Wailea 670 project
Honua’ula project wins initial OK
reprinted courtesy Maui News 2/2/07
WAILUKU – After years of discussion, a Maui County Council committee on Wednesday took a small step to push forward the Honua’ula housing project, which would be among several projects required to comply with the county Residential Workforce Housing Policy.
“I’m pleased where we got to at the end of the discussion,” said Charlie Jencks, the developer’s representative on Thursday.
At the end of the five-hour meeting on Wednesday, the Land Use Committee recommended approval of a bill to revise standards for the Honua’ula project district – a 670-acre parcel established in the Kihei-Makena Community Plan as the Wailea 670 project district.
The bill would establish more specifics on the development plans, which would provide up to 1,400 housing units, an 18-hole golf course with recreational amenities and a mixed-use “village.” It will also reflect a state’s decision to not proceed with an extension of the Piilani Highway to Ulupalakua through the Honua’ula project.
The bill to be forwarded to the full council for action will revise the Wailea 670 Project District 9 ordinance currently in the County Codes as Chapter 19.90, but does not grant zoning changes requested by the developer.
For council members, a key issue is the implementation of the housing policy approved last year requiring 40 percent to 50 percent of all housing units in new developments to be priced at affordable ranges.
Former Housing Chairman Danny Mateo, who shepherded the housing policy through the 2006 council and over a veto by then-Mayor Alan Arakawa, said Honua’ula should comply with the new housing requirements.
“Do we stand by our policy?” Mateo said, as he compared Honua’ula’s proposal for affordable housing with the requirements of the county policy.
Jencks said it appeared from the meeting that Honua’ula will be required to comply with the policy for the project to move to construction.
If Honua’ula needs to agree to have 50 percent of its units priced under the housing policy, he said, then “it’s the 50 percent.” But he said there will be “more discussions” on how the county housing policy would apply to Honua’ula – a project that has been on the county community plan for more than a decade.
“We’re going to have to work out some agreement on what we are going to do,” he said.
The county policy requires 40 percent of a new housing development to be priced in affordable ranges if at least half of the market units are priced at $600,000 or below. If the project is pricing most of the market units higher than $600,000, then the policy requires 50 percent of the units to be affordably priced.
The Honua’ula proposal prices its market units at an average of $750,000, which triggers the 50 percent affordable requirement, requiring 700 houses to be priced for buyers with incomes from 80 percent to 160 percent of median.
In a proposal to the Land Use Committee, Honua’ula asked to have 70 percent of the 1,400 units priced at market, with 30 percent or 420 units to provided as “work force housing” units. Of the 420 affordable units, Honua’ula offered to sell 210 at “below moderate” cost for families at 80 percent to 100 percent of median income and another 210 units for 100 percent to 140 percent of median.
But the Honua’ula proposal also includes a payment of $1.4 million to the county to assist new home buyers and a contribution of 5 acres elsewhere in South Maui for a homeless resource center. Jencks said he already has discussed the option with private and public officials.
In discussing the two proposals Wednesday, acting Housing and Human Concerns Director Herman Andaya said the county is “very interested in the five acres.” He said the county has been finding it difficult to get a site for a homeless resource center.
The 5-acre donation will involve property in a light-industrial subdivision in North Kihei, where officials who work with the homeless would prefer to have it placed, Jencks told the committee.
That generated a debate among committee members.
“Is this the best we can do?” asked Council Member Michelle Anderson, who holds the South Maui seat on the council.
Jencks said the site is near employment and shopping, with the 5 acres able to provide 100 units or more of special needs housing.
Council Member Gladys Baisa said she is familiar with the “not in my backyard” sentiment and placing a homeless shelter away from residential areas might not be a bad idea. Council Member Mike Victorino agreed there is a “not in my neighborhood” resistance to a homeless resource center.
“It has got to go somewhere,” he said.
The proposed site puts the people who need the facility near work places where they might find jobs, he said.
“I think it kills two birds with one stone,” he said.
Mateo questioned the “major differences” in the number of affordable residential units that would be provided by Honua’ula if it is not required to comply with the county housing policy. But Jencks on Thursday said the 5-acre donation may not be tied to the housing requirements.
“Not yet,” he said.
Land Use Chairman Mike Molina said at the end of the meeting that he would ask the Planning Department to put together another report on Honua’ula to include the newest project additions for review, since it has been years since the project was first proposed and there have been changes to the original master plan.
The request was in response to Anderson, who said the project should be sent back to the Maui Planning Commission for review.
“Lots of things have changed since this first came up,” she said.
But Deputy Planning Director Colleen Suyama disagreed, saying the “basic project” has not changed. The only major change is a transportation component in which the state Highways Division said it will not extend Piilani Highway.
Suyama said the council could send the project to the Planning Commission or the Planning Department could prepare a report on the changes in the project plans.
Molina said his committee would review Honua’ula again after the Planning Department has put together the updated report on the project.
“It’s far from done,” he said. 
Melissa Tanji can be reached at mtanji@mauinews.com.
reprinted courtesy Maui News 2/2/07
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