HomeMy WebLinkAbout06_01_2022 Council minutesCOUNCIL MEETING
JUNE 1, 2022
The Council Meeting of the Council of the County of Kaua`i was called to order
by Council Chair Arryl Kaneshiro at the Council Chambers, 4396 Rice Street,
Suite 201, Lihu`e, Kaua`i, on Wednesday, June 1, 2022, at 8:35 a.m., after which the
following Members answered the call of the roll:
Honorable Bernard P. Carvalho, Jr.
Honorable Mason K. Chock
Honorable Felicia Cowden
Honorable Bill DeCosta
Honorable Luke A. Evslin
Honorable KipuKai Kuali`i
Honorable Arryl Kaneshiro
APPROVAL OF AGENDA.
Councilmember Kuali`i moved for approval of the agenda, as circulated,
seconded by Councilmember Chock.
Council Chair Kaneshiro: We received no written testimony. Is there
anyone in the audience or on Zoom wishing to testify?
There being no one present to provide testimony, the meeting proceeded as
follows:
Council Chair Kaneshiro: None. Are there any questions or discussion
on this item from the Members?
The motion for approval of the agenda, as circulated, was then put, and
unanimously carried.
Council Chair Kaneshiro: The motion is carried. Next item.
MINUTES of the following meetings of the Council:
May 13, 2022 Special Council Meeting
May 18, 2022 Council Meeting
May 18, 2022 Public Hearings re: Bill No. 2854 and Bill No. 2855
May 25, 2022 Public Hearing re: C 2022-101
Councilmember Kuali`i moved to approve the Minutes, as circulated, seconded
by Councilmember Cowden.
COUNCIL MEETING 2 JUNE 1, 2022
Council Chair Kaneshiro: We received no written testimony on this
item. Is there anyone in the audience or on Zoom wishing to testify?
There being no one present to provide testimony, the meeting proceeded as
follows:
Council Chair Kaneshiro: None. Are there any questions or discussion
on this item from the Members?
The motion for approval of the minutes, as circulated, was then put, and
unanimously carried.
Council Chair Kaneshiro: The motion is carried. Next item.
INTERVIEWS:
BOARD OF WATER SUPPLY:
Tom Shigemoto —Term ending 12/31/2024
Council Chair Kaneshiro: Ellen, I will give you the floor.
ELLEN CHING, Boards & Commissions Administrator (via remote technology):
Good morning. I am pleased to introduce Tom Shigemoto. Born and raised on Kaua`i,
Tom attended Elsie H. Wilcox Elementary School and Kaua`i High School before
leaving for University of Hawai`i (UH) at Manoa to earn a Bachelor's of Fine Arts in
Urban and Regional Design. After a brief stint working in a private firm on O`ahu,
he jumped at the chance to return home for a position in the Planning Department,
starting as a Planner and eventually serving as the Planning Director for the last
two (2) of his eighteen and a half (181/
2) years with the County. After a year in
Princeville, Tom moved on and accepted a position with Alexander & Baldwin (A&B)
as their Vice President of Planning on Kaua`i until his retirement in 2022. Some of
you may know Tom in his professional capacity, but many others know him for his
volunteer work on the state-level as a past member of the Ni`ihau Burial Council,
board member of the Hawai`i Health Systems Corporation, which includes Samuel
Mahelona and the Kaua`i Veterans Memorial Hospitals, and on the UH Board of
Regents. Locally, he served as the Boy Scouts District Chair, the highest volunteer
position in the Boy Scouts for nine (9) years, worked on the American Red Cross
Advisory Committee for seven (7) years, the Kaua`i Chamber of Commerce for
twenty (20) years, and the Kaua`i United Way for thirty (30) years. In his retirement,
he enjoys golfing and eating his wife's barbecue teriyaki chicken. Since the
pandemic, Tom and his wife have had limited trips to visit their grandchildren in Las
Vegas and they look forward to a return trip to Japan. Tom has lived a life in service
to our community. I appreciate his willingness to share his knowledge and expertise
and I look forward to his contributions to the Board of Water Supply.
COUNCIL MEETING 3 JUNE 1, 2022
Council Chair Kaneshiro: Thank you for that introduction. Tom, do you
have anything else you would like to add?
TOM SHIGEMOTO (via remote technology): Thank you, Council Chair, but
that was information overload. It is not about me; it is about serving. I am open to
any questions that the Councilmembers might have. By the way, good morning. Also,
I would like to thank Ellen and the County for affording me the opportunity to
continue my public service, like I have been doing my whole professional career.
Thank you.
Council Chair Kaneshiro: Thank you. Do we have any questions from
the Members? Councilmember Evslin.
Councilmember Evslin: Tom, it is good to see you this morning and
thank you for your willingness to serve. In your application, you mentioned offering
new perspectives to the Department of Water (DOW) with respect to DOW rates,
rules, and regulations. I was wondering if you had any specifics. I think those are
really important things to focus on, but if you have specifics along those lines on what
you are thinking of regarding rates and rules that you could share today?
Mr. Shigemoto: Sure. My whole professional career, I have
been...I am aware, and I have worked with the Department of Water in different
capacities.When I was the Planning Director, of course, it was
government-to-government. I understand the frustrations that the staff and
members at the Department of Water have. I understand the rules and regulations.
When I stepped into the private sector, that was a different realm. We were subject
to a lot of conditions and doing unnecessary requirements that were very onerous. I
have had battles with the Department of Water before, and so I am very familiar with
the rules and regulations of the Board of Water Supply. There are some, of course,
that you have to comply with, because it involves health and safety. I guess the
biggest gripe was or is, that it takes so long to get permits through the Department
of Water. Let me share with you that a couple of months ago, I had the opportunity
to listen to Joseph Tait, the new Manager& Chief Engineer, and I was very impressed
and very happy to see that he has a plan and vision to improve these shortcomings.
That spurred me on when I was asked to serve on this Board to really lend a hand if
I can. I am certainly not going to overrule what the Department of Water has to do,
but to lend a helping hand in that realm. One more thing, I am also a ratepayer. As
you know, the Department of Water relies on money that they receive from their
customers. From that perspective, serving as a board member, as a sounding board
to the Department of Water and to the public, is where I hope I can lend some insight
or some help there.
Council Chair Kaneshiro: Councilmember Cowden.
COUNCIL MEETING 4 JUNE 1, 2022
Councilmember Cowden: Thank you, Tom, for your willingness to take
this position. It is hard to imagine someone having more depth of experience to be
able to contribute. You are an excellent candidate. I am also recognizing Joe Tait's
skillset and experience. There are a few issues that I just want to bring to your
attention. The fire flow capacity, we are seeing that there is an inadequacy on the
island relative to the standpipes. Do you have any background or experience of what
that is?
Mr. Shigemoto: Are you talking specifically about standpipes?
Councilmember Cowden: The standpipes...we are learning that those
are the tall, yellow, sort of like fire hydrants, but they do not have the same kind of
capacity. They are not a separate fire flow. We have been having fires and we are
conscious of that challenge. That is something that the Department of Water is
picking up. I feel confident that you would be able to really take that on well. I just
wondered if you were aware of the challenge.
Mr. Shigemoto: Absolutely. Standpipes served their purposes
many years ago. Due to the fact that you do not have adequate line sizes and
hydrants with adequate pressure, it creates this health and safety concern. I am sure
that the Department of Water is very aware of it. It all comes down to budgeting,
fiscal, and financial capabilities of upgrading all these systems. A lot of them, I
believe, were from the plantation camps or plantation towns. With any function, as
you know and as I know, the pressures are just not adequate. In order to provide
sufficient fire flows, you have to upgrade these systems. Again, that comes with a
cost. I have to be aware, and the Board has to be aware of where these fire prevention
devices have to be upgraded and where it can stand not to be for the time being. A
lot of the Fire Department's apparatus and trucks now have their own water tanks
and can supply the needed fire protection, but it is not enough. There are so many
remote areas that are without adequate fire protection.
Councilmember Cowden: Yes, thank you on that. What you might not
be aware of is that there are certainly valleys and areas that are remote, but we also
have houses now that are worth tens of millions of dollars that are on long, nested
driveways. They have these standpipes that are in a lot of places now. They are no
longer these very small houses that would be able to be put out with a tank. That is
one element. Another one that I wanted to bring forward...I am sure you have a lot
of experience with the changing tolerance in the community about cultural issues and
lawsuits. There are challenges where people are unhappy about the water usage.
Very much when we need an eighteen-inch (18") pipe in town here, as a developer,
you must have understandings of those challenges and then how to work
constructively with the community that is resisting the water diversions. I know that
is upland, but it still ends up in our surface water treatment plant in Lihu`e. The
question is...just to give people the confidence that you will be able to deal with
COUNCIL MEETING 5 JUNE 1, 2022
respectively open awareness to the public who have concerns about our water
management.
Mr. Shigemoto: I do know that the Department of Water is
very concerned about over usage and irresponsible usage of domestic water. When I
was with A&B, and especially with the Kukui`ula Development Company, they
requested and required, if possible, to use non-potable water for irrigation and the
company had to provide its own domestic water source, supply, and storage, which it
did. There is also a water conservation component that the Department of Water is
always aware of. I served on the Kaua`i Watershed Alliance for many years as a
representative of A&B. If you do not know what the Watershed Alliance was
responsible for, was to protect all the natural barriers and watersheds for this
particular purpose; to preserve our natural water resources. There is a very keen
awareness about over usage or irresponsible uses and how you curtail that, I am not
sure. I think it is the Board's responsibility to provide some oversight or insights to
the Department regarding this realm. It is hard to control how people use their water
and what they use their water for.
Councilmember Cowden: Thank you. One last point to bring up...I am
not sure what your science background is on wastewater management, but I certainly
know that in your A&B background you would have knowledge of wastewater
management. There are issues of contamination that are apparently surfacing in
sometimes the groundwater as it is being pulled up. There are concerns in the
community where there is a push and pull as to whether it is developer
contamination, Department of Water contamination, et cetera. I am just trying to
call it to your attention and just trying to hear a little of your mans o about bacterial
contamination in the water, at least is expressing itself very evidently in some
faucets. Where the source of that contamination is a point of conflict, can you speak
to any experience, background, or thoughts you might have in that direction?
Mr. Shigemoto: This sounds more like a State Department of
Health kuleana. I know the Department of Water has really strict standards on
chlorification and disinfection whenever new water systems are put in place. I know
they also do test on a regular basis to ensure that their domestic water supply is safe.
As far as bacteria getting into your natural aquifers, I believe that those are due, if
anything, primarily to cesspools that are prevalent on the island. As you know, and
for some that do not know, by 2050 all the cesspools have to be converted to septic
systems. I personally do not think septic systems are the answer, but not every town
or county can have treatment systems in place. Again, that is something that needs
to be addressed. How we address it, is dependent on financial capabilities and fiscal
responsibility.
Councilmember Cowden: Thank you. No more questions from me.
COUNCIL MEETING 6 JUNE 1, 2022
Council Chair Kaneshiro: Are there any other questions?
Councilmember Evslin.
Councilmember Evslin: Tom, I have one more. Sorry, I know that it
sounds like we are asking you to solve every problem that the Department of Water
has. I appreciate the dialogue here. I think we are asking because you are extremely
experienced and well-qualified. I think we all value your insights. My only other
question was, you mentioned that the length of time to get a permit through the
Department of Water is a major barrier to housing construction, which I think we all
recognize. What are your thoughts, or do you have thoughts about how we can fix
that or shorten the length of time?
Mr. Shigemoto: If I did, I would probably be the Mayor by now.
No, I really do not have solutions. The Department of Water is just one of the total
building permit process. It may be a case where they may be short-handed. I am not
sure exactly what they look at when they review plans. I am not sure if every and all
plans go to the Department of Water necessarily to have their sign-off. I am sure that
the current Board Members are very aware. They have heard it. You hear it all the
time. How they solve it is up to Joe Tait. That is what I heard him saying at the
presentation he made. He is working diligently on it. He has a fairly young staff.
They are energetic and they are all public service minded. I think that portion can
be resolved.
Councilmember Evslin: Okay, thank you.
Council Chair Kaneshiro: Are there any further questions from the
Members? If not, is there anyone in the audience wishing to testify? We received no
written testimony. Is there anyone on Zoom wishing to testify?
There being no one present to provide testimony, the meeting proceeded as
follows:
Council Chair Kaneshiro: Does anyone have any final discussion?
Councilmember DeCosta.
Councilmember DeCosta: Tom, I am not going to ask you any more
questions. I just wanted to tell you to please tell your wife I said hi. She was my
mentor when I first started off in teaching. She took me under her wing with Reiko
Matsuyama's mom. I feel very grateful. I also wanted to tell you that you forgot to
mention your new workout regimen that you do with your son at the Kaua`i Athletic
Club. Maybe if I am at the Club I will workout with you sometime. Thank you for
everything, Tom. Thank you for coming onboard and to have a man of your knowledge
from the County-side and private sector-side, I am excited to have a knowledgeable
candidate like yourself on our Board. Thank you, Tom.
COUNCIL MEETING 7 JUNE 1, 2022
Mr. Shigemoto: Thank you, Billy.
Council Chair Kaneshiro: Councilmember Carvalho.
Councilmember Carvalho: Aloha, Tom. Good morning. I just wanted to
aloha you and thank you for your service in all areas of this island that I know. At
the same time, you are stepping to the plate again. You bring a wealth of knowledge
on all different levels. I know we can come to you to talk story or to get clarification
on things. You bring that to the table. I just wanted to mahalo you for that. I look
forward to talking story. Thank you for what you do for Kaua`i.
Mr. Shigemoto: Thank you, Bernard. I will try.
Council Chair Kaneshiro: Councilmember Evslin.
Councilmember Evslin: Just to echo my colleagues, thank you, Tom
for your willingness to serve here. As you said, because of the semi-autonomous
nature of the Department of Water, I think the Board of Water Supply takes on
increased...all of our boards and commissions are extremely important. I think the
Board of Water Supply is probably amongst the most important boards out there.
You are extremely qualified, experienced, and dedicated to Kaua`i. I have a lot of
confidence that you are going to help fix some of these problems that we have all
experienced with the length of time it takes to get permits. As you said, there are no
easy solutions here. It is not as if a simple rule change is going to make it so that we
can approve plans quicker through the Board of Water Supply. I think there are some
structural changes that possibly have to get made, or long-term shifts, but I know
that so many people at the Department of Water are working on these already,
including Joe. I really have a lot of confidence in your abilities here and appreciate
your willingness to serve. Thank you.
Mr. Shigemoto: Thank you, Luke.
Council Chair Kaneshiro: Councilmember Cowden.
Councilmember Cowden: I want to echo what was said. Your
seventy-four (74) years or maybe it is seventy (70) or sixty-eight (68) years of living
on the island will be a really excellent contribution in terms of your networking and
how much you are respected in the community for our new Director to be able to be
bringing that together. Having attended many Board of Water Supply meetings and
even a number of the virtual ones...I much prefer being there in person. Your ability
to ask the right questions gives me a lot of confidence. Sometimes, just even knowing
the right questions to ask is really important. I asked the question about community
resistance, because as many people know, I am a really comfortable ally to people
who are concerned about choices being made by what is the perceived as positions of
power. I just want to recognize how you see the best in the people who are out there
COUNCIL MEETING 8 JUNE 1, 2022
expressing their concerns. You have been their Boy Scout person, or you have raised
your kids with them. You have an open mind and seeing people with a different
understanding as the human beings that they are. I find that you are very easy to
talk to in asking questions that might not be comfortable. That is a really important
quality. I think it is as important as your knowledge as a developer and as a Planning
Director or being in the Planning Department. I think you are extraordinary for this
position.
Council Chair Kaneshiro: Does anyone else have any discussion? If not,
I just want to say that I am happy you are willing to serve even if you are retired. I
thought you would just relax. If you were that bored, you could have let me know. I
could give you some tasks to do around my house. You definitely have a wealth of
knowledge and would be a valuable asset on the Board of Water Supply. Just hearing
the way you answered the questions now, I think everyone can understand and see
the value that you have, the experience you bring from the public and private sector,
and you are definitely just an unreal asset to have there. Thank you for being willing
to serve, even though you just retired not too long ago. It will be a value to us at the
Board of Water Supply. Thank you.
Mr. Shigemoto: Thank you.
Council Chair Kaneshiro: Does anyone else have anything else to add?
If not, thank you. We will be voting on this at our next meeting. Next up we have
Lauren O'Leary for the Civil Service Commission.
CIVIL SERVICE COMMISSION:
Lauren O'Leary—Term ending 12/31/2024
Ms. Ching: I am happy to introduce Lauren O'Leary. I
just love saying that! What a beautiful lyrical name! Lauren was born in Mississippi
and raised on Kaua`i. After the sudden loss of her father and at the tender age of 4,
Lauren, her mother, and two (2) siblings moved to Kaua`i. She attended Holy Cross,
Koloa Elementary, and Kaua`i High School. At UH Manoa, she earned a Bachelor of
Arts in Home Economics Education. While working, she continued on to earn two (2)
Master's degrees, one in Curriculum and Instruction and another in School
Administration. In 1978, Lauren started her career as a teacher at Konawaena High
School on Hawai`i Island and was promoted to principal of Holualoa Elementary
School and Kalaniana`ole Elementary until she retired in 2016. Upon her retirement,
she decided to return to her childhood home and relocated to Kaua`i. As a home
economics teacher, she is a great cook and a great baker, her specialty is upside-down
cake, and her favorite food is cheesecake. She is a voracious and diverse reader of
novels, including mysteries and history books. Lauren is also a world traveler. As a
child, her mother decided to take a year-long trip around the world, they lived in
Japan, Hong Kong, and Spain and traveled through Singapore, India, Egypt, London,
COUNCIL MEETING 9 JUNE 1, 2022
and the Panama Canal. She would love to revisit some of those places. In her career
as an educator, Lauren has had the experience of working with diverse groups of
people representing different perspectives, children, parents, teachers, Department
of Education (DOE) administration, union members, and representatives. She has
the benefit of thirty-eight (38) years of technical knowledge, and I appreciate her
willingness to share her time and expertise with the Civil Service Commission.
Council Chair Kaneshiro: Thank you, Ellen. Lauren, do you have
anything to add to that introduction?
LAUREN O'LEARY (via remote technology): No. I think Ellen was
very thorough.
Council Chair Kaneshiro: Are there any questions for Lauren?
Councilmember Cowden.
Councilmember Cowden: Thank you so much, Lauren. It is nice to meet
you. I appreciate your willingness to do this. What has motivated you to be on the
Civil Service Commission?
Ms. O'Leary: I have always promoted throughout my
career, both as a classroom teacher and school administrator, the value of service.
Being able to give to others without expectation of any monetary return. I believe it
is a foundation of how I have been raised. I am hopeful that is how all of our children
have been raised where there is a sense of community, and we help each other. That
support system continues throughout our lifetime. I wanted to stay here when I
graduated from UH Manoa, but there were no teaching jobs available, so I ended up
going to Hawai`i Island. I continued there until I retired. I was glad to be able to
come home. My support system is here, classmates, and people I have known
throughout the years. I really feel that now it is my obligation to give back and
support Kaua`i and the structure of the Civil Service Commission in order to make it
the best place that we can be for both ourselves, as community members, but also for
our children.
Councilmember Cowden: I think that your background as a principal of
two (2) elementary schools, and you have been a teacher...I am particularly focusing
on the principal position. That would give you experience in the leadership of
staffing. I am curious and have two (2) questions that you can lace together. You
probably dealt with the Hawai`i State Teachers Association (HSTA), United Public
Workers (UPW), et cetera. Which unions have you worked with in that position?
Ms. O'Leary: HSTA, UPW, and the Hawai`i Government
Employees Association (HGEA) were the primary unions. Then, we had other staff
who were support systems that would come in as resources for the school assigned for
COUNCIL MEETING 10 JUNE 1, 2022
maybe a day of the week, because we have to share those positions. We had limited
resources, especially on the neighbor island where they may not have enough or there
is not enough resources in order to stretch to one (1) per school. It was the gamut of
the different unions and understanding the agreements made between the employee,
the union, and how it affects the school system.
Councilmember Cowden: About how much staff did you have in those
schools?
Ms. O'Leary: At Holualoa Elementary, which was a school
of about five hundred fifty (550) children, we had about one hundred twenty (120)
staff comprised of both permanent and part-time staff. At Kalaniana`ole Elementary,
that was an intermediate and elementary. That was a little smaller school and that
one had approximately sixty (60).
Councilmember Cowden: Okay. Thank you so much for that. It helps
us to understand that you have familiarity not only with the unions, but the unions
from the state and interacting with the State of Hawai`i. I would say that my final
question is...I do not expect you to really have a strong answer on this one...but
something that you will be faced with really quickly is something that we call salary
inversion. Do you understand what that means?
Ms. O'Leary: Not enough to comment on. I would definitely
have to learn more before I would have a strong opinion one way or the other.
Councilmember Cowden: Just framing it a little bit...just like you
would have between HGEA and HSTA, there are different amounts that people might
get paid. Maybe one works just as hard or harder than another but gets paid less.
Leadership in our departments get paid less than the top of the pile. We have a real
challenge with that right now.
Councilmember Kuali`i was noted as not present.)
Councilmember Cowden: We have a challenge in government of placing
strong leadership in these positions when they have higher risk, because they do not
have the union protection and they get paid less than the third in line. You do not
have to have a strong answer. That will be one of the big challenges that you will
face right away. It is very important. That might be something that you look into.
Councilmember Kuali`i was noted as present.)
Councilmember Cowden: I think almost anyone who is joining the Civil
Service Commission, that might be something unfamiliar to them. It certainly was
unfamiliar to me as a Councilmember. It does not line up with common sense, but it
COUNCIL MEETING 11 JUNE 1, 2022
is something significant. I thank you for your willingness to do this. I accept that
you do not know what this yet.
Council Chair Kaneshiro: Salary inversion is related to the Salary
Commission.
Councilmember Cowden: The Civil Service Commission does not touch
it at all?
Council Chair Kaneshiro: No. Civil Service deals with Human
Resources.
Councilmember Cowden: Okay, my bad. It is good for you to know that.
Council Chair Kaneshiro: Are there any other questions for Lauren? If
not, is there anyone in the audience wishing to testify? Lonnie.
LONNIE SYKOS: Good morning, Council. Good morning to the
candidate. Thank you very much for your willingness to serve the public. We thank
you for your long career. I believe you said earlier that you had been at Holualoa
School on Hawai`i Island. Tip of the hat. When I was a resident of liana some decades
ago, we were quite happy and amazed that your students were world class developers
of solar-powered cars and won the Science, Technology, Engineering and
Math (STEM) contest. Tip of the hat to your past work and I am sure your work in
the future for the County will be similarly successful. I would like to ask the head of
the Office of Boards & Commissions if they would be kind enough to describe what
the duties are for this Commission for the edification of the public. Thank you very
much.
Council Chair Kaneshiro: Is there anyone else in the audience wishingg
to testify? Is there anyone on Zoom wishing to testify? We received no written
testimony on this item. Is there any final discussion or questions from the Members?
Councilmember Cowden.
Councilmember Cowden: I believe he asked if Ellen Ching could define
the role of the Civil Service Commission. I do know that about the Salary
Commission. I made a mistake. Maybe she can speak to that.
Council Chair Kaneshiro: Ellen, I do not know if you have the Charter
in front of you, but you could probably just read the Charter description of the...
Ms. Ching: Yes. I will just go over a couple of bullet
points. The Civil Service Commission shall adopt rules and regulations to carry out
the civil service and compensation laws of the State and the County. They hear and
COUNCIL MEETING 12 JUNE 1, 2022
determine appeals made by any individual aggrieved by any action of the Director or
any appointing authority. Typically, it is the Director of Human Resources. They
advise the Mayor and Director of Human Resources on problems concerning
personnel and classification administration. They execute such powers and duties as
may be provided by law. The major duty of the Civil Service Commission is that they
shall appoint and remove the Director of Human Resources. It puts it as evaluate
and assess.
Council Chair Kaneshiro: Thank you for that. Are there any further
questions from the Members? Is there any final discussion? Councilmember
DeCosta.
Councilmember DeCosta: Ellen, thank you for that detailed description.
You always seem to amaze us. Thank you, Ellen. Lauren, I am an educator and have
been for twenty-one (21) years. A great principal is always at the forefront of
curriculum and children's lifestyle at school. I know you mentioned two (2) important
things to me that makes you a great person for this position. You only served as
principal at two (2) schools, which means you did a really good job, and your school
did not want to let you go. Normally, someone would be a principal for six (6) or
seven (7) schools, they move you around. You must be a gem. I am happy to have
you. Dealing with children is one thing, but dealing with parents of their most
precious commodity, which is their child, puts you at the forefront with all your
knowledge. If you can deal with parents of children, you can deal with any issue out
there in the County. Bless you and welcome onboard, Lauren.
Ms. O'Leary: Thank you.
Council Chair Kaneshiro: Council Vice Chair Chock.
Councilmember Chock: I just want to thank Lauren and Tom for your
willingness to come out and serve the community. You both bring a lot to the table.
The boards and commissions or Charter years ago, with the intent of helping to create
checks and balances in the system to make it more transparent or accountable...we
need to use it as a tool to our benefit. Having proactive minds and people in these
positions are key. I can tell you that where the Council cannot move or make
decisions, we do lean on our commissions to do so. With that being said, we have had
discussions at this table about some of the needs the Board of Water Supply as
mentioned is a semi-autonomous operation and I appreciate that due to their ability
to run separately and determine their future. I think the matrix of housing has been
on this Council's and Administration's priority lists and our ability to engage with
the Board of Water Supply to make these sound decisions are key. Tom, you said that
you represent the voice of the community and that bridge of what we are experiencing
and what we need. Again, mahalo nui.
COUNCIL MEETING 13 JUNE 1, 2022
Council Chair Kaneshiro: Does anyone else have anything to add?
Councilmember Cowden.
Councilmember Cowden: I will just thank you again. Echoing what
Councilmember DeCosta brought up. In the schools, you can be right in the middle
of conflict. I appreciate Director Ching highlighting that a piece of your job is making
these decisions on grievances and challenges. I will be supporting you.
Council Chair Kaneshiro: Councilmember Evslin.
Councilmember Evslin: I will just echo all of that. Thank you,
Ms. O'Leary for your willingness to serve here. Thank you for your forty (40) years
with the Department of Education. I just finished four (4) months of teaching only
two (2) classes and I feel like I am ready to retire here. I have a ton of admiration for
anyone who did that for forty (40) years. Your willingness to keep going in public
service on behalf of the County and the employees is admirable. Thank you.
Council Chair Kaneshiro: Councilmember Carvalho.
Councilmember Carvalho: A big mahalo to you, Lauren. It was already
said, but I will echo it. Your administrative background brings a lot to the table. My
daughter is also a schoolteacher, and she is coming up the ranks right now. Hopefully
she will be a principal one day. For you, bringing your knowledge and your
understanding of working closely within that organization brings a lot to the table. I
appreciate you stepping up to the plate and look forward to seeing you again. Mahalo
for your service.
Ms. O'Leary: Thank you.
Council Chair Kaneshiro: Councilmember Kuali`i.
Councilmember Kuali`i: I will just say mahalo nui loa to both of you
for your willingness to serve. Thank you so much.
Council Chair Kaneshiro: With that, thank you, Lauren. We will be
voting on this at our next Council Meeting.
Council Chair Kaneshiro: Next up, we have the Consent Calendar.
CONSENT CALENDAR:
C 2022-101 Communication (05/05/2022) from the Mayor, submitting his
Supplemental Budget Communication for Fiscal Year 2022-2023 and Proposed
Amendments to the Budget Bills, pursuant to Section 19.02A of the Kaua`i County
Charter.
COUNCIL MEETING 14 JUNE 1, 2022
C 2022-118 Communication (05/12/2022) from the Acting County Engineer,
transmitting for Council consideration, a Resolution Amending Resolution
No. 138 (1954) And Resolution No. 90-94, By Establishing A Crosswalk And A Left
Turn Only Lane Along Hanamd'ulu Road, Lihu`e District, County Of Kauai.
C 2022-119 Communication (05/25/2022) from Councilmember Cowden,
transmitting for Council consideration, a Resolution Amending Resolution No. 32,
Draft 1 (1985), As Amended By Resolution Nos. 27 (1987), 75 (1988), 45 (1989), And
Resolution No. 2000-21 Relating To Traffic Regulations At Princeville.
Councilmember Kuali`i moved to receive C 2022-101, C 2022-118, and
C 2022-119 for the record, seconded by Councilmember Carvalho.
Council Chair Kaneshiro: We received no written testimony on these
items. Are there any questions from the Members? Is there anyone in the audience
or on Zoom wishing to testify?
There being no one present to provide testimony, the meeting proceeded as
follows:
Council Chair Kaneshiro: Seeing none. Is there any final discussion
from the Members?
The motion to receive C 2022-101, C 2022-118, and C 2022-119 for the record
was then put, and unanimously carried.
Council Chair Kaneshiro: The motion is carried. Next item.
COMMUNICATIONS:
C 2022-120 Communication (05/04/2022) from Ka`aina S. Hull, Clerk of the
Planning Commission, transmitting the Planning Commission's recommendation to
amend Chapter 8, Kaua`i County Code 1987, as amended, relating to Application of
Regulations.
Councilmember Kuali`i moved to receive C 2022-120 for the record, seconded by
Councilmember Carvalho.
Council Chair Kaneshiro: We received no written testimony. We will
take this item up later as a Proposed Draft Bill. Is there anyone in the audience or
on Zoom wishing to testify?
There being no one present to provide testimony, the meeting proceeded as
follows:
Council Chair Kaneshiro: Are there any questions or is there any
discussion?
COUNCIL MEETING 15 JUNE 1, 2022
The motion to receive C 2022-120 for the record was then put, and unanimously
carried.
Council Chair Kaneshiro: The motion is carried. Next item.
C 2022-121 Communication (05/09/2022) from the Director of Finance,
requesting Council approval of the Network Firewall End User License
Agreement (EULA) associated with the County's renewal of maintenance and support
of the County's network firewall products.
Councilmember Kuali`i moved to approve C 2022-121, seconded by
Councilmember Carvalho.
Council Chair Kaneshiro: We received no written testimony. I will
suspend the rules. Reiko or Del, could you give us a brief overview of this item?
There being no objections, the rules were suspended.
DEL SHERMAN, Information Technology Manager (via remote technology):
Aloha. Regarding this specific request, in this case, your approval was needed
to address an issue in the licensing terms that referenced limitations of liability and
any agreement with that kind of terminology. It is nothing really unusual. This is a
product that we have had in place for quite a while. We are renewing maintenance
and doing some upgrades on the Network Firewall EULA this year. Per the County
Attorney, the proper way to proceed with this is to make sure that we get your
approval for these liability issues, hence that is why it was presented to you. Rather
than me ramble on, do you have any specific questions you wanted me to answer?
Council Chair Kaneshiro: Councilmember Cowden.
Councilmember Cowden: I do. This is probably just an Information
Technology (IT) question. This firewall, what is it called? MSP? Is that the name of
it?
Mr. Sherman: Could you repeat that, please?
Councilmember Cowden: What is the name of the firewall? I just have
questions about how it operates.
Councilmember Evslin was noted as not present.)
Mr. Sherman: We specifically withheld the name of the
actual product for security reasons. We tend to be fairly secretive about the exact
type of hardware that we use to limit awareness on behalf of maybe bad actors about
how we are protecting ourselves in the County. We just referenced it as the firewall
instead of giving an exact product or model name. I am sure that we could discuss
the details on that in a more secure way if you would like to learn more about that.
Councilmember Cowden: I am going to respect that. I just want to make
a comment and I do not know if it happens to anyone else...my computer on my desk
COUNCIL MEETING 16 JUNE 1, 2022
runs so hot, I feel like it isggoin to have a nervous breakdown. I just pretty much
will not use it. I use my own computer and I use my cell phone. Once we did Microsoft
Teams, it burned up my phone and computer, because it runs so hot. I cannot even
do these things in the car, because my phone will stop working. All of our things runs
so hot. I do not know if it is our firewall or what it is, but I have a brand-new computer
in my office, because it is screaming so loudly with the fan from almost the very
beginning. If we have such strong firewalls, Microsoft Teams is obviously very hot. I
cannot even do E-mails with my computer without wanting to turn it off. Is that the
firewall? What would be doing that? I know we have all of this software that keeps
us from having any kind of break. Something does not work well. Maybe that could
be a private thing. Every time I turn on the computer, I think about that.
Councilmember Chock was noted as not present.)
Mr. Sherman: That would be an unrelated issue. If your
computer is overheating, we can get one of our IT technicians over there to take a
look to see what the cause might be. It should not be so hot that you would not want
to use it. That is not normal. We can check into that for you.
Councilmember Cowden: It is just so loud. I will look into that later.
The computer science background in me thinks something does not work with all the
things that we are doing to protect our computers. Thank you.
Mr. Sherman: You are welcome.
Council Chair Kaneshiro: You can request the Secretarial Assistant or
someone to ask IT to check your computer. I am not sure if anyone else is having that
issue with their computers or phones. Are there any further questions for Del on this
item? If not, while the rules are still suspended, is there anyone in the audience
wishing to testify? Is there anyone on Zoom wishing to testify?
There being no one present to provide testimony, the meeting was called back
to order proceeded as follows:
Council Chair Kaneshiro: Is there any final discussion from the
Members?
The motion to approve C 2022-121 was then put, and unanimously carried.
Pursuant to Rule No. 5(b)of the Rules of the County of Kauai, Councilmember
Evslin and Councilmember Chock were noted as silent (not present), but shall
be recorded as an affirmative for the motion.)
Council Chair Kaneshiro: The motion is carried. Next item.
Councilmember Evslin was noted as present.)
C 2022-122 Communication (05/10/2022) from the Acting County Engineer,
requesting Council approval to apply for, receive, and expend State funds in the amount
of $330,507.01, from the State of Hawai`i Department of Health (DOH), and to
COUNCIL MEETING 17 JUNE 1, 2022
indemnify the State DOH for the Fiscal Year 2023 grant cycle, for the HI-5 Deposit
Beverage Container program to be used to fund two (2) HI-5 Recycling Specialist
positions and support mobile redemption center operations in Kekaha and Koloa.
Councilmember Kuali`i moved to approve C 2022-122, seconded by
Councilmember DeCosta.
Council Chair Kaneshiro: We received no written testimony on this
item. Do we have any questions from the Members on this item? Councilmember
Cowden.
Councilmember Cowden: Can you give us a very brief update? Three
hundred thirty thousand dollars ($330,000) is a decent amount of money. Is this our
normal budgeted amount or are we...how is it going? Please give us a brief update.
Councilmember Chock was noted as present.)
There being no objections, the rules were suspended.
ALLISON FRALEY, Solid Waste Program Development Coordinator (via
remote technology): Yes, I will be happy to answer your question.
This grant that we get that we get from the State Department of Health is to support
our bottle deposit law and the HI-5 program. That is where people pay a deposit for
their beverage containers as regulated by the State. They go and turn them in for a
refund. That program is monitored here on-island with two (2) Recycling Specialists,
who go out to the stores and make sure that all the containers are marked correctly
and do regular audits. We have a contract with the State with a certain amount of
audits each month that they perform. They also go to the redemption centers where
people turn in their containers to make sure that all of that is operating smoothly.
They take complaint calls from the public. This really does help the State. Also, that
grant supports some of the remote locations where we have the HI-5 redemption
centers like in Kekaha and Koloa. It supports a land lease out in Kekaha where we
are able to do that redemption. It also supports a lot of education. One of our goals
for this next fiscal ear is to get out to the vacation rentals and really instill moreY
programs and education out where visitors are. These containers have value. We
really want to be able to work with the vacation rental agencies. We have been
working with the Office of Economic Development (OED) to get the list of all the
different timeshares andlaces that have visitors so theycan learn about how theyp
can recycle. We do a lot with this grant money. It really stretches super far. We
have been getting funding from the State since 2006 when the law went into effect.
Councilmember Cowden: I want to thank you, the entire team, and all
the outreach and people who are actually returning their recyclables. I am curious,
do the stores us'veinformation on how many things they charge fiveany
cents ($0.05) for? I am wondering if there is a comparative to how much is purchased
to how much gets returned to our recycling centers. Is it fifty percent (50%) or forty
percent (40%)?
Ms. Fraley: I believe it is seventy-three percent (73%)
right now. I may be wrong. I can get back to you on that. The State actually
COUNCIL MEETING 18 JUNE 1, 2022
calculates that. They receive the funding when the beverages are imported. They
have a statewide percentage that they can give for the recycling rate. It is really hard
to break it down island-by-island. They do know how many containers are redeemed
on each island. It is a pretty high percentage. It used to be higher when the program
first went into effect. If the deposit amount was higher like ten cents ($0.10) in
certain places, it is higher...only a couple of states. There are only ten (10) states
that have bottle deposit laws by the way, so we are really lucky to have one. It does
create a financial incentive for recycling. It is wonderful to have, and we are very
grateful. The higher the deposit, the more incentivized people are to return their
containers. Every year there are bills at the State Legislature talking about different
ways to improve the law. We would support a higher fee so there would be higher
redemption levels. It is what it is, and it is working great.
Councilmember Cowden: Great, thank you. That is what I wanted to
know.
Council Chair Kaneshiro: Are there any other questions from the
Members? If not, is there anyone in the audience wishing to testify? Lonnie.
Mr. Sykos: Good morning, Allison. Thank you very much
for the excellent job that I have observed you doing more than a decade now, maybe
two (2) decades now.
Ms. Fraley: Thank you.
Mr. Sykos: Personally, I think it is a shame that you have
not been put in charge of creating the resource and recycling center that the County
needs. You obviously have a very in-depth understanding and are up to date on
national best practices and policies, so with how competent you are, it is astounding
that the County is incapable of creating a resource/recycling center—it is just
stunning, the incompetence that allows this to go on, which is not you. I have some
questions here, the three hundred thousand dollars ($300,000) that is for the salaries
for the two (2) employees, does that also pay the five cents ($0.05) refunds for the
beverage containers? Do you have any idea what percentage of that would be used
for visitor outreach? To the public, this is not a criticism of Allison, but this use of
our tax money for visitor outreach on the one hand is a good thing, on the other hand,
we are using our tax money to subsidize tourism once again, so this is a hidden tax
on everyone that promotes tourism. The tourism industry is perfectly capable of
providing the money and the resources to ask their guests to do exactly what we are
going to use our money to ask them to do. My observation is, I do not want to be taxed
to make profits for the tourism industry. Every penny of my money that goes to
educate the visitors is pure profit for the visitor industry. They should be paying for
this, not us. Allison, thank you very much for the great job that you do and to the
Council, in the future, try and look at things differently. We do not want to be taxed
to support tourism, tourism is supposed to be getting taxed to support us, not the
other way. Thank you.
Council Chair Kaneshiro: Is there anyone else in the audience or on
Zoom wishing to testify? Are there any further questions from the Members? From
COUNCIL MEETING 19 JUNE 1, 2022
one (1) of the questions from Lonnie, Allison, regarding the refund when people turn
in the recyclables, does that come out of a different pot of money from the State?
Ms. ppFraley: Correct. What happens is the State collects
the fees from the importers initially, so they have the funding. Then, the recyclers,
who run the redemption centers, they actually front the refunds from their own
pockets, and then get reimbursed by the State. They also get paid a handling fee for
each container that they recycle.
Council Chair Kaneshiro: Thank you. Are there any other questions
from the Members? Is there any final discussion? Councilmember Cowden.
There being no objections, the meeting was called back to order, and proceeded
as follows:
Councilmember Cowden: First of all, I would like to acknowledge that
in the room we have an Executive Director of one (1) of our redemption centers, so I
wanted to acknowledge that and in Kilauea how people can come and turn in their
recycling for a lot of different things. Anaina Hou does an amazing job. I think the
whole program is important, so of course I support it, and I acknowledge what our
community member points out is that we do partner with the visitor industry, I do
want to say that the visitor industry does partner back with us too, so it is
complicated, but it does work in both directions.
Council Chair Kaneshiro: Councilmember Evslin.
Councilmember Evslin: Obviously, I support this. I appreciate the
focus on education for the Transient Vacation Rental (TVR) industry. It is something
that Allison and I have talked about a couple of times. I have heard from numerous
cleaners of TVRs that there is a large amount of recyclables that are coming out of
these TVRs and going into the trash, and there is some frustration from those who
clean these units that there is not better recycling options within the units from the
management companies or the owners of these units, so we have discussed some ways
to try and "crack that nut" a bit and I appreciate you focusing on education here. I
do think maybe there are other things we can continue to explore, but to the point of
this being a tax on residents to subsidize the TVR industry, I do not think that is
true. Often, TVRs are likely paying a flat monthly fee for commercial pick-up of their
waste, so they do not really have the incentive to recycle, and if they can increase the
recycling rates that they are diverting that saves all taxpayers money and that is less
refuse going to our landfill, as you know better than all of us. Saving the life of the
landfill and going towards recycling that we can sell in some sense. It is a net benefit
for us every time that we can increase diversion rates for the TVR industry and if we
can spend a little bit through this grant or have some increase focus through this
grant on education efforts along those lines, I think that is a win for all of us, and
hopefully we can continue to explore other options to try and increase diversion rates
for the TVR industry. Thank you, Allison.
Council Chair Kaneshiro: Is there anyone else?
COUNCIL MEETING 20 JUNE 1, 2022
The motion to approve C 2022-122 was then put, and unanimously carried.
Council Chair Kaneshiro: The motion is carried. Next item.
C 2022-123 Communication (05/10/2022) from the Acting County Engineer,
requesting Council approval to apply for, receive, and expend State recycling grant
funds in the amount of$45,000.00, to be used by the Department of Public Works, Solid
Waste Division, to support Electronic Waste (eWaste) Recycling for Fiscal Year 2023.
Councilmember Kuali`i moved to approve C 2022-123, seconded by
Councilmember DeCosta.
Council Chair Kaneshiro: We received no written testimony. Are there
any questions from the Members? Councilmember Cowden.
Councilmember Cowden: I think this is really important. Can you
explain to the public one more time about when they recycle their electronic waste
and I want to know, how much it costs us to recycle the electronic waste and what
percentage are we taking out of landfill? Of course, I support doing it, but I would
like to know a little bit about the details and the effectiveness of it. Are printers
electronic waste?
There being no objections, the rules were suspended.
Ms. Fraley: Yes. Thank you, Councilmember. The
Electronic Waste program is what is called an extended producer responsibility law
that was passed in 2010, where the State requires that manufacturers pay a fee to
the State when they are certified sellers of electronic equipment for certain devices,
and that would include televisions, computer monitors, computers, laptops, and
printers. So, there is an incentive...the law requires that they provide recycling
opportunities. It is a very complicated, so I am going to simplify it by saying that the
manufacturers provide opportunities and pay the recyclers to run programs, so we
have Puhi Metals Recycling Program at Puhi six (6) days per week, where we accept
electronics for free from the public. That is part of a larger contract—Puhi Metals,
that is where we accept all of the metal that comes on to Kaua`i including
automobiles, so there is not a breakdown in the pricing, per your request of how much
it costs to actually recycle these things, we do not have a breakdown, but we do have
a program that is part of a larger program. Regarding what this funding is for from
the State Department of Health, this is purely for education and also provides...we
have been doing a school contest every year, it has really competitive and fun for the
kids, and that is a way that children can share with their family the importance of
recycling electronics. Electronic recycling on the residential side is purely voluntary,
because we have a six (6) day per week program that has stayed in the same place for
several years, we are getting good participation. I do not know off the top of my head,
the best way for us to know is our waste characterization study, which happened back
in 2016—those are very expensive, so we only do those periodically, but we are looking
at the tonnage as it goes through. Another thing for the commercial, monitors and
televisions are banned from the landfill and disposal, so haulers know that they
cannot accept these items, so they do have to be accepted through the recycling
COUNCIL MEETING 21 JUNE 1, 2022
program, and it is free, so there is a major incentive for businesses to be able to take
this waste that they cannot dump it in their dumpsters anyway. The program has
been working really well compared to all the other islands. I think we have the best
program bringing in the public having stable operating hours, and this contest, and
a lot of promotion—that is what you need in recycling education, is continual
promotion, so this is a great grant that the State gives. That is how they are sharing
the funding that they get from the registration program is through these grants for
the counties to operate their programs.
Councilmember Cowden: I have a follow-up question. On this extended
producer responsibility in our education, I cannot remember seeing where it might
be talking about, thankful to the extended producer responsibility, because I think
the people really need to start thinking about point source reduction—you know that
is a big issue for me, so who pays the money, I will not name the brand, but is it the
brand who makes the monitor and the screen, or is it the big box store that sells it, or
is it both, because to me both should have some of that responsibility in the extended
producer, especially when we look at all the styrofoam and things like that that goes
into it, who pays for it? The manufacturer or the distributor, or both?
Ms. Fraley: You caught me. I am sorry. I am not quite
sure off the top of my head I might get a text from my colleague who runs the program,
but I believe it is the distributors, but I can get back to you on that. I am sorry.
Councilmember Cowden: Okay, no problem. It is something that as a
Councilmember who is very concerned about our landfill contributions, it is on us and
on me, I will take that responsibility in talking to these distributors, because
sometimes these screens do not last very long, they give up very quickly. When we
are looking for point source reduction it is important that they think about....so I am
curious who is paying the fees. I am not disappointed that you did not have that
information, it is a question that I need to be able to find out.
Ms. Fraley: Yes, I will get that information to you.
Councilmember Cowden: Thank you.
Council Chair Kaneshiro: Are there any further questions on this item
from the Members? Is there anyone in the audience wishing to testify on this item?
Jill.
JILL LOWRY: Good morning, Jill Lowry. I was not
anticipating speaking on anything, but as Councilmember Cowden pointed out, we
do have recycling on Anaina Hou Community Park grounds and at one point prior to
the pandemic, we had electronic recycling there as well, and I am encouraging
thinking about bringing that back, because the North Shore does not get to where
they need to go in the proper place, so having an access point to get rid of this waste
would be extremely beneficial both to the island and to the North Shore community.
That is all I have to say, thank you so much.
COUNCIL MEETING 22 JUNE 1, 2022
Council Chair Kaneshiro: Is there anyone else? Is there anyone on
Zoom? If not, are there any final questions from the Members? Is there any final
discussion?
There being no further testimony, the meeting was called back to order, and
proceeded as follows:
The motion to approve C 2022-123 was then put, and unanimously carried.
Council Chair Kaneshiro: The motion is carried. Next item.
C 2022-124 Communication (05/12/2022) from the Director of Parks &
Recreation, transmitting for Council consideration, A Bill For An Ordinance
Amending Chapter 23, Section 23-3.7, Kauai County Code 1987, As Amended,
Relating To Concessionaires At The Spouting Horn, by updating the status of the
concession stands, removing the stall configurations and upset bid amount which will
be addressed in Administrative Rules, and allowing the use of electricity by
concessionaires.
Councilmember Kuali`i moved to receive C 2022-124 for the record, seconded by
Councilmember Carvalho.
Council Chair Kaneshiro: This is just a communication. We received no
written testimony on this item. Is there anyone in the audience or on Zoom wishing
to testify? Are there any questions or discussion from the Members?
There being no one present to provide testimony, the meeting proceeded as
follows:
The motion to receive C 2022-124 for the record was then put, and unanimously
carried.
Council Chair Kaneshiro: The motion is carried. Next item.
C 2022-125 Communication (05/12/2022) from the Director of Finance,
requesting Council approval of terms contained in the Cisco Systems End User License
Agreement (EULA) associated with a Cisco-conducted audit of the number of product
licenses used by the County.
Councilmember Kuali`i moved to approve C 2022-125, seconded by
Councilmember Carvalho.
Council Chair Kaneshiro: We received no written testimony on this
item. Are there any questions from the Members? Councilmember Cowden.
Councilmember Cowden: I will be very simple. This is the continuation
of our existing End User License Agreement that we pay every year, correct? It is
not new, it is what we do, correct?
COUNCIL MEETING 23 JUNE 1, 2022
There being no objections, the rules were suspended.
Mr. Sherman: Yes, that is correct. This is not anything new,
this is just the requirement from our attorney now that these kinds of terms be
reviewed and get Council approval when necessary. In this case, it is due to the fact
that the text in question represents an unspecified future obligation, and those types
of things require Council approval. We do not anticipate any issues for the exact
reason that you just stated, and this is just a continuation of the same products that
we have in use for years.
Councilmember Cowden: You just brought something up, can you give
us an example of what it might be, or do we not even know?
Mr. Sherman: An example of what this might be, is licensing
for our phone system. Each license, each phone, has a cost associated with it, so in
this case, if we were to deploy licenses that we had not paid for and Cisco came in and
did an audit, then we would owe them the money for those licenses that we had used.
In our case, though, there are restrictions in place that prevent us from issuing
licenses above our capacity, so it will not present a problem for us, however, the terms
still require your approval.
Councilmember Cowden: Okay, thank you.
Mr. Sherman: You are welcome.
Council Chair Kaneshiro: Are there any other questions from the
Members? Is there anyone in the audience wishing to testify? Lonnie.
Mr. Sykos: I want to thank the IT Manager for his
explanation. When I read this, I was thinking to myself, "What the heck? We are
putting ourselves on the line for future unspecified possibilities"—very scary, but
your explanation takes all the scare out of it. Thank you very much for doing an
excellent job.
Council Chair Kaneshiro: Is there anyone else wishing to testify? Is
there anyone on Zoom? If not, are there any final questions from the Members? Is
there any final discussion?
There being no further testimony, the meeting proceeded as follows:
The motion to approve C 2022-125 was then put, and unanimously carried.
Council Chair Kaneshiro: The motion is carried. Next item.
C 2022-126 Communication (05/20/2022) from the Deputy Director of Parks &
Recreation, transmitting for Council consideration, A Bill For An Ordinance Amending
Chapter 23, Article 3, Kaua`i County Code 1987, As Amended, Relating To Peddlers
And Concessionaires, defining a "Peddler's Permit," clarifying that the Department of
COUNCIL MEETING 24 JUNE 1, 2022
Parks and Recreation issues such permits, and establishing the process by which fees
will be set for such permits.
Councilmember Kuali`i moved to receive C 2022-126 for the record, seconded by
Councilmember DeCosta.
Councilmember Carvalho: Chair, I have a floor amendment.
Council Chair Kaneshiro: This is just the communication, so the floor
amendment will come up on the actual Bill.
Councilmember Carvalho: Okay.
Council Chair Kaneshiro: We received no written testimony on this
item. Is there anyone in the audience wishing to testify on the communication?
There being no objections, the rules were suspended to take public testimony.
Mr. Sykos: I am very glad that this is coming to the
Council's attention. I am guessing it was 2004 or 2005, I purchased from the County
a vendor's permit, however, there was nowhere to vend, nowhere legal. My
observation here is, having traveled much of the world, it is problematic in Hawai`i
that we have so many tourists and it is so difficult for the public to be able to directly
make money off of them, so if you need to get a store, you are hundreds of thousands
of dollars into trying to start your business. It is very difficult to do what I did, I am
sixty-seven (67), when I was a kid, fifteen (15) years old, stuck in Honolulu, I lived in
the south pacific, so we would get up in the morning and take local kids to Smorgy
Boys and when we finished eating there, we would go through Waikiki and steal
flowers from all the hotels, go to tutus, put them in leis back to the beach and sell
them. So, the local kids were making "bank" selling leis to the tourists, today, you
try to do that, and you will go to jail. They will run you down and put you in jail,
number one, for the kids taking the flowers, which was wrong, but we did it anyway,
but the other one is, you cannot sell to the tourists, so this vendors license is awesome
that some of these kids can make leis and legally sell them, you can control how you
access beach parks and things, but this is an excellent opportunity to let families, and
especially kids learn how to become entrepreneurs, so that is one route of success, my
own personal route of survival in Hawai`i was learning how to be an entrepreneur, so
this permit is an excellent way to let the public do that. Thank you.
Council Chair Kaneshiro: Is there anyone else in the audience wishing
to testify? Is there anyone on Zoom? Is there any discussion from the Members?
Again, this is just the communication, we will have further discussion on it during
the actual Bill.
There being no further testimony, the meeting was called back to order, and
proceeded as follows:
The motion to receive C 2022-126 for the record was then put, and unanimously
carried.
COUNCIL MEETING 25 JUNE 1, 2022
Council Chair Kaneshiro: The motion is carried. Next item.
CLAIM:
C 2022-127 Communication (05/17/2022) from the County Clerk,
transmitting a claim filed against the County of Kaua`i by John Masterson, for
damage to his vehicle, rental car fees, and pain and suffering, pursuant to
Section 23.06, Charter of the County of Kaua`i.
Councilmember Kuali`i moved to refer C 2022-127 to the Office of the County
Attorney for disposition and/or report back to the Council, seconded by
Councilmember Carvalho.
Council Chair Kaneshiro: We received no written testimony. Is there
anyone in the audience or on Zoom wishing to testify?
There being no one present to provide testimony, the meeting proceeded as
follows:
Council Chair Kaneshiro: Are there any questions or discussion from
the Members?
The motion to refer C 2022-127 to the Office of the County Attorney for
disposition and/or report back to the Council was then put, and unanimously
carried.
Council Chair Kaneshiro: The motion is carried. Next item.
COMMITTEE REPORTS:
COMMITTEE OF THE WHOLE:
A report (No. CR-COW 2022-07) submitted by the Committee of the Whole,
recommending that the following be Received for the Record:
COW 2022-02 — Communication (05/16/2022) from Committee Chair
Kaneshiro transmitting the proposed increases to, deductions from, and other
proposed amendments (plus/minus sheets) to the Mayor's Fiscal
Year 2022-2023 Annual Operating and Capital Improvement Projects
Budgets,"
A report (No. CR-COW 2022-08) submitted by the Committee of the Whole,
recommending that the following be Approved on second and final reading:
COUNCIL MEETING 26 JUNE 1, 2022
Resolution No. 2022-10 — RESOLUTION ESTABLISHING THE REAL
PROPERTY TAX RATES FOR THE FISCAL YEAR JULY 1, 2022 TO
JUNE 30, 2023 FOR THE COUNTY OF KAUAI,"
A report (No. CR-COW 2022-09) submitted by the Committee of the Whole,
recommending that the following be Approved as Amended on second and final reading:
Bill No. 2851 — A BILL FOR AN ORDINANCE RELATING TO THE
OPERATING BUDGET AND FINANCING THEREOF FOR THE FISCAL
YEAR JULY 1, 2022 TO JUNE 30, 2023 (Fiscal Year 2022-2023 Operating
Budget),"
A report (No. CR-COW 2022-10) submitted by the Committee of the Whole,
recommending that the following be Approved as Amended on second and final
reading:
Bill No. 2852 — A BILL FOR AN ORDINANCE RELATING TO
CAPITAL IMPROVEMENTS AND FINANCING THEREOF FOR THE
FISCAL YEAR JULY 1, 2022 TO JUNE 30, 2023 (Fiscal Year 2022-2023 CIP
Budget),"
Councilmember Kuali`i moved for approval of the reports, seconded by
Councilmember DeCosta.
Council Chair Kaneshiro: We received no written testimony on these
items. Is there anyone in the audience or on Zoom wishing to testify on this item?
There being no one present to provide testimony, the meeting proceeded as
follows:
Council Chair Kaneshiro: Are there any questions or discussion from
the Members?
The motion for approval of the reports was then put, and unanimously carried.
Council Chair Kaneshiro: The motion is carried. Next item.
RESOLUTIONS:
Resolution No. 2022-10 — RESOLUTION ESTABLISHING THE REAL
PROPERTY TAX RATES FOR THE FISCAL YEAR JULY 1, 2022 TO JUNE 30, 2023
FOR THE COUNTY OF KAUAI
Councilmember Kuali`i moved for adoption of Resolution No. 2022-10,
seconded by Councilmember Carvalho.
COUNCIL MEETING 27 JUNE 1, 2022
Council Chair Kaneshiro: We received no written testimony on this
item. Are there any questions from the Members? Is there anyone in the audience
wishing to testify? Lonnie.
There being no objections, the rules were suspended to take public testimony.
Mr. Sykos: Regarding real property tax rates, I want to
thank the four (4) Members who voted down raising the taxes on any particular group
of people on Kaua`i last week. The rationale for the money is irrelevant. What is
relevant to me, what is relevant to the public is the violation of our due policy and the
attempt to raise taxes without having public hearings, so that is my observation
today. I want to thank Councilmember DeCosta, ex-Mayor and Councilmember
Carvalho, Council Chair Kaneshiro, and Councilmember Cowden for preventing the
increase in our taxation without public hearings. Thank you.
Council Chair Kaneshiro: Is there anyone else in the audience wishing
to testify? Is there anyone on Zoom wishing to testify?
There being no further testimony, the meeting was called back to order, and
proceeded as follows:
Council Chair Kaneshiro: Are there any questions from the Members?
Is there any final discussion on the Resolution regarding tax rates? We will have
ten (10) minutes to talk about the budget when we get to the Operating or CIP Bills.
If you do want to talk about the tax rates, I would say we can talk about that now. I
know it was a big issue on the floor at the time, and I think if we talk about it now
then at the end, we will probably not have much to say about the overall budget. We
can open it up now.
Councilmember Kuali`i: Can you at least say something about the
process that he just said? Could you correct that? I am not sure myself, but is it a
violation of our due process by raising our taxes without public hearing? We just had
our budget process and throughout it, the public can participate, right?
Council Chair Kaneshiro: Yes.
Councilmember Kuali`i: Which is still continuing.
Council Chair Kaneshiro: Councilmember Evslin.
Councilmember Evslin: I do not want to get into discussion on the
merits of the proposal or not, but this is the process that we have. I believe it was
established from Council rules, which is working backwards from dates set in the
Charter that the single meeting that Councilmembers can introduce changes is at
COUNCIL MEETING 28 JUNE 1, 2022
decision-making, from there, it goes to a public hearing afterwards, so if Council is
ever going to change a real property tax rate, it will happen at a proposal at that
meeting—that is our chance. I would have honestly love to have more input on it,
but that is the process that we have, so maybe in the future it is worth figuring out
ways to open up that process more to ensure that we can have longer deliberation
periods over proposed rate changes, but for this year, that is the process and that was
the only time that proposal can be made.
Council Chair Kaneshiro: Councilmember Cowden.
Councilmember Cowden: I have a process question. It really was a
difficult situation for all of us. I think that all of us would like to be helping our people
with housing. When we do this Resolution, is it accurate that the only time we can
do a resolution on the rates of the tax amounts is in the middle of it, or can we do it
at a separate time?
Council Chair Kaneshiro: We can raise rates on taxes any time
throughout the year—no, sorry...
SCOTT K. SATO, Deputy County Clerk:It is only during the budget.
Councilmember Cowden: It is only during the budget. Okay, so those
are difficult nuances, that none of us can put out ahead of time what our intention is,
because we would be violating Sunshine Law, so I am in agreement that it is a weak
piece in the process and maybe we could look at that piece, so it does not create the
conflict. As I have stated there, seeing when we make a change like that, how
disruptive it can be if people do not have the opportunity to be able to give input on
it or anything else—it is very difficult. Perhaps, that is something we can look at in
the future, is how that process piece works.
Council Chair Kaneshiro: That is the only time you can do it. It is a
difficult decision to make, but to some extent they make it a difficult decision because
they do not want you playing with real property taxes a lot, I would think. That is
the process, we are in a time crunch when it comes to it, we have done it before, I
believe we have increased the Real Property Tax rate a few years ago on the
Residential Investor. It just means that you have to make the case clear, you have to
make where the money is going clear, and then you have to get the votes for it.
Ultimately, it is our decision whether we want to inerease the tax rates or not, you
know what the public's input would be on it, and ultimately, it is our decision whether
we do it or not.
Councilmember Cowden: So, it might be that we could at least put out
the date ahead of time that it is something that could be under discussion, because it
is so highly impacting. It is on notice, but like I have said, the notice is next to
COUNCIL MEETING 29 JUNE 1, 2022
nothing. Unless you are really "wonkish" you are not going to know what is
happening, you have to be deeply involved to have any idea what the public hearing
is saying.
Council Chair Kaneshiro: Just on the process, real property tax rates,
yes, that is the time to adjust it. As far as getting money to different departments,
there are a few "cracks" at it, and that is two (2) different policy questions, do we want
to increase the tax rate on a certain tax class, is one (1) policy discussion, then, where
do we want to put the money is another discussion. In this case, if you try and
separate it, where do you want to put the money? You get a few "cracks" at it. Prior
to the budget, department heads are always asking for more money from the
department, they have to justify their needs to the Administration and their budget
group on what their needs are—that is one (1) "crack" at getting more money for a
department. The second "crack" is after the original budget is submitted and the
Council has seen it, either the department head can ask for more money, or the
Councilmember can "jockey" with the Administration for more money—that is the
process we have. Then the supplemental can come in and hopefully they have made
uthechangeinthesupplemental. If the changes are not in the supplemental, again,
our next option is to cut money from the budget and put it to where you want it to be.
If you cut money from CIP, put it into housing or whatever item. Lastly, the final
draw would be if you really wanted to put money somewhere, depending on whether
you wanted to increase taxes or not, you can increase the taxes and put money where
you want it. That is the process of the Council, and how they can control the budget
and where they want money. Councilmember Carvalho.
Councilmember Carvalho: Just a clarification that is the process as we
speak right now, right? Maybe working closely with the Administration side to get
to this point where we need to make these kinds of decisions, which I want to talk
about. I think we have an opportunity to look into different options, but the process
is in place from my understanding. I was trying to clarify that role. I just wanted to
clarify that was the process and maybe we can look at other options that we can get
to a better understanding.
Council Chair Kaneshiro: Councilmember Kuali`i, then Councilmember
Cowden.
Councilmember Kuali`i: I had one more item that is process-wise. I
just wanted to put it out there again and make it very clear. When we took the vote
there was some concern about if we were able to raise the four million
dollars ($4,000,000) and commit it to the Housing Development Fund, the concern
was that it would just be dedicated to that fund for that year, the upcoming budget
year, because we were working on that budget, and that the Council would not have
a say going forward how much money would be going into the fund, and I would just
say that is completely false, because the Council definitely has a say every year, so if
COUNCIL MEETING 30 JUNE 1, 2022
in one (1)year we raise the tax and dedicate that amount to the Housing Development
Fund, when the next year came around and the Mayor did not put that amount on
his own from the General Fund, again, dedicated into the Housing Development
Fund, as a part of the budget the Council decides if it is not enough, then we raise it.
Granted we have to deal with the whole issue of cuts, but I guess we could even say
to the Mayor...the budget is the Council's biggest job, and ultimately, if the Mayor
was not working with the Council, then we could "butt" head-to-head if it came to
that. We have never had that problem in the past, but ultimately, it depends how
important a policy commitment to what we are trying to do, for example, affordable
housing is. Whether we would be able to alter the Mayor's budget and find the cuts
to put the money in the Housing Development Fund like we intended by one-year,
then the next year. We could put it back on the Mayor saying, we want "x" amount
in the Housing Development Fund, we will leave it to you to make the change so it
suits you best, otherwise, if you cannot do it, then we can do it. Again, it is a tough
job. Give and take obviously.
Council Chair Kaneshiro: Councilmember Cowden.
Councilmember Cowden: I just want to follow up with that. When we
shifted our Residential Investor threshold from two million dollars ($2,000,000) to
one million three hundred thousand dollars ($1,300,000), again, at that time our goal
was to create more housing for our people, and we had the shocking gain of seventeen
million dollars ($17,000,000). Throughout the year, certainly in the pre-budget
process, I am consistently saying I want to do community agricultural villages to be
able to be placing our people who are houseless rather than on the side of the road
ilito a place. It happens that we have major inflation this year. Our County is
chartered to deal with our infrastructure, which needs a lot of repairs, we have a lot
of infrastructure problems, which is our chartered responsibility, but when we had
an extra seventeen million dollars ($17,000,000) when we stated when we were
changing it was to create more housing opportunities. It still did not make it into the
budget. To claw back four million five hundred thousand dollars ($4,500,000) or
seventeen million dollars ($17,000,000) item-by-item when it takes five (5) of us to
agree—do we not get that fire truck? Do we not surface that road? Do we not do this
one piece? It is not so easy to do. It is simple to say that we could just do it. I know
that our County Administration cares about the housing challenge also. We have
done a lot with that, but it is not so simple to just claw it back, because if we could,
when we received those seventeen million dollars ($17,000,000), why did we not do
it? So, it is not an easy thing, and I do not think anyone in the Administration,
Department of Parks & Recreation especially, and probably the Managing Director
does not know how adamantly I am interested in trying to help our houseless
community and people who are barely housed. It is just not as simple as it sounds.
It would have been onetime correction. He is breathing hard here. I do not mean to
give him a hard time. We were trying to make a rightful decision and we all care
about the same outcome, it is just how do we get there? I would say, same to the
COUNCIL MEETING 31 JUNE 1, 2022
Administration and anyone out there our Charter has a process problem then, if we
can only give this light acknowledgement to people who might be deeply affected by
a tax change. It is not as easy as it sounds.
Council Chair Kaneshiro: Councilmember DeCosta.
Councilmember DeCosta: Would you like to explain on what she just
said, or can I touch up on it? We are talking about 2017, correct?
Councilmember Cowden: No, I am talking about seventeen million
dollars ($17,000,000) that was in the budget.
Councilmember DeCosta: Correct, but did we not in a certain year, I
believe it was Council Vice Chair Chock, and I think the Mayor was on the Council
when they decided to increase the TVR rate and money was put into the housing,
correct, Chair?
Council Chair Kaneshiro: Yes, I believe money was put into housing and
supposed to be improvements to Vidinha Stadium.
Councilmember DeCosta: Correct. Now, since that time, has every year
followed that the same amount of money that was raised goes into the housing? It
has not?
Council Chair Kaneshiro: They have always put money in housing. I
believe it was reduced during COVID-19. During COVID-19, we lost money not only
from COVID-19, but we lost Transient Accommodations Tax (TAT) from the State.
Councilmember DeCosta: Correct. Again, you folks sat on the Council
and saw that money. Not you? Councilmember Kuali`i, you sat on that Council?
Councilmember Kuali`i: Probably not, 2016 to 2018.
Councilmember DeCosta: I am talking about the years to follow.
Councilmember Kuali`i: I have been on and off.
Councilmember DeCosta: And you saw that money be used by the
Administration, because the Mayor needed to use that money in the budget. So, the
process is not that simple, just to take money, tax people. You know that taxing is a
very insufficient way to be fiscally responsible when you run any kind of business,
that should be our last resort. I believe my vote on it was not to see money sit in an
account that we could not spend for that year, and Adam told us that he had fifteen
million five hundred thousand dollars ($15,500,000), he had more than enough that
COUNCIL MEETING 32 JUNE 1, 2022
he could spend for that year. This whole thing made us look really bad with the media
that all seven (7) of us do not have a conscience about public housing—that is our
biggest concern, the seven (7) of us and our Mayor and his Administration. We would
love to build a house for everyone, but taxing a certain group of people and leaving
that funding in an account that is not being used for that year is not a fiscal way to
run a business or a county, you want the money circulating in the economy—that is
how you strengthen your economy. That is my point on this.
Council Chair Kaneshiro: Council Vice Chair Chock.
Councilmember Chock: I was hoping we would not get down this road.
Taxing is the only means for this County to balance its budget. I would completely
agree, and the perceptions are perceptions and that is just part of the job, but we all
care as was mentioned about housing. In that much, I think we can all agree upon.
The Council is very limited in its abilities to move the needle forward on certain items,
this primarily sits in the Council's seat in order to make a decision. It is set up such
that it cannot be done easily and that is a good thing—it is done by a super majority,
so to say that this is something that can be easily done is false. It is our process in
order to put it on the table to have that discussion and it should be ongoing. Now,
going back to when the last increase in TVRs was done, and that funding was sent to
the Housing Revolving Fund, all those funds were expended, it was utilized, and we
have great outcomes because of it today that we can be proud of. I think that when
we plan for something and you go through enough of these budgets overtime, you
know where your levers are and what you need to pull, and that is something that I
think some of you will come to understand, and maybe be able to plan for it ahead of
time, but certainly, I have seen enough budgets to see that this is where it happens,
and this is the mechanism of which we go through in order to make it happen. So,
you know what happened after that vote and the following budget was the flood
happened followed by the pandemic, so to have that flexibility, which I think I agree,
and I know our Chair does definitely, to have that flexibility is really important. That
is one of the reasons why a charter amendment was never introduced for and
earmark, because we like to have the flexibility of moving that funding, and we
decided the following year that we needed it. Is that money still there? Yes. Should
we be active on it? Yes, and such is whenever another increase is considered. I would
just say, I do not know if we need to get hard on ourselves here, this is the way for us
to make those changes, and we need to continue to have those discussions.
Council Chair Kaneshiro: Councilmember Kuali`i.
Councilmember Kuali`i: I just wanted to be very clear, too. I am not
saying it was simple or easy. All I was saying is that it is our responsibility that we
have that authority and responsibility. Like Vice Chair talked about as far as the
lever and mechanism, that is our biggest responsibility—the budget is our biggest
responsibility, and the thing about the fifteen million dollars ($15,000,000), our
COUNCIL MEETING 33 JUNE 1, 2022
Housing Director shared with us fifteen million dollars ($15,000,000) worth of
expenses that had he had fifteen million dollars ($15,000,000) in his Housing
Development Fund, he could spend on all these purposes. Now, he did also say the
whole thing about it is more than a year and going forward and having to grow the
funds because of what is coming in the next couple of years is way beyond the four
million dollars ($4,000,000) or five million dollars ($5,000,000) that we have been
allocating year-after-year. It is not simple or easy. It is big, bold, broad policy
decisions, but that is our job, we all were elected to not have it simple or easy. We
were elected to make tough decisions, and sometimes when it is on the floor, you just
have to vote up or down, explain your reason why, then move on. I was very clear
and passionate at the end saying, I hope that next budget cycle, hopefully, we are
here and the next Council for them, that they do not start from a blank piece of paper
again, that they start from where we left off, because we have at least got it to that
point of the discussion.
Council Chair Kaneshiro: For me, I am just going to say, I do not think
we have a scheduling problem. The way our budget is set up is that we work
tackwards, the budget needs to be passed at a certain time, this is the way it goes, I
think if we started the budget earlier because of this option for a tax rate change, I
do not know if the outcome will be any different than what it did. I think everyone
made their decision on the spot, they are sticking with their decision, and that is the
way it should be. I do not think there should be a schedule change with the way the
budget goes. That is the way it has been going this whole time. I think it works well.
Staff works well on it. That is my opinion. I think we make the decision at that place
and time. We have a lot of knowledge and information from the budget going into
that decision to decide whether we want to go up and down, it might not be a
comfortable decision we make, but it is a decision we make and stand by. With that
being said, I guess now would be a good time for me to justify where my stance was
on that actual proposal to increase the TVR rates and to provide that increased
revenue to housing. I did make the statement. I did not think that was the right
time to do it. The premise of that is I am not in favor of increasing taxes, because I
strongly believe we need to be fiscally responsible and live within our means. Taxes
should only be done sparingly, strategically, and when absolutely necessary. In this
case, when I say I did not think it was the right time, the County saw a forty-nine
million dollar ($49,000,000) increase this budget in revenue. A forty-nine million
dollar ($49,000,000) increase in revenue is huge. In the past, I believe we might have
had a negative around COVID-19 time, a three million dollar ($3,000,000) to ten
million dollar ($10,000,000) increase is usually typical of what we see, a forty-nine
million dollar ($49,000,000) increase is huge and there are reasons for that forty-nine
million dollar ($49,000,000) increase. Off the top of my head, the additional three
percent (3%) TAT we received that we are taxing on top of TVR that brought in, I
believe, nineteen million dollars ($19,000,000). The Residential Investor tax class
brought in seventeen million dollars ($17,000,000) more dollars, and just basic
assessments increase. Even assessments on vacation rentals increased, they brought
COUNCIL MEETING 34 JUNE 1, 2022
in an additional seven million dollars ($17,000,000). Every vacation rental the
average increase for them was about fifteen percent (15%), so that is how we got this
big influx of money. When you think about it, the Vacation Rental tax class has
already been impacted, because they saw that fifteen percent (15%) increase that
brought in seventeen million dollars ($17,000,000) to the County, and then they were
assessed with that three percent (3%) on top of the States already ten and a quarter
percent (10.25%), so they have already been affected in this budget cycle and not long
ago last year or two (2)years ago, they could not even operate, we did not have tourists
on-island, we never gave them any reprieve on the real property taxes, they all paid
it. For me, it was not the time, we live within our means, forty-nine million
dollars ($49,000,000) is a lot of money that has come in. A lot of that money went to
CIP, we had a lot of new projects, twenty-two million dollars ($22,000,000) worth of
new projects in our CIP. Again, if we really wanted to push money into housing then
we can look at that CIP list and say what is not a priority on that list and what is the
need for housing now. At the time, I did not hear from the Housing Director as far
as a need for money at this time. They did give us a list of fifteen million
dollars ($15,000,000), but that was a wish-list. On that list, five million three
hundred thousand dollars ($5,300,000) of that was for construction of a community
center at Lima Ola, which is not housing, it is a community center and at the time,
we had information from the Office of the Mayor that we are also getting money from
the State to fund part of that community center, so that would not be the total
amount. Other parts of the money were relating to purchasing property in Kilauea,
he mentioned numerous times that many of the projects on his wish-list was not
shovel-ready. It depended on all these preconstruction type of studies first before he
can move into getting into some of these other items, and all of those preconstruction
items were on that fifteen million dollar ($15,000,000) list, and all of those were being
funded by the three million dollars ($3,000,000)that housing was getting at that time.
That is two (2) sides to the coin on that proposal. That is some of the justification
why I did not vote for that proposal. We have to live within our means. I am not a
fan of taxing and spending earmarks. I am in favor of being fiscally responsible and
I think that is the way I ran the budget, all eight (8) years that I have been on it.
Again, if the Housing Agency really needed the money, then they needed to convince
everyone that they needed the money. Adam was honest and clear, he said he did not
need all that money at this time. I think they mentioned it could go in the revolving
fund, it does not necessarily need to be spent that year. Again, the County has many
needs. We base our budget on the needs we have now, and that was the decision I
made at the time. Councilmember DeCosta.
Councilmember DeCosta: I want to reiterate, Chair, you always seem to
have much common sense when you point things out. Our job as seven (7) of us here
is to be able to absorb what each other says on this table and to be able to change our
minds based on the influence, statistics, or the information that we share with each
other. I have done it many times. You folks won my vote many times on this floor. I
think this is one of the situations where being fiscally responsible is important. I am
COUNCIL MEETING 35 JUNE 1, 2022
going to say this, because I think Council Vice Chair Chock mentioned it twice about
COVID-19 and the flood. I am an economist that is my background, that is my degree,
and I look at how the economy is and the buzz word right now at our nation's capital
is a recession. What does a recession mean? It means that people live within their
means. It means counties and States across the nation may not travel, may not spend
that lucrative cash that they have willingly. I believe our Mayor was looking at that.
If we hit a recession, what would happen to the TVRs? They paid their taxes during
COVID-19. We hit a recession; they still are going to be able to pay those taxes. They
bounce back within a year. We have one (1) year of them bouncing back. I am trying
to be a responsible Councilmember for all the entities on Kauai from our local
families who do not own a TVR, who do not even own a home, to our local families
who own a family, to local families who own a TVR, and to the mainlanders who own
a TVR. We are their Councilmember, and we should be responsible. That is what I
wanted to give you my mana o and tell you about my stance on this.
Council Chair Kaneshiro: Councilmember Carvalho.
Councilmember Carvalho: I understand all the discussion and I think we
are on the same page with most of it, but speaking on the Administrative side, and I
understand the process and the importance of what is on your wish-list and what is
the actual funding that you need to get things done, because at the end of the day the
Administration will have to make it happen and the funding is coming. In the
discussion part, the opportunity is still on the table in the future. The funding can
go and can be utilized in a time that it can be used. We can let it flow that way. On
the Administration's side, we would like to be sure that we can follow through and be
sure that the funds are utilized by Housing. Housing is a big thing for us. I think it
is all a part of theprocess. We all made our own decisions and I, too, felt that the
timing and all the information was being discussed. I remember Housing saying that
right now they could not use all the funds. It is not that they did not need. It is just
the timing of it. We will move to the next level. I understand that. I just wanted to
say that on my part and move forward. It is still open for discussion. We can move
forward in other ways working together.
Council Chair Kaneshiro: Councilmember Evslin.
Councilmember Evslin: I was not prepared to have this conversation
again. I do not necessarily think it is valuable to have it again. I am ready to go bat
a year from now and try it all over. I guess for today, I do want to respond to a couple
of things. Everyone is passionate and everyone around this room has taken hard
votes on affordable housing, has introduced policies relating to affordable housing,
and I think everyone recognizes the scale of this problem and is trying to address it
in different ways. I think we all recognize that it is an "all of the above" approach.
We need to encourage more market rate development, do what we can with our zoning
and infrastructure, and need to be building more subsidized affordable housing. In
COUNCIL MEETING 36 JUNE 1, 2022
my opinion, we need to be doing more to disincentivize vacant homeownership and
TVRs to get supply from everywhere that we can get housing supply. This policy was
a small step in that direction. I agree with everything that Councilmember Kuali`i
said, except when he said that this was bold. I do not even think it was bold. It would
still make us less than the TVR rates on every other island. It is a policy that comes
right out of the General Plan. TVRs should be equal to Hotel & Resort. It would not
have solved the problem, but it would take us a half(1/
2) step in the right direction.
It is something at the bare minimum necessary. Bold is going to what the other
islands are doing or even higher, which is eleven dollars ($11) or twelve dollars ($12)
per TVR. Going bold is going what the mainland would tax a TVR, which is twenty
dollars ($20) per one thousand dollars ($1,000) assessed. Bold is not going to ten
dollars and eighty-five cents ($10.85). I think maybe we all heard what Adam was
saying differently or we all heard what we wanted to hear, possibly. What I heard
from Adam was that there was a need for more money for affordable housing. We
have giant infrastructure projects coming through the pipe through the next few
years with no funding source identified. With the Revolving Fund, even if the money
rolls over, it could be used for these big projects coming up. I never once heard that
the money is not needed. In fact, I heard the opposite. He has said multiple times
that even if it is not a county project, that that money can be used to help subsidize
other low-income housing development, which enables these projects to pencil out
and often get access to Low-Income Housing Tax Credits (LIHTC) that they would
not otherwise. This is leverage private and Federal funding when we have access to
this type of moneys that can be...there will be another housing development going up
across the street that is using some County money that was able to help get it penciled
out. I think the money is absolutely necessary. Regarding what would happen if we
went into a recession, that is why when times are good is when we try to build the
capacity to get through times that are not good. What would happen to TVRs if there
is a recession? What would happen to residents in a recession? That is the time when
we really need to be spending even more money on affordable housing. If we had the
capacity to and have a Housing Revolving Fund with money in it, you could even cut
other taxes. That is what you should do in a recession, possible cut taxes using the
money that you received during good times. These are as good of times as they get
with TVRs. The industry is booming. Ask anyone who owns a TVR, they are doing
better by far than they have done. Lastly, before I go on too long, a couple of
misstatements that I think have been made in letters to the newspaper or elsewhere.
There was a statement in the newspaper saying that there was no earmark. That is
not true. This was an earmark. That is how the budget process works. We have gone
over that. This money raised the tax, and it made a one-year earmark. That is all
we can do absent a Charter Amendment. We have gone through that. This was
clearly an earmark for affordable housing. Secondly, there was a letter in the
newspaper saying there was only fifty (50) TVRs on the island and that the four
thousand (4,000) number is inaccurate. That is not true. Four thousand (4,000) is
approximately the number of TVRs that our Real Property Assessment Division
classifies as TVRs. That means there are short-term rental operations happening on
COUNCIL MEETING 37 JUNE 1, 2022
those properties. Even that number is an underestimate, because that is just four
thousand (4,000) parcels with TVRs. Many of those parcels have two (2), three (3),
four (4), five (5), six (6), or seven (7) TVRs on a single parcel. That four
thousand (4,000) is not even the total number of TVRs that we have on Kauai.
Another error and I apologize for it. Councilmember DeCosta asked me on the floor
how many residents own TVRs and I cited a number from the Appleseed Foundation
which said that fifty-two percent (52%) or fifty-four percent (54%) are owned by
mainland investors. That came from a report of statewide data. There was a caveat
on the data that the data was not good. I asked our Department of Finance if they
could figure out how many were owned by local homeowners. They came back with
fifteen percent (15%) and that is using address data for their TAT filing separating
out management companies. Their best approximation was somewhere in the range
of fifteen percent (15%). Even that data is most likely not good, because that is just
looking at where someone is filing their taxes. That was my fault. I gave that number
out and that number has been repeated many times elsewhere. That number is likely
a lot closer to fifteen percent (15%) of TVRs owned by local residents. There is more,
but I will not keep going here. I deeply appreciate the conversation that we have had
here. I deeply appreciate everyone's perspectives here. I look forward to having this
conversation in three hundred sixty (360) days, maybe.
Council Chair Kaneshiro: Councilmember Cowden.
Councilmember Cowden: I think this kind of conversation is extremely
important. For the viewers who might not know, we have the Sunshine Law that
keeps us from being able to talk about it when we are together. These things are very
important. On the earmarks, you might be talking about my statements, I was
talking about permanent earmarks. What I just heard from Council Vice Chair
Chock about the trouble with Charter earmarks, is worthy of consideration. When
we look at our deferred maintenance, which is our kuleana. I do not know if anyone
has noticed, but that bridge in Anahola, you cannot go across the road anymore. You
cannot make that loop. When I looked at that knowing how much it costs to fix
bridges, I do not know how much that one costs. It seems like crazy amounts. It is
one million dollars ($1,000,000) or two million dollars ($2,000,000) just to fix a little
bridge and sometimes more. Councilmember DeCosta brought up recession. Yes, we
are looking at recession. Inflation needs to be added to that. Inflation and recession.
Everyone is getting a tax increase because of the inflationary pressure, except for
those of us in Homestead or Commercial Residential because we have this assessment
cap. I appreciate where Council Chair Kaneshiro pointed out those different pieces
of the forty-nine million dollars ($49,000,000). These are not easy choices. When I
look at the deferred maintenance on our infrastructure, that is a big piece.
Infrastructure is such a key part of being able to have affordable housing. I like that
we are all on the same page. I just want to speak to term limits for a moment. I know
that I am a beneficiary of these term limits. We are going to lose two (2) important
people, whether I agree with you or not on things. You both have a whole lot to bring
COUNCIL MEETING 38 JUNE 1, 2022
to the table. I am thankful for your many years of service, Councilmember Carvalho,
and it takes a learning process of knowing what is going on. When you are in the
experience of pushing for something that is stopped, is important. When I look at
these very short terms, this was all a part of the Charter Amendment. The short
terms are competing against each other all the time. We try not to, but we have these
short terms, and we lose institutional memory and knowledge, and when we have
citizens that maybe rightfully complaining by pulling points out where they disagree
with us, part of it is the training process, learning process, and this myriad of
nuances. I am thankful that we did have this conversation right now. When we are
thinking about three hundred sixty (360) days from now, believe me, I will be
pumping ahead of time of when we will be talking about that so that anyone on any
of those tax classes can be getting their input in to us so that we make our best
decisions and can feel confident that we heard from them. That is a big issue for me.
If I have been sitting in an empty room for two (2) years...I am really thankful to
have people begin to be coming back. The public is such an important part of this
process. I thank you all for this conversation. I have full respect to my colleagues
who voted differently than I did on a very difficult decision. I feel like a very loud
champion for those without housing or barely housed. It cannot get closer to my heart
than that topic.
Council Chair Kaneshiro: Does anyone else have any final discussion?
If not, we will take a roll call vote.
The motion for adoption of Resolution No. 2022-10 was then put, and carried by
the following vote:
FOR ADOPTION: Carvalho, Chock, Cowden, DeCosta,
Evslin, Kuali`i, Kaneshiro TOTAL— 7,
AGAINST ADOPTION: None TOTAL— 0,
EXCUSED & NOT VOTING: None TOTAL— 0,
RECUSED & NOT VOTING: None TOTAL— 0.
JADE K. FOUNTAIN-TANIGAWA, County Clerk: Seven (7) ayes.
Council Chair Kaneshiro: With that, we will take our ten-minute caption
break and we will be back to continue with our Council Meeting agenda.
There being no objections, the meeting recessed at 10:34 a.m.
The meeting reconvened at 10:46 a.m., and proceeded as follows:
Councilmember Cowden and Councilmember Evslin were noted as not present.)
Council Chair Kaneshiro: Welcome back. We are on page 5, the second
Resolution.
COUNCIL MEETING 39 JUNE 1, 2022
Resolution No. 2022-18 — RESOLUTION AMENDING RESOLUTION
NO. 138 (1954) AND RESOLUTION NO. 90-94, BY ESTABLISHING A
CROSSWALK AND A LEFT TURN ONLY LANE ALONG HANAMA`ULU ROAD,
LIHU`E DISTRICT COUNTY OF KAUAI
Councilmember Kuali`i moved for adoption of Resolution No. 2022-18,
seconded by Councilmember Carvalho.
Councilmember Evslin was noted as present.)
Council Chair Kaneshiro: We received no written testimony on this
item. I will suspend the rules and have Michael Moule give us an overview of this
Resolution and what changes are going to take place.
There being no objections, the rules were suspended.
MICHAEL MOULE, Chief of Engineering (via remote technology): Good
morning. As a quick overview, this is one (1) of two (2) Safe Routes to Schools projects
that we are currently building here on Kaua`i. This is for King Kaumuali`i
Elementary School. There are a few changes here from a resolution point of view.
The project includes sidewalks, crosswalks, paved shoulders, and flashing beacons for
the crosswalks. What is being changed in this Resolution are two (2) things. The
first is that we are moving a crosswalk. If it would help, I could share my screen so
you can see a map of that. Let me do that really quickly. That is the wrong screen,
sorry. That is not what I meant to share. Here we go. This should be a screen of the
Resolution itself. I will show the map and pull up Google Earth to show you that as
well. This should give you a better picture of what is going on. Here is the map. This
is the school area right here. Right here is the school. This is the entrance to the
school and into the parking lot. The exit is here at the bottom of the map. This is the
map attached to the Resolution. There is a left turn lane here and the crosswalk is
here. The project also includes some improvements to a crosswalk nearby. I will
show that to you momentarily on Google Earth. The left turn lane is an existing
feature that we are reconfiguring as a part of the project. Through our research and
checking with Council Services Staff, we were unable to locate any resolution
establishing that left turn lane. Since the Code states that the Council shall establish
things like turn lanes of traffic lanes by resolution, we wanted to clean up the fact
that that was not established by resolution here. That is why the left turn lane is
included even though it is an existing feature. We are shifting it a little bit as a part
of the project. It is roughly speaking where it was before. I am going to pull up Google
Earth here so you can see the area here on the map. Let me drag this over. Here is
the school area. This is the school parking lot entrance and exit. Let me turn off
these roads. You can see the turn lane existing here. This is an existing image. You
can see an existing crosswalk right at the school entrance and that crosswalk is being
moved from this location to here just west of Lawehana Street, which is this street
COUNCIL MEETING 40 JUNE 1, 2022
here off of Hanamd'ulu Road. There is an existing crosswalk down here down to Kuli
Street. We are doing some improvements there to put in a curb extension to bring
the students and other pedestrians crossing the street out past the parked cars so
that they can see better when they are crossing the street. We are not moving that
crosswalk, so it is not included in this Resolution. The work does include some safety
improvements for that crosswalk as well. Again, the simple changes are to take this
turn lane and establish it by resolution, remove this crosswalk, and establish a
crosswalk over here at this location. The Resolution also includes repealing an old
crosswalk and the text for that. If you look at the text on the Resolution, you see this
first one being repealed here regarding one thousand fifty-five (1,055) feet east of
Kuhio Highway...I can do it in Google Earth here if you want...I do not think it is
necessary though...it takes you to a location where there is no crosswalk now. Based
on aerial images that we have we do not see any crosswalk there for
years...twenty (20) years roughly. We are just repealing that since that crosswalk
has not been in place for a long time even though there is a resolution for it. Section 2
here, is establishing the one at the west side of Lawehana Street. Section 3 is
repealing the one that is one hundred fifty (150) feet west of Lawehana Street near
the school entrance. On the next page, Section 4, establishes the turn lane, which
again, existed physically here, but we are doing the Resolution to clean it up as part
of the Resolution today. That is all that I got.
Councilmember Cowden was noted as present.)
Council Chair Kaneshiro: Thank you for that explanation. Do we have
any questions for Michael on this Resolution regarding the crosswalk and left turn
lane? Councilmember Cowden.
Councilmember Cowden: I know I have walked with different members
of the community. I am sorry I was a little bit late here. Was this community-driven?
Mr. Moule: This project has been around for a while. The
funding was obtained back in 2014 for the Safe Routes to Schools project. We worked
with the school and held public meetings at the school. We worked with the
homeowners' association in Hanamd'ulu. The project originally included more
elements traveling down Ho`ohana Street nearby. Those were removed based on
public meetings. They were pretty hard to implement given the constraints on that
street. We worked with the school and the public to not include those improvements
mainly focusing on the area shown on the map now, which includes sidewalks on
Akuli Street here and these crossings and sidewalks on Hanamd'ulu Road all the way
to here and Hanamd'ulu Place, and the crosswalks that I talked about before.
Councilmember Cowden: I believe I was involved in that Safe Routes to
School project. We had a young member of that community hit by a car with some
serious enduring injuries.
COUNCIL MEETING 41 JUNE 1, 2022
Mr. Moule: Yes, that was at the other end of the
community though. That was not close to the school here.
Councilmember Cowden: Yes. That is further down and that is where
you say we are not making the correction yet.
Mr. Moule: That crash occurred way over here on
Laukona Street. That area was never part of the Safe Routes to School project. My
understanding is that the student who was hit there was not walking to King
Kaumuali`i Elementary School, but rather to a nearby bus stop to catch a bus to the
middle school, when she was unfortunately hit.
Councilmember Cowden: Okay, thank you.
Council Chair Kaneshiro: Are there any other questions from the
Members? Councilmember DeCosta.
Councilmember DeCosta: I had a general question, not specific to this.
Michael, I am glad you brought up about the cars that are parked on the street and
having to bring out the crosswalk. It seems like when there are parking stalls next
to crosswalks that have a sign, but do not have a flashing beacon, it is kind of
dangerous. The pedestrian has to walk out to see the coming traffic with cars parking
on both sides of the street. I was talking a little bit about this with Troy that there
is a spot out in Waimea that needs attention. Thank you for bringing that up,
Michael, it is important.
Mr. Moule: Yes.
Council Chair Kaneshiro: Are there any other questions from the
Members? If not, while the rules are still suspended, is there anyone in the audience
or on Zoom wishing to testify? Are there any further questions?
There being no one present to provide testimony, the meeting was called back
to order, and proceeded as follows:
Council Chair Kaneshiro: Is there any final discussion? If not, roll call
vote.
The motion for adoption of Resolution No. 2022-18 was then put, and carried by
the following vote:
FOR ADOPTION: Carvalho, Chock, Cowden, DeCosta,
Evslin, Kuali`i, Kaneshiro TOTAL— 7,
AGAINST ADOPTION: None TOTAL— 0,
EXCUSED & NOT VOTING: None TOTAL — 0,
RECUSED & NOT VOTING: None TOTAL — 0.
Ms. Fountain-Tanigawa: Seven (7) ayes.
COUNCIL MEETING 42 JUNE 1, 2022
Resolution No. 2022-19 — RESOLUTION AMENDING RESOLUTION NO. 32,
DRAFT 1 (1985), AS AMENDED BY RESOLUTION NOS. 27 (1987), 75 (1988),
45 (1989), AND RESOLUTION NO. 2000-21 RELATING TO TRAFFIC
REGULATIONS AT PRINCEVILLE
Councilmember Kuali`i moved for adoption of Resolution No. 2022-19,
seconded by Councilmember Carvalho.
Council Chair Kaneshiro: We received written testimony on this item.
Councilmember Cowden, did you want to explain this Resolution?
Councilmember Cowden: Yes. This is a pretty simple Resolution.
There is a traffic circle as you enter Princeville on Ka Haku Road. I believe that was
one of the very first traffic circles, if not the first one on the island. It is not exactly
a roundabout because it is not exactly circular. The stop signs are within the circle
and now we have people who understand to yield as they enter a roundabout or traffic
circle. That is essentially the change that was made. We have traffic confusion going
into that area. There are sometimes speeding issues partly driven by frustration as
people are coming out. We want to start by fixing this. I just really want to thank
Michael Moule for going above and beyond the call of duty for helping with this. He
made it be a really easy solution and suggestion. You will see that both homeowners'
associations have written letters of approval and they did a survey of the community
as I suggested. There was not a challenge on that. I think it will help the flow
through that area, especially when Kuhio Highway is damaged and broken, that area
has an exceptional amount of traffic going through it that is not ordinary. I am
thankful that this is in place. I do not know if Michael Moule would like to add
anything to that. Thank you very much, Michael, for the work that you did and for
improving and cleaning up the rest of the document that was really quite old for that
subdivision. You did a very nice job.
Council Chair Kaneshiro: Are there any questions from the Members on
this? If not, is there anyone in the audience or on Zoom wishing to testify on this
item?
There being no one present to provide testimony, the meeting proceeded as
follows:
Council Chair Kaneshiro: Are there any final questions from the
Members? Is there any final discussion? We will take a roll call vote.
The motion for adoption of Resolution No. 2022-19 was then put, and carried by
the following vote:
COUNCIL MEETING 43 JUNE 1, 2022
FOR ADOPTION: Carvalho, Chock, Cowden, DeCosta,
Evslin, Kuali`i, Kaneshiro TOTAL— 7,
AGAINST ADOPTION: None TOTAL— 0,
EXCUSED & NOT VOTING: None TOTAL— 0,
RECUSED & NOT VOTING: None TOTAL — 0.
Ms. Fountain-Tanigawa: Seven (7) ayes.
BILLS FOR FIRST READING:
Proposed Draft Bill (No. 2868) —A BILL FOR AN ORDINANCE AMENDING
CHAPTER 8, KAUAI COUNTY CODE 1987, AS AMENDED, RELATING TO
APPLICATION OF REGULATIONS (County of Kauai Planning Department,
Applicant) (ZA-2022-4)
Councilmember Kuali`i moved for passage of Proposed Draft Bill (No. 2868) on
first reading, that it be ordered to print, that a public hearing thereon be
scheduled for July 6, 2022, and that it be referred to the Planning Committee,
seconded by Councilmember Carvalho.
Council Chair Kaneshiro: We received no written testimony on this
item. I will suspend the rules. Ka aina, if you want to give us an overview of the Bill,
please.
There being no objections, the rules were suspended.
KA'AINA S. HULL, Director of Planning (via remote technology):
Good morning. Sorry, I just ran up a bunch of stairs. The draft that you have before
you today is a measure concerning having the appropriate dwelling unit count for
each condominium property regime (CPR) unit proposed in a CPR project. To give
you some background information on this...the Horizontal Property Regime (HPR)
has been in State law since the 1960s. In the 1980s, it really began to get applied in
a rather robust manner here on Kauai to essentially somewhat circumvent the
one-time subdivision agricultural limitation that we have here on Kaua`i. CPRs can
be a galvanizing topic, but one (1) issue that arose back in the 1980s was the CPR
process is a State regime and is run by a State entity. At that time, the Planning
Department policymakers here on Kaua`i had grave concerns about the Kaua`i Real
Estate Commission letting CPR projects happen "willy-nilly" sometimes without
density and essentially developers or realtors selling CPR units on the open market
without any density rights. What happened is there was not a way...a fair amount
of CPR units sold on the open market which people could not really build on. That in
response had some concerns both by the Hawai`i Real Estate Commission, as well as
the County of Kaua`i, whereby in the early 2000s, the Real Estate Commission started
actually checking with the County of Kaua`i Planning Department to ensure that
each of the respective proposed CPR units in a CPR project is in conformance with
County law. The standard outreach was requesting whether or not there are any
zoning violations, which we would respond to whether or not there were. In
around 2010, recognizing that there are still concerns about CPR units being sold
without density, the Planning Department began actually communicating with the
COUNCIL MEETING 44 JUNE 1, 2022
Hawai`i Real Estate Commission that these properties and projects need to have the
respective dwelling unit entitlements per CPR unit, so again, no CPR units without
any density rights were sold on the open market to unsuspecting buyers. We have
had that practice in play for nearly a decade now. I would say about a year ago, some
land use attorneys a bit more on the private property side, began reflecting that this
policy and practice may be an overreach on behalf of the Planning Department being
that there are no hard and fast rules or regulations concerning that restriction. In
response to those concerns and the possible legal liability we may be open to
continuing the practice, we drafted up this Bill you have before you, to essentially
limit the amount of CPR units or any CPR project the respective number of dwelling
units that are on a subject property. It went through the Planning Commission
relatively easily without much controversy and is before you now. I can say since it
went to the Planning Commission, at least one (1) land use attorney reached out, in
fact just yesterday, to me, expressing his concerns that while this makes sense for
residential CPR projects, he has concerns about it being applied to commercial or
industrial CPR projects being that many of them may have no intention of ever
developing a dwelling unit on the respective unit that they are chopping up. Hearing
that, I think it is a valid concern. I have asked that attorney to submit official
comments to the County Council so that we can get that on the record. I believe there
are ways we can address those concerns and issues and I look forward to Committee
should you refer it to Committee.
Council Chair Kaneshiro: Thank you for that explanation. I have
questions. Councilmember Evslin, then Councilmember Cowden.
Councilmember Evslin: Thank you, Ka`aina. Along with there being
potential concerns with commercial and industrial, could there not be some value on
agricultural land about having zero (0) density parcel, which somewhat ensures that
parcel will get used for agricultural purposes, like I think we see a lot in Moloa`a or
elsewhere?
Mr. Hull: Yes. It is the agricultural area that is our
concern where most of these CPR units were chopped up and utilized...sold on the
open market in a manner of which the buyers thought they had dwelling rights.
There are disclosure documents. It is their responsibility and their realtor's
responsibility to go through the CPR declaration in detail, and if they do, they might
realize that they do not have a density entitlement. It is a valid point,
Councilmember Evslin. There is more we can discuss about that in Committee and
in working together. I would say that Moloa`a comes to my mind in particular. It
was arguably one of the most problematic situations for CPR units being chopped up
without density rights. Having said that, I can recognize also that Moloa`a has a fair
amount of actual farming occurring on those CPR units that are vacant. Whether or
not this practice that was put in play is much more a function of maybe we reeled in
as we "beefed up" and scaled our enforcement operations...it is a balancing act I
guess, Councilmember.
Councilmember Evslin: Thank you. I guess along those lines, I could
see some value in a larger lot getting CPR'd and bundled the density together into
one portion, which I think is better for a lot of reasons, including infrastructure,
COUNCIL MEETING 45 JUNE 1, 2022
et cetera...then leaving a large segment with no density and the owner of that is
forced to farm it or lease it out for farming purposes or something along those lines.
You do not need to answer that. I am just speaking hypothetically. Another example,
what if there are two (2) adjacent properties, say one (1) owner for two (2) tax map
keys (TMKs) and they want to CPR-off a house site on the bottom TMK, say an acre
around the single house at the bottom of the TMK and it leaves a large swath of that
TMK with no density, but since they own the adjacent TMK, they build their house
on the adjacent TMK, and they are using that TMK sort of as their farm, yard, or
whatever. Are there options for them to change their lot lines, or how can that be
accommodated?
Mr. Hull: It could in theory be accomplished through
the CPR processes that exists today. It is not necessarily the way we have been
practicing it with the Real Estate Commission and in working with them to ensure
that we have no non-conformance issues. Arguably and off the cuff, I would say that
the best approach for setting up a no-density agricultural parcel if you will, really
should be done through the subdivision process. In that you can get a variance
against the one-time subdivision process whereby you can establish just a parcel for
agricultural purposes with no density and through that process more conditions of
approval can be established for the Planning Department to enforce and ensure that
that parcel is really being used for agriculture and we are separating one with no
density. The case that is particularly emblematic of that is the agricultural park in
Kilauea. That was created explicitly through the subdivision process for a
non-density parcel for agricultural purposes with very specific conditions on how it
can and needs to be used for agricultural purposes. That is the one route that I will
generally try to push applicants towards if they want to go for that regime. Again,
that is not to say it cannot be done through the CPR process, should the policy of the
Council want to lean more towards that, that would ultimately be in receipt of this
Bill if you will.
Councilmember Evslin: Sorry, one more question. Some of these
things should be discussed during Committee, but just a quick one. If someone is
trying to change their lot line without creating any new lots...they have two (2) lots
and are just trying to move lines around...how hard is that process to do? Do you
have to go through the subdivision process to do that?
Mr. Hull: You are talking about lot lines, not CPR lines,
right?
Councilmember Evslin: Right. Say two (2) adjacent TMKs, right, they
want to kind of carve something out that is different so they can possibly CPR off a
smaller parcel of it, while re-conforming their TMK to absorb some of that existing
parcel, if that makes sense.
Mr. Hull: For the most part, it is not that much of a
lengthy process if no additional density is going to be established. If moving and
doing a small, minor lot line adjustment results in the increase in density, then it
could be a bit more thorough in which all the infrastructure agencies have to
participate.
COUNCIL MEETING 46 JUNE 1, 2022
Councilmember Evslin: Okay, thank you, Ka`aina.
Mr. Hull: I will just say, too, to your point...sorry.
Council Chair Kaneshiro: Go ahead.
Mr. Hull: To your point, Councilmember Evslin, about
various discussions of how CPRs are utilized, what function, and in what capacity,
along with the idea of clustering units to ease up the infrastructure requirements,
this is...it has been a bumpy road with the County of Kaua`i and CPRs. I think
Director Shigemoto who spoke to you earlier this morning was first to utilize it
robustly back in the 1980s. Director Shigemoto attempted to and propose essentially
tying CPRs to the subdivision process. That was ultimately not adopted by the
Council at that time. Later on in the 1990s Director Crowell attempted to propose a
bill that would cluster farm dwellings on agricultural lots, so to speak particularly to
that concern that you are bringing up, Councilmember Evslin. Again because of the
concerns that were happening with CPRs and the chopping up of agricultural
land...ultimately that also was not adopted. There were valid concerns on both sides.
In an attempt to address CPRs and concerns that arose out of them, there has been
a long slew of history with the Planning Department. This we think is a relatively
minor one, but at the same time we are recognizing now that there may be a few
bumps or hiccups that hopefully we can iron out in Committee.
Council Chair Kaneshiro: Councilmember Cowden.
Councilmember Cowden: I have a reasonable amount of experience in
this as a consumer. For full disclosure, I had been a partner in four (4) CPRs. The
first one was in the 1980s. I believe we were the third one on the island. I will say
that three (3) of the four (4) had difficulties. The design of doing this kind of land
division really matters and that there are well-informed and agreed upon partners.
It is problematic. I just want to acknowledge that. It did result from a difficult
economic shift from the northeast side and north. A question that I would have, just
for clarity, in many of these properties, let us say they were broken into five (5) and
they had five (5) house sites, and then one (1) guest property or guest house. What
happened is that maybe the first three (3) to build built a house and a guest house,
so all of sudden there were six (6) and the remaining two (2) then no longer had a
place to put a house. Is that the problem that you are addressing here?
Mr. Hull: One (1) of the problems, yes.
Councilmember Cowden: Would this stop that particular challenge? As
it is, that has been a huge challenge. It is like a race to the top of getting properties
built. It sidelines the last couple of builders, so this would assist that.
Mr. Hull: There are two (2) issues when you bring up
the race to the top, Councilmember Cowden. One is that...and this was associated
with the driveway requirement that we previously had that stated you have to have
a driveway...sorry...a driveway could only service less than five (5) dwelling units.
COUNCIL MEETING 47 JUNE 1, 2022
Anything five (5) or above had to be serviced by a full-blown County standard
roadway.
Councilmember Cowden: Right.
Mr. Hull: The race to the top that would happen in
properties or lots of record that qualify for five (5) or more units is, the first one that
builtof to build and put in a relative manini driveway. It was the fifth or sixth,g justY
and sometimes there was only a fifth owner who got stuck upgrading that driveway
to a County standard roadway before they could build their house. That happened
for several years. About three (3) years ago, we had a bill before you in conjunction
with the Engineering Division and the Fire Department where we were proposing to
shift the burden of having to do a County standard roadway to twenty (20) dwelling
units and not five (5). The vast majority of properties that have the ability to do CPRs
no longer have that race to the top, because it is usually between five (5) and ten (10)
where that problem arose. That issue is no longer problematic, because of the bill
that we proposed to you was adopted three (3) to three and a half(3%) years ago. The
other part of the "race to the top" is, we, the Planning Department do not oversee
private covenants. If there are some old CPR units that are out there and were
proposed...there are five (5) CPR units, but actually the property only qualifies for
two (2) dwelling units, right, it is only the first two (2) CPRs that come in for a
dwelling unit to get approved and the other three (3) are just stuck because they do
not qualify for dwelling units on the property and the Planning Department is not
going to sign off on it. This proposal ensures that never happens again. It is
happening by practice and has been happening by practice for several years in the
Department. As I stated earlier, there are some land use attorneys that feel we may
be overreaching given that we do not have the regulatory authority established in
Code to restrict it to the dwelling unit capacity.
Councilmember Cowden: Thank you. I would also like to bring up this
zero (0) density element. Again, just a little bit of background on my
experience...when I was in leadership in the North Shore Business Council...I think
most of the time I was the President of it. Sugar was shutting down and we had a
number of economic challenges on both the east and the north. One of our board
members was the realtor of it and we worked together on this Moloa`a Hui. I believe
there were fourteen (14) properties, if I remember correctly, or something like that
that had zero (0) density. There was a trade for the density to have smaller properties
along the ridgeline on the less agriculturally positive places. The thought was that
it would be sugar workers who would be buying those pieces. We had a really hard
time selling it. It did not move very easily and there was a turnover. There are non-
permitted structures that are essential for the farming that ended up on those
properties. As the property sells and sells, there is a different understanding than
what was there. When we first did it, we thought it would be pineapple or bananas.
The "best-laid plans of mice and men oft go awry" I think is the quote. It did not
happen the way we intended. That is where I look at what is the value...I have a
question here. That is the experience. Even when I look at those properties right
now that have zero (0) density and they try to get Agricultural Dedication, it is very
difficult for them. If those had one (1) house site on it, they can be Homestead or they
can be Commercial Residential as farmers. I think as we look at our goal of creating
COUNCIL MEETING 48 JUNE 1, 2022
sustainable agriculture, a resilient Kauai with housing, having the one (1) homesite
seems like it is far better than zero (0). Tax-wise it is going to be better. I know you
are Planning and not Finance. What value is there in not having even one (1) house
on an agricultural property? Do you experience with the trend where we are going
with smaller boutique farms?
Mr. Hull: Yes. That is kind of the same. I was around
for it. I believe it is the same discussion. The point I want to highlight,
Councilmember Cowden, is that I believe it is the same discussion that happened
with the Moloa`a Hui and when they went through the subdivision process and
ultimately a CPR process of chopping up small parcels that have no density for
farmers to utilize. The merit to that is those parcels without any house sites are now
no longer competitive on the global speculative market of people that want to buy
homes and property for homes here on Kaua`i. It decreases the value of those parcels
in a manner that now farmers could possibly afford them. The kickback that we saw
was a lot of farmers were farming out there saying it is hard to farm without having
an actual house site on it and began putting house sites on them. Some of them had
the ability to do house sites, but some of them were doing it illegally. In response,
you saw for a brief time, the realtor industry saying the County of Kaua`i is going to
allow house sites, and then they began jacking the property rates and sale rates up
for those parcels that were intended to be used for farming. It is a bit of a rock and a
hard place in that farmers could barely get on parcels on agricultural land to begin
with. Let us consider having them with dwelling rights so that they are not that
expensive, but then again on the flipside, needing dwelling units to adequately farm
their sites, right?
Councilmember Cowden: I want to acknowledge that everything that
you are saying right now is accurate to my memory. We had those at ten thousand
dollars ($10,000) an acre and mostly ten-acre parcels. The whole intention was to sell
it to people who lived here and would drive to it from their home. That was not who
bought it. It was bought out...there is always competition now for what could be
luxury homes. The zero (0) density does keep them from being luxury homes. I am
in agreement with your assessment, and it is not easy to solve. This is just one little
piece of it that keeps that race to the top from happening. That is all I see here. That
one little piece is in this Bill, correct? Alright.
Council Chair Kaneshiro: Ka`aina, what is the role with the Hawaii
Real Estate Commission and how are they drawing the line on it? I know they have
an approval process that they go through. Are they saying that every CPR unit needs
to have a dwelling unit density, or are they saying we just need an understanding
that if you have five (5) CPRs and only two (2) densities, then these three (3) are not
going to have density? How are they interpreting it currently?
Mr. Hull: The Hawai`i Real Estate Commission has the
full authority over the CPR process. When you apply for a CPR or to CPR it up, you
do not apply to any agency or division in the County of Kaua`i. You go through an
attorney to get your paperwork and documentation for the CPR project to go before
the Hawai`i Real Estate Commission. That is a fairly arduous process. It is not
simple and easy. It is a little easier than the subdivision and infrastructure exactions,
COUNCIL MEETING 49 JUNE 1, 2022
but as far a fairly laborious and lengthy process of legal documentation and
disclosures necessary, it all goes through them. Part of that process is...and it started
happening at the turn of the century recognizing that some of these CPR units have
been creative with absent any density and the problems it was creating along with
the lawsuits it was creating around the turn of the century or millennium, the Hawai`i
Real Estate Commission began checking with each of the respective counties with a
letter asking whether the proposed project and the lot in conformance with the Kauai
County Code. When we first started responded to those...at least the Department
did...I was not around. The first response to those were limited to just zoning
violations. They just asked if there were any zoning violations. Around 2010,
recognizing that there were still having problems with developers chopping up CPR
units with no density, and the confusion it was creating on the real estate market,
the Planning Department began a practice of informing the Real Estate Commission
that it is not in compliance if the proposed CPR project does not have the same
amount of density units as they had CPR units. We do that by practice, today, and
the Real Estate Commission has not objected to that. They hold the line with us on
that. We have not had any problems at all with that, quite honestly, Council Chair
Kaneshiro. As of late, we have been getting some pushback from the Office of the
County Attorney saying that they may be willing to challenge our position on that in
that we do not have the authority to say it is non-conforming, being that we do not
have anyregulatory mechanism to stand on ifyou will. The proposal is clarifyinggYPPjustg
and establishing in the Code a practice that has been happening in the past almost
decade.
Council Chair Kaneshiro: There is a follow-up question from
Councilmember Evslin.
Councilmember Evslin: The overreach that the attorneys have
mentioned, they are saying that the overreach is in you saying that the property does
not conform to the Comprehensive Zoning Ordinance (CZO)...you mentioned another
issue where someone comes in with a zero (0) density property trying to build and you
say that you do not have any density and you cannot build, no one is challenging your
authority to say, right? There is no argument saying that someone bought a zero (0)
density property, and they have the right for a minimum of one (1) structure.
Mr. Hull: Correct, no.
Councilmember Evslin: Okay, thank you.
Council Chair Kaneshiro: Councilmember DeCosta.
Councilmember DeCosta: I do not want to add to the race to the top
either, but we have a lot of families in the Lawa`i-`Oma`o-Kalaheo area that have had
family land in their generations, CPR'd it, and passed it down to their kids. They
have five-acre lots CPR'd into two (2) parcels. Two and a half(21/2) acres per parcel.
One (1) gets the guest house and one (1) does not. Their density is three (3) homes
on that CPR five-acre lot into two (2) sections. Now they each had two (2) children
and they have two (2) acres or two and a half(21/2) acres with one (1) house and they
want to leave something to their second child. Do we have anything in the works that
COUNCIL MEETING 50 JUNE 1, 2022
could assist these local families without creating a real estate market like on the
North Shore that is going to add so much more density that is going to drive the prices
even further up that we might hit a situation where we do not want to be in. I am
just looking at those families where that conversation piece has to happen. We
normally do not have a chance to talk about it until now. I am pretty sure up in
Kapahi and in the Kapa'a area, there are quite a bit of families like that.
Councilmember Carvalho: Yes.
Mr. Hull: That is an absolutely valid point. It is one we
are constantly having to respond to and look in to from inquiries. From a written
policy perspective, there is no way we can say that...there is no mechanism like the
Additional Dwelling Units (ADUs) or Additional Rental Units (ARUs) that we could
from a written perspective say that this applies to Lawa`i, or to local families.
Constitutionally we have problems with that. As much as I think there is a desire,
not on the part of the policymakers, but much of the island to try to figure that out,
just from a legal perspective, there are barriers to that. From a mapping perspective
and zoning district perspective, there is a possibility to do that. There is the
possibility to looking at certain areas around the island that we would up-zone, so
that it is no longer is agricultural and so that it is low-density R-1, R-2, or R-4. That
is a lengthy process though to be honest, because you have to go through the General
Plan and update or amend the General Plan to say that these areas that have been
designated for agriculture need to be looked at being up-zoned. After doing that, then
you have to go to the Land Use Commission to actually get State Land Use
District- (SLUD) Urban or SLUD-Rural zoning. Then from there, you can go to the
County Council and actually up-zoning them to higher intensity of dwelling units. I
am not trying to push it off and saying that it should not be done. I think that can
surgically be looked at, to do it in a prescriptive manner, but it is a lengthy process
and lengthy by design, quite honestly. It is done not just on the impacts it could have,
right, but you have more local families knocking on your door from Lawa`i saying that
they want to do this up-zone. If they are not on SLUD-Rural or -Urban district, saying
no or yes to one (1) or two (2) families is one (1) issue, but when you do it on a wide
scale, the reason it is so lengthy and there is a process to it is because not only the
impacts it has to development, but the demands it will take on infrastructure can be
very serious. A lot of the issues that you deal with in regards to deferred maintenance
costs and not being able to keep up with the road improvements, and the Department
of Water not being able to keep up with its water maintenance lines and the ability
for Wastewater to run sewer lines to additional areas, right, what has come through
as the "chicken have come home to roost" is, we did a lot of up-zoning without actually
anticipating or planning for the infrastructure upgrades and so up-zoning these
agricultural areas without really planning on how the infrastructure is going to be
addressed can be extremely problematic and we are trying to figure out how to fund
those now. I will not say that no, we cannot do it, it is a cautious approach on how it
should be done, if as policymakers we are going to embark on that path. Sorry if that
was kind of lengthy.
Councilmember DeCosta: I was just trying to understand the
importance of what we are talking about in regard to public and affordable housing.
Now we are talking about people with land that might need infrastructure to get to
COUNCIL MEETING 51 JUNE 1, 2022
that land to build. There are other ways that we can hit affordable housing and
different avenues or ways. Thank you.
Council Chair Kaneshiro: Are there any further questions from the
Members on this item? It is at first reading for right now. That was a good discussion
on it as we head to Committee. If not, is there anyone in the audience wishing to
testify? I have Lonnie, followed by Jill.
Mr. Sykos: In this conversation, I lived on Maui for
twenty-five (25) years. The issue of CPRing any land, including and especially
agricultural land, we began to address on Maui in the mid 1990s as best as I can
remember, as the direct result of the CPRing of agricultural land on Kaua`i. I know
from going to the Planning Commission on Maui, I know from going to the Board of
Water Supply on Maui, I know from going and trying to get occupancy permits for the
office trailer on the farm, that the argument that the CPRing of land was forced on
Kaua`i is a lie. There is nothing in State law that requires you to allow or have
allowed the CPR of any land including agricultural land. For the public, wrap your
head around what a condominium is: a building that privately owned space and
community-owned hallways, sidewalks, and parking lots, and now take a bare piece
of land and chop it up and tell me how it is rational that the physical condominium
buildings are somehow reflected in a piece of bare land. This is the only County that
allowed that to occur. On Maui, we have monster battles and use water meters as
the way to prevent this process from moving forward. The same happened on Hawai`i
Island. Being from liana, Maui, radio-wise and communication-wise, we were cut off
from the rest of Maui. Hawai`i Island, in their budget, budgets money for Civil
Defense for East Maui, because they are the only people that can reach us in an
emergency. We follow the politics on Hawai`i Island because they help us. This whole
CPR thing was created on Kaua`i and it was utterly corrupt. What it allowed for was
the turning of land and increasing the value of land without providing anything to
the public. Instead of making subdivisions where you get roads, sidewalks, and
improvements for the entire public, by CPRing the land the private landowner gets
all the value of the appreciation of the land and the public gets nothing.
Council Chair Kaneshiro: That is your first three (3) minutes.
Mr. Sykos: Thank you.
Council Chair Kaneshiro: I will have Jill come up.
Ms. Lowry: Good morning. This question is for Ka`aina if
he is still floating around in the ether somewhere. Is he? Is he able to hear my
question?
Council Chair Kaneshiro: He is. One of the Councilmembers can ask the
question once you have testified.
Councilmember Cowden: Just speak.
COUNCIL MEETING 52 JUNE 1, 2022
Ms. Lowry: Okay, sorry. With regards to the CPR Bill of
record, with the project that we are considering at Anaina Hou Community Park, I
am wondering as we try to identify our options with Waikoa's property prior to or
after their sale, how this might affect us as far as ending up with a few additional
acres. It is based on my ignorance, so I apologize for asking this question. Maybe
here is not the venue. I am not sure who to even address this to. Okay. Silence. Not
a good thing. Is there a time and place that I can ask some questions with regards to
the CPR Bill that would give me a better understanding of how it relates to the project
that I have at Anaina Hou? That might be a better question.
Council Chair Kaneshiro: You can E-mail us questions, or you can
request a meeting with the Planning Department on those questions. Those are the
different avenues. We heard your question so one of the Councilmembers can relay
that to Ka aina now if they want to.
Ms. Lowry: Okay, perfect. Thank you. I appreciate it.
Council Chair Kaneshiro: Lonnie, did you need another three (3)
minutes?
Mr. Sykos: Ka`aina has presented some really good
arguments on both sides of the argument here. I can understand the attraction of
having used the CPR system, but what I cannot wrap my head around is how it is
that the Planning that went into doing that, was incapable of seeing the unintended
consequences that are biting us today. For instance, the fire lines that are inadequate
are inadequate because this County Council, not you Councilmembers, but the
County Councils, Mayors, and the Planning Department allowed thousands and
thousands of houses to get built with no regime in place to deal with the
infrastructure improvements needed because all the houses came into existence. The
taxpayer, me, I am the one taking the jerk. Yes, it is uncomfortable sitting up here
occasionally being beaten up by the public, because of past decisions because of what
you have to deal with, which is the truth of it. My question sitting here is, is the
County ever going to allow another CPR of raw land as a policy decision? If it is, you
all are nuts. If you do not understand how badly this island is messed up, because of
CPRs, it leaves no hope of fixing anything. That is the problem. You built tens of
thousands of housing units without dealing the infrastructure required. Here we are
down the road with all these houses built and this enormous infrastructure backlog.
If you allow more CPR of land, you are just digging a deeper hole. Policy-wise we
need to put an end to that. It is probably problematic having allowed it to occur so
many times, unlike the other counties that prevented it. Here, there is an argument
that if you let everyone else do it, why can I not?
Council Chair Kaneshiro: Okay, thank you. Jill, did you want another
three (3) minutes? Is there anyone on Zoom wishing to testify? We are back to
questions from the Members? Again, I heard what Jill's question was. Ka`aina, I
think it might be more appropriate for you to contact her. You two can get in touch
with each other. It is more of an individualized issue. I do not know if you have the
background information on it. I do not want to put you on the spot. It might be a
better venue for you two to discuss their property on its own, unless you wanted to
COUNCIL MEETING 53 JUNE 1, 2022
take a crack at it. I would say it might be better to speak with Jill independently of
the meeting on that particular issue.
Mr. Hull: Yes. I do not have her specific CPR proposal.
Jill has my number, so we can speak offline.
Council Chair Kaneshiro: Are there any other questions from the
Members? Councilmember DeCosta then Councilmember Cowden.
Councilmember DeCosta: I did want to address Lonnie, if I may.
Council Chair Kaneshiro: Doou have a clarifyingYquestion?
Councilmember DeCosta: I have a clarifying question. Lonnie, I have
two (2) questions. Lonnie, doyou know of anygenerational families in the area that
you live in, in Lawa`i or Kalaheo, that has benefitted from the CPR zoning that they
could leave their children some land?
Mr. Sykos: I live in Wailua, but my answer is yes. I have
met many families who have benefitted personally from the CPRing. Yes.
Councilmember DeCosta: Second question, do you know anything about,
you mentioned the sidewalks, roads, et cetera, that subdivisions put in. Do you know
anything about access to mountain areas that subdivisions have to put in and when
you go through a CPR, the developer can cut off the access and they do not have to
give access? Do you know anything about that?
Mr. Sykos: Yes. When a subdivision is approved, as part
of the approval process, the County has many opportunities to create requirements
for them to fulfill. Mauka or makai access could be one of those. For CPRs, no, it is
private property and keep off.
Councilmember DeCosta: Thank you for that clarification. I am
impressed that you know that, thank you.
Council Chair Kaneshiro: Are there any clarifying questions? Thank
you, Lonnie. Councilmember Cowden.
Councilmember Cowden: I think my question is really for Mike Dahilig.
It might be for Ka`aina. Mike, from what I heard from Lonnie the first time, when
we have that question about the State circumventing the County subdivision rules
and that it was only Kaua`i that did it, can you speak to that? Is it correct that it
could be that there will be no more CPRs?
Mr. Hull: I can address that, Councilmember Cowden.
What Lonnie was referring to is that in circumventing the subdivision laws that the
County of Kaua`i has...the County of Kaua`i is the only county in the State of Hawai`i
that has a one-time limitation on agricultural subdivisions. All other counties you
can continue to chop up your agricultural lot into smaller and smaller units as long
COUNCIL MEETING 54 JUNE 1, 2022
as it is in conformance with the lot sizes prescribed in their ordinances. The County
of Kaua`i is the only one that has...once you chop it up and at these very large sizes
for the most part...you cannot re-subdivide it anymore. You can continue on other
islands to chop up subdivisions until it only qualifies for one (1) dwelling unit. On
Kaua`i, when you chop up your agricultural lots, for the most part, your agricultural
lots are going to be chopped up in a manner that it qualifies for three (3), four (4), or
five (5) dwelling units and can no longer be further subdivided thereon out. That is
why the HPR process, in which you can lay a condominium-style property ownership
lines horizontally over property has been in play in the State of Hawai`i since
the 1960s. It was only in the 1980s where realtors, developers, and land use attorneys
started using the process to lay those horizontal ownership lines...because it comes
down to ownership...these are not land use lines, these are ownership lines...over lots
of record, because you could no longer chop it up to sell it for individual ownership.
By using those lines, they did to a certain degree circumvent the one-time subdivision
rule in play here on Kaua`i. Again, it is a State law and it is a manner in which if you
have a five-unit CPR, five (5) owners are saying that they are going to have shared
ownership of this lot of record. It is not like it is illegal. In policy or in the
implementation of it, it does to a certain degree get landowners around the one-time
subdivision rule.
Councilmember Cowden: In my memory, I was in my twenties, and I
did not really understand what we did. We did pull it off. In that window of time, it
was like for the 1980s, it was like affordable housing. In the 1990s there was the
hurricane, right? In the 1980s, sugar, our boating industry, and what I will discretely
call alternative agriculture, all sort of collapsed at the same time. It was a race for
people to be able to have a home somewhere. As all these industries collapsed,
vacation rentals bought up their homes. Their homes were taken by not being able
to continue to afford it. It was not like some awful way of trying to exploit everything.
It was a way to just be able to have a home and many people who were
agriculturalists" if I could say that. I guess you answered that. People were actually
farming those properties, right? It was sometimes families buying it with no
knowledge of where this would run to. It really created a lot of problems. You are
saying that because of how we are different than these other islands, we would not
be...I am just trying to answer his questions...we would not be able to say, "Stop this
now." I am hearing ranchers, farmers, and families that have owned their land for a
long time and their adult kids want a home. Do we want to stop it, or how do we do
it? If you could just speak to that a little bit further to what I am hearing of this
challenge between what is legal and what is right. It has certainly been exploited
and certainly the fire flow circumstance where there are high-end houses at this point
with inadequate fire flow is an outcome. I do not know if you get my question. I am
just giving you a little bit of a foundation and if you could speak to that. It is
complicated.
Mr. Hull: The fire flow question, I think, from here on
out should be addressed already. The fire flow issue, a lot of it stems from the fact
that for a long time, the Fire Department was not part of the building review process
for single-family dwellings. They are now. As far as whether they choose to CPR a
property or subdivide it, whenever that single-family dwelling is being proposed to
construct, they have to get a building permit and they have to go not just before the
COUNCIL MEETING 55 JUNE 1, 2022
Planning Department, Building Division, and Department of Water, they also have
to go to the Fire Department. That should be addressing the way that the building
permit functions today. Really, the Draft Bill here is not attempting to restrict
density or provide more density. All it is saying is the CPR unit amount that is being
proposed on the project has to adhere to the dwelling unit count that the respective
property has.
Councilmember Cowden: Okay.
Council Chair Kaneshiro: Are there any other questions from the
Members? 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:
Council Chair Kaneshiro: Is there any final discussion? If not, we will
take a roll call vote.
The motion for passage of Proposed Draft Bill (No. 2868) on first reading, that
it be ordered to print, that a public hearing thereon be scheduled for
July 6, 2022, and that it be referred to the Planning Committee was then put,
and carried by the following vote:
FOR PASSAGE: Carvalho, Chock, Cowden, DeCosta,
Evslin, Kuali`i, Kaneshiro TOTAL — 7,
AGAINST PASSAGE: None TOTAL- 0,
EXCUSED & NOT VOTING: None TOTAL— 0,
RECUSED & NOT VOTING: None TOTAL — 0.
Ms. Fountain-Tanigawa: Seven (7) ayes.
Proposed Draft Bill (No. 2869) — A BILL FOR AN ORDINANCE AMENDING
CHAPTER 23, SECTION 23-3.7, KAUAI COUNTY CODE 1987, AS AMENDED,
RELATING TO CONCESSIONAIRES AT THE SPOUTING HORN
Councilmember Kuali`i moved for passage of Proposed Draft Bill (No. 2869) on
first reading, that it be ordered to print, that a public hearing thereon be
scheduled for July 6, 2022, and that it be referred to the Parks & Recreation /
Transportation Committee, seconded by Councilmember Carvalho.
Council Chair Kaneshiro: We received written testimony for this item.
Do we have any questions? I will suspend the rules. Pat or Wally, if you want to just
give us an overview of this Bill.
There being no objections, the rules were suspended.
PATRICK T. PORTER, Director of Parks & Recreation (via remote technology):
Basically, this is just a clean-up Bill. We have our Spouting Horn vendors that
have been inactive since just before COVID-19. Since then, the old booths have been
COUNCIL MEETING 56 JUNE 1, 2022
redone. We tore down the old booths and rebuilt a new facility out there for the
vendors during the shutdown of COVID-19. That has been completed. In this
Chapter originally, it has the old diagram of the old structure and some dates that
just needed to be cleaned up. That is all this is about. It is a clean-up Bill. Once this
is done, then our plan is to create Administrative Rules and then we can go out to bid
to fill those vendor spots out at Spouting Horn.
Council Chair Kaneshiro: Councilmember Cowden.
Councilmember Cowden: I think this is a simple question. The
COVID-19 period was probably a good time to institute this change. How many of
the previous vendors are likely to be the new vendors? Do they have any
prioritization in the application process? Have they been included or outreached to
in terms of getting their vision of the right design moving forward?
Mr. Porter: The plan to redo the vending facility was
already in the works before COVID-19. Our Planning & Development team did reach
out and they were a part of the planning and design process of the new facility. It
just so happened that COVID-19 hit, and it shut things down. It just happened that
during that closure time was when the facility was supposed to be under construction
already. Before that there was time for them to be brought in. Meetings were held
for the planning and design of the new facility.
Councilmember Cowden: Just confirming, I would assume that the
K61oa Neighborhood Association and the whole South Shore Community Plan...this
was all feathered in together, basically?
Mr. Porter: I missed the first part.
Councilmember Cowden: The K6loa Neighborhood Association and the
South Shore Community Plan all of this somewhat worked together? This is all
community agreement with our General Plan Update, our South Shore Plan, and our
Destination Management Action Plan...I would expect that. Is that basically,
correct?
Mr. Porter: Yes. I would say so. I think this started
before the Destination Management Action Plan was in the works. This was a few
years back, but yes.
Councilmember Cowden: Thank you.
Council Chair Kaneshiro: Are there any other questions from the
Members? Is there anyone in the audience wishing to testify on this item? Lonnie.
Mr. Sykos: For those of us who are not familiar with that
area and do not live there, I am interested in how many vendors are there going to be
and what is the length of the contract for the vendor? What is the County's plan for
outreach to new vendors or does the County even want new vendors? Those are the
questions that I have. How many vendors used to be there? How many would be
COUNCIL MEETING 57 JUNE 1, 2022
envisioned in the new facility? What is the outreach for vendors? Councilmember
Cowden asked the obvious question about whether or not the pre-existing vendors
would have some type of a priority. Thank you.
Council Chair Kaneshiro: Is there anyone else in the audience wishing
to testify? Is there anyone on Zoom wishing to testify? Wally, did you want to try
and answer some of those questions?
WALLACE G. REZENTES, JR., Deputy Director of Parks & Recreation (via
remote technology): Basically, we are moving from nine (9) vendor
concessionaires to eight (8). We intend to solicit new concessionaires through Hawai`i
Revised Statutes (HRS) Chapter 102. That is the concession law that we would need
to follow. We do believe there is going to be demand for the sites from past vendors,
as well as new vendors in the future. We need to follow the concession contracts in
our solicitation of our vendors. There will be advertisements through the Purchasing
Division.
Council Chair Kaneshiro: Are there any other questions from the
Members?
Councilmember DeCosta: What was the length of the contract?
Mr. Rezentes: In the past we have gone under a five-year
term. I think we intend to stick to that as well. We have to go through the
Administrative Rules process once we get the approval from the Council with this
ordinance amendment. In the past, we have had a minimum bid of two thousand five
hundred dollars ($2,500). We intend to have that revisited through the
Administrative Rules process as well.
Councilmember DeCosta: Wally, are the products that are going to be in
those vendor areas going to be similar to what we had or are we going to allow new
businesses to surface in that area?
Mr. Rezentes: It is up to what the concessionaires want to
propose. We do not intend to restrict the offerings of the concessionaires.
Councilmember DeCosta: Could it be a service or a food item, or is it
more of a product?
Mr. Rezentes: No. Food items are not usually allowed. It is
not configured in a way to allow it. It is open space and there is actually not going to
be water at that facility. Electricity will be provided, but not water.
Council Chair Kaneshiro: Are there any other questions from the
Members? Councilmember Evslin.
Councilmember Evslin: When you said food items are not allowed,
that is specific for Salt Pond, or is that under the definition of a peddler? In theory,
if you give a peddler another park could they be a food vendor?
COUNCIL MEETING 58 JUNE 1, 2022
Councilmember DeCosta: We are on Spouting Horn.
Councilmember Cowden: That is the next item.
Councilmember Evslin: Okay, sorry.
Council Chair Kaneshiro: Are there any further questions from the
Members? 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:
Council Chair Kaneshiro: Is there any final discussion from the
Members? If not, I will take a roll call vote.
The motion for passage of Proposed Draft Bill (No. 2869) on first reading, that
it be ordered to print, that a public hearing thereon be scheduled for
July 6, 2022, and that it be referred to the Parks & Recreation/Transportation
Committee was then put, and carried by the following vote:
FOR PASSAGE: Carvalho, Chock, Cowden, DeCosta,
Evslin, Kuali`i, Kaneshiro TOTAL — 7,
AGAINST PASSAGE: None TOTAL — 0,
EXCUSED & NOT VOTING: None TOTAL — 0,
RECUSED & NOT VOTING: None TOTAL — 0.
Ms. Fountain-Tanigawa: Seven (7) ayes.
Proposed Draft Bill (No. 2870) — A BILL FOR AN ORDINANCE AMENDING
CHAPTER 23, ARTICLE 3, KAUAI COUNTY CODE 1987, AS AMENDED,
RELATING TO PEDDLERS AND CONCESSIONAIRES
Councilmember Kuali`i moved for passage of Proposed Draft Bill (No. 2870) on
first reading, that it be ordered to print, that a public hearing thereon be
scheduled for July 6, 2022, and that it be referred to the Parks & Recreation /
Transportation Committee, seconded by Councilmember Carvalho.
Council Chair Kaneshiro: We received no written testimony.
Councilmember Carvalho: I have a floor amendment.
Councilmember Carvalho moved to amend Proposed Draft Bill (No. 2870) as
circulated, and as shown in the Floor Amendment, which is attached hereto as
Attachment 1, seconded by Councilmember Kuali`i.
Council Chair Kaneshiro: Councilmember Carvalho, did you want to
explain? If this is coming from the Administration, they could explain it.
COUNCIL MEETING 59 JUNE 1, 2022
Councilmember Carvalho: I could give an overview and Pat, if you want
to chime in. Overall, it is pretty simple. I know the original Bill talks about
referencing a peddler's license that the Department of Parks & Recreation does not
issue. Therefore, this amendment defines a peddler's permit versus a peddler's
license. A peddler's permit is issued by the Department of Parks & Recreation. That
is pretty much the gist of this particular amendment. If the Department wants to
come on, they can, if there are any questions. That is basically what it is about. If
you read the entire document, it references that.
Council Chair Kaneshiro: Are there any questions from the Members on
this amendment? If not, is there anyone in the audience wishing to testify on the
amendment? Is there anyone on Zoom wishing to testify on the amendment? Is there
any final discussion on the amendment?
There being no one present to provide testimony, the meeting proceeded as
follows:
The motion to amend Proposed Draft Bill (No. 2870) as circulated, and as
shown in the Floor Amendment, which is attached hereto as Attachment 1 was
then put, and unanimously carried.
Council Chair Kaneshiro: We are back to the main motion as amended.
Council Vice Chair Chock.
Councilmember Chock: I just have one question for Pat or Wally. The
one hundred dollar ($100) per year permit fee, I understand that is not changing. It
remains the same. Can you explain how we got to one hundred dollars ($100)?
There being no objections, the rules were suspended.
Mr. Porter: The one hundred dollars ($100)referenced the
license that Councilmember Carvalho was just talking about. It was a yearly fee for
a license that was one hundred dollars ($100). How this came about was that we
identified that we did not have Administrative Rules that the Department by
ordinance should have had for the different activities like food trucks and things like
that in the parks. What we started doing was looking at creating these
Administrative Rules. Once we started diving into the details of creating
Administrative Rules, we came across this contradiction where it referenced this
license. Then, we got the Office of the County Attorney involved and we wanted to
clean that up first. That became our first goal, to clean that up. In order for us to
have these food trucks continue to operate, we needed to keep that one hundred
dollar ($100) reference in the Bill, but our intention is to go and bid it out per the
HRS that Wally talked about for the Spouting Horn. In the proposed ordinance, it
references that the one hundred dollars ($100) is there, unless Administrative Rules
are created. In the Administrative Rules, we can do the bidding process and we can
outline from there on that side. In order for us to continue these operations, we need
to keep those one hundred dollars ($100) in there for now.
Councilmember Chock: Okay. Got it. Thank you.
COUNCIL MEETING 60 JUNE 1, 2022
Council Chair Kaneshiro: Councilmember Cowden.
Councilmember Cowden: I have a question when we are emphasizing
parks and recreation. I see here that it is clear that it is any County area or roadway.
There are many places where there are food trucks or what we might think it a
peddler even on private properties or even sometimes with nonprofits. When
someone is going to be having a food truck on a nonprofit or private property, do they
still need to get a peddler's permit, or is that completely separate? Is the peddler's
permit only for County property?
Mr. Porter: Yes. This section of the Code is specifically for
Parks' properties.
Councilmember Cowden: Okay.
Council Chair Kaneshiro: Are there any other questions from the
Members on the Bill, as amended? If not, is there anyone in the audience wishing to
testify? Lonnie.
Mr. Sykos: As an entrepreneur, I am very interested in
learning when the rules will be available to us. I realize they said that they are in
the process of writing Administrative Rules. I want to see them. That is the "meat
and potatoes" of this thing. What do the rules say? As I said earlier, the County has
an opportunity to improve the personal economy of the residents by making it easier
to make money off of our primary industry, which is tourism. Anything the County
does to make it easier for a private citizen to make money off of tourism, for the most
part, I am for. Thank you.
Council Chair Kaneshiro: Is there anyone else wishing to testify? Is
there anyone on Zoom? Are there any additional questions from the Members?
Councilmember Cowden.
Councilmember Cowden: I will ask when will the rules be ready? I
might disagree with our person in the audience. When I think about going to Bali, I
cannot even get out of the car without someone trying to paint my nails, braid my
hair, or sell me some earrings. I think there is some value in a certain amount of
limitation. It is the gradient between being against the law and being an
overwhelming peddler. Right now, having been in the water sports industry in the
past, you cannot just go rent gear there on the beach. You cannot rent snorkel gear
or surfboards. When we are looking at peddlers, would that be a type of peddling
permit that someone could ask for right on the beach? It has been such that the
community has been really opposed to having a high commercial beachfront. Will it
be available by the time we get to Committee? Actually, we are beyond that, right?
Council Chair Kaneshiro: This is first reading.
Councilmember Cowden: Okay. What about the rules?
COUNCIL MEETING 61 JUNE 1, 2022
Mr. Porter: We are in the process of drafting the rules
right now. They will need to go through the Small Business review. After the Small
Business review, then we have to go out to a public hearing. There will be a lot of
chances for input moving forward as the rules get developed.
Councilmember Cowden: We approve this before we see the rules? Is
that correct? This would go through our process before we see the rules.
Mr. Porter: Yes. The rules will follow passage of this
ordinance, if approved.
Councilmember Cowden: It is what we do? Okay.
Council Chair Kaneshiro: Are there any other questionsuestions from the
Members?
There being no objections, the meeting was called back to order, and proceeded
as follows:
Council Chair Kaneshiro: Is there any final discussion? Councilmember
Evslin.
Councilmember Evslin: I appreciate the work from the Department of
Parks & Recreation. I know this is certainly needed. I know we have had a couple of
discussions in the past during COVID-19 about trying to encourage entrepreneurship
possibly and also at the time, we needed more outdoor eating. We are trying to
encourage better usage of underutilized parks. If you look around Lihu`e, we spent a
lot of time and effort to get Kalena Park to be better utilized to try to discourage bad
behavior. We have an empty neighborhood park and bad behavior moves into those
parks. You get good activities happening in those parks, it pushes bad behavior out
of those parks. For good reason we invested a lot in that park. In conversations
around how we could maybe have some food trucks in the parks, we always hit a dead
end because we have no process to really allow that to occur. I appreciate the
Department working to fix it. If you look around Lihu`e, we are trying to encourage
better usage of Kalena Park through things like food trucks, possibly, which is hard
to do. When you look at vacant parking lots all around Lihu`e which have food trucks
in them, there are a lot of people. We have the answer...food trucks can really help
with that activity. Certainly to Councilmember Cowden's point, that is not for every
park. I think there is a big line between having a process that allows it and Bali. I
want to be clear that a lot of our beach parks are probably not suitable for this type
of commercial activity because they are already well-utilized and packed with people.
We do not want to create another draw. For our underutilized community parks, I
think there should potentially be a process to allow this. I appreciate the pathway
forward here.
Council Chair Kaneshiro: Councilmember Cowden.
Councilmember Cowden: I have a follow up on that. Thank you for your
distinction. Our crowded parks that already have a high volume, which might draw
COUNCIL MEETING 62 JUNE 1, 2022
the merchants there to paint someone's nails...I am being playful. As you are
developing the rules, would we be able to determine which parks would be applicable
to having this? There are neighborhood parks, little triangles of green spaces, and
residential communities where they probably do not want a daily ice cream truck or
something...I am not picking on the ice cream truck...but they might not want that.
When we look at the concession and peddling elements, there will be future
opportunity and it will be in there that the County Council can help to approve which
parks have these concessionaire rules applied? Is that a part of the process?
There being no objections, the rules were suspended.
Mr. Porter: Exactly. Those sites will be identified
throughout the Administrative Rules process.
Councilmember Cowden: Okay.
There being no objections, the meeting was called back to order, and proceeded
as follows:
Council Chair Kaneshiro: Councilmember Evslin.
Councilmember Evslin: That is a good point, Councilmember Cowden.
A lot of our neighborhood parks are probably not suitable for this type of activity. I
think Kalena Park is a unique example. It is more of an urban park in the center of
Lihu`e. There are not a whole lot of houses around it. I think there is a clear need
for something like this in a park like that. How many of these parks do we have? I
cannot say and I think your process will identify those.
Council Chair Kaneshiro: Are there any other questions from the
Members? Is there any final discussion from the Members? I will take a roll call
vote.
The motion for passage of Proposed Draft Bill (No. 2870) as amended on first
reading, that it be ordered to print, that a public hearing thereon be scheduled
for July 6, 2022, and that it be referred to the Parks & Recreation /
Transportation Committee was then put, and carried by the following vote:
FOR PASSAGE: Carvalho, Chock, Cowden, DeCosta,
Evslin, Kuali`i, Kaneshiro TOTAL — 7,
AGAINST PASSAGE: None TOTAL — 0,
EXCUSED & NOT VOTING: None TOTAL— 0,
RECUSED & NOT VOTING: None TOTAL— 0.
Ms. Fountain-Tanigawa: Seven (7) ayes.
COUNCIL MEETING 63 JUNE 1, 2022
BILLS FOR SECOND READING:
Bill No. 2851, Draft 1 —A BILL FOR AN ORDINANCE RELATING TO THE
OPERATING BUDGET AND FINANCING THEREOF FOR THE FISCAL YEAR
JULY 1, 2022 TO JUNE 30, 2023 (Fiscal Year 2022-2023 Operating Budget)
Councilmember Kuali`i moved to approve Bill No. 2851, Draft 1 on second and
final reading, and that it be transmitted to the Mayor for his approval,
seconded by Councilmember Carvalho.
Council Chair Kaneshiro: We received no written testimony on this
item. Are there any questions on this item? This is the time where we can take our
ten (10) minutes if you want to talk about the budget. We will just pass the Capital
Improvement Projects (CIP) budget at that time. Is there anyone in the audience
wishing to testify on this item? We are on Bill No. 2851, Draft 1, the Operating
Budget. Is there anyone on Zoom wishing to testify?
There being no one present to provide testimony, the meeting proceeded as
follows:
Council Chair Kaneshiro: If there are no questions, is there any final
discussion from the Members? Councilmember Evslin.
Councilmember Evslin: I do not have ten (10) minutes here. I was
really hoping we could all argue about TVR tax rates again. I am just kidding. There
is so much good things in the budget, that we spent four (4) weeks going in-depth
line-by-line here. I think the fact that our day-long Decision-Making was relatively
constrained to something like TVR tax rates and not on these other issues is a
testament to the budget process and the Administration. I think they came to us with
a good budget focusing on repair and maintenance and using that extra revenue to
get caught up on all these projects we have been laying by the wayside for a long time.
They utilized our input throughout the process. I think they refined the budget to
make it better and better. When we finally made it to Decision-Making, there was
not a whole lot for us to change in the budget. That is a testament to the process. I
want to thank the Administration for all of their work and engagement throughout
the process. Highlighting some items like the inclusive playground, I think it is going
to be great. The Lydgate one is just an amazing place for the community. A huge
shoutout to our staff here. They just do tremendous work throughout. They answer
our questions really quickly and turn that Supplemental Budget over to us and
highlight the differences. Obviously, we could not do our jobs without them. Thank
you to the staff. Thank you to everyone for the discussion here throughout this
process. Thank you to our Chair for his last budget that he will be running here. He
ran an incredibly efficient budget process and I think he sets a high standard for us
in the future moving forward, if one of us takes over for him, on how to run the
process. I really appreciate your leadership here for the last few months.
Council Chair Kaneshiro: Councilmember Cowden.
Councilmember Cowden: I also want to thank the Administration for
what they are doing. When we are talking about the housing issue, what I keep
COUNCIL MEETING 64 JUNE 1, 2022
pushing for are these community agricultural villages. In defense of the
Administration, the larger community with houses does not want that. I hear that
stridently with angry voices at me. I will own that I had a very unstable childhood,
so I highly identify with these kids in the parks, in their cars, and people with medical
issues. I will throw out, so next year when we are doing this, I want a medical
transitional housing. There are people with deep medical issues on the sides of the
roads. This includes physical issues like cancer. When I do not get what I want, I
get that the Administration is reflecting what the larger community does not want.
When we put money back into our Reserve Fund, I think that is important.
Councilmember Kuali`i and I just came back from the Rural Action Caucus at the
National Association of Counties (NACo), Western Interstate Region (WIR)
Conference. We will do a bigger piece on that later. Across the nation, rural counties
everywhere are having desperately that same problems. That is the race to rural
mad rush for housing from urban people who can pay metropolitan prices who have
an external income. We are not unique. Missouri, Mississippi, North Carolina,
Alaska, Texas, Arizona, et cetera, they are having the same problem with
displacement due to housing shortages. When we are looking at our budget and we
have some room and we really did not give too hard of pushback, I anticipate that we
are going to have increasing inflation, and this is not transitory at all. It is additional
moneys into the money supply, which is very different than 2008. These purchases
of houses are financial instruments. They are not bought on credit. A lot of them are
being bought with cash to park money. This problem is so huge, it is not lack of will
from our government. It is like arguing with gravity. We need to absolutely do
whatever we can to address it. When we are looking at, what I anticipate might
absorb some of the extra money is that we have more of our bargaining units and
payroll. Everyone on our team, they are having to pay higher prices for a can of soup
and a gallon of gas. I anticipate where there might be some squeeze room of three
hundred sixty-one million ($361,000,000) I believe is where we are at in total...you
have to add it together, we are right about that. I am okay with what the County
came up with. We know we are going to have adjustments. I think I have that too
high. It is three hundred eleven million dollars ($311,000,000).
Council Chair Kaneshiro: Three hundred ten million
dollars ($310,000,000).
Councilmember Cowden: Three hundred ten million
dollars ($310,000,000). I am going to support it. I know it was not easy. In clawing
back four million five hundred thousand dollars ($4,500,000) in the future, I could not
really do it easily right here. That was part of my no vote on that one (1) piece, too.
I thank you all for your different perspectives. I thank the County Administration
and each department for their efforts.
Council Chair Kaneshiro: Councilmember DeCosta.
Councilmember DeCosta: I would like to just say thank you to the
Mayor's Administration for being fiscally conservative in a time that it was very much
needed. We have all had our conversations with them. We have all had our
conversations with the different departments. We knew where we wanted to go.
When looking at a budget like this, our Council Chair has a little bit of an easier time
COUNCIL MEETING 65 JUNE 1, 2022
than the rest of us here, because he has an accounting background. It is important.
It is not that easy to grab a three hundred ten million dollar ($310,000,000) budget
and tear it up to find where I want to cut and add things. It is very confusing. That
is why we do not dive that deep into it. We usually take it for what they present to
us. I just want to say that I am very fiscally conservative. I always look years down
the road and not just one (1) year. Where are we going to be and where do we want
to be? There are a lot of things that we want to improve in the County. One that we
touched upon was wages and having salaries that are comparable to what they get
paid on the mainland, and how do we retain our people here. It included raises for
our employees and how we pay for it. We pay for it out of our budget. There are a lot
of things that we have to look at when we talk about having surplus moneys.
Affordable housing is just one element. There are a lot of things that we have to look
at. One important thing that I wanted to touch on, and I think our former Mayor and
I had this conversation a few times...retaining our own people here and retaining our
keiki that are growing up through high school and college, coming back and having
those jobs that pay well so they can live a good life here...having them in power and
in positions of leadership, I think too many times we bring leadership in and they
leave. I think we are having one of our biggest leaders leave. If you did not hear about
that. One of our leaders is leaving. I think I can say it. The Fire Chief is leaving. I
think it is important that we raise our keiki to empower them to be leaders and run
Kaua`i. They should get paid a good salary to live here. It is our job to be fiscally
responsible and make those things happen. Everyone thinks it is easy to get elected
and be a Councilmember, but when you look at a three hundred ten million
dollar ($310,000,000) budget and sit down to crunch numbers to come up with a
budget that is fiscally conservative, it is a lot to chew on. That is where I stand.
Thank you.
Council Chair Kaneshiro: Councilmember Carvalho.
Councilmember Carvalho: I just want to echo what has been said. I truly
understand and appreciate this side of the street, if you will, on the Council floor. I
appreciate my fellow Councilmembers. The staff is awesome, as well as working
closely with the Administration. It is not always easy, and we do not always agree.
It is about the people that we serve. I think that is the big part of it. At least we can
agree to disagree sometimes. The process and the budget of three hundred ten million
dollars ($310,000,000) that we went through...just understanding the total process
has been awesome. I look forward to more discussions and making things happen.
Relationships and people are so important. Knowing the process on the
administrative-side and tying that in on the Council-side has been very enlightening.
I look forward to more opportunities. Mahalo.
Council Chair Kaneshiro: Councilmember Kuali`i.
Councilmember Kuali`i: I, too, will just throw in my gratitude and say
this year was quite asabigmahalonuiloatoeveryone. I think the process smooth,
been in thepast. You do notget to see all the work that goes in behind theithas
scenes. Especially to the Administration's Budget Team and all the directors who
come before us with their presentation, and to our own Council Services Staff who
makes sure we have what we need to do our deliberations in our most important job
1
COUNCIL MEETING 66 JUNE 1, 2022
of the year. I will just highlight and recognize the assistance that we received from
our State and Federal partners that could help bring moneys to our constituents
directly, our residents, and our businesses, and also to help some of our programs
with COVID-19 over the last couple of years. This additional support has been
critical. I think we go through things relatively smoothly as a county government for
the last couple of years because of that kind of assistance. I am excited that we were
able to put moneys into our Lihu`e and Wailua Wastewater Treatment Plants and
upgrade them, which was long overdue. It is critical infrastructure for our people.
You mentioned the inclusive playground. The only other thing I would say is that
yes, for Solid Waste, the challenge remains as far as being at the top of the list. Siting
of the new landfill and updating these studies on curbside recycling, Materials
Recovery Facility (MRF), et cetera, will have to continue. It will not just be in the
next budget cycle but may include money bills throughout the year. The big job
happens now, but it continues throughout the year. Thank you, everyone, and thank
you, Council Chair.
Council Chair Kaneshiro: Council Vice Chair Chock.
Councilmember Chock: I just want to highlight how pleased I am with
the process that we have. Thank you to your leadership. I think the diligence here
of our staff and how well they follow up to the questions that arise so that we can get
our questions answer is key. I am ultimately excited about the position that we are
in. What Councilmember Kuali`i had mentioned is that with the fifty
million (50,000,000) CIP Budget, that I think we have not seen in many years...it is
the largest in a long time...it gives us the opportunity to leverage additional funds.
With so much infrastructure opportunities that are out there, my hope is that we can
leverage them in a way that we do not leave any money on the table on the State and
Federal levels. That would require us to really look towards enlisting and being ready
with grant writers. I think it is clear that the County does not want to extend or
expand its services here. I think we have a strong community that knows how to
rally and be that third party in order to ramp up and bring in the funds that we can
for our island. That is what I am looking for and excited about. It is a structurally
balanced budget. I do not think we can ask for more out of our Administration. As a
team, I know they do it every year. They have specific requests and interests from
each department to come up with a direction and something they can agree on. The
Council sort of serves as the lightning rod in that checks and balances. To that end,
we have a duty to look at what those priorities are from a leadership and visionary
standpoint and to make decisions that can help support those, whatever they may be.
What I would say is, we have liabilities. Many of them are unfunded and that we are
responsible for. From that standpoint of having a conservative approach to it, I
completely agree. Let me put that into perspective. When I started back in 2013, the
Operating Budget was at one hundred sixty million dollars ($160,000,000). That is
less than nine (9) years ago. We are at two hundred sixty million
dollars ($260,000,000). If for every year that I have been here, there has been an
increase. An increase, as much as we say we can be conservative, those unfunded
liabilities continue to affect us. As you can see by our process, we did not make any
cuts or additions. I am not criticizing our work. I am saying that it is difficult. In
past years, it has been difficult to find those cuts even when we really try. I think
what we are looking at is needing to look at the system as a whole and because we
COUNCIL MEETING 67 JUNE 1, 2022
are still moving the needle forward, we need to look at the priorities. They will never
go away, and we will never be able to fund them if we do not look at them now. That
is what the job is of this Council. Thank you.
Council Chair Kaneshiro: Councilmember Cowden.
Councilmember Cowden: Thank you, Council Vice Chair Chock, for
really hitting the nail on the head and being able to define our priorities and looking
at the system as a whole. It is very important. I had a couple of things that I wanted
to add. First of all, I wanted to acknowledge the value of our staff and how important
it is each piece that they put in there to help us to look at it. It is huge. As I am
looking at our summary in here, seeing a piece that was important to me, is the
turbulence of the world. We have these wars going on in Eastern Europe. There are
threats of other ones starting. We are seemingly always at war. Everything is
escalating. When we have yet to look at our retirement, Employees' Retirement
System (ERS), and the stock market really dropping hard right now...people are
retiringwhile the moneys are down. We have so much that we have to adapt to. WeYp
cannot be too tight when we have not cut back on what is there. In alignment with
what Council Vice Chair Chock spoke about, and I know Councilmember Kuali`i and
I have made quite a lot of notes on, is as we were just at this NACo meeting, they
gave us the notice of funding opportunities for billions of dollars coming out to help
rural communities. We saw our State has set aside a billion dollars ($1,000,000,000)
for housing. We are looking at moneys and also knowing that that will again
influence our inflationary pressures that ripple throughout everything, both for
citizens and our county government. I appreciate the work done and the flexibility
that is left.
Council Chair Kaneshiro: Councilmember Kuali`i.
Councilmember Kuali`i: I have one last thing and probably the most
important thing about the budget process and our County is that our truest and best
success in this budget as we have done with other budgets in the past is to fully fund
our employees across the County. Yes, it is a structurally balanced budget, but what
is critically important to me is that we are not having to furlough or lay off anyone,
and honoring our negotiated and/or arbitrated collective bargaining agreements.
Clearly, as a County, we could not do what we do for our constituents if it was not for
our staff, workers, and employees throughout the County. To me, that is the number
one sign of a successful budget, if we can fully fund our employees, so we can continue
with our services. Thank you.
Council Chair Kaneshiro: Does anyone else have anything to add? I
thought we were going to talk about TVRs again. I am just joking. Our budget is two
hundred sixty million dollars ($260,000,000) in our Operating Budget and fifty-one
million dollars ($51,000,000) in our CIP Budget. We had an increase of forty-nine
million dollars ($49,000,000) in revenue. I just want to make it clear that the
Administration and the Council were extremely cognizant of not growing
government. We were very cognizant of not adding perpetual costs. We could have
said that we have all of this money and let us add a whole ton of positions since we
have the money. Those are perpetual costs that will be around forever. What the
COUNCIL MEETING 68 JUNE 1, 2022
Administration and Council have structured is that we have this increase and we put
a lot of it to CIP projects and that included twenty-two million dollars ($22,000,000)
in new CIP projects. Those are a lot of deferred maintenance types of costs, IT
infrastructure that needs to be updated, sewer improvements, park and playground
improvements, and tangible one-time costs that the County put that extra revenue
into. I believe that was the right thing to do for us. We were extremely cognizant of
not just trying to grow government with that revenue. We did add a few positions,
but it was critical and justified. Some of the positions were to add a beautification
crew around the Lihu`e area. We added more time to clean-up the area and it took
away resources from East and West Beautification from being able to concentrate on
their areas. It is critical for us to recognize that need. Another thing we always heard
was about the problems at the skate park. There were a lot of people out there doing
drugs or graffitiing. There was more use there and they wanted someone there. The
Mayor added a position to add one more Ranger there to add additional eyes.
Listening to the community and weighing the needs of it, the Administration did a
good job at not using this extra revenue to grow government. I know for a fact that
when it comes to cutting...I think when I first started, we had fun trying to cut the
budget. I can tell you that before the budget gets to us, the Mayor already set the
precedent and I believe they said that no one's budget can grow more than five
percent (5%). I believe they cut a whole bunch on their end. When the budget actually
comes to us as a submittal, there is not a lot of fat to the budget. That is why you do
not see us being able to cut a bunch of things. Maybe items in the past that we wanted
to cut;you see that they already trimmed it this year. We cannot cut it further. There
has been a growing process and that is why the budget process is the way it is. That
is why it has been streamlined. In their presentations to us, the Administration
knows what we are looking for. They are justifying increases or decreases in their
budget and they are answering a lot of our questions on the front-end so there are no
lingering issues. That has really streamlined the process. I think we all should pat
ourselves on the back for not going crazy with the increase. We really concentrated
on the CIP projects. I want to really thank the Administration, the Mayor, his team,
all of the department heads, et cetera, for all of the hard work that goes into the
budget. Obviously, they have a wish-list of what they want to do. They are being
cognizant of their budget and putting in what is pressing for them and justifying it to
get into the budget, knowing that they have a whole other list of items that they
would love to put into the budget. We may not have money at this time, or it is not
as pressing as some other priorities. I just really appreciate them bringing forward
a budget that we combed through line-by-line and each line item is justified. I want
to thank the Council for all of your hard work. It is three (3) weeks of budget, and we
pretty much go line-by-line through every item. I think we had great conversation
on the floor regarding policy, increases, where we wanted to put more money, et
cetera. I think the conversation was good. I think the public gets the benefit of
hearing the process, the thought that goes into it, and hearing some of the background
of why we felt this proposal was needed or did not pass. I think that was all
information for everyone to hear. Lastly, I just want to thank the staff. There is no
possible way that we could get through the budget the way we did if the staff did not
work so hard for us. Every year, they have just been stellar. Everyone on the Council
staff has been awesome. I just want to say thank you to all of you. That is all I had
to say. Is there anyone with any final comments? Councilmember DeCosta.
COUNCIL MEETING 69 JUNE 1, 2022
Councilmember DeCosta: I did not get a chance to thank the staff.
Maybe we should have another luncheon from the Councilmembers and cook for them
like we did before. I am amazed. I always thought I was very charismatic and smart,
but with working with staff like Jade, Scott, Christiane, Darrellyne, Allison, Aida,
and all of the girls, I am actually brilliant because of the staff. I am pretty sure you
six (6) also look good. I do not know how we can not get reelected with staff like this.
I just want to say thank you. Thank you so much.
Councilmember Cowden: Jenelle and Eddie, too.
Council Chair Kaneshiro: With that, we will take a roll call vote.
The motion to approve Bill No. 2851, 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:
FOR APPROVAL: Carvalho, Chock, Cowden, DeCosta,
Evslin, Kuali`i, Kaneshiro TOTAL — 7,
AGAINST APPROVAL: None TOTAL— 0,
EXCUSED & NOT VOTING: None TOTAL— 0,
RECUSED & NOT VOTING: None TOTAL— 0.
Ms. Fountain-Tanigawa: Seven (7) ayes.
Bill No. 2852, Draft 1 — A BILL FOR AN ORDINANCE RELATING TO
CAPITAL IMPROVEMENTS AND FINANCING THEREOF FOR THE FISCAL
YEAR JULY 1, 2022 TO JUNE 30, 2023 (Fiscal Year 2022-2023 CIP Budget)
Councilmember Kuali`i moved to approve Bill No. 2852, Draft 1 on second and
final reading, and that it be transmitted to the Mayor for his approval,
seconded by Councilmember Chock.
Council Chair Kaneshiro: We received no written testimony on this
item. Is there anyone in the audience or on Zoom wishing to testify?
There being no one present to provide testimony, the meeting proceeded as
follows:
Council Chair Kaneshiro: Are there any questions or is there any
discussion from the Members? If not, roll call vote.
The motion to approve Bill No. 2852, 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 70 JUNE 1, 2022
FOR APPROVAL: Carvalho, Chock, Cowden, DeCosta,
Evslin, Kuali`i, Kaneshiro TOTAL— 7,
AGAINST APPROVAL: None TOTAL— 0,
EXCUSED & NOT VOTING: None TOTAL— 0,
RECUSED & NOT VOTING: None TOTAL— 0.
Ms. Fountain-Tanigawa: Seven (7) ayes.
Council Chair Kaneshiro: The motion is carried. That concludes the
business on our agenda. Not seeing or hearing any objections, this Council Meeting
is now adjourned.
ADJOURNMENT.
There being no further business, the Council Meeting adjourned at 12:40 p.m.
Respectfully submitted,
JADE K. FOUNTAIN-TANIGAWA
County Clerk
jy
Attachment 1
June 1, 2022)
FLOOR AMENDMENT
Proposed Draft Bill (No. 2870), Relating to Peddlers and Concessionaires
Introduced by: BERNARD P. CARVALHO, JR., Councilmember (By Request)
1. Amend SECTION 4 to read as follows:
Sec. 23-3.4 Peddling [License Fee] Permit; Exemptions.
a) Beginning January 1, 2008, all persons who wish to engage in
peddling activity shall have a valid peddler's license. The annual fee for a
peddler's license as provided for in Section 445-141, Hawai`i Revised Statutes,
shall be one hundred dollars ($100.00), except that no license fee shall be
required of persons who are of the minimum age of sixty (60) years, or anyone
who peddles fish, fresh fruit, lei, flowers or vegetables. No license issued under
this Section shall be transferable. The license shall authorize only the named
licenses and no other person to engage in peddling activity and shall authorize
peddling only at the locations or along routes noted on the license. All licenses
shall at all times keep the license exposed to view, in a prominent place and
convenient for inspection while engaged in peddling activity. All licenses shall
also comply with the requirements of Chapter 237, Hawai`i Revised Statutes,
General Excise Tax Law and any other State laws.]
a) All persons who wish to engage in peddling activity in County
parks, playgrounds, beaches, roads, parking lots, and other facilities and areas
subject to, or adjacent to, facilities under the jurisdiction of the Department of
Parks and Recreation, including unpaved roadway areas adjacent to parks and
any area subject to Department of Parks and Recreation jurisdiction between
the ocean and the abutting property line, shall have a valid Peddler's Permit.
Unless otherwise established in rules established by the Director of Parks and
Recreation pursuant to Section 23-3.3, the fee for a Peddler's Permit shall be
one hundred dollars ($100.00) per year. No permit issued under this Section
shall be transferable. The permit shall authorize only the named permittees
and no other person to engage in peddling activity, and shall authorize
peddling only at the locations or along routes noted on the permit. All
permittees shall at all times keep the permit exposed to view, in a prominent
place and convenient for inspection while engaged in peddling activity. All
permittees shall also comply with the requirements of Chapter 237, Hawai`i
Revised Statutes, General Excise Tax Law and any other State laws.
b) Notwithstanding any law to the contrary, any concession or
permits, granted by the State for any activity shall be exempted from the
provisions of this Article."
2. Amend SECTION 5 to read as follows:
a) It shall be unlawful to violate any of the rules and regulations
adopted pursuant to Sec. 23-3.3.
1
a
b) It shall be unlawful to_ [engage in peddling without a valid
peddler's license in the peddler's possession, or to operate at a location not
authorized thereby, or to transfer a peddler's license to another, or to alter or
possess an altered peddler's license.]
1) Engage in peddling in County parks, playgrounds, beaches,
roads, parking lots, and other facilities and areas subject to, or adjacent
to, facilities under the jurisdiction of the Department of Parks and
Recreation, including unpaved roadway areas adjacent to parks,
without a valid Peddler's Permit in the peddler's possession;
2) Engage in peddling in any area subject to Department of
Parks and Recreation jurisdiction between the ocean and the abutting
property line, including but not limited to parking lots and County
parks, without a valid Peddler's Permit in the peddler's possession;
3) Operate at a location not authorized by a Peddler's Permit;
4) Transfer a Peddler's Permit to another; or
5) Alter or possess an altered Peddler's Permit.
c) Peddling shall be unlawful without a permit issued by the
Director of Parks and Recreation within County parks, playgrounds, beaches,
roads, parking lots, and other facilities and areas subject to, or adjacent to,
facilities under the jurisdiction of the Department of Parks and Recreation,
including unpaved roadway areas adjacent to parks.
d) Peddling shall be unlawful without a permit issued by the
Director of Parks and Recreation in any area subject to Department of Parks
and Recreation jurisdiction between the ocean and the abutting property line,
including, but not limited to, parking lots and County parks on the island of
Kaua`i.
e)] Prima Facie Evidence; Peddling. The presence of a peddler
without a [permit issued by the Director of Parks and Recreation] Peddler's
Permit in any areas described in either Subsection [(c)] (b)(1) or [(d)] (b)(2) of
this Section, with the peddler's or his/her employer's goods, wares, novelties,
merchandise, foodstuffs, refreshments, or other property or services shall
constitute prima facie evidence of peddling, in violation of said Subsection."
Material to be deleted is bracketed. New material to be added is underscored.
Amended material is highlighted.)
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BC_CNTjy.docx
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