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HomeMy WebLinkAbout03-17-2010 Council Meeting Minutes COUNCIL MEETING March 17, 2010 The Council Meeting of the Council of the County of Kauai was called to order by the Council Chair at the Council Chambers, Historic County Building, 4396 Rice Street, Room 201, Lihu`e, Kauai, on Wednesday, March 17, 2010 at 9.45 a.m., after which the following members answered the call of the roll. Honorable Tim Bynum Honorable Dickie Chang Honorable Jay Furfaro Honorable Daryl W Kaneshiro Honorable Lani T Kawahara Honorable Derek S.K. Kawakami Honorable Bill "Kaipo" Asing, Council Chair APPROVAL OF AGENDA. Mr Furfaro moved for approval of the agenda as circulated, seconded by Mr Chang, and unanimously carried. MINUTES of the following meetings of the Council. Special Council Meeting of March 3, 2010 Council Meeting of March 3, 2010 Mr Furfaro moved for approval of the minutes as circulated, seconded by Mr Chang, and unanimously carried. Chair Asing: Next item please? PETER A. NAKAMURA, County Clerk: On page 1 of the council's agenda, Mr Chair, we have communications for receipt, communication C 2010-54, C 2010-60, and C 2010-61. COMMUNICATIONS. C 2010-54 Communication (01/28/2010) from the Chief of Police, requesting Council approval to expend approximately $300,000 from the Police Special Fund Account #206-1001-551.30-00 to purchase a new building, furniture, equipment, storage containers, surveillance equipment, fencing, and to cover utility connection costs to replace the current Kapa`a Substation. Mr Chang moved to receive C 2010-54 for the record, seconded by Mr Kaneshiro, and unanimously carried. C 2010-60 Communication (02/02/2010) from the Chief of the Building Division, Department of Public Works, transmitting for Council information, the Building Permit Information Reports for January 2010: (1) Building Permit Processing Report (2) Building Permit Estimated Value of Plans Summary (3) Building Permits Tracking Report (4) Building Permits Status Mr Chang moved to receive C 2010-60 for the record, seconded by Mr Kaneshiro, and unanimously carried. COUNCIL MEETING -2- March 17, 2010 C 2010-61 Communication (02/10/2010) from the Director of Planning, transmitting the Planning Commission's recommendation to amend the zoning of real property situated at Tax Map Key 1-6-05.18 from "Open District (O)" to "Residential District (R-4)," subject to the conditions therein. (C. Ahko Inc., Applicant): Mr Chang moved to receive C 2010-61 for the record, seconded by Mr Kaneshiro, and unanimously carried. Chair Asing: Next item please. Mr Nakamura. On page 2 of the council's agenda, we have the following matters for receipt, communication C 2010-62, communication C 2010-63, communication C 2010-64, communication C 2010-65, and communication C 2010-66. C 2010-62 Communication (02/11/2010) from the Mayor, transmitting for Council information, the Kauai Humane Society Second Quarter Report for FY 2010 (July 1, 2009 - December 31, 2009), pursuant to Contract #6787, Item (5), as well as a copy of their Financial Statements and Schedule, and Independent Auditor's Report for the year ending June 30, 2009 Mr Chang moved to receive C 2010-62 for the record, seconded by Mr Kaneshiro. C 2010-63 Communication (02/26/2010) from the Director of Finance, transmitting for Council consideration, amendments to the FY 2010 Budget to address anticipated shortfalls, as follows: (1) Sewer Fund. Lowers expenditures in the SRF Loan Payments Account and the Unappropriated Surplus Fund Equity by $171,957 due to anticipated lower loan payments due to the timing of the Lihu`e Wastewater Project. (2) Solid Waste Fund. Appropriates $455,795 from the General Fund to the Solid Waste Fund, and reduces expenditures in the Solid Waste Fund by $485,000 to address the anticipated $940,795 shortfall within the Solid Waste Fund. (3) Golf Fund: Appropriates $555,316 from the General Fund to the Golf Fund due to lower than anticipated revenues based on reduced play Mr Chang moved to receive C 2010-63 for the record, seconded by Mr Kaneshiro. C 2010-64 Communication (03/01/2010) from Councilmember Bynum, transmitting for Council consideration, amendments to Chapter 19, Parks and Recreation, to allow dogs on the entire shared use path system, and to remove the 18-month trial period, trial period evaluation requirement, measurements, and expiration clause. Mr Chang moved to receive C 2010-64 for the record, seconded by Mr Kaneshiro. C 2010-65 Communication (03/05/2010) from the Mayor, requesting Council consideration and confirmation of the following appointment and reappointment to various Boards and Commissions for the County of Kauai. (1) Board of Water Supply Dee Crowell - 2nd complete term ending 12/31/2012 (2) Liquor Control Commission. Heidy Huddy-Yamamoto - 1st complete term ending 12/31/2012 Mr Chang moved to receive C 2010-65 for the record, seconded by Mr, Kaneshiro. COUNCIL MEETING - 3 - March 17, 2010 C 2010-66 Communication (3/10/2010) from Councilmember Bynum, transmitting for Council consideration, amendments to Ordinance No. 864 and 874, relating to the Single-Family Transient Vacation Rentals, to maintain the current prohibition of any new TVRs and to clarify standards and permit processes for regulating alternative visitor accommodation structures and operations in the Residential, Agriculture, Open, and Resort zoning districts: Mr Chang moved to receive C 2010-66 for the record, seconded by Mr Kaneshiro Chair Asing: Hang on. I'd like to suspend the rules. Glenn. There being no objection, the rules were suspended. GLENN MICKENS: For the record, Glenn Mickens. Thanks, Kaipo. I know this is coming up as a bill for first reading. I don't know whether it'll come up there's a ball game today and I gotta be there. So, I just wanted to say if it's going to come up before the 12:30 p.m. lunch break, I'll wait till the bill comes up If not, why Chair Asing: No, go ahead. Mr Mickens: Oh, it's okay Mr Furfaro: Could you tell us what item you want to reference? Mr Mickens: Yes, Jay, communication 2010-63, the solid waste. Mr Furfaro: Got it. Mr Mickens: . fund, okay I think you. you have a copy Let me read it for the public and the viewing public. These three funds: sewer, solid waste and golf, as I understand, are classified as enterprise funds. In other words, they are funds that should be revenue neutral, the income is supposed to be equal to the outgo. However, I. and I may be wrong, Jay, I'm sure you'll correct me, I cannot remember any time in my 20 years on Kauai that these funds have been in the black. Each fiscal year we have continually taken money from our general fund to keep these funds solid and I believe that something is wrong with this MO First, if these are not enterprise funds, then let's call them what they are, public cost funds. And second, why aren't these funds properly addressed in our budget process so the shortfalls are taken care of? Why continually use general fund money to make these funds revenue neutral when addressing them in the budget process would solve the problem? We've dragged our feet way too long in getting our recycling program going, which would go a long ways towards cutting the nearly one million dollars a year we are putting into our solid waste program. A MRF would have been built long ago. should have been built long ago to alleviate this problem, but it's still just in the talking stage. The pay-to-throw program that JoAnn (Yukimura) has been talking about for so long is another good plan and should be pushed harder I believe that a lot. tra. a lot less trash would go into our landfill if the people knew that the more they trash, the more it would cost them. And with the golf fund problem, we either have to increase the fees to pay for the operating expense or let the local people pay for nothing, charge the tourist and just let our tax dollars pay for the cost as done with our soccer, football and baseball programs. Of course, again, I think this would be counterproductive. I think it's a COUNCIL MEETING -4- March 17, 2010 catch 22 program because now that you've made people want to go there less, now you're going to take in less income. So, I don't really have a solution for it outside of the two I said. And if these methods aren't enough to completely take care of the shortfalls we have now, then increase the fees for these funds to make them neutral. So, I don't know if anybody's got any questions about that or any comments, but that's my comment on that communication. My the other communication is 2010-64. For me, dogs do not belong on the same path as walkers, joggers and bikers, some of them small children. A friend of mine had his young son bitten by a dog on a leash on a bike path in California and the bite over his eye left him with a lifelong scar Dogs on a multi-use path are accidents waiting to happen, in my opinion. Our county parks workers are highly against dogs on this path, not only for the reason I just gave, but for the dog poop they must deal with on the path or in the trash cans that people throw it in and they must empty them. I had a dog when I came to Kauai and I took her on. and I took her on my jog every day in the homesteads, where I live. There was absolutely no need to have a path for our workout. You heard former councilmember Mel Rapozo tell you how he also had a dog he took walking with him in the houselots with no problem. Eighteen months ago, Chair Asing wisely introduced a bill or an ordinance asking that dog parks be made around the island, the same as those successfully being used on the mainland. The users of these parks let their unleashed dogs run and play while they can exercise if they wish. A multi-use path is not made for animals whereas a dog park is made for that purpose. I would suggest that Kaipo's proposal be reintroduced and made operational and eliminate all the problems and potential problems associated with this path. Kaipo, maybe you can tell me whatever became of that plan that you had. Is it just. Chair Asing: It's still in the works. Mr Mickens: Pardon? Chair Asing: It's still in the works. Mr Mickens: It's still in the works. So it's not completely dead? Chair Asing: No. Mr Mickens: It's a po. it is a possi. well, again, for me I highly support such a plan. There. these same parks are made in the Unite. all over the mainland with a lot of success. I have friends who use them and they really appreciate them, so. Anyway, these are my comments. Thank you. Chair Asing: Thank you. Is there anyone else? Dr Rhoades. BECKY RHOADES, Director of the Humane Society Good morning. Chair Asing: Good morning. Dr Rhoades: Dr Becky Rhoades from the Kauai Humane Society LAURA WILEY Aloha kakahiaka, it's Laura Wiley, President of the Kauai Humane Society, top of the morning to you. We just wanted to check in. COUNCIL MEETING - 5 - March 17, 2010 We're trying to keep in better touch with our beloved county council. We're checking. trying to check in four times a year when our report is submitted to you and our second quarter report as long... as well as our auditor's report was submitted, so we're just checking in to see if anybody has any questions or comments, and we'll give you an update too Chair Asing: Councilmember Chang. Mr Chang: Thank you. Have we experienced. that you know of anyone being bitten by a dog recently or has there been any reports of dogs on leashes biting others on Kauai? Dr Rhoades: Yes. Mr Furfaro: I do want a point. Chair Asing: Yeah. Mr Furfaro: Point of Order here. The Humane Society is here to talk about their budget first. Dr Rhoades: Our annual or Mr Furfaro. Your annual. quarterly report. Dr Rhoades: Our fourth quarter report. Mr Furfaro: So I just want to know which we're doing. I. Dr Rhoades: That's what we're doing. Mr Furfaro: Are we. are we focusing on your recent report? Dr Rhoades: Yes. Mr Furfaro: Okay (Inaudible.) Chair Asing: Go ahead. Mr Chang: Am I alright to ask that question? Chair Asing: Go ahead, yeah. Mr Chang: Yeah, I just wanted to ask that question of have we had reports of pedestrians, kids, people being. have we had reports of pedestrians, people being bit by dogs on leashes? Dr Rhoades: When you have about over half your households on Kauai with dogs, we do have incidents with dog bites on Kauai. The most common dog bite is a family the dog in the family owned by the same family That's the most common dog bite. We have a policy here where anybody that seeks medical attention for a dog bite, we respond to that in partnership with the Kauai Police Department. I would say that we average about two dog bites or dog threats a COUNCIL MEETING -6- March 17, 2010 month here on Kauai from somebody trespassing in somebody's yard and the dog is tethered and they get too close to the tether, if you're talking about a dog that's on some kind of tether or leash to. it's pretty rare to have somebody walking down the street when somebody gets close enough to get bit by a dog that's on a leash. Mr Chang: Okay and I'm sorry, Dr Becky Rhoades, I might not have. Mr Furfaro: Excuse me, Mr Chang, just a point of order Mr Chair Chair Asing: Yes, go ahead. Mr Furfaro: Are you allowing testimony for the communications that we already received. If you are I'm fine with that. Chair Asing: Yes, yes, yes, I am. Mr Furfaro: I just want to know what we're doing. Chair Asing: It's on the agenda, so it's. Mr Furfaro: We already received it, but we're allowing. Chair Asing: Yes. Mr Furfaro: testimony on the communications. Chair Asing: It's kind of difficult for me not to. Mr Furfaro: Got it. Thank you, Mr Chair Mr Chang: Okay, thank you. I might have phrased it incorrectly, but has there been dog bites or reports on the path? Dr Rhoades: No. Mr Chang: Thank you. Ms. Kawahara. (Inaudible) Chair, thank you. So you're presenting us with your accounting report, I think, yeah? And I see a lot. if you. you were going to give us a little bit of a review, but yeah, it's a little confusing because there was one communication as Kauai Humane Society and there was a second communication about the dog path. So since they do both, I wanted to thank you for all your services that you do provide the county with and I'm looking forward to hearing what you've done this year in this quarter Dr Rhoades: Actually, the. we turned in our report and this is for the whole year, fiscal year'09 and that's why it's a little delayed. This is. this is from the end of last fiscal year, from fiscal year '09 is the report that you received. That includes our annual report, our audited financials, and our statistical summary for fiscal year '09 I believe that's the report we're talking about. It's the second quarter report, yeah. Ms. Kawahara. Oh, second quarter COUNCIL MEETING - 7 - March 17, 2010 Dr Rhoades: Right, so it's a bit confusing. I will say for fith. the fiscal year, I just want to make a couple comments about what's happened at the Humane Society (inaudible). what kinds of trends we're seeing islandwide. And since 2001 and opening the new shelter there in Mpu, we've actually had a 145% increase in the number of dogs received and a 450% increase in the number of cats we received. Every year we get.. we seem to be getting about a 10% increase in the number of dogs handled. Now that doesn't mean that there's more dogs, it just means we're doing more work in catching dogs as well as providing prompt service in dealing with the dogs. But there are more cats and we're really, this year, are trying to really go after some increased efforts to again work on reducing cat overpopulation on Kauai because it is the number one. it's. we get two to three cats for every dog and we are investing some huge resources into that and as you saw in the second quarter report, thankfully we got a bequest that is helping us with some of the Spay/Neuter Program for the cats and you'll be seeing our mobile bus around town every month in a different location and hearing some advertising. We also suffered another couple of cruelty cases. I think I highlighted that in our second. or second quarter report. So far we're. we're getting a jail sentence for every cruelty case that we're taking in front of the court. The most recent one was Po`ipu and he went to jail for 30 days and is required to pay us restitution. These cases cost a lot of money He is required to pay us over $7,000 in restitution. It's so much a month for however long it takes him. But in addition to that, because we're private. a private non-profit providing contracted services for the county, we don't get the benefit of county counsel or prosecutors. attorney privileges. In each cruelty case, we have to hire a private attorney, which has been running us about $6,000 to $7,000 per case to be able to go in and try and work this forfeiture law which. because we are the private agency providing the enforcement of the state cruelty law and it gets really expensive every time. I just wanted to point that out. But it's the right thing to do and we will continue to do it and fortunately our cases have been successful in the court process. And we continue to educate and work with owners. We're not. we're trying to prevent it from happening and in this case we gave this man an opportunity to correct the situation and he ignored us and more dogs continued to suffer The only other thing. a couple other things I dust want to update on, we've had some more transitions, so we have a new field services manager for our humane officers and it is Jessica Venneman. She's been promoted to our new field services manager Chris Vierra has taken a job with the Kauai Police Department and we're very excited to see him move to the Kauai Police Department because he's gotten a great education with us in working on the streets with the public and animals. And then another note that just happened that I think you're going to be hearing about next time we meet most likely, for 13 years we've had a wonderful partnership with a pet food company called NUTRO Pet Food or NUTRO Foods and it's actually a program that I initiated back in the `90s on Oahu with NUTRO Pet Food when I was working for Hawaiian Humane Society Every Humane Society in the state, there's four independent island humane societies, where we made a deal for 13 years where we got free pet food to feed the shelter animals, the homeless animals at the Humane Societies for 13 years and it was a value of somewhere between $25,000 to $30,000 a year for the Kauai Humane Society and what we did in exchange is we sold only their food in our lobbies. We gave them a doctors list so they could send them coupons and it really was a very good partnership We just got notice this week we lost this and we are no longer going to have free donated food for the shelter animals all in the state. So, all of us in all the humane societies COUNCIL MEETING -8- March 17, 2010 in the state are working together to approach another pet food company to see if we can get a similar type of deal, but we do think that the free days are over because of the economy and that's going to significantly affect our budget for the upcoming sea. upcoming fiscal year Thank you. Chair Asing: Thank you. Councilmember Furfaro, do you have a question? Mr Furfaro: I just want to go through this. So real... real quickly, and Laura, you'd probably be better at this, we're looking at for six months through your year ending December 31. Ms. Wiley Correct. Mr Furfaro: You're up in revenue and grant sources by $28,000 roughly when we talk in round numbers. Ms. Wiley Yes. Mr Furfaro: And you indicated that you had gotten a special grant this year? Where did that get recorded? Ms. Wiley Well, I believe what you're referring to is for the last fiscal year we got a special contribution, a donation in the fall. Mr Furfaro: Is that showing up on this balance sheet? I mean this financial? Dr Rhoades: For the first. for the second. through 12/31/2009? Mr Furfaro• Yes. Dr Rhoades: Yeah, are you referring to the $25,000 gift? Mr Furfaro: Yes. Dr Rhoades: Yeah, that's the bequest we got from a. the (inaudible) Trust. Mr Furfaro: Okay Dr Rhoades: for restricted to spay/neuter and we did put it in. end year income. Mr Furfaro: So it's identified in program donations, I guess? Dr Rhoades: Yes, for spay/neuter Mr Furfaro: Thank you. And going down on the expenses, you're sheltering more animals. Your food cost is up Repairs and maintenance is up by $7,000 and the professional services are up by $3,700 and I assume the professional services is where you record legal expenses? Dr Rhoades: Yes. COUNCIL MEETING -9- March 17, 2010 Mr Furfaro: Okay, so I'm good. Thank you. Chair Asing: Thank you. Any other questions? Councilmember Bynum. Mr Bynum. Yeah, I was just. thought I was just going to thank you for the dynamic work that you do. Since I've been on the council I learned a lot more about humane societies and how, you know, intense the work is that you do every day and also what. it's.. I'm glad the county doesn't have to do that and we have this humane society available because I think we get a pretty good value for the county funds that are spent to deal with the animal issues. But you peaked my curiosity about the prose ...when somebody does an animal cruelty case, they're violating the state law How does. the prosecutor doesn't prosecute those cases? I'm confused. Dr Rhoades: Yes, yes, the prosecutor does represent us in the prosecution of the criminal charge. A few years ago after a large case on Oahu that involved 70-some dogs with a puppy mill breeder, we got a law passed that allows. and they had to keep them through the court process, which took a year and a half. The humane society had to pay for the care of the dogs which was close to $400,000 at the end of the day We got a law passed called "forfeiture proceedings," where a person that's charged with cruelty can put a bond down to care for the dogs until the end of the trial or they are forfeited to the animal control authority that's doing the charge. That law is the one that we have to spend the attorney on.. the attorney fees on to go into court and ask for forfeiture or bond from the person charged with cruelty for the care of the dogs. It's really important that we've gotten that, but that is not covered because we're a private nonprofit or a private agency is not covered through the prosecutor's office Mr. Bynum. So it's really a civil thing about recovering cost. Dr Rhoades: It's a civil thing (inaudible) to covering cost, but it's related to a criminal case. Mr Bynum. I understand. Okay, that. 1. thank you. Dr Rhoades: That's where it comes from. Chair Asing: Thank you. With that, you have another question? Go ahead. Ms. Kawahara. Thank you, thank you, Chair Just one quick question. I notice that your electricity came way down and I was wondering if you went solar or Dr Rhoades: We did. Ms. Kawahara. Yeah? Dr Rhoades: But that actually that actually hadn't kicked in on this yet, but one of the things we did do after the. year and a half, two years ago with the big increase in the fuel cost, our bill went up to almost $7,000 a year We did have a. Ms. Wiley A month. COUNCIL MEETING _10- March 17, 2010 Dr Rhoades: Er month, right. Ms. Kawahara. Oh, gee. Dr Rhoades: sorry, yeah, good on you. We had a consultant come in and evaluate all of our energy use and how we were doing things and we reduced our use by 30% by just changing rooms around, putting some screen doors up. We added some better ventilation fans and we were able to turn off the air conditioners in some of the other areas. Then, this past.. starting January I or right before the end of this December, we were able to work a great partnership with Seater Petroleum and we have a new photovoltaic system in on the back that's providing about half. will provide about half the power that we use. Ms. Kawahara. Wow, thank you for that work. It definitely makes money go a little bit longer because I see, yeah, it was twenty-three. twenty-four thousand last year the same time and now it's ten four? Dr Rhoades: Yeah, for the same period. Ms. Kawahara. Amazing. Dr Rhoades: And that was when the per that peak. that year before it was that huge peak. Ms. Kawahara. Right and we're expecting even better power efficiency Dr Rhoades: Right, right. Ms. Kawahara. Thank you, thank you. It definitely helps us with budget, your budget, and making more money available for services. Thank you. Chair Asing: Thank you. Dr Rhoades: I have one other comment if I could make it and I'm. I'm a little bit off color here, but having been in 4-H for many, many years as a child and very involved with that in the Midwest, one of the things we're really excited to announce is that we're going to be providing humane raised Kauai beef with our annual dinner and it's going to be a standard for us from. for every year to try and help with the cattle business here on Kauai and I wanted to make that announcement. This related to the gentleman earlier Chair Asing: With that, Councilmember Kawakami. Mr Kawakami. Thank you, Chair Thank you for being here. A couple questions. The $25,000 gift, is that a one-time gift or do we receive that. did we receive that last year? Dr Rhoades: Yes. Mr Kawakami. We did? And so it's going to be an ongoing gift? Dr Rhoades: No, no, it's a one time. COUNCIL MEETING - 11 - March 17, 2010 Mr Kawakami. It's a one time? Okay Because I'm looking and your net loss has improved, so, you know, you've done some measures to cut back, but without that $25,000 gift, it would kind of be almost like a push as far as our net loss from '09, net loss '10, six months, correct? Dr Rhoades: We're about. yeah, we're about the same. And in the past we actually hadn't included a lot of donor dollars into, you know, program expenses for the county work. We did this because the county does fund our . we have a spay/neuter category of our work and the county does partially fund that and it's partially raised donations. So this was specifically restricted. But we can regularly run a deficit for the county work and we don't get funded by general fund to make up the difference. We use donor dollars to make up the difference. Mr Kawakami. Nonetheless, we still have a net loss. Are you guys thinking of any new projects to close that gap or what's new for 2010-2011 as far as raising some revenue? Are we looking at some fee increases? Are we looking at decreased services or what's the mission? Dr Rhoades: We are looking at decreased services and in anticipation of the 2010 seven percent (7%), we are looking at decreased services and the first thing we'll probably decrease is we will ask the county maintenance, road maintenance people, to take care of picking up deceased animals on public roadways. That's one thing we probably feel that we could give up if we continue to not get funded properly We haven't been. we've been running at a deficit and we've agreed, at the board level, to supplement that deficit because it's the right thing to do. If we start increasing fees, we're going to see more problems down the road with animals if we start adding a whole bunch of more fees into whether an adoption animal we charge more than $50 or if you want to get an animal picked up, we charge you $10, something like that. We have agreed at the. at the board level to do this work with this deficit, but we can't have it increase any more. And so that's why we've already met with the mayor on the budget and what's coming down the road. We are looking at. at Plan A, how we can save some money; Plan B, if it continues, of having to close our doors or limit our services after 4 o'clock, send them somewhere else. I'm not sure what the answer's going to be but we are continuing to look at different ways to limit our costs. But I do think that we're trying very hard to keep our doors open seven days a week. We are a critical community service and we need to be open seven days a week and that's what we're going to try to continue to do. Mr Kawakami. Okay, and I was. I was just going to try and clarify if there was an error in the reporting, but while looking at the intake report for fiscal year 2009 comparative to 2010, you got dogs, cats, others. Others would be roosters, fighting roosters. Dr Rhoades: Rabbits. Mr Kawakami. for the bulk of it? Dr Rhoades: No, others is chickens, guinea pigs, rabbits, we take a variety of birds in, but it's primarily chickens, the nuisance chickens. Mr Kawakami. Nuisance, not the fighting chickens. Dr Rhoades: No. COUNCIL MEETING -12- March 17, 2010 Mr Kawakami: So the fighting chickens are not reported in this report here? Dr Rhoades: They are in there. They, yeah, they are in there. There's 125. the fighting roosters were a part of that 1,015 intake for other animals. Mr Kawakami. 1,015 I'm sorry, I'm looking at the wrong number For fiscal year 2010, I'm looking at others as 501. Dr Rhoades: Oh, sorry, sorry, sorry, I'm looking at the second quarter Others is the 181. I'm sorry Mr Kawakami. 501? Dr Rhoades: Yes, 501. The fighting roosters actually weren't. during that quarter or that half of the fiscal year, we got those fighting roosters before this period. Mr Kawakami. Okay, and that may be the source of my confusion because if the fighting roosters are not in. you know, if they're not accounted for in this report, they're accounted for in the animal food section and there's an increase of $5,400 and then you note that it's increased primarily due to the care of fighting roosters, so I was kind of confused if that was an error in the reporting because the report here shows a decrease. Dr Rhoades: Right. Mr Kawakami. ..in intake, but it increased in the amount of food, so I was kind of wondering if that was an accounting error Dr Rhoades: No. Mr Kawakami. But it's significant when you look at the budget of $24,566, which is an increase of $5,400 from previous fiscal year and then I'm looking at a decrease, but I understand where the error is now Its just. Dr Rhoades: I will just say we had to have. we had the roosters for over six months. Mr Kawakami: Yeah. Dr Rhoades: . that we had to take care of them for the police department till they could get legal disposition of them. We got them in in May or June, I think it was June. And so it was before. this period of reporting started in July So they weren't in the intake number, but we still had to pay to take care of them and we did get reimbursed. Mr Kawakami. I see. Dr Rhoades: from the police department for the care of the chickens, fighting chickens. Mr Kawakami. Thank you, Chair COUNCIL MEETING - 13 - March 17, 2010 Chair Asing: Thank you. With that, can we have the next speaker Thank you very much, appreciate it. ROB ABREW Aloha, councilmembers. My name is Rob Abrew for the record. What I'd like to do is address communication C 2010-65 And this communication, it's. the communication from the mayor for the consideration and confirmation of the following appointments to various boards and commissions. In the communication signed by the mayor, he has two people. I have an iss. or after reviewing one of the applications for the Liquor Control Commission, I have an issue with our charter pertaining to Article 16 of the Liquor Control Commission. Section 16.03 Disqualifications of Liquor Control Commissioners: No person shall be a member of the Liquor Control Commission who is or becomes engaged or is directly or indirectly interested in any business for the manufacture or sale of liquor This provision shall be enforced by the mayor by the removal of the disqualified member whenever such disqualifications shall appear After reviewing the application for this, I believe her occup. the occupation of this applicant sent to the mayor would disqualify this person for appointment and since this application's dated 3/1/10 and this date in this memo or the communication is dated March 5, my question to the council is how did this person be sent to this commission when this issue came about when this per when this. when this application was submitted? Mr Furfaro: First of all, Rob, I believe you are right. I think we need to send a communication back to John Isobe on Section 16.04 and secondly, I do not think we have gotten to the point, the body, to actually do the interview, but I think your point is well taken, and we should send that communication to the mayor Chair Asing: Thank you. Mr Abrew• Thank you. Chair Asing: Is there anyone else? If not, I'd like to call the meeting back to order There being no one else wishing to speak on this matter, the meeting was called back to order, and proceeded as follows: Chair Asing: With that. yes, all those in favor say, aye. The motion to receive C 2010-62, C 2010-63, C 2010-64, C 2010-65, and C 2010-66 for the record was then put, and unanimously carried. Chair Asing: Next item please. Mr Nakamura. Excuse me, on the top of page 3, next communication is communication C 2010-67 C 2010-67 Communication (3/10/2010) from Councilmembers Bynum and Kawahara, requesting agenda time to discuss televising the Council's Budget proceedings for FY 2010-2011. Chair Asing: Okay, can I have a motion to receive first? COUNCIL MEETING -14- March 17, 2010 Mr Kaneshiro moved to receive C 2010-67 for the record, seconded by Mr Furfaro. Chair Asing: Thank you. With that, discussion. Councilmember Bynum. Mr Bynum. Yeah, I. I think the Finance Department's here to answer some questions about budgeting, but for the last three years I've requested that the budget hearings that we hold annually be broadcast for H6'ike. My personal view is that when this body is called into order that that should be documented and broadcasted for the public's involvement in our democratic process, particularly our budget hearings which to me are a fascinating period of time where the departments come up, the administration presents the budget of this year, around $146 million of taxpayers' money and how we're going to expend that money The first time I went through budget, you know, my reaction was I was really impressed with our government overall, that we have a bunch of very diligent people that work really hard that I have a lot of faith in, and going through the budget process was fascinating because I got to meet those individuals, understand what their goals and objectives were, and how hard our county workers work on behalf of the citizens of Kauai. Certainly during that process we have discussion and debate about priorities, about how we collect revenues, about how revenues are expended, and we go department by department. I never have understood why it wasn't broadcast, and the first year I just was told, well, we just. we never have and gee, it's a lot of meetings and I don't know that people would be interested. And the next year I said. was told there were difficulties in terms of funding. So last year as we approached it, because if we look, and that's what I hope to spend some time on today, look at how much money do we spend to broadcast these and is it reasonable and do we have sufficient funds to do it. The. last year I asked for a review of the budget to see how much money we had expended in broadcast to see if what we had budgeted was adequate, and when I made the request, along with Councilmember Kawahara, to broadcast, Ho`ike had said that logistically if they were asked they could provide the broadcast and. and our budget at the time had not been expended. Now in previous years we've actually gone over budget on broadcasting largely because the meetings were very lengthy Both before I was on the council and in my first term we frequently had meetings that went late into the evening. So last year there were sufficient funds, but we only broadcasted a small portion of the budget hearings. This year staff said, do you want me to look at the budget and I said, hey, you know what, no need because I know what we set aside for broadcast and I know that this council in this term has been very efficient in their business and many of our meetings have ended during the working day We actually had a meeting that ended at 1030 a.m. a couple of weeks ago. So I really wasn't concerned about the budget being an issue because, you know, on the face of it it looked like we hadn't expended it. We did receive a memo from the administration, however, that said basically all of the funds were obligated and were ongoing. So we can get into details, but if you look at our budget over the last couple of years and I believe I have this accurate and if not, I'm sure I will get corrected here today We. at one point we were putting aside about $150,000 to broadcast planning and all of the things that we broadcast over the year, and in 2007 I believe we went over budget 15. So subsequent budgets were about 175. So this year and that's in previous budget narratives, kind of the breakdown, it's 175 for this purpose, one seven.. you know, so much for this purpose. This year, in the first three quarters of the year, we expended about $67,000 on broadcasting, way below what we have done in previous years, and certainly as we went through budget last year, I thought we had a 175 potential pool. So at that rate, we were going to have 75,000 extra dollars at the end of the year I like it COUNCIL MEETING - 15 - March 17, 2010 when we have extra dollars. I like it when we keep our expenses low Something different happened this year, though, in that we've been anticipating streaming video being a portion of our cost or a new service for we've anticipated for a number of years that like other counties we would have our broadcast of our meetings happen live on the Internet and also archive those in a way that citizens could go after the meeting and see just the portion of the meeting that they were interested in. That's a great service. I've been hoping it would come on-line and like a lot of things in the county, it's taken some time. What happened this year was because our expenditures were way below and we are, I'm told, going to institute this streaming video in May around May of this year, we obligated funds from that account to pay for next year's services. I don't believe that has happened before and I'm not objecting to that happening, but you know, that leaves us in a situation where funds are allocated for next year's services out of this year's budget. We haven't done that before and I don't think that when we've spent a lot less money on broadcast that that should be an obstacle to us broadcasting the budget hearings which has been a request that's not been made only by myself but many community members over the last three years. So I know that was kind of convoluted, but basically I think we had plenty of money, but we obligated for a different purpose, and so I would like to hear from finance what options we would have to find funds. What if the county council had said. had gone long and we had expended those funds, they wouldn't be available to pay for streaming video for next year What would have occurred? Chair Asing: Councilmember Furfaro? Mr Furfaro: Yes, you know, I. I have a little bit different take on Mr Bynum's comments and government process, which is often slow, as you pointed out. But first of all that many of the. yourself and many of the community members have requested this web streaming, I want to point out that many members of this council have made that request as well, and I think that needs to be said, that that is the desire of this council. I think in fact it goes back to at least two years. In government, you have a situation where you reference as earmarking the funds and the reality is this council cannot approve funds for future years without encumbering them. You have to actually encumber them and say that the money is there. And so I believe what happened and perhaps finance and Mr Isobe can give me some clarification on this, we had budgeted enough money to begin web streaming this year There is a bid and procurement process that, I believe and I would hope I get some confirmation on this, took a lot longer to develop the specs as well as the bid process. There may have been some issues as to the winning bid and comparing standard specifications and so forth that delayed this. But the funds we used, if we had moved quicker in that procurement process, we would have had web streaming now, not next year, but now That was the intent. And unfortunately, we encumbered those funds which only left us this small balance for the balance of this year, and so we have. you know, we only have that money to work with since we had intended earlier to go web stream for live broadcasting. I believe that is still the intent. I don't know the exact number that we encumbered. I believe it might have been between $75,000 and $100,000 But we can only work the rest of the year with the balance. And yet, are there other solutions? I saw another solution in the Garden Island that, you know, maybe we should take them up on their offer during these difficult times. It says, if the county is not willing to ante up, so, first of all I want to clarify It's not that we're not willing to ante up We had the intent, we had the budget, the funds were COUNCIL MEETING - 16 - March 17, 2010 encumbered, and there were difficulties through processing. That the media will do the best they can to make the coverage in the daily paper, but also by way of streaming the meeting, they would stream the meetings for us live at www.gardenisland.com. And you know, if that's a sincere offer, I would certainly appreciate the offer to be brought to the table in writing so that the council could act on it. We will definitely provide you the access space and the facilities you need here in the room to do that because we are certainly willing to do that. But the procedure prevents us from touching those funds that were encumbered and the procedure does not allow us to actually, you know, make some decisions here about cutting out other commissions and so forth during these economic times. But this was a very nice offer I think we ought to take them up on it. I. that. that's where I'm at and I do want to point out that there was a process we have to follow This council wants to go web stream live. It is in the works. There are challenges and hurdles that we have no control of by other procurement laws and so forth, and so that should be part of the dialogue as well. But if this is an offer, you know, certainly put it in writing. I'd certainly be willing to act on it, take them up on it. Chair Asing: Thank you. Councilmember Kaneshiro. Mr Kaneshiro: Yeah, thank you for that, Mr Furfaro. The other point I wanted to make is that there is a process as we go through, you know, these discussions and I want to point out to you that with last week's meeting I know we were totally out of order and even the attorney stepped in and specifically stated that. But, you know, there is a process. Mr Bynum talked to me about this and thereafter, I sent a communication dated February 25 from me to Mr Isobe to, you know, get the remaining balance and other services accounts and so forth about the amount of money that was available so we can have some discussions. Unfortunately, you know, it fell into some discussions last week and unfortunately, you know, we had great journalism from the Garden Island newspaper where it says, lights out, when lights weren't even on. In all my years since 1982 I've been participating in the government process, the budget process was never ever, you know, videoed. We used to conduct our budget process in the Civil Defense building downstairs and have the administration and their department heads come up to us and discuss positions. They were here with us discussing positions, salary wages and so forth. So, you know, when the Garden Island puts up on the headline, lights out, you know, I don't believe that's good journalism because the lights was never on anyway So, before we can even turn the lights off, make sure it's on. So, I just wanted to point that out and. and worst of all for me is that, you know, for the Garden Island to start reporting on things like this when I specifically stated and the attorney specifically stated that we were totally out of order for discussion, you know, really confuses me. But, you know, that's the paper, they can write anything they want, I guess, and people can believe what it is. But I. I wanted to make a point that there was a process. The process first was he came to me as the finance chair, talked to me about it, I therefore sent the communication or memorandum over to the administration. We received the answer from the administration on the 5th and we had some discussions about putting this on the agenda, which is on today's agenda, and I would appreciate that if that's the fact, that's the request that my members are making to me, that committee members are making to me, I appreciate the respect that if we're out of agenda, we're totally out of agenda, I made the commitment we're going to have this on the communication in a future council meeting, I hope that we will all respect that and it's all about parliamentary procedure. I just wanted to point that out now And you know for me, my point is okay, we've talked about streamlining, we've all seen that, it's been on the budget, I COUNCIL MEETING - 17 - March 17, 2010 have it here right in front of me, page S of the budget of last year- H6'ike Television video streaming $200,000 appropriated to it. It's been ongoing for a year and a half. The administration has made an attempt to do stream. streaming or video streaming like we've discussed and all the councilmembers had agreed upon. They had a committee set up. The committee has recognized a vendor to do it. Money was allocated, I would say, or encumbered to do it. Before we can get into a contract to do it, the money has to be encumbered. Now if it's the wish of the council again, perhaps to take it away, well let's have that discussion on the floor, you know But it's unfortunate for us that we have poor journalism writing about what they feel is proper Poor journalism that's saying that okay, they would streamline it for us. well, fine, go ahead and do it. I mean we would welcome them to do it. And to me, you know, poor journalism, they should be looking at. should even come out with a survey, would you want to have budget discussions with department heads videoed and spend money through H6'ike Television or would you rather see us furlough more people. Why don't we do a survey as such, you know? And I think it would be appropriate and you know, now we're talking about even grounds and that's the decision we're here facing, that's the decision we're here making. We just don't go take money from here and take money from there and throw it there, you know So, I. there's a process and I just needed to vent this out today because last week I couldn't do it. I said that we're out of order Today, I think I'm on order and it's my opportunity to, as the Budget & Finance Chair, who's really trying to keep the budget and finance of the county trim and slim and make it work for everyone, you know, has the time to discuss this, so. Chair Asing: Thank you. Councilmember Kawakami. Mr Kawakami. Thank you, chair Information is the currency of democracy, Thomas Jefferson said that. And the concept of bringing information to the people is a concept I can support. But with every action that we take, there's a. there's a. there's an equal reaction. So the questions that I have is just how much is it going to cost, yeah, and is the. are we willing to set concrete parameters on this cost where we allocate a certain dollar amount and if we go over that's it. Are we willing to do that? And thirdly, where do we. where do we get the money most importantly? I mean and it's. .it's out on the streets that, you know, the county is potentially, yeah, potentially looking at two-day a month furloughs, potentially looking at two-day a month furloughs. And I want everybody to take into effect what. what that really means for some people For some people with maybe a spouse working in the state, that's both of them getting furloughed. If you have both of the family members working in the county, that's. that's you know, that compounds the unintended consequence of it. So information is the currency of democracy It's about bringing information to the people So the concept is there, but like I said, I want answers as to how much is it going to cost. Are we willing to set concrete parameters on this cost and where do we get the money? And I truly believe that if we're going to generate, yeah, if we're going to generate from our side the need to expend more money, we should look within our own budgets first as to where we're going to make the cuts and that means looking at our auto allowance and that means looking at our travel budget, okay If we want to put money towards something else, let's look where we can cut ourselves too, okay? Mahalo Chair Asing: Thank you. Councilmember Bynum. Mr Bynum. I don't want to confuse this too much and I think we have finance here that can answer these questions, but I want to point to the fiscal year 2009 budget. I've been through three budgets already I understand how it works. The narrative for the budget says total. estimated current H6'ike COUNCIL MEETING -18- March 17, 2010 cost for film crew, edit production cost $175,000; equipment, maintenance, streaming video $10,000; streaming media services provider annual license fees $35,000; note. the FY'07 budget $150,000 exceeded by an estimated $15,000 due to overtime runs with council and planning commission. So, in '07 we had $150,000 set aside for broadcast. They went over, so they increased that amount to $175,000. I'm asking finance to say what did we spend over the last three fiscal years, what did we budget, and what was our expenditures. We had $175,000 set aside for broadcast this year in my view of this. what this budget was intended for We have currently spent $67,000 of that in three quarters. So if we stayed on that pace, we would spend roughly $100,000 That would leave $75,000, which we have already budgeted for broadcast in this fiscal year The cost, we know from the memo, to broadcast the budget hearings is $17,000 roughly, okay There should have been plenty of money in that account this year that was designated for broadcast. However, because we're instituting streaming video, which is a good thing, I believe the administration looked and said, geez, look, we're not spending all this money, we don't have to send up a separate money bill for this streaming, we have that money available and they encumbered it for video streaming which will go into next year We never have used this budget item, that I'm aware of, to fund beyond the current fiscal year So, video streaming's a good thing, but we have been spending much less on broadcasting than we had. So it's really about priorities. What do we want to put before the public. You know, we. and I'm not complaining about this, but we probably spend 50 hours outside of meeting a year broadcasting certificates and recognizing people in the community I think that's a good thing. I think that's a good thing for us to spend money on. But I also believe that the budget hearings, where we make decisions that impact every taxpayer, are a critical and important part that also should be broadcast. We had sufficient funds to do that. We shouldn't not do that because we have funded video streaming in advance for next year So, I'd like the administration to tell us what did we spend over the last three fiscal years for broadcast and what have we spent this year Chair Asng: You want the administration up? Mr Bynum. I'd like them. Chair Asing: Okay, Wally? Mr Furfaro: Mr Chair Chair Asing: Yes. Mr Furfaro: before they do, I do want to point out again that my comment was what we spent, there is also this accounting activity that talks about encumbering, we've encumbered. So that has to be part out of what we spent. And the other thing, I sincerely want to thank the Garden Island for that statement in the editorial and. I mean they want transparency I think they do a good job in reporting the council, but on behalf of transparency for the community and their role in the community, I thought it was a very nice offer There being no objection, the rules were suspended. Chair Asing: Good morning, Wally WALLACE REZENTES, JR., Director of Finance. Good morning, councilmembers, Wallace Rezentes, Jr., Director of Finance. I think we're passing and having passed out the request made by Councilmember Bynum on historical COUNCIL MEETING -19- March 17, 2010 costs for video production. It lays out what the actual, you know, budget and actual expenditures have been over the last. from fiscal year '06 through fiscal year '09 You know, I just. you know, there is some notes relative to the columns. The bottom line, though, is the amount expended annually is largely predicated on the number of hours, the council meetings, planning commission meetings, police commission meetings, etc., you know, how many hours are expended for the service. The longer the council meetings are, planning commission meetings are, the greater the ultimate cost to the county But, you know, past years compared to this year is pretty much an apples to oranges comparison because the type of contract we're about to enter into is different than. and the scope was different than in past years because of the video streaming aspects to it, and obviously we're getting, you know, fresh bid numbers in this fiscal year And I agree with what Vice Chair Furfaro had stated that we are required to do an encumbrance before we go out to bid. We estimate how much the annual cost of the service is annually We do the encumbrance and that allows our purchasing division to go out and procure the services. So, we encumber the estimated quan. the amount of funds prior to going out to bid and that's a requirement that we have. If you look at what I passed out to you, the. if you look at the balance column, you know, everything above the $3,124, you know, all the balance left over, those moneys are not available. They lapse, you know, at the end of each fiscal year So, those are what went, you know, unexpended. Right now, in the current budget we actually lowered the amount of the budget allocation because we had information that our cost would likely go down with the way we've. we were intending to bid in our discussions with potential bidders. You know, we were. we believed that our , the cost of the service that was going to be let would go down, so we accordingly reduced the budget allocation for the current fiscal year, and Vice Chair Furfaro, you're correct that we did have some procurement challenges. We had, I believe, at least two bidders that formally protested the bid and we took, you know, more time, obviously, to work through those procurement matters and finally we were able to award a contract and right now we're in the process of having, you know, the contract document signed by all parties, so. Mr Furfaro: Wally, could. if I could, is this procurement issue, is that. does that make up a large portion of why we're not video streaming now? Mr Rezentes: Correct. Even if we didn't have, obviously, a procurement issue, we would have likely entered into the video streaming portion of the contract earlier and, you know, we would have saved, you know, some money as well. But you know, it is what it is. We're trying to work through the process as expeditiously as possible and you know, I believe. and Mr Isobe can speak, I think, more fluently, I believe that we're hoping to transition in May Basically, though, you know, if you look at the fiscal year 2010 line item, the $130,000 is the encumbrance for the contract that, you know, we are hopefully going to be all signing, you know, in the next couple of weeks and we're hoping to have the notice to proceed somewhere in the month, hopefully in the month of May With that encumbrance in place, the balance right now is $3,124.88. Mr Furfaro: Wally, may I ask, all the previous years, is the full calendar fiscal year that you documented there within this number for 2010? I know we're on a cash accounting system, but are there any accruals in there for the remainder of the year or is that just the actual? Mr Rezentes: No, that's just the actual. Mr Furfaro: That's just the actual year-to-date. i COUNCIL MEETING -20- March 17, 2010 Mr Rezentes: I believe we're still. .1 think we're about a month behind. Well, we haven't. I think we haven't received the March. February and March I don't think has been paid yet this current year Mr Furfaro: Okay, but you have. you have no estimated accruals in there. Mr Rezentes: No. Mr Furfaro: that indicate what would cover us for the rest of the year Mr Rezentes: No Mr Furfaro: Okay Chair Asing: Go ahead, Councilmember Kawahara. Ms. Kawahara. Thank you, thank you, Chair I'm glad to see you here, Wally, thank you so much. I do want to thank Councilmember Kaneshiro for submitting our request and then getting the response. And we're actually right where we should be in the process because the response came back about why we won't. the response was that we will only be able to televise a portion of the proc. budget process due to financial constraints of the county's appropriation and allocation for Ho`ike. So when this came back across the road from the administration, we asked to put this on the agenda so that we could find out exactly how it is that the moneys were being encumbered and for what purposes and here we are. today is to discuss how those were encumbered and maybe figure out a way that we can do both the video streaming because what the. what I'm hearing is that from. we're going to start trying to do video streaming in May Was it going to be. or March. May, end of. was it going to be the end of May? Mr Rezentes: I'm not sure, hopefully beginning. Ms. Kawahara. Okay, okay Mr Rezentes: Hopefully April, but no, the best guess right now (inaudible) May Ms. Kawahara. The best guess would be the beginning. So the fiscal year actually ends in June. I think most of us know that and I definitely want the video streaming. What I was curious about is when I do my encumbering, my purchase orders and my requisitions at the library, we do an encumbrance, but we only actually expend per invoice. So my question would be instead of encumbering the entire amount, which you have done, so you've said that that's what you want to do so we know that it's preserved on the side. But are you able to actually encumber just the last two months of this fiscal year as would be normal because as you stated it is unusual for in the past that we've done it on a fiscal year basis, yes? Mr Rezentes: I mean, what do you mean? Ms. Kawahara. Is that. we've done. COUNCIL MEETING -21- March 17, 2010 Mr Rezentes: You mean just the contract effective July 1. Oh yeah, I mean that's very unusual. Ms. Kawahara. Yeah, so this contract's a little bit different because we're not doing it on a fiscal year basis, we're starting it in May which is just a couple months before June. Mr Rezentes: This contract is more the norm. Ms. Kawahara. More the norm. Mr Rezentes: Yeah. Ms. Kawahara. Okay, so we're going to be. so. Mr Rezentes: I mean because usually most contracts don't start on July 1. Some start somewhere in the fiscal year period, whether it's, you know, August or February or whatever Ms. Kawahara. Okay, but it's a departure from 2006, 2007, 2008 and 2009 the contract that we're going to be getting into for Mr Rezentes: 1. no, I don't. I don't think so. I don't think so. We've. we've had. we've had the contracts. they estimate roughly how much it'll cost every year and they make the encumbrances accordingly But normally when we go out to bid, you know, we. we're required again to encumber what we estimate the cost would be over the. if the contract is for a year say, we make sure that we funds. the departments have funds available before we go out to procure so we know we have the moneys available to pay the contractor and we make that commitment, you know, to the contractor that we have funds set aside for what you bid for and you know, we're standing good on that amount. that estimated amount. Ms. Kawahara. So, the estimated amount, I understand. From 2006, 2007, 2008, and 2009, when they when you had the bid, did you get an estimated amount from July 1 to June 30 Mr Rezentes: I believe so. I believe so. Ms. Kawahara. So, so, so that is a fiscal year for those years. That is what the in. that's what the bid was, that's what you requested the bid for So that's a regular fiscal year But in this case, we're doing May Mr Rezentes: Correct. Ms. Kawahara. Right? Because previously you were doing July 1 to. Mr Rezentes: We went out. we...we probably encumbered the money I don't have the information here. We probably encumbered it a lot.. a lot earlier because we went out to bid, you know, a number of months ago So, I'm not exactly sure if it was February, January, whatever when we went up when it went out to bid. Ms. Kawahara. For this one? For two thousand. ? COUNCIL MEETING -22- March 17, 2010 Mr Rezentes: For the current. for the current. the contract that we hope to sign, yeah. Ms. Kawahara. For , okay, for the one coming up Mr Rezentes: Right. Ms. Kawahara. Okay, so my question is obviously there's. the administration decided to use the $130,000 that was in this account to go towards video streaming. Now, could you tell me what the different. what in our two- month period of that service that you have. are considering signing up for, how much would the two-month period cost from May to June? Mr Rezentes: I would. I would have to ask the department. I would imagine you take the hun. the amount of the encumbrance and multiply that 2/12, you know Ms. Kawahara. So there's not a start-up fee or something included in the $130,000? Mr Rezentes: I don't have that information, I'm not sure exactly It. there may have been some up-front cost initially, but I'm not aware of it. Ms. Kawahara. Okay, so my question would be to you is obviously it's going to be less than the $132,098, so if somebody would help me with the math, divide $132,093 divided by 12. Mr Furfaro: It's about $20,000 for every two-month increment. Ms. Kawahara. Thank you, you're so good. Thank you very much. So, if we instead encumbered May-June for the $20,000 and then encumber the last of it July-June of the next year, could we not afford it to do it this year? And I. I. because when I do purchase orders and requisitions and I work with my department in DAGS or by ASB, we know there's a general encumbrance, but we also know that we're only going to be using a certain amount and I've. in my situation, there's been points where we've decided to change the encumbrance, take it down so that that funds can be used for something else. So, is that possible here? Mr Rezentes: Well, I think the. I would think I would want to have that, you know, discussion with our procurement guys first. I'm not sure what.. what's the specific standard and I would imagine, you know, if I was. maybe not in this case, but if I was the vendor and I would be asked now to have the contract changed and recertified for allowing them only say, if it starts in May, two months versus a 12-month certification, you know I'm not sure, you know, if some vendors may have pause with that, some may not, but you know, ultimately, they are aware how much and it's part of the contract. Ms. Kawahara. Right. Mr Rezentes: how much we set aside, how much we're willing to fund and I'm not sure what their what their concern or feel would be. Ms. Kawahara. So my ideal would be. COUNCIL MEETING -23- March 17, 2010 Mr Rezentes: Because ultimately, you know, if you do that, say and it probably is not the case with this particular contract, but if you do that and then there's a change of heart in decision making on the council's side to not fund the remaining 10 months come July 1, you know, what do you tell the contractor? Ms. Kawahara. Well, actually that money I was thinking you would have two purchase orders and you would submit the two purchase orders to the vendor.. Mr Rezentes: No, no, no, what I mean is. what I mean. no, no, no. You didn't understand me. What I meant was and again, this is probably not the case here in this instance, but you could be in a situation where if we only allocate only two months of funding certification for the contract and we don't allocate ten months, the future ten months of funding because in decision making it was decided that we're not going to fund it, then you know, you're in a situation where you went out to bid, you procured the services for a year, but you only have funding available for two months and not the remaining ten. So, I'm not sure how contractors in general would feel, but you know, the commitment that we make going into the contract is we're committing, you know, funding for the services for a whole 12 months. Ms. Kawahara. Right, yeah, and I'm glad you're here because this is just exactly what I wanted to discuss and find out. So, again, from my experience when I have a purchase order and whether it's one purchase order or two purchase orders, they are all going to be honored, and they have to be honored because it's a purchase order and it's written on the account of the state or whatever, the county So if I'm asking for two purchase orders, one for the last two months of this year and then the last. and the ten months of the beginning of next year Mr Rezentes: But you cannot commit. I mean, legally you cannot commit even in your current job You can't. you cannot require, in your case, the legislature to appropriate funds the future year It's in their hands to decide what moneys get appropriated. Ms. Kawahara. Right, but. Mr Rezentes: So you cannot commit on the purchase. your future purchase order, yeah, because you don't know what ultimately your funding allocation would be in the ensuing fiscal year Ms. Kawahara. Okay, so you wouldn't be able. so, you're going to check, though, to see if there's a way to encumber part of it just for that two months of the last part of the fiscal year because it's unusual because we had been doing it for the fiscal year for the previous four years. Mr Rezentes: Major almost. pretty much every contract that is let on an annual basis does not start on July 1, okay Ms. Kawahara. But these did, right? Mr Rezentes: No, no, the current contract, the current contract. Ms. Kawahara. Yeah but 2006. COUNCIL MEETING -24- March 17, 2010 Mr Rezentes; Every contract. every contract that we've. we normally enter into starts some time beyond July 1, yeah. And if it's an annual contract, you know, the. we secure funds for the annual estimated amount. So, I mean, it's. it's more the norm that we do it the way we do it. And we're. we're again required to encumber the moneys that we anticipate using over the course of the contract. Ms. Kawahara. Okay, so when you say you're encumbering the money, you can't promise to encumber the money on the beginning of another fiscal year, but in this case, you're encumbering the money through. Mr Rezentes: I. I would only have the authority for moneys in this current fiscal year I cannot. I cannot formally commit future funds unless the council gives an ordinance approval of a multi-year contract. You know, then I can make the commitment. Everything else is, we use the quote "subject to the availability," you know, "and appropriation." Ms. Kawahara. Okay, so. multi-year contract would fix it. Mr Furfaro• Which requires an ordinance. Ms. Kawahara. Okay, okay So. okay, so I'm.. I think I have my answers. I feel it's appropriate to say that it's sunshine week this week in government where people. it's a reminder to. to be. to endorse and have awareness of public access to information in government. So, I think this is a really good discussion. I do wonder do you know when that you actually encumbered that $130,000 Mr Rezentes: I said I didn't earlier Ms. Kawahara. Oh, you didn't, okay I was just curious. Mr Rezentes: I can get that information. It's easy to get. Ms. Kawahara. Okay Mr Rezentes: But my guess, it's probably a number of months ago because we would have had to have done it before we started the procurement process. So, it would. I would imagine it would have been a bunch of months ago. a lot of months ago. a bunch of months. Ms. Kawahara. Okay, because we put our request in on the 24th, so I'm glad to see that we've gotten to this point. I do wonder about what is the process for expending things for in the budget that in the past have been spent in a different way? I mean does that.. the administration have the ability to decide and not have to come back to the council on how to expend a certain amount if it's in one account instead of separate line accounts. Mr Rezentes: Yeah, the departments have authority to, from within its budget, to reposition moneys along line items, transfer funds from one line item in their budget to a different line item in their budget. The departments have that. Obviously what that would mean is, you know, sacrificing whatever they took from. For example if you wanted to take it from salaries, you could do that, but you may be short funding the salary fund. salary account for future expenditures in the year COUNCIL MEETING -25- March 17, 2010 Ms. Kawahara. Oh, I thought you couldn't. well, I thought salaries were totally separate. Mr Rezentes: Well, I'm just saying as an example Maybe that's the wrong example. Ms. Kawahara. Yeah, you can't touch those. Mr. Rezentes: You can, you can, it's. by law we can. It's just our Cost Control Commission has asked us not to. But say from travel or training to video streaming line item, I'm not sure exactly what it's called, but you know, those transfers can be made, but obviously you're sacrificing whatever you're pulling it from. But you're right, you can do that from within a department. You can't. I can't say I cannot use say like finance department money and pay for you know a housing expenditure say, because it's not within the budget. Ms. Kawahara. Okay and I think maybe the confusion is because this is a single item in the budget this year So, I'm. we're coming up on the budget and I hope I'm not going off topic that these are going to be line items next time so that we won't be confused about where money will be expended, whether it's going to be video streaming or H6'ike (inaudible) Mr Rezentes: It. there's no confusion there. I mean we know the line item is there. It's. Ms. Kawahara. It's a single. it's a single item. Mr Rezentes: Yeah, it's not a problem. The. the. whether the source of the money the line item is not a problem at all. Ms. Kawahara. Well. Mr Rezentes: You know, we gotta. we have to make sure that, you know, it's a guess every year how much money we need. It's. it s predicated on how long meetings last, you know Ms. Kawahara. Right. Mr Rezentes: And in the past, you know, they there's been a lot more expenditures out of these line items than. than other years. But we try to make the best estimate we can and go forward. Ms. Kawahara. Okay, okay, but I do. I do think we would be able to avoid this by saying for each commission, each cou. each commission or the county council have a. a separate line because as a county councilmember, I was. it was confusing because I knew that we would have the same amount of. that we had over last year before. before I knew that this $130,000 was kicking in. So, if we had known that, it's something that we can. it's something that we can separate out at the beginning so we know what exactly we're expending the moneys for Mr Rezentes: And I believe there are some.. I think there are some other counties that budget separate and they may even contract separate. You know COUNCIL MEETING -26- March 17, 2010 Ms. Kawahara. But I know about contracting and procuring, and we probably have to do it through you, but there is a mechanism for different accounts. Mr Rezentes: Yeah, yeah. Ms. Kawahara. Through you. Mr Rezentes: I mean we could pull it where every different departments have respective line items. We could do that. Ms. Kawahara. Okay, okay, thank you, Chair Chair Asing: Okay, Councilmember Bynum, you know we have about three minutes before caption break, you want to finish it up? Mr Bynum. I'll try Chair Asing: Go ahead. Mr Bynum. I wish we could put this chart up on the screen, Wally, because this is what I asked you for and I think this is getting unusually confusing and it doesn't need to be. In the past, encumbrances out of this account for four years in a row was $738.03. You know what that seven-hundred. Mr Rezentes: That's. that's a clean-up item that we gotta take out. We just gotta. we gotta lapse that amount. It's the same amount. It just hasn't been zeroed out. Mr Bynum. Right, so for the last four years prior to this year, the expenditures were for the monthly broadcast. We paid monthly invoices depending on the number of hours, correct? Mr Rezentes: Correct. Mr Bynum. Okay, and so. and you're right, it varies widely, from $75,000 in FY '07 to $219,000 in FY '08 based on the length of the meetings, right? Mr Rezentes: Yes. Mr Bynum. Yes, okay, so in any other year, I mean we had balance. over the last three years we had a balance of one-twenty-four, one-sixty- five, forty-four thousand, okay This year is different. This year we encumbered $130,000 for services that will mostly be provided next year I'm not objecting to that because it's a great improvement in the service for the public and actually I understand we're getting a. technology is going to give us a better price, right? So we're saving money But if we hadn't encumbered that $130,000, which is unusual, our current balance wouldn't be $3,000; it would be $133,000, more than sufficient to broadcast the items. So there's no problem with us moving to streaming video, but it shouldn't be at the expense of broadcasting the budget hearings because Councilmember Kaneshiro's correct. The light has not been on. We've never broadcasted the budget hearings before. What I've asked for three years is that we start doing that. I don't know why we wouldn't broadcast every meeting that this body holds because we have people who rely on it. Not everybody has the Internet, COUNCIL MEETING -27- March 17, 2010 not everybody has. you know, can come down here during budget hearings, but we want everybody to be able to have the opportunity to participate in government. So, this is an unusual year that we encumbered $130,000 This chart tells the story, right? If we hadn't done that, we'd have the biggest surplus. ever Well, no, we'd have plenty surplus. So, there's lots of ways we can come up with $17,000 to broadcast. You could and is that correct? There's lots of. I mean if. what if the council would have had long meetings all year That $130,000 wouldn't have been available for you to encumber, would it? Mr Rezentes: Correct. Mr Bynum. Okay, so, I'm glad. Mr Rezentes: We would have probably if we didn't have enough money to go out to bid, we would have had to come up and ask for a money bill appropriation... Mr Bynum. The normal process. Mr Rezentes: To get the estimated amount. Mr Bynum. Stuff we do all of the time. Mr Rezentes: Right. Mr Bynum. We have an expense. You come to council and say, we need to fund this expense. Mr Rezentes: Correct. Mr Bynum. In this instance we didn't do it because this council has largely, and maybe other commissions too, haven't used that much time this year We have the slowest expenditures ever and I think that has a lot to do with our county council working pretty efficiently So, I mean the point is we would have had $133,000, that's more than sufficient to cover the broadcast. You know, we should broadcast, in my opinion, the budget hearings and we still should. If the council decides to broadcast those hearings, how could you handle that situation? Mr Rezentes: How could I handle it? We would have to look within the mayor's office and look at reprioritizing cost within the mayor's department, mayor's office to add moneys for the council meetings. Mr Bynum. Could you unencumber the $130,000 and come back with a money bill? Mr Rezentes: I think I said that's a possibility If I do a money bill it would likely be. well, I guess we could approve it, you know, by the end of this current fiscal year to make. to make the department whole. Mr Bynum. So if we choose to say that broadcasting the budget hearings is important, there are ways to do that, correct? Mr Rezentes: Sure, sure. I mean, it's council's action that will dictate, you know, what we do. COUNCIL MEETING -28- March 17, 2010 Mr Bynum. So, I hope this is clear to anybody that's watching this. We had an unusual year We encumbered funds that we normally wouldn't and you know, when it comes down to political will, if we choose to prioritize broadcasting the hearings, we can do that. Mr Rezentes: It's in. yeah, I mean, it's council's prerogative. If the council wants the. to fund the budget hearings, you know, we just need to know that that's the case and we can work on figuring out ways to do it. Mr Bynum. Thank you very much. Chair Asing: Thank you. Anything else? Yes, we're going to take the caption break, but I want to close this portion off. Mr Furfaro: Oh, okay, then I have a. Chair Asing: Yeah, go ahead, before. before you do that, I just want to stress, you know, we. we chose video streaming. That's what we did. We chose it. That's our choice. We made the choice, we encumbered the funds. That's what we did. And this council did it, you know, nobody else. Look within you. You did it, you meaning me and you, and you, and you, and you, and you, and you. We did it. That's the bottom line. We did it. Thank you. With that, any further discussion? Councilmember, go ahead. Mr Furfaro: Mr Chair, you made my point. We did it. We were committed and that's why we chose to encumber these funds. It's unfortunate for the procurement challenges we have that we're not there at this upcoming budget time, but we will be soon. Thank you. Chair Asing: Thank you. With that we're going to take the caption break. Before we take the caption break, I'm going to close off.. (inaudible). Okay, we're on caption break. Thank you. There being no objection, the meeting was recessed at 11:09 a.m. The meeting was called back to order at 11:26 a.m., and proceeded as follows: Chair Asing: The meeting is called back to order With that, Councilmember Furfaro. Mr Furfaro: Yes, thank you, Mr Chair You know, I just. I just want to give a little bit more clarity to where we're at on this and perhaps I mentioned it last week during committee and perhaps because I was reading from some numbers, people didn't under quite grasp what I was referring to. But the original pre-encumbered activity for video streaming by the entire council happened last September, okay It goes through a certification process. That certification process is when we actually say that money is now earmarked because the council is committing to video streaming and I just want to make sure, we're running about $10,000 a month in a good month... in a good month. So, we're running about $4600 for the council, police commission, planning commission followed, and of course, the mayor's message. Because we made a bold decision about encumbering and committing to video streaming for the public, no matter how you look at it, we will have to find a future money bill just to finish the business of the council, police commission, and planning for the rest of this year And that's why I mentioned in a good month we're doing about $10,000 So, depending on what Mr Rezentes goes back to tell us the $66,000 represents, if you recall I asked him that that number COUNCIL MEETING -29- March 17, 2010 did or did not represent any accruals for the rest of the year and it does not. it does not. So, we are in need of a money bill to finish all presentations in our current status for the rest of the year, but at that time we were hoping video streaming would be in place by then and therefore, we wouldn't have to look for a money bill to finish the year We still have that potential with it being in place by May Now, on top of that in this very difficult economy, we need to be conservative about moneys and therefore, when I saw the offer by the Garden Island, I certainly recognized that they wanted the transparency for the benefit of our community because they are a part of this community And if that's an option to us, before we look at a money bill, I certainly would ask them to make an offer to us to do that through their citizenship if possible. If not, even without doing something now for the budget presentation, we still are going to need a $40,000 money bill, in addition to what is estimated for the budget of another $17,000 So, as you start adding those things up, it is a large amount of money But the point I wanted to make is in September, we did commit to the pre-encumbered effort to video stream. Unfortunately, it ran into some challenges in the state, the government procurement process, that sounds like is being resolved relatively soon. And hopefully if it all works out, we will be video streaming in May Thank you for that time, Mr Chair Chair Asing: Thank you. With that, do we have anyone in the audience who wants to speak? The rules are suspended. There being no objection, the rules were suspended. GLENN MICKENS: Thank you, Kaipo, for the record Glenn Mickens. This on? BC, Videographer• Yeah. Mr Mickens: Thank you. I just want to say I agree with Tim and Lani 100% that these budget hearings should be televised and for the record. Mr Furfaro: Excuse me, Mr Mickens, did you not hear that the entire council is willing to video stream and committed to encumbering. Mr Mickens: Yeah. Mr Furfaro: I would like to point out that statement is being made because we encumbered the money before their memorandum came out. Mr Mickens: I'm agreeing with you. Mr Furfaro Thank you, sir Mr Mickens: That it. that it should be and for the record I just wanted to say that I did not say that these hearings had been televised in the past, Daryl. If you check the minutes, you'll see that. Anyway, what I wanted to talk about. what I wanted to say was I think most of you probably have read Ed Cole's article in the paper and. agreeing about. with what you're saying that maybe the Garden Island would be. go ahead and furnish the televising of these hearings. Mr Furfaro• That's a very nice, generous offer Have them put it in writing. COUNCIL MEETING -30- March 17, 2010 Mr Mickens: Right, I fully agree. But let me just read this little thing from what Mr Ed Cole, who has expertise in this field, he teaches communications over there, and he and his wife televised the hearings, as you well know, for one or two years. He says, the need for community members to have easy access, what cuts and interest (sic) for fees are being made become all the more relevant, namely the county budget meetings should be televised, etc. He. Ho`ike already receives over $400,000 annually in state mandated cable subscriber fees and capital moneys from the cable company on top of that. According to most recent IRS 990, in other words he not just talking out of the top of his head, he's (inaudible) with accountability, of the 990 forms, Hike has over $598,000 in unrestricted net assets that could be drawn upon. If in fact that's true, and I think it's your job to be. check and find out if it is, you're not going to have to furnish any budget for this thing. It's already there. I think Jay Robertson, my friend, I think who was asked the question would they televise it, he said if he got word from the mayor's office he would. Nobody expanded on it and says, well are you going to use these $598,000 funds to be able to do it. He also says the public should also know that the state regulator, the department of commerce and consumer affairs, has offered the county the authority to administer H6'ike and will even pay the county to do so. But the county remains unresponsive to this standing offer Now, you know, maybe. maybe there's doubting Thomases here, maybe you'll say, well, hey, he's got a bone to pick with Ho`ike. Maybe he has. But if what his information that he's giving here is true, that means no money out of our budget is going to have to be made obviously if it is true. If it isn't true, you know, you can say, well, kiss it off then, do exactly what you're saying, Jay You know, ask the Garden Island to go ahead and fund the thing. But anyway, I think it's incumbent on you guys to be sure that you at least check this thing out and see with. if what he's saying is in fact true. And if it is true, why isn't Ho`ike just saying, hey, we got plenty of money, go ahead and televise the thing-for what is it, $17,000 or $18,000; I don't remember the exact fund to televise it. Mr Furfaro: $17,000 Mr Mickens: $17,000 something. Mr Nakamura. Three minutes, Mr Chair Mr Mickens: So, anyway, that's my thoughts on this. Chair Asing: Thank you. Is there anyone else? Mr Mickens: Thank you, Kaipo. Mr Kaneshiro: Thank you for that. Mr Mickens: Yeah. Chair Asing: You had something? Go ahead, Dickie. Mr Chang: Thank you, Mr Chair Glenn, thank you for your testimony Let me ask you this question. Let's say for example, H6'ike has the money Mr Mickens: Right. COUNCIL MEETING - 31 - March 17, 2010 Mr Chang: Or let's say for example, we have the money Mr Mickens: Right. Mr Chang: And $17,000 was mysteriously found somewhere or granted somehow Let me ask you, how do you. how do think that this procedure is going to actually happen as far as H5`ike taping the meetings for 2 1/2 weeks in a row? Mr Mickens: Well, I think you. you know, I. I'm not sure that anybody's going to sit there for 8 hours straight each day and watch this total program. But if you can take segments that you want to see anywhere. I want to look at public works or something, I could be able to watch that. I don't know how much the total thing would cost, Dickie? Mr Chang: Okay, well, let me word it in a different way Let's just say, Monday, next week Monday we start off with public works, elderly affairs. Mr Mickens: Right. Mr Chang: Parks and Rec., and that budget meeting took 8 hours. Mr Mickens: Okay Mr Chang: And we started at 9 and we ended at approximately 5 p.m. Mr Mickens: Right. Mr Chang: Now, if H6'ike was to incredibly turn and burn and get everything captioned and it would be airing, let's say 8 or 9 o'clock that evening. By the time it airs at 2, 3, 4, 5 in the morning, most of the people will miss that. Now we get to Tuesday We get water, we get whatever the administration has at that time. That 8-hour telecast of what happened on Monday is going to change on Tuesday Consequently, nobody sees what's on the air And that's going to happen on Tuesday, that's going to happen Wednesday, that's going to happen Thursday, that's going to happen Friday So, the benefit of somebody seeing this budget process on TV is, in my opinion, not going to be very well received or seen, that's number one Number two, if you re going to go two or two-and-a-half weeks in a row eight hours, six hours, 12 hours, 4 hours, whatever it is, keeping in mind any pre- produced television segment that should have been on TV is now off TV The staffing of H5`ike, bless their heart, you're also involved with the Mayor's chat once a week, the planning commission twice a week which planning commission lasts longer than most council meetings. I think that's safe to say You also have the police commission. That doesn't even consider the fact that where are you going to get a captioner that's going to be going Monday, Tuesday, Wednesday, Thursday, Friday at $165 an hour overtime or what have you. I mean it's very interesting because I think this is a classic example of putting the cart before the horse because I don't think anybody even asked logistically, okay everybody, let's air it, let's air it, let's air it. But I think we should talk to the people that are responsible for shooting COUNCIL MEETING -32- March 17, 2010 it and then airing it to find out if it is.. I don't want to say humanly possible, but can it be done? Do you have enough camera operators? Are you available to be here every day? We don't know when. we can tell you when we're going to start, but we won't be able to tell you when you're going to end, and then you gotta turn that. So what I'm saying is that if you can turn it within two or three hours, who's going to be watching what at 2, 3, 4, 5 o'clock in the morning and then the very next day we get into the next session, they turn and burn that, who's going to watch this. that. that. that. The beauty of the council meetings, which we know when the council meetings are going to be aired, if you can catch a little bit in the morning, you can catch a little bit in the afternoon or catch a little bit in the afternoon, catch a little bit in the morning, by the time hopefully the weekend goes by or the three or five days that it's aired, you pretty much saw your council meeting. So, for myself as somebody that knows a little bit about TV, everybody out in the community wants something. This is important, that's important, that's important. But for somebody like myself, labor is also important. So whether we have the money or not, you know, if we don't have the money, we don't have the money and we can appropriate hopefully for moneys thereafter for the following year But I think in this particular budget, which everybody's interested in the budget, I haven't gone through the budget, but let me tell you what. If any department is looking for money, somebody's looking for money, let me tell you what. That's going to stick out like a red thumb because we're saying in this fiscal times, who's going to be asking for money And at that particular time, believe me, the Garden Island newspaper, you're going to know everybody's going to know before anybody gets a chance to see that broadcast on H6'ike which they'll probably not see that broadcast on Ho`ike. Now, if there's any god forsake (sic) furloughs or or we're cutting back here or cutting back there, you can bet your bottom dollar that those that are affected. people are going to know who gets affected and that news is going to come out so quick. In my opinion, it will come out a lot quicker than it would come out on H6'ike and in my opinion, people will not be able to see it on H6'ike. Mr Mickens: Well, you raise a. you raised an outstanding point. 1. I hadn't even gone into that. I think somebody brought up the point of prioritizing and whether the mayor's fireside chat or whatever you want to call it is more important than this, you know, is more important than people being able to see this budget hearing, that's going to be up to the powers that be. And you know, you raised some extremely valid points of when it's going to be televised, how long and everything. But the point I'm bringing up is it may not cost you or any of us a penny if H6'ike does have this money to be able to go ahead and televise this and again, the logistics of it will have to be, you know, looked into to find out how they would sit here for 8 hours televising these things and which part of the thing the people are going to be able to see. Mr Chang: Okay, and. and probably in fairness to, as you mentioned, the gentleman that wrote the article in the. Mr Mickens: Ed Coll, yes. Mr Chang: The gentleman that wrote the article in the. perhaps we can get a response back from Jay Robertson because I believe that he has the right to, you know, to be able to say on his end whether he has the money or not. But again the point that I'm making, whether we have the money or not, I believe we started the process before we even found out if it is possible to get it aired, and my concern is yes if they are available to get it aired. When it airs, we got 8 hours to see that. You're going to plug in holes of whoever's doing their soccer COUNCIL MEETING -33- March 17, 2010 match or a church function or anything else that's going on and we're going to jeopardize the planning commission which is extremely important, the police commission which is extremely important, and the mayor's chat which is once a week. Mr Mickens: True. Mr Chang: So that's. that's the things that I think that we. we need to look at before we're.. we're figuring out where's this money, why don't we have this, why don't we have that. It's a matter of being able to utilize the air time, that's what we're paying for, the labor and the air time, and I just don't believe people will be watching at that time. That's my opinion. Mr Mickens: Well, what you're saying about the cart before the horse, you know, I've been one of the greatest opponent of that ready, fire, aim of anybody here obviously So, what you're saying, yeah, I think it should definitely be looked at to find out prior to the. the time that they are televised that the logistics of this can be worked out. But the points you raised are, for me, are completely valid. I hadn't even thought along those lines. Mr Chang: Thank you, thank you, Chair Chair Asing: Thank you. Mr Mickens: Thank you, Kaipo. Thank you, Dickie. Chair Asing: Anne. ANNE PUNOHU (Inaudible) what a cripple, no? I need wide-angle lens now Aloha, my name is Anne Punohu. It's been a long time since I've seen you folks. I've been a little bit resting at home I have something to say about this issue. Dickie, thank you for your testimony, and Jay, thank you for I wasn't here for yours but I can thank you, but you know technically thank you, okay I have a question for you, Dickie, because I think that out of anybody at this council, you're the most expert at these kind of things and I really appreciated just hearing your expert testimony on this. In your opinion, do you feel then that two things, H6'ike may be a little bit overburdened and unable really logically to effectively get everything that they want to get to the general public in a timely manner on these budget hearings that they had to include the budget hearings and you're right, there's this timing issue and all that. Do you think that they are kind of incapable of doing it because of their schedule that they're dealing with now, it's the first part of my question. And my second part of my question to you is how do you feel about the technology and issue of citizen reporting and citizens being able to come into the public hearing and utilize their own technology personally to then place those hearings, using their own equipment at home, to put it up on say You-Tube, which is instantaneous and I believe that You-Tube actually has a transcription service. I could be wrong, but I'm just. that's why I'm asking you because you re the expert. Ustreaming and You stream and You-Tube are instantaneous services where somebody could go home immediately after the hearing and then get it up on You- Tube within an hour and it would remain on You-Tube for the entire week and would be accessible to those with Internet access. Now the problem with that is accessibility to everybody because somebody without Internet access would not be able to access those hearings. However, it's much better than not doing them at all and having nobody have any access. And in my situation, I don't have cable COUNCIL MEETING -34- March 17, 2010 television. So, putting it on Hike really actually does nothing for me because I don't have a TV But putting it on the Internet would be very, very helpful. So, those are my two questions to you. Mr Chang: If I can remember the first question, do I think that Ho`ike is incapable of. Ms. Punohu: Just. just. not incapable like they can't handle. Okay, just, you know just the schedule. Mr Chang: Okay, to my understanding, Ho`ike television has two fulltime operators, maybe a half part-time operator and if they need be, they'll throw in Jay Robertson. Jay Jay can substitute. So let's look at 3 i/2 or let's say for the record, four bodies. My point was that it wasn't that they can't do it, but they have other obligations. Ms. Punohu. That's what I meant. Mr Chang: They have other obligations which are very important obligations as we mentioned the planning commission, the police commission and of course, the mayor's chat. So, I believe that they can do it. I think they're going to be stressed out. If I had to do that work, then I would be a little nervous because you can never tell your workers when they're going to start, when they're going to end. You don't know on the backside if you have efficient captioners. I don't know if I'm paying the captioners overtime based on $165 an hour I don't know if I'm paying my camera operators.. I mean, just. we're talking budget, we're talking fiscal. Now, in relationship to do you think that the public can come in and bring their own camera and do their own You-Tube and everything else. Ms. Punohu: Citizen reporting. Mr Chang: Okay, yesterday I talked to Randy Kozerski with the Garden Island newspaper just because I wanted to find out for sure, do you realize that your viewpoint said that you were going to be not only reporting, but you're going to be streaming, and he says, yes. So I said, do you know what's involved with streaming? A little. Well, this is what I told Randy, H6'ike has four cameras over here. The four cameras, BC is here with a switcher, so he's switching to you, he's switching to me, he's got a wide shot over here, so he's got that, done. So if the Garden Island newspaper is going to come here, they need a camera here to get here, they need a camera somewhere around here to get you, so you got two cameras without a switcher Not only that, but if you don't have the sound plugged in, which is a common jack, you'll probably have to run a sound which the council clerk, I've already talked to him, that the c. you can plug in the sound so we get clear sound. But the thing about it is is that for them, because of the labor, they were thinking about setting up a table right here, putting up a tripod, doing a wide, and that would be it. Ms. Punohu. One camera. Mr Chang: And that's. that's sufficient. But in broadcast, if you wanted to do something on your own, to answer your question, I'm sure. I don't know what the rules are. but I'm sure somebody can come in with notification that they can bring in a camera. I don't watch You-Tube, I don't Twitter, Facebook, I don't do none of that stuff. COUNCIL MEETING -35- March 17, 2010 Ms. Punohu: I do, it's fun. Mr Chang: So, so what I know as far as professional or even amateur, if you're going to come around with a shaky camera, you got a bad picture or you got bad sound quality, most of the people will not tune in. They'll lose interest and they'll not tune in. So if you're. if you're asking, I don't know the rules, but if you're asking if somebody can come in with a video and then they go home and they get what they get.. Ms. Punohu. And they put it on-line. Mr Chang: to do what they do, then again, I don't know the rules, but I'm sure (inaudible) (Inaudible.) Ms. Punohu. You see. you broke it. Mr Chang: That's a classic reason why you need to know what's going on as far as sound, as far as camera and all of that other stuff is. Ms. Punohu: Because we're live. Mr Chang: So I hope I answered your question. Ms. Punohu: Okay, yes, you did. So can I make my comment now See I cheated, ha-ha. So, in my opinion, I believe that groups such as the Garden Island and we have another fantastic videographer on the island, (inaudible) who has her own equipment. She's very good. She's technologically excellent and she knows exactly how to set stuff up. One camera, although I'm no expert, I'm sure would be far than sufficient because there was only one camera at our DHS hearing and it seemed to do the job quite well. It went on-line, a lot of people saw it. So in my opinion, my humble opinion, since H6'ike is obligated in doing so much of a great service to our community and offering so much on H6'ike, this is an opportunity for the citizen reporters of the island to be able to step forward and do their part to get freedom of speech and access to as many people as possible free of charge, save the county some money and allow them the access into the building, allow the cameras in here, allow the people that have their own equipment to come in and televise, put it on You-Tube, put it on Ustream, whether it is captioned or not, is not going to be an issue because they're not dealing with procurement laws and we save money, we still get access. We access it immediately and it's a win-win for everybody Thank you. Chair Asing: Go ahead, Dickie. Mr Chang: And. and. Anne and I think the point is is that hopefully early May, we have our streaming going on here with the county, so that could save a lot of people a lot of time because for example, if you are planning or your friend wants to come to the budget hearings, I would just say, fasten your seatbelts because you're going to be here a long time. And it's a lot of dedication without getting paid to Monday, Tuesday, Wednesday, Thursday, Friday and the point again being is that we're going to start at 9 o'clock or soon thereafter and you're never going to know when you're going to get home. COUNCIL MEETING -36- March 17, 2010 Ms. Punohu. Well, we have a lot of very dedicated people on Kauai. We also have a lot of people that are extremely interested in the budget hearings, particularly this year with all of the cuts and concerns of all the individuals out there in the community, especially on county jobs and county funding issues for everybody And so this year, it's very different from past years where I've never been to a budgetary hearing because I'm with some people, huh, it sounds so boring. But this year, I think the excitement level might be a little bit raised because of the stakes that are. that are here this year, and so I think that if we're going to do it, this is the year that it needs to be done, and I think that it's an opportunity for the dedicated people out in the community to step forward, show their talents, and give to the community the best that they know how Mahalo. Chair Asing: Thank you. Mr Taylor? KEN TAYLOR. Chair and members of the council, my name is Ken Taylor First, I'd like to say thank you to the Garden Island for their offer I think it is a wonderful offer, but I really believe that the issue should be dealt with here at the council level and at the administration level. The root of democracy is transparency A number of people over the last three or four years, and I'm sure before that, have asked over and over and over again that these hearings be televised. For one reason or another, you've always elected not to bother Now, I understand some of the logistics that were raised by Dickie, but a couple years ago when I asked Jay at the television station what would be required to have live broadcast, he told me about 100 feet of cable and somebody at the county building telling him to go ahead and do it. Mr Furfaro: I don't know anything about cable and television. Is that Jay Roberts? Mr Taylor Yeah. Mr Furfaro: Not me? Mr Taylor- No. Mr Furfaro: Oh, when you said Jay Mr Taylor I'm sorry Mr Furfaro: I know nothing. Mr Taylor I'm sorry Mr Furfaro: The expert is here, okay, got it. Mr Taylor Anyway, I. I think first of all to address the logistics, if it's played live and they can adjust it a little bit to other schedules, but it makes. it makes good sense to have live broadcast period. And the money issue, and again, because this issue's been asked for for so long, there's something wrong that when. when you had the money in the budget, you go and allocate it to something else and yes, it's important to put it on the Internet, but the first thing should be live broadcast and. because more people have TVs than they do have Internet hook-ups, and so I don't disagree with it.. being on the Internet, but it should also be included as live broadcast on the TV, so that anybody in the community or most anybody in the community will be able to take part in it. COUNCIL MEETING -37- March 17 2010 The other issue is that. my understanding that you have in a savings account something in the order of $45 million that's. WILMA AKIONA, Council Services Assistant: Three minutes, Mr Chair Mr Taylor And you're always able to reach in there and. Chair Asing: Go on, finish up Mr Taylor pull a little something out for this project and that project. Here is something that s very important as far as transparency is concerned and the whole community is involved. I mean, you're spending our tax money, reach into the slush fund and pull out a few thousand dollars and take care of this issue. Thank you. Chair Asing: Thank you. Is there anyone else? Oh, go ahead, Dickie. Mr Chang: Thank you, Chair Mr Taylor, I just wanted to let you know, on Oahu, I believe, very, very soon, there's going to be a cable station that will allow Oahu to watch Kauai council meetings. I think it's going to be somehow vice versa, so the Big Island can watch Maui, Maui can watch Honolulu, we can watch the Big Island. So I believe that that station is in the works right now, so I can make a call and we can get back to you because I think that's something in the Oceanic Cable System that's going to be coming up soon. But if its not running in Honolulu right now, I believe that there's going to be a channel. I think it's going to come to Kauai also. It should be that we will be able to. to watch our respective other counties do their business. So I can get back with you if I can find out the logistics on that channel. Thank you. Mr Taylor That'd be nice, but at the same time, I think the most important thing is here and now the budget hearings be televised to the community, local community, thank you. Chair Asing: Thank you. Is there anyone else? ROLF BIEBER. Thank you, Chair, for the record Rolf Bieber Thank you so much for having this conversation, bringing it to the agenda. I'll be brief. I. the was the simplest solution, I believe, is for the administration just to bring a money bill to you and you approve it. I think it's important and I support that. Thank you. Chair Asing: Thank you. Is there anyone else If not I'd like to call the meeting back to order, and with that, Councilmember Kaneshiro There being no one else wishing to speak on this matter, the meeting was called back to order, and proceeded as follow- Mr Kaneshiro: Thank you for that, Mr Chair I just wanted to point out that the memorandum that went to all councilmembers after I got the response from the administration, and I provided some ways that we could televise, you know, part of the budget hearings, so I don't want the public to think that we're not trying to resolve some of the issues that come about and I want to specifically state this that in the response, 1. first thing I provided was that we will be COUNCIL MEETING -38- March 17, 2010 i I televising the mayor's and administration's budget overview So as the presentation is made, we will be televising that and the second part is that the public hearing on the operating and CIP budgets and the resolution establishing the real property tax rates for that will be televised. Previously this. some of these weren't televised. So. and besides that, the committee meeting to pass the budgets and real property tax resolution out to the full council will be televised, and the council meeting, if not a regularly scheduled council meeting already included to be televised, we'll have the budgets and real property tax resolution approved on second and final reading. So, I mean, we're doing it. we're. we've provided that, we've. you know, we've improved and for me, you know, as the budget & finance committee chair, if we keep dipping into that bucket, as some speakers have said, it's nice, just dip into the bucket and take whatever you need, we wouldn't have a nice bond rating as we did in the recent bond rating from Fitch, from Standards and Poor, and from the other agency that we had. from Moody's. So, I think, you know, it's important for us to realize that because as stated in the budget, when you read the mayor's budget, it specifically states that this will save three to four million dollars annually for the people of Kauai. Can you imagine if we had very poor ratings or ratings that other counties are having at this present economic times? We're trying to save the county money We're trying to not raise property taxes. We all know people are going through these hard times right now And when you refer back to exactly what we're doing through this budget process, you know, I think that we're getting the best information out to the people of Kauai and let me give my big mahalo to the Garden Island newspaper If they want to televise this, I will come out. I, as the finance chair, would write a correspondence to them requesting that with my committee. So my committee, you know, concur on that, we'll send a letter to them officially asking that. And you know, Anne made some very good points today It's about we all working together It's about all of us. If we have volunteers that could come out here and televise this, pass this out to the people of Kauai, great, you know And Mr Dickie Chang made a very good point. Logistically, how is it really going to work? You want to spend that money, you want to spend. take the money from the pot like some speakers talked about, take that money from the pot and yet, probably can't even get the message out to the people. You know, I'm. I'm shocked at this. I'm shocked that we're having this long ongoing conversation on specifically, you know, on this item. So, at this time, you know, I support the motion to receive this communication. Chair Asing: Thank you. Any further discussion? Councilmember Bynum. Mr Bynum. I didn't know this was going to take this long, but I believe that when this body gavels into session that that should be made available to the public. We have. we've had interviews this year for boards and commissions that weren't broadcast. We've had workshops that were highly informative that were not broadcast. We do choose to broadcast the certificates we do which aren't even part of our agenda, I'm not objecting to that. I think it's well worth it, you know, but when we come into session, that should be available to the public, to all of the public, including people with disabilities who need captioning. I appreciate the Garden Island wanting to fill the gap and the void, but it's what it is. It's a void in what I believe is our responsibility to engage our citizens in the governmental process. There was a great quote that Councilmember Kawakami said earlier about information is life's blood. I believe that, but getting information from the County of Kauai is extraordinarily difficult, more difficult than I believe anywhere. Things COUNCIL MEETING -39- March 17, 2010 that are, you know, was mentioned today The meetings. when we're speaking right now, there are people in the administration watching this meeting live. There. I can't think of any reason why this hasn't been a live broadcast for the last two or three years. When I hear these technical reasons, I think wait a minute, this is the 20th century, you know, we can overcome these technical reasons. You know, when we look at what was budgeted for broadcast, it was sufficient. We've already gone over that some of that got used differently this year I'm fine with that as well, but not at the expense of not having this transparency and this involvement and engagement with the community There's no reason why we can't do this. Our budget amount that we spend for open government is a miniscule part of our budget and well worth it. And so to say, oh, we can't afford this or somebody's going to be furloughed because we made these moves, I think is not accurate I don't know why it's so extraordinarily difficult to get information from government into the hands of the people, and if we had the will to do that, our council chair can just say, we're going to broadcast these meetings and it will happen, and we will find the money So, that's what I think we should do and I'm done with this for now Chair Asing: But I thought we voted and said we wanted the money to be spent for imaging. We voted. What do you. I don't know what you want. What do you want? Ms. Kawahara. Did you want a reply? Chair Asing: You got the information. You made the decision to go with that. So, I don't understand. Mr Furfaro: Mr Chair, I had my hand up before. Chair Asing: Yes, go ahead. Mr Furfaro: Councilwoman Kawahara and Mr Bynum. I just.. I just think we're doing everything we can. I think reflecting back on the actions we've done. I. I would like to say my earlier comment, if Mr Rezentes is still in the area, I think it probably behooves the council to look back at the rest of our operating budget for this year, although it's a very fluid one, we still have to solve the problem that deals with, you know, continuing forward. I want to say that and thank you for your response, Daryl, Mr Kaneshiro, on answering those inquiries. I mean you're right, we're still broadcasting and we've got a financial situation where our actual bond rating went up and I think we're.. we're very fortunate the way the council handles this. TV coverage on Maui has fallen prey to budget cuts. Boards, commissions, planning commission, there's no money, and we're doing our best. We've agreed, back in September, preliminarily, that we want to move to streaming. This council has no control whatsoever over the procurement process, but we have to abide by the state laws on purchasing. But Maui temporarily has cut their TV broadcast as it relates to budget cuts. And again, I want to say that we, perhaps, need to look at some internal opportunities because we will have a need for a money bill because we did not accrue any expenses for the remainder of the year Thank you, Mr Chair Chair Asing: Thank you. Is there any other information? Go ahead, Councilmember Chang. Mr Chang: Thank you. I actually want to just say I really believe that we may be doing, if broadcast, a little bit more harm than good because if it's only going to air for one time at an hour that we can't even tell somebody what I COUNCIL MEETING -40- March 17, 2010 that particular subject is going to be, when it's going to be, then it turns and burns, I think we're going to get complaints like why aren't we able to see what went on in the budget meeting or the parks and rec. and then it turns, and I don't think that's the way to please or to effectively give out information to the public. I do want to thank the Garden Island newspaper for stepping up and I'm sure we will get it in writing that you.. the Garden Island newspaper will be here and we'll do everything that we can to help stream this effectively As a matter of fact, we can help out with the camera, we can help out with the sounds, we can help out with the angles, but more importantly, I also talked to Hawaii Stream in advance and they are also happy to connect their link to your link. So there are other opportunities because Hawaii Stream is very well recognized here on the island of Kauai. So their link can link onto your link because a lot of people that don't have computers or if they had computers might not be able to get onto that link; however, they might be able to link up with the Hawaii Stream. So there is a lot of people behind the Garden Island newspaper's efforts and I think like all of us, we want to applaud you folks for stepping up to the plate and obviously we got that verbally through our publisher Randy Kozerski. So if we can get that in writing, I think that'll be very good news for us as a council. Thank you, Chair Chair Asing: Thank you. Councilmember Kawahara. Ms. Kawahara. Thank you, Chair I want to just say this is so Kauai when we have people that find something that is really important that they want to come out and donate their time and donate their services like Garden Island has said and some councilmembers have mentioned. It's. it's part of how this community works, about how how things get done and if something can't happen one way, then somebody will step up for another The only issue is is that this is a government responsibility I believe that we provide as much access to the information that is important to the public as possible. So, it's, to me, it's the kuleana of us and our budget and the administration and the council to. to have that commitment to providing a service such as that. When one goes into that type of mindset where it's a commitment, then obstacles of technology, of whether or not it's going to be. how it's going to be played, in what hours are things that, you know, that. that are going to get addressed, things that are important enough to do, you find a way to do it, that. that's just how it works. I don't believe that the $17,000 or whatever the difference is for the nine hours. it is. what? It's nine days, not two-and-a-half weeks, it's nine days. Seventeen thousand dollars ($17,000) is what estimate that we got it would cost is something that would change our Standard and Poor's rating? I just believe that it's one of those of things. When you make a commitment, it's a government responsibility, a social responsibility that. that's with. that is with us. And I do appreciate all the things that people have been bringing up about how they could blog it from home, put it on the You- Tube and that. that in itself is powerful. And I would suggest that you do that also. But I. I do believe that the primary responsibility would lie with our governance. So I'm hoping that we'll be able to work something out because obviously I see councilmembers here that are interested in having the thing televised and I do appreciate that council.. the chair of our budget committee has agreed to. to televise some of it, and our goal here. my goal here in requesting was trying to address that we could do things. we can do things better, we can make things more accessible and this was one way to do it. Whether or not that will happen this year is debatable, but I'm glad we had this discussion, and I'm hopeful that we'll be able to work something out in this fiscal year to be able to play the budget and I'm making my promise now to be sure that this kind of confusion about what's allocated for what specific purpose and the total amounts doesn't come up next year in the budget. When previous councilmembers say that we. we agreed to COUNCIL MEETING -41- March 17, 2010 do this, we do agree to do this and we voted on it, that's absolutely correct. And I absolutely believe in the importance of video streaming and we've been waiting for it for a long time and I want to thank administration and Mr Knudsen and his staff for getting that done because it was difficult. However, whether we signed off on it on an individual basis for a specific project, it didn't come through as specific bill, money bill for that specific contract, which is what I'm going to try to help avoid for the next budget when I was discussing with Mr Rezentes how we will be able to have specific boards, specific council funds so that we know what we have and won't be surprised at the end of a fiscal year in something unusual happening like a. like getting our video streaming. Chair Asing: Thank you. Any further discussion? Councilmember Kawakami. Mr Kawakami: Thank you, Chair Just real quick, I think in the future, you know, a suggestion is, you know, if we're going to generate an inquiry about additional services or anything else that's going to require money, we should come to the table with an idea where the money's going to come from and not just pass it on to the finance director I mean. and I think we should start practicing spending habits and. and you know, if we're going to spend money and it generates from our side of the table, then, you know, we should act like it's coming from our own pockets. So, eh, I haven't heard about where the money's going to come from, but you know what, let's look within ourselves. What about our travel allowances? Our auto allowances? There's 42 grand there, so let's start tapping there first, you know But it's easy to complain and it's easy to come out and make all these big statements, but come with a solution. Look in the budget, we got our budgets. There's all these line items. Let's start looking where we have money on our side and it's right there. We have auto allowance, travel budget. You know, if we want to generate some of our pet projects, let's hit our pocketbooks first, okay Thank you. Chair Asing: Councilmember Kaneshiro. Mr Kaneshiro: I just wanted to make a clarification on a statement that was provided, you know, because I don't want the Garden Island newspaper to take it differently because I jumped on them today and specifically probably with the way we're going and the way they're going, they'll probably come out with budget & finance chair completely doesn't want this televised. That's what I heard a speaker say I think, you know, it's a matter of plus and minuses. It's a matter of balancing the budget. It's a matter of finding the money as Mr Kawakami said. It's nice to come out with memorandums. It's nice to come out with requests. It's nice to come out with, you know, I want to do this for this community I want to do this for the people of Kauai. We all took an oath to the people of Kauai and that is what my position is. I am doing this for the people of Kauai. I am trying to run a fiscally responsible and efficient government operation here on Kauai. And when I hear speakers or someone speak for me and say that because we have councilmembers that are not interested in televising this to the community, it's totally wrong and I had to make that statement, and I hope the Garden Island newspaper picks up on that statement too and not take other speaker's comments and print that. So, with that, I'm ready to receive this (inaudible). Chair Asing: Don't count on it. Ms. Kawahara. I'm not. Ms. Kawahara. Actually I have a. COUNCIL MEETING -42- March 17, 2010 Chair Asing: I'm going to call for the question. Ms. Kawahara. question. Mr Kaneshiro: Yeah. Chair Asing: All those in favor say, aye. The motion to receive C 2010-67 for the record was then put, and unanimously carried. Chair Asing: Next item please. Mr Nakamura. On page 3 of the council's agenda, we're on communication C 2010-68. C 2010-68 Communication (02/26/2010) from the Director of Housing, requesting Council approval to apply for, receive, and expend $243,500 of Economic Development Initiative-Special Project Grant ("EDI") Funds, pursuant to the Fiscal Year 2010 Omnibus Appropriations Bill for the U.S. Department of Housing and Urban Development, to be used for the Kauai County Self-Help Housing Construction Project (Ele`ele I Luna Subdivision Phase II)- Mr Furfaro moved to approve C 2010-68, seconded by Mr Chang. Chair Asing: Any discussion? Yes, go ahead. Mr Chang: Thank you, Chair I'd like to thank the Kauai County Housing Agency In March of 2009 at the invitation of our Senator Inouye, Van at the senator's office asked for request through our economic development initiatives special project grant and that request came in for the `Ele`ele Lani I Luna subdivision phase II and we put in a request for the money and to and behold on December 23, 2009, Mr Gary Mackler with our development coordinator, development coordinator (microphone went out and moved over to use Mr Furfaro's microphone). These are the kind of things you have to prepare for, Garden Island newspaper The county of Kauai agency, basically we got the money, so I wanted to thank the housing agency for following up with our senator and the senator's office and I understand we have some self. some improvements. site improvements going on right now as we speak in `Ele`ele amongst 24 acres for the 36 units. So we want to thank you folks for being on the ball. Thank you. Thank you, Mr Chair Chair Asing: Thank you. Ms. Kawahara. Is it. Chair Asing: Any further discussion? Ms. Kawahara. Chair, is it a point of information, can I ask for? Chair Asing: Go ahead. Ms. Kawahara. I just want to be on the record that I. I'm not. I wasn't. if anybody had said or I thought Mr Kaneshiro, he. he thinks I said something that I didn't, I just wanted to clarify it. I said that I believe that we have COUNCIL MEETING -43- March 17, 2010 councilmembers that are interested in televising it, not are not. So, I just a point of clarification or point of information. I wouldn't want to offend Councilmember Kaneshiro because that wasn't what I said, thank you. Chair Asing: We have a motion on the floor and we have a second. Any further discussion? All those in favor say, aye. The motion to approve C 2010-68 was then put, and unanimously carried. Chair Asing: Next item please. Mr Nakamura. Next on page 3 of the council's agenda, two communications for receipt, C 2010-69 and C 2010-70. C 2010-69 Communication (02/26/2010) from the Housing Director, transmitting for Council consideration, a resolution authorizing the filing of the Kauai County 2010 Action Plan with the United States Department of Housing and Urban Development, and appropriation of funds for the HOME Investment Partnerships Program): Mr Bynum moved to receive C 2010-69 for the record, seconded by Mr Furfaro, and unanimously carried. C 2010-70 Communication (02/24/2010) from the Housing Director, transmitting for Council consideration, a resolution authorizing the filing of the Kauai County 2010 Action Plan with the United States Department of Housing and Urban Development, and appropriation of funds for the Community Development Block Grant Program. Mr Bynum moved to receive C 2010-69 for the record, seconded by Mr Furfaro, and unanimously carried. Chair Asing: Next item please. Mr Nakamura. Next matter on page 3, communication C 2010-71. C 2010-71 Communication (03/11/2010) from Councilmember Bynum, requesting agenda time to discuss H.B. 2435 Relating to Housing, and to take a position to oppose its approval. Chair Asing: Go ahead. Mr Bynum. Thank you, Mr Chair This is regarding a Proposed House Bill 2435 that would reduce by 40% housing. affordable housing bill that this council passed on Kauai last term. It's very common in the State of Hawaii for municipalities to require affordable housing as part of development projects. Many of the. much of the affordable housing. much of the workforce housing on Kauai has been a result of those provisions in the past. Large portions of `Ele`ele, Hanapepe, parts of Kilauea, Puhi, Healani Village were all part of affordable housing projects in the past. The county updated their bill last year in the legislature with. at the request of the construction industry, put a bill forward this year that said whatever counties, whatever your exaction is, we're going to reduce it by 40%. Our housing agency, along with every other housing agency in the state, opposed this in writing. I've circulated to councilmembers a letter from the housing agency to the legislature dated February 2, 2010 The reason we would oppose this is primarily home rule. These decisions have traditionally and appropriately been at the counties. You know, the bill that the state legislature put forward was pretty inartful in that it would have a very different effect on each county because each county does this on their own. You know, our current COUNCIL MEETING -44- March 17, 2010 affordable housing requi rement is that. is a 30% requirement. The requirement in the past has been as high as 60%. On Maui it's currently 40% or 50%. Our bill allows for incentives to reduce that amount to 15%. So, it's a long history that the County of Kauai and other counties have dealt with these issues on their own and so, we'd like the legislature to do that. I asked our county lobbyist that we have whether they were tracking this bill and they said they were aware of it and suggested that we place it on the agenda because we need to have a position as a council if we. if our lobbyist is going to track it and intervene. The current status of the bill as I understand it is it's currently deferred, but it's possible that it will come back in conference committee, that the way the legislature does things is different than the way Kauai does, and so I wanted to bring this to the attention of my colleagues and in support. suggest that in support of our housing agency and other housing agencies that we take a position in opposition to HB 2435 that will allow our state lobbyist to track it and keep us informed of any developments based primarily on the home rule issue. Chair Asing: Okay You want to come up? Go ahead, Anne. I'm going to suspend the rules. There being no objection, the rules were suspended. Ms. Punohu. So thank you, Tim. So I'm going to switch gears then and say that I'm Anne Punohu representing the Kauai Fair Housing Law Coalition and I want to say that I too oppose this bill. Thank you for bringing it to my attention because I've been so trying to track two other issues that I. I was unaware of this. I also want to say that you will have an opportunity to bring that to the legislative contingency, which is coming here on Friday from 5 to 7.30 p.m. at the KCC Cafeteria and we will have all of our representatives. Representative Cabanilla will be there and she is the head of the housing for the rep side and so I will be also asking them to take a very close look at tracking this bill as well. This is just such a vital issue for Kauai in lieu of other issues in housing, and housing rules and regulations in public housing. They're going to become very difficult for a lot of people on the island and these requirements we fought so hard for with developers. It seemed to be a win-win for everybody and it seemed to be the only way to solve especially our worker housing issue. So thank you very much for, and I want to support all of you in opposing this bill as it tracks through the. the house Thank you so much, aloha. Chair Asing: Okay, thank you. Is there anyone in the public who wants to speak on this item? Eugene? Good afternoon, Eugene. EUGENE JIMENEZ, Director of the Housing Agency Good afternoon, Chairman Asing and members of the county council. Chair Asing: Yes, 1..I read your testimony that you gave on House Bill 2435. (Clearing throat) Excuse me. It's my understanding that both bills have been deferred in both houses or essentially dead. Mr Jimenez: Yes, well, not essentially dead, but they have been deferred both in the senate and in the house. There were two companion bills. Chair Asing: Right, okay, I just wanted to make that plain. It's essentially dead unless it's going to be revived in another committee. But other than that, you know, you're talking about both houses have deferred it. And this COUNCIL MEETING -45- March 17, 2010 has been a result of both the senate president and the speaker of the house both asking to establish a task force to determine the economic value of construction in Hawaii. So there was a task force that was formed and these are the recommendations of the task force I wouldn't take this too lightly I would say if, councilmembers, you want to oppose it, feel free to oppose it. But I don't think the council as a whole should take a stand like this. You know, it's not black and white. Don't always think that because you got 30%, you're going to get 30%. Thirty percent of zero is zero. That's what it is. If you make it difficult and if the construction industry is hurting, and they're not going to build at the 30, 30% of zero is zero, you get nothing. So, be careful. It is not those black and white issues. I would say that study this a little bit. In my opinion, it's dead, both houses deferred it. But I think if councilmembers want to take a stand on it right now, feel free to do so. I would suggest that you do some. some homework before you start going off because it is not that simple, and black and white. Not that simple With that, any questions for Gene? Mr Furfaro: I have. Chair Asing: Yes, go ahead. Mr Furfaro: Yes, first of all I want you to know Gene, I plan to be at the hearing on Friday at KCC Anne invited me and I plan to be there. I. I do want to indicate I think, you know, the way the chair summed it up is you know, we're in a., we're in a world of hurt right now with credit. There's no credit. There is a difficult borrowing procedure for people who want to get into homes and I think you know my version of the housing bill for the council was at 25%. My version of the housing bill addressed incomes that dealt with 160% and 180% incomes because we've gotta find housing for police, for nurses, for teachers, okay? That. .1 have also made it clear that I do believe government has a responsibility to earmark housing for the lower pieces and I'm encouraged that Mayor Carvalho and his team have moved on some land on the Westside. We won't see that in our generation, but that land is for generations' future. But it also, in your documents, you assume everything that's in the initiative to lower the percentage will happen. We've had people in front of us testifying that well, you get credit if you build a single-family home on a single lot, but everyone that told us says from a cost standpoint, they would build more apartment types and so forth, so they won't get that credit. There's references here that talks really about green buildings and it's very, very appropriate that we do that and people at the lower end would like to see that happen, even Habitat would like to see that happen, but I don't know enough of this to believe your assumptions and that's what they are, that they already have ways to reduce this down to 15 and that this bill would reduce it down to 9 because right now our batting record over the last three years is we're zero for zero. I think we need to work on a way where these empty units that exist in Waipouli and these empty units that exist in Kauai Lagoons, we've got to find ways to convince them that we cannot follow the HUD standard for rent. It's too high. We've got to get people into those vacancies that exist in current inventory that we mandated from the old policy So, I may go silent on any vote here because I want to reserve my opportunity to hear from the state committee. Chair Asing: With that, Councilmember Kawakami. Mr Kawakami: No, when we have discussion on the vote, then I'll. COUNCIL MEETING -46- March 17, 2010 Mr Jimenez: Okay, I just had a couple comments and I appreciate, you know, your comments, Councilman Furfaro and also Chairman Asing. I just wanted to state that, you know, the primary emphasis that I had wanted to project in our opposing this bill was the whole idea of local initiative and home rule. You know, whatever whatever happens, you know, it'll wind up here when we will make determinations and percentages or any approval for any housing project, and so I had.. just wanted to tell you that, you know, maybe you don't agree with some of our assumptions here, but again at the end of the day, what happens is it winds up here, you know You will make the determination. So with that, I just thank you for your time and please look at this bill thoroughly and look especially in our our first comment relative to the home rule and local initiative. Mr Furfaro: I agree with you 100% and I honor that comment. Mr Jimenez: Thank you. Mr Furfaro: But I also want to point out and you know this as well. The state can override anything we do. Mr Jimenez: Correct. Mr Furfaro: Let's understand them first before we shift gears. Mr Jimenez: Thank you. Chair Asing: Councilmember Mr Bynum. I don't have anything for Eugene Ms. Kawahara. Oh, I do. Chair Asing: Okay, go ahead. Ms. Kawahara. Thank you, Council Chair Chair Asing: (Inaudible.) Ms. Kawahara. Eugene, I just wanted to thank you. Mr Jimenez: I wanted to go sit down. Ms. Kawahara. But I'm not.. I'm not going to grill you. I just want to. I just want to show my deep appreciation for you going to bat and strongly opposing this bill. I believe that you're looking out for ..for the best of our community in making sure that we have workforce housing and I was glad to see this and I will definitely support you because I believe in the importance of being able to provide affordable housing. I do appreciate the work that you did on getting these numbers. It does give me a perspective on it that makes it seem even. that makes it, to me, even more important to be able to support this bill. Whether or not this entire council does it, I, for sure, will be supporting your department and your recommendations, and especially everything in your memo. Mr Jimenez: Thank you very much. COUNCIL MEETING -47- March 17, 2010 Ms. Kawahara. Thank you very much for for your dedication and commitment in your department. Thanks. Mr Jimenez: Thank you. Chair Asing: Thank you, Eugene. Mr Kawakami: Oh. Chair Asing: Go ahead, Councilmember Kawakami. Mr Kawakami: Do we currently have a shortage of workforce housing in our inventory? Mr Jimenez: Beg your pardon? Mr Kawakami. Do we. do we currently have a shortage of workforce housing in our inventory? Mr Jimenez: Well, I would state just generally that.. that. that we do have a. have a shortage. People are reluctant to buy primarily because some of the reasons that were given prior to this is their ability to. the whole idea about their work, their job security, the banks'. underwriting procedures now have become stricter, you know, so I would say that we do have a shortage of workforce housing right now Mr Kawakami. Are we referring to ownership or referring to the rentals? Mr Jimenez: Primarily ownership Mr Kawakami. Okay, but as far as rentals. Mr Jimenez: The rental market has softened. You know, I did a presentation a couple days ago to the Kauai Board of Realtors relative to you know, some of our rent subsidy programs and there are available rentals now, and the rental rates have dropped. Mr Kawakami. Okay, thank you. Chair Asing: Eugene? Mr Jimenez: Yes, Chairman Asing. Chair Asing: We have many rentals that are open and not filled, they're vacant. Am I correct? Mr Jimenez: That's correct. What we're finding that. Chair Asing: So that's not the issue. The issue is that we have the.. the rentals are there, but people can't afford it. Mr Jimenez: Well, that's. that's true and we find that many landlords. many landlords are not willing to. to. to drop the rental rates. They're just going to wait and they have an expectation as to how much they want to realize from their monthly rentals and we haven't seen a lot of these rates dropping. COUNCIL MEETING -48- March 17, 2010 Chair Asing: Okay, thank you. Mr Jimenez: Thank you very much. Chair Asing: Is there anyone else? Anne? Go ahead. Ms. Punohu. I'm sorry, Eugene, you're not going to like this, but okay, you guys all know that our coalition last year tried to address the issue of discrimination in housing on this island. Uncle, that's part of the problem is because it's still going on today and there are rules and regulations coming down the pike for public housing that are going to make your teeth curl, wait till you hear them, and so the issue of housing for our working population is about to become code red very quickly Public housing is going to finalize their 5-year plan on Thursday with absolutely no input from a Kauai representative, so when. because I tried to work with housing before in my issue, I wasn't successful. Anything that will hurt the possibility of worker housing on Kauai will be a code red of triple proportions that you guys do not want to have to go through. So any legislation that would cripple that in any way, I oppose. However, uncle, I'm really glad you said what you did because honestly when I testify on issues, I always want to make sure that I've read the legislation thoroughly and I have to admit that I didn't know about that this till just this moment and I have not had the opportunity to thoroughly go over it. However, the overall intent of my testimony is that I oppose anything that cripples our housing for our working families on this island any further Thank you. Chair Asing: Thank you. Is there anyone else? Okay, thank you, Anne. I'd like to call the meeting back to order There being no else wishing to speak on this matter, the meeting was called back to order Chair Asing: With that, Councilmember Kawakami. Mr Kawakami. Thank you, Chair, and you know, I'm going to separate this into kind of like two issues that we're dealing with because I'm going to. .I'm going to support this on the basis of the home rule concept because I believe that if we're going to evaluate whether our policy is actually detrimental to stimulating the economy through the construction industry and like the vice chair has said that a.. zero percent of 30 is zero. And, you know, so whether we're going to analyze that down the road, which we probably will because that was a commitment that was made by the council when they passed this, that's for a later date for us to reevaluate whether it's effective. But the concept at hand is just the fact that this is a home rule issue and the county should be able to dictate the percentage requirement that we are imposing and then at a later date, we can really analyze whether it's effective in promoting what we're trying to promote, which is affordable housing, because there is a balance that needs to be struck and if a developer doesn't see a profit because the requirement is too high, they'll go someplace else and then we lose and we lose. Our construction workers lose, affordable housing market lose, everybody lose, and so Chair Asing: And that's the reason for saying, be careful. Mr Kawakami. And so I am being careful and I'm basing it on the home rule. COUNCIL MEETING -49- March 17, 2010 Chair Asing: I don't have any problem on the home rule. I agree totally with home rule, but I'm saying, be careful on what you do because you might get your wish and your wish might not be what you're looking for Remember, 30% of zero is still zero. Mr Kawakami. Yeah and which is why I was saying at a future date we should be relooking at this housing policy Chair Asing: Okay, with that, Councilmember Bynum. Mr Bynum. Again, I think I presented this primarily as a home rule issue and I agree with Councilmember Kawakami that it should be the county and I agree with Eugene that this is where it happens is at this body But I also want to react to the idea of homework. I agree to do the homework. In fact I was meeting with housing about how our housing policy was being implemented and whether it was working. And even in this down economy, there are people developing on Kauai right now, and they are agreeing and required to pay for to help pay for affordable housing. It's been a part of doing business in many states, in Hawaii for many years, and so we don't have zero right now We have very significant contributions coming as a result of our bill that are in the works right now even in this down economy So I did my homework. I read all of the testimony from all of the counties in opposition to this bill and I read all of the testimony in favor of the bill which came from large landowners and the Land Use Research Foundation. The public can do their homework too because the legislature has all of that testimony readily available on their website. You just do a search for HB2435 and you can find all of the testimony and the current status of the bill. I did my homework and talked to our state. our lobbyist whom the county pays to look out after our interest at the state legislature, who said, as I said it earlier, that the current status of this bill is deferred, but there may be an effort to revive it in conference, which in the. the legislature does this. If you haven't seen this, in the waning days suddenly a bill comes out of nowhere with one or two days. Because they're not subject to the sunshine law that bill gets acted on and passed. So, my request here was for us to join with the housing departments of every county and our administration and being in opposition of this bill for the home rule issue But it's not accurate that zero percent of 30 is zero, that is accurate. Zero percent of.-30% of zero is zero. But we have. our bill is working right now and significant affordable housing incen. you know, resources are coming to the county as a result of the bill that we passed last term. So, I think it's a good idea to do your homework and in this instance, in order for our state lobbyist to keep track of this, they need directions from this council. So I don't know if it's possible to instruct our lobbyist to keep us informed without taking a position. You know, I thought it. Chair Asing: I don't have any problem with that. I think that's great. Mr Bynum. I thought it would be easy to take a position in support of our administration and in support of home rule. I would like to do that, but in lieu of that, Mr Chair, if we can instruct our lobbyist to keep a. to track this bill and to keep us informed. Chair Asing: Great. I don't have any problem with that. Go ahead. COUNCIL MEETING -50- March 17, 2010 Mr Furfaro: Yes, I'm not.. I'm not sure. I'm delighted that you do your homework. I do mine as well. I want to make sure we all understand when I said I might cast a silent vote, we all know that a silent vote goes with the majority of what happened, okay But I still want to point out that our current bill, I think, needs to be addressed and I think Mr Kawakami said maybe we could do that in the future. I still say that, you know, we have issues there where what tells us we have to follow the HUD standards for the high rents? I don't understand that. We need to come up with a different schedule that we can convey We gotta be. get people into the units that are built. They're sitting there, zero occupancy in some cases and some categories. We gotta fix that. So, I'm not sure if we're going to wait for more information from our lobbyist. I'm going to this meeting on Friday, but if there is a move to vote on this, I will record a silent vote, which goes with the majority Chair Asing: Let's just send a communication to the lobbyist to track the bill. If that satisfies everybody, why don't we do that? Mr Furfaro: So moved. Mr Chang: Second it. Chair Asing: Any discussion? All those in favor say, aye. Mr Furfaro moved to send a communication to the state legislative lobbyist to track the bill, seconded by Mr Chang, and unanimously carried. Chair Asing: We're going to break for lunch. We'll be back at 1.30 p.m. Mr Kaneshiro• Can. can I have a point of personal privilege, if I could. Chair Asing: Yes, go ahead. Mr Kaneshiro: I. Mr Furfaro: Excuse me in the audience. Mr Kaneshiro• I just wanted to apologize if I heard a speaker say something and I may have interpreted it wrong or but at the same time, I just wanted to make my point about fiscal responsibility I'm beginning to hear and speak like the Garden Island newspaper personal privilege. The meeting was recessed at 12:44 p.m. The meeting was called back to order at 3:09 p.m., and proceeded as follows: Chair Asing: Council meeting is now called back to order With that, Mr Clerk, can we have the next item, please. Mr Nakamura. Mr Chair, at this time, if we could go to page 5 of the council's agenda to Proposed Draft Bill No. 2355. COUNCIL MEETING -51- March 17, 2010 BILLS FOR FIRST READING Proposed Draft Bill No. 2355 - A BILL FOR AN ORDINANCE TO AMEND CHAPTER 8, KAUAI COUNTY CODE 1987, AS AMENDED, RELATING TO THE COMPREHENSIVE ZONING ORDINANCE Chair Asing: Thank you. Why don't we take public testimony first. Is there anyone in the public who wants to testify? (Videographer having technical difficulties.) Chair Asing: We're in recess. There being no objection, the meeting was recessed at 3.10 p.m. The meeting was called back to order at 3:16 p.m., and proceeded as follows: Chair Asing: The meeting is now called back to order With that, Caren. There being no objection, the rules were suspended. CAREN DIAMOND- Aloha, councilmembers, Chair, Caren Diamond. I want to start out by saying that this rendition of the bill is one of the most politically charged poor bills that I've seen come out of this council and I want to start out by expressing my dismay with this and especially Mr Bynum, if you wrote this bill, I think it's.. it. .1 don't understand. Earlier this morning you said information is the currency of democracy and then you said getting information into the hands of the public is vitally important. All of you and especially you, Mr Bynum, know that the planning department has failed to give out any information whatsoever in the vacation rental ordinances. So we have no idea how many are in our neighborhood, where they are, under what conditions the planning department approved them, nothing. And we have repeatedly outlined the failures of the planning department in implementing ordinance 864 and 876 and also. Then that was proceeded by over a dozen hearings before this county council on the agricultural amendments to the bill and now now we have this entirely different bill and I think it's really disingenuous. So, I want to say that the cover letter for this Bill 2355 states that the purpose of the bill is to clarify the standards and permit processes for regulating alternative visitor accommodation structures and operations in the residential, agriculture and open zoning districts. So I'm going to have to disagree. If that's the purpose of the bill, this is failing to reach that stated purpose because it appears that this bill, 2355's clear intent is really different. The intent really seems like it is to gut the original TVR bill and if that's not the intent, that's what it looks like it's doing. Is the purpose of this bill to grant TVR non-conforming use permits to others who operated in violation of state and county land use or planning laws? The original bill had components that you had to have followed, you know, state and land use federal laws, county laws, state laws, and now that's out. So, here's the way I read it. This Bill 2355 removes the requirement that transient vacation rentals had to be operating in compliance with all state and county land use and planning laws, including the CZO, SMA regulations, HRS Chapter 205, flood zone laws, shoreline setback laws, now you don't have to comply with any of them, just do whatever you like. COUNCIL MEETING -52- March 17, 2010 The bill goes even further by eliminating the requirement that in order to renew a non-conforming use certificate, the dwelling unit had to be in compliance with those laws and regulations at the time of renewal. Never mind if the structure was illegal before, if it was illegal after, that's okay now too. The bill says that if the TVR has been illegally operating without a GET or a TAT license, the TVR operator can renew a non-conforming use certificate simply by obtaining such a license sometime in the future. You don't have to prove anymore that you were legally operating. You don't have to show that you had your TAT license for a period of time. Mr Nakamura. Three minutes, Mr Chair Ms. Diamond. Nothing. You just go ahead and. Chair Asing: Okay, go and finish up. Ms. Diamond. give them one that you got yesterday and you're in there. The bill allows multi-family TVRs in single-family zones. It removes the prohibition against interior lockouts. So never mind that multi-families are illegal in the north shore general. in the north shore planning district now, never mind. You can have as many lockouts as you want and you can get approved. So the bill allows TVRs to continue to operate on ag lands even if they were doing so illegally without a state permit already Does Bill 2355 perpetuate non-conforming TVR use into perpetuity? That's certainly what it seems like it's doing. It removes the requirement that non- conforming TVRs must remain in continuous use as transient vacation rentals in order to obtain renewals of their non-conforming use certificate. You no longer have to operate 30 days or any amount of days. You just have to operate one day and you can forever be a TVR. Bill 2355 opens the door for more TVRs than the existing ordinances allowed. It removes the requirement that TVR operators must have obtained non-conforming use permits by March 30, 2008, okay, or 2009, sorry Bill 2355 removes the rule that failure to apply for a non-conforming use certificate by October 15, 2008 or failure to obtain a non-conforming use certificate by March 30, 2009 means that the use will be treated as an unlawful use. Well, instead now the bill reopens the window for applications until a year after the passage of this new bill and if this new bill is going to go to the planning commission, have more hearings, many hearings there, many hearings here, we can look for another couple years of open windows, that's it. Bill 2355 removes the requirement that the planning department physically inspect single-family TVRs prior to issuing a non-conforming use certificate. No longer does the director or the planning department have to inspect anything. You can just have your vacation rental. Bill 2355 completely disempowers residents from protecting our neighborhoods and our residential communities. It removes the requirement that the planning commission institute rules that would allow members of the public to contest reissuances. It completely wipes out the requirement for planning to adopt COUNCIL MEETING -53- March 17, 2010 any rules. The original TVR ordinances had by July 31, 2009, they had to have had rules by which to do the reapprovals, by which to do everything. Now you don't even need rules. Never mind, who cares about rules, everything's allowed. You don't need a rule if everything's allowed. The bill eliminates the existing rights of members of the public to initiate proceedings to revoke a non-conforming use certificate or to stop an unpermitted use unless they have somehow first obtained permission to do so from the planning commission. But the bill doesn't state how this could be done because really that's what this is all about, isn't it, not allowing the public to contest anything. Is our community a community or is our community a commodity? I believe this bill is making it a commodity forever and I want to tell you that I lived in a community and I want my community If you want the zoning to be changed in this neighborhood, stop coming in the back door Ask for a zoning change. Come right before the planning commission, right before your own selves and ask for the zoning to be changed, ask to make Ha'ena a resort. Mr Nakamura. Six minutes, Mr Chair Chair Asing: Okay Ms. Diamond. Ask to make Hanalei a resort. If that's what you want to do, make Wainiha a resort, but do it out in the open. Don't come in the back door and slip this in. We're sorry, everything has to be a resort, but we're not rezoning anything and sorry public, you can't say anything. Community, you've lost it, but we're. we're not even sorry Chair Asing: Caren, your your time is up I'll give you just a minute to wrap up Ms. Diamond. Thank you. In summary, this bill says that anyone who is operating a TVR outside the visitor destination area, no matter how illegally can continue to operate forever, you know And finally, the bill eliminates the public's ability to seek revocations, whether you are ongoing doing illegalities or not, that's it and I want to say that's a far cry from clarifying the standards of permit processes for operating TVRs. This isn't clarifying. This is gutting it. The bill is so misguided and such bad policy I'm asking you guys, please say no to this. Every one of you, I don't see why you would want to pass this, why you'd want to put your stamp of approval on it and then send it to planning commission. This is ridiculous, you know Mr Furfaro: I think on that note, you gave her extra time. Chair Asing: Okay, okay, Caren, thank you. Ms. Diamond. Thank you, I am done and I just really ask you, our community is a community Chair Asing: Any questions for Ms. Diamond. And please keep it that way Chair Asing: Caren? 1. I just have one comment. You are entirely correct. COUNCIL MEETING -54- March 17, 2010 Ms. Diamond. Thank you. Chair Asing: in my opinion, entirely, especially the sunshine area. Talk about the person who introduced this and sunshine. They took out all the sunshine. You're non.. not going to be allowed anyway in, zero, except one. they put one portion in here which. which requires standing. There's a requirement of standing, who has duly obtained standing pursuant to the rules promulgated by the commission. Ms. Diamond: But there are no rules. Chair Asing: So they've. they've even added that inside. Ms. Diamond: Except that they took the rules out. Chair Asing: But sunshine, it's. no sunshine for you, sorry Ms. Diamond. Right. And if there's no rules. Chair Asing: The public is out. Mr Furfaro: Caren, you should let the chair speak. Chair Asing: Thank you. Ms. Diamond. I'm sorry I'm so frustrated that. Mr Furfaro: I understand your frustration, but there's a little bit more to this, and the old bill isn't dead, it's just deferred, but please let the chairman speak. Chair Asing: Thank you. With that, can I have the next speaker up? Thank you. Ms. Diamond. Thank you. MEL RAPOZO• Thank you. For the record Mel Rapozo and I share many of Caren's concerns and yours as well, Mr Chair, regarding the sunshine and the taking the public out of this. this whole process. You know, there is nothing wrong with the current bill or the current ordinance, nothing wrong. It provides for the grandfathering of TVRs on ag land. It provides an opportunity for those that had TVRs prior to a. to the passage of the ordinance that they could, in fact, become grandfathered. I know I have three minutes. I want to start my first segment with the state law because I know you've. you've all heard this, but again I speak for for the public who's not. they're not aware of the state law And the state law is quite clear and if you look at Chapter 205, which. which really governs land use, in the first 205-2 when they talk about how you district and classify lands, it's real clear It says, in the establishment of the boundaries of agricultural districts, the greatest possible protection shall be given to those lands with a high capacity for intensive cultivation. That's the beginning of the chapter When they wrote this, they said we wanted to preserve ag. That's 205-2. COUNCIL MEETING -55- March 17, 2010 What we're talking about is ag tourism. We're talking about ag tour we're talking about bringing tourists onto ag land and keep them overnight, and. and there's a provision for ag tourism in 205-2 paragraph 11, but it says you gotta have an ag tourism bill before you entertain any ag tourism activities on your ag land. We haven't done that, so we don't even qualify for paragraph 11. All we have is Chapter 205-5 Each county shall adopt ordinances setting forth procedures and requirements so forth. ordinance shall include but not limited to., and I'll just read paragraph two, requirements and restrictions for accessory facilities connected with the farming operation, which I guess you could stretch a vacation rental if you had a farming operation, including gift shops and restaurants, provided that overnight accommodations shall not be permitted. 205-5 paragraph 2, shall not be permitted. Then you go on to 205-6, which says, subject to this section the county planning commission may permit certain unusual and reasonable uses within agricultural rural districts other than those for which the district is classified. That's the permit process that we're talking about. The current bill provided that if they had the permit prior to the enactment of the ordinance. That's the grandfathering, that's legal. But what. what is said in 205-6, the county planning commi. and this is subsection (c), the county planning commission may, under protective restrictions as may be deemed necessary, permit the desired use but only when the use would promote the effectiveness and objectives of this chapter This chapter was land use. This chapter said we got to cut up these lands so the most. the best use of this land is for agriculture, not crops of tourist. I don't know where this council is getting the idea that it's okay When. Mr Nakamura. Three minutes, Mr Chair Mr Rapozo: Is that my three minutes? Okay, I will stop there and I'll come back because the second three minutes I want to talk about the particular bill. I just wanted to get the state law out of the way because I think you guys are violating the state law if you pass this. Mr Furfaro: (Inaudible) before Mr Rapozo leaves, may I ask him one question? Chair Asing: Yeah, go ahead, sure Mr Furfaro. Mel, you know I think, J think we need to reconcile something here. This is attempting to do certain things in compliance with state law Mr Rapozo: Correct. Mr Furfaro• Are you familiar with Chapter 46 that deals with appeal processes? Mr Rapozo: No. Mr Furfaro. I. 1 would strongly suggest that, you know, some of the intent in this bill is to comply to state law, and I don't know enough about it. I just heard the.. but certainly I think the intent of this bill is to cure some deficiencies and comply with the appeal process that citizens are allowed under Chapter 46. I. 1 just. COUNCIL MEETING -56- March 17, 2010 Mr Rapozo: Okay Mr Furfaro: I just wanted to share that with you. Mr Rapozo: L. and that's fair Chair Asing: Okay, thank you. Is there anyone else? Mr Rapozo: Okay And obviously, you can sense the passion and I appreciate Mr Furfaro's comments about the appeal process and I realize I'm not a dummy I know that a lot of the current existing unpermitted TVRs in ag lands are threatening to sue the county and if, you know it's up to me, I say sue the county because the state law has been violated, in my opinion, and again we all have opinions. But let me get to the bill and I guess the passion is obvious because I was part of the council that passed it. We had spent numerous hours discussing TVRs on ag land. We had opinions from the land use commission that said you cannot have vacation rentals on ag land. I mean, we went through the drills. We had all the information and this bill, this proposed bill completely takes the meat out of what we passed back in `08. If you look at the original bill and I think we gotta give some respect and courtesy to the former councils that passed this, but if you look at the former b . 864 or 8. I'm sorry, 8. what was that? 865? The purpose of this bill is to restore a balance between primary residences and single- family transient vacation rentals, explicitly prohibiting new single-family vacation rentals outside visitor destination areas. I mean that was the purpose of the bill and what we're trying to do today is to unwind that and say no we're going to allow a little bit more through a new process disguised in the form of. of this new bill. You folks have this.. and when I say you folks, I mean the proposal is going to remove the requirements that all of these applications are in compliance with county and state and federal law Why would you take that out? Why would you allow a. an application to come through that has violations of the SMA, shoreline setback, the flood plain management? Why would you take that out? I don't get it and maybe I'm just missing the point here. The other thing that you folks. this bill is going to do is it's going to give the planning director an opportunity to issue a provisional certificate before they get the state permit, which again to me is in direct conflict with Chapter 205 because nobody has that authority You're either grandfathered in before 1978 or you have a special use permit. This says this county will give a provisional permit? That's just not right and I think it's violating the state law The TVRs on ag land and let me just give you an example and in the last few months I've witnessed some very scary things. I've seen applications, certificates been awarded on properties that the structures weren't even built. You call up the state tax office, you say, hey, you know what, I've been running a TVR for the last three years, I haven't paid my taxes, I'll pay the penalties, I'll pay the late fees, I need my GET license and my TAT You come in, you apply and I have the pictures to prove that some of these permits were granted. some of these certificates were granted on properties that didn't even have a structure built. This law will open it up for abuse. I'm telling you today that this is bad law There is nothing wrong with the current law as it sits today Unless we're trying to open it up to some new people that want to get their illegal properties legal, this is bad precedence, lady and gentlemen. I think. I would suggest and I'll go read Chapter 46, Jay I suggest you guys read Chapter 205-5. Mr Nakamura. Three minutes, Mr Chair COUNCIL MEETING -57- March 17, 2010 Mr Rapozo: Because it's quite clear that you can do what you want. Get the ag tourism bill done first and don't have overnight accommodations unless they have a special permit, and that's just my testimony Chair Asing: Thank you. Councilmember Furfaro. Mr Furfaro. Yes, thank you, Mel, for your testimony I just want to. .1 just want to cover a couple more items. The. the original bill with some amendments is currently deferred. It's not gone away I do want to correct something. It is my understanding when I saw this bill that it does not change the March 8th deadline It doesn't change it. So, you know, that was a very important thing for me not to open up any more units because the whole idea to regulate was to manage some attrition. We had 950 units. We had 500 applications. So right off the bat we had 400 units that either didn't have the documents that you were just talking about and I would encourage when this bill has to go down to planning, you show the commissioners some of the performance records of the planning department as it relates to that. I. I am..I'm also aware that we have things that we have to deal with that not just affect TVRs but affect the whole rating of the county You mentioned flood areas and so forth. I believe a committee of citizens initiated some challenges on certain VDA units that in fact they were then given notice from the federal government about those particular questions that you raised and I believe we are responding to those. I can't speak for the operating departments, but I believe we are responding to those, and you're right. But this is a very hard process for us to kind of wean through and make sure we're covering all the deficiencies which this bill is about and at the same time not changing the original target date and at the same time finding ways that we can be in compliance with Chapter 46. And those only are the things I'd like you to consider at this time We've got a long way to go on this, but the old bill isn't dead. Mr Rapozo: Understood. Thank you. Mr Furfaro: Okay, thank you, Mel. Mr Rapozo: I guess I just have one question and I know I'm. you're really not required to answer, but why would that language requiring basically these applications be in conformance with all of these requirements, whether it's SMA, shoreline setback, knowing the intent of the bill, knowing the challenges we have today with people encroaching on shorelines, why would we remove that language from the bill? I. and if you can answer that, that'd help me as I prepare for presentations for the planning commission because I see no reason unless we're trying to help the people that are in violation. It makes no sense. Mr Furfaro: I want to let you know I personally take offense to that. Mr Rapozo: No, I'm asking. I'm asking a question. Mr Furfaro. I have filed complaints myself and brought police investigated building department out to those areas, but I would prefer to respond to that at an appropriate time when we're in committee and at the planning department. I've worked well with you, Mel, for many years. COUNCIL MEETING -58- March 17, 2010 Mr Rapozo. Yeah. Mr Furfaro: I just want to let you know that I don't see this bill changing the date. I think it tries to cure some deficiencies and most of all, it brings the county into compliance with Chapter 46 and the appeal process. Mr Rapozo. And I wasn't implying that you. I'm assuming Mr Bynum took it out. It's your bill. I'm just curious why would that be removed and that's the question I think that. .I'd like to know the answer and if you're not prepared, that's fine as well. Chair Asing: Councilmember Bynum. Mr Bynum. Hi, Mel. Mr Rapozo: Hi. Mr Bynum. Obviously you know we're at the beginning of what's going to be a process that's going to have a lot of dialogue and I will answer that question when we get called back to order Mr Rapozo: Okay Mr Bynum. And I'll be happy to meet with you as much as you like offline and. and discuss the motivations for the (inaudible) Mr Rapozo: Well, I mean I'd much rather have the discussion here so the public. because I think the public needs to hear it. I. L. I mean. Chair Asing: Probably probably Mr Rapozo• Yeah, I think this is a very important issue and. Chair Asing: Don't go behind closed doors, public, remember that. Mr Rapozo• Yeah, I. I. my questions are simple ones because it's a very important component of the bill. Chair Asing: Yeah, sunshine, let the sunshine in. Mr Rapozo: It is a very important component. Chair Asing: Public. Mr Furfaro: I'm going to step out of this meeting if we're going to continue to talk in those terms. Chair Asing: Go ahead, go ahead, go ahead. Mr Furfaro. because it reflects on the whole council. I've given you my answers for today and there's more to come. I ask you not to jump to conclusions, but also think of the things we also have to comply to. But I hope Mr Bynum answers that question and I will as this thing moves forward. COUNCIL MEETING -59- March 17, 2010 Right. Mr Furfaro• Main thing, the old bill isn't dead. The date in the old bill is the same date for compliance here. Mr Rapozo: Understood. Mr Furfaro: And, you know, I'm sharing these things with you because I like the sunshine law, but there's other time for us to discuss that. Mr Rapozo: That's fine, thank you. Chair Asing: Thank you. Is there anyone else? (Addressing Caren Diamond) You know, I really gave you your opportunity I'll let you speak for a minute. Ms. Diamond. I was going to speak for Barbara because she had to leave. Chair Asing: What's that? Ms. Diamond: I have. I'm going to speak for Barbara because she had to leave, if that's okay Chair Asing: Oh, for Barbara, oh, go ahead. Ms. Diamond. Is that okay? Chair Asing: You got her written testimony? Ms. Diamond. I won't read Barbara's testimony I'll make note that she handed in testimony to you and I'll save that time in reading it. And I dust want to clarify Mr Furfaro: You know, I want to say something to the Chair Mr Chair, this is a procedure that. Chair Asing: Yeah. Mr Furfaro: I'm bothered with. Chair Asing: Okay Mr Furfaro. If you have written testimony Chair Asing: If you are. if you are. Mr Furfaro. submitted, I think. Chair Asing: If you are, then fine, we won't do it. Thank you very much, Caren. Mr Furfaro: We'll just take her testimony We've given people six minutes. i COUNCIL MEETING -60- March 17, 2010 Ms. Diamond. Okay Mr Furfaro: As we go through this process, the opportunity will (inaudible) I hope you understand where I'm at. Ms. Diamond. That's fine, you have Barbara's written testimony Mr Furfaro: I don't want to establish any precedence. Ms. Diamond. Thank you. I was just going to ask one question on it. Chair Asing: Its not a problem. Ms. Diamond. But thank you. Chair Asing: Okay, is there anyone else who'd like to speak on this item? If not, I'd like to call the meeting to order There being no one else wishing to speak on this matter, the meeting was called back to order, and proceeded as follows: Chair Asing: And let's have a motion to refer this to the planning commission. Mr Bynum. So moved. Mr Furfaro: Second. Mr Bynum moved to refer Proposed Draft Bill No. 2355 to the Planning Commission, seconded by Mr Furfaro. Chair Asing: Okay, any discussion? Okay, Councilmember Bynum. Mr Bynum. Yeah, I want to start by saying March 7, 2008. After having this issue identified for more than eight or nine years, this council on March or effective March 7, 2008 said no new vacation rentals outside of the VDA anywhere. You have to be in a VDA to have a new vacation rental. Nothing. and I don't believe anybody intends to change that. This is the beginning of a process. I went ...I was here when we passed the bill last time on a 7-0 vote. Then it got reconsidered and changed in ways that I thought were uncomfortable and had gone too far During the course of that debate, there was a lot of passion. There was a lot of recrimination. There was lot of accusations made from both sides of the aisle. There were individuals who I thought went overboard and it was very painful, and I assume we'll probably do that again. So, I'm going to try to remain very calm and straightforward to the best of my ability But during the course of that bill, we had dramatic testimony about how the county's failure to regulate vacation rentals had had dramatic impact on communities and I agree with that problem statement almost 100% Mr Asing gave very dramatic graphic evidence of the impact and the loss of community that has occurred on the north shore as a result of the county's failure to regulate vacation rentals. There's a famous opinion, just an opinion, not a decision from the county attorney in, I believe, 2000 that said currently vacation rentals are not COUNCIL MEETING -61- March 17, 2010 illegal, that what the law addressed was multi-family residence. What people don't quote is the rest of that opinion that said, and if the council thinks that this is a problem, it'd be prudent to change that. But yet it took eight years, and I'm proud that I was on the council that set a date, finally drew a line in the sand and said, March 7, 2008. If you can't demonstrate that you've been operating prior to this time, no new vacation rentals and nothing or nobody, I believe, is trying to change that. But the status quo up, until that point, was it was fair game, it was wide open, and generally speaking, I believe that government can draw a line and say, you know what, from this point forward new rules, and I think we're on pretty solid ground. But when we try to draw a line and say and we're going to try to undo what's already been done, it s probably illegal, it's probably not fair, and it. I know it will be painful. The reason that this bill is being put forward is because we didn't just draw a line and say no new vacation rentals. We looked for every avenue-and I was part of that, I take responsibility of that-we looked for every avenue to find a way to undo what had already been done I objected to some of those ways that we tried to do Eventually they became so onerous in my mind that we put in these what I call got-you provisions. Oh, if you didn't do this, you're going to lose your license. I believe that many of those were illegal. I believe it's given us a tremendous potential liability as a county that we will have a very difficult time overcoming. The bill that's before us is a bill to try to fix those, in my view, over reaches, trying to undo what had already been done in a way that reduces the liability for our county, brings fairness to the. to this process. But.. and I'll probably say this a million times, March 7, 2008, new rules: nothing new after this point. But I don't think we're on strong legal basis, so the bill that is being presented here is to try to fix those things that I think are broken. I respectfully disagree with the people who testified and said there's nothing wrong with the current bill. If there was nothing wrong with the current bill, we wouldn't be here. And so. and everything that's in that bill has been reviewed by the county attorneys to see if it addresses some of these concerns. So, this will be a difficult process. I'm going to try to be as open and transparent as I know how to be throughout this process, but I think it's appropriate for us to do the right thing and try to. and I'll give one analogy We have lots of laws and if laws are violated, they should be enforced and we struggle as a county to enforce those laws. So, I want to do one analogy ALFRED B. CASTILLO, JR., County Attorney- Excuse me. Doing analogies and. 1. Al Castillo, County Attorney, I would just advise you as your county attorney to bring analogies into play without regard to knowing how to balance and reconcile what the bill is doing and if you bring something else out there may expose us to liabilities. So, I just would caution you. I'm not saying that you can't speak. I'm just saying that I would hope that your analogy is reconciled with the law and the law that you are proposing. That's all. Mr Bynum. Thank you for that guidance, Mr Castillo, and I'll. I'm almost done. And so I hope I'm answering Mr Rapozo's question. The reason we would try to do this is because I don't believe the things we tried to do, in retrospect and with new knowledge, were appropriate or legal. And if I stray with my analogy, I don't think there's a problem, but I. I invite you to interject. And the analogy is we have a. lot's of, we have restaurants that are in business, and we have a grease trap law We have a law that says, you have to service and maintain your Mr Castillo: I. I'm. I'm sorry, I'm sorry, Mr Bynum. Can we have a recess, Council Chair? COUNCIL MEETING -62- March 17, 2010 Chair Asing: We're in recess. There being no objection, the Chair recessed the meeting at 3.47 p.m. The meeting was called back to order at 3:50 p.m., and proceeded as follows: Chair Asing: The meeting is now called back to order With that, Councilmember Bynum. Mr Castillo: Council Chair, excuse me. Chair Asing: Yes, go ahead. Mr Castillo: Al Castillo, county attorney I've spoken to Mr By Councilmember Bynum and I believe that the analogy that he is about to.. to use is okay Mr Bynum. Thank you. Chair Asing: Okay Mr Bynum. So, let's see if I can get back on track. The. we have a lot of laws and we have an expectation our citizens follow the laws and most of those laws have built into them penalties and consequences. So, the analogy I wanted to make is if we had a restaurant owner who had been running his restaurant for 5 years or 10 years or 30 or 2 and they violated the grease trap law, we should enforce that and there may be penalties and things that they have to do, but we don't say to that owner, oh and because you violated this grease trap law, we're going to shut your business down that you've been running for 20 years, otherwise legally You know, I think that's the analogy that, in some of these provisions, we need to see that people are. comply with flood laws, with zoning requirements, with multi-family, and if they've broken those laws, there should be consequences that are prescribed by those laws. But to use those laws to deny use, I believe 46-4 says we cannot. During the debate when we were. that led up to this bill, I remember reading from 46-4 from the floor and I never was able to get past that and I'm still not.. and I believe the bill before us, while not comfortable for a lot of people, may be what's appropriate to do in terms of fairness and legality So, that's my best opening shot at why.. to answer the question why It's to bring it into compliance with the law as I understand it. Chair Asing: Thank you. With that, Councilmember Kawakami. Mr Kawakami. Thank you, Mr Chair, and if you recall, the previous bill was one I voted against just because I had some questions that went unanswered. So, it still hasn't been answered, but nonetheless, we referenced 205, yeah, Mel came up, referenced 205, so I did some homework on 205 and then I have some examples from other counties on how they're addressing 205, in my opinion, correctly to a certain point. You look at 205-4.5 Permissible Uses Within the Ag Districts, it goes down, then you have No. 13, Ag Tourism Conducted on a Working Farm or a Farming Operation for the enjoyment, education or involvement of visitors provided that the agricultural tourism activity is accessory and secondary to the principal ag use and does not interfere with surrounding farm operations and provided further that this paragraph shall apply only to a county that has adopted ordinances regulating agricultural tourism under Section 205-5 COUNCIL MEETING -63- March 17, 2010 So, you go to Section 205-5 and it further elaborates on that statement. Sometimes I wish they would just bucket it all together so I don't have to go flipping through pages, but nonetheless, within 205-5 Zoning, subsection (b) within ag districts, use is compatible to the activities and it goes on to say, you know, what's allowed. each county shall adopt ordinances setting forth procedures and requirements including provisions for enforcement, penalties, administrative oversight for the review and permitting of ag tourism and activities as an accessory use on a working farm provided that agricultural tourism activities shall not be permissible in the absence of a bona fide farming operation, so Just a little bit more meat to what they provided earlier You go down a couple lines and then it says, requirements and restrictions for accessory facilities connected with the farming operation including gift shops and restaurants provided that overnight accommodations shall not be permitted. So that was one thing that got to me, yeah. One was the requirement for the ag tourism bill, okay? Number two is it kind of states that provided that overnight accommodations shall not be permitted and then there's a question on when that language was inserted, so there's, you know, what's the timeline on that. So you look and see what the Big Island is doing, okay, to address 205-4.5 No. 13, and the Big Island has an ag tourism bill, first and foremost, what you're supposed to do prior to anything, come up with an ag tourism bill. So some of the things in their bill is kind of like our farmer worker housing bill that we're working on. It just lines up parameters of what is ag tourism. And so some of the examples of operating is it says that you need $10,000 in verifiable gross sales exclusive of any income from ag tourism activities or any other non-ag activities for the year preceding the commencement, okay, the one example. Another example, ag tourism activities shall not commence prior to 8 or continue past 6, so you know, another parameter Another one, ag tourism operations shall have a maximum of 30,000 visitors annually and so on and so forth, but what it does is it defines what ag tourism is is what 205 asks us to do. Okay? So the Big Island is doing that. So, let's move forward with what else the Big Island is doing. You know, they re actually setting parameters and inserting language that ties the use to what it says, that you have to have a bona fide ag operation. So I have no problem with a farmer, yeah, that's producing food or producing ag from. trying to make a living and operating, you know, a vacation rental if we had this ag tourism bill. So the Big Island, they put further language in it and they address it to bed and breakfast, but one of the things they do is the bed and breakfast establishment shall be subordinate and clearly or customarily incidental to the principal use as a residence by its operator and not alter or be detrimental to the character of the surrounding area, so In essence, it's saying that the owner has to live on the property The owner has to be there. Our bill says that you have to have an agent or a contact person that somebody can call 24 hours a day, 7 days a week, but I don't know if that's going to work. You know, there's nothing like having the owner there. If somebody has pilikia, go right up to the owner, that's how we do it. You know what I mean? We don't deal with. with. with, you know an agent because oftentimes it doesn't work out. So this is what the Big Island is doing and that's the way they address it. Now, if we look back at 205, 205-5, and then you have 205-6 and this deals with special permits because there's going to be some people that cannot comply with the restrictions and the parameters that the Big Island and Maui have set up Cannot. And we cannot either I mean you look at some of the properties that have. that are ag land. I mean you look at it and you say, how could you do any ag on this land, it's all cliffs, it's all hilly, you know it'd be a challenge, so. Maui, yeah, COUNCIL MEETING -64- March 17, 2010 Maui actually has a mechanism to deal with that and that brings the public process into it so that the public has an opportunity to chime in. And what Maui does, yeah, if you cannot comply with the farm, you cannot possibly produce $10,000 in gross sales from your ag operation, there's Title 19 in Maui's thing. ordinance zoning and it's called "Conditional Permits," and in essence what this does is the applicant will go to the planning commission and state his case, this is the reason why I can't farm, this is the reason why my land is not suitable for ag. And through that process the planning commission will make a recommendation to their council and the council would be able to decide whether or not this is a valid, you know, a valid situation where we need to issue these conditional permits. But what it does is it brings the public into the decision making process, which is what this is meant to be. So this is just. you know what I mean, things that I'm just not convinced on as of yet. I'm not saying I can't be convinced. I'm just saying I. I. I feel my opinion. you know, I don't think there's a right or wrong answer I think there's just different ways of looking at things and the way I'm looking at this, the way I'm reading this, I'm not an attorney, but I can read is that 205 states clearly step 1, step 2, step 3 and step 4 and I don't believe that we've been following those steps. So my stance, you know, still stays the same, you know And I'm not against anybody making money, I'm just trying to cover our basis to be diligent and make sure that we're not creating any kind of, you know, any precedence that we don't want to get ourselves into, okay Thank you. Chair Asing: Thank you. With that, Councilmember Furfaro. Mr Furfaro: Yes, I appreciate everything that Councilman Kawakami had to share with us, especially as it relates to agricultural activities and bed and breakfast. In hindsight in some of the history, you should know by the previous councils, bed and breakfasts were purposely left off of this piece so that they can be incorporated in the farm tourism bill. And so nothing in our current TVR even addresses bed and breakfast, and perhaps in hindsight that wasn't the best. you know, that wasn't the best decision. Chair Asing: Yes, go ahead councilmember Mr Kawakami. That's a great interesting piece of history and like I say, I'm learning all the time from guys that have been there carving the path for me. So because of that mana`o, I'm very grateful. You know with that being said, maybe what we should do is just scrap this and go back and work on a bed and breakfast bill if that's more appropriate, okay? Thank you. Chair Asing: Okay, Councilmember Bynum. Mr Bynum. I appreciate the work that you've been doing, Councilmember Kawakami, and. because I think it's helpful to look at what our colleagues are doing elsewhere in the state who are bound by the same 205. And I think what you've pointed out is accurate that, you know, requires an ag tourism if you're going to contemplate allowing new non-farm activity on ag land, but one of the issues when I heard people in the community saying, hey, 205 is clear as a bell, no overnight accommodations period is a. You know I talked to our colleagues on Maui because they had just passed a bill regarding B&B that was permitting new overnight accommodations on ag land, so their view wasn't the same as what I heard from folks here and so these things are very complex and complicated, but you know, we made a decision as a council that I think we all are. are happy happened, that on March 7, 2008 no new TVRs. This bill now and all of the hu-hu COUNCIL MEETING -65- March 17, 2010 that's going around this is not about creating new ones, it's about dealing with the ones that were already there on the ground de facto and trying to. with legality and fairness deal with the ones that were already there, yeah, so. Chair Asing: Councilmember Kawakami. Mr Kawakami. No and I totally understand your intent. You've said it over and over again, this. the intent is not to, you know, allow any more new ones. That's crystal clear But I politely disagree with your statement that you're saying that that 205 section with the ag tourism bill was meant for counties that are contemplating allowing any new ones. I think that it's clearly stating that whether we're contemplating new ones or we're trying to address what we have now that this is a necessity I don't see anything. I don't know where you're reading that. that this. that the intent was to insert this kind of ordinance into our law book if we're contemplating new ones. I mean, I don't know where you're getting that. So, unless somebody from Maui told you that. They're reading 205 differently than I am or if they have a different set of 205 than I'm reading, I don't see that. So, I. I mean I'm just trying to read it and, you know, really break it down simply But I don't see that, so I politely disagree with your statement. Chair Asing: Thank you. Any go ahead, Councilmember Bynum. Mr Bynum. Yeah and I. we are at the beginning of this, but I kind of lost my train of thought. Mr Furfaro• I just want to point out something here Chair Asing: Go ahead. Mr Furfaro: I think we already made a motion. Chair Asing: Yes. Mr Furfaro: that this goes down and it doesn't require a vote. We've already made that motion. Am I correct, Mr Clerk? Chair Asing: No. Mr Nakamura. It does require a vote, the motion to refer it to the Planning Commission. Mr Furfaro• Right, but I don't.. I don't necessarily know that this is left over as an open discussion at the moment. We have the motion. (Inaudible.) Chair Asing: Yeah. Mr Furfaro: Okay, perhaps I didn't explain myself well. Mr Bynum. I just got my thought back and I. Chair Asing: Go ahead. COUNCIL MEETING -66- March 17, 2010 Mr Bynum. I think I can close with this. The bill as written would give those folks who could demonstrate that they on ag in particular, that they were operating prior to that date, the opportunity to apply, but they still have to meet the requirements of 205 and the planning department and commission will have to determine if they can. Chair Asing: Go ahead. Mr Kawakami. Thank you for the clarification. So, we're implying that these operators gotta comply with 205, but we don't have to? Mr Bynum. No, we. the bill would give them an opportunity to apply Mr Kawakami. l know Mr Bynum. and they would have to demonstrate to the planning commission, as I understand it, that they were in compliance with state law We don't have the authority as a county to violate state law Mr Kawakami. That's a good point. You should remember that when it comes to a vote. Chair Asing: We can. we can do it now, though, if that's the point. Mr Kawakami. I'm just making my point. Chair Asing: Okay, that's fine. Mr Kawakami. You know, it's going to go to. .if it goes to planning, I just hope that they take my comments into consideration. I'll put it down on paper so that when it gets to them, they they can work on it and send something back up different than what we've sent it down as, you know, if that's going to be the case. The last time it just came up as, you know, no action and you know we're here where we are, so. I'll get all my comments down. I'm still going to vote against it because philosophically nothing. none of my concerns have been addressed up to this point. Mr Furfaro: Okay, why don't we call for the vote before sending this down to the planning commission (inaudible)? Chair Asing: Okay, well, what I wanted to do was have people give their you know, whatever you feel and you have expressed that feeling so that we can move on. We're going to have a vote. Mr Furfaro: I've expressed what I needed to do. I don't think, from the county attorney, the date changes. I think the reality it cures some deficiencies. I think it addresses, you know, some of the deficiencies that we need to look in Chapter 46. Chair Asing: Okay, is there any further discussion. Mr Kaneshiro: If I may, Mr Chair COUNCIL MEETING -67- March 17, 2010 Chair Asing: Go ahead. Mr. Kaneshiro: You know, I'm not certain that this bill will somehow make us meet some of the requirements of 205 as stated. I have a question for the attorneys and I think we may have to pose this question in executive session. So, I'm not certain if we can call an executive session before we call for the vote to refer this to the planning commission, but I need to have some clarification on the intent of the bill of, you know, complying to part of 205(c), so I'm not certain if we can do it under these conditions. I'm asking maybe if we can have the county attorney up, but I won't ask him the precise question, but see if we could or could not. Chair Asing: Okay, I don't believe we can call an executive session, but I will have the county attorney up There being no objections, the rules were suspended. IAN JUNG, Deputy County Attorney- Good afternoon, councilmembers, council chair Mr Kaneshiro: You know, I have a question that may have to take us into executive session because I believe my question is relevant to part of the compliance of 205 and I don't want to expose the county or expose anyone to the conditions of, you know, liability So I'm not certain if at this time if I have a question to ask you if we could go into executive session to discuss the question that I have and come back to regular session for us to proceed, so. My question is can we or Mr Castillo: Excuse me, excuse me. Council Chair, may we request a short recess and maybe we can cover that question without going into executive, yeah. Chair Asing: Okay Mr. Kaneshiro: That's fine. The meeting was recessed at 4:09 The meeting was called back to order at 4.18 p.m., and proceeded as follows: Chair Asing: The meeting is now called back to order With that, Councilmember Kaneshiro. Mr Kaneshiro: Thank you for the opportunity to have the recess, Mr Chair Basically, you know, there were some amendments that I had floating around in my mind and I want to make sure that through the procedural process, you know, I'm on track and we stick on track and I was assured that we can go ahead and move this bill on and if there's amendments to be, later on when the bill either goes through planning commission or wherever it is, we could propose that. So, I'm satisfied with the recent recess. Thank you. Chair Asing: Okay, thank you. Any further discussion? Mr Furfaro: Yes, Mr Chair I do hope with this bill being introduced down to the planning commission and their review and their public process that in fact this time we get something back with comments. i I COUNCIL MEETING -68- March 17, 2010 Chair Asing: Thank you. Any further discussion? If not, I'd like to take the time to do some comments. The first comment that I'd like to make is that let the sunshine in. We have taken out every area of public involvement out of this bill. When we worked, I thought, so hard to put in the public involvement, getting the public involved so that they have an opportunity We have completely taken that out. So, I'm really concerned about that. But I think the major issue that I have is I view this bill as the most important bill on land use. This bill together with the farm worker housing bill, I don't know where that is going, but when you put the two together, the long-term effect it'll have on land use is going to be horrifying if not done correctly, and I don't believe that it is heading in that direction. Now what I'm really making reference to is land use. In my opinion, I believe, as an example, that the 25 or 26, I believe, applicants in the ag district who do not have conformance permits more than likely will end up getting their permits. I'd like to predict that it'll be in the high 80%, if not 100%. Then what will you have in fact? What will you have done to our ag lands on what is permissible or not permissible? And that's the direction that we're heading in. And I see this as an attempt to get that, in fact, done. That's my view It'll happen because we let it happen. So, the two main issues land use today and land use down the road. This is another example of why I voted many, many years ago against the opening up of the additional dwelling in ag and open, right, because I saw the effect then. It took us over 15 years to get rid of that, then we say oh, look at all the problems we've caused. Why didn't you ask me 15 years earlier? I could have told you that. In fact, you look at the minutes, I told you that and I'm telling you now that down the road, this is what we're going to do. Why in the hell did we do that? Why did we allow that to happen? Land use planning, what do we plan to have our lands used for? And we have the four districts, state, you know we have the ag, we have conservation, we have the districts set and for it's for those purposes. That's why they were designated. And I think it's something that I cannot live with and that's why I'm not going to support it. Besides, in my opinion, I believe that it is not lawful. And one of the reasons I say that. one of the many reasons I say that is of the Hokulea decision on the island of Hawaii. There was no decision that was made. There was an agreement at the very end, so there is no court ruling on it. But you know, Judge Ibarra was able to stop that project and that's thousands of acres of lands that were used what they felt was not for agricultural purposes, and that to me is striking. We have other court rulings and I won't go through that, but I believe that we're going to have to be real careful. I tell you I view this bill here, the farm worker housing bill will be another major one, if you think the. the housing units when we did the ag subdivision and we started to do the CPRs is bad, wait and see what's going to happen down the road. I can see three things. So, we're now working on three bills that I see is very important and this one here hopefully we can get through correctly I believe it's possible, but it is certainly not heading in the right direction. And if I am correct, my prediction is that those ag units out there is going to be given their permits and that is going to be Kilauea and Moloa`a and everything else, it is all over because that's only short-term. What's going to happen in the long-term. So with that, thank you very much. Roll call vote, please. Mr Chang: Excuse, Mr Chair Thank you. So, can we explain what exactly are we voting for now? COUNCIL MEETING -69- March 17, 2010 Mr Furfaro: We're voting to send this bill. Chair Asing: To send this bill down to the planning commission. Mr Furfaro• to the planning commission for public hearing and sunshining that there can be more dialogue. Mr Chang: Thank you. Mr Furfaro: And that is not associated with the questions that the chair brought up dealing with the ag farm worker housing bill and so forth. Mr Chang: I understand. Mr Furfaro: We got ag land, we got no workers. That's a separate problem. This bill is about controlling any future growth and it goes to the planning commission. Chair Asing: Okay, Peter, roll call. Mr Nakamura. The motion is to refer this bill to the planning commission for recommendation. The motion to refer Proposed Draft Bill No. 2355 to the Planning Commission for recommendation was then put, and carried by the following vote. FOR REFERRAL. Bynum, Chang, Furfaro, Kaneshiro, Kawahara TOTAL - 5, AGAINST REFERRAL. Kawakami, Asing TOTAL - 2, EXCUSED & NOT VOTING None TOTAL - 0 Chair Asing: Next item please. Mr Nakamura. Mr Chair, at this time on page 5 of the council's agenda, if we could go to Proposed Draft Bill No. 2354. Proposed Draft Bill No. 2354 - A BILL FOR AN ORDINANCE TO AMEND SECTION 19-1.3 AND SECTION 19-1.4 OF THE KAUAI COUNTY CODE 1987, AS AMENDED RELATING TO PARKS AND RECREATION Mr Nakamura. This is a bill that's up for first reading. Chair Asing: Thank you. Can I have a motion please? Mr Chang: Move to approve. Mr Bynum. Second. Mr Nakamura. Oh no, no. Chair Asing: Hang on, we have public hearing too. Mr Bynum. This is 2354? Mr Kaneshiro: Yes. COUNCIL MEETING -70- March 17, 2010 Mr Bynum. Move to approve on first reading and schedule public hearing for April 14, 2010, and refer to the Parks and Recreation Committee. Chair Asing: Okay, can I have a second to that? Mr Chang: Second it. Mr Bynum moved to approve Proposed Draft Bill No. 2354 on first reading, schedule public hearing for April 14, 2010, and thereafter refer it to the Parks/Transportation Committee. Chair Asing: Okay, Mel, you want to speak on this? MEL RAPOZO• Yeah, please. Chair Asing: Oh, okay The rules are suspended. There being no objection, the rules were suspended. Mr Rapozo: Thanks again and I appreciate your guys scheduling the two bills that I was concerned about on the same day because it's tough to get out here now days. Again, Mel Rapozo for the record. I just wanted to make a few comments and it really boils down to the fiscal issues that we face right now I think a recent article in the paper, they talked about the conditions of the parks and, you know, I realize that the economy is bad, but we all know the conditions of the parks has been that way even when the economy wasn't bad. It's not a matter of Comet and Clorox, it's really a matter of personnel. We don't have enough personnel to properly maintain our parks, the current parks that we currently have. That's the bottom line. I read a lot of comments in that article, but the reality is our parks department simply to maintain the standard that the people are requesting, we just don't have enough people. With the impending furloughs, and I got these numbers from the county, 45 employees that are assigned to parks and beautification as caretakers and so forth, they get furloughed two times a month, that's 90 work days a month that'll be lessened to maintain the parks. So, I am not sure why this is coming forward now because as it currently stands, the.. and I've spoken to the caretakers, they do not have enough time in the day to properly take care of the parks, much less the bike path and the dog poop and all of that. So I am here to basically say, let's not punish the employees any more. They all got their notices of furlough attached to their paychecks this week. They are going to be taking a hit financially The last thing I think we should be even considering is giving them more work for less money I think it's just not fair and yes, I think, you know, a lot of people want to see dogs along the path, you know, they're already on all phases of the path, they are and I think you all know that. But the issue here really is not. not so much about the benefits or the problems, it's really the fiscal. the condition of this county right now financially doesn't allow this county to increase the workload of the public workers, especially at a time when we're cutting back on their paychecks and that's all I really have today Thank you. Chair Asing: Thank you. Is there anyone else? LEI1 ANI MINDORO, UPW Kauai Division Director- Good afternoon. My name is Leilani Mindoro. I am the UPW Kauai Division Director and I'd like to just take a couple of minutes to give the position of the union and the members. COUNCIL MEETING - 71 - March 17, 2010 Basically our union is the members and I went back to two articles in the newspaper One March 15, Monday, 2010 and I'm sorry I'm really nervous. This is the first time I've ever done this. So and Tuesday, March 16, and one of the things that I want to provide to you is the quote from Mr Bynum and where he said current realities are we're in a fiscal crisis and we are. And as you heard from Mr Rapozo, the manpower requirements to maintain only the current pilot, 18-month pilot, which has not even been completed until Ma. the end of May, and now you want to extend it to an area to include the complete path. It's not appropriate. We're not talking about the top of the food chain. We're talking about BC-2, wage board 2 employees who are giving up two days to be fiscally responsible, but the manpower to maintain safe, adequate parks for our children, our grandchildren to go out there and play, to be able to maintain them with the five vacancies that they have that haven't been filled is. it's fiscally irresponsible and as a representative of the employers, they shouldn't be asking their employers to give up their employees to give that up The employees are willing to. their position is, we don't mind having a contained area, a contained dog park, an area where we don't have to go whatever the. what is the mileage or the stretch of area that they have to clean and if there's a call that they have to go to an area to clean up a mess, then they have to drop the duties that they're doing and then move to. via cart or somebody come pick them up in a truck and take them to an area where they have to clean. It's not time efficient. It doesn't give the ability of the employee to maintain the quality of work that they take pride in. I teach soccer to six-year-olds and when I have to go and fill pukas because there's not enough manpower to fill an area in a soccer field so a child doesn't break their ankle. The members don't mind. We say, we'd rather have the dogs in an area where it's self- contained. Make the dog owners responsible for maintaining that area. They can go in and clean. It could be an adjacent park to an existing park now But again, they want to be a part of the solution, but not to be used and abused, so to speak, and. and I get so emotional about this because these are our members and they work really, really hard. I have members come up and say, hey, you know, people in the park and say, the guys did a really great job I tell them, write to the employer, let them know because your children play in that park and we want it safe. Mr Nakamura. Three minutes, Mr Chair Ms. Mindoro: The liability is going to become the employer's and the county's if anything happens to those children or those elderly and that's the position of the union. The union stands behind the members requesting that it be a contained area not so large Chair Asing: Okay, thank you. With that, Councilmember Furfaro. Mr Furfaro: Yes, thank you very much for your testimony, but I didn't want you to get by today without recognizing that your labor union ratified last week Friday? Ms. Mindoro- Yes. Mr Furfaro• Am I correct? Ms. Mindoro Yes. Mr Furfaro: And it was by 88%? I COUNCIL MEETING -72- March 17, 2010 Ms. Mindoro: Approximately 88% statewide. Mr Furfaro: I just wanted to personally thank your labor force on understanding the financial conditions of the county and agreeing to those concessions. Thank you very much. Ms. Mindoro: Okay, thank you. Chair Asing: Any other questions? I have a question for you. Ms. Mindoro- Yes, Chair Chair Asing: Have the union and the administration come to an agreement on the handling of the dog poop? Or is that still in limbo? Ms. Mindoro: It's still in limbo. Basically there's the task force in which our representative is a part of that and only recently the employer and I would say within the last four to six weeks, the employer has presented a proposal to give additional duties to the employees and part of the process through the union is they send a letter of consultation and negotiation, then the union meets with the employees, and we've already met with the employees and this is part of the resolution, but the process has to be completed. It's not even there yet. There still needs to be a meeting again with the employer and then our recommendations will be made to the state director. The state director then makes his. either approval or disapproval based on the recommendations of our division. Chair Asing: Okay, good, thank you. Councilmember Bynum. Mr Bynum. Thanks, thanks for being here. Two things, first of all I'm disappointed to hear that it was only four to six weeks ago that the administration tried to address this issue because the council passed the bill more than a year ago and so. The other thing is that I agree with you about furloughs and I don't know that that's set in stone That's a proposal from the mayor The negotiation with UPW, and you can correct me if I get this wrong, was that the counties could have an option of applying furloughs. Not every county has applied that fully I don't think that decision's fully made on Kauai. Ms. Mindoro: To answer your question, councilman, the actual decision has not been made; however, the intention of the mayor in Tuesday's, March 16th newspaper states that Kauai County intends to furlough its employees two days per month. So again, while it's not set in stone and documented in writing, the commitment was 0 to 24 and by this statement I would. I would. and. and maybe it's too soon for me to assume, but the paper states his intentions and you know, it's in black and white. It's not the union stating, you know, it's there. Mr Bynum. And so you mentioned five vacancies. Is that in the park caretakers? Ms. Mindoro: Five vacancies within the park caretakers and you know, I have. there's about 211 acres of land in the Kawaihau District and in that area you have one vacancy, you have two.. three. five. excuse me, I didn't do all the math. math and calculations, but you have 11 park caretakers. Currently you have a working supervisor that's doing temporary assignment outside, so you're COUNCIL MEETING -73- March 17, 2010 breaking down that even less because you have a park caretaker doing working supervisor So you're. only 10 employees to cover 211 acres, which is the biggest acreage of all the park areas. And so again, fiscally, it's irresponsible at this time to prematurely, while the pilot is not even completed, to present a bill that is going to task the workforce even more. Mr Bynum. I understand your testimony and. but in. I think I also said in that article that you quoted that our people are stepping up and working hard to try to deal with the vacancies that they currently have, and so I kind of disagree with Mel a little bit in that I believe that the park maintenance improved dramatically over the last three or four years and it's starting to be difficult to maintain that level of standard because of the vacancies and. and because of the fiscal thing. So, thank you for your testimony Ms. Mindoro: Okay, can I just respond to your Mr Bynum. Sure. Ms. Mindoro: your statement in regards to the vacancies. My understanding from the employer is that everything is frozen and they're not going to be hiring any park caretakers. So at this point, I don't. in the near future, I don't see any positions being filled at that time. Mr Bynum. And just. and we're about to go into our budget sessions and budget deliberations, but you know, those are some of the questions I'm going to ask. If. I'm not a fan of furloughs. I think we should try to avoid them or limit them. You know that Maui announced their intention just to do one day a month, not two, and one of the questions is like mayor, if you intend to furlough, does that mean you're going to hire the vacant positions because we've already taken actions by freezing positions, by not filling vacancies to help address the fiscal issues of the county And so I think adding one more on top of that and they all play together, vacancies and potential days off work, because you know, yeah, anyway So, but that's also at the beginning of the process and just regards of why the bill now is it sunsets in May, right, so. And our council time schedule, whether we're. whatever we're going to do, we're going to extend it, we're going to open it, we're going to restrict it, it has to be done by May or the bill sunsets. Ms. Mindoro- And I'd like to find out if they're not going to hire, how are they going to maintain with the furloughs? Mr Bynum. I think that's a great question. Chair Asing: Councilmember Kawakami. Yeah, just a point of clarification, I thought I heard something that. might not be right, but you know, I just find it hard to see us hiring any new bodies and furloughing people at the same time. I mean how do you justify to the worker that you just cut two days out of their, you know, work month and saying, we're hiring five new guys. So, I don't know if I heard you correctly on trying to reason the hiring and the furloughing, so I'm a little confused as to that logic. Mr Bynum. Well, what I was trying to say is we already have a reduced workforce because of the vacancies; I don't think we should add furloughs on top of that. So, I wasn't saying let's furlough and hire these positions. So, it was kind of a rhetorical question. COUNCIL MEETING -74- March 17, 2010 Chair Asing: Any other questions? If not, thank you very much. Ms. Mindoro: Thank you very much. Chair Asing: Yeah, go ahead, Mel. Mr Rapozo: Thank you, Mel Rapozo again. And I just wanted to ask again that this council respect the current bill, you know, and the work that went in by the prior council regarding the trial period evaluation. The whole purpose of that 18-month evaluation was so that the administration could come back with an evaluation and the bill spells out what the council at the time was looking for, and it was basically satisfaction of dog owners, satisfaction of other park users, I mean there's a whole list of measurements that really was placed in the ordinance which is the law And you know, I just would ask that this council respect that process back from the last council and live out the evaluation period, do the measurements that was required, and then decide what action to take at that time. I think that's only fair and that's out of respect for the prior council. Thank you. Ms. Kawahara. Hi, Chair Chair Asing: Councilmember Kawahara. Ms. Kawahara. I'm so. yes, thank you. I'm so glad you brought that up because I don't know if you know but the survey is done The requirements that were placed into the ordinance from the previous council have been completed. I have spoken with administration to try and get them to come and do a presentation on that so we can move along, we can address all of the issues that were brought up in the previous council with the bill itself. All of that stuff is in line. We are just waiting from administration to come and present that and I think. I think people would be really interested to see. to see that survey Also, so that I've been speaking with them because I know the May deadline is coming up and I've been speaking to them since February/March, February, actually early in February to be sure we could get this going. So, I am still awaiting a package from the parks director Lenny and I'm looking forward to it and I'm sure he knows that we are on a timeframe because of the bill itself has a sunset date in May Mr Rapozo: So wouldn't you agree that this is. Ms. Kawahara. So thank you for bringing. Mr Rapozo: premature. I mean the public never had an opportunity to. Ms. Kawahara. We're doing. we're going to have. Mr Rapozo: to evaluate what. When I was the.. and I can. I speak because I was on the council when we. that was the whole purpose of this section was so that the public could participate. Ms. Kawahara. Right, so this is. yeah. So this is the first reading, right. Mr Rapozo: So I'm asking. I mean it's pretty premature to do this before the evaluation was done. COUNCIL MEETING -75- March 17, 2010 Ms. Kawahara. Do what? Mr Rapozo: The bill. Ms. Kawahara. This bill. Mr Rapozo. Correct. Ms. Kawahara. We're addressing the fact that we have to have something going so that when we hit May that we're already started with something. Mr Rapozo: Right and I. that's fine. Ms. Kawahara. So at the same time, we can have. I think we can do both. Mr. Rapozo: I mean, I guess would have much rather seen a request from yourself to the county (inaudible) Ms. Kawahara. I sure would have liked to have it come before. Mr Rapozo: Right. Ms. Kawahara. But it didn't get here. Mr Rapozo• And that's what I think I'm saying. Ms. Kawahara. So this is why we're here and hoping that they'll get the urgency Mr Rapozo: Yeah, well, I think they got the urgency, but I'm just saying that that's. this is where that discussion should occur, not across the street at their office. I mean the public should have that data as well. Ms. Kawahara. Yes, definitely Chair Asing: Councilmember Bynum. Mr Bynum. I just want to answer that question, Mel, because you know we were preparing this ordinance and you know the suggestion from our staff was exactly what you said, let's collaborate with the administration. So. because we've had a task force, a number of which meetings I've attended and at a task force meeting, we agreed that today's date would be the date that they would present a request to the council to present their findings and we would introduce the bill. and concurrently They haven't followed through with that and so we're asking them because, you know, that. we said, you want this to be two weeks ago or oh no, let's make it on the 7th and today's the 17th, yeah. Mr Rapozo: 17th Ms. Kawahara. Yeah. COUNCIL MEETING -76- March 17, 2010 Mr Bynum. Right, so I expected. I mean that's what they said, we're ready to go, we'll put this on. on the 17th, but the communication didn't come. Chair Asing: Councilmember Kawakami. Mr Kawakami. Thanks, no, I just a little bit confused. Did we. did we. did I just hear that we got the. the survey, the survey's done and everything is complete on that side. Chair Asing: Well, I don't think you can say the survey is done. Mr Kawakami: Oh no, but I. that's why I'm asking, but I heard that. Chair Asing: I mean we have an 18-month period for this trial, so part of the survey could have been complete, but I don't think it's complete in its entirety because we said that we're going to run this for 18 months and we're going to bring one of the reports in prior to the end. So I think it's ongoing. Mr Kawakami. No, that question was addressed more towards the parks committee chair because she's probably privy to some info, yeah. I mean if the survey was done, I kind of heard it was addressed to the speaker that the survey is complete and. Ms. Kawahara. My understanding from this email, it says, I ask for the shared user path survey and they have not gotten together the entire package. My understanding is that the survey is there. I don't know what the other package part is that they want to put together to come here. Mr Kawakami. But the results are not here yet. Ms. Kawahara. 1..I would definitely that was something that I was hoping to get answers for in a communication. (Inaudible.) Mr Rapozo: I think what Lani told me that the survey was done and I would be surprised with the results, that's what I heard. So I'm assuming that it's done. Mr Kawakami. Do you have the results on it? Ms. Kawahara. No, I'm waiting for it to come over from administration. Mr Kawakami. Oh. Ms. Kawahara. Because that's the right process, yeah. Mr Kawakami. Okay, thank you. Chair Asing: Councilmember Kaneshiro. Mr Kaneshiro: I don't have any questions for the speaker or the testifier, so I'll just wait till you call the meeting back to order Mr Rapozo: Okay, I'm done. COUNCIL MEETING -77- March 17, 2010 Chair Asing: Thank you. Is there anyone else? Ms. Mindoro: Thank you. I just wanted to clarify So, Trina, who is our agent who sits on this task force, was under the understanding that it.. it should have been completed and presented. However, when I said it was premature, it's premature because again like Chair Asing said it's the. the whole package should be completed at the end of May, that is the end of the pilot program. To prematurely and unless you know something that we don't and I believe the committee should have. they were told they were going to be provided that information, however, the last meeting was canceled, so we don't have that information. We would like that prior to just like anybody else as being part of that committee. Ms. Kawahara. Right, yeah, I was at the committee and I'm sorry she wasn't I think Nina. Was her name Trina? Ms. Mindoro: Yes. Ms. Kawahara. Trina wasn't there at that time, so I think all of us are wondering about the survey and the question. the official answers would have to come from administration. Ms. Mindoro: Okay because my understanding again was that it was completed by your answer to Mr Rapozo. So, it's not completed? Ms. Kawahara. I don't know I don't have an official answer Chair Asing: Thank you. I'd like to call the meeting back to order I believe we have a motion on the floor and a second. Okay, let's have roll call then. There being no one else wishing to speak on this matter, the meeting was called back to order, and proceeded as follows: (Inaudible.) Chair Asing: The motion is to approve on first reading, schedule public hearing, and refer back to Parks & Recreation. Mr Kawakami: With that being said, I got one more item of discussion then. Chair Asing: Go ahead. Mr Kaneshiro: Same here. Mr Kawakami. You know, I'll vote. I'll vote with this to get it through the process, but until we get the reports back, I'm not proceeding any further on this bill, you know, and just for clarification, I mean we should have kind of waited to get some report back. I mean that would have been the thing, but it's not a big deal. We're just going to get this thing through the first reading, but in the future, if we don't have results, you know, kind of wait for the results, yeah, to come in. COUNCIL MEETING -78- March 17, 2010 Chair Asing: Okay, Councilmember Kaneshiro Mr Kaneshiro: And I have the concern, Mr Chair, is that I think, you know, if you read the bill itself, the bill sets a trial period starting from the date we voted or the council voted on the bill to pass the bill to allow this to happen and I believe that was close to 18 months ago. I probably was on the council at that time, I don't remember if I was or not, it's been some time. But you know, I would suggest to the chair of this committee, first of all is send a written communication requesting any evaluation. I assume there were some evaluations done up to this period of time because we're coming right around the clock for the 18-month period. So the proper procedure would be, first of all, for the chair of this committee to send a communication to the administration rather than verbally speaking to the administration for results. And when we get to see some of the evaluation, then we can make some determination as to how we want to move forward on this bill or not. So, you know, I have the same reservations about moving a bill forward without reviewing any evaluations at all as I assume the administration has had the time and effort to conduct such evaluation by setting up a committee as called for by the ordinance. Chair Asing: Thank you. Ms. Kawahara, Point taken. I will send another communication, so that will be fine. Mr Kaneshiro: So there was a communication sent then? Ms. Kawahara. It was a. it was a communication by email. Mr Kaneshiro: But verbal communication or written communication? Ms. Kawahara. Email, so if that is not certifiable, I will definitely get one that is written on a memo, but it was a discussion that I had with them. Mr Kaneshiro: I just. Ms. Kawahara. And then I followed up with the email. Mr Kaneshiro: That's fine. You know, I don't want to get off the subject, but you know, we talk about sunshine, we talk about openness, we talk about things like this, I would prefer that if we do send communications as such, it be routed to the council as I did with Mr Tim Bynum's request so we all can see that there is communications going on and there were requests and therefore when it comes before the body like this, I'll not have to sit here like a dummy, so, you know, I just wanted to make that point. Chair Asing: Let the sunshine in. With that, roll call. Mr Nakamura. The motion is to approve the bill on first reading, schedule public hearing for April 14, 2010, and refer to the Parks/Transportation Committee. COUNCIL MEETING -79- March 17, 2010 The motion was then put and carried by the following vote: FOR PASSAGE. Bynum, Chang, Furfaro, Kaneshiro, Kawahara, Kawakami, Asing TOTAL - 7, AGAINST PASSAGE. None TOTAL - 0, EXCUSED & NOT VOTING None TOTAL - 0 Chair Asing: With that. Mr Nakamura. We're back on page. Chair Asing: Okay Mr Nakamura. 3 of the council's agenda, on claims, communication C 2010-72, a claim filed against the county by Alla Royss; C 2010-73, a claim filed against the county by Bruce Hale, C 2010-74, a claim filed against the county by Jason Furutani. CLAIMS. C 2010-72 Communication (02/24/2010) from the County Clerk, transmitting a claim filed against the County of Kauai by Alla Royss for harassment and emotional distress, pursuant to Section 23.06, Charter of the County of Kauai. Mr Kawakami moved to refer C 2010-72 to the County Attorney's Office for disposition and/or report back to the Council, seconded by Mr Bynum, and unanimously carried. C 2010-73 Communication (02/26/2010) from the County Clerk, transmitting a claim filed against the County of Kauai by Bruce Hale for damage to his personal property, pursuant to Section 23.06, Charter of the County of Kauai: Mr Kawakami moved to refer C 2010-73 to the County Attorney's Office for disposition and/or report back to the Council, seconded by Mr Bynum, and unanimously carried. C 2010-74 Communication (03/08/2010) from the County Clerk, transmitting a clam filed against the County of Kauai by Jason Furutani for damage to his vehicle, pursuant to Section 23.06, Charter of the County of Kauai. Mr Kawakami moved to refer C 2010-74 to the County Attorney's Office for disposition and/or report back to the Council, seconded by Mr Bynum, and unanimously carried. Chair Asing: Next item please. Mr Nakamura. Next matter on page 4 is a committee report from your Committee on Budget & Finance. COMMITTEE REPORT- BUDGET & FINANCE COMMITTEE REPORT: A report (No. CR-B&F 2010-06) submitted by the Budget & Finance Committee, recommending that the following be received for the record on second and final reading: COUNCIL MEETING -80- March 17, 2010 i "B&F 2010-1. Communication (01/21/2010) from Tim Bynum, Councilmember, requesting the Administration's presence to provide a comprehensive overview of the fiscal condition of the County of Kauai for the upcoming Fiscal Year 2010-2011," Mr. Kawakami moved for approval of the report, seconded by Mr Chang, and unanimously carried. Mr Nakamura. Next matters are resolutions, Resolution 2010-29, which is resolution for reappointment to the Board of Water Supply for Dee Crowell, and Resolution 2010-30, which is mayoral appointment to Liquor Control Commission Heidy Yamamoto, if we could defer those matters pending interview, Mr Chair RESOLUTIONS. Resolution No 2010-29, RESOLUTION CONFIRMING MAYORAL REAPPOINTMENT TO THE BOARD OF WATER SUPPLY (Dee Crowell): Mr Kawakami moved to defer Resolution No. 2010-29 pending interview, seconded by Mr. Chang. Resolution No. 2010-30, RESOLUTION CONFIRMING MAYORAL APPOINTMENT TO THE LIQUOR CONTROL COMMISSION (Heidy Huddy-Yamamoto)- Mr Kawakami moved to defer Resolution No. 2010-30 pending interview, seconded by Mr Chang. Mr Furfaro: I would also like to make note earlier we were going to send a communication to the administration with the potential conflict with 16.4 in the Liquor Control Rules. Mr Nakamura. So noted, Mr Chair Chair Asing: Thank you, with that, roll call please. Mr Nakamura. Oh no, just voice vote Chair Asing: Okay All those in favor say, aye. The motion to defer Resolutions Nos. 2010-29 and 2010-30 pending interview was then put, and unanimously carried. Chair Asing: Next item please. Mr Nakamura. For Resolution No. 2010-31, which is authorizing filing of the Kauai County 2010 Action Plan for the HOME Investment Partnerships Program, and Resolution No. 2010-32, which is a resolution authorizing filing of the Kauai County 2010 Action Plan for Community Development Block Grant Programs, there is a request to defer these until the county housing agency conducts its public hearings, Mr Chair Resolution No 2010-31, RESOLUTION AUTHORIZING THE FILING OF THE KAUAI COUNTY 2010 ACTION PLAN (HOME INVESTMENT PARTNERSHIPS PROGRAM) WITH THE DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT, UNITED STATES OF AMERICA, FOR A GRANT UNDER TITLE 11 OF THE CRANSTON-GONZALEZ NATIONAL AFFORDABLE COUNCIL MEETING -81- March 17, 2010 HOUSING ACT (PUBLIC LAW 101-625) AS AMENDED- Mr Furfaro moved to defer Resolution No. 2010-31, seconded by Mr Chang, and unanimously carried. Resolution No. 2010-32, RESOLUTION AUTHORIZING THE FILING OF THE KAUAI COUNTY 2010 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- Mr Furfaro moved to defer Resolution No. 2010-32, seconded by Mr Chang, and unanimously carried. Chair Asing: Next item please. Mr Nakamura. Next matters are Bills for First Reading, first bill for first reading, Proposed Draft Bill No. 2350 BILL FOR FIRST READING Proposed Draft Bill No. 2350 - A BILL FOR AN ORDINANCE AMENDING CHAPTER 8, KAUAI COUNTY CODE 1987, RELATING TO ZONING DESIGNATION IN WAIMEA, KAUAI (C Ahko Inc., et al., Applicant)- Mr Bynum moved for passage of Proposed Draft Bill No. 2350 on first reading, that it be ordered to print, that a public hearing thereon be scheduled for April 14, 2010, and that it thereafter be referred to the Planning Committee, seconded by Mr Furfaro, and carried by the following vote. FOR PASSAGE. Bynum, Chang, Furfaro, Kaneshiro, Kawahara, Kawakami, Asing TOTAL - 7, AGAINST PASSAGE. None TOTAL - 0, EXCUSED & NOT VOTING None TOTAL - 0 Chair Asing: Next item please. Mr Nakamura. Next bill for first reading is Proposed Draft Bill No 2351. Proposed Draft Bill No. 2351 - AN ORDINANCE AMENDING ORDINANCE NO B-2009-690 AS AMENDED, RELATING TO THE OPERATING BUDGET OF THE COUNTY OF KAUAI, STATE OF HAWAII, FOR THE FISCAL YEAR JULY 1, 2009 THROUGH JUNE 30, 2010, BY REVISING THE SURPLUS AND APPROPRIATIONS ESTIMATED IN THE SEWER FUND (<$171,957>-Unappropriated Surplus Fund Equity; <$171,957>-SRF Loan Payments): Mr Kaneshiro moved for passage of Proposed Draft Bill No. 2351 on first reading, that it be ordered to print, that a public hearing thereon be scheduled for April 14, 2010, and that it thereafter be referred to the Budget & Finance Committee, seconded by Mr Furfaro, and carried by the following vote. FOR PASSAGE. Bynum, Chang, Furfaro, Kaneshiro, Kawahara, Kawakami, Asing TOTAL - 7, AGAINST PASSAGE. None TOTAL - 0, EXCUSED & NOT VOTING: None TOTAL - 0 Chair Asing: Next item please. COUNCIL MEETING -82- March 17, 2010 Mr Nakamura. On the top of page 5, Proposed Draft Bill No. 2352 for first reading. Proposed Draft Bill No. 2352 - AN ORDINANCE AMENDING ORDINANCE NO B-2009-690 AS AMENDED, RELATING TO THE OPERATING BUDGET OF THE COUNTY OF KAUAI, STATE OF HAWAII, FOR THE FISCAL YEAR JULY 1, 2009 THROUGH JUNE 30, 2010, BY REVISING THE SURPLUS AND APPROPRIATIONS ESTIMATED IN THE GENERAL FUND (Solid Waste Fund)- Mr Kaneshiro moved for passage of Proposed Draft Bill No 2352 on first reading, that it be ordered to print, that a public hearing thereon be scheduled for April 14, 2010, and that it thereafter be referred to the Budget & Finance Committee, seconded by Mr Furfaro, and carried by the following vote. FOR PASSAGE. Bynum, Chang, Furfaro, Kaneshiro, Kawahara, Kawakami, Asing TOTAL - 7, AGAINST PASSAGE. None TOTAL - 0, EXCUSED & NOT VOTING- None TOTAL - 0 Chair Asing: Next item please. Mr Nakamura. Last bill for first reading is Proposed Draft Bill No. 2353. Proposed Draft Bill No. 2353 - AN ORDINANCE AMENDING ORDINANCE NO B-2009-690 AS AMENDED, RELATING TO THE OPERATING BUDGET OF THE COUNTY OF KAUAI, STATE OF HAWAII, FOR THE FISCAL YEAR JULY 1, 2009 THROUGH JUNE 30, 2010, BY REVISING THE SURPLUS AND APPROPRIATIONS ESTIMATED IN THE GENERAL FUND (Golf Fund): Mr Kaneshiro moved for passage Proposed Draft Bill No. 2353 on first reading, that a public hearing thereon be scheduled for April 14, 2010, and that it thereafter be referred to the Budget & Finance Committee, seconded by Mr Bynum, and carried by the following vote. FOR PASSAGE. Bynum, Chang, Furfaro, Kaneshiro, Kawahara, Kawakami, Asing TOTAL - 7, AGAINST PASSAGE. None TOTAL - 0, EXCUSED & NOT VOTING None TOTAL - 0 There being no objection, the rules were suspended. Mr Castillo: Good afternoon, Council Chair, councilmembers, Al Castillo, county attorney I guess this matter for your consideration, ES-428, pursuant to Hawaii Revised Statutes and the Kauai County Charter, the purpose of this executive session is to consider the evaluation of officers and/or employees, where consideration of matters affecting privacy will be involved and associated matters. This briefing and consultation involves consideration of the powers, duties, privileges, immunities, and/or liabilities of the council and the county as they relate to this agenda item. ES-428 Pursuant to Haw Rev Stat. sections 92-4, 92-5(a)(2), (4) and (8), and Kauai County Charter §3.07(E), the purposes of this executive session are to consider the evaluation of officers and/or employees where consideration of matters affecting privacy will be involved and associated matters. This briefing and consultation involves consideration of the powers, duties, privileges, immunities and/or liabilities of the Council and the County as they relate to this agenda item. COUNCIL MEETING -83- March 17, 2010 Mr Furfaro. So I make a motion to move into executive session. Mr Bynum. Second. (Inaudible.) Chair Asing: What is it about, county attorney? I'm not sure I even understand what this is. Mr Castillo- Okay, all I can read to you, Council Chair, is what I've stated here and I think if we move into executive session, I can tell you exactly what it is about. But from here it does appear to be an. an employment personnel matter, which is confidential. Chair Asing: Employment personnel matter Mr Castillo: Yes, it does say the evaluation of officers and/or employees. I cannot be more specific. I don't want to violate anyone's rights. Chair Asing: Okay, thank you. With that, I'd like to call the meeting back to order and have a motion to move into executive session. The meeting was called back to order, and proceeded as follows: Mr Kaneshiro made the motion to move into executive session, seconded by Mr Furfaro, and unanimously carried. The meeting was recessed at 5.02 p.m. ADJOURNMENT- The meeting was called back to order, and there being no further business, the meeting was adjourned at 7 13 p.m. ~Respectfully submitted, PETER A. NAKAMURA County Clerk /wa