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HomeMy WebLinkAbout03/09/2011 Regular Council MeetingCOUNCIL MEETING March 9, 2011 The Council Meeting of the Council of the County of Kauai, was called to order by the Council Chair at the Council Chambers, 3371 -A Wilcox Road, Lihu`e, Kauai, on Wednesday, March 9, 2011 at 9:34 a.m., after which the following members answered the call of the roll: Honorable Tim Bynum Honorable Nadine K. Nakamura Honorable Mel Rapozo Honorable JoAnn A. Yukimura Honorable Jay Furfaro, Council Chair EXCUSED: Honorable Dickie Chang Honorable Derek S. K. Kawakami APPROVAL OF AGENDA: Mr. Rapozo moved for approval of the agenda as circulated, seconded by Mr. Bynum, and unanimously carried. Chair Furfaro: Next item. Mr. Nakamura: Next matter is approval of the minutes of the following meetings of the Council. MINUTES of the following meetings of the Council: Public Hearing of February 9, 2011 re: Bill No. 2395 Special Council Meeting of February 22, 2011 Public Hearing of February 23, 2011 re: Bills Nos. 2396, 2397 and 2398 Mr. Rapozo moved to approve the Minutes, seconded by Ms. Nakamura, and unanimously carried. Chair Furfaro: Now let's go to communications please. Mr. Nakamura: First communication is communication C 2011 -76. COMMUNICATIONS: C 2011 -76 Communication (02/16/2011) from Council Chair Furfaro, requesting the Administration's presence to provide the Council with an update on the County's Islandwide Road Resurfacing Program. Chair Furfaro: To the County Clerk and I would like the Engineering Department to follow my discussion on this item, is it the County Engineering Department intent today to get an approval of the island roads resurfacing program that they've submitted? Oil COUNCIL MEETING . March 9, 2011 Mr. Nakamura: No, this is just a discussion Mr. Chair. Chair Furfaro: This is just a discussion. Okay, and so if you can advise me after this discussion if you are resubmitting an intent for the approval of the items being discussed today? There being no objections, the rules were suspended. LARRY DILL, COUNTY ENGINEER: That would be my goal, if possible, yes. Chair Furfaro: Okay so that would not necessarily happen today but we need to do a follow up communication, Mr. Dill. I'm going to suspend the rules on that note and ask Mr. Dill if he has a presentation or is prepared to respond to some of the questions that were submitted over to your office. Mr. Dill: Good morning. For the record Larry Dill, County Engineer. I apologize for the lateness of this submittal but we do have a letter for you responding to the questions that were submitted to us on the first set of questions. We did receive a second request, it was just this past Monday, we have not had time to adequately respond to those and we're requesting a deferral on that second list. We are prepared to discuss the items on the first list that came over as subsequent to the previous meeting. Chair Furfaro: That might have been a little bit of internal housekeeping issue. I had submitted questions from two (2) Councilmembers and I had inadvertently not included questions that came via a different network to my office and so that must be the second list that you're referring to? Mr. Dill: Yeah, we just received that Monday afternoon and... while the first list got... Chair Furfaro: The problem is ours. Mr. Dill: Okay. Chair Furfaro: I suggested that a vehicle be used to get the questions to my office, I didn't make myself clear but you do have questions from three (3) different Councilmembers, now. Mr. Dill: Okay, I have received two (2) memos. Chair Furfaro: Yes. Mr. Dill: Okay. Chair Furfaro: One (1) set of questions from two (2) Councilmembers and a third (3rd) set of questions from... and a second set of questions from a third (3rd) Councilmember. Mr. Dill: Okay. Chair Furfaro: And that is why we will move on the deferral after today's discussion. 3 COUNCIL MEETING March 9, 2011 Mr. Dill: I am prepared though from the late memo or the latest memo, I should say, to discuss some of those items perhaps but we don't have an official communication to you for those. Chair Furfaro: Well as much as you can discuss today, would be greatly appreciated. The floor is yours Mr. Dill. Mr. Dill: Thank you. In response to the February 25th memo, I'm just going to run through the questions and the answers you have in front of you in the letter that I hope you all have a copy of dated March 8th? The question was... Ms. Yukimura: I don't have that, I don't think. Chair Furfaro: Mr. Dill, we may not have that. I have questions... Ms. Yukimura: We're on roads. Chair Furfaro: Hold on just a second so we can get those copies. Mr. Dill: Okay. Chair Furfaro: Are we making copies of Mr. Dill's responses, is that what we're doing? Thank you. Mr. Dill, I'm going to continue to give you the floor while we're making those copies. Mr. Dill: I just gave away my letter to make the copies so I don't have my notes in front of me. Chair Furfaro: Let me pose a question to you Mr. Dill while we're waiting for that... Mr. Dill: Oh okay. Here we go. Chair Furfaro: Good. Mr. Dill: So first question asked in regards to the use of glassphalt /recycled glass as part of the County's repaving /resurfacing program. Has the County of Kauai utilized this product before? Was it successful or problematic? And do we plan to utilize it again? Both contractors were utilized in the past in an attempt or experiment if you will to see if that was something that we wanted to pursue. It was problematic and so at the moment both contractors that are on the island... Chair Furfaro: Let's do a timeout until we get a horn adjusted here from somebody's vehicle. There being no objections, the Council recessed at 9:41 a.m. The Council reconvened at 9:42 a.m., and proceeded as follows: 4 COUNCIL MEETING March 9, 2011 Chair Furfaro: Mr. Dill. Mr. Dill: Okay. Again both paving contractors on the island have stopped using glass in their mix for the three (3) reasons that are noted in the letter. That is that the glass didn't do well as far as adhering to the asphalt binder, so the flexible pavement wasn't as strong as when using the regular aggregate. It's related to point number two (2) as well the glass weakens the a.c., since the glass itself is not as strong as the regular aggregate and its ability to bare the traffic weight. Also there were problems, if I could summarize number three (3) in contamination and that they couldn't get glass product in sufficient quantities that suited the purpose. What's not noted on here is that the sufficient quantities are also... they would have to ship glass from off island which made it a much more expensive venture because you don't simply produce enough glass on this island to make that feasible. Item number two (2) was requesting a copy of both the County's previous and new road resurfacing contract. Please indicate the new provisions (i.e., additional Contractor responsibilities, etc.) that were discussed on the Council floor. We have emailed over so you do have in your office here copies of those contracts, I have a couple of hard copies there, a hundred and sixty -eight (168) documents, so they're pretty thick. We can provide you with these copies as well as you have them electronically now as well. As far as... Mr. Rapozo: Mr. Dill, excuse me... Chair Furfaro: Hold on just a second. Mr. Rapozo: I'm not following those questions with what I have; I have completely different questions here. Chair Furfaro: Staff? Excuse me, will you take a walk over and look at Mr. Dill's, what he's reading because it was handed to him by his, one of his managers and make sure that that is the document that you have passed out to us. Mr. Rapozo: I'm assuming we're referencing... Chair Furfaro: Let me just clarify this first. Is that the same document? Mr. Rapozo: Well I have the March 7 questions, five (5) questions starting off with how many miles roads... Chair Furfaro: This is not just for you, it's for all the members... Mr. Dill: Councilmember Rapozo the March 7 memo is the one we're requesting a deferral on because we just received it Monday afternoon. Mr. Rapozo: Okay, well that's what was handed to me so I don't have what you're... COUNCIL MEETING March 9, 2011 Chair Furfaro: I'm getting to the same place. What you're reading from, that you got from Ed, is not what's been circulated to us. Ms. Yukimura: I think we just got it. Chair Furfaro: Okay, just got it. Okay. Dated March 8? Mr. Dill: Correct. Chair Furfaro: Thank you and thank you for bringing that to our attention Mr. Rapozo. Do you have your copy back now? Mr. Dill: Yes. Chair Furfaro: Let's start all over. Mr. Dill: Okay. Chair Furfaro: Okay. Mr. Dill: First question was regarding the use of recycled glass in our asphalt mix. Both paving contractors... Chair Furfaro: Let me just ask, does everyone find where those answers for those? Go ahead, you can go... Mr. Dill: Okay, alright. Chair Furfaro: Next one. Mr. Dill: Do you want me to go over the reuse of recycled glass? Chair Furfaro: No, no, we're good with that. Mr. Dill: Next item was regarding basically comparing the previous and new road resurfacing contracts. We have forwarded up to your office, so you have a copy of that document now and it's the large, thick document and so you have that to review. Basically the new road resurfacing contract which J the 2009 -2010 contract has not been (inaudible), so we still have that opportunity to modify and to incorporate the provisions that was discussed in Council and the main thing there is listed from the Council discussion last time was inclusion of thermoplastic pavement markings as opposed to paint striping. We've done temporary paint and then come back later to do permanent paint. We're going to go direct to the thermoplastic painting now, which is a much heartier alternative, it will last a lot longer. More expensive upfront, but last and cost wise, makes a lot more sense. We're going to make sure that we identify and repair failed pavement areas prior to resurfacing, whereas in the past it may have been that we simply repaved or resurfaced right over top of areas that should have been repaired prior to. Again that's going to add some cost upfront, it'll help lengthen the lifespan of the pavements and reduce over the lifecycle cost. The subject of the edges of the pavement and addressing those that we talked about last time, so we're going to make sure that the contracting includes provisions to make sure that the edges of the pavement are prepared for us and that they're addressed afterwards to make 6 COUNCIL MEETING March 9, 2011 sure that we're not left with a drop off on the edge of the pavement when the work is done at the conclusion of the contract. Item number three (3) was asking about why the variation in "per ton" cost of asphalt cement on various parts of the island. The basis for that is simply the trucking cost, the distance for the asphalt (inaudible) is the further you get from the (inaudible) plant, the more expensive it is to get the asphalt delivered to the site where you're doing the construction. There some other minor things, things like quantities, of course usually you get a larger quantity for a project you get a better unit price. Also when you get down past Hanalei, trucks going over the Hanalei Bridge again you got a smaller truck with a smaller quantity that can go over the bridge and that tends to drive up the cost as well. Generally speaking, the cost is based upon the hauling distance from the plant. Chair Furfaro: Larry, before we go any further, I just want to clarify some of the confusion and you're new to the position and we have some of the agreements with you, we have just now received from the Administration the actual signed copy of your report. Typically we should make sure that when we come to session that we have someone from the Administration who has acknowledged this can be released to us. I apologize for the confusion but it would be good for us in the future to make sure that the material that you end up distributing at the table... if you can confirm that the Administration has in fact done the appropriate cover letter and signed off on what's being distributed. Mr. Dill: Okay, thank you. I appreciate that. Chair Furfaro: That is the confusion this morning, thank you. Mr. Dill: Alright. Moving on to item number four (4), will there be any field equipment or any other equipment or training needed for the operation for the "MicroPaver" pavement maintenance management system? If equipment or training is required, is it budgeted and when is implementation expected to be complete? With this new software we do not anticipate any field equipment being necessary. Training is available for this software via web based training, so any cost associated with that can be easily accommodated with an existing training budget that we have already in place. We have already moved forward with the acquisition of the software so we should have it within two (2) weeks, I have in writing, hopefully sooner than that but certainly within two (2) weeks. Implementation will be an ongoing process, it's difficult for me to sit here and say it will be a hundred percent (100 %) implemented in such and such date because it's a matter of inputing more and more information, doing roadway inspections, inputing it into the system and then as that grows the implementation will grow. But we certainly do believe that it will be implemented by the end of the next fiscal year and will be in use long from the beginning of the fiscal year. Number five (5) the request is to provide our comprehensive plan for the County's road resurfacing program. For example, how are roads selected for paving, how are they scheduled for repaving, when will the bids go out for that work? When will they be awarded, when will the work begin and how many miles of roadway will be included for fiscal year? To date because we have not had a comprehensive preventive maintenance management plan for the roads, it's been a pretty informal COUNCIL MEETING March 9, 2011 process and it's based upon inspections that are done by the (inaudible) overseers and the supervisors in the Roads Division, as well as calls from the public who call in to indicate that certain roads, that they are requesting attention on. Typically known as the worst /first scenario, we try to pick up the roads that are in the worst condition and then take care of those first and proceed on down the list from there. Those are based on I want to say the experienced observations of the supervisors and they've been on this job a long time and know which roads need attention. However, the implementation of the pavement management system will allow us to be a lot more objective and a lot more logical in scheduling that work. Also the beauty of the pavement management system or one of the beauties is that, we'll be able to catch roads before they get into a very bad condition. When they get into a very bad condition, you got to reconstruct the road in its entirety. We've been discussing programs to implement sealing, slurry sealing of the roadways when they get down to a certain level of condition and that can save the road and get it back up to a much higher standard. The slurry seal is a much less expensive alternative than repaving or of course reconstruction of the road. So by slurry sealing the road on a certain timeframe as indicated by the pavement condition index that's given to us by the MicroPaver system, we can catch those roads before they get beyond that point of no return and again extend the lifecycle of that road and reduce the lifecycle cost. Speaking specifically now with regard to the list that's before us today, the 2009 -2010 proposed Islandwide Resurfacing, subject to approval by this body and our Administration... once we got that we already got a contract drafted. As you mention we've got to make some modifications to now based on the discussions here as the provisions of that contract. We anticipate that will be finalized, bids can be advertised approximately three (3) months after approval by the Administration and the Council. It's because we have to go through the procurement process of course and then work should begin after the contract is awarded and execution and notice to proceed given approximately two (2) months after that. Chair Furfaro: Larry, I want to make sure you're clear on something... it is the Administration that signs off on the project list and so forth prior to coming to the Council. Mr. Dill: I understand. Chair Furfaro: Okay. Section eight (8) of CIP requires the final approval submitted by the Administration, signed off by the Mayor to this body before any money is released. Mr. Dill: Chair Furfaro: squared away. Mr. Dill: Chair Furfaro: Okay. I just wanted to make sure we're Okay, I understand. I appreciate that. Okay. Mr. Dill: And then finally the 2009 -2010 proposed resurfacing lists includes about twenty -two (22) miles of roadway that they're going to be resurfacing with that contract. 8 COUNCIL MEETING March 9, 2011 Number six (6) please provide the Department's plan since there are only four (4) months remaining in the Fiscal Year. We are in the process now of still closing out the Islandwide Resurfacing contracts for FY 2007 -2008. Those contracts... those are the resurfacing list that is done in those years but the contracts do take a year or two (2) to complete the actual work. So there has been work ongoing in this fiscal year from previous year's fiscal contracts that is still being completed. So that work is an ongoing process. There was no Islandwide Resurfacing list and contract that was done for fiscal year 2009 because of those other projects still ongoing. The funds that were budgeted for that are rolled into the list that we have before you today and we'll be moving forward in that regard. As I just mentioned the schedule we are anticipating for the 2009 -2010 project. Item number seven (7), when will the Council receive the Islandwide Road Resurfacing Plan for fiscal year 2011 -2012? We plan to provide that to you late first quarter of that fiscal year or early in the second quarter of fiscal year 2012. Finally, what would be the impact of incorporating "HAPI" the Hawaii Asphalt Pavement Industry standards to the current County's road resurfacing contracts? This is consistent with what we said before that now we're raising the bar as far as the quality of the work that we're trying to do to the roadway resurfacing. Basically that's going to immediately impact the cost of the road resurfacing is going to go up but the overall lifecycle cost will go down. So that will be the twofold pack of incorporating those sorts of standards. That's response to the first letter, memo. Chair Furfaro: Larry if you can, I'm going to recognize Mr. Bynum but before I do I want to share something with you, and again I just want to make sure as you reacquaint yourself with the County and so forth... Now on the highway fund you're correct, the moneys do roll over in a CIP fund but that is not true of the accounts and I just want to make sure that you're aware of that. Mr. Dill: Right. Chair Furfaro: There are other commitments in project maintenance repairs and so forth that you actually have to encumber the funds. Mr. Dill: Yes. Chair Furfaro: Before it gets rolled over, just so we're clear there. Mr. Dill: Okay, thank you. Chair Furfaro: The other portion is from the list I see you submitting to us and if I do a quick run and tab, you're probably about three hundred thousand (300,000) over what is available to you in the funds. So I'm making the assumption when you do submit the new list, you're going to take that three hundred thousand (300,000) in consideration for the next road budget that you put together? Mr. Dill: Yes and as you note our estimates are over the remaining balance. E COUNCIL MEETING March 9, 2011 Chair Furfaro: That's why I'm saying that. Mr. Dill: We are fairly optimistic that the bids will come in within the budgeted amounts so our budget estimates I think are pretty conservative. Chair Furfaro: On that note, I'll let Mr. Bynum have the floor. Mr. Bynum: Good morning Larry, I wanted to preface my remarks with the recognition that you're new in your position. The big question for me and I have some others is why road resurfacing didn't go out last summer as we... the Council was told previously that the target date was last summer so why didn't we put out the road resurfacing contracts? Mr. Dill: I don't have an answer for that question today but I will have to get back to you. Mr. Bynum: The current balance is like six and a half .. six point one (6.1) million that's unencumbered? Mr. Dill: Last year's budget showed a balance, I think about February of last year, about six point two (6.2) million dollars. The appropriation was about one point seven (1.7) million, which brought the balance to about seven point nine (7.9) million. Since that time we have brought that balance down to about five point two (5.2) million through contracts that have been issued and work that has been completed. Mr. Bynum: From the previous fiscal year? Mr. Dill: Correct. Mr. Bynum: And the reason why this is important is we have a lot of unemployed people on Kauai right now... Mr. Dill: I understand. Mr. Bynum: And we have a large backlog of CIP dollars. You have already pointed out that we're getting good bids, we're getting good kind of bang for the buck... in terms of when we put bids out and this Council last year asked the Administration... stressed its urgency, our sense of urgency of getting these jobs out on the street. Both because we're getting good value for the dollar and because we have high unemployment in the trades and we were assured at that time that the islandwide road resurfacing which is a big chuck of dollars would be out in summer of 2010. I have this whole spreadsheet of all of the CIP projects and the projected completion date of the projects and the projected completion date we were given for road resurfacing was June of 2010. I don't understand why that didn't happen or why the Administration wasn't back here telling us, hey we're not going to make this deadline. We've had a lot of discussion about CIP over the last couple of years and a lot of commitments but you know we haven't seen a lot of follow through on some of those dates. In the Public Works Committee, we're going to be asking for an update on this spreadsheet. Mr. Dill: Okay. 10 COUNCIL MEETING March 9, 2011 Mr. Bynum: Which we were assured was a living document that would be updated on a regular basis, right? I'll be requesting an updated document for all of the CIP projects that we were trying to track. I appreciate the answer number two (2) here about new contracts, having the thermoplastic pavement markings, repairing the failed pavement before... so in essence we were... we had contracts where we were paving over portions of road where we knew underneath there was failed pavement, we weren't meeting those standards of replacing those failed pavement. Isn't that a prescription for failure right away? Mr. Dill: I believe so, yes. Mr. Bynum: So that's a fundamental change that you're instituting at Public Works now that are future road contract, so they are going to meet the HAPI standards? Mr. Dill: Well HAPI is a professional organization and are not a standards producing body. As I understand it they provide... Mr. Bynum: Recommendations? Mr. Dill: Right. Okay so with the MicroPaver management system it's a standard based software and HAPI would relate to those standards. It meets the standards; it was developed by the Federal Highway Administration (inaudible) Corps of Engineers and Federal Highway Administration, so we look to those bodies for standards. Mr. Bynum: Just to be specific when we drive down a road that's going to be repaved soon, we can all see places where the pavement is starting to chunk up. Mr. Dill: Right. Mr. Bynum: Typically what... and I don't think was happening routinely and you're saying is that first we come through and identify those areas and like paint them, we've seen that too right? And then come in and re -patch those prior to doing the surface over the top, correct? Mr. Dill: Correct. Mr. Bynum: And that will extend road surface life. Because this is also for me a safety issue, when the roads are substandard and it's energy issue too. When the roads are substandard they're not safe. One of my concerns going way back was about the edge dressing that you addressed in this. And I think we improved for a period of time, it's just observation, we improved dramatically because we weren't doing the edge dressing maybe eight (8) years ago or nine (9) years ago and then we started doing it and I'm talking more about the follow up, coming back after the road is paved and bringing the edges back. Because when cars go off of a steep edge, they lose control and plus that breaks down the edge of the pavement, have I got that right? Mr. Dill: Yes. 11 COUNCIL MEETING March 9, 2011 Mr. Bynum: Which also further degrades the life or the length or the history of the road? So these are really good news, this is the first time we've seen a commitment that this will be part of the contract, that it won't be county workers required to do the preparation and... but it will be part of the contract that we send out, correct? Mr. Dill: That's our intent. I do want to qualify that though because it may be that our roads crew, in doing the work it may be efficient for them in some instances to do some of that repair work prior to letting that contract. So it will be addressed either in the contract if it hasn't been done by our in house crew. Mr. Bynum: Well part of this and I don't know how much of this is true, but our road guys are often called on to do other task... Mr. Dill: Absolutely. Mr. Bynum: For the County, a whole bunch of them in fact and I assume that they are the routine maintenance, ongoing maintenance for the road and when they get distracted into other areas, maybe that falls down. Things as simple as the County... well I won't go into that... Another thing that I've been interested in is this thermoplastic pavement markings, is there an intention for us to do that in house when we do repainting? Are we going to purchase that equipment and make the change from paint to thermoplastic? Mr. Dill: We plan to and we're looking at that now to see what type of equipment we would have to pick up in order to do that in- house, yes. Mr. Bynum: So those were budget questions I asked last year in the budget whether there was that intention and it was like well it's too late for this year but I'm hoping in the budget this year, we're going to see a request for the proper equipment to do that. Mr. Dill: Okay. Mr. Bynum: I want to continue to applaud the idea of getting objective data and analysis to determine which road gets paved when and I'm going to just restate my expectation that the... there isn't a political intrusion into your work about what priorities are made for those roads by mayors or councilmembers or you know... if community groups want to say, what's with my road, we give them clear answers, but we don't bump them up onto the top of the line unless there's objective criteria for doing that. It's my belief that politics have been intruding into that in the past; I don't have any evidence for that, that's just my belief. I would be counting on the Director or the County Engineer to resist that kind of political influence and to alert us if that's occurring. But I really like the direction that you're going here with adopting better standards to make sure when we resurface the roads that they're going to remain durable and safe for a long time. And just an aside, the energy issue is well paved roads reduce all of our fuel cost. When we're on rough and tough roads, it impacts when we drive, so there's a lot of good reasons to have adequate roads. The biggest thing and I feel responsible for not knowing this that I'm being self critical that I had no idea that a whole year worth of road resurfacing had gotten lost in my opinion. Because we were given assurance that it was going to be completed by summer of 2010 and I relied on those 12 COUNCIL MEETING March 9, 2011 assurances. I want to take some responsibility for that. If I'm the Chair of Public Works, I should have known that. I was focusing on a lot of other CIP projects but that's a huge one, that's a big ticket item. It's important that we keep up with it. I mean if we missed a whole year I assume that means we're behind even further than we were. I know you're not personally responsible for that but I don't understand. I'd like an answer to that question. Why did we miss a whole year? What was the reason? And I know I heard you say that you can't give me that answer right now. Mr. Dill: I would like to mention again that the fiscal year 2009 -2010 resurfacing list, we'll use all funds that have been approved and budgeted. So a lot of that catch up will be happening with this contract we're going to be letting out. Mr. Bynum: Alright, so we're going to get back on track? Mr. Dill: I don't know if it's going to happen all on this contract but a lot of them will happen on this contract. Mr. Bynum: Well I'll be paying closer attention than I was and you know I take responsibility for that because I should've known. I was focusing on these big ticket items and just assumed that that was happening. Thank you very much. Chair Furfaro: Larry on that note Mr. Bynum took some responsibility for not tracking this closer as he was the Chair of Public Works but I want to make sure you understand, you know this Council... we can't direct you but we made the funds available and anything you can do to get us back on track, would be greatly appreciated. I'll leave that comment and I'm going to turn this portion of the meeting over to Vice Chair Yukimura because I need to step out and I think she asked for the floor now. May I do that? Ms. Yukimura: Certainly. Chair Furfaro: I'm going to step out for a minute. Chair Furfaro relinquished his Chairmanship over to Council Vice Chair Yukimura. Ms. Yukimura: But as the presiding officer I'd like to ask others who have questions first? Councilmember Rapozo. Mr. Rapozo: Thank you. Thanks Larry, I appreciate your responses, I mean it's interesting what you portrayed out or presented today is really what the former Councils have asked for and I think it's really reasonable. I know Mr. Mickens is probably quite ecstatic today because a lot of the stuff that he's been talking about and raising at this Council floor, looks like anyway that it's going to be realized in the next few years and that's for me is pretty encouraging. Things as simple as doing the shoulder work have always been a problem. The fact that we pave roads without prepping it properly, we waste so much money in the past and (inaudible) is not going to do anything. Going forward though I think Mr. Furfaro summed it all up saying that the Council is here to help... roads in my opinion, with the exception of public safety is one of the highest priorities of this county, it's the core function of this county. It's to provide safe and comfortable travels for our tax payers and I was shocked to find out last week when I was 13 COUNCIL MEETING March 9, 2011 chatting with Councilmember Nakamura that in fact we had missed the whole cycle, I wasn't aware of that. That just cannot happen. With your answers and your... you know I think we're on track or getting back on track and I appreciate that and I'm glad Mr. Bynum is going to keep an eye out because I think often times when we as a Councilmember approve a budget we just assume that it's going to get done. We have that trust with the Administration and a lot of times it falls through the cracks and we'll never know, we hear the complaints from the public, they'll call and say Mel when are you going to fix my road. I've driven on Waimea, you know the road that goes up to, where the old Dairy Queen is, it goes up to... by the time you get to the top of that road, you got to go visit the dentist because your teeth are all loose and that's one road that should be paved. I mean when you look at a... you come up with your list, there's no way you're going to cover every road but that road is simply substandard, just simply substandard and there's many like that. The list is a good start and I think the attitude is actually more, for me anyway is more refreshing, just the attitude of yourself and your staff... Mr. Dill: Thank you. Mr. Rapozo: That in fact we want to get back on track and those three (3) little bullet items that you have, I think that if we can accomplish that in the contract, the people will be very satisfied and I think this Council will be very satisfied. So thank you and good luck and let us know if there's anything that we can do to help. Mr. Dill: Thank you. Mr. Rapozo: Thank you Councilmember Yukimura. Ms. Yukimura: Yes, thank you Councilmember Rapozo. Councilmember Nakamura. Ms. Nakamura: Hi Larry. Mr. Dill: Good morning. Ms. Nakamura: I have a question to follow up on item... the question number five (5) in your list here. It says here that once the Council approves the funding that it takes three (3) months to go through the bidding process and award the contract and then a couple more months then to get the contractor started. Is that, kind of... Mr. Dill: Yes. Ms. Nakamura: Does that sort of summarize? Mr. Dill: More or less, that's the procurement process. Ms. Nakamura: Right the process. Now I was wondering once the contractor has been awarded the bid then how long does it typically take then to execute on the contract? Mr. Dill: Not having done this before... I don't have an answer to that question. Let me ask our Roads Division. Apparently two (2) 14 COUNCIL MEETING March 9, 2011 months because the preconstruction meetings need to happen, an investigation of the scope of the roads. Ms. Nakamura: Two (2) months before the work begins or... so once the contract is awarded, you have two (2) months before the work actually begins and then from that point on, how long does it take to complete the resurfacing? Mr. Dill: It's weather permitting a lot of the work obviously... Ms. Nakamura: Sure but typically? Mr. Dill: A minimum six (6) it could take. Ms. Nakamura: Six (6) months? Mr. Dill: Yes. Ms. Nakamura: So really the whole process five (5), six (6), seven (7) ... so that's thirteen (13) months, just about a year then to complete the work on a... Mr. Dill: More or less. Ms. Nakamura: Once the funds are approved by this Council? Mr. Dill: Yes. Ms. Nakamura: So my question has to do with this, I guess your response to question number six (6) which is that we're in the process of closing out islandwide resurfacing contracts for FY2007 -2008, if it takes a little over a year to complete the work, why is it three (3) years later and those projects... contracts are not closed out? Mr. Dill: I believe the... and I have to get back to you on this one... but I believe the scope of work, the work has actually been accomplished but there's some contract closure details, paper work, etc..., stuff that was never accomplished for some reason so I can get back to you on that one. Ms. Nakamura: Okay. Then for the 2010 -2011 work, we have yet to approve that list of projects, is that correct? Mr. Dill: Correct. Ms. Nakamura: Okay. And when do you anticipate getting that list to us? Mr. Dill: Well being on the schedule that we're on, as you know we're addressing the 2009 -2010 and we rolled over the 08 -09, the fiscal year 2009 funds into that contract. Since we are at this stage with the 2009 -2010, we are looking at rolling over the 2010 appropriation I'm sorry 2011 appropriation into 2012. Because we haven't even left this contract yet. 15 COUNCIL MEETING March 9, 2011 Ms. Nakamura: Got it. Okay. Mr. Dill: So I just think it just makes more sense at this stage of the game, seeing where we're at and move in that direction. Ms. Nakamura: Okay, thank you. Ms. Yukimura: Further questions? Councilmember Bynum. Mr. Bynum: Just one follow up question to what Councilmember Nakamura was saying, so the 07 -08 there was resurfacing happening during 2010 that came from the 07 -08 contract? Mr. Dill: I believe so, yes. Mr. Bynum: Okay. Yeah because I said earlier that I'm embarrassed that I didn't know we missed a whole cycle. Maybe that's because I saw resurfacing happening and I wasn't, you know... but we generally have a pretty significant budget item CIP each year for road resurfacing. Are we going to see because we're rolling over five and a half (5 %) million or whatever it is, are we going to see the standard amount, are we going to get caught up? Or are we going to be behind? Mr. Dill: We plan to utilize as much of those funds as much as possible. As I mentioned right now our appropriation balance including rollovers is about five point two (5.2) million. Fiscal year 2010 list which we provided, we are estimating at five point four (5.4) million; however, we are hoping and optimistic about bids coming in less than that. We plan to use all the funds that have been budgeted and approved by Council to get that work done. Mr. Bynum: For 2010? But you have the money already is what you're saying, so in the budget that's coming to us soon, are we going to see new road resurfacing funds? Mr. Dill: Yes, yes. When we come back to you shortly in the end of first quarter or beginning of second quarter of this coming fiscal year with a new road resurfacing list to use all of those funds. Mr. Bynum: Okay, thank you. Ms. Yukimura: Mr. Chair, I'll hand the gavel back to you and I haven't had chance to ask my questions so I'd like the floor. Council Vice Chair Yukimura gave the Chairmanship back to Council Chair Furfaro. Chair Furfaro: Ms. Yukimura: Chair Furfaro: Ms. Yukimura: I'll give you the floor. Thank you. You give me the gavel I'll give you the floor. Thank you. 16 COUNCIL MEETING March 9, 2011 Chair Furfaro: Councilwoman Yukimura has the floor now Mr. Dill. Mr. Dill: I'm sorry, go ahead. Ms. Yukimura: I just want to make sure I heard correctly your answer for... to Councilmember Bynum and Councilmember Nakamura... so this moneys that was appropriated from 2010 -2011 actually for the fiscal year we're in right now, right? Mr. Dill: Right. Ms. Yukimura: You're putting that all together in the moneys that are going out or they're separate and they're unexpended, so you're just going to incorporate them into next year's budget? Mr. Dill: Yeah I'm sorry. Ms. Yukimura: So the amount that you want for next year as well as the leftover from this year and then we put that into the CIP for road resurfacing, is that? What is it? Mr. Dill: The five point two (5.2) million it's in the appropriation balance right now is fiscal year 2010, up to an inclusive of Ms. Yukimura: Chair Furfaro: of me. Mr. Dill: Chair Furfaro: Mr. Dill: Chair Furfaro: in the carry over balance. Mr. Dill: Chair Furfaro: Mr. Dill: Chair Furfaro: five in the current year. Mr. Dill: Chair Furfaro: of those together. Mr. Dill: Okay. Mr. Dill since I have the numbers in front Yes. Can I summarize it for you? Please. Okay. You have five point two (5.2) million Right. From years previous from 2010. Right. You have one, seven, one, four, one, seven, Right. And when I said earlier when you put two (2) Okay. 17 COUNCIL MEETING March 9, 2011 Chair Furfaro: You're going to be about three hundred thousand dollars ($300,000.00) short from what you wanted to accomplish. Mr. Dill: includes fiscal year 2011. Okay, so the one point seven (1.7) million Ms. Yukimura: So we're planning to spend the 2011 moneys from what you have put before us? Mr. Dill: Correct. Ms. Yukimura: Okay. Mr. Dill: Yes, I'm sorry. Ms. Yukimura: Very good. No that's okay because I think we're all trying to figure out the outer problems that have come from the past years. Chair Furfaro: I just want to say if you put those together, I think you're still short about three hundred thousand ($300,000.00) from what he wants to do. Ms. Yukimura: Hopefully the bids will be... Chair Furfaro: Correct, that's correct. Ms. Yukimura: Alright, thank you. I want to proceed with my other questions? Mr. Dill: Sure. Ms. Yukimura: The last time you appeared before us, I was also shocked at the lack of performance in the past years and it was abysmal and embarrassing but I... and for those I think we need to ask questions to the Mayor and the Administrative Assistant because you guys weren't in your positions. I am really delighted with the progress since the last time you showed up because in county government what you're doing is lightning speed. And you are looking at making very substantial changes in a positive direction, that inclusion of that thermoplastic pavement markings, the repair of failed pavement areas prior to resurfacing, and the preparation and dressing of edge pavements as Councilmember Rapozo said that these are issues that have plagued us for years and to see it being addressed in a very thoughtful way, you know in the system change of how you put out our contracts is very, very good and very exciting that it's happening. I want to thank you for that. My questions are... I actually have some questions on glassphalt. Mr. Dill: Okay. Ms. Yukimura: You say that Maui County reports using glass in their ATB... what is ATB? Mr. Dill: Asphalt Treated Base. 18 COUNCIL MEETING March 9, 2011 Ms. Yukimura: Asphalt treated base, a few years ago... do we know whether they're still doing it and if so are they, have they solved these problems that you mentioned above? Mr. Dill: Apparently they are still using it but it's not a significant amount because I think they faced some of the same problems here, they have a limited supply. And they are using it... you understand, it's not in the pavement, it's not in the surface course, it's in the base. The asphalt treated base, it supports the surface course. Ms. Yukimura: But that is part of repaving. Mr. Dill: That's part o£.. when you do resurfacing you're not necessarily talking about rebuilding the base. Ms. Yukimura: Yes, okay. That's like reconstructing an engine for a car, right? Mr. Dill: Right, okay. Ms. Yukimura: That's what we're trying to avoid by timely resurfacing. Mr. Dill: Correct. Ms. Yukimura: Okay. So actually glassphalt is more relevant to base reconstruction than it is to repaving? Is that correct? Mr. Dill: We found it to be an option. For the reasons I listed in the letter the other three (3) items, it hasn't been successful as trying to use it in the ac mix itself. Ms. Yukimura: Even in base work it's not been effective? Mr. Dill: It's not been significant because of the volume of glass... Ms. Yukimura: Okay the lack of volume, the contamination. Mr. Dill: Oh the contamination is more of an issue in the asphalt because when you have contamination in the actual, that's the surface course, the asphalt itself not the base. Ms. Yukimura: Oh okay. Mr. Dill: Because then you get the problems I talked about in the first question. Ms. Yukimura: Which is why it's not good for resurfacing? Mr. Dill: Correct. 19 COUNCIL MEETING March 9, 2011 Ms. Yukimura: Okay. So if glassphalt is to be useful, the most useful area would be in the base course? Mr. Dill: Correct. Ms. Yukimura: Alright, I understand. And you know that the problem of supply could be fully addressed if City and County of Oahu would go into recycling on an extensive basis because that is one of the blind spots of all of us especially the City and County that they don't see what could happen in terms of a recycling modality, reuse /recycling modality if they started doing it because of the scale that they're working on. But be that as it may, okay, I understand the glassphalt issues. On the HAPI standards, what does HAPI stand for, H.A.P.I? Mr. Dill: Hawaii Asphalt Paving Industry. Ms. Yukimura: Okay. And as you pointed out those are not standards set by government agency, they're standards set by an industry that wants to sell their asphalt. Mr. Dill: No I would say... HAPI is a professional organization. Ms. Yukimura: Okay. Mr. Dill: That supports the industry and provides education and makes recommendations about things but they are not an official designated standards producing entity. Ms. Yukimura: Probably what they're advocating or proposing actually overlaps with some of our standards? Mr. Dill: Absolutely. Ms. Yukimura: Yeah. Mr. Dill: And I'm not belittling them at all by any way shape or form because they do a lot of good work and they support the standards that are out there and promote proper pavement maintenance. Ms. Yukimura: Okay, excellent. So then as you answered here the impact of incorporating their standards or the Federal Highway standards means that the upfront costs would increase, but the lifecycle cost that is how often we'd have to then repair, that work will decrease. And so in the long run we're spending less money with those standards because we don't have to repair and repave as often? Mr. Dill: Correct. Ms. Yukimura: Okay. So it's really good that we're going in this direction and I commend and thank you for that. Mr. Dill: Okay, thank you. 20 COUNCIL MEETING March 9, 2011 Ms. Yukimura: How we treat potholes related to how often we have to do resurfacing? Mr. Dill: Obviously a pothole is a failed pavement section in the road, so that would speak to, if we do a quick fix on a pothole, it's a cold patch which is a temporary fix. So we have to establish a program which is... I'm not sure if it's in place now but we're doing hot mix repairs. So the fixes that we have been able to do so far and we have been doing our temporary repairs and they don't last as long, they're not as strong. Number one (1) prior to resurfacing we would do a proper repair where we would repair the base course underneath and then build up from there. If it's a road now that's not scheduled for repaving or resurfacing for some time, we have been talking in house about how we can do a what we call a hot mix repair where we actually repair the base underneath and then do a hot asphalt, it's like a miniature paving job in the area where we conduct the repair. That will help lengthen the life spans of those routes. Ms. Yukimura: So after you finish putting our road resurfacing system in order you can put attention to how we prepare potholes and that will really make our road system work well. Mr. Dill: That's the goal, yes. Ms. Yukimura: I do acknowledge that you're having to deal with this all at once and you have to take it step by step but I... okay. So I'm glad that you folks are aware of the relationship of how we fix potholes and how Jong our resurfacing jobs last and that you at some point plan to address that, so thank you. Okay. The questions about... the second set of questions that you received and I apologize for myself because there were actually my questions and I'm sorry they were late but you'll be back to us because they refer to how we're going to catch up and how we're going to eventually get to a resurfacing program that's done in a timely basis, so I'll wait for your answers to that. Mr. Dill: Okay. Ms. Yukimura: Thank you very much. Chair Furfaro: Are there any further questions from members? Go right ahead. Councilmember Nakamura. Ms. Nakamura: Thank you again. I just wanted to clarify that from the time this Council budgeted the funds for the 2009 resurfacing that that would have been May of 2009 that... by the time that work gets done it will be May 2012 based on the scenario that we worked out that we talked about... Mr. Dill: Yes, that's correct. Ms. Nakamura: I really agree with Councilmember Rapozo that this being a core function of County government that we really should be doing a better job and I know you're taking steps to move us in that direction. I would also request your recommendations on how our system for doing this can be improved. 21 COUNCIL MEETING March 9, 2011 Mr. Dill: Okay. Ms. Nakamura: Because I think that's the long term fix. Something's broken in our system here for 2009 funds for that work not to be done until 2012. I think we really need to look at what are the core obstacles preventing this from happening sooner and maybe I just need to be educated on what those barriers are. ED RENAUD, CHIEF OF FIELD OPERATIONS & MAINTENANCE: Ed Renaud, Public Works. The thing is I can go out there right now and pick any road; I don't want to do that. I have rode the areas on this island and to prepare for this next project for resurfacing, I want to be sure that we get all the roads that need to be repaired. I have seen collector roads that we have not finished; I need to put them on there. You know get all this roads on the list, see what the quantities are and everything, what we're going to do with it and then look at our moneys instead of just going out there picking any road; I don't want to do that. What I see in the past, I won't go there. If I'm there sitting down in that seat now, I'm going to make sure that we do everything the proper way. Thank you. Chair Furfaro: Larry, I do want to share something with you and I think you and I, our professional paths have crossed before and I just want to say I think you agree with me this performance is not acceptable that we've been doing. And I also want to throw a new curve in this next step, partially several years ago I lobbied the rest of the body for additional money for resurfacing, almost two million dollars ($2,000,000.00). I think that pushed you folks ahead a little bit and that's not why we may not really be seeing the consequences of the fact that we've fallen behind. It's because there was a period that we pushed ahead. But I really appreciate the summary that you gave to us. The fact of the matter is that' we're going to defer this and you'll be back in two (2) weeks. I would hope in that two (2) weeks a following item on the agenda is the actual move to approve this money... with your road plan. But now we are seeing the consequences of not doing the 2010 -2011 pavings. To me that's really the period we failed behind. You and I are clear I'm seeing that we have appropriation balance of about five point two (5.2) million, we have the 2011 one point seven (1.7) million and when you add those together I do want to share with you, you're still about three hundred thousand dollars ($300,000.00) short and I heard what you said you're working for a better price with the volume you're going to get approved and so forth but at the same time, I want to make sure you understand, oil prices are what drive the cost of the paving and we're not in a good spot today. I look forward to your summary and that we have this understanding of where we need to go to really take care of this work. Anything like this happens to us in the future it's just not acceptable. The Council has approved the money and to go forward the Council has to approve the new money, you know we're the last stop. Anything I can help you with, you can count on me but we need to get this resolved pretty quick before we go into the next dry session. Now I'm going to ask members of the audience if they'd like to come up and I assume that you both be staying? Mr. Dill: Yes. Chair Furfaro: Okay. Mr. Mickens. GLENN MICKENS: Thank you Jay, for the record Glenn Mickens. As some of you long time Councilmembers know I've been here fifteen (15) years going over this thing. It's really a breath of fresh air to see it finally being 22 COUNCIL MEETING March 9, 2011 addressed, I don't know why it was never addressed in the past, but you know you heard me testified, you've seen me show PowerPoints, and on and on. I'm tickled to death to hear possible resolutions coming from our two (2) engineers. There's so many questions I would have but you have a copy of my testimony and let me read it and maybe you can answer a few of these. With all due respect to Ed and Larry, I do not believe that we need this MicroPaver system to properly pave out three hundred (300) miles of county roads. Our only two (2) paving contractors on Kauai, Glover and Grace Pacific are members of HAPI, Hawaii Asphalt Pavement Industry and heard what Larry said, HAPI is used across the United States by all pavers and their standards are pretty stringent and I don't think we need, maybe this data base that Larry is talking about may help, I don't know... to put this stuff in the data base. But even in that, if you're going to find a road out there that needs repaving you can physically go out and look at the road, if it needs repaving, it does. It doesn't matter what a computer is going to say. Anyway, their paving standards are stringent enough to give us all the longevity in our roads that we need without considering spending a thousand dollars or more on some new program. In other words, our Public Works Department shouldn't have to invest in this MicroPaver system, they simply must let our two (2) local contractors pave our roads by the HAPI standards that they are members of and stop eliminating these regulations from the RFP's that are given to them at bidding time. That's where the problem came in, our County issues a contract and when they issue the contract it doesn't say you have to rip up the bad paved roads, just pave over the top of it and that's where the problem came in. Let me read you a quote from the HAPI Directory that Greg Schleper, a pave contractor for thirty -seven (37) and Mel had a chance to meet him before he left: "Formed in 1989, the Hawaii Asphalt Pavement Industry (HAPI) represents all hot mix asphalt producers in the State as well as other related industries. The purpose of this association is to provide engineering promotion and education to advance the continuing use of asphalt pavement throughout the State of Hawaii. HAPI collects and disseminates technical data and guidelines, sponsors educational and technical seminars, and is available to assist architects, engineers and contractors responsible for the design and construction of asphalt pavements. HAPI and its member firms, who are responsible for the publication of this asphalt pavement guide, are striving to improve and produce quality hot mix asphalt for their users. And I'm sure that's why... that's three (3) minutes, may I continue? Chair Furfaro: You can continue Mr. Mickens. Mr. Mickens: Thank you. And I'm sure that's why all our contractors in Hawaii are members of HAPI. Thus, since I have no dog in this fight as far as what system is used, HAPI or MicroPaver, I would only suggest that as long as Public Works abide by this system when they use contracts or do the in house work. I only know that our roads have not been paved to code and fall apart way too soon as you know you members have pointed out. I have stacks of data to back up these words but will not go into this for shortness of time. I've passed along all my research to our new auditor and have given copies to Chair Furfaro and hopefully we can get resolution to these problems. 23 COUNCIL MEETING March 9, 2011 I'm not interested in finger pointing but going forward just want to see that we are getting the most bang for our tax bucks which we have not been getting in the past. Without getting into a new system it would seem that physical inspection, vehicle road usage, and elapsed time of paving all kept in a data bank would tell us all we need to know about resurfacing. This and an inspector at every site being paved and repaved to make sure HAPI code is adhered to. And as to this 09 -10 islandwide resurfacing program, I believe that Jay said the missing years of a resurfacing list 08 -09, 09 -10 which we just got, and 10 -11 as well as 11 -12 were budgeted for and yet it appears that we are using three (3) budgeted years. Over the years we have used about, I think Jay has pointed out one point eight (1.8) million dollars roughly, except for the years that Jay was saying and I think he got another two million dollars he added to the program. Which I think it went into the following years, so we didn't gain anything by that to repair this year 09 -10 which we just got. The question is who made that decision to do it this way and why? And how are these roads chosen? With a mile of road costing about three hundred thousand dollars ($300,000.00) to repave and as you pointed out Jay with oil going up, it's going to cost undoubtedly more than that, cost more if done right, and with the yearly budget of one point eight million, we can only repave about six miles of roads, meaning that their condition will only be worsened. Our road users deserve a lot better than this. And you know, you were talking about potholes, JoAnn, if you go up to upper Waipouli Road that I walk on every day, a road that's supposed to be 16 feet wide, but it's 13 feet wide, it was never properly made in the first place, you'll see that they're still using, as of two days ago, dumping coal mix in potholes, not code, that washes out in a few rains. And I ask this question routinely, why are we wasting our time, manpower, and resources in this wrong type of operation. Obviously we must pave according to code to get far more life, as you've been pointing out, as Larry pointed out also. And we have to increase our yearly budget to be able to do more roads. I'm optimistic that Larry and Ed can turn this long ongoing program around. You know, you passed out a lot of stuff here, questions, you know, all really good questions; I haven't had a chance to go over these questions, because we just got copies of them. But you know, these questions are all highly relevant questions and it appears to me that budget is going to be the biggest thing. You're going to have to ... I don't know where the money's going to come from. But you know, as Jimmy Tokioka sat there and kept on saying, Glenn, if we did this the way you said — according to HAPI standards, it's going to cost twice or three times as much. But as Larry pointed out... Chair Furfaro: Excuse me, Glenn, I need to... Your time did run out just as you read the end of the script, and I gave you another few minutes. Mr. Mickens: Thank you. Chair Furfaro: Hold on, let's see if there are any questions. And a reminder, we are going to be back in two weeks. I'm going to ask that this gets deferred. Mr. Mickens: Thank you. 24 COUNCIL MEETING March 9, 2011 Chair Furfaro: So are there any questions for Mr. Mickens? Councilwoman Yukimura. Ms. Yukimura: Glenn, thank you for your testimony. Aren't you mixing up apples and oranges, though, in comparing the micro - paving program and HAPI, because HAPI is standards, and the program is a database that will allow us - to objectively assess the condition of roads — that's really two different things. Mr. Mickens: Well, if the roads were done according to HAPI standards, you wouldn't have to worry, would you? Ms. Yukimura: Right, but we're still trying to figure out how to assess roads and to repave the worst ones by objective measurements, so... Mr. Mickens: Sure, but if you're using HAPI standards, you don't have to assess roads, because they're going to last longer, and by physical looking at the road, you know whether the road's going to need repaving. If that computer happens to say, well it was paved 8 years ago, and it's going to need repaving, you might go out and look at the road, it maybe not need repaving, maybe it hasn't been used that much. But by physical inspection, you're going to know if that road has to be paved or not. Ms. Yukimura: I'm sure they'll do both, but it's a first cut way of doing some objective assessment, and I do agree with you that building the roads correctly in the first place is very key, but that goes to a whole other arena of our subdivision ordinance and how we inspect the new roads that are built and approved and/or disapproved. Mr. Mickens: No, no. I disagree there, because the subdivision ordinance, when somebody was... In my subdivision, when they paved that, they had to do it according to code at that time. It's lasted 20 years. It's been fine. My road up there, Kini Place, is excellent, but it was done according to code. When the county comes in to do a job, they can do it unilaterally any way they feel like, and they don't have to abide by code, and that's your problem. Ms. Yukimura: Well, I think that's changing now with the new proposal. Thank you very much. Mr. Mickens: Well, that's what I'm hearing, and I certainly hope so. Chair Furfaro: And hopefully we do give Mr. Dill some of the tools he wants to do these jobs, so that we don't have the fox watching the henhouse as we're trying to get to the standard that you, over the last 15 years, have promoted. So we're going to try to get him the tools that he requests. Mr. Mickens: And again, as you pointed out, it's going to come down to budget, right, Jay? It's going to come out... If they don't have the equipment, I don't know whether the contractors have the proper equipment to coal - plane the thing, which means breaking up the old thing or not. I don't know that they do. So you know, again they're going to have to appropriate more money to be able to do these things properly, or we're going to go on the same situation. 25 COUNCIL MEETING March 9, 2011 Chair Furfaro: Well maybe Mr. Dill can expand on that in two weeks when we come back. Mr. Mickens: Good. Chair Furfaro: Are there any more questions for Mr. Mickens? Glenn, thank you very much, and I'm glad to hear you don't have a dog in this fight. Mr. Mickens: No, just driving my car over the roads, you know, that's the only dog I have. I hate to hit potholes... Chair Furfaro: We do want to get to a good conclusion that's amicable to all, and I think Mr. Dill has, with his staff.. Mr. Mickens: Well Jay, I certainly appreciate your, in particular, picking up on this thing and pushing it to get it on the agenda and get answers that I've never had before, okay. Chair Furfaro: We're going to try and get to a good place on that. Mr. Mickens: Thank you. Chair Furfaro: Okay, thank you. Ken, did you want to speak? Why don't you come right on up? KEN TAYLOR: Chair, council, my name is Ken Taylor. As 'I said at the last meeting, it's not possible to go back and change what has happened in the past, but I'm really quite thrilled to see the activity that's come forth from both Larry and Ed in reference to the road activity work, and I do believe that the request for this computer program to look at scheduling the roadwork and so on will be a very good tool in the future. So I really just want to thank both of them for stepping up to the plate and getting what should have happened many years ago at the county level and maintenance of road activities, as well as any other activities. But at this point, it's just a breath of fresh air to see this kind of relationship with what you... questions you folks are asking and the response to them. I don't feel that in the past few years that I've monitored what's going on here at the council that has always happened, and so I thank Larry and Ed and you, all of you for your questions, and their answers, and look forward to seeing this move forward. Thank you. Chair Furfaro: Thank you Ken. Are there any questions for Ken? If not, thank you very much. Is there anyone else in the audience that wants to speak? Mr. Rosa. JOE ROSA: Good morning members of the council. For the record, Joe Rosa. I'm speaking with what I know for the 15 years I've worked with DOT in doing pavement along the State highways, Kaumuali`i and Kuhi`o. I've heard a lot of things about pavement, but you know the thing is when it comes to paving a highway; it's not quantity, it's quality that you want. Here on Kaua`i ... I'll have to just bring this up as a sample. On Kauai here, that's why I always used to fight for my rights when I do a job. I take pride in my work. DOT sent us to seminars on inspection with the paving companies in Honolulu. The inspectors all 26 COUNCIL MEETING March 9, 2011 get to go to the seminars to acquire knowledge as to how pavement is supposed to be done. They tell you if you want at least 10 years of life on a highway, like here on Kauai, Kuhi`6 or Kaumuali`i Highway, two inches would give you at least 10 years. But here on Kauai we're always getting inch and a half or inch and a quarter. So I questioned the directors in Honolulu —how come here on Kauai we always get inch and a half? You allot inch and a half pavement and funding for inch and a half or inch and a quarter. Oh, we need quantity, we want to give the people of Kauai more mileage as far as the highways. But it didn't serve the purpose. In less than 7 years they start deteriorating with all these big trucks we have, because we have just one major highway in and out. So getting back to this here, what the county need to be done here is quality. On Moloka`i ... I know inspectors that went to Molokai, say that the roads were so bad in the 70s that they were paving 4 -inch thickness of asphalt on two inch lips so they could get the quality of the roads back in condition. So a lot of your county roads, the base course is the failure part of it. Like when Glenn (inaudible) when he was complaining about it, I went and took a tip of it, that Wailua Homestead area. And a lot of it was failure due to the sense that there wasn't no base course. When you pave asphalt on just plain dirt with no base, you get nothing. You can pave two inches and you're going to get two inches of nothing. You have to get an established base course, with a good tack coat, and rolled properly. And a lot of the things that I've seen up there was that they had regular runs on the edge of the pavement. So that deteriorates your shoulder. And a lot of places they got trees —the drainage that don't run off the water, that deteriorates pavement again. That's the whole trouble we have with the State highways nowadays out at the northshore —all those big albezia trees. But you cannot cut them, the outdoor circle say you're going to destroy the beauty but the thing is it's destroying our highways. Like they say you have to fix the shoulders when the State do their job, we pave them the shoulders was also in the contract to bring back the dirt on the edge of the shoulders for the height of the thickness that was paved. I know my bell's been ringing. Chair Furfaro: Okay. Mr. Rosa: But one of the things that need to be updated here as far as pavement, I can talk pavement because like I said Jay, I went to the seminars, I've worked with the State and that's why people are saying, you need your back to get the State Highways back in condition. I've seen County paving been done wrongly, you never pave uphill with a pave because you're going to get a washboard effect because the paver has to go this way... so those are the things that we learned at our seminars. I think the County in term should get those paving or inspectors that do paving to go to those seminars and I think they'll benefit from it. They can come back and talk with their engineers here because the engineers have never seen from here when I worked my thirty -six (36) years with the State, go to any of those seminars. So we are the people that go and get the information and get back here and do the work and present it to our superiors. They talk about HEB that's (inaudible) base is usually done when you go stabilize your shoulders because you don't want to use... they open trenches and danger accidents. So to do it fast instead of putting the regular (inaudible) base course or a rut base course, you use HEB and bring it up to the almost finish level, off the paving that's going to extend the highway, the paving. Those are the kinds of things I can tell you again and again about paving. Nothing against you Mel but what you mentioned about the Kokee, the Waimea Canyon drive, that's a State Highway from Kaumuali`i Highway to Waimea Canyon drive up there. I know that road is always bad because I had to pave it twice in my thirty -six (36) years. They have what you call alligator cracks and those alligator cracks I told them to my experience when I did even the Mana 27 COUNCIL MEETING March 9, 2011 stretch, it's that they need heat expansion joints, because what happens is where the tack coatis not really spread out really good, those heat will expand the asphalt, it will come up to a peak. As it cools off it will break off on the ridge there, like Mana stretch you see all the sand gets blown underneath there and you cannot go back. When we had a cold (inaudible) there to resurface it, that's what I said, I came back and I told my boss we resurface the road there we are going to get the same problem and sure enough if you go back there, you are going to see the same thing. I'm not an engineer but to my experience of seeing the paving the way it deteriorates, I say that you have to cut expansion joints like they do on the bridges. Chair Furfaro: Mr. Rosa. Mr. Rosa: Yes. Chair Furfaro: That is your six (6) minutes. Mr. Rosa: Yeah. Chair Furfaro: None of us here can really respond on issues dealing with State roads. Mr. Rosa: Yeah. Chair Furfaro: But your six (6) minutes is up. Mr. Rosa: But this is just something that... I was alone on County to do projects here because the County inspectors didn't pass to do federal inspection on federal roads I mean the county roads because they didn't do what we do with federal projects. Chair Furfaro: Well we appreciate your testimony but your entire six (6) minutes is now up. Mr. Rosa: I understand that Jay. Chair Furfaro: Are there any questions for Mr. Rosa? No, and thank you for your many years of service but we're going to have this as a deferred item. Mr. Rosa: I know we had a meeting before with Ed Renaud and Donald Fujimoto to start to see what can be implemented into the County paving system, so that's why I'm trying to see that, if you're going to do it Jay, do it right and give us quality. Chair Furfaro: I think that is the intent, we just want to know the process. Mr. Rosa, we have no questions for you, we will be back in two (2) weeks. Mr. Rosa: Thank you. Chair Furfaro: Thank you. Is there anyone else in the audience who wishes to speak? Okay, Mr. Dill may I ask you to come up again? As 28 COUNCIL MEETING March 9, 2011 we have no motion and it is my intent to defer this for two (2) weeks I just want to ask are you feeling confident that you can be in a position when we give you this deferral to answer the balance of the second set of questions and also are you prepared if I put an agenda item after this follow up to move on approval of your plan to have the Council's authority to start on this work? Mr. Dill: It's a yes to both but we do as you mentioned earlier have to get the Administration to sign off on the list. Assuming we can do that then yes to both. Chair Furfaro: Well you can share with the Administration, this deferral was a courtesy and we've been very patient and not getting caught up on the roads so we would like to... we appreciate their request for a deferral but at the same time we want to move forward on getting some work done with some urgency according to your plan. Councilwoman did you have a question? Okay Mr. Dill, we'll see you in two (2) weeks then. Mr. Dill: Alright, thank you. Chair Furfaro: I'm going to call the meeting back to order. There being no one else to speak on this matter, the meeting was called back to order, and proceeded as follows: Chair Furfaro: I want to make sure that everybody understands we do not have a motion to defer and when we defer there is no further discussion. Does anyone have anything to share right now? Ms. Yukimura: I do. Chair Furfaro: Councilwoman Yukimura. Ms. Yukimura: Short comment. I just want to really thank our County Engineer Larry Dill and our Roads Division Head Ed Renaud. And I want to thank the Mayor for putting them in this positions because I think it's a very significant turn of events we're seeing here in terms of some commitment to do well designed, well thought out road resurfacing and to develop a program that's going to eventually get us to timely resurfacing of our county roads as both Councilmembers Rapozo and Nakamura said and I agree with them, roads are like a core function for the County and we have to find a way to serve our constituents on this... in this arena well. We've really been negligent in my opinion and as Mr. Rosa pointed out it's crazy to pave over dirt and expect it to last for any level, it's such a waste of money and effort. So to take care of those problems and get a good system in place is so important and I think we are beginning and I'm very grateful for that. Chair Furfaro: Any further comments? Mr. Rapozo. Mr. Rapozo: Thanks again. I did want to say that... you know I'll never forget, I know Mr. Rosa talked about the two (2) inches, I will never forget the explanation that was given to us years ago and obviously it wasn't from anyone here but where the two (2) inch even though it's a standard was an average. So if you had the roadway and obviously there's a crown, so you have the top and then the crown, that the average is two (2) inches so you can have an inch on the 29 COUNCIL MEETING March 9, 2011 top, the traveled areas and the thicker pavements on the side which are less traveled and I think that was a lot of the problem. When the inspectors went out and did their core samplings as long as they came up with an average of two (2) inches, it met the standard. I'm hoping that as we move forward and I think you hit it right on the head when you said a lot of the problems is doing the prep work prior, fixing the base course before we just pave good paving over bad road. That if in fact we can maintain two (2) inch consistency then I think the roads will last a lot longer and the end result is a huge savings to the county. We'll leave that stuff up to you guys, you guys are the experts but it just came to me when Mr. Rosa was talking that I didn't think that was a reasonable explanation that an average of two (2) inches because the top area could be very thin and the sides would be thick... it didn't make any sense. Anyway looking forward to getting this thing back on track. Thank you very much. Chair Furfaro: Thank you Mr. Rapozo. Mr. Bynum. Mr. Bynum: I appreciate the presentation today and a lot of this has to do with leadership and I'm very optimistic about the leadership at Public Works and I'm kind of reluctant to say this but over the last couple of years Public Works has been divided in my opinion. It's part of the public record that two (2) years ago Donald Fujimoto was initially not being considered for County Engineer and then end up being the County Engineer. The Administration had this idea that they were going to divide responsibilities from some of the senior staff. That created in my opinion a lack of clear leadership and that the leadership roles that any of those individuals play were undermined by trying to spread it out rather than having one (1) person in charge. I had deep concerns about that the last couple of ,years, particularly when this Council focused on CIP as a need and the Administration acknowledged that there wasn't a systematic way of seeing that our CIP resources were allocated properly, it got out through the bureaucratic process into and on the street work. I think we lost some time during this last two (2) years because of those leadership issues. I trust now that we have a County Engineer and a Deputy Engineer that are in charge of the Department and that... that leadership issue has been corrected with the changes that have happened this year because the consequences are difficult. I said earlier I was embarrassed because I was trying to lead this focus on CIP, I still think we have big problems about getting County funds through the bureaucratic process and out unto work on the street that puts people to work. We're focusing on a lot of projects and there's a saying about what happens when you assume. But I assumed that the road resurfacing was happening, that it was a routine, that we went out every year and I'm kind of concerned that that wasn't the case. I didn't fully realize that until this round of discussions. Soon in the Public Works Committee will be another look at all of the CIP projects comparing the commitments that were made to us last year about time frames for specific projects and seeing... and getting a status update and status report on CIP projects both in Public Works and other departments. This year we created a new position and hired a person to focus on CIP so it's an appropriate time for the Council to have an update from the Administration. Thank you. Chair Furfaro: I just want to say to the group here, I made my message very clear I'm looking forward to getting a schedule. There will be a second posting in two (2) weeks and we'll come back to this particular item with the second set of questions and then hopefully we'll look at the list for approving capital funds in the same session in two (2) weeks. On that note may I have a motion to defer this item for two (2) weeks? 30 COUNCIL MEETING March 9, 2011 Mr. Bynum moved to defer C 2011 -76, seconded by Ms. Yukimura, and unanimously carried. Chair Furfaro: Now that I see five (5) members of the Engineering Department here and I want to get them back to their desk, I'm going to ask the Clerk if he can read second reading bills, in particular Bill 2397 relating to appropriations in the general fund for solid waste. Mr. Nakamura: Council Chair we're on page five (5) of the Council's agenda on a bill for second reading. This would be Bill No. 2397. BILLS FOR SECOND READING: Bill No. 2397 - A BILL FOR AN ORDINANCE AMENDING ORDINANCE NO. B- 2010 -705, AS AMENDED, RELATING TO THE OPERATING BUDGET OF THE COUNTY OF KAUA'I, STATE OF HAWAII, FOR THE FISCAL YEAR JULY 1, 2010 THROUGH JUNE 30, 2011, BY REVISING THE SURPLUS AND APPROPRIATIONS ESTIMATED IN THE GENERAL FUND ($417,238 - Solid Waste Fund). Mr. Bynum moved to approve Bill No. 2397 on second and final reading, and that it be transmitted to the Mayor for his approval, seconded by Ms. Yukimura. Chair Furfaro: Thank you. We have a motion to approve and a seconded, I'm going to ask that we suspend the rules. Mr. Rapozo: Chair Furfaro: Mr. Rapozo: Chair Furfaro: Mr. Rapozo: have questions for Solid Waste. Chair Furfaro: minute caption break. Mr. Chair? Yes. It's 11:00. Oh it is. I think we need a caption break and I do Okay, well why don't we take a ten (10) There being no objections, the Council recessed at 11:05 a.m. The Council reconvened at 11:21 a.m., and proceeded as follows: Chair Furfaro: We took a recess before we got to the Bill for Second Reading which is Bill No. 2397. I think we should read the item Mr. Clerk. Mr. Nakamura: Council Chair, we're on page five (5) of the Council's agenda on a Bill for Second reading Bill No. 2397. Bill No. 2397 - A BILL FOR AN ORDINANCE AMENDING ORDINANCE NO. B- 2010 -705, AS AMENDED, RELATING TO THE OPERATING BUDGET OF THE COUNTY OF KAUA'I, STATE OF HAWAII, FOR THE FISCAL YEAR JULY 1, 2010 THROUGH JUNE 30, 2011, BY REVISING THE SURPLUS AND 31 COUNCIL MEETING March 9, 2011 APPROPRIATIONS ESTIMATED IN THE GENERAL FUND ($417,238 — Solid Waste Fund) Chair Furfaro: I would like to have some discussion with the Solid Waste Department, I'm not sure who's coming up but the rules are suspended. There being no objections, the rules were suspended. Mr. Dill: Good morning again, Larry Dill County Engineer. I hope you have before you my response letter... okay good, that's a good start. Chair Furfaro: Yes we do. Mr. Dill: Do you want me to just review the answers to those questions that came through? Chair Furfaro: I would appreciate that, yes. Mr. Dill: Okay. First question was requesting the reasons for incurred overtime, i.e., transfer station, maintenance, workers on sick leave, etc., by percentage. I'll say first off I do not have a response for you by percentage, I went back to our fiscal guys and requested what will it take. To get that information involved actually manually pulling timesheets for that period of time and getting data compiled from that basis which he simply didn't have time to do in his timeframe, so I apologize for that. However, general response is before you about the reasons for incurred overtime which is basically, on the second page we list the primary reasons for scheduled employees are not available are sick leave, vacation or leave of absence without pay, long term IA, convalescence, or personnel issues. Whenever we have someone that's out due to those reasons we incur overtime. What happens because we have a four (4), ten (10) schedule, we basically have two (2) shifts for the transfer stations or two (2) schedules I should say, one is I believe Tuesday, Wednesday, Thursday, Friday... the other is Saturday, Sunday, Monday, Tuesday... so Tuesday is the quote unquote overlap day where we have an ability to have greater than the minimum staffing requirements which is the days we schedule because we touched on a little last time the additional work duties for those guys. But when we do have minimum staffing at the location, somebody calls in sick, we incur overtime. The next few responses are simply numbers. There was a request made to us to provide average overtime per person and the average annual overtime per person was twelve thousand two hundred thirty -seven dollars ($12,237.00). Average sick leave taken per person, 138.4 hours. Number four (4) we were requested to provide a breakdown of overtime by employee number and that's on the attached sheet to the letter that you have in front of you. Number five (5) was a request for the number of workers called back due to furloughs and we broke that down between events that happen at the landfill and refuse transfer stations. So these were the number instances that we had to call an employee back who would have otherwise been on furlough that day to come into work, to fill in for the reasons I stated before about sick leave, vacation, etc... Item number six (6), possibility of hauling green waste on weekdays, days when there is an overlap of workers instead of using overtime hours on weekends. Hauling green waste definitely on the weekday when we do have that overlap and more workers available that we can... gives us more flexibility definitely is a preferred option. We have been less than successful in 32 COUNCIL MEETING March 9, 2011 getting it done in the past for the reasons we state here. Part of it is because in order to haul the green waste, to load it we need to get the excavator from the Roads Division. All I can say to that is I can (inaudible) myself and the new Roads Chief is that we're going to do a better job of scheduling that excavator to do what we can to get that work schedule during the week when we have that staff available to make that more efficient and less impactful of overtime cost. Also it occurs our records show that on days when hauling was scheduled on those days, we have experienced significantly higher number of callouts due to sick leave on those days and so we haven't had the staff available to get it done. Also on occasion we have inclement weather that prohibits that happening on those days, so those were occasions as well to stop that from happening. Real quickly that's our review of the answers to the questions in the request Chair Furfaro: Mr. Dill thank you for responding to those questions. I'm going to Mr. Rapozo first and then Councilwoman Yukimura. Mr. Rapozo the floor is yours. Mr. Rapozo: Larry thanks for the response, I know it was short notice and I appreciate the response. I guess my question regarding the average overtime and the sick leave and the breakdown of overtime, this was for fiscal year 2010? Mr. Dill: Correct. Mr. Rapozo: So it does not include the furlough... the periods of the furlough`' Mr. Dill: Correct. Mr. Rapozo: I guess that was one of my concerns were the furlough period and not so much... because this... the money that is being requested really for that period right? Mr. Dill: It's for this fiscal year, that's right. Mr. Rapozo: But the numbers you provided is for last fiscal year. Mr. Dill: Correct. Mr. Rapozo: How difficult would it be to get us the number for this fiscal year? Mr. Dill: I can provide the same data year to date... that wouldn't be too much of a problem. Mr. Rapozo: Okay. Mr. Dill: I can do that. 33 COUNCIL MEETING March 9, 2011 Mr. Rapozo: The other concern... you did breakdown the furloughs and you were showing that seventy -two (72), I'm assuming that's employee work days right? Mr. Dill: Correct. Mr. Rapozo: Seventy -two (72) work days in the landfill and forty -nine (49), so a hundred and twenty -one (21) days were called back due to the furlough? Mr. Dill: Well it's hard to say due to the furlough, I would say those were workers that were on furloughs that needed to be called back. As a result we paid them overtime on those days because they should have been on furlough. Mr. Rapozo: Right and that's what it says. Mr. Dill: Right. Mr. Rapozo: Workers called back due to furloughs you had seventy -two (72) down at the landfill and forty -nine (49), so you had a hundred twenty -one (121) days were, we paid overtime for to people that were supposed to be on furloughs. Mr. Dill: Correct. Mr. Rapozo: Okay. And then the sick leave, the average sick leave this is for fiscal year 2010 though so we're not counting this fiscal year. Mr. Dill: Correct. Mr. Rapozo: But you're showing one, thirty -eight (138) our employees are granted one hundred and sixty -eight (168) a year hours of sick leave so currently we're in Solid Waste we're utilizing about eighty -two percent (82 %) of our sick leave days. Mr. Dill: That's correct. Mr. Rapozo: Does that trouble you at all, is it concerning? Mr. Dill: Does it trouble me at all? I wish our employees were healthier and would come to work more often but that's the union contract and that's what they're entitled to do. Mr. Rapozo: percent (82 %) is quite a lot. Mr. Dill: Mr. Rapozo: Mr. Dill: Mr. Rapozo: I understand that, I know but eighty -two I would agree with you. Do we look for trends? Sick leave abuse... Oh yes. We do look at that? 34 COUNCIL MEETING Mr. Dill: Yes. March 9, 2011 Mr. Rapozo: Because that's quite high. The final question for right now is the breakdown of the overtime pay and I'm sure you saw it, it's quite substantial, we have couple of employees that are getting paid almost forty thousand dollars a year in overtime. We got a few employees making almost thirty thousand... you know we break it down and it's pretty substantial the amount of overtime that individuals are making and I guess the question is, is it because we're shorthanded, is it because we don't have enough workers, is it because of the sick leave? Mr. Dill: That's a good question. I can tell you that a lot of the overtime... obviously as you mentioned that jumped out at me as well and in researching those a little further a lot of those folks nearly all of those with the higher numbers are in the collection site and the way the rules are is they are specified as to the number of units they're to pick up in one (1) day. The way that the routes are currently, the routes go beyond that number so regardless of hours work once they pick up more than that number of units even though we have balanced all the routes to make it even across the board as best we can, they start incurring overtime based on each unit they pick up beyond that amount. Right now according to the agreements that are in place that's just what we incur on a regular basis because of the way the routes are and the way that the agreements are. Mr. Rapozo: So you're saying that somebody... one of our employees or couple of our employees is making almost forty thousand dollars without being called back and that's just their standard pay? That's just the way the union contract is that the way it falls we're paying them forty grand extra or thirty -eight thousand extra just for coming to work? just... Ms. Yukimura: Yes. Mr. Dill: That's correct. You can say that, yeah. Mr. Rapozo: And this doesn't include the benefits? This is Mr. Dill: This is just wages, yes. Mr. Rapozo: Right, so now you have to add another half of that. Mr. Dill: Right. Mr. Rapozo: Because we got to pay the benefits. Mr. Dill: The fringe, yeah. Mr. Rapozo: Okay. I guess it is what it is, it's just staggering the amount of overtime that... I would guess that the thirty -eight thousand... it might be pretty close to the salary. Mr. Dill: That's probably a good guess I don't know the details in front of me. 35 COUNCIL MEETING March 9, 2011 Mr. Rapozo: Okay well I was more interested in seeing the figures from this fiscal year because of the furlough but... I guess we can get that later. Mr. Dill: Okay. I'd be happy to provide that, sure. Chair Furfaro: Councilwoman Yukimura then Mr. Bynum. Ms. Yukimura: Thank you Mr. Chair. The average sick leave taken per person that's a yearly... Mr. Dill: taken in fiscal year 2010. Ms. Yukimura: Mr. Dill: Ms. Yukimura: Mr. Dill: That's correct. That's the average that was Which is 2009 -2010 basically. Correct. And so it wasn't a furlough year. Correct. Ms. Yukimura: Okay but the further numbers you have in number five (5) are from the furlough year obviously? Mr. Dill: Correct. And actually this is just in the period July through December was the furlough period I believe. Ms. Yukimura: Mr. Dill: Ms. Yukimura: Mr. Dill: Right of 2010? Correct. Which is the 2011 fiscal year? Right. Ms. Yukimura: Okay. So in terms of the landfill then if seventy -two (72) people were called... employees were called back and we paid them overtime instead of regular wages. Mr. Dill: Right. Ms. Yukimura: Then we couldn't have saved money from furloughs? Mr. Dill: Oh um... Okay this... Ms. Yukimura: For those hours. Mr. Dill: Well. Ms. Yukimura: Performed. 36 COUNCIL MEETING March 9, 2011 Mr. Dill: Actually it came up in the last meeting. Ms. Yukimura: Right. Mr. Dill: As you recall and I mentioned the valid question but much deeper than I was prepared to address and I do know... but I would encourage you to make the request at the Finance Director if you wanted to get into this with more detail but I did... I was told that Public Works in the furlough period when comparing it to the previous fiscal year, we did save eighteen percent (18 %) overall in wages and benefits as a Department. And then if you look at Solid Waste, each of the divisions in Solid Waste did save money and probably when you average those out, it's similar to that eighteen percent (18 %) overall savings in the Public Works Department. So there was savings due to furloughs in Public Works, I don't know about the rest of the County. Ms. Yukimura: Well I'm not asking about Public Works, I'm asking about Solid Waste and in the area of landfills and transfer stations. I mean maybe there was some savings from the office workers. Mr. Dill: No, in Solid Waste as a Division and they broke it down; the numbers that I saw were broken down between solid waste disposal which is the landfill collections which is transfer stations and collections and administrative... each of those sections within the Solid Waste Division did show savings due to furloughs. Ms. Yukimura: Okay so how did those savings occur if... Mr. Dill: The savings occurred because the folks that were not reporting to work on those furlough days, the overall savings for that was greater than the overtime that was incurred due to the call backs. Ms. Yukimura: Well assuming that... okay so there wasn't a call back every time there was a furlough day then because you had those so- called floating workers or what was the word... I know the Council Chair felt? Chair Furfaro: redundancy. Mr. Dill: Chair Furfaro: appropriate... Ms. Yukimura: Mr. Rapozo: Chair Furfaro: Ms. Yukimura: Chair Furfaro: He used a different word today but they used Right. But what we're now using today seems more And what was that word? Overlap. Overlap. Okay. Scheduling of an overlap. 37 COUNCIL MEETING March 9, 2011 Ms. Yukimura: Okay so that's what would have given a savings... oh I don't... Mr. Dill: All I can tell you for sure is when you look at those same periods in fiscal year 2010 when we had the furlough versus the previous year when there was no furlough, we realized a savings overall. Ms. Yukimura: Okay. Alright, with respect to green waste hauling you feel that the scheduling of the excavator is... that there is room to have better scheduling and make it work to do on overtime? Mr. Dill: Yes. Ms. Yukimura: I mean not overtime on weekends. Mr. Dill: To have it done on weekday, yes, when we have the quote unquote overlap schedule. So the Roads Division has indicated that we can work with them to schedule an excavator to be available on those days on a more regular basis. Ms. Yukimura: That's excellent. So that would enable you to do green waste hauling on weekdays? Mr. Dill: Correct. Ms. Yukimura: Okay. And what is this thing about high callouts due to sick leave? Mr. Dill: That's simply what our records show. That we experience a lot of callouts due to sick leave on those days. Ms. Yukimura: On weekends? Mr. Dill: No, on the scheduled overlap days actually which are. the Tuesdays. Ms. Yukimura: sick? Mr. Dill: work that day call in sick, yes. Ms. Yukimura: green waste? Mr. Dill: hauling on an overlap day, yes. That means your overlap employees call in Well the employees who are scheduled to On the days that you're scheduled to do Correct. When we schedule the green waste Ms. Yukimura: It's good that you're looking actually it's great that the question about... have been asked about this because this is indicating some kind of problem. Is it not? Mr. Dill: It indicates an issue that we're looking into, yes. 38 COUNCIL MEETING March 9, 2011 Ms. Yukimura: Okay. Which is about, something about sick leave management looks like. Alright. This high overtime is due to the uku pau system right? Mr. Dill: It's due to that and also to the counts that are in the agreement. In other words the manual collections route has a maximum count of six hundred units to be picked up per day and when they go over that then they start incurring cost. Ms. Yukimura: Well that's the uku pau system that they're paid to do a certain number of pickups rather than work a certain number of hours per day and you know I think there's some advantages to that system but we also have to look at the cost of that system. And that's what is coming forth in these overtime figures. Mr. Dill: Well uku pau also is when they finish the route that means that they're done with their work for that day. Ms. Yukimura: Right. Mr. Dill: But... Ms. Yukimura: So you either have to create a whole new crew to pick up or you have to pay overtime to the old crew. Mr. Dill: Correct. Ms. Yukimura: Okay. That has to show to be a win/win for both the Administration and the union. Mr. Dill: Certainly. Ms. Yukimura: Or else it doesn't work. Mr. Dill: Certainly, yes. And that's also why we're trying to move to automated pickup because automated pickup we can pick up a thousand units a day. Ms. Yukimura: I see. Mr. Dill: And so we would also help reduce our overtime cost. Ms. Yukimura: and only with one (1) worker? Mr. Dill: Ms. Yukimura: Well you pick up a thousand units per day Right. Instead of three (3). Mr. Dill: Right. 39 COUNCIL MEETING March 9, 2011 Ms. Yukimura: Okay. As long as you're also keeping the other workers working. Mr. Dill: That's an issue that we have to address, yes. Ms. Yukimura: Because we don't want the situation on Oahu where there were people not working but being paid. Mr. Dill: Correct, right. Ms. Yukimura: Okay. Alright and you know if they can be scheduled to replace workers who are gone because of sick... absent that day because of sick leave or vacation then it works out okay. Mr. Dill: Yes but we don't... we're not prepared when somebody calls in sick so we haven't been able to schedule somebody, Ms. Yukimura: Yeah but although the green waste, the new green waste service can take up people. Mr. Dill: Yes so we're adding things like... well hoping to add, planning to add green waste curb side recycling, things like that that would hopefully be able to pick up the workers that were doing manual pick up before. Those are our long term plan to address those issues. Ms. Yukimura: Well I think you have to look at the cost of curb side recycling. Mr. Dill: Oh absolutely as part of that, yes. Ms. Yukimura: Okay. Alright. Thank you. Chair Furfaro: Mr. Bynum. Mr. Bynum: Sticking with the collection issue because on the previous Council we discussed that at length and you know recognize that currently we're paying overtime because the crews do beyond what their union contract says but it was a very calculated decision to not add new crews with old technology when we're moving into new technology. Part of the analysis that eventually there would be a budget savings for moving to automated because of those efficiencies so it didn't make sense in essence is to create a new truck, a new crew to do that overtime when we were changing technologies. So that is impacting these large overtime figures and we knew that and we have a plan to address it, that's my understanding. Mr. Dill: Yes. Mr. Bynum: I'm sure in future meetings we will be talking about the timetable of the rollout of the Solid Waste plan because it's a very ambitious timetable and I'll be amazed if we can keep on it. But this is an example where keeping on it pays benefits, the sooner we move to automated collection, the sooner we'll realize those savings. And other savings because the labor will change for those workers I would assume, again I got in trouble assuming today... that if we're not doing manual pick up with smaller crews, we're going to have sick time, 40 COUNCIL MEETING March 9, 2011 less injury, less on the job injury. It will be hopefully a better job for those men and women that do it. I just wanted to say we have discussed that and we understand it and know that it impacts overtime. You kind of answered the other questions from the other members that you do look at sick leave patterns to see if there's abuse I believe that's allowed in union contracts and because I was a little surprised at this number. That's seventeen (17) days a year, you know we have generous sick leave benefits but it would be interesting to do an analysis of the County to see that changes by division. The last thing I wanted to say we received a memo, Councilmembers, from Ernie Pasion our County Auditor and I'm just going to read that memo, it's real short. By this memo I'm amending my work plan for 2010 -2011 fiscal year to change the pre -audit assessment of the furlough program into an audit. The pre -audit assessment is changed to an audit because the results of our assessment indicate a full audit into the implementation of this wage reduction program is feasible and in the public interest. I've expressed my concern regularly that I don't think furloughs were a good idea but then when we went to furloughs you know Department Heads were not allowed to say hey wait we may not want to furlough these employees because we're going to have increased overtime, there was no analysis that I'm aware of that being done. There was no kind of thoughtful implementation of furloughs. AL CASTILLO, COUNTY ATTORNEY: Excuse me Council Chair. Mr. Bynum: And when we attempted to discuss that last year we weren't allowed to do that. Mr. Castillo: Council Chair, excuse me. Chair Furfaro: Go ahead. Mr. Castillo: I think this is beyond the scope of the agenda item. Mr. Bynum: I think this is right on the scope of the agenda item and you know one of the questions were furloughs and the impact on budget and I'm talking about the impact on the budget on furloughs. And I want to take this opportunity to express that this rigid kind of stick to the agenda kind of thing is squelching at having an open dialog about issues that are important to our county. OIP never asked us to have this kind of rigid implementation of like oh if you talk about furloughs... and I don't even understand this one at all but I'm going to suggest that we have a separate agenda item to discuss that and invite OIP to discuss it with us because repeatedly at Council Meetings lately we were like oh wait, wait we can't talk about that and I don't think that was the intention of the Sunshine Law to reduce our discussion about my items of public interest. If something is peripherally... you know I think we have some latitude. I'm frustrated at being... of being... people interjecting when I have the floor whether it's County Attorney or the Council Chair or anyone. Chair Furfaro: Well I'm going to inject right now I just want to let you know, I have authorized a request to the County Attorney's Office last week to have just that discussion on an Executive Session. Mr. Bynum: I don't think we need to have that discussion in Executive Session, we should have it on the floor. 41 COUNCIL MEETING March 9, 2011 Chair Furfaro: Well then I withdraw my request to have that discussion and you can take it directly to the County Attorney. That's your privilege. I was just trying to extend to you from my previous dialog with County Attorney about giving us parameters on what we can discuss I thought we should have a session. Mr. Bynum: Well maybe I should ask the County Attorney how my question... Ms. Yukimura: Point of inquiry. Mr. Bynum: Or comments about furloughs are not on this agenda. Ms. Yukimura: Point of inquiry Mr. Chair? Chair Furfaro: Yes go ahead. Ms. Yukimura: With the issue of a future discussion on the side regarding Councilmember Bynum's reading of the Auditor's letter, I think furloughs are on the agenda as related to Public Works, Solid Waste Division and if that... you can make that connection and make sense and I presume it's in relation to a question? Chair Furfaro: Well I don't know why we're assuming that I stopped him, I didn't stop him... Ms. Yukimura: I know you didn't. Chair Furfaro: I'm just answering his question about what he feels and this is not the time and place but I will put it on a future agenda. Ms. Yukimura: I think that's good. Chair Furfaro: Now Mr. Bynum, you still have the floor. Mr. Bynum: Thank you very much. Excuse me if my frustration is showing. The only reason why I read this memo is to point out that we need to do an analysis of furloughs. I have agreed with the Administration that I would personally focus most of that attention on this audit. We have ended furloughs, thank goodness and you know I applaud that we're going to have the analysis that we weren't allowed to have and that's why I said last week, I don't hold the Departments responsible because the Department Heads were not given the latitude as far as I'm aware to adjust their work... you know... to do an analysis of their operation and how furloughs would impact overtime cost or how they would impact delivery of services. How they would impact getting CIP projects out on the street because the people who have to do that work weren't at their job, that weren't at their desk. I'm glad that the Auditor is doing this audit and I think we need to learn a lot from that to avoid... because we... well yeah, so anyway. Thank you. Chair Furfaro: Anyone else? Councilwoman Nakamura. 42 COUNCIL MEETING March 9, 2011 Ms. Nakamura: I think a lot of the issues I had were covered earlier so I won't repeat them but I did want to ask one (1) question Larry about this shared use of the excavator and do you think at some point this Solid Waste Division needs its own? Mr. Dill: I believe so, yes. And that's consistent with our theme of continuing to separate Solid Waste to be a Division that stands on its own two (2) feet. As we all know Solid Waste originally grew out of the Roads Division and we've been slowly weaning ourselves off the Roads Division as we go. Getting our own heavy equipment to support our own uses is one of those things we need to do. Ms. Nakamura: Okay. I don't know what the capital outlay is but if it helps to... you know help with the scheduling or reduce overtime then that's maybe something to be looked at. Mr. Dill: Alright, thank you. Chair Furfaro: Yes, I think that was an excellent question providing our employees the right equipment to the right job. Now Mr. Rapozo has the floor. Mr. Rapozo. Mr. Rapozo: Thank you and it's more of a heads up as far as when we get into the budget discussion that one of the things I think the whole green waste program, we've had discussions in the past about you know is it cheaper for the County to do our own green waste, I mean that's something I guess I'll be asking in the budget. Mr. Dill: Okay. Mr. Rapozo: When you do your analysis of your budget and looking at what it cost now to process green waste versus what it would be to process the green waste because I know we pay a lot of money. Mr. Dill: Yes. Mr. Rapozo: To process green waste and we're hauling the green waste away to the contractor and paying the contractor. I haven't seen at the transfer stations, I haven't seen any mulch. I don't think we get any mulch for our residents and we pay a lot of money but is there an opportunity for this county to process our own green waste, provide free mulch to the public, have a nice little mulch pile where we can come up and grab mulch. We don't get any of that right now, we pay a lot of money and if in fact I don't know what those... the kinds of equipment costs if we get a shredder... or... but anyway that's the questions I'll be asking... Mr. Dill: Okay. And we're actually looking at that issues ourselves right now in house and trying to do an analysis of what is the most efficient way and can we do it more efficiently. Mr. Rapozo: Thank you. Chair Furfaro: Mr. Dill, I want to tell you... well I think you know me well enough I do a lot of my own financial evaluations here and when we... 43 COUNCIL MEETING March 9, 2011 what we get for information is we actually get a... what is kind of the financial report each month from the Finance Department. A couple of things and if you could write them down I would really appreciate it because I think some of it will make for good dialog at budget time. Currently and this is my little summary here I'll just give you some round numbers, we have exceeded forecasted revenues for six (6) months by two hundred and fifty -one thousand dollars in Solid Waste. We have budgeted a million five for six (6) months and we are actually at a million seven, seven, four. Two hundred and fifty thousand of additional unprojected revenues means there had to be some level of work associated with completing those task. So for six (6) months it be nice to know how did we incur this extra revenue and I would also like to point out that from the expense cycle we have spent sixty -eight percent of your budget already for six (6) months. I hope somebody in your shop is watching that closely, because that trend, it is my expectation that you could come back and be asking us for more money by the end of the year. One of the other things I wanted to point out and Mr. Bynum touched on it a bit, I concur that when we did the budget we knew that there was going to be a startups, a process on the mechanical and a new pickup techniques as equipment came onboard. I was also of the impression that there was going to be dialog with Public Works and with the employees union about a ten (10) hour work shift, at least that's how I remembered because we approved in this budget about twenty percent of your payroll was going to be on overtime to get you folks to the point that automation was going to occur and we were actually going to begin using the standard straight time payroll because we were going to look at ten (10) shifts and adding collection teams as we add equipment. For that reason alone we ended up indentifying almost twenty cents on every straight time hour in the way of premium pay. I want to make sure you are clear that when I say premium pay, if we had the work which the revenues indicated we had the work, you had to schedule people at straight time. If you didn't have the manpower and I have to tell you a hundred and thirty -eight hours average sick leave, I mean that would put up a red flag for me, that's three (3) weeks a year for each employee. But the idea was the fact of the matter is, we had this plan that was going to be negotiated with the union to either add collection teams as we you know added new equipment to do this with the idea of the expanded technologies and automated pick up would not find us in a position that any employees would find themselves being reduced from the schedule but rather retrained and re- automated to hit these other collections areas. It certainly looks to me that you know we haven't gotten there which was projected to us so I hope there's some ongoing dialog with that idea as it was portrayed to us. Because that's how we approved the twenty percent in the budget but at the same time I don't want to discount the fact that landfill disposal charges are up a hundred thirty -six thousand dollars, commercial accounts are up ninety -six thousand six hundred and seventy -eight dollars, so you know... we are doing a little more volume according to this than what we projected. I think there's a lot of this analysis that needs to happen in preparation of going into the next budget but I appreciate your commentary that at a hundred and thirty -eight hours of sick leave average a year and at people consuming eighty percent of their entitlement, those are pretty significant and you might want to go back, in all fairness to, you might want to go back and make sure that there weren't people in the workforce that might have had a catastrophic illness or long term and actually ended up consuming all their sick leave and then went to some TTI program and so forth but we owe that as well. I'm just saying it's worth looking at it might have skewed your averages. Mr. Dill: It's just been pointed out to me; we do have at least one (1) employee that's out on a long term basis for that reason right now. You're right. 44 COUNCIL MEETING March 9, 2011 Chair Furfaro: Well I'm just saying it's good that you look at some of those things to understand the whole piece. Revenues are up so then I interpret that as saying okay requirements were up to handle that opala. We had a plan that we set up for this year about getting us to automation as we modernize crews that would have reduced the overtime, maybe we're behind on that and then of course these average sick leave hours you probably need to remove the hours calculated for anyone who might have a long term serious medical problem and not make them part of the averages. That's all I'm suggesting. I don't think we want to get to a point in the next budget session that for every five dollars we're providing in straight time pay, we're providing another dollar for average overtime. We want to get to a point that the automation pays off for us in collections. Those would be my comments. Mr. Dill: Right, thank you. Chair Furfaro: Any other dialog? No? Mr. Dill, I'm going to open the floor to the public. Thank you again Larry. KEN TAYLOR: Chair, members of the Council my name is Ken Taylor. As you recalled at the last meeting I had indicated a deferral on this matter until some of these issues were resolved and it was pointed out by one of you that... it was important to move forward with the compactor and I certainly don't disagree with that. I do have a problem still with the fence because of a number of issues but again we were given copies of three (3) meetings, closed session took place of discussion of apparently the two hundred and fifty thousand dollars that given to the... or possibly given to the shrimp farm. But in reading that closed session announcement it says the Office of the County Attorney requested Executive Session with the County to provide Council a briefing, update, and a request authorizing relating to authority relating to the expansion of the landfill adjoining areas and related matters. Now, yes you can stretch that into being part of the shrimp farm activity but my concern is that it's not clear that there's no claim brought forth in any of these three (3) meetings that this issue was heard. I just like to go back and remind each of you that when you pull up the Constitution of the United States the first thing that's on the website at the State is the Bill of Rights. In the preamble it says we the people of the State of Hawaii grateful for the divine guidance and mindful of our Hawaiian heritage reaffirm our belief in government of the people, by the people and for the people. In section one (1) of the Bill of Rights says all political powers of this State is inherent in the people and responsibility for the exercise thereof rest with the people. All government is founded on this authority. Now the reason I read that is that when you tell us that this issue came forth as a claim, there's nothing in this three (3) meetings that took place in closed session that come in anywhere near as being a claim. Mr. Nakamura: Three (3) minutes Mr. Chair. Chair Furfaro: Thank you. Ken that was your three (3) minutes but go right ahead. Mr. Taylor: Thank you. The concern I have is that when we elect you folks to do and carry out County business, we don't relinquish our interest as part of the government and being open... I mean there's... I see no reason at all to hide the fact that some business has challenged the County on a particular issue. When you read the document the backup material for this item, 45 COUNCIL MEETING March 9, 2011 this is really gets concerning is that the cost of mitigation beyond settlement is questionable as well as the negative publicity that could have a direct impact on future landfills citing efforts. Now I haven't seen the letter from the shrimp farm, I certainly like to see it because I just can't believe from what we are seeing that there was any reason and whatsoever to hide what's going on here and I mean if a business challenges the County, it's the people's business to know and understand what's going on. Why are we hiding it, why are we making such a big deal out of this situation when reality is it should be out front? When you look at this whole thing and is this OIP opinion I don't really think applies to this activity at all and that's just my opinion but it's... there's something terribly wrong and I think you should move forward with approving the moneys for request... except for the fence until this is clarified because the other part of this... we know that the winds first off all will blow plastic bags over a ten (10) foot fence. Second of all when... in their justification that said the operating cost of the environmental cleanup of debris that litters the adjacent military facility and shrimp farm could easily be as high as fifty thousand dollars or more during annual high wind months but it doesn't say anything about what happens... who's going to... where's the cleanup money going to take place when all this stuff collects in the fence, that's going to have to be taken out of there on a regular basis too and you're talking about a thousand foot of fence that's going to have to be cleaned on a regular basis. That is not even considered in this part, in this justification activity. I think they somewhat clarified the problem with the overtime and furloughs. I think there's good reason to approve equipment needed to make compaction better but there's no reason in the world at this moment to rush right in for spending another twenty thousand dollars that probably isn't going to solve any of the problems listed here and... Chair Furfaro: Ken, your second three (3) minutes went off a few minutes ago. Mr. Taylor: Thank you. Chair Furfaro: Ken, I want to share with you that you know we want you to be active in the government and we recognize that. Last week I had my office contact Mr. Mickens and we attempted to reach you too but we didn't have a number for you. If you would like to get some assistance on filling out the appropriate forms to get this uniform information act released to you, Peter Morimoto from my office is willing to help you do that. Sorry that we couldn't get to you earlier but that's just something that I wanted to tell you now. We certainly recognize our responsibilities and we were going to try to get that information for you if you can see Peter afterwards. On the other items you testified about today, thank you for acknowledging that you think we should move ahead and approve those items and you know that portion of the testimony we can act on today. But please feel free to see Peter Morimoto, we'll help move that stuff along. Mr. Taylor: Thank you. Chair Furfaro: Any questions? Go ahead Mr. Bynum. Mr. Bynum: You're really bringing up two (2) issues Ken; one (1) is the information about the shrimp farm that was disclosed in that narrative and your concerns about secrecy. I agree with those concerns and I put that in writing previously and I'm trying to attempt to get permission to share with you what I put in writing. The other issues are about the fence which is part of this... I think we need to have more dialog about that and how it fits with the 46 COUNCIL MEETING March 9, 2011 current operations. I'm going to vote for this today because we're not going to expend those funds right away but I think you're right we should have some follow up dialog about the need for the fence and how it coincides with the operations that currently occur at the landfills. I'm going to follow up on those. Mr. Taylor: Thank you. Chair Furfaro: Anybody else, any questions? Thank you Ken. GLENN MICKENS: Thank you Jay. Again for the record Glenn Mickens. I have a short testimony and you have a copy of it. This is my evaluation of this Bill 2397. If I'm wrong, I'm sure you'll correct me. Before Bill 2397 is finally passed, I hope that you Councilmembers will take a harder look at it as some of us members including Ken have done. We are talking about a potential payout to this shrimp farm of tax money for, as Chair Furfaro said, possibly two hundred fifty thousand dollars or more or possibly less but it will probably be considerable, nonetheless, if approved. Jay gave us some relevant material on this issue at our last session and apparently with further question in his mind he asked for ten (10) more days to finalize this issue. So presumable in another three (3) days we should have the information that Jay will pass along to us. The twelve (12) page OIP opinion that was given to us dated May 28, 2003 has in it a questionable statement that, for me, did not make it comparable to what is happening in Bill 2397. It said, "The Commission's July 31, 2002 hearing was a contested case hearing (emphasis added) under HAPA. Thus, the decision of members of the Commission to delay disclosing how they voted on whether to use public funds for the defense of an indicted police officer was not subject to the Sunshine Law." To the best of my knowledge this potential exacted or settlement amount is not a contested case hearing so whatever decision is made should be made before the public and not in Executive Session. I thank Jay for delving into this issue and will be awaiting whatever further information he gets in three (3) days. I do approve of the $417,000 being asked for in this Bill but since the $20,000 fence and the settlement amount is part of the bill I believe that it should be eliminated and handled separately. Anyway, that's my evaluation of it. Any questions? Chair Furfaro: I just want to share two (2) things with you, I don't want to get into more dialog, I've made certain request, if I don't fulfill the three (3) days then you know... I don't fulfill the three (3) days, that's... Mr. Mickens: Okay. Chair Furfaro: It's my attempt to get you some information. The same message I gave to Ken, I gave to you last week. You have not moved on the request even though I've asked staff and the request still stands there, will help you with that. I also want to say that what comes over to the Council in a 47 COUNCIL MEETING March 9, 2011 statement is not written by the Council staff, the verbiage we get comes from the County Attorney. That's all I have to say on that matter but you can also see Peter if you like. Mr. Mickens: Thank you Jay. Chair Furfaro: Thank you. Anyone else want to testify on this item? LEILANI MINDORO: Good afternoon. My name is Leilani Mindoro, I'm with UPW. I just had a question, I did not attend the last Council Meeting when the equipment, the request for equipment was made and this is actually the first that I'm aware of this and so I had a couple of questions. One (1) regarding the compactor, I believe anything that makes the employees work more efficient and less taxing on their own person is appropriate; however, the question that I have is, is this equipment that is being purchased being purchased to maintain equipment that belongs to Waste Management or the County of Kauai because there is a court decision and order for equipment management and operations management of the employees. So I just want to make sure that the funds are being appropriated in the proper way. Like I said anything for our membership as long that it's appropriate, that's something that I want to ensure is done. But I want to make sure that the equipment based on the court order is cost effective and appropriate for in accordance with the Court Order, so that was the only thing. Chair Furfaro: Your point is well taken and we shall so note with Mr. Dill with your concern... Mr. Dill the County Engineer. Councilwoman Yukimura. Ms. Yukimura: Yes, good morning Leilani. Ms. Mindoro: Good afternoon. Ms. Yukimura: Oh good afternoon, thank you. Now just for the record you're representing an organization right? Ms. Mindoro: also a... you know... Ms. Yukimura: Ms. Mindoro: Ms. Yukimura: who's going to own the machines? I am the Division Director of UPW but I'm A citizen. A citizen of this County. Right, okay. And then your question was Ms. Mindoro: Because there is a Court Order and the way the operations at the Kekaha Landfill are... that needs to be followed. And the equipment from my understanding unless Public Works /Solid Waste Division has more information that I'm not aware of, the equipment is to be provided by Waste Management and the (inaudible) equipment and the repair and maintenance. Based on what is asked for I want to ensure that you know if we're asking money for operations for the manpower operations, I have no problem with that because I 48 COUNCIL MEETING March 9, 2011 know the extent of what happens there. But I want to make sure that the moneys that are appropriated for the equipment, the right entities are paying for that. Ms. Yukimura: Okay. I think I understand what you're trying to ask because I had that same concern last... at the last meeting. I don't know about a Court Order but there is a contract that governs how the relationship of waste management to the County at the landfill. My understanding was that contract has been or is being amended and the scope is being widened and so therefore there's an agreement that the County will pay for this equipment because it's for the widened scope of work which is... not just compliance with rules and regs but I think waste management has services has been now retained to increase the efficiency of the landfill so that it won't fill up as quickly. Their job under the original contract was just to help us be compliant with Federal rules and regs and other rules. But now there's a new role for waste management and because of that new rule and part of that new role and new agreement is that we're going to pay for the equipment. But I'm presuming we're owning the equipment as well... we are not? Well then that's a really good question. Ms. Mindoro: Okay so that's just my... Chair Furfaro: We'll direct that question to Mr. Dill. One moment please... Mr. Rapozo. Mr. Rapozo: Do you have that Court Order? Or can you get us a copy... Ms. Mindoro: It is public record, I can get the information. Mr. Rapozo: Or the cite from the case, that will work too... I'm not aware of any Court Order. All I was told was that this was a piece of equipment that would go on the waste management equipment to increase the compaction rate and because of that due to... Ms. Yukimura: Oh I see. Mr. Rapozo: To prolong the life of the landfill, you know to expand the life. That in fact this was going to give us more compaction, more air space but I was also told that the contract had to be modified but that it was not going to cost us any more money. I guess we can bring up Mr. Dill afterwards. I was told that in fact the contract had no fiscal impact, only that the modification to their equipment which is the machine, we're going to put on these wheel cleaners to clean it, I guess, and... but that it was not going to cost the County anymore and I'm concerned that as I'm looking in the audience because it doesn't look like that's the case. We'll have Mr. Dill come back up. Ms. Mindoro: Again and my issue is if it's going to stay with the County for future landfill use and it's county property and it builds for better work for the employees, I have no problem with that. Chair Furfaro: Mr. Bynum has a question for you. Mr. Bynum: I just want to thank you for your testimony because I think it's really balance because from my understanding is that there will be an improvement for the employees in terms of their job duties and will help them 49 COUNCIL MEETING March 9, 2011 be more efficient. Thanks for bringing up the legal question that we need to follow up with. Ms. Mindoro: Okay, thank you. Mr. Bynum: Thank you. Chair Furfaro: Thank you very much. Mr. Dill the rules are still suspended and I believe that Mr. Rapozo will have the floor. Mr. Rapozo: Hi Larry. Last week I spoke with Donald outside of the meeting and basically what I just said to the prior speaker was what he had told me. Is that what you understand it to be? Was the contract modification going to increase the cost to the county? Mr. Dill: Yes. Mr. Rapozo: Because that's not what I was told. Mr. Dill: Let me back up if I may just a little bit... when the contract was initially put in place the stipulation was that the contractor had to meet certain conditions those were based on acceptable National standards at the time. He was required to provide the equipment in order to do that. So what we've done recently is we've gone back to him and say we want to increase the efficiency of your work, like we talked about getting higher compaction rates, ultimate goal being to extend the life of the landfill, come back to us with a proposal to do that. So they have come back with a proposal to do that which includes these self cleaning devices on the rollers, on the heavy equipment which they already own under that contract. Since we are now effectively changing their scope of work out there, is there going to be change order for that original contract which would allow them to purchase and install and own this new piece of equipment which would be attached to the equipment they already own. It hasn't been stated it will also... it will serve to increase the life of the landfill by increasing the compaction rate but also be a benefit to the employees as it has been mentioned. Every time they have to get up and down of that machine to clean manually some equipment, it's a safety and health issue and so it will benefit all around. Mr. Rapozo: We are funding... the money bill in front of us is for the County to purchase the equipment or is it to... Mr. Dill: No it's a contract change order and so they're proposing a contract change order to us which would allow them to purchase the equipment. So we will pay them, they will purchase the equipment. Mr.Rapozo: They purchase the equipment and... Mr. Dill: Correct. Mr. Rapozo: How much is the equipment, I guess? Mr. Dill: I don't have the bill in front of me. Mr. Rapozo: Those changes I guess for me because I thought we were buying the equipment... 50 COUNCIL MEETING March 9, 2011 Mr. Bynum: I did too. Mr. Rapozo: We were buying the equipment and giving it to them, that's what I was told and in fact outside of the cost of the equipment there would be no, the contract was not going to be the value of the contract. Mr. Dill: There is the cost of the equipment and that is the sole amount of the change order, I'm sorry if I didn't make that clear. Ms. Yukimura: Yeah. Mr. Rapozo: Okay but the question I guess is... how much is this equipment because I thought we went out through our process and bought the equipment which would require the bid and blah, blah, blah... but you're basically saying right now that we did a change order, the contractor is going to tell us what they want to purchase this equipment for. Mr. Dill: Correct. Mr. Rapozo: And do we know if that's even accurate, I don't know and I hate to be nitpicking but... now. Mr. Dill: (inaudible). Mr. Rapozo: That's why I'm concerned about that right Mr. Dill: Sure. Chair Furfaro: Troy why don't you come up. Mr. Rapozo: Because I don't know what a wheel cleaner does but it's a hundred plus thousand dollars and I'm assuming I just had assumed that it was something that the County was going to purchase. TROY TANIGAWA, ENVIRONMENTAL SERVICES MGT. ENGINEER: Troy Tanigawa for the record. Excuse me just let me find it in the paper work here. Chair Furfaro: Troy are you turning to the page of the justification section? Mr. Tanigawa: Yes I am. Chair Furfaro: Okay. Just for the Councilmembers. Mr. Tanigawa: I'm looking here and the self cleaning device for the cat compactor has a value of twenty -two thousand dollars and the stationary mounted GPS system has a value of a hundred and six thousand dollars. To me that's within the ballpark that we're looking at if we were looking at purchasing that same type of equipment at the market. Mr. Rapozo: So we don't get to keep this equipment right? COUNCIL MEETING Mr. Tanigawa: Mr. Rapozo: Mr. Tanigawa: Mr. Rapozo: that? 51 March 9, 2011 Correct. They get to keep the equipment. Correct. And I just don't understand why we would do Mr. Tanigawa: We asked ourselves the same question when we looked at the proposal and considered the expense and it looks like for the life... the remaining life of the landfill you know what we would expect the employer or the contractor... the period that we expect them to operate the equipment and maintain this equipment in good order, at the end of that term there would be little to no residual value to that equipment. With that in mind and it seemed like the benefits of that equipment which we are paying for just to purchase the equipment and Waste Management assuming all the responsibilities to maintain and keep that equipment in good working order for the remaining term of the contract seemed like a good expense for the County. Mr. Rapozo: Who runs that equipment... I know they own it but who operates it? Who operates the compaction equipment out at the site, is it county employees? Mr. Tanigawa: County workers. Mr. Rapozo: We do right? Mr. Tanigawa: Correct. Mr. Rapozo: And who maintains that equipment? Mr. Tanigawa: keep that equipment running. Mr. Rapozo: County? Mr. Tanigawa: by Waste Management. Mr. Rapozo: Mr. Tanigawa: Mr. Rapozo: Waste Management pays for all the cost to But it's still run and maintained by the It's operated by the County but maintained They pay us to maintain the equipment... LM Or do they have their own maintenance? Mr. Tanigawa: They hire a private contractor to maintain equipment on site. Mr. Rapozo: Okay, thank you. Chair Furfaro: We have about six (6) minutes before we have to break for lunch and before I recognize Councilwoman Yukimura, I want to 52 COUNCIL MEETING March 9, 2011 make sure you understand, Larry, we're looking for the depreciation schedule for that piece of equipment that would have been calculated over a seven (7) year period of time, okay, and what depreciation schedule was used. Councilwoman Yukimura. Ms. Yukimura: My question relates to that actually. wanted to know what the term of our contract with Waste Management is. Mr. Tanigawa: Ms. Yukimura: responsible for closing at ultimately (inaudible) and all of that that needs there's a long period of responsibility, done to close it properly and then to contract? The term extends for the life of the landfill. Which means that they are going to be and taking care of the thirty (30) years of to be done right? After the landfill is closed I mean I don't know exactly all that has to be maintain it but is that the duration of the Mr. Tanigawa: The contracts allows the County to either use waste management to close the landfill or to elect to decline waste management's offer and go out to bid to a third party to do the closure. Ms. Yukimura: So that period of time is not included in the present contract? The closure of the landfill and the maintenance of it for the next thirty (30) years after closure, that is not in the contract and it's not part of it? Mr. Tanigawa: Currently it is part of the contract to either have waste management, should the county elect to do so... to do the closure, closure construction. Ms. Yukimura: And... Mr. Tanigawa: Which includes installing the final cover, establishing final grades, constructing the landfill gas management system, you know installing all the components necessary to allow Department of Health to certify closure was done properly. What's not included in their contract currently in the scope of work is to do the post closure. That is something that when the time comes the County has to budget for and contract out to do that work. Ms. Yukimura: Okay so the work that they're contracted for that amount of money has already been specified that's part of the contract? Mr. Tanigawa: Unit prices are included in the contract, correct. Ms. Yukimura: Okay so the equipment will be used for those purchases as well? Mr. Tanigawa: More than likely the compactor wheel cleaners are only useful for operating the landfill. Ms. Yukimura: Okay, so what is the projected... you said that over the life they'll be no real value left when the contract is done. So what are the years that are being projected for that, so that relates to how long we're going to keep operating the landfill. 53 COUNCIL MEETING March 9, 2011 Mr. Tanigawa: Well with the current projected life we're looking at least... just over six (6) years possibly a little more with some initiatives that we've been looking at that life expectancy could move out to seven (7) to eleven (11) more years, possibly if all these initiatives work properly. Ms. Yukimura: Okay so that's why the seven (7) year depreciation schedule? Chair Furfaro: Yes I think we had some discussion Councilwoman last year on the projected life of the landfill and the number we gave was a minimum of seven (7) and it could be longer if we moved on the compacting process. But that's why I used the seven (7) years, yes. Ms. Yukimura: Alright, thank you very much. Chair Furfaro: Do we have any more questions of these gentlemen? If not, Mr. Dill it is 12:30 and we're going to move probably to a break. When we come back at 1:30 Councilwoman Nakamura has a public hearing but you need to be prepared to be back. Ms. Yukimura: Mr. Chair is it possible we could come back to order and vote on it and finish this subject before we go on break, lunch break? Chair Furfaro: We could vote on it... Mr. Bynum: You had a motion and a seconded. Ms. Yukimura: I think we're ready, aren't we? Mr. Rapozo: I don't know. Did we get the public testimony on this? Chair Furfaro: Yes. Mr. Dill, we're going to call our meeting back to order. There being no objections, the meeting was called back to order, and proceeded as follows: Chair Furfaro: It is the Council's wish to... we have a motion to approve and a second. Let's have some dialog amongst members. Mr. Rapozo: Mr. Chair, I still have question pertaining to the overtime for this fiscal year not last fiscal year, this money request is not to cover last year's shortages for this year. I'm expecting that... I'm sure we can get that... I do want to... I will vote on the measure today to get it approved so that they can move forward but I do expect to have a item on the agenda in the near future for the landfill as well as the green waste discussion so that we can have that on a separate item. Chair Furfaro: Okay. Mr. Rapozo: Just basically a generic update. We haven't had an update I believe on the landfill situation for quite a while so that is almost a 54 COUNCIL MEETING March 9, 2011 special meeting in itself because the moving parts and variables. I will be supporting the money bill today; however, I will be expecting further response from Mr. Dill. Thank you. Chair Furfaro: Thank you. Any further discussion? Mr. Dill if you follow that... we will have two (2) probably new items, one (1) addressing green waste in general, you know terms and conditions of how we manage it and also in particular maybe something that reflects staffing guides so that we can get to the most current overtime pieces. Any further discussion? Mr. Bynum. Mr. Bynum: I appreciate Councilmember Rapozo doing a follow up on those issues and I just had said earlier that I hope we would also have further discussion about the fence and about how it integrates with current landfill practices. So maybe that could all be the same item Mr. Rapozo? Ms. Yukimura: Okay. Chair Furfaro: Okay. Let's go ahead and call for the vote. The motion for approval 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 ADOPTION: Bynum, Nakamura, Rapozo, Yukimura, Furfaro TOTAL — 5, AGAINST ADOPTION: None TOTAL — 0, EXCUSED & NOT VOTING: Chang, Kawakami TOTAL — 2, RECUSED & NOT VOTING: None TOTAL — 0. There being no objections, the Council recessed at 12:30. The Council reconvened at 1:54 p.m., and proceeded as follows: Chair Furfaro: The meeting is called back to order. Could we read communication C 2011 -79 please? Mr. Nakamura: We're back on page one (1) of the Council's agenda Council Chair and we have two (2) communications for receipt on page one (1), communication C 2011 -79 and C 2011 -80. C 2011 -79 Communication (02/14/2011) from the Director of Housing, requesting Council approval to authorize the filing of the 2011 Action Plan for the County's 5 -year consolidated Plan to the U.S. Department of Housing and Urban Development and appropriation of funds for the HOME Investment Partnership Program, an allocation of $973,000 of HOME funds for Program Year 2011: Ms. Yukimura moved to receive C 2011 -79 for the record, seconded by Mr. Rapozo, and unanimously carried. C 2011 -80 Communication (02/14/2011) from the Director of Housing, requesting Council approval to authorize the filing of the Kauai County 2011 Action Plan with the United States Department of Housing and Urban Development and appropriation of funds for the Community Development Block Grant Program an estimated allocation of $880,943 of grant funds: Ms. Yukimura moved to received C 2011 -80 for the record, seconded by Mr. Rapozo, and unanimously carried. 55 COUNCIL MEETING March 9, 2011 Chair Furfaro: Next page. Mr. Nakamura: We're on page two (2) of the Council's agenda Council Chair on a communication for approval, communication C 2011 -81. C 2011 -81 Communication (02/08/2011) from the Director of Parks and Recreation, requesting Council approval to accept a donation of an assortment of merchandise which includes books, games, greeting cards, clothes, key chains and other novelties valued at $10,000.00 by Borders Books, Movies & Cafe. The donations will specifically benefit participants of County programs done solely or in partnership with other non - profit organizations: Mr. Bynum moved to approve C 2011 -81 with the appropriate thank -you letter to be sent, seconded by Ms. Yukimura. Chair Furfaro: Any discussion? Mr. Bynum. Mr. Bynum: I believe this is a second time that Borders has made this contribution to the County. Last time they were here, we discussed... they indicated that it would be ongoing and so I just really wanted to acknowledge and thank them. This is a great supplement to our youth programs and maybe one of the sad things about Borders leaving. We'll have a thank you letter but I wanted to acknowledge Borders again for this and for the Administration for taking this opportunity. Thank you. Chair Furfaro: Any further discussion? If not, all those in favor signify by saying aye. The motion to approve C 2011 -81 with the appropriate thank -you letter to be sent was then put, and unanimously carried. Chair Furfaro: Next item. Mr. Nakamura: Next communication for approval is communication C 2011 -82. C 2011 -82 Communication (02/15/2011) from the Director of Parks and Recreation, requesting Council approval to accept nine (9) pieces of stage risers valued at $1,500.00 to be used at the Kauai War Memorial Convention Hall in Lihu`e, donated by Halau Hula `O Leilani Booster Club under the direction of Kumu Hula Leilani Rivera Bond and President Darryl T. Low: Ms. Yukimura moved to approve C 2011 -82 with the appropriate thank -you letter to be sent, seconded by Mr. Rapozo. Chair Furfaro: Members any discussion? Ms. Yukimura: Yes Mr. Chair. I just wanted to really acknowledge we recently recognized Kumu Hula Rivera and her husband and this is a really nice donation to the Convention Hall that I know-will be used well. Chair Furfaro: I'm sure, yes, thank you. The motion to approve C 2011 -82 with the appropriate thank -you letter to be sent was then put, and unanimously carried. 56 COUNCIL MEETING March 9, 2011 Chair Furfaro: Mr. Nakamura: communication C 2011 -83. Next item. Next communication for approval is C 2011 -83 Communication (02/04/2011) from the Director of Personnel Services, requesting Council approval of two (2) applications to dispose of government records, pursuant to Resolution No. 49 -86 (1986) as amended by Resolution No. 12 -91 (1991), as amended by Resolution No. 2008 -39: Ms. Yukimura moved to approve C 2011 -83, seconded by Mr. Rapozo, and unanimously carried. Chair Furfaro: Next item. Mr. Nakamura: Next matter for approval is communication C 2011 -84. C 2011 -84 Communication (02/14/2011) from the County Engineer, requesting Council approval to purchase an Autocad 2011 Software Upgrade and three (3) additional 2011 Network Licenses, at the approximate cost of $30,000.00, for the Department of Public Works — Engineering Division to improve the efficiency of the current design capabilities and assist with the increasing demands of the current level of budgeted capital projects: Mr. Bynum moved to approve C 2011 -84, seconded by Ms. Yukimura, and unanimously carried. Chair Furfaro: Next item. Mr. Nakamura: Next matter for approval is communication C 2011 -85. C 2011 -85 Communication (02/15/2011) from the Director of Housing, requesting Council approval of a fee simple sale of the property known as Hookena at Puhi Unit No. 602 located at 2080 Manawalea Street, Uhu`e HI, 96766 for $155,000.00, in of the previously approved price of $199,900.00 (see C 2009- 284) based on Comparative Market Analysis, and to authorize the County Clerk to sign all documents related to this transaction: Mr. Rapozo moved to approve C 2011 -85, seconded by Mr. Bynum. Chair Furfaro: Any discussion? Councilwoman Nakamura. Ms. Nakamura: I'll be voting to approve but I do have a follow up question for the Department of Housing. I wanted to find out what the status of the land trust that they were going to create so that we can in the future not sell these properties. Right now FANNI MAE isn't allowing us to do a leasehold loan and that's why we're going to do a fee simple sale but the County was originally going to set up a community land trust to hold these properties. So I'd like to find out what the status is for future properties that come up for sale. Chair Furfaro: Very good. We'll send a communication over for an item in Housing that deals with the question of the status of creating to the land trust for future asset management. Thank you. Any further discussion? The motion to approve was then put, and unanimously carried. 57 COUNCIL MEETING March 9, 2011 Chair Furfaro: Next item. Mr. Nakamura: Next two (2) communications are for receipt. This is communication C 2011 -86 and C 2011 -87. C 2011 -86 Communication (03/02/2011) from Councilmember Bynum, requesting Council consideration to amend Resolution No. 2011 -04, Draft 1, relating to the establishment of the Human Resources Sub - Committee to the Committee of the Whole, by extending the reporting deadline by an additional 90 days: Mr. Bynum moved to receive C 2011 -86 for the record, seconded by Mr. Rapozo, and unanimously carried. C 2011 -87 Communication (02/01/2011) from the Chief of Police, transmitting for Council information, a notice of the rate increase from $30.00 per hour to $33.00 per hour, for Special Duty Officers and Administrative costs effective February 1, 2011: Mr. Bynum moved to receive C 2011 -87 for the record, seconded by Mr. - Rapozo, and unanimously carried. Mr. Nakamura: Next matter at the top of page three (3) Council Chair is a claim filed against the County, communication C 2011 -88. CLAIMS: C 2011 -88 Communication (1/19/2011) from the County Clerk, transmitting a claim filed against the County of Kauai by L. Steven Niau for damages to his vehicle, pursuant to Section 23.06, Charter of the County of Kauai: Mr. Rapozo moved to refer C 2011 -88 to the County Attorney's Office for disposition and/or report back to the Council, seconded by Ms. Nakamura. Chair Furfaro: Mr. Rapozo. Mr. Rapozo: I just wanted to find out if we can get a... I'm not sure if it requires a briefing but at least a report from the County Attorney's Office of all outstanding claims. I know we keep referring it to them for disposition and report back to the Council. We used to get a quarterly report, I'm not sure if we still get them but if we could get a report. Could we send over a request to get a report of all the pending or outstanding claims with the County, I'd appreciate that. Mr. Chair if you feel a briefing is warranted we could request an Executive Session as well. Chair Furfaro: Okay. I would like to so note that when we refer claims to the County Attorney's Office that if the amount is settled for less than two thousand dollars ($2,000.00) it is disposed of, so in the future the motion means coming back if necessary meaning the claim was greater than two thousand dollars ($2,000.000) but I will certainly take your recommendation and send over a communication asking for an update on those claims unsettled that exceed two thousand dollars ($2,000.00). Mr. Rapozo: All claims. Chair Furfaro: I'm not sure by Charter we actually have a say on claims of one thousand, nine, ninety -nine ($1,999.00) but certainly I'll put that in as two (2) subject matters. One for all claims above two thousand dollars 58 COUNCIL MEETING March 9, 2011 ($2,000.00) unsettled and the second of any claims below two thousand ($2,000.00) that are still unsettled. Mr. Rapozo: Thank you. Chair Furfaro: Okay, understood. Any further discussion? The motion to refer C 2011 -88 was then put, and unanimously carried. Chair Furfaro: Next item. Mr. Nakamura: Next matters for approval are Committee Reports. COMMITTEE REPORTS: PUBLIC SAFETY & ENVIRONMENTAL SERVICES COMMITTEE: A report (No. CR -PSE 2011 -03) submitted by the Public Safety & Environmental Services Committee, recommending that the following be approved on second and final reading: "Bill No. 2397 A BILL FOR AN ORDINANCE AMENDING ORDINANCE NO. B -2010 -705, AS AMENDED, RELATING TO THE OPERATING BUDGET OF THE COUNTY OF KAUA'I, STATE OF HAWAII, FOR THE FISCAL YEAR JULY 1, 2010 THROUGH JUNE 30, 2011, BY REVISING THE SURPLUS AND APPROPRIATIONS ESTIMATED IN THE GENERAL FUND ($417,238 — Solid Waste Fund)," Mr. Rapozo moved for approval of the report, seconded by Mr. Bynum, and unanimously carried. (See later for Bill No. 2397.) Mr. Nakamura: From your Committee Finance /Parks & Recreation/Public Works Programs Committee, Committee Report CR -FPP 2011 -01. FINANCE / PARKS & RECREATION /PUBLIC WORKS PROGRAMS COMMITTEE A report (No. CR -FPP 2011 -01) submitted by the Finance /Parks & Recreation/ Public Works Programs Committee, recommending that the following be approved on second and final reading: "Bill No. 2398 AN ORDINANCE AMENDING ORDINANCE NO. B- 2010 -705, AS AMENDED, RELATING TO THE OPERATING BUDGET OF THE COUNTY OF KAUAI, STATE OF HAWAII, FOR THE FISCAL YEAR JULY 1, 2010 THROUGH JUNE 30, 2011, BY REVISING THE SURPLUS AND APPROPRIATIONS ESTIMATED IN THE GENERAL FUND ($300,000 — Office of the County Clerk — Council Services Division)," Mr. Bynum moved for approval of the report, seconded by Mr. Rapozo, and unanimously carried. (See later for Bill No. 2398.) 59 �K611H0 -41 UTWXll IM COMMITTEE OF THE WHOLE March 9, 2011 A report (No. CR -COW 2011 -09) submitted by the Committee of the Whole Committee, recommending that the following be approved on second and final reading: "Bill No. 2396 A BILL FOR AN ORDINANCE AMENDING ORDINANCE NO. B- 2010 -705, AS AMENDED, RELATING TO THE OPERATING BUDGET OF THE COUNTY OF KAUAI, STATE OF HAWAII, FOR THE FISCAL YEAR JULY 1, 2010 THROUGH JUNE 30, 2011, BY REVISING THE SURPLUS AND APPROPRIATIONS ESTIMATED IN THE GENERAL FUND ($525,448— Golf Fund)," Mr. Rapozo moved for approval of the report, seconded by Mr. Bynum, and unanimously carried. (See later for Bill No. 2396.) Mr. Nakamura: On page four (4) of the Council's agenda the final Committee Report from your Committee of the Whole, committee report CR -COW 2011 -10. A report (No. CR -COW 2011 -10) submitted by the Committee of the Whole Committee, recommending that the following be approved on second and final reading: "Bill No. 2388 AN ORDINANCE AMENDING ORDINANCE NO. B- 2010 -705, AS AMENDED, RELATING TO THE OPERATING BUDGET OF THE COUNTY OF KAUAI, STATE OF HAWAII, FOR THE FISCAL YEAR JULY 1, 2010 THROUGH JUNE 30, 2011, BY REVISING THE SURPLUS AND APPROPRIATIONS ESTIMATED IN THE GENERAL FUND ($62,719. 00- Golf Fund and $2,704,8 73. 00 —Sewer Fund)," Mr. Rapozo moved for approval of the report, seconded by Mr. Bynum, and unanimously carried. (See later for Bill No. 2388.) Chair Furfaro: We're going to go now to Resolutions. Mr. Nakamura: First Resolution for approval is Resolution No. 2011 -38. RESOLUTIONS: Resolution No. 2011 -38, RESOLUTION CONFIRMING MAYORAL APPOINTMENT TO THE PLANNING COMMISSION (Herman John Texeira): Mr. Bynum moved to adopt Resolution No. 2011 -38, seconded by Ms. Yukimura. Chair Furfaro: I believe we have an amendment coming through. Councilwoman Nakamura. Ms. Nakamura moved to amend Resolution No. 2011 -38 as circulated, second by Mr. Bynum. Ms. Nakamura: Yes this is a floor amendment to add that Herman Texeira represents Labor and that was not included in the original Bill or Resolution. 60 COUNCIL MEETING March 9, 2011 Chair Furfaro: Any further discussion here? If not, this is the second Commission that came over to us from Planning that did not note what segment of our community they represented so with two (2) notes could we make sure we send a notice to Mr. Isobe to identify whether they're from Business, Labor, Environmental and/or the Open Commission Appointment in the future. All those in favor of the floor amendment say aye. The motion to amend Resolution No. 2011 -38 as circulated was then put, and unanimously carried. Chair Furfaro: We're at the main Resolution, any further discussion? If not, this will be a roll call vote. The motion for adoption of Resolution No. 2011 -38 as amended herein was then put, and carried by the following vote: FOR ADOPTION: AGAINST ADOPTION: EXCUSED & NOT VOTING: RECUSED & NOT VOTING: Chair Furfaro: Bynum, Nakamura, Rapozo Yukimura, Furfaro None Chang, Kawakami None Next item please. TOTAL — 5, TOTAL — 0, TOTAL — 2, TOTAL — 0. Mr. Nakamura: Next Resolution, Council Chair for Resolution No. 2011 -41 and Resolution No. 2011 -42 it's our understanding that the Housing Agency will be holding public hearings on these matters and have asked that these Resolutions be deferred until the April 6 Council Meeting. Resolution No. 2011 -41, RESOLUTION AUTHORIZING THE FILING OF THE KAUAI COUNTY 2011 ACTION PLAN (HOME INVESTMENT PARTNERSHIPS PROGRAM) WITH THE DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT, UNITED STATES OF AMERICA, FOR A GRANT UNDER TITLE II OF THE CRANSTON - GONZALEZ NATIONAL AFFORDABLE HOUSING ACT (PUBLIC LAW 101 -625), AS AMENDED: Ms. Yukimura moved to defer Resolution No. 2011 -41 to the April 6, 2011 Council Meeting, seconded by Mr. Bynum, and carried a 4 -0 -2 -1 vote (Ms. Nakamura was noted as recused from this item.) Resolution No. 2011 -42, RESOLUTION AUTHORIZING THE FILING OF THE KAUAI COUNTY 2011 ACTION PLAN (COMMUNITY DEVELOPMENT BLOCK GRANT) WITH THE DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT, UNITED STATES OF AMERICA, FOR A GRANT UNDER TITLE I OF THE HOUSING AND COMMUNITY DEVELOPMENT ACT OF 1974 AND 1987 (PUBLIC LAWS 93 -383 AND 100 -242), AS AMENDED: Ms. Yukimura moved to defer Resolution No. 2011 -42 to the April 6, 2011 Council Meeting, seconded by Mr. Bynum, and carried a 4 -0 -2 -1 vote (Ms. Nakamura was noted as recused from this item.) Chair Furfaro: We have four (4) ayes on the defer. Thank you, next item. 61 COUNCIL MEETING March 9, 2011 Mr. Nakamura: Next Resolution for approval is Resolution No. 2011 -43. Resolution No. 2011 -43, RESOLUTION AMENDING RESOLUTION NO. 2011 -04, DRAFT 1, TO EXTEND THE HUMAN RESOURCES SUB- COMMITTEE REPORTING DATE TO THE COMMITTEE OF THE WHOLE TO REVIEW AND PROPOSE REVISIONS TO THE PERSONNEL OF THE COUNTY COUNCIL AND COUNCIL SERVICES DIVISION OF THE COUNTY OF KAUAI: Ms. Yukimura moved to approve Resolution No. 2011 -43, seconded by Mr. Bynum. Chair Furfaro: Mr. Bynum did you want to say anything? Mr. Bynum: We've formed a Human Resource Sub - Committee, the staff has been doing analysis of and doing a lot of work actually which supplied us and we had one (1) meeting but we ran out of the sixty (60) days and need more time to complete the analysis. For instance I received information from Pete Hoffman the Vice Chair of. the Hawaii County Council about their staffing levels and so we're still doing the analysis. We should have another Committee Meeting soon and I don't think we'll take the entire time. We really want to complete this prior to us doing budget deliberations. Chair Furfaro: Any further discussion? If not, to approve extending the time, this is a roll call vote. The motion for adoption of Resolution No. 2011 -43 was then put, and carried by the following vote: FOR ADOPTION: AGAINST ADOPTION: EXCUSED & NOT VOTING: RECUSED & NOT VOTING: Chair Furfaro: Bynum, Nakamura, Rapozo Yukimura, Furfaro TOTAL — 5, None TOTAL — 0, Chang, Kawakami TOTAL — 2, None TOTAL — 0. Next item please. Mr. Nakamura: Next matters are bills for second reading. Next Bill for second reading is Bill No. 2398. Bill No. 2398 - AN ORDINANCE AMENDING ORDINANCE NO. B- 2010 -705, AS AMENDED, RELATING TO THE OPERATING BUDGET OF THE COUNTY OF KAUAI, STATE OF HAWAII, FOR THE FISCAL YEAR JULY 1, 2010 THROUGH JUNE 30, 2011, BY REVISING THE SURPLUS AND APPROPRIATIONS ESTIMATED IN THE GENERAL FUND ($300,000 — Office of the County Clerk — Council Services Division): Mr. Bynum moved to approve Bill No. 2398 on second and final reading, and that it be transmitted to the Mayor for his approval, seconded by Ms. Yukimura. Chair Furfaro: did get the FF &E book? Mr. Rapozo: Chair Furfaro: those in favor say aye. Mr. Rapozo, I just want to follow up that you Yes I did, thank you very much. Okay. Any further discussion? If not, all COUNCIL MEETING Mr. Nakamura: 62 This is a roll call vote. March 9, 2011 The motion for adoption of Bill No. 2398 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 ADOPTION: AGAINST ADOPTION: EXCUSED & NOT VOTING: RECUSED & NOT VOTING: Chair Furfaro: Mr. Nakamura: Bynum, Nakamura, Rapozo Yukimura, Furfaro TOTAL — 5, None TOTAL — 0, Chang, Kawakami TOTAL — 2, None TOTAL — 0. Next item. Next bill for second reading is Bill No. 2396. Bill No. 2396 - A BILL FOR AN ORDINANCE AMENDING ORDINANCE NO. B- 2010 -705, AS AMENDED, RELATING TO THE OPERATING BUDGET OF THE COUNTY OF KAUAI, STATE OF HAWAII, FOR THE FISCAL YEAR JULY 1, 2010 THROUGH JUNE 30, 2011, BY REVISING THE SURPLUS AND APPROPRIATIONS ESTIMATED IN THE GENERAL FUND ($525,448 — Golf Fund): Mr. Rapozo moved to approve Bill No. 2396 on second and final reading and that it be transmitted to the Mayor for his approval, seconded by Mr. Bynum. Chair Furfaro: Any discussion? Ms. Yukimura: Yes Mr. Chair. I anticipate that we are having another separate agenda item to talk about the Golf Course in general and I just want to signal that my vote in this case does not mean that I support future and larger subsidies to the Golf Fund. I'm concerned that some of the responses that we're getting from the Administration which indicates a very unclear vision for the Golf Course and then the move to change it from an enterprise fund to another kind of fund is a bit worrisome because to me a county needs to follow policy and the policy decision first has to be made before you choose the accounting system for it. I'm not sure that a CPA firm is the one to determine what the accounting form should be if there is no clear policy decision about what the vision is for the Golf Course. And so, I look forward to these discussions, I urge the Administration to think about this matter. If we go into the... what we saw is an increasing subsidy of the Golf Course to a million plus dollars every year and that is asking basically a real property tax payers to pay that kind of subsidy. We also saw many revenue generating opportunities that could still be done within the context of providing affordable services. So if we are not maximizing or optimizing our revenue possibilities, that's not good and I would like... I did hear some real indications from the Parks Director and Deputy that they are looking at that and are looking at ways to increase our revenues, so that's a good sign. But anyway I just want to signal that there's some un- clarity here about where we're heading with respect to the Golf Course and how we're going to do our financing of it. Chair Furfaro: Thank you. I do have a few comments but I'll take other comments from other members first. Mr. Bynum. Mr. Bynum: I appreciate the comments and the response that we received from the Parks Departments to recent questions. I had initially 63 COUNCIL MEETING March 9, 2011 intended to put on the Parks Committee a wide ranging discussion about the Golf Course and then in discussion with staff they indicated that in our budget reviews this year... there's going to be a separate category specifically for the Golf Course and they felt that that might be sufficient... so I'm looking for guidance from the members about whether we should do that or have it as a separate item on the Parks Committee. Chair Furfaro: Councilwoman Yukimura. Ms. Yukimura: If we are not going to televise the budget hearings then we should have it as a separate item on the Parks Committee. Mr. Bynum: I haven't sent a memo specifically for that reason because I personally... my personal view is having the discussion during budget is fine but I also want to renew the request I made for four (4) years that we broadcast the budget hearings because I think there's interest in that and many other issues. Chair Furfaro: Anyone else want to speak? Okay. First of all I'd like to suspend the rules and ask the County Attorney to come up if I can? There being no objections, the rules were suspended. Mr. Castillo: Good afternoon Council Chair, Councilmembers, Al Castillo, County Attorney. Chair Furfaro: Thank you. Al, I know you were traveling last week but the Administration made a presentation, I made a presentation, I think Councilwoman Yukimura highlighted a couple of points, for example, when it comes to total revenue for the Golf Course as we measure that operation, we have a short fall in restaurant of which now we have a new restaurant tenant, that should help. We had questions about cart operations, the Administration is going to evaluate... should we have a vendor operating that or is that something we need to consider. We have other revenues that were falling short from range balls and so forth that were paid amenities that have kind of gone unto the way side. Under marketing strategies, one of the things we felt we were deferring people who spend with our vendors... Mr. Rezentes has resolved getting us an ATM machine for the purpose of having cash access and it is my understanding that and I would like to get this clarified as looks like we're going to move to approve this piece but we need to hear back from the other side the definition of who has the authority to set up an enterprise fund. If you know that answer now, that's fine but if that's something you need to research because I'm hearing from the Administration that one of the possibilities here is that they're going to look to readdress the Golf Course as a revenue account not an enterprise fund. I think we need to know who has the authority to make that change. I believe it is the Administration's decision but we need the answer to that. And then of course these other opportunities with revenue enhancements dealing with restaurant, cart fees, other amenities and marketing strategies on how we're going to accomplish some of these things should be another discussion. Mr. Castillo: Chair Furfaro, you've asked many questions and this Golf Course questions regarding the restaurant and regarding the cart concession and all of that... yes I would like time to answer your question but I'd just like to say that's it's not only your question, it's also the Administration's... I 64 COUNCIL MEETING March 9, 2011 want to answer; you know I too have questions as to what's going to happen with the entire Golf Course issue. Chair Furfaro: Okay. Well I'll put those over in writing but the one that's premium in my mind is who actually has the authority to reverse the establishment of an enterprise fund. Mr. Castillo: now. Chair Furfaro: question from Mr. Bynum. And I don't have that answer for you right Okay and I'll get that over to you. We have a Mr. Bynum: And I'm not expecting an answer right now but one of the things that the Administration talked about was taking over the cart concession which has been a vendor in the past and so the question we could add if you don't know the answer is whether that would require Council approval or whether they could do that laterally. Mr. Castillo: And the answer to the question is I don't want to speculate on how the Administration will be taking over the cart concession because I'm sure there are a lot of alternatives that the Administration is considering right now. I'm also questioning us the legal side in terms of how we should handle this concerning issue. Chair Furfaro: Any other questions for the County Attorney? If not, thank you Mr. Castillo. Mr. Castillo: Thank you. There being no objections, the meeting was called back to order, and proceeded as follows: Chair Furfaro: Any other discussion? This will be a roll call vote. The motion for adoption of Bill No. 2396 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 ADOPTION: AGAINST ADOPTION: EXCUSED & NOT VOTING: RECUSED & NOT VOTING: Chair Furfaro: Mr. Nakamura: Bynum, Nakamura, Rapozo Yukimura, Furfaro TOTAL — 5, None TOTAL — 0, Chang, Kawakami TOTAL — 2, None TOTAL — 0. Thank you. Next item. Last bill for second reading is Bill No. 2388. Bill No. 2388 - AN ORDINANCE AMENDING ORDINANCE NO. B- 2010 -705, AS AMENDED, RELATING TO THE OPERATING BUDGET OF THE COUNTY OF KAUAI, STATE OF HAWAII, FOR THE FISCAL YEAR JULY 1, 2010 THROUGH JUNE 30, 2011, BY REVISING THE SURPLUS AND W COUNCIL MEETING March 9, 2011 APPROPRIATIONS ESTIMATED IN THE GENERAL FUND ($62,719.00- Golf Fund and $2,704,873.00 —Sewer Fund): Ms. Yukimura moved for adoption of Bill No. 2388 on second and final reading, and that it be transmitted to the Mayor for his approval, seconded by Mr. Bynum, and carried by the following vote: FOR ADOPTION: AGAINST ADOPTION: EXCUSED & NOT VOTING: RECUSED & NOT VOTING: Chair Furfaro: ADJOURNMENT: Bynum, Nakamura, Rapozo Yukimura, Furfaro None Chang, Kawakami None There is no further business. TOTAL — 5, TOTAL — 0, TOTAL — 2, TOTAL — 0. There being no further business, the meeting was adjourned at 2:20 p.m. PEp tfully su witted, TER A. NAKAMURA County Clerk /ds