represent the teach development company as well as our staff we have legislative attorney sharon brooks and pauline martins as our secretary also we have jerry shepherd for legal counsel before we begin i like to remind everyone that that is wishing to testify you'll be a limited to three minutes on the items that are specifically agenda eyes on today's agenda before we began i'll go ahead and check in with our new district offices starting with hot office are you there there is one test fire in the chamber and that is huge star large the project is very ambitious impressive the people who who are behind teach l l c are a very impressive group of developers and  my concern my perspective in talking is principally sort of considering my children my grandchildren who you know are taxpayers in the county and will be dealing with life on maui up to sixty years from now so the with that in mind these are some of the more housekeeping comments that i i'm in a very pretty specific first of all i just i wanted to say that i feel that the time lines are extremely ambitious and if the county has certain obligations which they do we do and i'm not quite sure exactly precisely how those parse out at the end we need to be very attentive to those so the  they're the ambitiousness of the timelines it seems you know from my development experience seems like there's very little attention being paid to the state entitlements that probably will need to be  addressed principally on a highway which is the state highway state department of health with respect to waste management on site as cetera but principally i'm concerned more about the state highway highway since the county has or of a clear primary responsibility for the roads that lead to the project at hanako poco there's ambiguity as to whether the county source is going to come from a well on coming back to how the highway the county's responsibility is to is to fix up the rows is going to be about two and a half miles of of paved roads rosa need to be paved two and a half miles roughly possibly slightly more around the perimeter of the basically i guess the last thing i want to say on how a lot of time here is that from my my commercial real estate experience i feel that with a sixty year lease that the county ought to have the opportunity to have a couple of twenty year reopening this is a for profit operation it's a commercial development with significant maybe thirty percent profit margins so i think that there should be some discussion about there being the ability to reopen after the first twenty of ambiguity as to exactly where the bypass is in fact there is a mention of of the bypass in here which is troubling because it's almost suggests that it's something this that needs it's just a little fix but it's much bigger than at and the people are traveling forty five fifty miles an hour is a very dangerous intersection so my guess is that in the traffic study it's quite possible that all need to be signalized or even in extreme instance be relocated i county's responsibility to signalize on a highway and if it is then that that's a significant cost so you know when you add up the paving response you know etc it is starts to get significant ok and you said you had these  these concerns in writing them in writing as i would be happy to send them to you and i apologize for not having this came up really fast i didn't even know about this and so i'm kind of ok catching up thank you i think you actually question testimony is now concluded moving on to the first i know my today's agenda members year sixty three the committees in receipt of two county communication sixteen dash one zero two and sixteen dash one zero three transmitting the proposed resolution really into the grant of leases that the county property of the old maui high school campus to teach development see for the repurposed seeing of the campus how we are picking up from our consideration of  revised proposed resolution from the economic development director transmitting with correspondence dated july twenty first sixteen entitled authorizing the grant of a lease of county real property consisting of tax ma to the chapters three point three six and three point four zero of the mouse county code along with two attached proposed leases covering a total amount of twenty three point five three on the purpose of the revised proposed resolution is still allow the mayor and the director of finance or their authorized representatives to enter into the lease with teach development alice c for the all now high school campus for one dollar per year and a total of both parcels for term of sixty years for use as the facility of innovation social economic and environmental benefits to maui the committee may consider whether to recommend adoption in the revised proposed resolution with or without revisions the committee may also consider the filing of county communications sixteen point zero sixteen point one zero two county communications sixteen point dash one zero three or both and other related actions at our last meeting members a number of questions arose which were subsumed to subsequently addressed by the letters to the department's corporation's counsel and attorney general i will go through the questions and their responses and also hear comments from jason hobson who is here he is the general contractor and chief development officer of teach development so going through  i believe that you have these copies either via electronic p d f or hard copy as a letter dated august third from your chair two thousand and sixteen letter to the economic development director today to respond to those questions that we have and so i think you have that in front of year it's again the last or to lease the land for a dollar per year for sixty years the county that these are the obligations of the county of maui and then is to construct to maintain at its cost the public road and be that according to funds that are appropriate d so you as a council would still have total control over the budgetary appropriation for that and then to provide five years of abatement of any advil or property taxes special taxes  assessments this is due to the fact that it's going to take a good amount of time for them to get the facilities just first put the infrastructure in and so we wanted to give them time to actually have something  basically best efforts and the cooperation of the departments no promises about time or anything like that but we didn't want this project to languish on the other side dollar for sixty years they would engage in a hundred eighty day due diligence period of study in the infrastructure and then they would complete an environmental assessment within twenty four months of the effective date of the lease they would engage in planning design development and construction of the facilities to repurpose the campus within five years of the effective date of lease the lessee to finance or obtain financing for all phases of development construction and operations within five years the lessee to engage in operations within five years of the effective date the lessee to maintain the property and improvements to set forth in the lease including insurance requirements and maintenance covenants and then the lessee to indemnify last store for any and all liability incurred by the lists or with respect to release after the effective date of the lease and finally the to surrender possession of the premises at the end of the lease term of sixty years so this was asked by mr hall calma to have it spelled out in a chart form or bullet point  victor reno do you have any questions with any of these obligations that you may want to pose that ministration or teach development mr hobson mr victory  be informed then to see what the speech we should response if any to the traffic issues and other questions that was brought up by mr starr but this is always right here this is bullet point so so i would like to have these answered candies be mitt you know environmental assessment we need twenty four months so effective did these a lot of a you know it's like real short times and i don't hate to see is putting all these time frames and not being met and then coming back i may not be here but whoever sitting in victory no sure thank you and thank you chair who's been in council members again for this opportunity and is to answer your question specifically these are we're working with the economic development office putting these obligations together just to make sure everyone is clear on what your company name and what the legacy is going to come from it under the under this lease and when we put together this development schedule in our in our presentation we did lay out the development schedule how it's going to be phased over time and it be fully operational in year five one of one of the sticking points in our negotiation which corporation counsel shepherding khushi wanted to make sure is that we were held to a particular milestones that there would be inspection rights upon notices and that this wasn't these obligations were not evergreen that we would have certain periods they said you know twenty four months is is reasonable for an e p a and then five years for your build on operations and so these were do these were developed in concert in consultation with corporation council the intent being they did not want these you know they didn't they wanted to see have some form of performance and that you know police wasn't just evergreen it would just sit there and i understand and thank you very much for that clarification again the question i'm asking do you believe these can be met so i did forward will get to one of the responses from planning director spence in his guidance to one of the questions that i did for these two are we have to architects on our team and i forwarded to them and they said in light of this guy and that we received from planning does everything in our development schedule still work and the answer was yes jerry and i just the other question begs to be asked if there's an intervenor especially when you come into environmental assessments in the environmental issues and you and i both know that happens an awful lot depends and i don't i'm not sure if that's going to happen here but if it does what have to show the rest of the timeframe because everything says effective date of the lease you know effective date of the lease ok you meet the lease and all these other issues come up now what sure and i think we've always qualify these milestones based upon our diligence as well that are to the extent that you know the water conditions are soil conditions are worse than we have there are some old reports that we're aware of and we're we're aware of the certain conditions but if conditions are worse that we would want the opportunity to come back and revisit these milestones that would be in front of this body and and to revisit those ok so all of that is part of the office mission i think that's that's being fair to all parties concerned you know i appreciate the time frames i appreciate where we have something to hang our hat on show that twenty five years from now we're still sitting out there tonight and wondering what's happening so i thank you for that i just wanted to know if these there were options or there were exemptions or there were opportunit should something come up that you don't know about today that you'd be allowed to extend or come back to this body for an extension because it seems like pretty absolute here but you're saying no that you would come back and ask for extensions or whatever timeframes you might need to rectify the problem if that's correct if in our investigation something came up that presented a larger obstacle we would want to revisit those milestones ok thank you thank you joe appreciat action that the county can can make the next step or to get to different steps or what is the result if the less he does not meet the required time frames the first thing we would be give them notice and an opportunity to cure the defect they get thirty days to cure the defect and if that's impossible that we would have to determine whether or not the whole project has to go or whether there should be modifications to the leas who who will be the lead department this land is not it with the parks department it's so it has nothing to do with the parks department so the finance department would i mean the monitoring from finance would be if they paid the lease well that you know that's a dollar a year so that's probably not an issue i would be more because this has been an id project i think that it would be appropriate for the office of economic development to monitor the milestones ok and bring a report to council as they request very good thank you i just need to clear that up because sometimes when we have different projects and when we pass them out the  various departments look at each other and point the fingers so at least we can clarify that economic development office will take the lead on monitoring the milestones are very good so we'll move on to the any other questions from the members i'm actually going down the line i'd like to acknowledge the presence of the chair white as well as comma mr white if you would like to take the floor and ask questions we are explaining the different obligations so that's what you have before year so it's you don't have to thumb through the lease and so these are the major substantial obligations on both parties as so we're just talking about different obligations if you had any questions to that so mr   portion of it and especially in light of the comments that if there is if things come up that are possibly concerning to the developer during walker finance department to come down just a sister as well if the questions and the further elaborate on so to to your question about property taxes and why do this you know  a couple differences between the on does hotel and this property at this property is currently executive order to the county of maui the property currently has no property tax generated from that we're paying between sixty and we have paid over a course of the couple decades between sixty thousand and one hundred thousand dollars just to maintain the property so the first thing is going to happen is the county is no longer going to have to pay that bill so that's a good thing what we're allowing them to do because there's so many infrastructure problems with the property the water the no fire protection the you know the well that has to be you know looked at they have to build a package wastewater plant out there so we want to allow them time to do all of this and there are you know there's the need the time and so that the idea was just to for the benefit of having a fifty six million dollar project it's worth going for going five years of property tax in order to see that to fruition they're doing us a favor by taking over you know the  maintenance of the property can they get out of it if they extend only according to this lease it says that they probably tax abatements would be for five years that would strictly be a answer for the council if the council so wanted to give them an extension they could but under this lease it would not be allowed longer than five years mr walker do you have any comments on the finance part of it or are  who's my concern is how do we use a lease as a legal vehicle to example a for profit company from paying taxes where is the author receive coming from well we'll either have to work with out in my detail or perhaps even change the code but yes we'd have to find a way a means to make that happen so from your comments corp counselor can the committee understand this afternoon i don't believe that lisa waive the property tax it says that we intend to provide tax abatement measures so that so i think it would basically the lease is saying that once we do an ordinance because we're going to have to do an ordinance to abate basically the lease is committing this council to vote all nine days for that ordinance that's what the leases say and mission and the goals that we're trying to accomplish i just want to make sure we do it correctly and appropriately because i can't see other for profit entities coming to us for in a  actually just curious about a question in regards to the introduction where this request for proposal is not part of a competitive procurement process so this whole the way you chose teach to ere using i'm not a purchasing you know person and finance but the language you're here for referring to is actual standard language that they put in this process was opened for seven months it was published on the county you know our of p where where we publish it on our website and we received three proposals and then we made a selection based on their qualifications so it the language competitive do you know if there's something specific i think i think it has to do  competitive meaning there's a price tag put on it and that's like low better so that saying that it wasn't that kind of r f p we were basically putting it out there for a project proposal and also we were saying that there is no guarantee that there would even be a project selected so we weren't obligating the county fair that our of p process that there would even be a project selected so i think that's where the language  the lease so when you look at exhibit eight so that language in the lease basically tells me that ok they're requesting maintenance and construction of  that comes out is less or commits to upgrading so we're we're committing to upgrade and improve and pay to the upper  from bike and has other roads here indicated so why isn't that just put in the lease why why do you why do you have to why don't you refer it straight from why are you referring why don't you just put it in the language in the lease because unless you're saying incorporated incorporating exhibit a the late are you are you using the language an exhibit a to direct the county to commit to something you know if you want to change the language and exhibit it we can change it section on page seven of the lease when regarding property zero one four section i says the county agrees to construct to maintain at its cost paved public roads to the premises at that and i see an error there are sets for should say for an ok and it says on it should say n as set forth in exhibit eight subject to approach funding requiring us to do it any worse we're doing the defensible position saying no we're it's a maybe because it's upon the approval of the council appropriate in the fonts ok thank you if you can change that commit that are you taxes that you do pay will be go put back into the infrastructure improvement of the project site as well is that any or can you recall any discussions you know if you can repeat your question as one to make sure i'm clear a project that improves the property site there is no such discussion is that some discussion you force willing to enter in for to see if it can make sense or not so for any taxes  nt out dated august third two thousand and sixteen letter to the planning director mr spence me please come down to the floor and their response on august ninth two thousand and sixteen this was a question regarding zoning and the department's role on the timely review and approval of necessary zoning modification entitlements and permits if you  see my letter to mr spence dated august third on the second page there are five questions and starting with number one what are the current zoning districts community plan land use districts of the parcel subject to the lease please respond to that question and then we also have number two the subject parcels including two tax map key parcels one of which is greater than fifteen acres in size the lessees plans for the project include both educational and agricultural uses my understanding is that is that the historical school portion of the land is approximately fourteen acres the district boundary amendment is required for example agricultural to the urban district may only the fourteen acre portion be submitted for reclassification or must the entire property be considered number what assurances has the county given the lessee with regards to the expediting entitlements licenses permits or other county processes and number four if you're sure insurances have been made how would the less ees applications be expedited by whom and in what manner and what would be the department's role with regard to timely review and approval of the district boundary mintz changes in zoning applications and community plan modifications or other permits necessary for the proposed project and finally you are aware of any and are you aware of any other county departments having had insurances to the lessee to expedite applications for the last see so mr spence in your response can you please elaborate on the floor for the right thank you thank you mr chairman good afternoon committee members with regards to number one one of the current zoning districts that are of the property is entirely within the state agricultural district both properties are zoned interim and a portion of it is community plan public was republican a portion is single family designated for single family the reason those those designations are there is when this community plan was adopted there the lessees plans include both educational and agriculture uses what we're kind of permanent if i could summarize them you can correct me if i'm wrong what kind of permits do they meet the so long as the area in which the the educational dormitories all those all those other uses are are kept they can so long as they're kept under fifteen acres they could be process and kept on the public was a public portion they could be with especially as permit granted by the maui planning commission ok and that's provided that it everybody is satisfied that this is indeed a public quasi public use  you know there's no discretionary permit needed so i mean there's doing agriculture doesn't require discretionary permit therefore they could just do it on that property i'm envisioning that it would be on the single family portion i have not seen a site plan you know and we would certainly be willing to work with the applicant as far as what's needed for that if they'd word to  do part of the educational facility outside of the public was a public area then we would talk about a community plan amendment and that would have to go through the process and come back t for for that amendment an environmental assessment is required because it uses state lands and cons and that's pretty much a given that also  part of that environmentalists would address mr hughes stars comments about if they're if there's a signal needed or something like that a traffic report is a typical part of this kind use permit application or environmental assessment and there are certain warrants that are as a part of the traffic study they look at is there enough traffic to warrant doing signal ization so that would be a part of that it could come out that way it may not we won't know until the study is done i believe that covers a number two what assurances number three what assurances has the county given the lessee i'm not aware that we've given them any assurances as far as expediting permitting or processing and that and that pretty much covers number five as well the applications go faster so long as an an applicant is responsive to questions and providing information that's what really speeds things up a lot of the very delayed applications come as a result of  not receiving information in a timely manner to certain degree workload and stuff but this has potentially a very large public benefit and doing something with that historic property  so i mean it certainly it's certainly an interesting project and we would be paying close attention to it conceptually this is a pretty complicated project as far as permitting go there are a lot of issues to be addressed with infrastructure traffic use of historic properties et i this would probably be assigned to a senior planner so someone with a lot of experience that would pay close attention to this and again the speed in which permits or process is dependent on the relationship between the applicant and the planning department not i don't i'm not aware of putting them ahead of anybody else but just you know go along make sure you're making sure it's complete that and tell me if i understand is encouraged by herself is that you're planning or your group is planning to hire local consultants local companies which i would assume has experience and knowledge of how t operates and so hearing directors spence's comments about you know if your consultants are representatives of this put in the information required for them to make a decision that you should have process thank you for that question and we did meet early on with the planet department just to give them an introduction to the project and get some early feedback and we were very fortunate that one of our team members glen mason who some of you met a couple weeks ago has been involved with this particular site since two thousand and seven knows the buildings knows all the subject matter experts all the engineers and local consultants that understand he's been through the process doing a look investigating and doing all of our diligence but also during that process and a subsequent six month process doing a community engagement process which really that is an important process that informs the entire development and then once we have the full scope of development that's when we proceed down the e s a so we can understand the impacts of that and at that point we'd really be working collaboratively with the planning department and i just said bring it up because the impasse we had people had some great very permissive and i know it's at supposed to be temporary and that's a whole other discussion that i would like to resolve with the county someday but it's very permissive it allows universities schools public  institutions all those things so long as the the application and all the uses fall into that teaching in that public  public thing you know that concept it could be permitted under the in terms only so it's only the state side that has to be satisfied  and you know we are definitely willing to work with the applicant to make sure that it meets the idea of a university teaching facility etc the and i and if i could just also  comment the committee of the expressed concern over the terms of the lease enforcing the lease of sarah that just recall to that that special use permit will have insurance requirements will have conditions on it that are in forcible  you know as we wouldn't force any kind of zoning matter so there you know however assuming something is approved those obligations will be on that  we have an executive order from the county to grant a right of entry to teach development you know and then do we have is this done prior prior to the  hold on a second this is there any other members a questions for mr spence regarding this matter seeing not so let's move on to the august third two thousand and sixteen letter to corp council and their own corporation council response to that august fifth and this is in regards to the authority of the county to grant the right of entry to teach development prior to the approval for the lease by entry to teach development prior to approve of the lease by the board of land and natural resources to shepherd yes we may do that we have that authority basically under the executive order we have the same authority that the department plan a natural resources would have to grant access to the property because where the managers of that property and i did verify that with davitt land division d l n r and they agreed  also hawaii revised statutes section one seventy one dash eleven sets forth that very clearly that we have that authorization so if they needed access even pending the v o r s review of the lease we can grant that access so in in a way they could get ahead of the game a little bit and start doing some of the basic due diligence so when the b o r finally does hopefully approve the lease agreement if they do approve it then where that much further along the pathway is so we hundred eighty day or teach to go in and do i guess an assessment however they won't have access to the property unless the lease is approved by the department of land and natural resources so mr hull cama has suggested let's look into a right of entry and so we went forward and co counsel did the research and it is possible that we could grant them a right of entry so to allow them to get ahead of the game because we don't know how long it would take for the land and natural resources board to approve the lease so they pose a great idea and it's possible and hopefully teach will take advantage of that  works to come down to the floor and shed some comment to the section in the lease regarding the construction and maintenance and costs of p somewhat talked about roads in that area there was mention of the pio bypass and so on and so forth so why don't you give us an update and then if you could shed some comments on that  language in the lease agreement regarding the specific roads indicated in exhibit eight and the two mentions specific roads here thank you chair and good afternoon council members for provided staff did indicate that it's approximately four miles from one a highway to baldwin avenue but that's just an estimate roadway travel way with is approximately twenty feet approximately two miles from  roads approximately two to three times a year sometimes more during years when we experience a lot of rain what they do is they grade the road make it passable for for motorists  any additional work in maintaining this area would likely require additional resources as you can assume the section from old high school to one highway was observed to be in fair condition it is paved from old high school to baldwin avenue however there's a lot of ponding and potholes and this section would require improvements in the form of resurfacing so staff went and did an a cost estimate on how much it would how much materials would come up to so they estimate approximately two hundred eleven thousand for about an inch and a half of asphalt from baldwin avenue to old high school so that's that's about two miles right there now about the only estimate that they provided me with  staff did indicate that's just materials only no taxes or any additional improvements that be right that would be required as part of the traffic assessment so when you think of things like improving sight distance or putting in i don't know drainage improvements or the gentleman earlier had indicated there may be some improvements needed along on the highway that's not included in that two hundred eleven thousand mr spen made mention earlier regarding the need for a traffic study as part of the land use permitting process and i concur with that requirement the traffic study would provide information on necessary improvements for accommodating additional traffic in the area resulting from the project and and as i said before you know we won't know what the additional traffic improvements would be until that that study is completed so i don't have an estimate at this time for what that those costs would be but if there are any questions that i can answer today i'd be happy to answer them for you if not feel free to write a letter to the department and well to our research you very much members do you have any questions for the department regarding the roads m there is this is roads in a way where you so it's multiple so you have a ballpark figure what teaches looking at the county regarding the whole comprehensive requirements of road project earlier for two miles of road and that is it really looking at about two hundred two hundred plus thousand just for materials only and i do apologize i have an ear infection so i can't really hear her well right now  so if i misunderstand the question is that the only road project we need to be concerned about regarding to teach proposal or are there other county responsible roles or highways right of ways even submitted a proposal or requests for any roads you know part of the thinking in the tent of this provision was when you're looking at when we do our traffic study and we're looking at traffic flows understanding if we're going to need  paved if that's going to if that's going to mitigate kind of the traffic impact and so in there are some perimeter roads but again we don't we don't know what we don't know yet but there is no request in front of public works and it would really be as a result of looking at the traffic study in that analysis yeah if i could just respond for a second on this so yes whole of road and and the upper portion which is currently is what she's speaking of so there's two two mile sections basically that would be actually very helpful to have that in a much better condition because you could really actually turn if somebody wanted to go up baldwin avenue you could turn there and avoid piii altogether you know so that could be actually really a beneficial way to mitigate some traffic in and i think that would all come out in the traffic plan so there could be a lot of public benefit to doing that thank you thank you members on mr couch thank you mr in a follow up on that so you said from highway to the school is where is the two hundred thousand little over two hundred thousand right it would be from baldwin avenue to the school i think that's the section that's that's the kind that can the section that needs to be fixed ok so i thought that was that was more of a dirt road than than anything else or is it just bad pavement i think it might be just the n right that seems kind of low just because it would think you'd have to scrape off all the basement and put down a base and the whole nine yards from what we hear that and i'm sorry and again that it was just a quick and rough estimate and nothing else if you're just looking at material that or just material but not right i mean any ballpark on labor labor not have to we have to calculate that but i mean we can utilize our county staff and and then again we can we can calculate and factor that in as well ok thanks mr coach joe any further question season required to find independent resources or they were going to use the aqua for that i'm not sure if you were present during that time but it may be mr jason  county members here many questions in regards to that subject matter which are mr victory no yeah i guess you know there's a will there because that was a school and that was the primary source of water was the well and i believe they were even looking at begin another well at one point but i'm not sure you have checked with the fireman saw but it's not connected to the what is the county water system so i mean there's not a nice box or about it you know it's going to be there and their development of if they're aware of it and they've worked with the department i think they know what do you need to do and we can move from that point so i'm relatively confident see mr mustafa seems to have everything while in line so we'll see how it all  look let me answer and then he adds to that question that you stated in your testimony so that's very good we were able to at least check that mark off at least that issue is  don't have any other questions or assignments that was given by the committee to follow up on we've completed the pending issues that were during the last committee meeting the only one that i would require i would ask the corporation counsel to work on is the language in exhibit eight to let  c pursuant to chapters three point three six and three point four zero for the maori county code and also allow any revisions that were set for today and the do have some of those concerns that i would like for us to be sure that we address for the general community thank you thank you and i thank you for bringing that up i think it is it is a very substantial issue and we hopefully by  this goes to first reading i guess it's only one reading for this once it gets the full council will have a response from corporation counsel i believe you are correct mr o'connor i believe there has to be okama for bringing that point up in regards to the abatement of taxation and this whole thing is so different in a sense especially the dollar lease for sixty years in mean i know we condition i mean we amarin come in after decades and then we got a renewed them and we didn't just you know i know their industrial stuff but it took them a while to prove themselves out and so this is something totally new it's hitting on every point and topic this community and that people want to hear and see you know but it hasn't actually been done before in this is going to be precedent setting and they think it's precedent setting for us to give a for profit also this almost like you know help that we normally do for a non profit so you see a lot of a lot of different things going on in this this whole this whole proposal and i you know want to give them the benefit of the doubt to fulfill what they're saying they're going to do but you know a dollar for for profit sixty years is a long time and you know part of it is single family current community plan public quazi and single family and again trying to search out any speck the land for some kind of housing for people has been very very challenging and difficult and this is you know going to be taken and transformed into something else and what have you so anyhow i am here to support it to see like i said give the binny's benefit of the doubt and it just seems like a whole lot of money put into something that has a great pretty picture in vision and it's going to cost a lot of money so obviously they have a really  actually within the lease have six months to do a thorough investigation or analysis of whether it can move forward to phase one so they're doing it in phases so i kind  of more confidence when they're there they have they've actually explained there are phases in what they were going to do i would have to ask corporation counsel if at some point within the lease  either party there is provisions within the lease that allows us to get out of it correct can you elaborate on that yes that has mr cash said section on page six of the lease them looking at the parcel there a one for does provide for the termination of the lease by mutual written agreement if it becomes something that the organization feels they can't develop and it's not going to be feasible i mean we can work with a mutual written agreement and everybody walk away from that agreement if the lessee should go bankrupt or go into receivership that's another reason that it can fall out of this agreement default by the lessee is another reason if the lessee just walks away then abandons the premises that would be considered a default a determination and then if they fail to perform the milestones it says set forth in exhibit seven yeah those would be those one eighty days twenty four months and then that the various five year time frames those milestones are those would be other reasons that we could terminate that agreement but we could also review and revise the terms of the agreement as you can with any lease agreement so that being said within the lease agreement i felt assured that when would this the topic came up se so there are different measures failsafes for the county as well as the lessee and whether this project will move forward to benefit the community as well as i guess the profit side of it and share so is there is is an exhibit seven maybe where they come back to us annually or is going to be bringing giving us a request all we need to give and you'll update and you know at any time we could do that and we could work with the teach group to you know to go out and inspect the premises and then you know come in and give an annual update or as or as often as the council would like to see that were you looking at more of putting it into the lease agreement but i'd like it in regime in case some of us aren't here and in remembered doing this here today and my issues in sixty years will we have the office of economic development maybe i'm not sure because it's under the mayor's admission yeah it's not under the charter so no we're not a chartered office  greater then pulls in the applications so it's an opportunity for the lessee to also share the successes besides some of the difficulties that can occur regarding projects of this magnitude so i think it's a good thing for both parties to have such discussions and i would say every four years you should have at least shepherd we could put something in the lease agreement that tells us that he that they would respond and report to county council upon request periodic lee upon request or they can come up with language about that and then as couch thank you mr would that be in the lease agreement or could we put that in the resume i think it's better to have it in the lease agreement ok ok so members any other further discussion  white thing a chair and i'm just going to say my reservations once again with respect to the tax abatement this is a for profit entity and i understand that other place to do this but at the same time we have a lot of other for profit businesses in this county that have been  either taken down during the downturn in business and yet we still charge them taxes just went back and looked at the and i don't recall how long the renaissance was closed before it reopened as the andaz but my recollection of it was four or five years and during that timeframe even though they were not in operation we collected in the neighborhood of two million dollars in taxes and here we're giving somebody a sixty year lease which is a it's a big piece of land with very little else were somewhat promising that we're going to put all the roads to make sure that they can operate up well and yet we're not going to collect any taxes in the first five years so it's just something that i'm a little bit hesitant about because we're we've been unwilling to do that in any way shape or form for anyone else  market value of the land was six hundred thousand dollars or something like that in that they don't have an ag because it's a school so i don't know that it's that much that  that we're giving up but also to the to the applicant maybe you know they're not they're not saving much with a tax abatement what's what's the real i mean you may be saving five maybe twenty or thirty thousand dollars over five total over five years at the most you know for fifty seven million dollars project it's peanuts is it is the worst something worth arguing over you payments to because i have looked at the historical and such valuation of the property tax it's not much we did feel that given the infrastructure costs and there are significant that there there was not a lot the county could do as far as  t went and we weren't asking for financial systems but when i did ask well what about some relief on property taxes however small and so that's why it was quoted in the lease so yes to answer the question we would be open to you know and if i could just remind the council one more time about the fact that they will be taking over the maintenance so you will actually be king much bigger benefit because you will not be putting out a grant to the old friends  high school to do the maintenance so that's causing us like this this year we gave them they have a sixty thousand dollars i believe in our budget for this year two years ago that was around seventy something thousand so you're going to save that from the moment that they have executed lease yeah i understand that and i appreciate that but there's a difference in the there's a little bit of a difference in the amount of eventually value that the property that i'm referring to has a value of about seventy six million compared to fifty six million and yet you know we're as you say we're we're foregoing grand teton sixty thousand dollars on the other property during the same period we're generating half a million dollars in taxes so fifty six million dollars project in the future i know that that i could pay i pay taxes on buildings until they're completed but still if they complete the buildings in two years they're getting three years of tax abatement whereas others aren't getting any even though they were and in a rough you know very rough period as well so i understand the rationale i understand the benefit it just fiscal and especially when it comes to fairness and if this is a nonprofit have no problem we've done it for all nonprofits or almost all non profits but we've never done it that i can remember for a for profit that's my issue and you know it's an issue of fairness so that's all you care let me ask  now but i did it's not a deal breaker but i guess what i would suggest or request is that there would be some form of agreement that council member okama proposed that again because of the infrastructure cost to the extent we can utilize those payments you know those funds for those infrastructure that's going to benefit the project in the community that we be able to do so do you think this committee needs to go and research that portion of defer this matter one more time or do you feel that we can move forward with this as it is with the proposed amendments mr okama german if you allow me to make the jurisdiction we don't have appropriate responses or this additional concerns that of course the body can't either we refer back to your community or do you for a decision on the council calendar to await the appropriate information required but i don't have a problem moving forward at this time because i still think the outstanding issue is going to have to be resolved regarding the lease be right which is to me the bigger issue of policy right so i i would say in the meantime i'm happy that mr hobson and his team deal with corporation council representatives we did even if you are part no excuse motion carries your community reconvene members turning our attention to the next item on today's agenda e r s sixteen the committee's receipt of the miscellaneous communication dated may twenty eighth two thousand and fourteen for them from the deputy county clerk relating to potential redesign of the south maui chain naisi into a multipurpose center a members this matter was originally referred to our committee in two thousand and fourteen from the budget and finance committee to evaluate the feasibility of the expanding the project scope to create a multipurpose facility capable of hosting conferences tournaments and other events that can generate economic activity over the past two years we have met three times to discuss a project as design ideas progress in october two thousand and fourteen we received a presentation from the interim director of parks and recreation regarding potential designs of the facility to be more of a multipurpose center the recreational components including indoor outdoor court space outdoor center's fitness areas and different types of rooms that can be rented out or used for recreational purposes at our meeting on march seventeenth two thousand and fifteen we learned that the project design had been revised to be a multi purpose gym with two courts in the center for basketball courts bleachers softball fields and two hundred  twenty five parking stalls today we have deputy director of parks and recreation brand savage the chief of the planning i guess is the you there you're the chief of planning and development robert how verson and we have two architects from the design firm that will provide us a presentation on the latest design plan the architects are derwin boo boo and tanner morin from  brief update there hasn't been really any changes as far as the larger scale design but just wanted to provide an update with where we were at in the project so again just as kind of an overview and the same handouts you guys have are in the same order as the slides we just did some of them a little bit larger so you can see the detail of the first is the overall site plan if you look up on the screen you can see the top left hand corner by the soccer field is where the gym site for the recreation center will be located again next just for your reference just to show that same location this is the conceptual exterior from the back side of the building followed by again what the conceptual interior of it easier to see with that type of a visual and then the next two you'll see this is the actual floor plan layout this has with just the regular two full size courts drop down netting between the courts and then on the following layout are a couple of the different options that can be configured and so you can see the details underneath where there's again the two two basketball courts full sized directly underneath that on the left hand side you have two volleyball courts full sized or when you move on to the right side you can see where there's four basketball courts that are configured and underneath that due to another configuration this could be work both for basketball and softball they have two more practice style and volleyball sorry and one full size and again there's plans for a drop down nettings between each of the different locations so that you can have more type play multi purpose you could have passed the ball on one half volley ball in another half or a variety of other types of configurations following that i wanted to give in a brief update just on the timeline currently the project is in permitting both with the cabin through our county permitting processes we're hoping to continue to move that through optimistically october twenty sixth team looking at approved permits so obviously the whole timeline for everything else really hinges upon when those approved permits come through of that process takes a little bit longer than the rest of the timeline you'll see will bump back once we have that then we'll look at setting up for the bidding which is scheduled in november and then once we have the exact bit opening dates are scheduled then we'll be looking at coming in for budget amendment for the amount of the of the contract at that point in time and then obviously depending upon again this timeframe if things were to be pushed back further there might be the decision to include it in the fiscal year eighteen request but we're hopeful that the permitting will go through and we'll be able to come back in and get construction funds allocated for this project prior to the next the next fiscal year and then per construction you see an estimated eighteen months construction period the next sli wanted to provide just kind of an overview of what some of the other operating and maintenance expenses would be for the facility and we would look at incorporating this into the budget amendment for the construction as well to be able to look at getting started with your ordering equipment as you guys know a lot of times it takes around that twelve to eighteen months oftentimes to get from once we have the funding to actually get pieces of equipment also there be some of those items we would want to be able to move forward with and so that's just an overview of the positions we would look at an expansion part caretaker position to part caretaker ones and a recreation position to look at the programming for the facility  operations this is everything from utility water electric sewer janitorial medical safety supplies all of the normal different expenditures that we have associated in our b accounts for this type a facility and then equipment listing and as we move forward we can provide more detail breakdowns of all this but we wanted to just kind of give a number just so that there was some projection that could be looked at and then with that we will move into three d rendering project where we can take you through around the building and actually inside yeah just so we we get the outside taken care of before we go in front half of the recreation center and on the ba back here and there is there is some although there's no locker rooms but there is a shower facility as well all the restaurants in the back as well as several offices inside so basically as you first come in there's the main court which the major court and the far side so this is like a double facility if you look at it  two cross courts here in the late great color and there's two other cross courts in the opposite side so potentially it is useful for basketball or volleyball courts at the same time boss i believe the scoreboard system will have the flexibility of individualizing the courts potentially that could be one scoreboard for each and some storage storage in the back also concession on the side or on the others the concession is on the front portion of the facility obsolete basically everyone needs see how it's a design is to get to the outside could be don't really want encourage to have food in the gym but the facilities outside and then  any additional if needed food trucks or any kind of fundraiser things on the outside if you also get the outside tap also contains all of the meeting and i noticed at one side there's a whole whole mess of female but then on the other side there's more leaning towards the males and i always like to see that the females if nothing else to go on rachel because i've just been told that that's what they want and so in looking at your design here you're on the other how you figure we we've side of the team here's the floor plan right one side you get two female restrooms and one meal on the other side you have one female or writing two but them to me all rooms come on the outside in actually equal to more than the females any of my question is has that been given consideration that the females have more a little but it was really important because i hear that one one today when we design buildings and we design facilities that we have to take that into consideration you know i know they disability stalls i checked it out you know and they were well placed in and accommodating but all the other area i wanted to see and then the final question i have here is i noticed see the largest chief so one sided smallest seats on the on the other side so this is where you're talking the main part of the stadium would be the gym so when you have large events it would be on this side of the gym and then if you have smaller events or concurrent events then you have the two based upon the size of the event itself is that right mr savage thank you terry yes that's correct and a lot of this configuration came from the meetings that we had with the community and looking at when we run different record programs or there's games  tournaments you know how much seating is needed in different areas and so i think we ended up with a really good compromise where there's still will be able to be seeding for all the different most of the configurations but we're not else will be when you do find you break ground but that's life but i'd like to see this get done sooner than later because it's been sure a long later because i mean fires we've had plans and changed and changed and so i hope this will be i'll call on the area representative mr couch followed by mr obama thank you mr chair and i want to thank the department they went out to their community and talk potential stakeholders and and stakeholders of different areas different part facilities and we had a really good meeting and this is what came out of it so that this is truly a community  designed facility just so you know it was supposed to be able to really think about a multi use in the community said now we're looking we have rather more indoor courts than anything else so it is there isn't enough seating here for something like similar to the classic then is that correct that is correct and a lot of when we at that point had looked at you know configuration in space in size parking access there was a lot of other needs that really require a little bit of a larger footprint than what was available that in conjunction with  communities needs were as well as what we see just from the programs we run out there for just the need for recreational space is kind of put this back into let's look at more of a recreational complex concept not a traditional you know one nine hundred sixty s gym set up but having multiple orts that can be used for different sports and having meeting rooms that can be used again whether for its for community meetings or for other types of smaller programs arts and crafts cultural activities as well as having a concession component that can be used the way we see a lot of our special events operating out of our current facilities and so those are the things that we had in mind when these last revisions and adjustments were made ok and regarding these special events up to questions one there are no real locker room facilities were there a reason for not doing a bit more of a locker room facility we really again looked at for the amount of space that was available what's going to be the maximized usage on a consistent basis even the facilities that have locker rooms primarily it's afterschool recreation programs it's leagues in the evenings the community uses they might use some of them for changing room areas but there's not a whole lot of heavy shower usage and so we kind of said in order to utilize some of the other spaces we thought in ways that would better serve what the community needs for on a regular basis that we would still have showers so if we still have you know some larger games or facilities there's still ways that we can utilize those to our to be beneficial but we're not losing space that doesn't get as much use on a daily basis and then the kitchen is   it is a stat more of a standard electric type stove that's part of the design but still meet the requirements as far as our kitchen so so the teams i mean somebody hosting a basketball tournament or something the t can cook the concessions right there yes and then out run it if necessary buy a food truck yes other places to sit are there going to be places a sit outside since you don't want them going in to the gym with it there's some seating design again thanks for listening to the community who came out and the actual users who would be using it i think would be very please thank you chair he was from thank you mr couch mr ok looking about eleven hundred for the whole structure or is that just for your main court area the main court just the main court yes so if you also include the second court with the so ok so can you tell us how you approached the parking requirements for us that so we can we can understand what the parking the ridge a facility the phase one it was already  it with the the gym obvious roofies and so we added to the parking calculations it's still designed for the whole park basically as it moves forward so there is this extra stalls that's going to come into the future for all the future uses what's built on the plan for this particular project will accommodate what's existing plus the recreation center but  parking itself is not one hundred percent built yet so those are coming future phases understood so thank you so that means so our understanding can be correct if we see that parking is  called if it doesn't make sense because the quote we got a bit what makes sense because a lot of times for government we build facilities with insufficient parking and thus the great afterwards where do we park to use the facilities so my thing is we have the opportunity to make sure we take care of the parking so that the facility can be maximize its best potential for community benefit so that's my  residents rico needs because it doesn't make sense to spend on his millions and that the people can use the facility right now as far as my opinion  can elaborate as far as how the would schedule the gym thank you so parking is always an issue at every single one of our facilities always on and so that was one of the things we had a lot of conversations about with this part of it is the way the site space available is somewhat restricted in what we can do and so we maximize every area around the actual gymnasium to maximize the parking part of that i mean yes if everything's happening at the same time we're still going to have parking issues but part of the reason that we had requested in this current fiscal year is monies to update the master plan and begin the design for the rest of this park is we've discovered some things in just the uses of all these different areas that we understand we need to relook at the  layout for what was planned in the rest of the space and i think as hopefully that north south collector road at some point gets put in there so we have other access to the part you know we're going to need to be looking at perhaps having more of the ball fields in the playing fields on the other side where we would look to develop more of those and so i think they'll be some again we we know that we have a lot of parking built into this but if everything is operating at the same time there will still be parking issues most of the events that we run though for those larger ones that are really going to have like the gym at compasses those are typically in the evening hours a lot of times on the weekend evenings and so most likely we wouldn't have all large activities going on on the media joining soccer in softball fields and so it would we would cordon it that the same as we do at a lot of our other facilities right facility is how to get the my way bus or the transit shuttles to be able to access the property so that our we students or seniors that don't want to drive so it can have access public transportation and get to facility and for me more people is additional security for the up and element we've got to be concerned the book which is the security element and so for me i'm thinking you know maybe this is something if i don't know if  what i think these kind of thing ishe i would s to be considered if we are going to promote more public transportation as a alternative additional costs as a counselor i mean very open to those considerations and so i appreciate mr victory in those comments mr coaches comments and others that have a concern that if there's still a chance i w really like to see the ability for us to oppose youth programs within our facilities instead of going at them i don't want them to go to miss white's property but at the end of the day we know who get asked for the nations well i'd like to assure you that the facilities design where we do have a bus drop off area so large buses can come in there's a drop off zone and still leave the facility even though the park itself for that on one quick question the partment director i don't know if it's allowed but if it is a type just british remote allowed to enter county property for a commercial pick both pedestrian and bike path to there and we've already got design money in thanks to this get the budget and finance committee to continue the bike path to the end of well look at how which is off the map there  s m a for this facility there is a requirement that there be a youth center so and once that gets put in that probably would be where they would stay so there has to be another there has built out a building for youth center is required in as part of the  when is that face going to happen you know it's not required there's no timing as before the end of the project you know somewhere on this facility there's meant to be a youth center reese average  t thank you so there was a lot of things that were intended to be incorporated into this space and i think a lot of times the actual spatial configuration needed for all of those things whether it's just that we need larger than when the master plan was initially completed so it's the primary reason we asked for the additional monies to be able to update the master plan so that we can go in and actually see what fits where and what's going to be the best other property on that side that we would have access to and try to identify what's going to be the best location to put all of those different items in and then looking at right what is required on different sites for different reasons so we're looking forward to once we can get this project into construction moving into finishing the master plan update for the rest of this site and then get started with design for the next phase mean we're like we spend almost five to one versus what a waffle and other neighbor islands spend for travel costs because we do not travel by bus and everything is done by air and by sea a lot of our travel especially for the of my districts and i would hope that and miss savage's you can put dishtowel and maybe somebody has a big meeting rooms that are you know these could be set aside for used you know because traveled many many a time with my sons and we went to many gyms i know all the jews well because we slept there on number of nights and we don't have money especially from a small county school you don't have money so you look forward to death so i'm hoping that that w incorporated because they're not shower facilities and other facilities available you just need a room where the carts can be put on the kids going in sleep you know because we can't afford hotels and they just not going to be possible and we still come right there's a number of of teams that have done well baseball but you know soccer and other sports they do it well our team just went up to california and two of the teams did very well up there in soccer so huge sports needs to be accommodated within our facilities and i'm hoping questions mr o'connell just one on some just in general since we don't have a top are you doing a lot of excavation and feeling requirements again i know there's a slow but i don't know how you planning to approach the site development so i'll just leave i mean is there a lot of fuel requirements are you going to have excess feel what to wear we could use it for at another county site or for a future requirements done much on the tradeoff between the feel and the cuts i do not believe so there could be like a lot of excess material left over and the seeding that you showed us in your present tree be present that is per be at least one or two rolls that still can be put out to have some seeding play things that move around like we know such as a little c d o eventually it doesn't work and needs to be replaced so good breakdown right now for this specific facility but as we're working on doing those operating in maintenance breakdowns for all of our other existing facilities we think we'll be able to have a much better understanding of how much are we spending right now at some of our facilities that are at the end or past getting their useful their useful life we've been repairing in fixing in a lot of creative ways for quite a few years in different locations so once we have those then we'll be able to kind of blend we think those two together have a better understanding of what long term maintenance costs will look like and risk of ways our professional representatives on this project at this time  not occurred as of yet no have you done some initial pre construction meetings only four suppliers we've talked a lot of suppliers solemn as far as for the design of the facility designed to be a shelter so all the windows in the facility will meet the requirements for impact resistance ok very good impact resistance of the words that's the office  just noticed that for that's a super cool thing this three d screws around whatever that's pretty awesome for aging the ac air conditioning is  updates as they come along and hopefully we can make some of those changes that we are suggesting and we can move forward so without objection some members i'd like to defer this matter objects ok thank you this