TRANSPARENCY HAWAII

Proposed County Council Bill 132 is scheduled for hearing next Tuesday September 10th at the Council’s Finance Committee Meeting (Time yet to be announced) Here is the problem: We, the County, have a budget shortfall. Mayor Kenoi is trying to find a way to deal with this shortfall. One of his proposals is to sell the County’s 700 plus acre parcel located in Hamakua. There are many who believe selling off our land is a terrible way to raise these funds, especially in this economy, and have been suggesting alternative answers to this financial crisis, for example, use the large surplus from unfunded positions in the County government, impose impact fees and other appropriate development exactions, borrow funds while we put in place some revenue initiatives, make an aggressive push to obtain for more stimulus and federal funds. But Mayor Kenoi’s point is we need these funds sooner than later.

There appear to be a majority of Council members who want to authorize the Mayor to sell the Hamakua land in what ever way he designates, for whatever amount the administration negotiates, to whomever the Mayor chooses. There is currently no requirement that any auction or private sale by the Kenoi administration be carried out in a transparent manner. This lack of transparency and accountability is not acceptable.

The concern for many of us is that what if the entity purchasing this land is a Monsanto type corporation that will use GMOs on the land and thereby not only affect the crops and soil on this land but also adversely impact all of the surrounding area of Hamakua. Many of us are especially worried because a number of our Big Island legislators, who say they “support agriculture” and home rule, contrary to those stated positions, the major supporters of legislation that would prevent the County from EVER being able to regulate the use of GMOs on this island. It would be “Monsanto law” that would trump any future state or county regulations. Not acceptable.

Dominic Yagong’s proposed legislation does not stop the Mayor from negotiating to sell the Hamakua parcel. It would however make the process transparent – so the public would learn who the intended purchaser is, what they intend to use the parcel for, and what price is proposed. The public is tired of backroom deals. This is our land. We the people should have a say about what happens to this land. IF YOU ARE CONCERNED PLEASE ATTEND THE COUNTY COUNCIL FINANCE COMMITTEE HEARING ON SEPTEMBER 1ST AND TELL THE COUNCIL WHAT YOU THINK

BELOW IS A COPY OF COUNCILMAN YAGONG’S PROPOSED LEGISLATION, BILL 312, AND HIS EXPLANATION:

Aloha Friends,

I am proposing amendments to the Hawaii County Code which is designed to set up a process that will provide the public an opportunity to review and scrutinize land sales by administration of 10 acres or larger PRIOR to finalizing any deal.

As you know, the Mayor is asking for authorization to sell approximately 737 acres of County lands in Paauilo. He has also commissioned PBR Hawaii to prepare a separate Environmental Assessment to sell the remaining 2780 acres of public lands in Hamakua. I truly believe this is short sightedness, especially since the Hamakua Community Development Plan (CDP) was funded ($411,000) and is currently underway. Selling the lands prior to the CDP process doesn’t make any sense, especially with the real estate market at an all time low.

Although the Mayor may have the votes to authorize the sale of these public lands, it is imperative that the process is transparent and that the people have an opportunity to review and scrutinize any land sale agreement. After all, the land belongs to the PEOPLE of the County of Hawaii.

Please feel free to contact me if you have any questions. If you support the proposed legislation in Bill 132, please let the Mayor and County Council know how you feel. Thank you so much for taking the time to read my proposed bill. I would sincerely appreciate your support in helping to bring transparency to public land disposition.

Much Aloha - Councilmember Dominic Yagong

Note: Material to be added to the existing County Code is underlined.

PROPOSED BILL 132

AN ORDINANCE TO AMEND CHAPTER 2, ARTICLE 19, HAWAI‘I COUNTY CODE 1983 (2005 EDITION, AS AMENDED) RELATING TO COUNCIL APPROVAL FOR CERTAIN COUNTY LAND TRANSACTIONS.

BE IT ORDAINED BY THE COUNCIL OF THE COUNTY OF HAWAI‘I:

SECTION 1. Chapter 2, article 19, section 2-112 of the Hawai‘i County Code 1983 (2005 Edition, as amended) is amended to read as follows:

“Section 2-112. Disposition by auction.

(a) Unless the council finds substantial reasons to dispose of real property in some other manner, all disposition of real property shall be made at public auction, after public notice as provided in section 2-111. All such auctions shall be held at the main entrance of the County building in which the main office of the department of finance is located or at such other place as is convenient in the district in which the real property is located, and shall be conducted by the finance director or by the finance director’s authorized representative.

(b) Prior to disposition, any disposition by auction of real property ten acres or larger shall be approved by council through a resolution as submitted by the director of finance. The resolution shall include the final bid price, intended use of property, and the name or names of the perspective buyer.”

SECTION 2. Chapter 2, article 19, section 2-113 of the Hawai‘i County Code 1983 (2005 Edition, as amended) is amended to read as follows:

“Section 2-113. Sale or lease by seal bids.

(a) Whenever real property are to be sold or leased by call for sealed bids, the finance director shall notify by publication for a call for bids as provided in section 2-116 with such details concerning the call for bids as the finance director shall deem necessary and desirable. All bids shall be sealed and delivered to the finance director and shall be opened by the finance director at the time and place stated in the call for bids. The finance director may reject any or all bids and waive any defects when in the finance director’s opinion such rejection or waiver will be for the best interest of the public.

(b) Prior to disposition, any real property ten acres or larger to be sold or leased by call for sealed bids shall be approved by council through a resolution as submitted by the director of finance. The resolution shall include the bid price or terms of the bid lease, the intended use of property, and the name or names of the perspective buyer or lessee.”

SECTION 3. Chapter 2, article 19, section 2-114 of the Hawai‘i County Code 1983 (2005 Edition, as amended) is amended to read as follows:

“Section 2-114. Sale or lease by negotiation.

(a) Real property may be sold or leased through negotiation upon a finding by the council that the public interest demands it and upon approval of the minimum conditions and selection criteria of the council.

(b) After a determination is made to negotiate the disposition, the finance director shall:

(1) Give public notice, in accordance with the procedure set forth in section 2‑116 of the County’s intention to sell or lease real property through negotiation setting forth the minimum conditions thereunder.

(2) Establish reasonable criteria for the selection of the buyer or lessee.

(3) Determine the applicants who meet the criteria for selection, and notify all applicants of the determination. Any applicant may examine the basis of the determination, which shall be in writing, to ascertain whether or not the conditions and criteria established were followed; provided that if any applicant does not notify the finance director of the applicant’s objections, and the grounds therefor, in writing, within twenty days of the receipt of the notice, the applicant shall be barred from proceeding to seek legal remedy for any alleged failure of the finance director to follow the conditions and criteria.

(c) If only one applicant meets the criteria for selection of the buyer or lessee, the finance director may, after notice as provided in subsection (b)(3) of this section, dispose of the real property by negotiation. If two or more applicants meet the criteria for the selection of the buyer or lessee, the finance director shall select the buyer or lessee who submits the highest offer contained in a sealed bid deposited with the finance director.

(d) The council may require in the initial resolution that the negotiated agreement be accepted by the council.

(e) Notwithstanding subsection (c), prior to disposition, any real property ten acres or larger to be sold or leased through negotiation shall be approved by council through a resolution as submitted by the director of finance. The resolution shall include the negotiated sale price or lease terms, the intended use of property, and the name or names of the perspective buyer or lessee.”

SECTION 4. Material to be repealed is bracketed and stricken. New material is underscored. In printing this ordinance, the brackets, bracketed material, and underscoring need not be included.

SECTION 5. Severability. If any provision of this ordinance or the application thereof to any person or circumstance, is held invalid, such invalidity does not affect other provisions or applications of the ordinance which can be given effect without the invalid provision or application, and to this end, the provisions of this ordinance are to be severable.

SECTION 6. This ordinance shall take effect upon its approval.