the current crisis with North Korea and trade with China. There are a lot of issues on the plate that Congress will be grappling with when they come back. Just a couple more things, and then I will hand it over to Mary—going forward, what do we see happening? Well, obviously, they have to deal with the debt, spending, and the budget, and they will; it will not be pretty, but they will get there. The President came into office with three (3) primary priorities: one was healthcare, repeal and replace the Affordable Healthcare Act, and we all know what has happened to that; the second is tax reform, which they continue to promote and indicate that this will be the top priority for Congress after Labor Day; and the third priority, of course, was infrastructure. To-date, there has been a lot of talk about infrastructure, but there has been very few details and very few proposals put forward. In terms of tax reform, they do intend to start hearings and to move that process this fall. What does that mean for us? Two (2) things that we are keeping a very close eye on that would impact the County are the continued deductibility of interest for municipal bonds. That is something that is very important to state and local governments that rely on municipal bonds for funding capital projects, and without that deductibility, they lose their attractiveness. We are working very closely COUNCIL MEETING 6 AUGUST 9, 2017 with the National Association of Counties (NACo) and the United States Conference of Mayors to advocate for that continuation on behalf of the County. The second issue that would impact state and local governments are eliminating the deductibility of state and local income taxes; something that would really impact states with high income taxes. These are big issues going forward with tax reform. Of course, the objective with tax reform, what the President wants to do, is to lower rates, both individual and corporate rates. That will cost a lot of revenue, and to do that, they have to find ways to make up revenue and these are two (2) items that they have in their target. We will be working closely with the delegation on that and keeping the County and the Office of the Mayor informed as we move forward. Finally on infrastructure, this is a big priority. It is a big priority for us. We should want a new infrastructure program. We have major capital transportation projects here in the County that we need to address and we have submitted those priorities to the delegation. We have put the State of Hawai`i Department of Transportation (HDOT) on notice and met with Secretary Ford. They know what our transportation priorities are. As that initiative moves forward, we will make sure that they address those items of interest to the County. With that, unless there are any questions, and we can hold questions until the end, whatever you want to do Chair, I will turn it over to Mary. Council Chair Rapozo: We will go ahead and hear from Mary and save all of the questions until the end. MARY CRONIN, Managing Director of Smith Dawson & Andrews, Inc.: As you know, the Mayor was in Washington in June and he was participating in the annual "Hawai`i on the Hill," which is an opportunity for local area businesses and entrepreneurs to showcase their products and to elevate their profile and present their priorities to the Congressional Delegation. We also keep the Mayor very busy during those trips. Any time he is in Washington, we line-up a number of meetings with key administrators within the federal agencies and also with the Congressional Delegation and key staff. So this year, we focused on six (6) federal agencies: we met with the Department of Housing and Urban Development (HUD) where we talked about funding for low-income housing projects and also for homelessness funding; we met with the Department of Health and Human Services, where we talked about the need to preserve the Native Hawaiian language, specifically the Ni`ihau language program, and there is a specific grant opportunity for that. We also learned about some other new funding opportunities that we would like to consider pursuing in the next year, including the Community Economic Development Program grant, which is an eight hundred thousand dollar ($800,000) grant is that available to provide construction or non-construction activities for low-income populations and there is a tie there that they must create some jobs. That was a program that was opened this summer and will probably be re-announced in 2018, maybe as early as January or February. COUNCIL MEETING 7 AUGUST 9, 2017 We met with the Economic Development Administration and we talked about the Creative Technology Center and also some interest in providing support for local businesses and entrepreneurs. There are a couple of great grant programs there, the Regional Innovations Strategies Program and the i6 Program grant that would support local area entrepreneurs and businesses, and maybe we can pursue that next year, potentially even for just a feasibility study to see if there is something that we could put in place in downtown Lihu`e that would help to support them. We also met with the Department of Transportation, which was an excellent meeting and a chance for us to go back in and say "thank you, again," first, for awarding us the TIGER grant and also to thank them for awarding us the Federal Transit Administration (FTA) Bus and Bus Facilities Grant. This year, we received five hundred eighty thousand dollars ($580,000). We applied for one million six hundred thousand dollars ($1,600,000) to provide for replacement of twelve (12)buses and we were awarded five hundred eighty thousand dollars ($580,000) to replace six (6) new buses. That was a big success and a big thank you and it was quite a rewarding meeting. We were there with some of the new political appointees within the Federal Highway Administration and within the Office of Intergovernmental Affairs. We also had, in our presence, the person who was in-charge or is the program administrator for the TIGER grant and also the FASTLANE grant. He is the one that we worked with, his name is Robert Mariner, whom we worked with so closely over the course of those two (2)years that we were working on applying for the TIGER grant and he said that he wanted everyone in the room to know, especially the new political appointees that the TIGER process that we went through and the way that we presented our grant application was the model and should be the model for all TIGER grants and all Department of Transportation grants across the nation. That was very rewarding to hear to know that we had done it right and that they were using that success story as a model for others. We also met with the United States Postal Service (USPS) to talk about the recent decisions to consolidate across the country. It is something that is happening everywhere, not just proposed to happen here. We discussed our interest in having them revisit their decision to close some locations and to consolidate here on Kaua`i. What is interesting is that never in their history have they ever revisited a potential closure, and in this case, they said that they were very interested in revisiting the potential closure here on Kaua`i. They are going to do that and they are going to put a new person in place to do that study and they will have some sort of a public hearing in October; that was the latest that we heard. We also met with the United States Fish and Wildlife Service. This was an opportunity to meet some of the new political appointees that are high-up within that agency, to introduce ourselves, to tell them our side of the story, and to let them know that we are a willing and able partner in the future, moving forward, as we have been COUNCIL MEETING 8 AUGUST 9, 2017 in the past, and only to work with them in Washington, but also continuing to work with them in Portland and locally here in Hawai`i. They were very receptive. We had a very warm welcome from them. They were appreciative that we had come in to take the time to meet them and they are going to defer to the regional office of the U.S. Fish and Wildlife and also here in Hawai`i. I think it is important that they heard from us, they met us, and they know that we are here and that we are continuing our good faith effort to work with the U.S. Fish and Wildlife and Division of Forestry and Wildlife (DOFAW) here in Hawai`i. In addition to meeting with the federal agencies, we also present, as we do annually, our concise federal agenda to the Congressional Delegation. This is an opportunity to tell them about the successes that we have had in some of the priorities over the last five (5) or six (6) years to give them an update on where things stand and where we are continuing to seek funding opportunities and where we would like to see their support. We also spoke with them heavily about appropriations and the focus on protecting the Native Hawaiian programs, in particular, which are threatened. They are within three (3) federal agencies: Health and Human Services, Housing and Urban Development, and the U.S. Department of Education. We are going to be working with the Congressional Delegation to do everything that we can to protect those programs. Right now, they are safe, but there is a threat and hopefully we can work with the U.S. Conference of Mayors and some other organizations that can garner support nationwide for those programs. They do not only affect Native Hawaiians here in Hawaii, but they also affect other tribal organizations throughout the United States. When we were in Washington, we also met with Congresswoman Gabbard, specifically about an opportunity that she had been alerted to. It was very short notice and she said she had met with the U.S. Department of Agriculture and that they were looking to know whether or not there were rural communities across the country that might have priorities or projects, maybe "shovel-ready" projects, that they could rededicate potentially some foreign agricultural service dollars. I have not confirmed that it is foreign agricultural service dollars, but there is a large pot of money that is available if there is interest for rural communities across the United States of America, and potentially a significant chunk of that could go to Hawaii. When we met with Congresswoman Gabbard, she had about twenty-four (24) hours to get back to the US Department of Agriculture and alert them as to whether or not there were some potential opportunities here. We did provide her with our federal priorities and projects that we thought could be considered in the future for some funding opportunities. There is no specific funding opportunity available yet, but there may be and that was the purpose of going through that exercise with her. She will have an update for us in September and let us know whether or not there are some funding opportunities that might align with those priorities. COUNCIL MEETING 9 AUGUST 9, 2017 Since we have been here on Kaua`i this week, we have also been meeting with the department heads to talk with them about the Holo Holo 2020 projects and about their priorities within their departments and continue to work with them to identify federal grants that might align with those priorities. Each year, we have produced a book of the grants that we have provided to the County, this is the most recent book. This is all of the grant opportunities that we have presented to the County since November 2016; therefore, within the fiscal year of 2017. We continue to align grant opportunities with projects and try to think of creative ways that we could pursue some of those grants, and a lot of them do require somewhat of a local match. Sometimes, it is in-kind, as you know. We have focused our discussions in the last couple of days around the "Our Town Program" grant, which is a grant through the National Endowment for the Arts that can be used for cultural and arts types of programs and that could be something that the County could apply to for the moku signage and education program. That is what I call "low-hanging fruit." It requires maybe an in-kind match and that program would offer up to maybe two hundred twenty-five thousand dollars ($225,000). Another grant that we are considering applying to next year is the Language Preservation grant for the Ni`ihau language. That is something that we want to make sure that program is protected, but also I think that we have a good chance of getting awarded some funding through that program next year. When we met with the Department of Parks and Recreation, we talked about a new opportunity—it is called the "Land and Water Outdoor Recreation Legacy Parks" (ORLP) program, also known as the Land and Water Conservation Fund (LWCF) Urban Parks grant. That program had not been funded, but was funded in Fiscal Year 2016 for about fifteen million dollars ($15,000,000) and they awarded twenty-two (22) communities across the country with funding up to seven hundred fifty thousand dollars ($750,000) for park development, park land acquisition, or construction of outdoor play areas for low-income residents to encourage them to get outside and play and also to offer them outdoor recreational opportunities. I think that grant program is something that we should consider pursuing if there are a need for parks in Anahola or in other communities where it may be beneficial for the children and families that live there. We also discussed the National Civilian Community Core program, which is an AmeriCorps program and it is through the corporation for National and Community Service. We have had some success with some of other clients around the country that have applied for this grant. It actually would give the opportunity for eight (8) to twelve (12) people to come to Kaua`i to work for the County. The requirement is that the County would house them, so you will have to provide something as simple as a yurt, like the hygiene station, and the training and the equipment that they would need in order to provide whatever service they are being asked to provide. It is a volunteer program, it is a very popular program and it would COUNCIL MEETING 10 AUGUST 9, 2017 be an incredible return on investment. If we had a location where we could have some cots and could house people, they can work for eight (8) to twelve (12) weeks. They could do hard labor, they could provide programming for kids for afterschool programs, and they could slap paint on the walls of some important community centers. There are some good opportunities there that I think we could consider pursuing in the future. Like I said, that would not require any local match dollars. Right now, there is a Bus and Bus Facilities grant available and open until September. If we do not apply for that now, we can maybe consider applying for that again in the future, because we have been successful, but we would really like more funding to replace more buses. That is a critical need across the country. It is a great discretionary grant program and we should continue to consider applying for that program now or in the future. Also, there is a Low or No Emission Vehicle and Facility grant program that was open in April and will be open again maybe sooner than April of 2018. That is another grant opportunity where we could apply for vehicles or bus vehicle facility upgrades where there is low or no emissions, so potentially hybrid-types of bus programs. I am meeting with the Housing Agency and talking with some of the homelessness service providers here on Kaua`i. There is a grant that is open right now through the Department of Housing and Urban Development and it is for ten (10) awards across the country that would have communities that would have programs for reducing homelessness. It is called the "Continuum of Care" grant and it is open right now. I think it is something that the County could consider applying for. If not now, then definitely in the future. Finally, we talked about some of the transportation opportunities and we have prepared a list of transportation priorities, which we have presented to the State and the Congressional Delegation since last November when we prepared the priorities and in anticipation of an infrastructure proposal. Now, it did not come out as advertised by the Trump Administration, but nevertheless, we did prepare this important priority list. On that list includes the Kapa'a Multimodal Transportation Solution priority to address congestion and roadway expansion. It may be that we could apply for the Infrastructure For Rebuilding America (INFRA) Grant, which it is formally known as the "FASTLANE" grant, it is was National Freight Highway program prior to that. It is not "INFRA," which stands for "Infrastructure For Rebuilding America." The INFRA grant is open right now through November 2nd, so we could submit applications until November 2nd. The federal government can provide up to eighty percent (80%) of the funds through this program. You do have to be in a National Freight Highway or a National Scenic Area, so we may have to extend our project up to the scenic overlook in Hanalei. This program would be to reduce congestion to improve freight movement. It would include the ports and it COUNCIL MEETING 11 AUGUST 9, 2017 could be a significant amount of money. They just modified the program a bit from when it was called "FASTLANE," and they are now requiring twenty-five percent (25%) of the funds be used for rural areas, so we qualify for that program. That is a lot of money. There is eight hundred fifty million dollars ($850,000,000) that was provided or authorized in fiscal year 2017 for that program. So if twenty-five percent (25%) of the funds are available for rural communities—that is big. It would require that the local community come up with the twenty percent (20%) match, but potentially less in a rural community. We have to confirm that, but that is an option and it is something that the State would need to be behind, the County obviously be behind, and we think that the Federal Highways Administration potentially may have trouble finding enough rural communities across the country to apply for this particular grant program. I think that because of the success that we had with TIGER and the fact that we were able to sign the full-funding grant agreement in June, whereas there are a number of communities that cannot make it to that point; even when they are awarded the grant, they do not actually get to the point where they are guaranteed the funding. We did sign the full-funding grant agreement, so given the relationship that we have established with the Federal Highways Administration and the U.S. Department of Transportation, I think that it would behoove us to leverage additional federal funding dollars through this INFRA grant program for roadway congestion and expansion efforts. The Deputy Assistant Secretary for Intergovernmental Affairs at the Department of Transportation is an appointed official by the Trump Administration, so he is new. He has been in place, I believe, since May or June, and he is interested in coming out to Hawai`i and will be visiting Kaua`i on that trip so that he can come and have a tour of the TIGER project and also to look at some of the other transportation needs across the County. That would be a really good opportunity to also showcase the congestion and roadway expansion needs. I think that we should have more conversations with the State about applying for the INFRA grant and I just strongly encourage us to go for it, because I really think if we could put the same model together that we applied for TIGER, put that team together and work on that through November 2nd, that we would have a really good chance of getting that grant and having it be competitive. That is really all I had on all of the grant opportunities and any questions you may have on any of those, feel free to ask or even to follow-up with us afterwards about them. Council Chair Rapozo: Thank you. Let me just start with your last grant, the INFRA grant. It is ironic that you bring that up today. Councilmember Brun and I went to the North Shore Community meeting last night regarding the refuge and you talked about you having to extend the grant to the scenic lookout in Hanalei. Well, as-of last night, the State's plan is to close that lookout. So you might want to get in-touch with Larry Dill and whoever else in the State. It is against the wishes of the community, but it does not sound like they are going to budge. They are claiming a safety issue, but it is not a safety issue. I am not sure what their plan COUNCIL MEETING 12 AUGUST 9, 2017 is, but as-of last night, it was quite clear that their plan is to shut that scenic overlook, which would really make this project ineligible. I think that is only scenic... Ms. Cronin: Scenic area on Kaua`i...we have not investigated whether or not we would still be considered part of the National Freight Highway network, just given the uniqueness of Kaua`i. I am not sure how they would incorporate us into that larger system, but there may still be eligibility opportunities aside from going up to National Scenic Overlook, but I think that could be a good tie or a good connection to say this is really important and this is part of this program, too. Mr. Smith: I think that, and combined with the twenty-five percent (25%) set-aside for rural areas is an opportunity for Kauai, so we will work with the State and hopefully be able to put together a project. Council Chair Rapozo: Or explain to them that it is important—it is important to the community and it is important to transportation. Ms. Cronin: Yes, and there has already been an incredible amount of federal investment in that scenic overlook. Council Chair Rapozo: Someone brought up last night that it is also a historical landmark, so I am not even sure they can do that, but that is the plan and I was very disappointed last night. Ms. Cronin: Right. Council Chair Rapozo: Any other questions? Councilmember Kawakami. Councilmember Kawakami: Thank you for the presentation. We really look forward to working with you closely, which leads to my question: what is the procedure when we are prioritizing our County initiatives when we are approaching Washington, D.C.? Is it administration-driven or do you come back to Council for any kind of feedback? This is the first time I am working with you hands-on. Previous to this, we were working with Roger Gwinn from the Ferguson Group, so I am trying to figure out what the tempo is and what type of procedures we would go through to getting some input on our legislative priorities up in Congress? Ms. Cronin: Well, we do work directly with the Office of the Mayor, so we do work with the Mayor on identifying priorities that would align with the congressional priorities, as well as the Administration's priorities. So the effort really is initially casting a wide net to say, "Okay, here are the funding opportunities and here are the legislative priorities or the initiatives that Congress COUNCIL MEETING 13 AUGUST 9, 2017 is interested in," and then we say, "Okay, where does the County align with those priorities? How can we create a concise federal agenda that would make sense for the congressional delegation that would make sense for the federal agencies to find ways to support?" Mr. Smith: I mentioned that the priorities align obviously with Holo Holo 2020 and I believe that is the plan that the Council has. Council Chair Rapozo: No, that is the plan that the Mayor sets. Ms. Cronin: It is the Mayor's plan. Council Chair Rapozo: We discuss every year you come down that we would like some, and I am sorry, Councilmember Kawakami, but we discuss this every year that the Council does not get any input and I thought we agreed going forward that when you meet with the department heads that we might grab the committee chair. We do not, it is the Mayor's priorities, it is the Administration's priorities, and then we find out after-the-fact. I am just addressing this for Councilmember Kawakami's edification. Mr. Smith: No, I understood that. I just meant that the Holo Holo 2020 plan is out there and one is... Council Chair Rapozo: Again, I want to make it clear that Holo Holo 2020 is the Mayor's projects and it is not something that the Council has collaborated with or something that the Council had approved or adopted. Mr. Smith: In response to the Councilmember's question, the priorities that we pursue are in conjunction with Holoholo 2020. Council Chair Rapozo: Okay. Thank you. Ms. Cronin: Also, I would just add to that, that the contract that we have is with the Office of the Mayor and I think the contract that we had with our predecessor was the Office of the Mayor and the Council. We provide the Council with regular, weekly, and/or monthly updates of all of the things that are happening in Washington and all of the grant priorities or announcements that are being made in Washington. We encourage the Council to communicate with us and we rarely hear from the Council. But there is not any reason that you could not work with us and come up with some priorities for the Council that we can also be pursuing. That is something that we encourage and we are very open to communicating with you about that. If you have ideas, please reach out to us. It is not as-if we are not willing and able to do that, it is that we want to hear from you what you would like to see us working on. COUNCIL MEETING 14 AUGUST 9, 2017 Councilmember Kawakami: Thank you; that is very promising. As the Committee Chair of Economic Development & Intergovernmental Relations, we will definitely reach out and be more engaged. But while we have you here, I figure we relay some concerns that have come up from our constituents, if you do not mind. Ms. Cronin: Sure. Councilmember Kawakami: It kind of has a nexus with this scenic overlook for Hanalei Valley. I am confused if the closure is for the existing, because we were approached by U.S. Fish and Wildlife that they did have appropriations and it was a carryover from Senator Inouye's time that they wanted to start dispersing towards a new scenic overlook, which I believe they are going out and doing some outreach as we speak. So I am not sure if they are talking about the closure of the existing and the rebuilding of one, but I can tell you that for the taro farmers that are below that valley, they have some concerns. In 2008, they went from a ten-year revocable permit to a year-to-year, with the understanding that the U.S. Fish and Wildlife had to complete a comprehensive conservation plan, and the date they were given was 2012. So these farmers have been on a year-to-year, and as you may know, a year-to-year lease makes it impossible for a farmer to invest in their operations and it makes it impossible for a taro farmer to go out and get loans to go out and invest in their operation. Just for the public's knowledge, and they all pretty much know this, but that Hanalei is the bread basket for kalo, which is a sacred food in Hawai`i. We supply the State with a majority of our kalo for the various products, majority of which is poi. These farmers have reached out and they want to be engaged with the U.S. Fish and Wildlife while they go through these planning purposes. There are concerns with the increased amount of traffic and the increased amount of trespassing, believe it or not, because it draws some curiosity. So they brought this to our attention, so I figure while we have you here, it would be a great time to start speaking upon some of these topics that have recently come up. Of course, they continue to try to coexist with U.S. Fish and Wildlife, because that is sometimes the missions between taro farmers and U.S. Fish and Wildlife do not actually coincide, so they are trying to find some way to collaborate and coexist way out there in Hanalei. That would be one thing that I would like to have some dialogue on or maybe when you go back and you speak with U.S. Fish and Wildlife, these type of topics can come up. The other thing that I was wondering about was the fact that we have an issue with storm water runoff and I know that the Environmental Protection Agency (EPA) has a National Pollutant Discharge Elimination System (NPDES) and I was wondering if there were any grant or federal funding opportunities that tie into our funding when we have highway improvements to sort of incorporate any kind of storm water runoff into the construction or retrofitting of these new highways. We recently went out to Oregon, and as you know, Oregon is a very wet place, and they have managed to incorporate storm water runoff into almost every aspect of their built environment, where they are capturing about eighty-five percent (85%) of that storm COUNCIL MEETING 15 AUGUST 9, 2017 water runoff and it is in things that you would not even think about: it is their median strips, it is the way that they angle their roads, and it is their landscaping, and I was wondering if there were any grant opportunities or federal funding opportunities for Hawai`i. It would be a top priority, I would think, just because of our limited land space and the fact that everything runs mauka to makai, into the ocean. That would be the two (2) topics that come to the top of my head. If there was some kind of way to go back and research those for myself, that would be awesome. Ms. Cronin: There is a program that is a federal program in which the money flows through the State, which is the Clean Water and Drinking Water State Revolving Loan Fund programs and that is one way that Oregon and other states and communities across the country are funding projects related to storm water runoff. There is not a lot of money in that program, so it does not go very far, but that is one area. The other is through the Army Corps of Engineers. It sounds like if you are talking about a highway construction project and there is a waterway that runs underneath that is a navigable waterway that might involve restoration or construction, anything that would be in that waterway, then that would involve the Army Corps of Engineers, and there is, of course, the new rules under the Water Resources Reform and Development Act 2014 requirement that the Army Corps submit its recommended projects to Congress for consideration authorization in the next Water Resources Development Act, which will be likely, possibly next year. There is currently right now an effort by the Army Corps of Engineers to solicit projects or proposals by non-federal sponsors, I should say, to submit a request for a feasibility study or a modification of a study or for a construction project related to what you are describing. So that is something that we would want to probably take up under the rules or consideration for the Water Resources Development Act in the next year. You would want talk to your regional Army Corps division about this. If it is one location or several locations, it might be premature if there is not a construction project going to be underway over those navigable waterways, but that would be another opportunity. I think that occasionally, the EPA has had some grant programs that could be potentially applicable to that. Also, potentially the Department of Transportation occasionally has something available. I do not know of anything off of the top of my head that would be applicable other than what I already mentioned, so I would have to do a little research and get back to you. Mr. Smith: Mary mentioned the State and Local Revolving Loan Fund and that is a source of funding, but I think the key here would be to identify a project and to see if we could not put that forward through the Army Corps of Engineers, because generally, that is where the biggest money comes from. They reauthorize this program every two (2) years and they specifically authorize projects in the legislation. Maybe we could follow-up with you and follow-up with the County and see if we could begin to identify a specific project. COUNCIL MEETING 16 AUGUST 9, 2017 Councilmember Kawakami: The State every year...we appropriate money for highway improvements—I wonder if that would be a window of opportunity when we start receiving federal highway funds for our highway improvements, if we would be able to draw that nexus between these types of grant opportunities. As you can see, our State highways are slowly going towards concrete and they are becoming much more multimodal in nature with sidewalks and bike lanes and also median strips. That might be identifiable projects if we work with our state delegation to see what their Capital Improvement Projects (CIP) priorities are going to be as far as highway improvements. Ms. Cronin: You are right, because when you have a highway program or a highway project that does involve the federal government, then you do need to do your National Environmental Policy Act (NEPA) analysis. The NEPA, Section 408, or the categorical exclusion—to do an Environmental Impact Study (EIS) of whatever that project might entail and how it would affect the natural habitats or the water quality within that jurisdiction. So that is an area that you would be able to pursue if you know you have a project and it does involve federal highways funds. You more than likely need to talk to the Army Corps of Engineers about what their jurisdiction might be over that and whether or not you would need to submit a request for a feasibility study through them. Councilmember Kawakami: So these grant opportunities that you speak about, one of the things was that the funding for this type of project is very limited in nature—is that something that we should approach our senior senator who has a seat on the appropriations as far as tying to see if we could get more funding, or what would be the strategy to increase funding so that we can start participating? Ms. Cronin: It is very difficult in this environment, this political environment, this fiscal environment, to get increases for any of these programs, in particularly the Clean Water and Drinking Water State Revolving Loan Fund programs. We actually do put in appropriations requests through the programmatic process every year, as we have for the last five (5) years that we have been working with the County, specifically requesting full funding for the Clean Water and Drinking Water State Revolving Loan Fund programs. So we are already working with the Congressional Delegation in saying that these programs are extremely important to us and we want to see these programs funded at the highest level we can get, which right now, if we could get full funding based on what we have in the previous fiscal year, we are doing really well. We just want to keep reminding them why those programs are important. It is better to tell them what we are doing with the funds and why the funds are important, than to ask for more funding on top of what we are getting in the current fiscal year, because that would be an unrealistic expectation. Councilmember Kawakami: Thank you, Mr. Chairman. COUNCIL MEETING 17 AUGUST 9, 2017 Council Chair Rapozo: Councilmember Chock has a follow-up, but when Councilmember Kawakami was talking about one of the farmers, one of the things that is really important in the time of the lease...he brought up some very important critical issues, one is that the crop cycle of the plant is fourteen (14) to eighteen (18) months. I will have more comments later, after Councilmember Chock has his follow-up, but I think that is real critical, where you are offering a lease to a farmer for a year where the crop cannot be grown in the lease period—like Councilmember Kawakami said, "What bank is going to lend you money if you do not know if you are going to have the farm to harvest?" It is insane. Councilmember Chock. Councilmember Chock: Thank you, Mr. Chair. Thank you, Mary and Jim. Your work is so important and thank you for your report. Just to follow-up on Councilmember Kawakami's request, I think the roads are important in terms of storm water runoff issues. Certainly, I think it can be applied even on a smaller scale when we talk about projects in the direction of housing. We have Lima Ola and we have other projects, and to the Housing Agency, I really encourage us to look into that in terms of drainage and natural filtration as opportunities. I think I was equally as impressed in some of what we saw in Oregon and Seattle. The other area in terms of infrastructure that...I am sorry...Chair, I am going into another subject. Council Chair Rapozo: Go ahead. Councilmember Chock: If there are any funds that are focused on our issue that we have with the siting of the landfill and building that landfill, this is something that we really need to take a look at and have a big hill to climb on, and I have not heard any substantial indication that there is funding available from you folks. Ms. Cronin: Well, we have been around the block in Washington in trying to seek funding for siting the landfill. We went after the EPA, we went to the Department of Energy, we went to Housing and Urban Development, and also the Department of Transportation. There really are limited dollars for something like that. There is a technical assistance and training program through the USDA...or it might be the EPA...I may be wrong...that technical assistance and training program is for Solid Waste Management, and when we have looked at that grant, we have looked at it for several years now and the timing really has not been quite right and we did have the feasibility study underway, which is now complete, so that may be something that we could look to again this fall...it usually comes out in the fall. That is really the only grant...there have been...well, in the previous administration, there were some new opportunities through the Department of Energy around renewable energy components that could be added to the project, but I think it may be a little too far ahead to look to, because we have not gone to COUNCIL MEETING 18 AUGUST 9, 2017 construction or anything. Just in terms of siting it, the feasibility study is done and the TAT grant is the only one I can think of to potentially maybe utilize. Council Chair Rapozo: Councilmember Brun. Councilmember Brun: Following-up on that trip to Oregon that we went, I guess something that I got out of that is when we talk about these complete streets and stuff...the circles, I can deal with, but I hope we are not pushing too much for these bike lanes because we just do not have enough people riding bikes around the island. It is not going to work here on the island. There is just not too much people doing that. You talk about homeless grants—are you folks pushing to apply for the grant to help with the homeless and stuff? Ms. Cronin: We are encouraging the County to look at the grant and consider whether or not there may be a program or an initiative that could use some additional funding resources. If there is a program or initiative underway to fight homelessness or reduce homelessness, and it is working, maybe it is innovative, creative, and unique enough that we could apply for this particular grant, the Continuum of Care grant, and obviously that would bring in some significant dollars. If we do not have a program, but we do want to pursue some sort of a program that might meet the criteria of this particular Continuum of Care grant, then we need to give that some consideration and also work with some of the homelessness service providers. Whether they are here on Kaua`i, whether they are in Hawaii, or whether they are somewhere else in the country, it is something to consider. We know that homelessness is a big issue and there has been considerable funding for veterans homelessness through the Veteran Affairs (VA), and there is very little funding, but there is some funding through HUD for reducing homelessness. This one particular grant is the best grant to consider. All I can say is that we are encouraging consideration of that grant opportunity and if we do not meet the criteria to be able to apply for it this year, maybe we can apply for it in the future. Councilmember Brun: Did you have those talks with them already? Are they willing to do it? When I met with them, they were like, "We are going to do it," and then I have been hearing in the community that, "We do not have time for it right now." There are a lot of church groups on the west side that are willing to take on a project and willing to do what they can to get these homeless people somewhere and do something. When I met with the Administration, yes, it was a top priority, but I am hearing from the church groups that it is not. I was just wondering if you folks had any leeway with the Administration on if we are going to do it or not. Ms. Cronin: We are going to discuss it on Friday morning. Councilmember Brun: Okay. Thank you. COUNCIL MEETING 19 AUGUST 9, 2017 Council Chair Rapozo: Councilmember Kawakami. Councilmember Kawakami: Thank you, Chairman. I had a few more questions. Do you work exclusively for the County of Kaua`i when we are speaking of the various counties on our island chain? Ms. Cronin: Yes. Councilmember Kawakami: Thank you. That is great for us. We would not want you folks lobbying for any other county, not to be greedy. Ms. Cronin: Kaua`i County is the best county. Councilmember Kawakami: I agree. You are hired again. Anyway, as far as a formal policy position letters, the Federal Aviation Administration (FAA) privatization, CDBG funding, Lihu`e Post Office—can you speak a little on the...for the CDBG funding, I have to assume that you folks are just lobbying to keep it in tact. It is a huge tool that Kaua`i County utilizes in every aspect that we possibly can. But FAA privatization and the Lihu`e Post Office, which headlines on our little Garden Island; can you speak to those two (2) specifically, the FAA privatization and the Lihu`e Post Office, as far as your consulting efforts up in D.C.? Mr. Smith: As far as the FAA is concerned, as you probably know, there has been a proposal initiated by Congressman Schuster, the Chairman of the House Transportation and Infrastructure Committee, to privatize the FAA Air Traffic Control (ATC) System. This is very controversial. I understand that it is a common practice in a lot of other countries around the world, particularly in Canada, which has privatized its ATC. But it has not advanced yet in this congress and I do not want to make any predictions, but I would be surprised if it does. Chairman Schuster has not even developed a majority support within his committee for it, and the Senate, Senate Commerce Committee, which our own Senator is a member of the, Senator Schatz, has opposed it and not even considered it. The Trump Administration did get behind it at the request of Chairman Schuster, but to-date, it has not developed enough support to see it enacted. That could change, but as of today, I do not think that is going to happen. Councilmember Kawakami: Which is good news in my opinion,just for the fact that we are an island economy driven by tourism and everything comes in via air flight. Mr. Smith: Right. Councilmember Kawakami: For the Lihu`e Post Office, can you give us an update on that? COUNCIL MEETING 20 AUGUST 9, 2017 Ms. Cronin: Yes, so we met with the manager of all of the properties for the Postal Service when we were in Washington in June with the Mayor and they had a very good conversation and the Mayor gave the Postal Service our side of the story, and what she told us what that they were actually not happy with the outcome of the study that had been done by the person that was in charge on managing that study within the last year, whenever that study was completed, and they made it a termination to consolidate. The issue is that the postal service is running out of money and it has to do with the fact that people just are not sending mail and not buying stamps, and that we have other resources like Federal Ex (FedEx), E-mail, and Amazon. People are not just sending mail anymore, so the Postal Service just does not have any money and they are interested in consolidating operations because a lot of their facilities are just too big and they are not being utilized at capacity. In the case here on Kaua`i, they have a large facility at the airport that they feel it can accommodate more and their initial study did not take into consideration necessarily as much as it could have what the community input was regarding the consolidation effort. The Postal Service just really looked at it as an opportunity to consolidate and save money, so now they are going to go back and restudy the facilities on Kaua`i and come back with another report, and it will be a different person who will do this study, as compared to the person who did the previous study. There will be a public hearing...I do not know if"public hearing" is the right word...maybe "community meeting" about it in October. That was my latest update. Again, this is happening all over the country and it is not something that is unique to this island or any of the islands in Hawai`i. This is not an issue that is going to go away. They would like to be able to sell off some of the federal property that they own and they want to sell it for fair market value and that, that money would go back into the Postal Service to be able to continue their operation. If you want to see the Postal Service continue and see these post offices continue in operation, I would encourage you to go back to snail mail and buying stamps. That is what the Postal Service would like to see, but I think you are fortunate that you have an opportunity to revisit their consolidation discussion. Councilmember Kawakami: As far as the U.S. Postal Service, what is standing in the way for them being more innovative as far as leasing out space so that they can maybe operate sort of like landlords to get more eateries into some of these historic places that have tremendous value? It is almost our State Library system when you think about it. Our Border's Bookstore became a glorified coffee shop and library where people would come in, buy their coffee, pick a book off the shelf, read their book, and return it. Then we question when the State libraries comes why or what type of legislation do we need to have a coffee shop in each one of our libraries so that we can generate revenue? What is the holdup with the U.S. Postal Service being more innovative and entrepreneurial? It is something that needs to pass through congress? It is something that they can enact through rules? Is it just a discussion that is not happening where they want to just sell off properties and then COUNCIL MEETING 21 AUGUST 9, 2017 be done with it? That is the concern. That is why little towns like us nationwide are fighting for their post offices and they are wondering why they cannot see the opportunity. What is the hold-up? Mr. Smith: To be honest with you, Sir, I cannot tell you. I know that the Postal Service has been under duress for many years. It has been controversial. I think you make an excellent point. Whether they see themselves essentially as just a postal service or something bigger and more entrepreneurial, which might enhance funding for their operations; that is a very good question. Ms. Cronin: They are a separate entity, even though they are the Federal Postal Service. I do not believe that they fall under the jurisdiction or the authorization of congress, so they are essentially a self-sufficient federal agency. They are not receiving funding from congress. Therefore, they are like a big business that has to find ways that they can generate revenue. Right now, the easiest way for them is to consolidate in order to generate that revenue. It is pretty much that simple. There are efforts to go to congress and to say to them, "This is why this post office is so important to us, it is an historical property, and it is right in our downtown. We just got this TIGER grant and we are revitalizing our downtown and this post office is part of that." The efforts that we put forth to try to encourage them to relook at the consolidation is working. Every community across the country maybe has to do that in order to get them to reconsider. The effort to say to our members of congress, even though the Postal Service is not getting funding from congress, they still do listen. In this case, we were successful in getting them to listen. Other communities maybe are not putting forth that much effort or their Congressional Delegation is not working as hard as ours to try to keep that postal building open. I do not have the intricacies or the knowledge of what goes on in the minds of the powers that be at the Postal Service to know what their plans are for being more innovative, unique, and creative, but I would say that if we could think of ways to be more innovative and creative with the space that the postal service is using, maybe we could find other opportunities where we would take up that space or that space that they are leasing or that we could be leasing from them is generating some revenue or they are not able to utilize that space to consolidate operations. If that space is being used by something else, like a commercial kitchen for example, then they are not going to have that space available to consolidate to. Maybe we need to think of ways that we can prevent them from doing that. Councilmember Kawakami: So there is really no known restrictions that we know of that stops them? Because I see them moving towards being more retail-like. I see them starting to sell greeting cards and they are trying, so we do not know if there are any real restrictions that ties their hands behind their back. Mr. Smith: Well, what I do not know, and you are right— they have been more aggressive on the retail front and overnight mail and trying to COUNCIL MEETING 22 AUGUST 9, 2017 keep up with the private couriers. What I do not know is how it operates with respect to real property. Mary is correct in that they are somewhat a separate, independent agency of the federal government, but yet the Postal Service is authorized by the federal government. When it comes to property, I am not sure if those facilities are actually owned by the Postal Service or if they are considered federal property under the domain of the General Services Administration (GSA). So there may be some limitations that the Postal Service may have in terms of leasing their facilities or using them for other purposes. That may run-up against the GSA...I do not know, but I would be happy to look into that and get some information for you. Councilmember Kawakami: But if they are looking at selling the properties then we could assume that they have some kind of control over these properties that they are operating on, but I guess it is piecemeal from location-to-location as to who actually owns. Mr. Smith: Right, but even with respect to the federal government, all federal buildings, whether it is the Department of Transportation or whomever, are under the domain of General Service Administration. GSA is essentially the "property owner." I just do not know the intricacies of the Postal Service, but we will be happy to look into that for you. Councilmember Kawakami: Thank you. Council Chair Rapozo: I just have a real quick question with regards to the property, because we were told that the only way they can dispose of that building is to sell it at fair market value. There was no opportunity to donate it, lease it, or have it for cheap rent. The only option that they had was to sell it at full market value, fair market value. Can you check on that for us? Mr. Smith: Yes, I will check on that. Council Chair Rapozo: Thank you. Councilmember Kagawa. Ms. Cronin: We did hear that as well. Council Chair Rapozo: Thank you. Councilmember Kagawa: I just had a follow-up question on the post office. My understanding is that if I were to drop mail off at the Lihu`e Post Office and I wanted to mail it to Kaua`i Island Utility Cooperative (KIUC), which is right in Lihu`e; that piece of mail would go to Honolulu, to the mainland, back to Honolulu, and back to Kaua`i when that place is right on Kaua`i. Has anybody asked the question if the system is in need of repair, which could save expenses? If you multiply that inefficiency by thousands and millions and billions of mail, maybe perhaps that COUNCIL MEETING 23 AUGUST 9, 2017 would be the solution and they would not be in such financial trouble. It just seems highly inefficient. Mail from half a mile away goes from Lihu`e, to Honolulu, to the mainland; back to Honolulu, back to Kauai, and then gets delivered. Ms. Cronin: You are right. It sounds very inefficient. I would say that would be something that should be brought up at the public comment or hearing opportunity in October. Councilmember Kagawa: You have never heard anybody mention to the post office that maybe their system is inefficient? Has that ever been brought up? Ms. Cronin: Definitely. Councilmember Kagawa: It has been brought up? Ms. Cronin: Yes. Councilmember Kagawa: Okay. Thank you. Mr. Smith: Nobody has ever accused the post office of being efficient. Councilmember Kagawa: It is efficient in a way that it is amazing that most mail do not get lost by going that far away and back. In that way, in not losing mail, they are pretty efficient, I would say. You would think that there has to be a better way, especially for Kaua`i mail. I do not believe that Kaua`i mail should ever leave the island. Thank you. Mr. Smith: We will look into that and to the question concerning property as well. Council Chair Rapozo: It is amazing how the airlines takes your bag from the counter, to the plane, to the next airport, and they lose bags all of the time. For the mail, even as inefficient as it may sound, going all over the world, they manage to deliver it. So inefficient or not, they get it done. Councilmember Yukimura. Councilmember Yukimura: I have a follow-up on the postal question. Thank you so much for your work on our behalf. First of all, I think the function of mail is something we would like to keep on Rice Street, because it is a gathering place and it is a place where people go to; everybody needs mail. It is true that a lot is done now by E-mail, but even Amazon has to have their boxes delivered. Even with the purchasing through E-mail, you still have the deliveries that have to be made and you would hope that the Postal Service would be competitive in getting that business. COUNCIL MEETING 24 AUGUST 9, 2017 So assuming that we want to keep the mail function on Rice Street, do you have any advice to us as we approach the October hearing, in terms of what our approach should be or what preparation we should do? I do think that the information being requested here, if you can help us find some answers, would be good to know as we go into the public meeting and into the next cycle. Do you have any other thoughts? Ms. Cronin: I think we could prepare a bulleted list of arguments that you could consider to present to them in October. I think that would be helpful. Councilmember Yukimura: I am sorry, we should consider what? Ms. Cronin: We will prepare a bulleted list of arguments or statements and things that you could use at that public hearing that might help your cause. Councilmember Yukimura: Thank you. Ms. Cronin: I will tell you that when we met with them in June, they discussed the idea of consolidating and utilizing a large space that is available at the airport. So they currently have some operations there at the airport and they are talking about the fact that, that space is large enough to accommodate everything that they have here at the Rice Street postal building. If you can find a way to say that, "Well, the airport is expanding," and there are other companies or businesses that are interested in using that space that the postal service is talking about, or if there is another way to say that there is no room or there is the likelihood of that space being available for long-term is not very great. If you can build that argument and say that consolidation space that they are planning to move to at the airport is not going to be efficient or sufficient, then I would say that you would need to build your argument around that. So we can work on some bullet points for you, but that is their plan...that was the initial plan. Now they are going back and revisiting that initial plan. Councilmember Yukimura: Well, apparently their decision to build that huge building, which is now not really being used to its optimum, was part of their planning process, which they may not have been very thoughtful about and now they are having to minimize their costs, right? What I am hearing you say is rather than talk about leasing this space here, think about leasing that space. I have a feeling they need some of that space for postal business, so to lease the whole thing might not be realistic, but some other uses of that space might be. I hear what you are saying on that. It could hurt them to move there because nobody can get there except by car to the airport space. These private mailbox services are springing up now that may serve the needs of our elderly, who do not have a way to get to that large facility COUNCIL MEETING 25 AUGUST 9, 2017 by the airport and they may be losing business in the long-run, too, if we are not serving that localized need. Mr. Smith: Right. I would not underestimate the community benefits associated with having the post office downtown, so I would emphasize that and I would also engage the community; make sure that the community turns out and responds and makes their preferences and views known as well. Councilmember Yukimura: Yes. Thank you. Ms. Cronin: One final point, Councilmember, is that we do have significant federal investment in downtown Lihu`e on Rice Street from the TIGER grant and I think they need to know what the TIGER grant entails and that it is about ladders of opportunity and it is about connecting the elderly housing that is right downtown with safer pedestrian access to the businesses and the services that are right downtown. That was really the heart of our application; that is what our application was about, right? Councilmember Yukimura: Yes. Ms. Cronin: If you can emphasize that, "We are doing this revitalization of our downtown for ladders of opportunity, for access to services, education, and jobs, and that this is a big part of that and that the federal government invested thirteen million eight hundred thousand dollars ($13,800,000) towards that effort, so we would hate to see the postal building be closed and that service not be available for that purpose." Councilmember Yukimura: Thank you. Council Chair Rapozo: Any other questions? Councilmember Yukimura: I have other questions on other subjects. Council Chair Rapozo: Go ahead. Councilmember Yukimura: I just want to say that it really has been a good five (5) years with your firm and we really appreciate the work that you have done and the results that you have helped us to produce. Jim, I want to thank you for the overview. It is very helpful and informative to know the federal context, even though in this day of instant communication, we should know. We do not get all of the information in an organized form, so it is very helpful, and it partly explains on another issue that is on the agenda today—we have been very late in getting CDBG guidelines for the rental rates for the year and your explanation of the delay in COUNCIL MEETING 26 AUGUST 9, 2017 congress for passing those moneys kind of helps explain why the agencies work is pushed back, too. Mr. Smith: Yes, everything is delayed. Councilmember Yukimura: Yes. Thank you for that. On some specific questions, as the Public Safety & Transportation Committee Chair, I am always interested in the moneys available for the Kaua`i Bus and thank you for the recent appropriation that we got for our buses to add more buses. We have in our Multimodal Land Transportation Plan highlighted the need for additional bus baseyard space, because without it, we cannot actually increase the frequency of our regular weekday routes because it means that we need not just replacement, but we need additional buses if we are going to increase the frequency of our weekday schedule. So it is actually a limiting factor, we cannot increase our daily frequency, even though part of our plan is to increase weekly ridership by one thousand percent (1,000%) in twenty (20) years as part of the congestion management plan. So I am hoping that the Administration is looking for that baseyard of moneys, because we cannot expand bus services without it. Have you looked at funding for that? Mr. Smith: Yes. Well, there is the existing Bus and Bus Facilities program under the Federal Transit Administration (FTA) and that is where we got the money for the six (6) new buses this year. Councilmember Yukimura: Yes. Mr. Smith: That program continues to be authorized and funded and it is an available source to us and I expect that we will be pursuing additional funding for additional buses through that program. I should mention though that does go through the State, so we have to apply through HDOT for that money and HDOT has to take into consideration the needs of other small community providers around the State, so it is not necessarily "all ours." The other thing I would just mention is that transit has been terribly underfunded for the last several years at the federal-level and this goes back to the fact that we have not increased the federal gasoline tax since 1992. If we had only indexed the tax to inflation in 1992, the last time we increased it, today it would be almost thirty cents ($0.30) a gallon as opposed to eighteen cents ($0.18) a gallon. That is a controversial issue, any time you talk about increasing taxes. But the backlog of transportation and maintenance needs is building all around this country. It is just becoming overwhelming. To get just public transportation back to a state of good repair is something like we need eighty billion dollars ($80,000,000,000) of additional funding over the next ten (10) years. So my hope and expectation is that if congress does get around to authorizing a new infrastructure program in 2018—again, keep in mind that this has been one of President Trump's highest priorities—that we will address the backlog of needs for public transportation providers, either through an increase in the federal gas tax or COUNCIL MEETING 27 AUGUST 9, 2017 some other related revenue stream that is going to provide an ongoing sustainable source for these programs and projects for the foreseeable future. There have been a lot of ideas tossed out there; I am sure you are familiar with them. One is to tax based on vehicle miles traveled (VMT). That is actually being tested and demonstrated right now in the state of Oregon. There may be some evidence that would support a vehicle miles traveled financing vehicle when we finally get around to this next infrastructure bill. We hear your concern loud and clear. We are fully aware of it. We will work with the Administration and with HDOT to see that our needs are addressed. Councilmember Yukimura: So under the Trump Administration, is there an understanding of the importance of transit; or in the infrastructure bill, will it all be focused on road expansion? Mr. Smith: That is a very good question. We would like to think that this President, who comes from New York City, which is the largest public transportation provider in the country, and who built real estate projects in New York that are highly dependent upon the New York City subway system operating on a daily basis, would recognize the importance of public transportation. We have not been led to believe otherwise and we expect that transit will be a full partner and have a seat at the table when this infrastructure bill is finally addressed. We will be working and we do work very closely with the American Public Transportation Association to make sure that those issues are addressed and succeed. Councilmember Yukimura: So this Bus and Bus Facilities grant program that is available, will it cover a bus baseyard? Mr. Smith: Yes. It covers both buses and facilities. Councilmember Yukimura: Okay. Mr. Smith: There is a formula program and there is also, as a result of the last authorization bill, a new discretionary program for Bus and Bus Facilities. Ms. Cronin: It was the discretionary program that we received the five hundred eighty thousand dollars ($580,000). But adding to that, the Bus and Bus Facilities grants program funds capital projects for bus facilities, including replacing, rehabilitating, purchasing, or leasing buses or related equipment; and rehabbing, purchasing, constructing, or leasing bus-related facilities. That grant is open now and it closes on August 25th. Councilmember Yukimura: Okay. Thank you. I have some other questions, Chair, but I think there is some follow-up on this bus issue. COUNCIL MEETING 28 AUGUST 9, 2017 Councilmember Brun: I have follow-up. Council Chair Rapozo: Go ahead. Councilmember Brun: So we are looking at expanding the bus and doing all of that—can we apply for funds to help fund the bus? Mr. Cronin: To fund the bus... Mr. Smith: Yes. Mr. Cronin: You are getting formula funds now...you are receiving formula funds through the federal FTA now for operating the bus, but then you would be looking at a "small starts" project for bus expansion. Mr. Smith: Most of the money is for capital. There is not a separate operating assistance program. Was that your question? Councilmember Brun: Yes. Right now, we can go out and get more capital, but we do not have the money; the County does not have money to pour more into expanding the bus service for the daily operating costs. Can you get grants to help us with that? Mr. Smith: Under the program, there is a formula that allows for federal funds to be used for operating assistance, but it is capped. Councilmember Brun: Okay. Mr. Smith: Generally, speaking, the federal government got out of the operating business, because they used to be able to use your federal transit money for operating assistance, but it has been several years ago that they eliminated that, and they expect local transit operators to be able to fund their own operations, either through the farebox or some other local revenue source. In many cases, there are local or regional sales taxes that fund the operations. Councilmember Brun: I just think that we need to look at the whole, big picture. Yes, we want to expand the bus, but how are we going to pay for it? Mr. Smith: Yes. Councilmember Brun: We are broke. COUNCIL MEETING 29 AUGUST 9, 2017 Mr. Smith: I think that is something that we could look at in the next infrastructure bill and certainly in the next reauthorization bill, particularly for small systems that do not have the revenue availability or revenue options that the larger cities do. Councilmember Brun: I just think that we have a plan right now that is finally going into place...we are not efficient with the bus and everybody knows it. I just think we need to have this plan go through and work it out, and then we worry about expanding a little more. Right now, we just do not have the money to fund the daily operations. We are capped at where we are at right now. Mr. Smith: I understand. Councilmember Brun: If we could get federal moneys to do that then I would be supporting, but we do not have money at the County to do it right now. Council Chair Rapozo: Any other questions? Go ahead. Councilmember Yukimura: Mary, you mentioned the concise federal priorities agenda...I guess that is for the County of Kaua`i...I do not know if we have ever seen it. Could we get a copy of that? Ms. Cronin: The Office of the Mayor has a copy of that. Councilmember Yukimura: Okay. Actually, as a matter of practice, once it is put together and it becomes the document that you are using to present to congress, could we just automatically get a copy of that? Cyndi is back there. That would be really helpful for us to just track what the program is for the year, because that sort of defines it, right? Ms. Cronin: Sure, yes. Councilmember Yukimura: Okay. You mentioned that the Kaua`i Multimodal plan that might be eligible for the 80/20 funding...that is... Ms. Cronin: The INFRA grant, yes. I referred to it as the "Kapa`a Multimodal Transportation Solutions." Councilmember Yukimura: My understanding of the Kapa'a Transportation Solutions plan that the Department of Transportation worked with the County on is that it was not multimodal. Of course, I wanted it to be multimodal. So if there is a multimodal program, I would like to see that, because I am not aware that it is. COUNCIL MEETING 30 AUGUST 9, 2017 Ms. Cronin: I do not know the answer to that, but the goal of the INFRA grant is to rebuild that infrastructure. Really, the grant program is for congestion, mitigation, and roadway expansion opportunities to better enable freight movement, and obviously included in that is making roadways safer. Maybe we should not categorize the grant application as being for Kapa'a Multimodal Transportation Solutions. I guess I would say that I would take that back and say that if we have an opportunity to do some congestion, mitigation, and roadway expansion and safety improvements of Kuhio Highway from the port in Lihu`e, all the way up to Hanalei and incorporating all of the priorities between the two (2) locations related to those areas then that would be what we would want to include in our INFRA grant application. Councilmember Yukimura: I support that. To your question as to whether it could qualify, I think we have an interstate highway system in the State and that is what pulls it up into the federal highway system, so we should not have trouble qualifying that way with that aspect. I do believe that the County is developing a plan for Kapa`a-Wailua transit and they call it a "shuttle system." Once that is integrated into the expansion plans that the State DOT is working on, the four (4) lanes in front of Coco Palms and the additional south to north lane that would be added to the bypass, all of that, then it becomes a multimodal plan. I have never seen it put together and if this is an opportunity to put it together, I think the shuttle study for the Wailua-Kapa'a is just coming back to the Council with recommendations and a plan in the fall. If there is a way to put it together, I think it would really impress the feds by being truly a multimodal plan and it would include the capacity expansion, the road expansion, as well as the bus expansion system, through addressing the short trips within the town that will clear the main highway or could help to clear the main highway. If that can be done, I think it is an opportunity to make our grant application look even better. Mr. Smith: I think you are right; I think it is an opportunity. Keep in mind that this is a new program. This was just created in the last transportation authorization bill and it was really designed to facilitate the movement of goods that are impaired by multimodal congestion. It is to tie ports and maritime traffic in with vehicular traffic and to bring multimodal solutions that are going to ease congestion and facilitate movement. That is why I think Mary said earlier that this may present an opportunity to relook and repackage this project. Councilmember Yukimura: Yes. Mr. Smith: The other thing is that obviously we have a unique environment here on Kaua`i as an island, and because twenty-five percent (25%) of this program must be spent on rural areas, I think it provides additional advantages for us to pursue it. COUNCIL MEETING 31 AUGUST 9, 2017 Councilmember Yukimura: Yes. Mr. Smith: As Mary said, the Deputy Assistant Secretary of Transportation plans to visit here in October, so this would be an opportunity, not only to show them the TIGER project, but to showcase this need as well. Councilmember Yukimura: Yes, thank you. Chair, I have one more question on another subject. Council Chair Rapozo: Go ahead. Councilmember Yukimura: Before I go to that question, I just want to endorse or second Councilmember Kawakami's raising of the issue about the taro farmers in Hanalei, because it is unreasonable to expect them to survive and thrive on a one-year lease. That really needs to be addressed. I am really grateful that he brought that up. I do not think there is a lot of money for landfills at the federal-level because that is not viewed as a real innovative or environmentally sound solution. My question is what about moneys for recycling, reuse, and reducing solid waste in the area of materials management? Council Chair Rapozo: Or alternative technologies as well. Ms. Cronin: Right. Council Chair Rapozo: Just something other than landfills. Ms. Cronin: Yes, there are some grants for reuse and establishing facilities to...I guess the word is to "disintegrate" or "burn" products. In the Pacific Northwest where they have a lot of extra mulch or wood, they end up filling a lot of the areas where they have done timber harvest and they do have a program for capturing energy from the burning of those types of products. There are not a lot of discretionary dollars for those types of services. There are a number of companies that are available and willing to work with you to develop new technologies and there may be some resources available through them, public-private partnership types of programs. Councilmember Yukimura: Okay. The Chair added to my question and that is fine, but I am not interested in incineration, because all analyses in the County, done twice now, show that it is not feasible economically and it is not sound environmentally. I was really asking about the "reduce, reuse, and recycle," and I am hearing your answer to that is that there is not really a lot of discretionary moneys. Ms. Cronin: Unless it is biomass. COUNCIL MEETING 32 AUGUST 9, 2017 Councilmember Yukimura: I do not mind you answering the question about incineration, but I just...we have kind of gone over that issue over and over again and it has not been feasible for a small community like this. Mr. Smith: I was going to say that I know that EPA has put out some grant funding in the past, particularly for recycling electronics. Councilmember Yukimura: Yes. Mr. Smith: But I am not aware of an ongoing sustainable program, but we will look into that. Councilmember Yukimura: I think the ultimate solution may come in what is called "producer solutions," where the manufacturer of the products are responsible for the waste that is produced by the product. That is why some companies are welcoming back electronics, for example. If we ever get to a federal government that is innovative and looking forward, that might come up. I do not know about now. Thank you. Council Chair Rapozo: Any other questions? Let me wrap up. First of all, you work for the County. Your contract is with the County; the Office of the Mayor manages the contract. At the end of the day, you do not work for Councilmember Brun, Councilmember Yukimura, Councilmember Rapozo, or any one of us, so I appreciate the questions. Just because Councilmember Yukimura said that she does not support something does not mean that it is not a valid question. I have to listen about the bus expansion every Wednesday and every issue ties back, and it is okay. That is what this is for. It amazes me that today we have congestion up the "ying-yang," we have a solid waste issue, we have homelessness, and we have all of these affordable housing issues, and today, the majority of the time was spent being talked about transit. We touched on a little bit on the other stuff, but there was very little discussion on homelessness. I heard you talk about some available grants, which I think we have to really focus on. I just heard today that our provider of transitional or emergency shelter beds are being reduced. I think we are going to hear from the community about that, because I see the woman in the audience. Last night, as I was at the Fish and Wildlife Service public meeting, and Councilmember Brun was there as well, it is scary what the federal government is trying to do. There is no doubt in my mind that they are...they said it last night that they are a recovery agency and their job is to recover the endangered species at any cost. They are trying to kick those farmers out of the valley, even though the farmers were there much before Fish and Wildlife was there. One of the farmers there last night said that the birds are responsible for forty-four thousand (44,000)pounds of taro a year. Yet, what is the federal government doing to...I say the endangered species we need to be worried about is the farmer, the taro farmer. It is not bananas and papayas where you can just go pick up and go find another farm. They are in a location that has been COUNCIL MEETING 33 AUGUST 9, 2017 there. I was very disappointed and frustrated. As you start looking into these highway grants that will impact, or that lookout could, in fact, help us with getting those funds. I would really take into account what is their...honestly, I am going to be doing a resolution and it is going to go to President Trump. As much as people do not like President Trump, the one thing he talks about was reducing some of the regulatory issues that are punishing our farmers and our businesses, so maybe we will get some juice there. I do not know...these people last night were not interested in listening to the community. They made it very clear that their job is about the recovery of endangered species, not protecting what made Kaua`i and Hawai`i, which is our taro farmers. It was very frustrating. I do not know where that is going to go, but whatever help we can get in that realm, as we work on the grant that you are talking about. Also, of course the homeless grants—I do not know...it is a problem everywhere, especially here in Hawaii. Honolulu is a mess and Kaua`i is getting there. There are a lot of families right now that are living in bushes, and we do not see them. People think that it is only minor and that there are only a few, but it is not a few; it is hundreds and hundreds. I personally know of grandparents that are taking care of their grandchildren in a tent on a beach because the parents are druggies. Grandma and grandpa is living in their tent with their grandchildren, kids. We talk about these other fluffy projects, but let us try to focus on other issues, because one day we are going to wake up, like Honolulu did, and say, "You know what, we should have done something back then." That is where I am really concerned, that we have to put some of our emphasis in priorities where we have to take care of these people. If not, we are going to be like Honolulu. Then, what do we do? Do you know what Honolulu is doing? They are making it illegal for these people to live and sleep on sidewalks. That is their answer. Is that what humans do? No, we take care of them. We are not supposed to be arresting them, but we do not know where to go. I am encouraging that we take a look at the homeless grants and really look at things that can work on this island to get these homeless people in homes or in shelters. Finally, as far as solid waste, I do not know what the Administration tells you, but we are in a crisis right now and whatever technology...I am just suggesting that whatever is available, we need to explore that. I agree or I believe in one technology...at the end of the day...this is where we have to figure out a process, because the Mayor obviously manages the contract. The Council has its own priorities, but we have to come up with a way, much like how we do our legislative packages where we come together and we figure out...you work for the County... you may think you work for the Mayor, but you work for the County of Kaua`i. In fact, there was a time...not yours, but the lobbying money was removed from the Office of the Mayor and the Council put it back in, because we knew the importance and the need and I think every one of us appreciates what you folks do. There has to be a better process, where we all come together and come up with a package for the County of Kaua`i; not the Mayor, not the Council, not Councilmember Rapozo or anybody else, but for the County. That is what your marching orders would be. I think that is the process...I think that was my process...anyway, that was the intent I thought we would be following. In closing, and it is more for Jim...I will tell you about Mary- COUNCIL MEETING 34 AUGUST 9, 2017 she is like a chaperone in Washington, D.C. She is on us like "white on rice" to make sure that the appointments are met and that every single available time is occupied in this mission to secure some federal assistance and federal grants. I just wanted to take this time to thank Mary, because I got to see her in action and I do not know how long I can last with that woman...that was less than one (1) week, but anything longer, I would probably have a heart attack. She does her job well and I just wanted to publically thank her and let you know, Jim, that she is great. We appreciate what you folks do. Mr. Smith: I thank you and I certainly recognize that. That is why we always say that when you come back to D.C. for an official visit, do not think it is vacation. Council Chair Rapozo: I will make sure I do not let her know I am there. Thank you very much. Ms. Cronin: Thank you. Council Chair Rapozo: I know we have some public testimony, so please hang around if you do not mind. I am not sure what the public has to say. Mr. Smith: Again, thank you very much. As I said at the outset, it has been an honor and a pleasure to be your consultant in Washington and we very much appreciate the partnership and the opportunity that you have given us, and we look forward to more success in the months ahead. Council Chair Rapozo: Thank you. JADE K. FOUNTAIN-TANIGAWA, County Clerk: Chair, the first registered speaker is Anne Punohu. ANNE PUNOHU: Aloha Council. Anne Punohu, for the record. I would like to thank the lobbyists for coming today. I have some questions, have made some observations, and have some concerns. Thank you, Chair—yes, I am the lady in the audience. My priority down here was housing equity, low-income housing, shelters, housing first, quality of life for Kaua`i's people, protection of the environment, quality jobs, and protection of the host culture. As a former taro farmer and also someone who worked in guava that was undercut originally when I worked on that plantation by South America, I think another issue that is huge for the taro farmers are the influx of Asian taro coming into the market, which is causing a huge problem for taro farmers in Hanalei. Let us just be logical. It takes nine (9) to twelve (12) months for the crop to be ready, so if you are just going to give a one-year lease then that is ridiculous. I think that needs to be relooked at. One of my main concerns, as I was listening to the lobbyists speak and speaking about the current COUNCIL MEETING 35 AUGUST 9, 2017 administration which I am no fan of, whether the contingency plans...this is a question for the lobbyists...what are the contingency plans for 2018 funding if it does not materialize? What are the exact priorities that the lobbyists will go after if important funding, such as impacts of health, safety, and welfare immediately of Kaua`i's people will be affected—what are the priorities? What will be the first thing that they will go after in a bulldog manner to try to safeguard and protect? Another one of my concerns was immigration. Now on Kaua`i, which we did not have in the past, we do now have an extremely large Marshallese and Micronesian contingency here. We also have a lot of immigration from the Philippines. One of my concerns is that Hawai`i has stated that it is a sanctuary city, so one of my concerns when listening to what is going on nationally is that there may be funding pulled for things like police protection and things like that. That is going on in Washington, so that is another one of my concerns. My third concern is EPA. What is going on with the EPA? What will happen to the future to the EPA? How will we be protected if EPA protections are pulled for Kaua`i's people? That is specifically targeted for me to the Center for Disease Control (CDC), which would be sanitation, disease, protection for the people, infectious disease funding, and enforcement for violations in health and sanitation conditions, particularly in the ocean and on working farms. Council Chair Rapozo: Anne, hold on. Is there anyone else wishing to testify today? Seeing none, you can proceed with your second round of three (3) minutes. Ms. Punohu: Thank you. I did not see the red light. Sorry. I just have to so much to say. On the north shore, a north shore high school, which we have been fighting for over thirty (30) to forty (40) years now—we need that. We need upgrading of our libraries in poor areas. We have a lovely library in Princeville, but libraries in other areas are decrepit and need help. On housing and the homeless, yes, I have a lot to say. I just heard recently that there may be some bed reductions this month in our only shelter for the general public. There are shelters scattered throughout the community for a specific niche types of people, but we need more shelters in more communities where people are working and have their families, such as Kapa'a and Waimea. We need that low-income housing, but everything has to work together. I guess that is all I am going to say right now. I have a lot more to say, but those are just the things that really strike me, is my big concerns are what will happen in 2018 if we have the worst-case scenario. What is their game plan? I would like to know it. Mahalo. Council Chair Rapozo: Thank you, Anne. With that, I will call the meeting back to other. I need a motion to receive this item. Councilmember Kaneshiro moved to receive C 2017-177 for the record, seconded by Councilmember Kagawa. COUNCIL MEETING 36 AUGUST 9, 2017 Council Chair Rapozo: Any further discussion? Councilmember Yukimura. There being no objections, the meeting was called back to order, and proceeded as follows: Councilmember Yukimura: I really want to express my appreciation to the Smith Dawson & Andrews firm, in particular, Jim and Mary, for their excellent support of Kaua`i County in the arena of federal grants and federal legislation. I also want to say that in some of these areas, I did not ask questions about funding, because funding is not the critical piece until we have a good plan in place. First of all, it is hard to get money without a good plan. If we should, by chance, get money without a good plan, then we stand to often not use it in the most optimal way. There is no comprehensive plan for addressing homelessness, to my knowledge, and that is why it is hard to ask for money. We did have a homeless summit, but I have not seen any follow-up. I do not know what plan there is for the program. We have piecemeal projects here and there, but what we really need is a comprehensive long-range plan for addressing this problem. That is primarily the responsibility of the Administration. I hope that we will get such a plan soon, because then it is much easier to get money for the plan and the implementation thereof. I think we saw the concern at this table when the Holo Holo 2020 plan was mentioned because it is a unilateral plan on the part of the Mayor, and it was at budget time that I spoke about how much more powerful and effective we can be in our budget and in our work if we could have a joint "Mayor-Council priority setting" for the County, where we were all onboard on the same page. I think that is true...I think we have done well with what we have, but we could do even better if we did have this congruence of Administration and Council, and I really feel that the Mayor has the responsibility to include and invite the Council in setting priorities. I might mention, because we have talked about a county manager system, that if we did have a county manager system, it would be the Council that sets the priority, and one of the things about that government system is that it brings the Administration and the Council together. You do not actually have the separation of powers. The Council sets the priorities and the county manager would implement the priorities, so you would have this congruence of goal-setting and action, I believe. We do not need the county manager system if we have really good partnership between the Administration and the Council and I think that is some area that we need to work on. Council Chair Rapozo: Councilmember Kawakami. Councilmember Kawakami: Thank you, Mr. Chairman. I really would like to thank you so much for the wonderful presentation. I think we, as a state and as a county, have been blessed to have had Senator Inouye while we did, and I can tell you that people gave or may have had their own opinions on earmarks, but I would like to remind people that the Pacific Missile Range Facility (PMRF) was an earmark, our COUNCIL MEETING 37 AUGUST 9, 2017 beloved Kilauea Lighthouse, who was named after the late Senator, was an earmark project; saving Hanalei Bridge from being double-lane was the work of Senator Inouye. A lot of his fingerprints are still out there on our community, and even still until this day, his actions still resonate through our community. There are still projects on his books that are coming in front of our community. Now that the reality is that we do not have Senator Inouye, we really rely on the relationships that organizations and the public affairs company that you are bring to our table, and I can tell you that a lot of people may think that the trips that we take to D.C. have no result, but I can tell you that the results that come back as far as TIGER grants, being able to maintain CDBG funding, being able to maintain any kind of HUD program, are all of the works and collaboration between this County and folks like you, so thank you very much. I do not think we need to have a county manager system. I think what we just need to do is collaborate. I am not sure if there has ever been any effort to reach out to the Administration and say, "Hey, we would like to sit down and collaborate on priorities and present this legislative package or a list of federal priorities." So that being said, I plan on, as the Economic Development & Intragovernmental Relations Committee Chair, having that conversation to sit down with the Office of the Mayor, sit down with the Administration, and bring some of our top priorities to the table so that we have some voice when we are formulating this type of plan. I just wanted to say once again, thank you so much. It is very obvious that you are very in-touch with what is going on in Washington, D.C. and thank you for all of your hard work. Thank you. Council Chair Rapozo: Thank you. Anyone else? If not, thank you again for being here today. We did have some goal-setting sessions in the past and I think it worked to some extent, as best as it can. You are always going to have the differences. You have seven (7) independent people or individuals on this side and you have the grand the "Grand Poobah" on that side and it is very hard at times. I thought our efforts went as good as I think it has ever. Of course, there is always room for improvement. It is just that it is hard because of the individuality of this side of the aisle. We can always work to make that process better. We appreciate what you folks do in D.C. It is hard work, frustrating work. I know this is an especially difficult time with the transition of administrations. Whether good or bad or whether you agree or disagree, at the end of the day, that is the administration that we have to work with and we appreciate your continued efforts. Thank you very much. How long are you folks here for by the way? Mr. Smith: Until Friday. Council Chair Rapozo: Okay. Mr. Smith: Not long enough. COUNCIL MEETING 38 AUGUST 9, 2017 Council Chair Rapozo: Members, you have until Friday, so set up your meetings with them before they go home. The motion to receive C 2017-177 for the record was then put, and unanimously carried. Council Chair Rapozo: Let us take a caption break for ten (10) minutes. There being no objections, the meeting recessed at 10:29 p.m. The meeting reconvened at 10:43 a.m., and proceeded as follows: Council Chair Rapozo: Can we have the next item, please? Ms. Fountain-Tanigawa: Chair, this is on page number 2, C 2017-168. C 2017-168 Communication (07/12/2017) from the Director of Economic Development, requesting Council approval to apply for, receive, and expend funds from the Hawai`i Community Foundation, in the amount of $50,000.00, and from Partners for Places, in the amount of$50,000.00, for a total amount of $100,000.00, for the development of a Climate Action Plan (CAP) for the County of Kaua`i: Councilmember Kagawa moved to receive C 2017-168 for the record, seconded by Councilmember Kaneshiro. Council Chair Rapozo: Any discussion? Councilmember Kagawa. Councilmember Kagawa: I have a question for George. Council Chair Rapozo: Okay. I will suspend the rules with no objection. Mr. Costa. There being no objections, the rules were suspended. GEORGE K. COSTA, Director of Economic Development: Good morning, Council Chair Rapozo and Honorable Councilmembers. For the record, George Costa, Director of the Office of Economic Development. Councilmember Kagawa: My question is, is the matching side from Partners for Places for fifty thousand dollars ($50,000) still not available because it reached a deadline? COUNCIL MEETING 39 AUGUST 9, 2017 Mr. Costa: That is correct. The deadline passed, but we have another opportunity coming up in January. At this point, we intend to apply for that again and come back to this body well before that to present a plan. Councilmember Kagawa: The next time you come back, are you going to disclose what the deadline is if there is a deadline? The last time, I think you withheld that information, and then it went to Committee and the deadline came upon us. I am okay with criticism, but if it is criticism and we do not know what the deadline is, then to me, it is unfair criticism, because the normal process for any approval or any rush for approval...normally, it comes to the Council and if we have a lengthy discussion or debate on the issue, it goes to the Committee where we wait for the Committee's approval. For that one, there were unanswered questions and the Council wanted it go to Committee so that your leader in that effort, Ben, could be there and answer the questions. But to hear that there was a deadline is kind of disappointing. Mr. Costa: In the future, I will absolutely be sure to disclose the deadline because I know that takes precedent over anything else with regards to approval. Councilmember Kagawa: Yes, especially when it is one hundred percent (100%) matching. I think Sandra Herndon mentioned something like us being crazy, denying one hundred percent (100%) matching for something that is important, and yes, it does sound crazy, but it would be nice for the legislative side to know what the deadline is because I think we all look stupid, on both sides. Mr. Costa: I agree. Even though there needed to be a lot more information with regards to the grant, I think now knowing that there is a deadline, that takes precedent over information and I am assuming that the body would approve, and then come back later with the information just to make the deadline. Councilmember Kagawa: Thank you. Council Chair Rapozo: Any other discussion? Councilmember Yukimura. Councilmember Yukimura: George, is there a commitment on your agency's part to give the Council all essential information? Mr. Costa: Absolutely, yes. Councilmember Yukimura: And hopefully a week prior to the item on the agenda, because that would really help. COUNCIL MEETING 40 AUGUST 9, 2017 Mr. Costa: As I mentioned, this grant came at the last minute, similar to the Transportation Alternatives Program (TAP) grant that came at the last-minute. I know I went back to the transcripts to make sure what I said on the floor was correct. There were concern about these last-minute grants. I now know and realize that it does not matter if it is a last-minute grant. That should be disclosed and I think the approval or the opportunity to apply would take precedent and hopefully at some point we can come back with more information if it is a last-minute request. Councilmember Yukimura: Thank you. It was a last-minute funding opportunity, but the plan to do a Climate Action Plan has been before the Council three (3) times before in the budget sessions, so what went into a Climate Action Plan and how it would be done with the community involvement. Those kinds of things were not new, right? Mr. Costa: That is correct. We presented that in 2016, and 2017... Councilmember Yukimura: So to put together a one-pager or to have it available when the agenda item comes up was not something prohibited by the last-minute nature of this particular grant, right? Mr. Costa: No, there was an assumption on our part that because we had come before this body several times in great detail, an assumption that the body knew what we were asking for, but that was a poor assumption on our part. Councilmember Yukimura: Okay. Thank you. The one thing I have learned from lobbying is to really watch your assumptions, because I have been caught making assumptions that are not true, and then you lose the opportunity. Mr. Costa: Absolutely. Councilmember Yukimura: Thank you very much. Council Chair Rapozo: Councilmember Kaneshiro. Councilmember Kaneshiro: I just wanted to comment that I do not think that the deadline is more important than the information. This was the fourth time we saw it and it got killed every single time. I voted no on it every single time because I did not have the information. I just wanted to know what a Climate Action Plan was, what some of the tangibles are that is going to come out of it, and maybe an example of what we will see in the plan and we never ever got that. This was the COUNCIL MEETING 41 AUGUST 9, 2017 fourth time. Then the only time we get it, it has already passed the deadline. If the Administration is going to push a Climate Action Plan, then they should be prepared to answer what is a Climate Action Plan and I do not think that is unreasonable on our part. We have been getting lots of"hate mail" for not passing a plan when the Administration could not even tell us what a Climate Action Plan was. I think that is pretty unfair and pretty frustrating. If future grants come up, please provide us with the information on what is the plan, what is the Climate Action Plan, or what is any other plan you folks present up here, because we need to know what the plan is to vote on it. I do not care when the deadline is. I am not going to vote on something and not know what it is, and then say, "Oh, the deadline is here, so I am going to vote on it, and then give me the information later." No, I want to know the information and the deadline and all of the information we can possibly have at the time of our decision to make the proper decision. That is just my comments. Council Chair Rapozo: Councilmember Brun. Councilmember Brun: For me, I am just going to "beat the dead horse." It is the same thing for me; all we asked basically was for a plan and that is why we deferred it. We are still getting "hate mail" on it. I actually had a person come up to me a couple of days ago and tell me that me that that was the best decision we ever made by denying those moneys. So there are two (2) sides to that. For us, an E-mail was sent out and it was unfair for us. We just wanted a plan, so I just want to go on record saying that all we wanted was a plan. We did not know the deadline was there. It expired by the time we got back. To me, it is unfair for all of that "hate mail" we are getting on it. I also made a mistake...I thought these were funds that were taxpayers' money, which I made a mistake; this was actually privately funded, so I want to go on record saying that I misunderstood it. I thought we were getting state or federal funds. Thank you. Mr. Costa: Just for clarification, it was unfortunate that Ben Sullivan, our Sustainability Energy Coordinator, was not able to attend. I tried to present the information as best as I could. Looking back at some of the information I did provide, it was not in the fashion that you received when you received Ben's written notice. Again, a lot of the points were presented, but obviously I did not communicate as well as Ben's written communication. So that is duly noted that we probably could have helped the situation by bringing either a PowerPoint or something in writing. That way, the thoughts that I had presented would be in writing and maybe would have been more easily understood. To Councilmember Kaneshiro's point, he was requesting for more information and I thought I was presenting most of that, but it became apparent to me that there needed to be more information and it was wrong on my part to assume that this is not going anywhere and so the deadline, to me, did not matter, because the deadline...this was Wednesday and the deadline was Monday. From that standpoint, I did not think it was going to matter, but now I know and it is duly noted. COUNCIL MEETING 42 AUGUST 9, 2017 Councilmember Kaneshiro: Thank you. Council Chair Rapozo: Councilmember Chock. Councilmember Chock: Thank you, Chair. George, why was Ben not available on that day? Mr. Costa: What is that? Councilmember Chock: Why was Ben not available? Mr. Costa: He had a personal situation, so I was asked to come and present. Councilmember Chock: Okay. Did you meet with all Councilmembers on this item in the last three (3) budgets and discuss the action plan and what it meant or at least the contents of it? Mr. Costa: I know I met with some of the Councilmembers, but I am not sure if I met with everyone. I know Councilmember Kawakami was not on the Council at the time, but I know we did meet with some Councilmembers. Councilmember Chock: Thank you. Council Chair Rapozo: I think the one thing that was clear was because it had been presented in prior meetings and prior budgets and the fact that it did not pass should have been an indicator to Mr. Sullivan that he needed to bring some data, some facts. If it did not pass, obviously, it was not sufficient for the Council to support. So to think that that would have changed without any explanation, I think that was probably a mistake, but we live and we learn. George, I do not put this on you at all because you are the Director of Economic Development and your office basically is the placeholder for a lot of grant funds that come through, and to expect you to be able to explain every single grant application in that office is not possible. So please do not take it as a failure on your part. I think you did your best to explain the best you could, but I think people want to hear it from the person who is going to make it happen, in any case. I think that was the frustration. The Administration wants this money—whether it is the Department of Public Works, Department of Parks & Recreation or whoever—they should be here on a Wednesday. If a personal situation comes up, then noting can be done about that. I think at that point, the deadline probably should have been explained so that everybody would be on the same page. I think what Councilmember Brun and Councilmember Kaneshiro was talking about...had that been defined, the action may have been different...I do COUNCIL MEETING 43 AUGUST 9, 2017 not know. It would have prevented a lot of stress. People took a lot of time to write some very hurtful E-mails and Councilmembers had to sit back and read some of those E-mails and all of that could have been avoided if, in fact, we took a different course. That is why we are here; we are here to take those kinds of criticism. But in all fairness, no one deserves that kind of criticism. Thank you. Anymore questions for Mr. Costa? Go ahead. Councilmember Kagawa: I would just like to add that it attracted so much attention that I even had five (5) minutes of criticism from Robert Kekaula on KITV4 News on that, and not having heard there was a deadline, to me, that would have changed my vote and I would not even had made the news. Let us just get the information, especially a deadline on free money. That should be the first sentence of your presentation that there is a deadline, what the deadline is, and the information on it. We left out the number one, main thing on that one, because it was all free money. Thank you. Council Chair Rapozo: Anymore questions? Mr. Costa: Can I just add to that? The first time we came before this body on the Climate Action Plan, it was a one hundred eighty thousand dollar ($180,000) request of County funds. We thought, one, because we were trying to reduce the budget, so that was denied and maybe some of the information was not provided. So the thought was to get a partner with some moneys to supplement the County's ask. So we came back last year with the Hawai`i Community Foundation and they stepped up to the plate with seventy-five thousand dollars ($75,000) and our ask went from one hundred eighty thousand dollars ($180,000) to thirty thousand dollars ($30,000), and that was denied, so we thought, "Okay, maybe if we can come with funding completely from a non-County source, then that would have made it better." We have come before this body to meet on other grant requests, other projects, and it has not always been consistent. But the lesson was learned from this process that no matter how big or small, it is always good to communicate with this body, just to make sure that we are all on the same page. Even though we are under time constraints, again, at least make the effort to reach out to the Council, even if it is last minute. Thank you very much for understanding. Council Chair Rapozo: Thank you. It would not hurt, when you send over the communication requesting the agenda time, that that should probably have the grant application, as well as the expiration or the application deadline so that our staff is aware so that they can inform us. Anyway, we will move on from this. Mr. Costa: Okay. COUNCIL MEETING 44 AUGUST 9, 2017 Council Chair Rapozo: Anyone in the audience wishing to testify? We will call the meeting back to order. Any further discussion? Councilmember Yukimura. There being no objections, the meeting was called back to order, and proceeded as follows: Councilmember Yukimura: I think we have learned a lot of things from this particular agenda item and I would like to see if perhaps we can develop a format for the Administration whenever there is a request for money. At least there should be a clear statement about what is the goal to achieve with the money and how the Administration is going to use the money to achieve that goal. That would be really useful. I am even looking at today's agenda item and I hope that the information will be provided for the Bryan Baptiste Sports Complex improvements, two million five hundred thousand dollars ($2,500,000) and for the Captain Cook Memorial Park improvements, one million dollars ($1,000,000). I would have loved to have a sheet attached to this agenda explaining what it is going to be used for and how that money is going to be used. Anyway, it might improve the process if we can make that clear to the Administration what our expectations are. I just want to address this issue of "hate mail." I know we received about fifty (50) E-mails and most of them really spoke about the need for a Climate Action Plan and why it is important and I do not see that it is "hate mail." There were some, what I consider inappropriate, remarks but we have that on a lot of different items and I hope that overtime as a community that we can learn that those are not really appropriate, that we want to talk about the action, not about Councilmembers personally. I also think that if we had followed proper parliamentary procedure, we would not have had the problem at all, because we would not have voted on the main motion. We would have just referred it to Committee and it would still be alive and we would not have had this action of voting it down, and then referring it to the Committee, which I believe was not proper parliamentary procedure. If we had followed it, then we would not have had the issue at all. Council Chair Rapozo: Anyone else? I try to be as civil as I can, but there is always the little "push button" that really forces me to respond. Number one, the "hate mail" was "hate mail." I do not care what Councilmember Yukimura says. Remember that some of them reply to "all Councilmembers," which is what she sees. Some of them were personally sent to Councilmembers. So you cannot speak for the personal E-mail, one that calls you a "stupid beep"—I cannot even repeat it because we are on camera. Why did they send these E-mails? It was because of an E-mail that was sent out by Councilmember Yukimura. The focus of the E-mail was that "four (4) Councilmembers voted down this action." That is what she put. I guess it went to Civil Beat, Apollo Kaua`i, and everywhere, with a callout to contact these four (4). So we got contacted. Some of us got contacted, and you can shake your head all you want, because the E-mail is available if you want to see it. The reality is COUNCIL MEETING 45 AUGUST 9, 2017 whether or not she thinks that parliamentary procedure was followed, I called our parliamentarian, who is certified; we sent him to school and he got certified. I have been doing this for fourteen (14) years and I kind of know the rule. The motion on the floor was to approve; Councilmember Kagawa made the motion to approve. Everything was going to go through. Councilmember Kagawa, in fact, suffered the biggest brunt of this because he got television time with Robert Kekaula, calling him basically a person that likes global warming or whatever, but anyway, it was seconded, and Councilmember Kaneshiro had one question: "What are the deliverables?" That question really was not answered to the satisfaction of many of the members on the Council. So more and more questions ensued and it was very clear at that point that some of the questions were not going to be answered. The Council did not know that the deadline was coming up in a couple of days; no one told the Council. The discussion started to move towards a referral to the Committee, where we could have Ben Sullivan here with the answers. Everybody was fine with that. Even at that point, no one told us, "Hey, you cannot do that because Monday is the deadline and Wednesday is after Monday." So we had the discussion. I decided, as the Chair, to take the vote on the motion to approve for one reason: in the event- Councilmember Yukimura, stop shaking your head because that is very disrespectful—I concluded or I decided that we are going to take the vote on the motion to approve, in the event the four (4) votes were there to pass, because I did not want to waste our staff's time on a referral to the Committee, which would put our staff having to do all of the minutes for one more meeting...actually, two (2) because then it would have to go to the full Council, like it is today. So I wanted to try to vote first. If the motion to approve failed, which it did, then someone could entertain or make a motion to refer to the Committee. That was what we did and that is the Chair's prerogative. The motion to approve did fail and the subsequent motion to refer to the Committee was passed and it ended up in the Committee, only to find out that the Administration had requested that we receive it because the deadline had passed. That is what happened. Now, the E-mail does not say any of that. The E-mail from Councilmember Yukimura just says, "Four (4) people voted it down and you need to remind them that this is important," Civil Beat got ahold of that and Civil Beat, of course, printed that we voted down, which simply is not the case. Simply, it was a procedural thing to get to the motion. If it passed, we would not be here today. I do not know how people are going to vote. I think it was unfair. I think when a Councilmember sends out an E-mail like that to encourage the public to go after specific Councilmembers, then I think that is not cool either. But you have the freedom to do that. I responded...I did not respond to all of them. Some of them honestly were not deserving of a response, they were so nasty. But the ones that I felt were respectful, I did respond, and I explained to them what I just explained to all of you and they responded and said, "Thank you for the clarification." Some of them honestly, why waste my ink on my computer? Mine does have ink. Councilmember Chock. COUNCIL MEETING 46 AUGUST 9, 2017 Councilmember Chock: Chair, I just feel inclined why I should express why I did vote for it, because there are a lot of reasons being said of why it was not. I did have a chance to meet in previous budgets with the team of George and Ben and we have spent some significant time together on what is this Climate Action Plan, so I did feel more comfortable, I guess, at that point to support it with some of the details. I would agree that it was not well represented at this Council and for this Council, along with other mistakes that occurred in this process for it. There are a lot of lessons to be learned, in terms of the date and the clarity. I think that having it in writing also made a bigger difference and I would encourage that that occurs next time. I will caution, as I have in the last meeting though, that if people are not here, and this seems not to be the case with Ben Sullivan in this case, but if they are not showing here because they are not the right people to represent it for this body, then that is an issue and I would discourage that kind of activity to occur in the future. Thank you. Council Chair Rapozo: Councilmember Yukimura. Councilmember Yukimura: In the E-mail that I sent out, all I said is that the majority of the Council voted against this private funding of the Climate Action Plan. I also said that the Administration did a poor job of presenting the plan and I also said that by a parliamentary quirk, the matter was nonetheless referred to Committee. All of that, I believe, was accurate. I included a link to the Council Meeting so that people could actually see what happened. I do not think my E-mail was inaccurate in any way. I did say that because it was in the Committee, there was a chance to tell the Council if you thought the Climate Action Plan was important, so please show up at Committee. I do not think I said that they should attack four (4) Councilmembers, and I condemn any personal attacks on Councilmembers. I do not believe it is respectful and I believe the Council deserves respect. I also do not think it is effective, because nobody is going to listen to you if you are disrespectful. I also want to say that I was the one who made a motion to refer to Committee after hearing the Chair recommend that it be moved to Committee, and Councilmember Brun expressed an interest in making that motion, and so did the Vice Chair. But the Chair insisted on taking a vote first on the main motion. If we had followed parliamentary procedure and referred the matter to Committee before the main vote was taken on the main motion, which was, I believe wrong, parliamentary, then we would not have everyone talking about the Council voting against funding for a Climate Action Plan. If we had followed parliamentary procedure, there would have been no talk about the Council being against a Climate Action Plan, which shows the value of parliamentary procedure that it sets motions in order so that you take care of first things first and you get information. That is why we referred it to Committee. One thing that none of us knew was that the deadline would be passed by the time we sent it to Committee, and all of us did not know that until the following meeting, and that could have changed the vote, but that was not due to any action by any Councilmember on the Council. COUNCIL MEETING 47 AUGUST 9, 2017 Council Chair Rapozo: Councilmember Brun. Councilmember Brun: Getting back to parliamentary procedure, it did not matter, even if we followed procedure, because it still expired on Monday, so when it went to Committee, it still expired and we still would not have gotten it. So it does not matter about the parliamentary procedure. In the E-mail, it did not say "majority of the Council"—it said, "Brun, Kagawa, Kaneshiro, and Rapozo." It basically said our names that we voted against it. Councilmember Yukimura: That was the fact. Councilmember Brun: I think you had your twenty (20) minutes already, I think you are good. Council Chair Rapozo: Stop. Go ahead, Councilmember Brun. Councilmember Brun: I just suggested to the Administration, because I know we get it from Planning and we get it from Housing...anytime they come up here and ask for money or they are asking for something, we always meet with them first and they brief us on it so that we know what is going on and we are not coming here, like we did that week, where we had no clue. For me, I have been here only for six (6) months...eight (8) months, now with Councilmember Kawakami, so we never met about this and I had no clue what the plan was. People were talking about that they have been here for four (4) years and it still does not have a plan, so it would have helped to meet first. I know you tried yesterday, but I know it already came and went on the funds, but just a suggestion to all Administration to meet with us first, talk story, and then when you come here, we can get most of our questions out of the way. We are not in a match the whole day. Thank you. Council Chair Rapozo: Councilmember Kawakami. Councilmember Kawakami: Thank you. I think the silver lining in all of this is that it really reemphasizes the need for effective communication. Let us face it—ninety-nine percent (99%) of conflicts out there are because of a lack of communication. I figure since we are all rehashing the issue, I would like to just reemphasize why I supported this Climate Action Plan. I know Director Costa came up and said that we had not met on it, but that does not mean that I do not know or understand the importance of addressing climate change on multi levels. When I first got my start at KIUC, I was the chairman of strategic planning where we had taken coal off of the table that at one time wanted to introduce coal as a fuel source for Kaua`i. At the time, Chairman Esaki, myself, and a few other directors felt that it was not in-line with our strategic plan, which we set the goal above and beyond what the State was asking for, for fifty percent (50%) renewable. I tip my hats off to COUNCIL MEETING 48 AUGUST 9, 2017 KIUC because they are actually doing it. At the end of the day, we all make decisions and we are elected to be the lightning rod for our constituents, whether they are happy or they are angry. This is the beauty of democracy and the freedom of speech. People have fought and died for our country to be able to explain and express. Even though I do not agree with it and I do not agree with the lack of civility, it is still a silver line to say that in this great country, people can express themselves freely without the fear of retaliation. For that, although I do not agree, I still think that it is one of the reasons why I am very proud to be an American. At the end of the day, I think that we have January, we have a second whack at this thing. There is not much opportunities where we get offered "free money." In this case, it is unique because half of that money, or specifically two (2) donors, that had specifically said, "We want the County of Kaua`i to take this money for these purposes." With that being said, Mr. Chair, I think that we have learned a lot. It will make us stronger as a Council and as an Administration, as far as being able to communicate and as far as being able to show up to the meeting to say that this is a top priority. We have a lot of time to get some of those unanswered questions answered, so we should move forward and start gearing up for that second round. Thank you, Mr. Chairman. Council Chair Rapozo: The other thing I failed to mention, and I did last week, was that these granting authorities...they asked the Honolulu City Council and their Administration the dilemma they are in with their granting authorities with the federal government on rail—if you cannot do what you say you are going to do then you run into problems. Maybe people think this is small money, but it is not; not for our County. Hawai`i Community Foundation was sitting right in the audience, and as I said that, we do not want to destroy that relationship with them because they are a very generous organization that can help us going forward, and the last thing you want is to commit to funding and not be able to comply with the needs of the grant. That is another concern. The motion to receive C 2017-168 for the record was then put, and unanimously carried. C 2017-178 Communication (07/14/2017) from the Director of Finance, requesting Council approval to accept and expend appropriations of $3,500,000.00 which has been provided to the County of Kaua`i in the Supplemental Appropriations Act of 2017 – Act 49, Session Laws of Hawai`i 2017 from the State of Hawai`i, for Appropriation Warrant No. 223 for the following projects: • Bryan J. Baptiste Sports Complex Improvements - $2,500,000.00; and • Captain Cook Memorial Park Improvements - $1,000,000.00. COUNCIL MEETING 49 AUGUST 9, 2017 Councilmember Kagawa moved to approve C 2017-178, seconded by Councilmember Kawakami. Council Chair Rapozo: I will suspend the rules for the Administration. There being no objections, the rules were suspended. Councilmember Kagawa: I am familiar with these projects and I thank our Kaua`i delegation for putting these into their budget and I hope that the Governor will release these funds, especially for the Waimea High School park, which is called the "Captain Cook Memorial Park." The grandstand is a safety hazard and is ready to fall and somebody will get hurt if we do not clear it up soon. Hopefully Lenny can provide some clarification on this free money for County-owned facilities and I do not see why we would have any hesitation in supporting this approval. Go ahead, Lenny. Please give us a brief overview. LEONARD A. RAPOZO, JR., Director of Parks and Recreation: Good morning, Council. For the record, Director of Parks and Recreation, Lenny Rapozo. As Councilmember Kagawa has already alluded to, the appropriations are for two (2) projects, one is at the Bryan J. Baptiste Sports Complex, to enhance the spectator experience at the stadium. Through feedback from the Kaua`i Interscholastic Federation (KIF) users, they feel that we need to improve the spectator experience there. So what we are in contract with AECOME is in the planning and development of raising the bleachers, moving the bleachers back, and putting in a new announcer score booth Public Address (PA) system and additional Americans with Disabilities Act (ADA) walkways as part of it, and we expect to expend close to two million five hundred thousand dollars ($2,500,000) for these improvements. This would enhance the spectators, in that currently if you were to attend a high school football game, spectators are at the ground level and players and coaches are there, so they cannot really see. This would move it up and bring it back to be as close, minimum as what you have at Hanapepe Stadium. That is one project. The Waimea High School baseball field, as Councilmember Kagawa has said, the baseball field is in need of repair. The grandstand in the back of it should be condemned and removed, put in bathrooms, and a comfort station. Really, if you go to home plate and you look towards the backstop, I think it is off to one side, for those of you who have played there and umpired there. All of these improvements would be made and we expect the plans to be about two hundred thousand dollars ($200,000) and construction to be about eight hundred thousand dollars ($800,000) for there. Councilmember Kagawa: Lenny, for the baseball stadium, I think the Kaua`i delegation is willing to appropriate more funds, should it need be, in the second phase. COUNCIL MEETING 50 AUGUST 9, 2017 Mr. Rapozo: Yes. Councilmember Kagawa: We are going to totally redo the whole field, not just the baseball section, right? We are looking at possibly improving the whole field. Mr. Rapozo: Yes. Councilmember Kagawa: They use it for football practice and it is in need of severe upgrading. Mr. Rapozo: Correct. Hopefully when Waimea does have their baseball tournament, that could be an option for them to use as a playing field. Councilmember Kagawa: Thank you. Council Chair Rapozo: Councilmember Brun. Councilmember Brun: So is the baseball field grandstand not historic? Mr. Rapozo: It is historic, but it is also a safety issue. Councilmember Brun: So you would be able to break it down? Mr. Rapozo: We would have to, yes. Councilmember Brun: Yes, it is a hazard. For Kapa`a, you are going to put in a bigger announcer's booth? Mr. Rapozo: Yes, so we are looking to do exactly what we did at Hanapepe. Councilmember Brun: Perfect. Mr. Rapozo: Initially, the intent, when they redid the field, had good intentions, but not real practical in terms of the user's preference of a football experience. Councilmember Brun: Yes, because it is really small and when we do the livestream, we have to do it from the bleachers; we cannot even go into the announcer's booth because there is no room up there. Mr. Rapozo: Right. COUNCIL MEETING 51 AUGUST 9, 2017 Councilmember Brun: Thank you. Council Chair Rapozo: But that is when Councilmember Brun goes inside. When Councilmember Kagawa and I go in, we fit perfectly fine. Councilmember Yukimura. Councilmember Yukimura: The improvements sound very good. Do you have a breakdown of the Bryan J. Baptiste Sports Complex improvements? Mr. Rapozo: Yes, I do. Councilmember Yukimura: Do you have it here? Mr. Rapozo: Sure. Councilmember Yukimura: Can you just circulate that? Mr. Rapozo: Sure. Council Chair Rapozo: Councilmember Yukimura, right on the back sheet of the communication, he has the...it looks like recycled paper because there is the line across, but... Councilmember Yukimura: Oh, I see. It breakdowns in terms of design and construction, but you do not have per ADA improvements and how much that would be. Mr. Rapozo: I have it right here. Councilmember Yukimura: Okay. Thank you. Mr. Rapozo: It is approximate. Councilmember Yukimura: This is what I was looking for. Thank you very much. I have to confess that I was not clear—I thought that the Captain Cook Memorial Park was the one that is in town... Mr. Rapozo: I think we all did. Councilmember Yukimura: In the state legislation, is the Waimea High School baseball field also called the "Captain Cook Memorial Park?" COUNCIL MEETING 52 AUGUST 9, 2017 Mr. Rapozo: The Captain Cook Memorial Park is the baseball field. Councilmember Yukimura: Okay. Mr. Rapozo: That is the official name. Growing up, we have all known it to be as Waimea High School athletic field or whatever, but it is really the official name. Councilmember Yukimura: Which is the Captain Cook Memorial Park. What is the little triangular park downtown called? Mr. Rapozo: Hofgard. Councilmember Yukimura: Of course. Thank you for the clarification and breakdown. Also, thank you to the state legislation, in particular, Representative Morikawa, who I am sure was instrumental in this. Mr. Rapozo: Yes. Council Chair Rapozo: Councilmember Kagawa. Councilmember Kagawa: Just one more question, Lenny. I realize that like for Kapa'a High School, I think the ball field is under the State's jurisdiction, like the Ron Martin field. At Kapa'a High School, we have a caretaker that has a lawnmower, mows it, and maintains it. They do not ask for County help...it is owned by the State and I get that, but at Waimea, I believe they said that they do not have anybody to mow it. For me, I guess I have always been under the impression that they have the authority to dictate the use. So they do maintain it. What is it going to be going forward? Are we going to provide them with routine maintenance or are we already doing that and we are just going to keep on doing that? Mr. Rapozo: Councilmember Kagawa, for years I thought that was a State facility, but I always was curious because I know that the tennis courts is a County facility. It was not only until recently that I found out it is a County park, but for years, Waimea High School maintained it and they no longer have the capabilities to maintain it. You know Waimea and the great pride that they have and everything, so I talked to our caretakers at Waimea Canyon Middle School of what would it take to take this thing on? Do we need more manpower or more equipment? The caretaker said, "Boss, we have it." The current staff that takes care of Waimea Canyon Middle School has committed to take on that responsibility as well. Once we get it to the level to fix it up, like you said, take care of the holes, make it all leveled, and get the grass to where we want it to be, then they will maintain it. COUNCIL MEETING 53 AUGUST 9, 2017 Councilmember Kagawa: Thank you. Council Chair Rapozo: Any other questions? Councilmember Kawakami. Councilmember Kawakami: Thank you, Chairman. So we are still going to be awaiting, after our approval, the Governor's release on these funds? Mr. Rapozo: Yes. Councilmember Kawakami: Yes. So we can all do our part by supporting the project and perhaps getting some word to the Governor and his staff. Mr. Rapozo: This allows us, once you approve that for our parks, we can start our diligence to get it ready to do the work, that once it is released, we can move to construct, or destruction in this case, as well as construct and improve it and not wait for the release of money. In parks, we like to be much more proactive, so as soon as we have the money in-hand, we can move to procure what we need to do. Councilmember Kawakami: Thank you. Council Chair Rapozo: Any other questions? Councilmember Brun. Councilmember Brun: Are we playing any games in Kapa'a this year? Mr. Rapozo: Not KIF. The KIF has felt that that facility does not suit them; that is what part of the enhancements that we are doing. Pop Warner Football, as well as Kaua`i Youth Football (KYF), continues to use the facility and finds the facility good. Councilmember Brun: So if we make all of these changes, will that suit Kapa'a High School? Mr. Rapozo: I have gotten assurances and our consultants have met with Kapa'a High School and they have gotten the assurances that they will have these games there. Councilmember Brun: Okay. Thank you. Council Chair Rapozo: Those were the exact same questions I was going to ask because I know that the high schools do not play at that field because of safety. I know we have had that discussion and it is a safety issue when you have COUNCIL MEETING 54 AUGUST 9, 2017 those young men...the bleachers are right up to the field. It is not safe, especially in the ADA area where they would put those wheelchairs. It is just very, very unsafe. I heard you say that you are going to move everything back, so it is going to be the same as Hanapepe Stadium. Mr. Rapozo: Just about the same as Hanapepe. Council Chair Rapozo: Just about? Mr. Rapozo: On the north end, we are working with the parking lot. We do not want to take away from the parking lot. So for that one section, we will move it back as far as we can, but for the most part, everyplace else is going to be about the same as what we have in Hanapepe. Council Chair Rapozo: Okay. Mr. Rapozo: Since we are on the subject, we have reached out, we have commitments from the Department of Hawaiian Homelands (DHHL) that they have committed to portions of the property across the street for additional parking for football and graduation, which has the biggest crowds. At some point, we will be back here in our Department of Parks and Recreation budget to ask for more so that we can improve the parking across the street. DHHL has committed to us to have a right-of-entry to use that. We are also working with the business over there, which he has been very accommodating to wanting to see that, because he does have a lease with DHHL. Council Chair Rapozo: Okay. My last question is going to be vital because it is going to determine how I vote on this, because I fully support this, but I do not support spending two million five hundred thousand dollars ($2,500,000) at the stadium, and then the high school is not going to play. We are doing these improvements really for KIF. Mr. Rapozo: Right. Council Chair Rapozo: So I want your assurance that we go through with this two million five hundred thousand dollars ($2,500,000) of improvements, which I fully support, because I think that is where it belongs, that that is their only option. Mr. Rapozo: I have the verbal commitment, and you folks know how I operate, my word is golden, and I take everybody else's word the same. I have a verbal commitment because we have engaged them, Kapa'a High School, in this whole process that they will play there if these improvements are made. COUNCIL MEETING 55 AUGUST 9, 2017 Council Chair Rapozo: Right, but I guess what I am saying is that let us say the improvements are made, they have a new athletic director and a new coach and they say, "We are not playing there"—it is still under your direction to say yes or no. In other words, you make that field available as their only field. This is a lot of money that we are investing in. Mr. Rapozo: I agree. Council Chair Rapozo: I have heard, "Why are you folks spending so much money on a park?" Well, because it is needed. I do not want to go through with this and find out that we did nothing but improve the Pop Warner stadium; nothing against Pop Warner, but two million five hundred thousand dollars ($2,500,000) is a lot of money. I guess that is the commitment I am looking for from you, which is that this field will be built and Kapa'a High School will be playing on that. Mr. Rapozo: From myself and the Mayor, Kapa'a will be playing there. Council Chair Rapozo: Thank you. Councilmember Yukimura. Councilmember Yukimura: I concur with the Chair. I think all of us would not want to see two million five hundred thousand dollars ($2,500,000) spent, and then not have the KIF games there. Can you at least get it in writing? Mr. Rapozo: I can ask. Council Chair Rapozo: It is in writing right now, on the floor. Mr. Rapozo: Yes, with the agenda. Councilmember Yukimura: Well, this is not the entity that makes the decision about playing those games there, so I think we need it from the KIF people or whoever makes the decision that the games will be played there. Mr. Rapozo: From the County, if you are looking for leverage, we can say that they cannot play at Vidinha. Councilmember Yukimura: Well, I do not think we are wanting to play this warring game. I think we are wanting whatever is best for the kids and the program. I think just getting something in writing will be helpful. Mr. Rapozo: Yes. COUNCIL MEETING 56 AUGUST 9, 2017 Councilmember Yukimura: Thank you. When we first conceived of this stadium expansion, which I think was a really great idea, and it is called "Bryan J. Baptiste Sports Complex" because it was former Mayor Baptiste who really spearheaded this—was it our intention to have KIF games played there? Mr. Rapozo: My understanding is that it was former Mayor Baptiste's intention, and when the stadium opened, although I was not working for the County, but my role as a football official, that was a big factor in there. Because of history of what had happened there, there was some question as to whether or not we wanted to go back to that stadium. But it was former Mayor Baptiste's intention to bring football back to Kapa'a at all levels. Councilmember Yukimura: Yes. I guess the question is when we actually implemented it, why did we not make sure that it was safe for KIF games? Mr. Rapozo: I would not have that answer. Like I said, at the time, I was not part of the County. That happened maybe about five (5) years prior to me working in the County. Councilmember Yukimura: Right. I am not trying to criticize you or anybody else; I am just talking about the process by which we embark on planning and construction of fields. If that was our initial goal, then why did everything we did in creating it not make sure that we would achieve our goal? Mr. Rapozo: I do not have an answer for that question because I was not involved in the process at that time. Councilmember Yukimura: But in the plans that you are now responsible for, I am taking it that you do make sure what the goal is to make sure that whatever we are doing is going to meet the goal. Mr. Rapozo: Yes. Councilmember Yukimura: Okay. Thank you. Council Chair Rapozo: Councilmember Kagawa. Councilmember Kagawa: Lenny, as I recall, the head coach that did not want to play at the Bryan J. Baptiste Sports Complex is no longer there at Kapa`a, so possibly that has changed it... Mr. Rapozo: Actually, Councilmember Kagawa, when I sat on this chair, from day one that I walked on that field, I saw problems with that field. I was not in a position to make a difference. I did bring it up to the people who were COUNCIL MEETING 57 AUGUST 9, 2017 running the Department of Parks & Recreation or the Department of Public Works, at that time, what I thought and it did not really change. So when I became the Director, and the Mayor and I, of course, we love football and we love high school sports and the kids and that is why we do what we outside of work, I saw the opportunity to improve the field. I started the initiative or our department and this administrator started the initiative of improving the field and it is unfortunate to me that the coach at that time really took it and threw us under the bus...threw the County under the bus or threw me under the bus, but we were in the process of making those improvements, because for instance, you have forty (40) sprinkler heads in the middle of that field—that is a great idea to irrigate the field, but you cannot be running football players with sprinkler heads on the field, because what is going to happen if they fall? They are going to get hurt. So we improved it, and with your folks help. We have six (6) agricultural type of tie-ins along this thing where we can irrigate the whole field, but safety improved. We put out a one percent (1%) crown now that soccer can also play on, if they choose, but it works for both football and soccer. So we made improvements to the locker room. That is the initiative that we started because we could see the improvements. I would not want to say that it was because of the coach, but I think we came here and we saw that we could improve the experience. At least for the kids of Kapa`a, we wanted the same type of facility that the kids of Lihu`e and the kids on the west side have in Hanapepe. That is our whole thing. Then it has morphed into what we have today. Councilmember Kagawa: I guess the second question is, what is our plan with trying to increase the amount of night games? We talk about what stadium would be better for Kapa'a to host their home games, I know that the lack of having night football games for the last six (6) games of their season is the primary driver of what kills the crowd and the attraction. Mr. Rapozo: Yes. Councilmember Kagawa: We obviously have been there and saw that when Kapa'a has night football games, the crowds are tremendous and obviously it is much easier for Athletic Director Gonsalves to run his food booth closer to his home of Kapa`a, rather than bringing all of his stuff to Vidinha. It is just a "win-win" for the Kapa'a community and home games to host there, but I think the lack of night football games, for them, it makes it seem like it does not matter where we play, because if we play during the day, there is no crowd anyway, right? Mr. Rapozo: Myself, with the County Attorney and our policy team, have met and he had an important meeting last week Friday and they are working on something this week to try to see what the possibilities of increasing that for this season and the Mayor and I, as well as the rest of our staff, and I am sure you folks will be fully supporting something like that, are working very hard and COUNCIL MEETING 58 AUGUST 9, 2017 diligently, as quickly as possible, to make it happen and to at least try to start this year if we can. Councilmember Kagawa: So we are possibly looking at expanding more than what we have had in the past. Mr. Rapozo: Yes. Councilmember Kagawa: Thank you, Chair. Council Chair Rapozo: Thank you. Anymore questions for the Director? If not, thank you. Any registered speakers? Ms. Fountain-Tanigawa: Chair, we have one (1) registered speaker, Anne Punohu. Ms. Punohu: Aloha Council, Anne Punohu. I flagged this right away when I got the agenda this morning, not because I do not agree with this, it is great, but something that has not been brought up, which I was waiting to hear if it got brought up and because it did not, I want to bring it up, but I used to live right next door to the Bryan J. Baptiste Sports Complex. He is a personal friend of mine and I think that Bryan would have been really sad to see the amount of vandalism that occurred in that park. It was truly oppressive, depressing, and just awful. What I want to make sure happens this time around with three million five hundred thousand dollars ($3,500,000) of funds being appropriated and spent for this is that the type of materials and things we are going to have in place to prevent vandalism of the improvements to both of the parks, especially to the bathrooms. I know that in the Bryan J. Baptiste Sports Complex, it was destruction on the fence line and there was spray painting on the concrete. It was really, really bad. We have to look at the fact that we have an increase in population and an increase in vandalism on Kaua`i and I just harken back to when we had that beautiful bathroom and facility at Lydgate, which got set on fire as soon as it got built and destroyed the next day. So I think that is something that we should keep in mind with the improvements is, what are we going do to prevent vandalism and also to prevent neglect and make sure that upkeep stays appropriate? For me, it is a matter of materials. What kind of materials is going to be used for the bathroom? Is there going to be the kind of materials that would prevent people from inking things up and being able to clean it off? Is the fence line going to be less destructible? You folks get what I am saying. Thank you. I know that Lenny and the Mayor would never not let KIF play there. These are big football folks. I trust Lenny and his word because I would be scared to go against Lenny and go against my word to Lenny. I would run under the desk, and you know me, I am tough. They will get the KIF folks there. Thank you. COUNCIL MEETING 59 AUGUST 9, 2017 Council Chair Rapozo: Anyone else from the public? If not, I will call the meeting back to order. Just for Anne's information, there are no restrooms that are going to be built. This is just removal of the bleachers and announcers' booth, replacing that, and fixing the ADA walkways. I think Lenny heard you loud and clear. This is happening all over the State; vandalism is a problem. Any further discussion? Councilmember Kawakami. There being no further testimony, the meeting was called back to order, and proceeded as follows: Councilmember Kawakami: Thank you, Mr. Chairman. I would like to thank the Department of Parks & Recreation and our Kaua`i delegation, like Senate President Kouchi, Representative Morikawa, Representative Nakamura, and Representative Tokioka, who are up there at the legislature looking for collaborative ways to work with the County. I know that they get criticized time and time again, but let me remind you that they have always seek partnerships with the County, whether it is providing appropriations for our bus stops, our eight hundred (800) megahertz Motorola radio upgrades for public safety, our Veteran's Cemetery and now for the Bryan J. Baptiste Sports Complex and Captain Cook park. For Kapa'a High School, they deserve a home field that they can play on. I cannot tell you, as a former athlete, not as good as I would like to be, but just the advantage that you have when you play in your own hometown. It is such an advantage. For these kids that are out there playing, they deserve nothing less than what is appropriate for them to play on, so I really would encourage that Kapa'a High School utilize this home field to their advantage with the improvements. To our Kaua`i delegation, thank you very much for the work for sending money to our counties. I know it is not easy. The process to get money at the legislature is not easy. Every year, you have a certain cap on appropriations and that cap can evaporate real quickly if you not up there doing your job. So for the work that they have done to be able to send some extra money our way, mahalo nui loa. Thank you, Mr. Chairman. Council Chair Rapozo: Thank you. Councilmember Brun. Councilmember Brun: I want to thank our delegation and thank you to the Department of Parks and Recreation. This was really needed. For us sports fans, this is good news to our ears these Bryan J. Baptiste Sports Complex improvements. Also, I am a graduate of Waimea High School. I remember when I was in high school that they had the Waimea High School tournament right there at the park and we used to get let out of class early so that we could watch the baseball games. We still have games there once in a while, but it is real dangerous. Nobody can sit in the grandstand. I am really excited and really happy that we are working on improving these parks. Thank you folks. Let us get it done and let us get more night football. Thank you. COUNCIL MEETING 60 AUGUST 9, 2017 Council Chair Rapozo: Councilmember Kagawa. Councilmember Kagawa: Thank you, Chair. First of all, I would like to thank Lenny and the Kaua`i delegation up at the legislature for working with us on the Waimea School baseball field improvements and grandstand. I would like to thank Guy Ishihara and Athletic Director Jon Kobayashi. They brought forth to me the need to do it and in talking with Lenny, we decided that we are going to try and work with the legislature and basically we are accomplishing this without using County moneys. We have a second chance in the next session to have another one million five hundred thousand dollars ($1,500,000). They want to redo the whole field. It is in very bad shape. Again, I think it is only appropriate that the State does fund it. They are the ones that primarily use it. They do not have their own stadium or field like many other schools on the other neighbor islands. On Kaua`i, a lot of our schools use our County facilities; that is the way it has been. It is really nice when the State kicks in their share, especially when they are using it primarily. That is a good partnership. As far as Kapa`a, we did a lot of improvements to the locker rooms. They have beautiful locker rooms. When the high school did not use that field as we had hoped, partly because I think I heard issues like they felt that the bleachers were too close in proximity to the coaches and the players. I do not know if now adding some height is going to provide some distance of relief, but I think the coaches did not appreciate having the extra coaches in the stands talking to their players and coaches. Hopefully, they can resolve some of those issues. I think the better way would just be a little bit of communication, as Councilmember Kawakami said, between parents and coaches to make sure that they police themselves. At the end of the day, when we grew up playing, Lenny knows of all of the community parks we had in Kekaha and Koloa that we played games. The fans were right here by the players and we got along and we played some great football. It seems now that we need to establish those lines between coaches and parents that during games, the communication is a rule that should not be broken. Let the coaches coach. We have to get back to that instead of trying to accommodate by moving things around. I think we can work in better harmony that way. Surely, I would hope that Athletic Director Gonzalves, once he sees how much effort we are putting in to improving this, that he would make the overriding decision that letting his team and his spectators view games in their hometown is going to be much better than having them use Vidinha as their home field. I am confident that they will be using it once we make these upgrades, because it would be really senseless to have that nice locker room and the nice improvement and then they not use it. That would be totally be a waste of time and effort. I think Representative Nakamura has put her efforts into it and Senator Kouchi has put his backbone in it. Let us all work together to make sure that Kapa'a High School does use it all of the time. Thank you, Chair. Council Chair Rapozo: Councilmember Yukimura. COUNCIL MEETING 61 AUGUST 9, 2017 Councilmember Yukimura: From the discussion today, it appears that these improvements are truly improvements to two (2) facilities that are really important to both the players and the public. I am happy to support it and I do want to thank the Kaua`i delegation, Senator Kouchi and Representatives Nakamura, Tokioka, and Morikawa, and our Director of Parks and Recreation Lenny Rapozo. It sounds like, Vice Chair, that we should also thank you for the Waimea High School baseball improvements. I also want to thank the Director of Parks and Recreation for consulting with the high school KIF entities. It seems to me that when we are designing facilities with the intention that KIF would be the users that we would consult with them and make sure that the field will meet their specifications. It appears that we did not do that in the first round, but at least we are doing it here. I am glad that we are setting such a precedent in terms of how we plan our projects so that we consult with the users and design the facilities and ensure that the construction of the facilities meet the needs of the users. Good work all around and I look forward to seeing the improvements done. Thank you. Council Chair Rapozo: Any other comments? If not, I will just close by saying, thank you, Lenny, and your team, for doing this. I know that we have been talking about this for a long time and I did want to say that back at the original design, it was designed to the specs that we wanted at the time. It is like when you go to the car dealership and they offer you a car with air condition or without air condition and you cannot afford to run air condition, so you buy the one without, and then six (6) months later, you want to trade it in because you want the air condition back. It is kind of what happened, and it worked, until we had one (1) coach that said, "Hey, this is not safe for my players." I agreed with that coach because it was very close. It was not so much the people yapping from the audience, but it was really when these kids come running...you know this, Lenny, you were on the field when we saw an accident the other night with Brian. He was down for a while. So it is dangerous when you have these big folks coming around the corner. Hopefully this will alleviate that problem. Kapa'a had that reputation, because that one lady hit the referee with an umbrella decades ago, and that stigma has stayed. As I sit at the different fields, and Lenny, you know this more than anybody that they yell, swear, and cuss out the officials and they cuss out their own coaches and they even yell at the players. So Kapa'a has a stigma, but it happens at all three (3) stadiums. My point goes to what Councilmember Kawakami was saying earlier, which is that every school and every team has a right to play in their home field and we have to make sure that the facilities are adequate. In this case, thank you to the State for making this happen. Councilmember Kawakami was probably there when this process started. I guess it did not happen this year...I am assuming this all started when Councilmember Kawakami was still at the legislature, so thank him for that. Remember that the KIF is State and not the County, so this partnership here is how it is supposed to be, split the maintenance and we split the whole plan so that we can allow our kids to play. It is a big part of our community, so thank you. I forgot to ask you what the timeline is. I am hoping that we can get this done before next season. COUNCIL MEETING 62 AUGUST 9, 2017 I am not going to bring you back up to ask you that, but I am hoping we can get this done sooner than later. The motion is approve. The motion to approve C 2017-178 was then put, and unanimously carried. C 2017-179 Communication (07/17/2017) from the Prosecuting Attorney, requesting Council approval to receive and expend State funds, in the amount of $222,628.00, to be used towards funding one (1) Full-Time Equivalent (FTE) Deputy Prosecuting Attorney and partial fringe benefits for the Career Criminal Prosecution Unit, and to indemnify the State of Hawai`i Department of the Attorney General: Councilmember Kagawa moved to approve C 2017-179, seconded by Councilmember Yukimura. Council Chair Rapozo: Any discussion or public testimony? There being no objections, the rules were suspended to take public testimony. There being no one present to provide testimony, the meeting was called back to order, and proceeded as follows: The motion to approve C 2017-179 was then put, and unanimously carried. Council Chair Rapozo: Next item, please. Ms. Fountain-Tanigawa: On page number 3, C 2017-180. C 2017-180 Communication (07/18/2017) from the Director of Economic Development, requesting Council approval to apply for, receive, and expend State of Hawai`i Department of Labor and Industrial Relations (DLIR) funds, in the amount of $6,000.00, which will be used in addition to the original $30,000.00 that was already approved by the Council to complete the work with the Department of Education (DOE) — Natural Resources Pathway and Future Farmers of America (FFA) programs at Kaua`i, Kapa`a, and Waimea High Schools, provide summer internship programs for students to work on Kaua`i farms, ranches, and agriculture-related businesses: Councilmember Kaneshiro moved to approve C 2017-180, seconded by Councilmember Kagawa. Council Chair Rapozo: Any discussion? Ms. Fountain-Tanigawa: Chair, we have one (1) registered speaker. Council Chair Rapozo: Okay. Do you want to hear from the Administration first? COUNCIL MEETING 63 AUGUST 9, 2017 Councilmember Yukimura: I have one question. Council Chair Rapozo: I am sorry? You have a question for George? Councilmember Yukimura: Yes. Council Chair Rapozo: Okay. I will suspend the rules. Let us get them first, and then we will open it up for public testimony. Do you have a question, Councilmember Kaneshiro? Councilmember Kaneshiro: Yes. I was just going to ask George...I know we approved the money, but if you could just explain some of the successes of the program. Obviously, we met on this already, so I know about the request, but maybe if you could just highlight the success of the program and just describe the program and how successful it was. Mr. Costa: Thank you. Aloha, Council Chair Rapozo and Honorable Councilmembers. For the record, George Costa, Director of the Office of Economic Development. Basically, the request for the six thousand dollars ($6,000) is because of the success of the program. When we first were planning for this early on, the first year we entered into this program, we had two (2) students from Kaua`i High School. Last year, I believe we had twelve (12) students. Our goal was to get all three (3) high schools involved. At the time we started this, I did not realize that only Kaua`i High School had a Future Farmers of America program. When I went to high school, all of the high schools had a program. Since then, Principle Mahina Anguay at Waimea and Daniel Hamada at Kapa'a have vowed to really try to build up their programs again so that they can be certified for FFA. Along with that, the Department of Labor and the State legislature wanted to get our students involved with an internship program and experience working in various farms, ranches, and agriculture-related. This past year, to his credit, Principal Hamada hired a graduate right out of Oregon State University; she is originally from Maui, Kylie Hashizaki, who alone recruited twenty-nine (29) freshman to join the program. It really shows the interest out there, and not only by the students, because I have gotten a lot of good E-mails and texts from parents whose students were involved. On top of that, it really shows that our farmers, ranchers, and ag-related companies really look forward to this program. They embrace the students and the students embrace them and I really cannot describe how successful this program was. Obviously, we did not have enough money, so the original program that was supposed to be six (6) weeks, I had to reduce it to five (5) weeks because I really did not want to turn any of the students that were interested away. So we reduced it to five (5) weeks and we still needed more money, so I asked the State Department of Labor if they did have money. So verbally, they have committed. Now, I just approval to apply for those funds. The students go through each of their high school's payroll, so basically the money that the Department of Labor provides the County, we in-turn grant it back to each high COUNCIL MEETING 64 AUGUST 9, 2017 school for the students that are participating in the program. Again, it is a great program. What I presented to you today is just a real snippet of the final report that I am putting together and I cannot say enough. It is providing the State legislature...I was asked two (2) weeks ago to join them on a tour on O`ahu. They went to Leilehua High School and we visited some other agriculture-related companies in Kunia, and then I was asked to do a short presentation on the agricultural internship program, which they really, really liked and they would like to see this replicated on the other counties. I have to thank the Mayor and the Council for supporting, because your funds help provide transportation, which is key. I have also included,just for your benefit, the schedule this past summer. It is a combination of the schedule of where the students live, because that is how we had to coordinate the buses, the timing of the bus pick-up, the farms that they worked at each of the five (5) weeks, and the schools that were represented in all the three (3) high schools. This kind of gives you a little idea for this five-week program, how much was involved and all those that participated. Again, I just wanted to thank you for the support that you provided and hopefully we have an approval for the six thousand dollars ($6,000). Thank you. Council Chair Rapozo: Thank you. Councilmember Yukimura. Councilmember Yukimura: Thank you, George. This is an exciting program and it is wonderful to see the growing interest. Do you do a review each year, an evaluation of the program, and look at what worked and what did not work and how you could improve it the following year? Mr. Costa: Yes. In fact, what we are going to do is probably in September/October bring the farmers and ranchers together, along with the Department of Education, because the Department of Education, prior to setting up the program, has requirements of each farmer and rancher, expectations of what they would like the students to experience and to be taught. So that is documented, so that will be all part of the final report and final review. Then we will use that information to meet and to make the program even better and present it also to the State legislature, which is interested in expanding the program, but they want to make sure that besides the experience in the farms and ranches, that one day, out of the five (5) that the students are working in these farms and ranches that they go through the business aspect of each of these farms and ranches, learning the accounting side of things, learning the marketing side of things. Granted, some of the farmers are one-man operations, but it is important to see that side of how a one-man operation compared to Kaua`i Nursery and Landscaping, what they do. It is a comprehensive commitment from everyone. Councilmember Yukimura: Do you do surveys of the students and of the farmers at the end of each one? COUNCIL MEETING 65 AUGUST 9, 2017 Mr. Costa: Yes. Councilmember Yukimura: Is there a written report evaluation after that? Mr. Costa: We have a five-question survey for each one of the students to see what they thought of the evaluation, and the same thing with the farmer or rancher. ` Councilmember Yukimura: Is there a report afterwards compiling, analyzing, and setting forth recommendations for the next program? Mr. Costa: Right. Councilmember Yukimura: So you have done that? Mr. Costa: We are in the process of compiling all of that information. Councilmember Yukimura: Okay. When you are done, can you forward that to us? Mr. Costa: Yes, I will probably submit a request to come back before this Council and present that information. Councilmember Yukimura: Okay, but please have something in writing. Mr. Costa: Absolutely. Councilmember Yukimura: Great. Thank you. I have one more question. Do you have a system or plans for tracking these students to see where they end up and how many of them actually end up in agriculture? Mr. Costa: That was something that the State legislature brought up and we were hoping to do that. The first two (2) students from Kaua`i High School—one (1) has gone on to Colorado State University in Agriculture, and last year's program, I believe two (2) other students have gone on to Agriculture, but the Department of Labor and the State legislature would like to track, especially the goal. That is why Ms. Hashizaki from Kapa'a recruited freshman, because she would like them go to through this program and hopefully they will continue all four (4) years. One of the ideas that the Department of Labor and the Department of Education would like to do is see if they can have this program year-round where students could work at farms and ranches afterschool and also provide credit for their education. Again, this program is building momentum and I am hoping to work with COUNCIL MEETING 66 AUGUST 9, 2017 the Department of Education to transition this program over to the Department of Education and their Future Farmers of American and Natural Pathways program. Councilmember Yukimura: Yes. That sounds very, very good. I am just thinking that as long as it is in the County as a County program, whether you might not be able, as a requirement of the program, to request that the students send a letter every year, giving their address where they can be contacted, even just a paragraph about what they are doing as related to agriculture for the next ten (10) years and just keep getting that input so that you can track where it is going. Mr. Costa: That is quite a bit to ask for, but it will certainly be noted. Councilmember Yukimura: It is related to your goal, which is to have young people go into agriculture. Mr. Costa: Right. Councilmember Yukimura: I know it sounds like much, but there is a Children of Kaua`i study that was started when kids were born and they are forty (40) years later tracking these kids and getting a lot of information from that. I think if it is not a burdensome requirement, just reporting back their current address and a one-paragraph statement about where they are. That might be something worthwhile in terms of feedback for your program. Mr. Costa: Okay. Councilmember Yukimura: Thank you. Council Chair Rapozo: Councilmember Kawakami. Councilmember Kawakami: Thank you, Mr. Chairman, and thank you, Director Costa. My only question is, and you may have answered...I think I heard some of the answer in your presentation, but you have the Department of Labor Industrial Relations, the Department of Education, and we have a Department of Agriculture, which are all State departments, and I really applaud you for taking the lead on this. Why can they not work state-to-state, government-to-government? Why do they need the County to take these funds and kind of disperse? Is it because this is a summer program and the Department of Education does not have a summer program? How does this work? Why are we the middle men? Mr. Costa: As I mentioned, it started three (3) years ago. From what I was told, funds like this did go to the Department of Education, but for whatever reason, never found its way into an internship program. So the gentlemen COUNCIL MEETING 67 AUGUST 9, 2017 that met me suggested to the Department of Labor, since we have workforce development, to basically challenge me and asked me if I could do it, so I volunteered and the rest is history. Councilmember Kawakami: Thank you. Council Chair Rapozo: Councilmember Brun. Councilmember Brun: It is great to hear that three (3) students are continuing their education in agriculture. Farming is not an easy thing to do. Are you trying to reach out to the agricultural companies on the west side to see if they would be willing to pour some money into this? Mr. Costa: No, I have not reached out to them. I know they have their own internship programs. We just focused on the funds that were made available by the legislature and the County, but we can do that in the coming years. Councilmember Brun: I know for the last three (3) years, we brought in six (6) high school interns per year, plus two (2) college interns. So they are real high on this and I know we were working with Waimea High School to bring back the FFA program, so maybe it would be in your interest to reach out to some of those companies out there to see if we get some money in there to help out, too. Mr. Costa: Absolutely. Councilmember Brun: It is a great program and I like where it is going, so wherever we can help, let us do it. Mr. Costa: Yes. Thank you. Council Chair Rapozo: Councilmember Chock. Councilmember Chock: Thank you, Chair. Just in terms of the interagency partnership, I was wondering if the students also engage with the Department of Education and go to through the ADC proposal process and understand what it takes. Mr. Costa: No, right now, the Department of Agriculture has not been involved. Like I said, it mainly started from the Department of Labor because of workforce development, and then State Representative Mark Nakashima, I guess through the Department of Labor, formed an agricultural committee in the legislature. So the idea of funding this internship program through the Department of Labor is how I became involved. Then obviously, once they asked to work with the COUNCIL MEETING 68 AUGUST 9, 2017 high schools, initially I was asked to work with FFA, so again, I assumed that all three (3)high schools had an FFA program, and only to find out that Herbert Keamoai was the only one that had an FFA program at Kaua`i High School. So I worked with him literally three (3) days before he retired, and then started the program, and then later learned from Principal Anguay that she wants to start it and so does Principal Hamada. That is how the impetus with the Department of Education started, so now there are multi-agencies. Councilmember Chock: I really like the direction and what we are doing with this and the expansion of it. I know that we have to walk before we run, but I do see, in terms of some of the comments that came up, is tracking. To me, the proper way to track it is to kind of give them more opportunities, like you said, a second and third year where we can help guide them through the actual processes that are necessary to get them into farming. I think that is really where the key success lies, is that when we can actually create these farmers from start to end so that they are getting all of the tools necessary in the process. I appreciate your effort. Mr. Costa: Right. Thank you. Council Chair Rapozo: Councilmember Yukimura. Councilmember Yukimura: It is really encouraging, because it is not just the growth in students, but the growth in programs, because it has gone from one (1) high school to three (3) now. Mr. Costa: Right. Councilmember Yukimura: Taking off of what Councilmember Brun said in terms of the internships that are offered at the seed companies, I think one of the design issues is whether you would take students from operation-to-operation or whether they would stay with one operation and work all summer. There is a lot of emphasis put on project-based learning, which happened with Kaneshiro's hog farm, where two (2) students stayed throughout the five (5) weeks. Mr. Costa: Correct. Councilmember Yukimura: I think that is one of the design factors that you should continuously be evaluating, if you would, whether it is more productive and enhances more learning if they stay in one place and work on certain projects. Mr. Costa: Right. To Valerie Kaneshiro's credit, one, because of biosecurity, she did not want a whole lot of students coming every week; two, because I give her, her husband, and their family credit because that is a lot of work. She is able to work with two (2) students, as opposed to the average size. We COUNCIL MEETING 69 AUGUST 9, 2017 had five (5) groups this year and the average size of the group was eight (8) students. For her, that program worked better to have two (2) students work with her five (5) weeks. I was surprised because the two (2) young women that chose to work with her never worked in a farm before and I was really skeptical that once they got to that farm and smelt the pig farm that they would not go the second day, but they loved it and they really enjoyed it. In fact, both moms contacted me and said that this is a great program and they really appreciated seeing their daughters come home, really enthused and want to get into the program. Again, "plant the seed; light the fire." Hopefully goes from there. Councilmember Yukimura: That is why that model of summer program one farm where they really learn all of the aspects of it and learn how much hard work. It is not like you are there just for one (1) week, but you are working week after week and really getting to know the business. Maybe the best model, and I know that would take a lot more or research or convincing of other farms to take on people like that. Mr. Costa: Right. Councilmember Yukimura: On the other hand, that model might serve the other farmers better, too, to have somebody that really learns. Mr. Costa: Yes. Councilmember Yukimura: Anyway, I am just hoping that you will look at that as you design it. Mr. Costa: Yes, that is one of the things we were considering and that is why we are going to meet in September/October with the farmers and ranchers and really critique the whole program. Councilmember Yukimura: Great. Mr. Costa: It is a great program, but man it takes a lot of coordination. Councilmember Yukimura: Yes, it does. Thank you very much, George. Council Chair Rapozo: Anyone else? Any other questions? If not, thank you, George. Mr. Costa: Thank you. Council Chair Rapozo: Any registered speakers? COUNCIL MEETING 70 AUGUST 9, 2017 Ms. Fountain-Tanigawa: Anne Punohu. Council Chair Rapozo: Anne, you may come up. Ms. Punohu: Anne Punohu, for the record. This is the last time you will see me today. I had a concern, but George already addressed it. As he was talking and as I was listening to everything, I just want to get up and say that once you put your hand in the soil, ridden a horse, or chased a cow, it is in your brain forever on Kaua`i. I have been lucky to do that. My youngest daughter was able to go to a program that taught her how to be a "paniolo" and rope cows. I went to watch her ride a horse and rope stuff and I was a really proud mother when I saw that. My other oldest daughter had the opportunity to work as an intern at the National Tropical Botanical Garden (NTBG). I put my youngest daughter in a tin in a taro patch before she could walk. I took my kids with me. I always talk about my glory days on the plantations, so I just think that agriculture is so important and we can really, really give our kids a leg up. I like the idea of the economic side of it, because we have a lot of people coming here from the mainland who are landing here, getting lands, starting farms, and making lots of money. I would like to see our people be able to have that and say, "Hey, you know what, you can do this, too. You can get out there and do this and you can learn how to do it economically and make a good living for yourself," and it would keep our kids here. It is all good, I am all for it, and congratulations. Let us hope it gets bigger every year and I really have faith in our kids. They are the "future farmers" of America. Let us make more. Mahalo. Thank you to everybody involved and I am really looking forward to seeing what these kids end up doing in their futures. Thank you. Council Chair Rapozo: Thank you. Anyone else? Seeing none, I will call the meeting back to order. Any further discussion? Councilmember Kawakami. There being no further testimony, the meeting was called back to order, and proceeded as follows: Councilmember Kawakami: Thank you, Mr. Chairman. Thank you once again this opportunity. I fully support this. This natural resources pathway is part of six (6) pathways offered by the Department of Education. It is the Department of Education's innovative approach to taking these kids and giving them career exploration. The days of just sitting behind the desk and listening to a teacher are now moving towards more functionality, and when you ask employers what they are looking for, they are not necessarily looking for a degree; they are looking for some kind of practical experience. So these kids come into the high school—I have to really give credit to Principal Hamada at Kapa'a High School because he really was the spark plug that helped move this thing around—but you come into high school, and as a kid, they try to figure out what you are interested in. So you have six (6) sectors: COUNCIL MEETING 71 AUGUST 9, 2017 arts and communication pathway, business pathway, health services, industrial and engineering technology, which includes automotive technology, and I have to give my commendations to Mr. (inaudible) at Kapa'a High School, because I have sat in his classroom when he is teaching automotive technology and he is incorporating everything into there. Then you have natural resources, which this is focused on and then public and human resources. When you take a look into it, all of it has a nexus into our comprehensive economic development strategy, the one plan where we say we want to diversify our economy and focus on certain sectors and this lines up perfectly with what we are trying to achieve. I think it is money well-spent and I think it is what we have been asking for our Department of Education to do, to be more innovative and to give more practical hands-on experience. George, thank you so much. For the ranchers and farmers that are willing to assume this kind of liability and to have high school kids come into their operation, it is a risk that they are willing to take and just their ability to open it up for these kids is commendable as well. To everybody out there that is actually participating in the program, thank you so much. Thank you, Mr. Chairman. Council Chair Rapozo: Thank you. Anyone else? Councilmember Kaneshiro. Councilmember Kaneshiro: I just want to say what a great program it is, providing high school students the opportunity to intern at a farm. It provides hands-on experience and I also enjoy that they also get to know the business side of working on a farm and business side of agriculture. I just want to add that I know that Bill Bukoski's daughters were heavily involved in 4-H, and two (2) of his daughters were involved in this program and one of them, (inaudible-BillyAnn), I think she is a freshman in college now and is going to veterinarian school, so that does provide them with the opportunity to know what they want to do. Everybody can have a dream of knowing what they want to do, but until they experience it firsthand, I think you do not really know what you are getting yourself into and this provides a great opportunity for kids to learn early on what they want to do and what the opportunities are, and maybe like me, what I do not want to do. I just think it is a great opportunity and anytime we can offer real-world work experience, I think it is great for kids. They learn how to be punctual and they learn the demands of working an eight-hour day or however long they have to be there. I think it is just a good experience that they are going to remember for the rest their lives, and maybe like (inaudible-BillyAnn) they are going to take it on and take it to school and pursue a career in it. Council Chair Rapozo: Councilmember Chock. Councilmember Chock: I am intimately involved in this career development with the Department of Education, so I just really appreciate this kind of programming. I think our employers are looking for self-directed and complex COUNCIL MEETING 72 AUGUST 9, 2017 problem-solvers in our community for the future and the hands-on approach really offers that for them. I am actually pleased to see some of my students/leaders involved in these programs. I think our job as leaders is to spark that sense of purpose for them, but also to help foster that flame as they grow. So I am looking for opportunities, as these interests arise, to give them the tools necessary, so I see great potential in the future and hopefully the Department of Education will come to embrace it further and integrate it into the mainstream practice. Thank you. Council Chair Rapozo: Anyone else? Councilmember Yukimura. Councilmember Yukimura: I think this program is a very important and critical way to grow agriculture and I want to commend George and the Department of Education for playing a role in piloting this program and in making the connections that need to be made, in order to show the value of this program. I think it is a good use of the thirty thousand dollars ($30,000) in County moneys and I also feel like they are exciting possibilities when you start talking about year-round programs or more developed careers paths and something that gives hands-on experience. This is just a very positive program and the Office of Economic Development and Director Costa deserve a real commendation for it. Council Chair Rapozo: Thank you. Anything else? Seeing none, the motion is to approve. The motion to approve C 2017- 180 was then put, and unanimously carried. C 2017-181 Communication (07/26/2017) from the Executive on Aging, requesting Council approval to receive and expend Federal funds, in the amount of $551,641.00 for Fiscal Year 2018, to be used by the County of Kaua`i, Agency on Elderly Affairs for the provision of Title III services of the Older Americans Act, which includes information and referral, outreach, legal assistance, in-home fall prevention, congregate meals, home delivered meals, evidence based programs like EnhanceFitness or Better Choices, Better Health, and caregiver support services, and to indemnify the State Executive Office on Aging: Councilmember Yukimura moved to approve C 2017-181, seconded by Councilmember Brun. Council Chair Rapozo: Any discussion? Councilmember Kagawa. Councilmember Kagawa: I just have a quick question for Kealoha, who has been patiently waiting. Council Chair Rapozo: Okay. I will suspend the rules. There being no objections, the rules were suspended. COUNCIL MEETING 73 AUGUST 9, 2017 Councilmember Kagawa: Is this just expanding what we have or is it just keeping what we have and continuing? LUDVINA "KEALOHA" TAKAHASHI, Executive on the Agency of Elderly Affairs: Kealoha Takahashi with the Agency on Elderly Affairs. These are federal funding to maintain what we currently have. Councilmember Kagawa: Thank you and thank you for your work. Council Chair Rapozo: Councilmember Yukimura. Councilmember Yukimura: I just want to thank you, Kealoha, for the evaluation of the legal assistance program that you sent to us and I know that is part of this grant approval. I was impressed with the fact that you have an evaluation sheet and you go through the process and it gave me some level of confidence that the program is achieving its goals. Thank you very much. Ms. Takahashi: Thank you. Council Chair Rapozo: Thank you. Anyone else wishing to testify? If not, I will call the meeting back to order. There being no objections, the meeting was called back to order, and proceeded as follows: C 2017-182 Communication (08/01/2017) from Council Chair Rapozo, transmitting for Council consideration, proposed amendments to Chapter 16, by adding a new subsection to Section 16-2.1 "County Council to Exercise Functions by Resolution," which negates the Council's authority to establish school bus stops, leaving this function to the State of Hawaii: Councilmember Kagawa moved to approve C 207-182, seconded by Councilmember Yukimura. Ms. Fountain-Tanigawa: We have one (1) registered speaker. Council Chair Rapozo: Who is that? Ms. Fountain-Tanigawa: Anne Punohu. Council Chair Rapozo: She just left. Ms. Fountain-Tanigawa: Okay, then there are no registered speakers. Council Chair Rapozo: I asked the State representative to be here and they are calling her over right now. We will have the discussion when we are at COUNCIL MEETING 74 AUGUST 9, 2017 the bill, but if I could just explain what this is about. Councilmember Brun and I met with the State, the Department of Education and the Transportation Director from Honolulu, and apparently we are the only County that processes applications for school bus stops. The sad reality is that the demographics of the schools change quite frequently. You have a family that moves out of a school and it affects where these bus stop are going to be and the State...the process now is that if there is a desire to move a bus stop or put up a bus stop, they have to come to the County Council, fill out an application, and then the application gets sent over to the Department of Public Works and they have to have a whole team of people go out there and determine, all because we have to put a sign up. That is the whole process. In the other counties, the Department of Education determines where the bus stops go and they do not put up signage because...I do not know what you call it...the changes...the subject to change...it changes all of the time. If you have a homeowner resident that is not happy or the kids are causing a problem, then they move the bus stop, but they cannot do that here because they have to come through this process, do an application, go across the street, engineers have to go out, and waste all of our resources; whereas all the other counties, the Department of Education does the assessment and the best part is that they take on the liabilities and the County is completely out of it because they do not install signs. It is done through the community process where the Department of Education has a school bus coordinator here on Kaua`i, who is going to be here hopefully...she is right across the street, and they do an assessment, they do the community outreach, and they determine where the bus stops shall be, not the sign. They came to us and asked us if it was possible to consider that. To me, it makes perfect sense. We really do not have a say. That is something that the schools determine, where the bus stops should be, based on the population of the students in that area. That is why we have this amendment. Councilmember Yukimura. Councilmember Yukimura: It sounds more efficient. I am just wondering in terms of safety and ingress/egress that the Department of Education is capable of doing that analysis, which I presume is what the Department of Public Works does right now. Council Chair Rapozo: We take on a liability when we install a sign. When we put a school bus stop sign there, we obviously incur that liability. Councilmember Yukimura: Right, but in terms of assessing safety of the location in terms of ingress/egress and other traffic considerations, the Department of Education has the capability of doing that? Council Chair Rapozo: Yes. Councilmember Yukimura: So is the Department of Public Works okay with us doing this? COUNCIL MEETING 75 AUGUST 9, 2017 Council Chair Rapozo: I am not sure if they are okay or not, but... Councilmember Yukimura: We did not ask them? Council Chair Rapozo: No, it is a Council function. Years ago, according to my research, a long time ago, before our time...I am not sure if Councilmember Yukimura was here at that time, but this was used as a tool by the Councilmen and women to claim, "Okay, I will put a bus stop for your kids." It is a Council function. That is what my research has shown me. The old Councilmembers told me that is what this was for. We do not need that. It is not practical and it is not feasible, like I said, when the population changes. More so, I felt that this was necessary, when the State and the County has a very good inventory of where these bus stops are. That is quite troubling. Although they put in the application, the State does not have an inventory of where these bus stops are. It is almost a formality that has to come through, an unnecessary bureaucracy, to have them come through us, for us to send it across the street. As we are looking at doing more with less, today, I think the Department of Public Works would be very happy to get rid of this and let the State take over. Councilmember Yukimura. Councilmember Yukimura: As I recall the process, the State usually applies to us, but it goes through the Department of Public Works for an analysis before it comes to us for approval. I see that our Acting County Engineer is here. Can we get their input? Council Chair Rapozo: Is the woman from the State coming? We are coming up on a lunch break. Why do we not just suspend the rules, then Lyle can come up and address this. There being no objections, the rules were suspended. LYLE TABATA, Acting County Engineer: Good morning, Chair, Vice Chair, and Members of the Council. Lyle Tabata, Acting County Engineer. Councilmember Yukimura: Lyle, if I recall, the process usually for establishing or removing a Department of Education bus stop comes through your department... Mr. Tabata: Yes, it does... Councilmember Yukimura: ...with an analysis and a recommendation. We were told you folks were not asked for an official comment, so we would like to get your input now. COUNCIL MEETING 76 AUGUST 9, 2017 Mr. Tabata: Actually, we have been working with the Department of Education over several years on this issue and the Chair is correct; it will allow the Department of Education more flexibility to locate the bus stops as the demographics change with the housing as far as where in-time a subdivision ages and the youth, not really of that age anymore, that use the school bus for transportation, versus other subdivisions that are newer where the demand has moved to. Having to go through that process, at many times, was very cumbersome for them to be able to adjust to the relative needs of the day. You are correct, we do assist them with identifying possible safety concerns and make recommendations, and that can still happen; they can still come and see us. But the official process of having to come through and do a Council resolution, at times, in their opinion, it was very...I would say that it delayed their process. We agree with them that it does not have to be a requirement. Councilmember Yukimura: Actually, it looks like, as needed, they are still going to consult with you and you folks will be doing some analysis, etcetera, but the portion of the process where it comes to the Council, we do not really need that? Mr. Tabata: Right. As the Chair pointed out, we are the only jurisdiction in the State left where... Councilmember Yukimura: Where it still comes to the County Council. Mr. Tabata: Yes. Councilmember Yukimura: Okay. Thank you very much. Council Chair Rapozo: Councilmember Kagawa. Councilmember Kagawa: So Lyle, overall, it is no secret that statewide schools are experiencing problems with bus service and this would hopefully promote a more efficient bus service for the State. Mr. Tabata: Exactly. We were up for anything that can help them improve in providing services. Councilmember Kagawa: But we still can provide recommendations, like they may ask for a location of a bus stop and we can say, "Perhaps, going one hundred (100) feet this way would be a safer place." Mr. Tabata: Yes. COUNCIL MEETING 77 AUGUST 9, 2017 Councilmember Kagawa: So we can make recommendations as to where there would be possible safer alternatives in close proximity to where they want something to be. Mr. Tabata: Yes. Councilmember Kagawa: Thank you. Council Chair Rapozo: Thank you. Anymore questions for Lyle? Thank you, Lyle. Anyone wishing to testify? Seeing none, I will call the meeting back to order. There being no objections, the meeting was called back to order, and proceeded as follows: Council Chair Rapozo: I think it really just exempts the State Department of Education from our County process, as far as establishing school bus stops. When I spoke to the Director, and I am not sure because I did not speak to him the same time as Councilmember Brun did, but it is like they have a process that is in place and they have their people here to go out...just using the scenario that we have today with the shortage of bus drivers for the State—imagine if they had to come to this body to address that issue...can you imagine if we had to submit eight (8) or ten (10) resolutions because they had to move bus stops? It actually makes no sense. The timing could not be better and it will just help the County because it frees-up our resources and the State seems to think that they can do it without the County, in my discussion, but I would assume that in some of these scenarios, they will be looking to the County for some help. But they are not required to, so I think it is a "win-win" for everybody. Anyway, we will have more discussion and have the State person here. Do you need the State representative here for the bill? Okay, we do not need them here for the bill. The motion to receive C 2017-182 for the record was then put, and unanimously carried. Council Chair Rapozo: With that, we will take a one-hour lunch break and be back at 1:30 p.m. There being no objections, the meeting recessed at 12:31 p.m. The meeting reconvened at 1:35 p.m., and proceeded as follows: (Councilmember Kagawa was noted as excused.) (Councilmember Kawakami was noted as excused.) COUNCIL MEETING 78 AUGUST 9, 2017 Council Chair Rapozo: The meeting is back to order. Can we have the next item, please? LEGAL DOCUMENT: C 2017-183 Communication (07/12/2017) from the Mayor, recommending Council approval of a Dedication Deed from Edward S. Bittner, Trustee of the Ko`ohio Realty Trust, conveying Roadway Lot 2, Pila`a, Hanalei, Kaua`i, Hawai`i, Tax Map Key (TMK) No. (4) 5-1-004-034, to the County of Kaua`i for road widening purposes. • Dedication Deed Councilmember Yukimura moved to approve C 2017-183, seconded by Councilmember Kaneshiro. Council Chair Rapozo: Any discussion or public testimony? There being no objections, the rules were suspended to take public testimony. There being no one present to provide testimony, the meeting was called back to order, and proceeded as follows: The motion to approve C 2017-183 was then put, and carried by a vote of 5:0:2 (Councilmembers Kagawa and Kawakami were excused). Council Chair Rapozo: Next item, please. Ms. Fountain-Tanigawa: We are on page number 4. CLAIM: C 2017-184 Communication (07/26/2017) from the County Clerk, transmitting a claim filed against the County of Kaua`i by Sun Fuye, for damages to his vehicle, pursuant to Section 23.06, Charter of the County of Kaua`i: Councilmember Yukimura moved to refer C 2017-184 to the Office of the County Attorney for disposition and/or report back to the Council, seconded by Councilmember Kaneshiro. Council Chair Rapozo: Thank you. Any discussion or public testimony? There being no objections, the rules were suspended to take public testimony. COUNCIL MEETING 79 AUGUST 9, 2017 There being no one present to provide testimony, the meeting was called back to order, and proceeded as follows: The motion to refer C 2017-184 to the Office of the County Attorney for disposition and/or report back to the Council was then put, and carried by a vote of 5:0:2 (Councilmembers Kagawa and Kawakami were excused). Council Chair Rapozo: Next item, please. COMMITTEE REPORTS: ECONOMIC DEVELOPMENT & INTERGOVERNMENTAL RELATIONS COMMITTEE: A report (No. CR-EDIR 2017-06) submitted by the Economic Development & Intergovernmental Relations Committee, recommending that the following be Received for the Record: "C 2017-168 Communication (07/12/2017) from the Director of Economic Development, requesting Council approval to apply for, receive, and expend funds from the Hawai`i Community Foundation, in the amount of $50,000.00, and from Partners for Places, in the amount of $50,000.00, for a total amount of $100,000.00, for the development of a Climate Action Plan (CAP) for the County of Kaua`i," Councilmember Yukimura moved for approval of the report, seconded by Councilmember Kaneshiro. Council Chair Rapozo: Any discussion or pubic testimony? There being no objections, the rules were suspended to take public testimony. There being no one present to provide testimony, the meeting was called back to order, and proceeded as follows: The motion to approve the report was then put, and carried by a vote of 5:0:2 (Councilmembers Kagawa and Kawakami were excused). BUDGET & FINANCE COMMITTEE: A report (No. CR-BF 2017-15) submitted by the Budget & Finance Committee, recommending that the following be Approved as Amended on second and final reading: COUNCIL MEETING 80 AUGUST 9, 2017 "Bill No. 2659 — A BILL FOR AN ORDINANCE AMENDING CHAPTER 5A, SECTION 5A-11A.1, KAUAI COUNTY CODE 1987, AS AMENDED, RELATING TO THE BENEFICIAL TAX RATE FOR PROPERTY USED FOR LONG-TERM AFFORDABLE RENTAL," Councilmember Chock moved for approval of the report, seconded by Councilmember Kaneshiro. Council Chair Rapozo: Any discussion or pubic testimony? There being no objections, the rules were suspended to take public testimony. There being no one present to provide testimony, the meeting was called back to order, and proceeded as follows: The motion to approve the report was then put, and carried by a vote of 5:0:2 (Councilmembers Kagawa and Kawakami were excused). A report (No. CR-BF 2017-16) submitted by the Budget & Finance Committee, recommending that the following be Received for the Record: "BF 2017-02 Communication (07/27/2017) from Council Chair Rapozo, requesting the presence of the Mayor, the Managing Director, and the Director of Finance, to discuss the Administration's decision to lift the six (6) month moratorium on the filling of vacant positions which was highlighted in Mayor Carvalho's Fiscal Year 2017-2018 budget plan," Councilmember Chock moved for approval of the report, seconded by Councilmember Kaneshiro. Council Chair Rapozo: Any discussion or pubic testimony? There being no objections, the rules were suspended to take public testimony. There being no one present to provide testimony, the meeting was called back to order, and proceeded as follows: The motion to approve the report was then put, and carried by a vote of 5:0:2 (Councilmembers Kagawa and Kawakami were excused). A report (No. CR-BF 2017-17) submitted by the Budget & Finance Committee, recommending that the following be Approved as Amended on second and final reading: COUNCIL MEETING 81 AUGUST 9, 2017 "Bill No. 2658 — A BILL FOR AN ORDINANCE AMENDING CHAPTER 5A, ARTICLE 11 AND 11A, KAUAI COUNTY CODE 1987, AS AMENDED, RELATING TO REAL PROPERTY TAX," Councilmember Chock moved for approval of the report, seconded by Councilmember Kaneshiro. Council Chair Rapozo: Any discussion or pubic testimony? There being no objections, the rules were suspended to take public testimony. There being no one present to provide testimony, the meeting was called back to order, and proceeded as follows: The motion to approve the report was then put, and carried by a vote of 5:0:2 (Councilmembers Kagawa and Kawakami were excused). RESOLUTIONS: Resolution No. 2016-60 — RESOLUTION AUTHORIZING THE ACQUISITION OF A PUBLIC PEDESTRIAN BEACH ACCESS EASEMENT IN LAND REQUIRED FOR PUBLIC USE, TO WIT: A PUBLIC PEDESTRIAN BEACH ACCESS EASEMENT TO KUKUIULA BAY, KUKUIULA, COUNTY OF KAUAI, HAWAII, AND DETERMINING AND DECLARING THE NECESSITY OF THE ACQUISITION THEREOF BY EMINENT DOMAIN Councilmember Kaneshiro: Are we going to talk about it first? Council Chair Rapozo: You can go ahead and make the motion. Right now, this is for a deferral, so let us just have the discussion. Councilmember Yukimura: Actually, we should make a motion. Council Chair Rapozo: Okay, you can move to schedule a public hearing, but you cannot make the motion to defer. Councilmember Kaneshiro moved for adoption of Resolution No. 2016-60, seconded by Councilmember Yukimura. Council Chair Rapozo: This is where it is at today. There are five (5) of us here, I do not know where the other two (2) are...I think Councilmember Kagawa is in a meeting downstairs. I think the Administration has made it very clear that they do not support this acquisition, and that in fact, if it passes, he will veto it. It takes five (5) votes to override a veto. The only reason I bring this up is because we have been COUNCIL MEETING 82 AUGUST 9, 2017 through this discussion and everyone was waiting for the appraisal, which was done, and you should have a copy of that appraisal. I guess what I am saying is that I do not want to go through the motions to have it vetoed, and then have to go through the whole process to override the veto. I do not know where everybody is at on this, I really do not. I will just say that if I am the fourth vote, I will not support it, only because I am not going to get us in a position for a veto and a battle to override the veto. If we have the five (5) votes, then we can move forward. Basically, if we have five (5) votes, then the Mayor would probably not veto. Anyway, with that, does anyone have discussion on the process? Councilmember Chock. Councilmember Chock: The big issue has been the cost in these decisions; we have an appraisal and there are potential attorney fees, of which I just wanted to confirm, that our County Attorney will take on this case and what that perspective would be. Council Chair Rapozo: I will suspend the rules if there are no objections. There being no objections, the rules were suspended. Council Chair Rapozo: We also have to take into account, the landowner's attorney fees as well. Councilmember Chock: Okay. MAUNA KEA TRASK, County Attorney: Mauna Kea Trask, County Attorney. Councilmember Chock: I am looking for the total cost on the record. I was wondering if you might be able to give us a range. I understand that you do not know what that total cost is in its entirety or real cost. Mr. Trask: Correct. (Councilmember Kawakami was noted as present.) Council Chair Rapozo: Also, real quick, the appraisal is stamped "confidential" so I am assuming that we cannot disclose the costs. Mr. Trask: Given where we are at right now...we discussed that it can be kept confidential, but it will eventually, if you proceed with this, you can talk about it if you want to. So it did not come over confidential from the Office of the County Attorney; it came over from the Planning Department. COUNCIL MEETING 83 AUGUST 9, 2017 Council Chair Rapozo: Okay. Mr. Trask: So the discussion as to whether or not you want to discuss it is yours, but we thought initially to transmit it to you confidentially. But of course, if we were to go to trial and all of these things were to get discussed, it is intended to be shared with at least twelve (12) people on the jury box, and therefore everyone. Council Chair Rapozo: Okay. Mr. Trask: As far as estimating costs, there is not...this will not be able to get a negotiated purchase, it has go eminent domain. In order to do that, you have to go to court. There are two types of costs: monetary and resource costs, time and effort within the office. I will tell you at this point that your Office of the County Attorney has done everything it has been able to for the past couple of years to minimize its costs and to make budget cuts and really to chip in where this Council and the Administration wants to go, as far as controlling resources. Given everything that we are doing in-house right now, a lot of the increase in administrative litigation related to Transient Vacation Rental (TVR) enforcement and various other enforcement actions and contested cases—we are too thin as it is. This will be although not a complicated matter, two (2) issues, it will be intensive and these things involved, because there is a lot of money involved, it will be in-depth. It goes to trial...it has to go to jury trial. You cannot motion these cases out because value is a matter for the jury to consider. Given everything that we are dealing with and civil cases that we currently have, and that we know are coming, for your Office of the County Attorney's resources, there is just not enough time in the day. We are not asking for any more bodies, but the ability to take on new litigation...when you have the discretion not to engage in it, we would avoid at this time. If you really want to go forward with this, we would come and ask for special counsel to take it. Again, given the current litigation with some cases going on, we anticipate to return to you shortly within the next couple of months to encumber special counsel funds in some unrelated cases that we expect, and we do expect to run through this special counsel budget before the end of this fiscal year. That is just a matter of fact. Therefore, if you want to proceed with this, you are going to have to seriously consider getting a money bill to get more special counsel funds for this and possibly for other cases. Although, we do not anticipate that there will be some similar issues with other recent condemnations, you cannot anticipate certain things. We do not know the complexity of the estate planning, so far as regard to this property, if any, and those things add on levels of expertise. On the last one we did, there were off-seas corporations that were involved and that was difficult. Litigation costs in that case went up, I think, three hundred eighty thousand dollars ($380,000) to four hundred thousand dollars ($400,000), if I am not mistaken. It could be that high. We also went to the Supreme Court in the State of Hawai`i in the last case, so it could take a long time. Also, too, ultimately, there is a large discrepancy between what we COUNCIL MEETING 84 AUGUST 9, 2017 understand is what the landowner is saying it is worth and our appraisal. That is a discretion for the jury to decide. The best we can do is provide our estimate per an expert report, which is the appraisal, but you cannot say what ultimately the jury will find. Council Chair Rapozo: Are you saying that in this case, what the appraiser said the value is, you are not agreeing with that? Mr. Trask: No, I do agree with it. Council Chair Rapozo: Okay. Mr. Trask: For the record, I believe it is very well-reasoned and I think it is what it is. Council Chair Rapozo: Okay. Mr. Trask: However, the jury may not agree. I can say it will not go lower than that, but it very well could go higher. Council Chair Rapozo: Okay. Thank you. Councilmember Chock: So two hundred thousand dollars ($200,000) to four hundred thousand dollars ($400,000) is what I heard you say, in addition to the appraisal, potentially, the cost? Mr. Trask: Yes. Councilmember Chock: Is there any other additional costs? Mr. Trask: I can say that for today, approximately that much. So you are looking at...with the cost of...yes, somewhere around there. Councilmember Chock: Thank you. Council Chair Rapozo: Councilmember Yukimura. Councilmember Yukimura: What was the cost for the Sheehan property? Mr. Trask: With the Sheehan property, ultimately the jury award was five million eight hundred thousand dollars ($5,800,000). Councilmember Yukimura: Right. What was the cost of the attorneys? COUNCIL MEETING 85 AUGUST 9, 2017 Mr. Trask: Couple hundred thousand dollars...about three hundred eighty thousand dollars ($380,000), I believe. A lot of that was redeemed because we got... Council Chair Rapozo: I do not know if we need to be discussing the Sheehan property case on this agenda item. Mr. Trask: That is fine. Council Chair Rapozo: This is about... Councilmember Yukimura: No, but this is about potential attorney's fees, so I am just asking for a ballpark on the previous experience. Council Chair Rapozo: Councilmember Yukimura, you can ask a general question as it relates to condemnation, but you do not site a case that is not on the agenda that we are actually in litigation right now. Councilmember Yukimura: I disagree. Council Chair Rapozo: Well, that is the rule. Councilmember Yukimura: Whose rule is it? Council Chair Rapozo: Mauna Kea, I am expecting you to...do you think we can talk about another case on this agenda item? Mr. Trask: I can estimate, based on my familiarity, roughly a couple hundred thousands of dollars. Council Chair Rapozo: For this case? Mr. Trask: For this case. Councilmember Yukimura: Yes, I but I am sure that he is basing it partly on our experience in the past. Mr. Trask: Yes. Councilmember Yukimura: Thank you very much. Council Chair Rapozo: Councilmember Chock. COUNCIL MEETING 86 AUGUST 9, 2017 Councilmember Chock: In addition to the cost...the cost was the main obstacle, previously spoken, but I would like to hear from the department. It sounds like they are adamantly against it and we are going to get vetoed on it, so I would like to hear the reasoning done by the Administration. Council Chair Rapozo: Councilmember Kaneshiro. Councilmember Kaneshiro: I have some questions on the cost. Council Chair Rapozo: On the cost? Councilmember Kaneshiro: Yes. Mauna Kea, just on the costs, so two hundred thousand dollars ($200,000) to four hundred thousand dollars ($400,000) was for our own special counsel? Mr. Trask: Yes. Councilmember Kaneshiro: Then we would have to pay whatever the appraised value is? Mr. Trask: Well, whatever the jury says it is. Say our appraisal is a certain amount and say the property owner is saying high hundreds of thousands, around one million dollars ($1,000,000)—the jury could find very well with them; they could split the baby and whatever it is, because it is a matter of experts. So it will be a battle of experts. Councilmember Kaneshiro: Would we need to pay for their attorney costs? Mr. Trask: No, I do not think so. Councilmember Kaneshiro: Okay. Mr. Trask: Not to my knowledge. Councilmember Kaneshiro: Okay. Thanks. Mr. Trask: Also, too, just with that, there is going to be a huge question with what is called under 101-23, "damages or assessed," when you take part of a property. They describe severance damages, they are blight of summons damages, and various types of statutory damages. Our appraisal discusses that and there is significant difference between what our appraiser is saying accounts for those damages versus what theirs is. That is another issue the jury could come up with. Whatever they come up with is largely their discretion and it is difficult to overturn that on appeal, until it is clear abuse of discretion or something like that. COUNCIL MEETING 87 AUGUST 9, 2017 Councilmember Yukimura: I have a follow-up question. Council Chair Rapozo: Go ahead. Councilmember Yukimura: Do we have access to any appraisal on their part to justify the figures that they are talking about? Mr. Trask: Not at this point and that is not uncommon, but we would in the case... Councilmember Yukimura: Right, it would come up in court of course. Mr. Trask: It would be part of discovery, correct. Councilmember Yukimura: Okay. Thank you. Council Chair Rapozo: Councilmember Chock. Councilmember Chock: Again, I want to hear the reasons, if not only cost prohibitive. As the initial estimation was one million dollars ($1,000,000) or more, it sounds like it is lower than that at this point. What additional reasons should we not act on this for, or that the Administration is proposing not to act on it? KAAINA HULL, Deputy Planning Director: Ka`aina Hull, Deputy Planning Director. So the department and the Administration have been in opposition to this acquisition, primarily because of the fact that it is an adversarial action and would require condemnation. We have always held that we even when we get this appraisal number, and now we have it before you folks, that that is an appraisal number that as the County Attorney referred to. That is not in any means indicative of what it is going to cost us. Well, it is somewhat indicative, but at the end of the day, a jury can award higher than that, and much higher than that. Because of that process and the unknowable dollar figure on it, as well as the work and the resources it would place on the County Attorney's Office, the department is just against an adversarial acquisition of this particular property. Councilmember Chock: Okay, so anything moving forward that is adversarial in nature will not be supported by the department. Is that correct? Mr. Hull: I would not say that it is a carte blanche statement that the department or the Administration would be against any adversarial action. I think given the relative small amount of land that is being looked at in this particular proposal, the potential cost for that land with the adversarial acquisition and the natural resources that is affording the opportunity to COUNCIL MEETING 88 AUGUST 9, 2017 access. Indeed, they are wonderful; they are splendid, the department would definitely finding access in there, but the amount of effort, time, and ultimately monetary resources that would have to be pumped into it in this particular scenario, the department does not support acquisition. I have to be clear as staff for the Open Space Commission, and we do have the Open Space Commission Chair here, that while the department does not support this acquisition in this form, that it is an Open Space Commission initiative to go through condemnation proceedings to acquire that. So I just want to be clear that that is the Open Space Commission's position. Mr. Trask: If I can add onto that, as far as if the question were posed to the County Attorney's Office regarding any adversarial acquisition by condemnation at this time, for this time, for this fiscal year, the Attorney's Office would advise against it just because an adversarial condemnation action is avoidable by you today. This County cannot avoid all of the other suits brought against it by plaintiffs. We have to respond to all of those. We do not control the litigation calendar and we do not have discretion to bring cases like the Prosecutor's Office does and we have to enforce the law with our enforcement proceedings. All of your resources at litigation right now are directed at those, defending and bringing contested cases to bring people into compliance with the law. At this point, we do not support condemnation actions for the fiscal year 2017-2018. Councilmember Chock: So it is a timing issue is what I am hearing, that perhaps in the future, if this was on the agenda with a different budget or different resources available, you would be more likely to support moving on it. Is that correct? Mr. Trask: Correct, between five (5) litigation deputies, currently approximately seventeen (17) TVR cases in contested cases, another estimated at least ten (10) coming down—we do not support it at this time. We need to focus on what is coming versus what we can avoid. Uncle Teddy and Aunty Tessie is back there—this is not about the access. I live on the south side. So you can know where your litigation resources are at, I need to let you know about that today. Councilmember Chock: Is that an option? Maybe we need to hear from the Open Space Commission, but is an option to defer this and wait until the resources are there for us moving onto this particular project? Mr. Trask: You can ask them. I just want to let you know that. Mr. Hull: I might also add to Mauna Kea's testimony that this also leads into some discussions we had previously about condemnation proceedings. I think the department has made a few statements in the past, concerning accessing the Open Space Commission's funds for the hiring of special COUNCIL MEETING 89 AUGUST 9, 2017 counsel. In recent discussions with the Office of the County Attorney, we may have been misinformed when we made those statements. It appears now, and I will defer to Mauna Kea if he has any further insight, that it looks like while the fund can be used for acquisition and administration purposes, that we would not be able to tap into the fund for the hiring of special counsel. So those funds would have to be found essentially elsewhere. Council Chair Rapozo: Councilmember Yukimura. Councilmember Yukimura: So how do you justify your advice and recommendation in support of the Sheehan property? That was an adversarial process and we had to go before a jury, but you are saying that because it is an adversarial process that we are not going to go forward? Mr. Trask: No. At that time, we had eight million nine hundred thousand dollars ($8,900,000) in park acquisition... Council Chair Rapozo: Again, I am not going to allow discussion on that case. Councilmember Chock just asked the question: is that our policy that if it contested that we are not going to move on? I think he answered the question. It is basically a case-by-case basis. Councilmember Yukimura: I am sorry, but this process you are saying are several reasons. The Planning Department is saying that as long as it is adversarial, if it is going to take us that we have to go to court and there is some disagreement, it is not an owner that says, "Okay," then we are not going to do it. That is what I heard. Mr. Hull: No, Councilmember Yukimura, that is not what was said. Councilmember Yukimura: Good, please clarify. That is why I am asking my question, so I can get clear about what the policy is. Mr. Hull: What I stated was in accessing the commiserate value and utility that the County and the public would enjoy from an acquisition, in this particular scenario, given the size of the resource and the resources that would make accessible, the condemnation proceedings is not commiserate to that particular access in this particular scenario. Councilmember Yukimura: Okay, so it is not about adversarial or not; it is about that particular access is not important enough as a public access. COUNCIL MEETING 90 AUGUST 9, 2017 Mr. Hull: No, Councilmember Yukimura, I will ask you again, that is not what I said. Councilmember Yukimura: Well, that is what I hear you saying. Mr. Hull: What I said very clearly in the beginning on my statement is that indeed this is a wonderful access, that the County would enjoy if we could readily and easily access it. But given the amount of resources, time, and financial resources that we would have to commit to acquiring it, that amount is not commiserate to this particular access. Councilmember Yukimura: Right. Mr. Hull: But if it were not in an adversarial acquisition, if it was just solely based off of the appraisal we got, we could do that analysis and see if it is commiserate, but given the further resources and the funding that is necessary for an adversarial acquisition, we are saying it is not commiserate to the value. Councilmember Yukimura: So what message are you sending to people who might have some access that we want? "Just show that you are opposed to it, then they will not take it." That is basically what you are telling them. "If you make enough noise and resist enough, the County is going to back down." Mr. Hull: The County is not going to get it from them without an adversarial acquisition unless they say "yes." So if there is any property owner that has private property that they in any inclination do not want to sell to the County, we are not going to get it unless we condemn it, quite frankly. Councilmember Yukimura: Right. Mr. Hull: That is their own private individual property right. So we are saying that in this scenario, this is not commiserate to the value of the site. Councilmember Yukimura: Exactly, but I am interpreting, and I think not unreasonably, what other landowners will say, "All we have to do is make a lot of noise and resistance and they will back down." Mr. Trask: Just to clarify my statement, because I do not want it to be confused, but the Office of the County Attorney's position is just for the fiscal year 2017-2018, given our budget, which has three hundred eighty thousand dollars ($380,000) for special counsel. Given what we are dealing with in-house, because our special counsel budget before used to be one million dollars ($1,000,000). COUNCIL MEETING 91 AUGUST 9, 2017 It was like high six hundred thousand dollars ($600,000), depending on where you go, since I have been here. We have done everything we could to bring that down because that was a huge burden on the County. It took away from other projects, so we do what we can in-house. Anyone can look at our budget and see what our resources are. I am just saying that for this fiscal year, there are other things happening that we need to focus on, and we can come next year. I have no problem with going to court and litigating eminent domain cases. I am just saying if you want to do that, we are going to need more money. Councilmember Yukimura: That is fair enough. Mr. Trask: Ultimately, that is what it comes down to. Councilmember Yukimura: Okay, but the decision about whether we get more money, whether we appropriate more money, and whether we get special counsel is this body's decision. Mr. Trask: Exactly. Councilmember Yukimura: So you are telling us that we will need more money in terms of special counsel, and right now, the budget does not have it so we would have to find it from somewhere else. Mr. Trask: Correct. Councilmember Yukimura: Of course, we just passed one million dollars ($1,000,000) in firefighter raises, which that is gone from next year's budget. Anyway, you are saying that we do not have enough this year existing and earmarked in the budget for either special counsel work or for in-house work. Mr. Trask: I do not mean to be paternalistic, but in order to get the analogy across, all I am saying is, like we are at the store and you only can buy certain things—my kids want ice cream, and we cannot get ice cream, but maybe we can afford ice cream when daddy gets paid again on the 15th—that is all I am saying, maybe in the next fiscal. I need the next paycheck to go look at this. Councilmember Yukimura: Thank you. So your answer to my question is yes, that in this fiscal year, we do not have money in-house, in the budget right now for the special counsel that would be required or really for in-house capability. Mr. Trask: Yes. COUNCIL MEETING 92 AUGUST 9, 2017 Councilmember Yukimura: Thank you. My references to other expenses is exactly what I was trying to get across that you are trying to get across by your household budget example. Mr. Trask: Thank you. Council Chair Rapozo: Any other questions? So it really boils down to the money. I can hear you loud and clear, Mauna Kea, that based on your budget it would be very difficult for you. So this body, as Councilmember Yukimura said, the opportunity to put more money in there is this body's decision. It really comes down to what she said earlier: is this access important enough for this body to decide if we are going to put more money into the special counsel fund? That is really what it boils down to. Does this body here believe that that access is important to invest, let us say, six hundred thousand dollars ($600,000)? That is what it boils down to. I have not heard any kind of opposition to the acquisition because of access or condition of the...I have not heard none of that...it is really just money. I have been in here long enough to know that next year's budget is not going to be any different than this year's budget. So to say that we are going to wait for next year, there is no sense. You either are going to do it or you not. If it is important, then you do it; if it is not, then you do not. I think to expect us to defer this for another year hoping that we get money next year, I think that is just giving the public false hope and I think the public has waited a long time. One way or the other, I think we need to dispose of this matter. I hate for us to wait one more year, because next year, another access is going to pop up, or two (2) more. Anyway, no other concerns as far as acquisition, except the funds. Okay. Thank you. Councilmember Chock: Chair, I was just wondering, since Open Space...since this is their purview and the Chair is here, that we might hear from them as well. Council Chair Rapozo: Yes, I definitely want to hear from the Open Space Commission. THEODORE BLAKE, Chair of the Public Access, Open Space & Natural Resources Preservation Fund Commission: Good afternoon, Theodore Blake, Chair for the Open Space Commission. Council Chair Rapozo: Councilmember Chock. Councilmember Chock: Thank you for being here. I know the recommendation for the Open Space Commission is to move on this acquisition. We have heard the opposing viewpoints, so I was wondering if you might be able to help respond or shed light on this decision process for the Council. COUNCIL MEETING 93 AUGUST 9, 2017 Mr. Blake: The Commission was in favor of proceeding with this and I carried out their wishes. Councilmember Chock: So you and the Commission believes that this is worth the amount that is being projected. Is that correct? Mr. Blake: We never got to that question. Councilmember Chock: Really? Mr. Blake: This has a long history. It came out around forty thousand dollars ($40,000) or something like that, and it went on and on, and then the guy comes back with the really ridiculous amount of one million dollars ($1,000,000), which is saying, "If you want it, this is what you have to pay." Personally, I take offense to that. As the Commission Chair, I just do what my Commission wishes and I kept my opinion to myself. Councilmember Chock: So I am understanding that the vote on this was not unanimous from the Commission? Mr. Blake: I do not believe so, but we supported it because the past Commissioners have worked hard on this. To me, it is not fair to just let it go by the wayside, because it was not addressed. There was money for it many times and it was never moved on. Now when we want to move on it...I kind of wished my bank account would appreciate that much. How do you justify this? The principle of the matter is what I was getting with. At some point in time, we have to make our decision and I guess we are at that point right now. Council Chair Rapozo: As you sit here today as the Chair of the Commission, it is the Commission's desire to move this forward? Mr. Blake: Yes. Council Chair Rapozo: Any other questions for Mr. Blake? If not, thank you. Mr. Blake: Thank you. Council Chair Rapozo: Is there anyone else from Open Space that wants to testify before I open it up to the public? I appreciate your patience. JOSEPH FIGAROA, Member of the Public Access, Open Space & Natural Resources Preservation Fund Commission: Thank you so much for putting this on the agenda and for bringing this matter up to light. COUNCIL MEETING 94 AUGUST 9, 2017 Council Chair Rapozo: Can you just state your name for the record? Mr. Figaroa: Sorry, for the record, for those who do not know me, Joseph Figaroa. Yes, it is very strongly supported to acquire this property. Yes, it has been on the Open Space agenda and I know it will require additional funds. My concern is if it waits to another fiscal year, like a lot of the properties that have waited two (2) fiscal years, they drop off into something called an "abyss" and never to be seen again. The community has definitely supported this. They have very much been strong advocates for it. At the same time, it also has a historical value, and at one point, it was in our hands and due to some unforeseen circumstances, it slipped away. So now it is the opportunity for this body to secure its position on it. That is my statement. Council Chair Rapozo: Councilmember Yukimura. Councilmember Yukimura: So Joseph, thank you. You say that it was on the public's Open Space Commission agenda, but in fact, it was a priority of the Commission? Mr. Figaroa: Yes, according to my knowledge, it has been a priority since the inception of the Commission, back I believe in 2008 when the Commission first started. My dates might be wrong, but I do know that in the inception of it, it was a high priority back then. Councilmember Yukimura: Yes, I think it started earlier, but you had some new powers clarified, I think, in around 2008. Mr. Figaroa: Yes. Councilmember Yukimura: Thank you very much. Council Chair Rapozo: Any other questions? Councilmember Kaneshiro. Councilmember Kaneshiro: I know this whole Hoban thing started a long, long time ago, but I guess my question is do you think this access is as important now as it was in the past when that whole Kukui`ula Beach is now open and accessible to the public? Mr. Figaroa: Not just my opinion, but my personal feeling is that it is, and the reason for that is when I have been to Kukui`ula Boat Harbor onto the beach, you can see a beautiful beach from the corner, and of course, the only way to access it is either if you swim or if you kind of just kayak there. Of course, I COUNCIL MEETING 95 AUGUST 9, 2017 am just throwing this out there and it is not official, but just randomly, I asked individuals from the National Tropical Botanical Garden about their feelings, and to my surprise, the management there said, "You know what, we would be more than willing to open up some parking spaces if that was open," because they know the significance of that as well. But me personally, I have seen people kind of traversing over the empty property next to it to get to the beach or somewhat what they could. So I see a large value to it. I know I have talked to a few fishermen who definitely see a major value. I, myself, as a person who likes to go to beaches off the beaten path, I definitely see that as a public wealth for everyone to enjoy. Councilmember Kaneshiro: Thank you. Council Chair Rapozo: Councilmember Chock. Councilmember Chock: Mr. Figaroa, are you still on the Commission? Mr. Figaroa: Yes. Councilmember Chock: Thank you. Council Chair Rapozo: Any other questions? If not, thank you very much. Mr. Figaroa: Thank you. Council Chair Rapozo: Anybody in the public wishing to testify? TESSIE KINNAMAN: Good afternoon. For the record, Tessie Kinnaman. I am still in favor of this acquisition. It is sad that it is taking this long, but this is an important acquisition for the community. I do not recall when you folks took your oath of office to uphold the law of this County and State, and it did not say "if we only had money." This is a natural resource that belongs to the people. Public access—we have used that way longer than a lot of you. I do not think you know anything about it, but it is important. It is sad to think that the Mayor and the Planning Department does not feel like it is that important for the people. You are depriving people of food. I do not care about Kukui`ula Harbor. Everybody goes to the harbor. In fact, it is getting packed with people. Po`ipu Beach is shot. I go down there and it is really sad. I do not even go down there anymore. Right now, I have a little corner of the harbor. I do not go where everybody else is. Just looking at that area that we are supposed to be accessing all of these years, it is like...I am sorry that I am crying, but it is just sad. The people have vested rights in this area and you cannot deny the people, because we are the County. Thank you. Council Chair Rapozo: Anyone else wishing to testify? COUNCIL MEETING 96 AUGUST 9, 2017 TINA SAKAMOTO: Tina Sakamoto. I have testified on this issue previously and this property is advertised as a "private, exclusive beach" for vacation rentals. My husband and I are seniors and we went down there and we have no access to it. We are not going to kayak there, we are not going to swim, and the only other way is to traverse property where there is a sign that says...I think there is a fine. After you pass the fine, then you have to climb over a seawall that somebody has built that extends towards the ocean, so we have no access. We cannot go; we cannot take our kids and grandkids. So this is an important access for all of us, not just vacationers, not just an exclusive few. I think it is valid and I think it is important for all reasons: historical and culture. So it is something that has to be moved on and it has been pending for years and years. We need to move on it and open up this space for beach access. Thank you. Council Chair Rapozo: Anyone else in the public wishing to testify? Ms. Kinnaman: Sorry, Tessie Kinnaman again. I hope we do go forward with this acquisition because I would expect a jury trial. It is only fair for everybody. I do not think any of us could make a call whether...it is for the people, period. Thank you. Council Chair Rapozo: Before I call the meeting back to order, and I guess it is you, Mauna Kea, I have a question about the use of those funds for special counsel. I know it was discussed earlier, but I wanted some clarity. It is for acquisition and administration, but it is not available for acquisition fees, including special counsel or legal fees? Mr. Trask: One second, I am sorry. For the record, Mauna Kea Trask, County Attorney. Under the Section 19.1.5 of the Kaua`i County Charter, this is "(c) Public Access Open Space & Natural Resources Preservation Fund." It creates a special fund. "The moneys in the fund shall be utilized for purchasing or otherwise inquiring lands and or property entitlements for land conservation purposes in the County of Kaua`i for the following purposes," in relevant part, "beach access." "The moneys for this fund may also be used for the payment of interest, principle, premium, if any, with due respect to bonds issued. For the payment and costs associated with the purchase, redemption, or refunding of such bonds, at any given time"... this is (c)(3), "no more than five percent (5%) of this fund shall be used for administrative expenses." That fund is within the Planning Department and it is held within their budget. Council Chair Rapozo: So where in that definition does it prohibit us from using it for special counsel? COUNCIL MEETING 97 AUGUST 9, 2017 Mr. Trask: Well, you see, it does not define what "administration" is, so I understand that there is a position that is funded with administration, and I think "related costs for acquisition" meaning appraisals and stuff like that would be appropriate under administration of the fund. It is an accounting question and a legal question. Nothing says that it cannot be, but when you look at budgeting and how the money goes within certain departments for certain uses as approved by the Budget Ordinance, the Office of the County Attorney, which is a different department, which does not have control or access to that fund ordinarily, is the representative of the County Council. Under 8.5, I think, of the Charter, we have to go to Council to get approval for special counsel. There is a special fund within our budget that is a line item for special counsel. Council Chair Rapozo: Right. Mr. Trask: So the utilization of moneys within departments can be moved around without Council approval, but between departments, you have to come here for a money bill to move the money. Council Chair Rapozo: Yes. Mr. Trask: Because this is a special fund, it is my opinion conservatively that that is not administration; that is special counsel fund. There is another fund for special counsel for all cases and the only thing is, because like was said earlier, this body is the policy-making body and controls the purse strings. When questions of those kind of accounting come to me, I tend to be conservative. Ultimately, accounting may differ, but I do not feel comfortable in looking at an audit of that kind of use of those moneys. I would just rather come here and it seems more clean to me...I am not an accounting guy, but I would ask you for a money bill for the special counsel fund because that is what that fund is for, because it will be special counsel under special counsel contract. Council Chair Rapozo: Right, but if in fact, these acquisition of land costs would include the hiring of special counsel, like your appraisal—it is from one professional service to another. Mr. Trask: Well, I would say that appraisal is necessary to acquire the money. It is part of the administration...a position is necessary because it is support for the Commission. Attorney hiring special counsel is not necessary for acquisition. The Office of the County Attorney can do that... Council Chair Rapozo: It is in a condemnation. COUNCIL MEETING 98 AUGUST 9, 2017 Mr. Trask: I am saying special counsel, buying special counsel services is not essential. What I am saying right now is that you do not have enough muscle to do it in-house now, so you have to go special counsel. Council Chair Rapozo: Right. Mr. Trask: But that is not "normal administration" for the Open Space Fund. You have to get special counsel every time you go to condemnation. We could have otherwise done this if we did not have everything else we need to do this year is what I am saying. Council Chair Rapozo: Understood. Question? Councilmember Yukimura: In the expenditure of the moneys for the Sheehan property, we did not spend four hundred thousand dollars ($400,000) in one (1) year...or three hundred thousand dollars ($300,000), which is what you said was the amount. We would not need whatever we think it costs in totality necessarily in the first year. Mr. Trask: I cannot tell you how long this litigation would take. Councilmember Yukimura: Of course. Mr. Trask: Condemnation litigation can take priority, so it could be within one fiscal year, definitely. Councilmember Yukimura: I would like to request the records, in terms of time sequencing of the expenditure of the moneys for the Sheehan property. Mr. Trask: It was over the course of many years. I can tell you that right now. Councilmember Yukimura: Yes, I would like to still get it anyway. Mr. Trask: That is fine. Councilmember Yukimura: Thank you. Council Chair Rapozo: Any other questions? If not, thank you. I will call the meeting back to order. There being no objections, the meeting was called back to order, and proceeded as follows: COUNCIL MEETING 99 AUGUST 9, 2017 Councilmember Yukimura: Chair, I just have a process question. To move ahead on this, we would schedule a public hearing on September 6, because that is a requirement of the process? Is it not? Council Chair Rapozo: It is not required. Councilmember Yukimura: It is not required? Council Chair Rapozo: We already had the public hearing. Councilmember Yukimura: Yes, we had a public hearing already. So today, we could move forward and approve the Resolution? Council Chair Rapozo: Yes, we could. That is the motion that is on the floor right now. Councilmember Yukimura: Right. So we could do that, and then I presume the County Attorney will then come to us to request special counsel and we then need to fund an initial amount. Council Chair Rapozo: I think before that it would get the veto. Councilmember Yukimura: That is true. Council Chair Rapozo: But that is something that...we talked about it...it takes five (5) votes to override the veto. Councilmember Yukimura was speaking and it struck me when she said that all the private owners have to do is put up a fight, and then we are going to basically look away and say that we are not going to push for that property because it is going to cost us money. That actually struck me when she said it. That fund has a lot of money and I still question whether or not we can use...this is no disrespect to the attorney, but I would ask that we definitely do a thorough opinion on that one. I think that when the people voted for that fund in the Charter that that fund was to include all expenses to acquire the property, whatever the cost would be, whether it is an attorney or an appraiser or whatever. The other thing that troubles me today from the hearings we have had in the past is today it was all about the money and it was not about the difficulty of the path. It was just about the money and that kind of frustrates me as well, because when we look at the appraisal, and I do not know if it is confidential or what, but I will just say that it is less than two hundred thousand dollars ($200,000), which I think is...when you look at the fund balance in that account...I will not say...it is less than two hundred thousand dollars ($200,000). For the legal fees, I guess that is up for debate on how much it is going to cost. Is that landowner willing to go to war and spend a lot of money on a part of his property that is already a drainage easement? I would COUNCIL MEETING 100 AUGUST 9, 2017 like to hear more discussion from all of you, but I am beginning to feel like I want to get this over with and move forward and deal with the veto if that comes up. I am curious as to how the rest of you feel. Councilmember Yukimura. Councilmember Yukimura: Chair, I agree with you in terms of the possibility of using the Open Space moneys for special counsel. I would like a real thorough examination of that, because I think in this case, special counsel is necessary in order to get to the acquisition and should come under the definition in the Charter. I do not think that we will need the full amount in this fiscal year. So as we have done, we always do an estimate and then we provide it in increments as we get bills to pay. First of all, thank you to Tessie, Joseph, Tina, and Teddy for being really clear what this is about, and it is moving ahead to acquire a public access that has been used for generations. To put vacation renters over local fishermen just makes no sense at all. I am hoping the Mayor will see the light and support this and I am really quite disappointed in the Planning Department. But I think that the decision is to be made by the Council and I think we need to stand with the people of this island, and especially of the south shore. I, myself used to go to Po`ipu Beach Park every Sunday; that was our family place to go and there were hardly any people there. Times have changed and I recognize that, but it is also our job to provide for the future. Everybody says in the campaign that public access is important, so it is time to show the action that backs up those words. Council Chair Rapozo: Anyone else? Councilmember Chock. Councilmember Chock: I think the thing that gets me is what Teddy talks about in terms of principle. I have a hard time swallowing...I know money is the issue that we are making a decision on, but I cannot get over that part of how we cannot get access to the smallest things that make Kaua`i what it really truly is and makes it special. Those are things that I think are worth fighting for. Based on everything that I heard today, I will support moving on this, regardless of the cost. Initially, I looked at this thing and one million dollars ($1,000,000) was just unfathomable and I am feeling much better with the appraisal. It is still pretty up there, but is worth fighting for and I think the precedent that it sets by us not moving on it is something worth considering, as previously spoken about. This Council...well, maybe not this Council...but our County Council has put money into people's pocket through the litigation process and not have gotten anything in the past. At least for this, the whole community will get something for it and I think that is something to consider as well. If the decision needs to be made today, I am a "yes." Council Chair Rapozo: Anyone else? Councilmember Brun, Councilmember Brun: For me, talking to Mauna Kea here, trying to figure out what is going on—I think the first initial estimate we had of one million dollars ($1,000,000)was kind of high. In listening to testimony, I know it is important COUNCIL MEETING 101 AUGUST 9, 2017 for the residents down there in Koloa. I do not fish or hunt and I would probably never use that access anyways, but for those of you who come from that side, I respect your thoughts. I will be supporting this today. Thank you. Council Chair Rapozo: Anyone else? Councilmember Kaneshiro. Councilmember Kaneshiro: I have a process question. So if it is approved today, there will be no public hearing? It is just approved? Council Chair Rapozo: Yes, then it will go across for the Mayor's signature. I do not know what he will do, I guess it is depending on the number of votes. Councilmember Kaneshiro: Okay. Council Chair Rapozo: Councilmember Kagawa is excused because he does have a memorandum, I think excused until 2:30 p.m., but we are going to go ahead and move forward. Councilmember Kaneshiro: For me, I am torn on it. Especially being from Koloa, I am even more torn on it. I think when this issue came up the first time, we had a lot of testimony on both sides and there were a lot on both sides from Koloa. This time, we have not really heard much on it. I think we have a closer cost, but I am not that comfortable as far as hearing from the public on it. I would have loved to have heard another crack at it from everyone because I know that when it was on the agenda the first time we had a lot of testimony on it. With that said, I am very torn on this. I guess for me, I think of it in a way that you can say, "Yes, Kukui`ula Beach is there and there is great access, and it is overrun; Po`ipu Beach is there, has public access, and is overrun." Then you have this little spot here where I am sure some fishermen still go and walk out there and we have some people that still use it. I guess I am fighting with if we allow this access, is that area going to get overrun, too, and then these folks are going to lose that type of special place that they had? I know right now people still do go there and they use it as their own private area and fishermen can go there, but I am kind of torn. I guess I did not hear enough testimony from fishermen that fish there or have fished there, as far as them not being able to access it at all. What if there is people on that beach all of the time when they want to go fishing there? I am kind of under the impression of not voting for it right now, just because I have not heard...I know that there was a lot of people that testified against it earlier based on the cost and we just have not heard much this time. I understand that at one point, I think it was a very important access because Kukui`ula Beach was not that great. Since then, things have changed. I see a lot of people using Kukui`ula Beach and it is easy to access. That would have been another place to go and I would love to hear more from the public on it. But of course, we are not going to have that opportunity considering the costs involved. If we could use COUNCIL MEETING 102 AUGUST 9, 2017 Open Space money for it, I would probably be more in favor of it. Again, at this time right now, I do not know if I am comfortable voting on it. Council Chair Rapozo: Anyone else? Councilmember Yukimura. Councilmember Yukimura: I think Councilmember Kaneshiro raises some key questions with respect to public access, because it is a double-edged sword and it can get overcrowded very quickly. I do not think that can be the reason to not do it, especially if the main people who have access to it are going to be visitors, rather than people who live on this island. I personally would prefer that we not publicize it as a "public access," if possible, and maybe we need to explore because it is not an issue just for this thing, but it is about public access management and how we could do that. The other thing is that it is the question that is supposed to be addressed in the General Plan, which is what is the sustainable-level of visitors to this island? That has really not been thoroughly vetted, so because that is the real question—how many visitors can this island handle? Actually, how much population growth can this island handle as well? Those questions we hardly talk about, although we should be talking about it, and maybe we will have a chance to talk about it in the General Plan, as well as understanding those reservations and it would get even more complex if there were major natural habitats in the area. I think the way is not to just back down, but to actually face it as a management issue and try to figure out how to handle it. (Councilmember Kagawa was noted as present.) Council Chair Rapozo: Thank you. Anyone else? Councilmember Kane shiro. Councilmember Kaneshiro: Again, to make my position clear, which I know I am wavering on, but again, it is exactly a double-edged sword. I hunt, but I do not fish that much. Everybody has picked maile and mokihana and I think when you have that special place, you try not to go and make a big trail and show everybody where it is and then everybody goes there. That is what I am fighting with right now. If we open this place up, are the fishermen really going to get the access and what they want? For me, as a hunter in my experience, I would say that I would rather not have the access so that it is harder for people to get to and when I want to go there, it is probably going to not have people there. So that is my position on it for this particular access. This is not for all of the access, but for this particular access, that is my stance on it. Council Chair Rapozo: Thank you. Councilmember Brun. Councilmember Brun: Chair, I have a question. So the motion was to just straight-out approve it or was it to be scheduled for a public hearing? COUNCIL MEETING 103 AUGUST 9, 2017 Council Chair Rapozo: No, to approve. Councilmember Brun: Straight-out approve? Okay. Thank you. Council Chair Rapozo: We have had numerous opportunities to testify. We have had public hearings and we have had petitions submitted. But the bottom line is that this is one of those issues that are split down the middle and it is one of those issues that you just have to make the call. If we have another public hearing, I do not believe the results would be any different than we have had. It is just that we have had a lot of discussion on this matter. Anyone else want to have discussion before we call for the vote? I still cannot count, so I do not know where this thing is going to go, but I will say that last night at our community meeting in Hanalei, it dawned on me that we are losing this island and maybe it changed me a little bit last night when I heard our federal leaders, our federal departments, just "writing off our cultural assets" is what I called it last night, just "whatever." The Hanalei lookout is a gem, a landmark for this island and for this State really, and for them, it was just a lookout. The taro farmers in the valley were just farmers. They were not halo farmers or were not here before the Fish and Wildlife Service came. To them, it was just, "Sorry." What I got out of it was, "You are just an inconvenience for us and you are in the way of our birds." That is what I got out of it last night. What is even more troubling is that some of the audience agreed with that. Some of the audience had no connection to these places; none, zero. It was just a tangible item that sat there, that it was okay if we lost it. Then I look at this and listening to Tessie and Tina and just thinking, "No, it is not okay," because if we are going to use cost as the reason, and I think Councilmember Yukimura made this perfectly clear, we will never get back the accesses that we have lost. That is what this is; this is an access that we have lost. As long as we can conveniently find the excuse of money, forget it; we are not going to get it back. I think Councilmember Chock talked about the principle of this, that this is a drainage easement and that landowner has absolutely no use for. They cannot do anything on a drainage easement. Maybe it will impact his privacy. I read all of the testimonies and petitions and I was quite surprised at how many people actually still use that beach and that area for fishing and diving. I do not know...I have not fished for a long time...I probably will never use that access, like Councilmember Brun. But I know that if we do not stand firm on our "cultural assets," is what I will call them, then the cost of our inaction today is going to be much greater than the cost of this acquisition. That is how I feel today. I think last night played a big role because I was not prepared to support this today. I will be honest with you. I was not going to support this today, but I am really getting the feeling...it is not a fun feeling...it is a very frustrating feeling that we are just being run over and I think it is time that enough is enough. Again, the appraisal came back a lot less than I thought it would, so I do not think cost is the issue. I think this is one access that aside from the cost is a "low-hanging fruit" that we need to go and get, so I will be supporting this today. With that, roll call. COUNCIL MEETING 104 AUGUST 9, 2017 The motion for adoption of Resolution No. 2016-60 was then put, and carried by the following vote: FOR ADOPTION: Brun, Chock, Kagawa, Kawakami, Yukimura, Rapozo TOTAL — 6, AGAINST ADOPTION: Kaneshiro TOTAL — 1, EXCUSED & NOT VOTING: None TOTAL— 0, RECUSED & NOT VOTING: None TOTAL— 0. SCOTT K. SATO, Deputy County Clerk: Six (6) ayes. Council Chair Rapozo: Thank you. Next item, please. Mr. Sato: The next item is on the middle of page 5, Resolution No. 2017-40. Resolution No. 2017-40 - RESOLUTION CONFIRMING MAYORAL APPOINTMENT TO THE CHARTER REVIEW COMMISSION(Virginia M. Kapali): Councilmember Kagawa moved for adoption of Resolution No. 2017-40, seconded by Councilmember Yukimura. Council Chair Rapozo: Any discussion or public testimony? There being no objections, the rules were suspended to take public testimony. There being no one present to provide testimony, the meeting was called back to order, and proceeded as follows: The motion for adoption of Resolution No. 2017-40 was then put, and carried by the following vote: FOR ADOPTION: Brun, Chock, Kagawa, Kaneshiro, Kawakami, Yukimura, Rapozo TOTAL — 7, AGAINST ADOPTION: None TOTAL — 0, EXCUSED & NOT VOTING: None TOTAL — 0, RECUSED & NOT VOTING: None TOTAL — 0. Mr. Sato: Seven (7) ayes. Council Chair Rapozo: Next item, please. COUNCIL MEETING 105 AUGUST 9, 2017 Resolution No. 2017-41 - RESOLUTION CONFIRMING MAYORAL APPOINTMENT TO THE CHARTER REVIEW COMMISSION (Galen T. Nakamura): Councilmember Yukimura moved for adoption of Resolution No. 2017-41, seconded by Councilmember Brun. Council Chair Rapozo: Any discussion or public testimony? Councilmember Kagawa: Yes. I just want to say that I am very elated with the two (2) Charter Review Commission appointments. I was kind of worried that we just were filling it with willing and able bodies, but the Charter Review Commission, with a new election coming up, is a new opportunity for charter amendments to appear on the ballot. I am very happy with Gini and Galen being on this commission at this time. Thank you. Council Chair Rapozo: Thank you, Councilmember Kagawa. I think you speak for all of us. Any further discussion? Roll call? The motion for adoption of Resolution No. 2017-41 was then put, and carried by the following vote: FOR ADOPTION: Brun, Chock, Kagawa, Kaneshiro, Kawakami, Yukimura, Rapozo TOTAL — 7, AGAINST ADOPTION: None TOTAL — 0, EXCUSED & NOT VOTING: None TOTAL — 0, RECUSED & NOT VOTING: None TOTAL — 0. Mr. Sato: Seven (7) ayes. Council Chair Rapozo: Next item, please. Resolution No. 2017-42 - RESOLUTION CONFIRMING MAYORAL APPOINTMENT TO THE FIRE COMMISSION (Alfred Levinthol): Councilmember Yukimura moved for adoption of Resolution No. 2017-42, seconded by Councilmember Brun. Council Chair Rapozo: Any discussion or public testimony? There being no objections, the rules were suspended to take public testimony. There being no one present to provide testimony, the meeting was called back to order, and proceeded as follows: The motion for adoption of Resolution No. 2017-42 was then put, and carried by the following vote: COUNCIL MEETING 106 AUGUST 9, 2017 FOR ADOPTION: Brun, Chock, Kagawa, Kaneshiro, Kawakami, Yukimura, Rapozo TOTAL — 7, AGAINST ADOPTION: None TOTAL — 0, EXCUSED & NOT VOTING: None TOTAL — 0, RECUSED & NOT VOTING: None TOTAL — 0. Mr. Sato: Seven (7) ayes. Council Chair Rapozo: Thank you. Next item. BILL FOR FIRST READING: Proposed Draft Bill (No. 2661) — A BILL FOR AN ORDINANCE TO AMEND CHAPTER 16 OF THE KAUAI COUNTY CODE 1987, AS AMENDED, RELATING TO THE TRAFFIC CODE: Councilmember Kagawa moved for passage of Proposed Draft Bill (No. 2661) on first reading, that it be ordered to print, that a public hearing thereon be scheduled for September 6, 2017, and referred to the Public Works /Parks & Recreation Committee, seconded by Councilmember Kaneshiro. Council Chair Rapozo: Any discussion or public testimony? Councilmember Kagawa: Yes. Council Chair Rapozo: Go ahead. Councilmember Kagawa: I want to just thank you, Chair, for doing the initiative of hearing a concern from the State. The buses are struggling right now with our public school system statewide. What we need when we grapple with difficult problems is efficiency, and if the head of the Department of Education bus service has told you that this is a way to make it more efficient, I thank you for proposing this change. We certainly do not need to have bus problems amongst other problems that we have on the island. Thank you, Chair. Council Chair Rapozo: Thank you. Councilmember Yukimura. Councilmember Yukimura: I, too, want to thank you, Chair and Councilmember Brun, who was involved apparently, because this does seem to be an effort to increase efficiency without sacrificing safety or any of those considerations. It is a good move and we still of course have to have a public hearing, but thank you for the initiative in introducing this Bill. Council Chair Rapozo: Thank you. I would love to take all of the credit, but I was the back-up, second string. Councilmember Brun went to meet with COUNCIL MEETING 107 AUGUST 9, 2017 the person and he was unavailable, so I was trailing in the back and he called me to see if I could meet with the person. The State person made it very clear and he said that he has been trying to do this for a long time with the County. Of course, I called our staff and asked if they could do some research and this was the solution. Sometimes things work in government and this is one of them. Thank you for the accolades, but Councilmember Brun was the one who made the connection. With that, roll call. The motion for passage of Proposed Draft Bill (No. 2661) on first reading, that it be ordered to print, that a public hearing thereon be scheduled for September 6, 2017, and referred to the Public Works / Parks & Recreation Committee was then put, and carried by the following vote: FOR PASSAGE: Brun, Chock, Kagawa, Kaneshiro, Kawakami, Yukimura, Rapozo TOTAL— 7, AGAINST PASSAGE: None TOTAL— 0, EXCUSED & NOT VOTING: None TOTAL— 0, RECUSED & NOT VOTING: None TOTAL — 0. Mr. Sato: Seven (7) ayes. Council Chair Rapozo: Thank you. Next item, please. BILLS FOR SECOND READING: Bill No. 2658, Draft 1 — A BILL FOR AN ORDINANCE AMENDING CHAPTER 5A, ARTICLE 11 AND 11A, KAUAI COUNTY CODE 1987, AS AMENDED, RELATING TO REAL PROPERTY TAX: Councilmember Yukimura moved to approve Bill No. 2658, Draft 1, on second and final reading, and that it be transmitted to the Mayor for his approval, seconded by Councilmember Brun. Council Chair Rapozo: Any discussion or public testimony? There being no objections, the rules were suspended to take public testimony. There being no one present to provide testimony, the meeting was called back to order, and proceeded as follows: Council Chair Rapozo: Seeing none, roll call. The motion to approve Bill No. 2658, Draft 1, on second and final reading, and that it be transmitted to the Mayor for his approval was then put, and carried by the following vote: COUNCIL MEETING 108 AUGUST 9, 2017 FOR APPROVAL: Brun, Chock, Kagawa, Kaneshiro, Kawakami, Yukimura, Rapozo TOTAL — 7, AGAINST APPROVAL: None TOTAL — 0, EXCUSED & NOT VOTING: None TOTAL — 0, RECUSED & NOT VOTING: None TOTAL — 0. Mr. Sato: Seven (7) ayes. Council Chair Rapozo: Last item. Bill No. 2659, Draft 1 — A BILL FOR AN ORDINANCE AMENDING CHAPTER 5A, SECTION 5A-11A.1, KAUAI COUNTY CODE 1987, AS AMENDED, RELATING TO THE BENEFICIAL TAX RATE FOR PROPERTY USED FOR LONG-TERM AFFORDABLE RENTAL: Councilmember Yukimura moved to approve Bill No. 2659, Draft 1, on second and final reading, and that it be transmitted to the Mayor for his approval, seconded by Councilmember Brun. Council Chair Rapozo: Discussion? Councilmember Yukimura. Councilmember Yukimura: Between the Committee Meeting last week, and this meeting, I got a call from Marsha Ota, who is a landlord, inquiring about what the rates were going to be for this coming 2018. That caused Legislative Analyst Yvette Sahut and I to take a look at the language and we realized that what we passed out of committee was not really what I think all intended that for this coming year it be set by the midpoint and all the things we did. Instead, it tied it to the established 2015 rental limit and we wanted the 2015 to be a floor, but we wanted the rents to be able to go up based on the ninety percent (90%). Thank you to Yvette who found that. We developed an amendment to reflect what I think we all wanted and intended for the 2018 to be set at the ninety percent (90%), which we define as the midpoint. We went over that during the last meeting. It does not change anything or the consensus from the Committee Meeting; it just makes the words align with our intention. Councilmember Yukimura moved to amend Bill No. 2659, Draft 1, as circulated, and as shown in the Floor Amendment, which is attached hereto as Attachment 1, seconded by Councilmember Brun. Council Chair Rapozo: Any further discussion on the amendment? Councilmember Kaneshiro. Councilmember Kaneshiro: Did you say that the Administration was okay with it? Councilmember Yukimura: Yes. Thank you for asking. We even passed it by Steve and he assisted us, as he always does. Do you need to say anything? COUNCIL MEETING 109 AUGUST 9, 2017 Council Chair Rapozo: This is really a housekeeping measure. I appreciate staff and Councilmember Yukimura for catching it and fixing it. Councilmember Yukimura: Yes, because it would have been a problem if it had passed. Council Chair Rapozo: Yes. With that, any other discussion? The motion to amend Bill No. 2659, Draft 1, as circulated, and as shown in the Floor Amendment, which is attached hereto as Attachment 1 was then put, and unanimously carried. Council Chair Rapozo: We are back to the main motion. Any public testimony? I will suspend the rules. There being no objections, the rules were suspended. Ms. Sakamoto: Good afternoon Chair Rapozo, Vice Chair Kagawa, and Councilmembers. My name is Tina Sakamoto. I have good news and not so good news. First, the good news. It finally appears that after much discussion, this Bill, Bill No. 2659, Draft 1, is finally moving towards a plan to promote the County's affordable housing program in partnership with participating landowners. The Bill will be reviewed, monitored, and evaluated next year, especially in the light of HUD's change in methodology, and timing and release of the fair market rents. Now, the not so good news. I would like to share an incident with you. During a caption break at last week's public hearing regarding this Bill, I was uninvitingly approached by an upper-level County administrator, just outside the door here. This person showed me a list of properties, made statements about my taxes, and asked some personal information. It was completely uncalled for, totally inappropriate actions. Why was I singled out? Was this an attempt to intimidate me? Was it an attempt to interfere with my testimony? A public hearing is an official way for an individual to participate in this legislative process and to be heard in a non- confrontational, non-threatening environment. While our opinions may differ, our common goal should be to reach a solution for the betterment of Kaua`i. Thank you. Council Chair Rapozo: Thank you. Anyone else? If not, I will call the meeting back to order. Go ahead. There being no further testimony, the meeting was called back to order, and proceeded as follows: Councilmember Yukimura: I planned this before today, but I want to really acknowledge Tina Sakamoto for her fearless and unceasing effort to get a COUNCIL MEETING 110 AUGUST 9, 2017 solution to this problem of inversion and rates that was being problematic for our goals. It has been a very delicate balancing act, but it is through the dialogue that Tina just described, the kind of dialogue at a public hearing where citizens are able to come forward, express their concerns, propose their ideas, and have the Administration and the Council review it, and go through the dialogue here with other public comments, etcetera. Tina really deserves credit for the Bill that is before us today, and I know that it is not perfect in her eyes, but it is better, and we are going to monitor it and see how things work. I think we owe Tina a lot and I apologize for...I am not exactly familiar with what happened, but if she was in any way intimidated or was the subject of some negative response then that does not sound really appreciative of what she has done for us. I am hoping that we can have the kind of dialogue that she described in terms of our citizens, Council, and Administration all working together to come to solutions that work for this community. Council Chair Rapozo: Councilmember Kagawa. Councilmember Kagawa: I just want to thank Tina, and there was Kako before. When this first came up four (4) years ago, it came up because the qualifications for getting the affordable housing tax break was that your rent would have to decrease in comparison to the prior year, and four (4) years ago, we just heard that and said, "Wow, that does not make sense." That is why the work had begun because we had the potential of people dropping out. It is a program meant to basically provide for renters an opportunity to save some real property taxes and not burden the renters with the higher tax rates and keep it basically as a rental home for a long-term rental, basically our local people of Kaua`i that work here that do not own a home and would like their own privacy and cannot afford to buy at the present time. I think just balancing that is basically a Council act, and thanks to people like her, who are willing to try and improve things on Kaua`i—I think we should be appreciative of that. Many times, we have legislation that is not done or is done and then in hindsight, a lot of the local people, because of their nature, will say, "Wow, that was not a good move, we should have done this." But a lot of times, they tend to just stay in the background and rely on us just making the decisions when we do not have all of the general feeling of the local community. It is difficult at times to not have that participation that we really need in order to get the best decisions. Thank you, Tina, for all you have done, also Kako, and all of the good work that came about four (4) years ago that we have continued to go about. This year, while I had hoped for a little more aggressive approach the first time, I do agree that it could, on the backend, hurt our main intent to help the eighty (80) year olds and below. Therefore, I am willing to support this measure, and hopefully, with the feedback that we get based on participation numbers, see if that needs adjustment or not. Hopefully, we can get information like, "What are the average rents under the program now that we change it to ninety percent (90%)?" That kind of information would be helpful. I do not know if, by privacy, we are allowed to receive all of that actual information. COUNCIL MEETING 111 AUGUST 9, 2017 But certainly at some point, it is always good to see the results of our amendments of our changes and see whether it needs tweaking in order to make things even better. We are just trying to attack the affordable housing problem. We all feel here that that is one of the main objectives of our role here on the Council table. But by not doing anything, we are not helping the problem, and by doing something like this, I believe we are taking a proactive step. Thank you, Chair. Council Chair Rapozo: Councilmember Kawakami. Councilmember Kagawa: Thank you, Mr. Chair. To the amendment, I fully support the amendment and thank you for catching this housekeeping item so that we can bring some clarity, which is what we asked for at the beginning of this measure. To the advocates, the Sakamoto's and everybody else that came before us, we really look to the public, especially these folks that specialize on these particular items as resources and we depend on those resources to give us information. A lot of the information that we get is through the public process, like these Council meetings and these public hearings, and we try to be as welcoming as possible. I would just like to remind all of us that these seats that we occupy are the people's seats. We do not own these seats. The people put us here; they own these seats. We are just the voice that carries their wishes. From the Administration's standpoint, we are all public servants. We are paid by taxpayers. So I am not going to make any assumptions on the intent of what was said, but I would just like to remind ourselves that in this day and age, civility goes a long way and that we should constantly remind ourselves that this is the people's Council and this is the people's government and we are here to be public servants. So with that being said, I would like to reiterate that we welcome all people to provide testimony and we would like to create an environment which is safe and where people feel that they can express their opinions, whether it is positive or negative. Thank you, Mr. Chairman. Council Chair Rapozo: Thank you. Any other discussion before we move to take the vote? If not, I would like to thank you, Tina. I think much has been said already, but I will also echo the appreciation we have had. Councilmember Kagawa and I started this process a while back with Tina and she has done...I do not know how many hours you have put in this, but I know it is a lot more than I have and I a lot more than I believe some of the people in the Administration have as far as this specific issue. I thank you for doing that work for us. It is so much easier for us on the Council—and I will speak for myself, but I think I speak for everyone—but when we look at the charts and we look at the background data, when we look at everything when it is so nicely placed, it is so much easier for us and our staff to put legislation together with facts that back-up the measures. Thank you for doing that. I am troubled and we are sorry that you had to go through what you went through last week. It troubles me because we try to encourage people to come and testify and Councilmember Kawakami hit it on the spot that we all are public servants. I do not know what is being done about what happened to you, but I am going to ask that one COUNCIL MEETING 112 AUGUST 9, 2017 of our staff members see you before you leave today, because I will follow-up to make sure that something at least gets investigated. If anything inappropriate occurred that something happened...that is completely unacceptable for anyone that comes on that side of the aisle. We get it and we choose this career, this job, and with that comes the criticism from the public, but you do not. You are a member of the public, like everyone else that comes and testifies and there should be some sort of protection that surrounds you in and out of this building. For an administrator, a Councilmember, or anyone to go up and treat a member of the public that way is just not acceptable in my book. I will ask that we follow through. Steve is here today, so I am sure that he is hearing all of this as well. I am not sure if he is aware, he was not here last week, so we know it is not Steve. It is just unacceptable. There is so much going on in my head right now, but I will just leave it at that. It is unacceptable and it needs to be addressed. I will say that if you get bothered by this person again, you call the police, because that is harassment. This is a public place. You come here, you testify, and you say what you want to. No one deserves to be harassed. If it happens again, my advice to you is to just call the police. Again, that is just unacceptable. Councilmember Yukimura. Councilmember Yukimura: In addition to thanking Tina, I do want to thank you, who introduced the Bill, and Vice Chair, who has also been working on this, but you put it forward and it really forced us to look for the solution. I appreciate that and I also want to thank Steve Hunt, who has been very cooperative and helpful in the technicalities of this and also helping us assess the impacts. It has been a collective effort and hopefully the beneficiary is the public, the landlords, and the renters, and hopefully we are charting the middle course that is going to be positive for both. Thank you. Council Chair Rapozo: Thank you. My first draft was a disaster waiting to happen, so it was really Steve, the Department of Finance, Tina folks, and everybody. I think this will work and we will see what happens. With that, roll call. The motion to approve Bill No. 2659, Draft 1, as amended, to Bill No. 2659, Draft 2, on second and final reading, and that it be transmitted to the Mayor for his approval was then put, and carried by the following vote: FOR APPROVAL: Brun, Chock, Kagawa, Kaneshiro, Kawakami, Yukimura, Rapozo TOTAL— 7, AGAINST APPROVAL: None TOTAL— 0, EXCUSED & NOT VOTING: None TOTAL— 0, RECUSED & NOT VOTING: None TOTAL— 0. Mr. Sato: Seven (7) ayes. COUNCIL MEETING 113 AUGUST 9, 2017 Council Chair Rapozo: With that being the last item, this meeting is adjourned. ADJOURNMENT. There being no further business, the Council Meeting adjourned at 3:01 p.m. Respectfully submitted, SCOTT K. SATO Deputy County Clerk :ct ATTACHMENT 1 (August 9, 2017) FLOOR AMENDMENT Bill No. 2659, Draft 1 Relating To A Bill For An Ordinance Amending Chapter 5A, Section 5A-11A.1, Kaua`i County Code 1987, As Amended, Relating To The Beneficial Tax Rate For Property Used For Long-Term Affordable Rental Introduced By: JOANN A. YUKIMURA Amend Bill No. 2659, Draft 1, in its entirety to read as follows: "BE IT ORDAINED BY THE COUNCIL OF THE COUNTY OF KAUAI, STATE OF HAWAII: SECTION 1. Chapter 5A, Kaua`i County Code 1987, as amended, is hereby amended by amending Section 5A-11A.1 to read as follows: "Sec. 5A-11A.1 Beneficial Tax Rate for Property Used for Long-Term Affordable Rental. (a) Definitions. As used in this Section: "Dwelling" means a building or portion thereof designed or used exclusively for residential occupancy and having all necessary facilities for permanent residency such as living, sleeping, cooking, eating and sanitation. "Long-term affordable rental" means a dwelling subject to a written lease agreement with a term of one (1) year or more and at a monthly rent not to exceed the maximum housing cost based on [eighty percent (80%) of the Kaua`i median household income as set forth in the Kaua`i County Housing Agency Affordable Rental Housing Guideline] the long-term affordable rental limit for the year in which the owner files his or her application. "Long-term affordable rental limit" means the midpoint of the maximum rental limits for each unit type using between eighty percent (80%) and one hundred percent (100%) of the Kaua`i median household income as defined by the Kaua`i County Housing Agency Rental Housing Guidelines. (b) Any owner who owns real property that is rented or leased as a long-term affordable rental shall receive the homestead tax rate as provided in Sec. 5A-6.4 provided that all dwellings on the property are long-term affordable rentals or owner-occupied. (c) The owner may apply for the beneficial tax rate on a single year or multi-year basis. An owner with a multi-year written lease agreement may apply to receive the beneficial tax rate for each year that the lease agreement is in effect up to a maximum of three (3) years, provided that rent in each year of the lease does not exceed the long term affordable rental limits at the time of application. For each subsequent year of the multi-year lease, the owner shall file by September 30th, an annual affidavit confirming the unit(s) is still being rented at the specified rent level in accordance with the multi-year lease agreement. At the expiration of the multi-year beneficial tax period, the owner may file a new application to receive the ATTACHMENT 1 beneficial tax rate as long as the property adheres to the long term affordable rental requirements at the time of the new application. (d) The owner shall file his or her application annually in a form prescribed by the Director of Finance by September 30th prior to the fiscal year beginning July 1st for the beneficial tax rate. The owner shall notify the Director of Finance within thirty (30) calendar days if the property is no longer being rented or leased as a long-term affordable rental due to the sale of the property or conversion to short-term rental. Should there be a change in the use as a long-term affordable rental, the beneficial tax rate shall be automatically revoked and all differences in the amount of taxes that should be due for the remainder of the tax year without the beneficial tax rate shall become due and payable. (e) For the [2017] 2018 tax year, any owner who owns real property that is rented or leased as a long-term affordable rental may apply for the beneficial tax rate for Long Term Affordable Rental provided that the monthly rent amount stated in their written lease agreement [is at or below the rates established by the Kaua`i County Housing Agency Affordable Rental Housing Guideline for the 2015 tax year. The owner shall file an application with the Department of Finance, Real Property Tax Assessment Division by September 30, 2016.] does not exceed the most current long-term affordable rental limit established by the Department of Finance, Real Property Tax Assessment Division or the previously established 2015 rental limit, whichever is higher. The owner shall file an application with the Department of Finance, Real Property Tax Assessment Division by September 30, 2017. Hereafter, the long-term affordable rental limit shall be determined by the Department of Finance, Real Property Tax Assessment Division by October 1st using the most current Kaua`i County Housing Agency Affordable Rental Housing Guidelines, provided that the 2015 tax year rates shall be set as the minimum floor for the County's Long-Term Affordable Rental Program. (f) The Director may adopt rules and prescribe forms." SECTION 2. If any provision of this Ordinance or the application thereof to any person, persons, or circumstances is held invalid, the invalidity does not affect the other provisions or applications of this Ordinance which can be given effect without the invalid provision or application, and to this end, the provisions of this Ordinance are severable. SECTION 3. Ordinance material to be repeal is bracketed. New Ordinance material is underscored. When revising, compiling, or printing this Ordinance for inclusion in the Kaua`i County Code 1987, as amended, the brackets, bracketed material, and underscoring shall not be included. SECTION 4. This Ordinance shall take effect upon approval." (Material to be deleted is bracketed. New material is underscored.) V:\AMENDMENTS\2017\08-9-2017 Bill No. 2659 Long Term Affordable YS_ct.doc