Committee on Legislative Approvals & Acquisitions Meeting - Dec 16, 2025
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Committee on Legislative Approvals and Acquisitions - December 16, 2025
The 17th session of the Committee on Legislative Approvals and Acquisitions convened on December 16, 2025, to consider Bill 111, a rezoning request for a 4.4669-acre property in South Hilo. The meeting featured a presentation by Planning Director Jeffrey Darrell and testimony from applicant consultant Darren Aray. Councilmembers deliberated on road infrastructure, fair share fee structures, and affordable housing compliance before unanimously voting to forward the bill with a favorable recommendation.
Consent Calendar
- Approval of attendance: Councilmembers Kane Kleinfelder, O'Nishi, and Kirkwitz were excused; Councilmembers O'Nishi and Connie Kleinfelder later joined the session.
Public Comments & Testimony
- Darren Aray (Land Use Planning Consultant representing Mailani Development LLC):
- Expressed strong support for the rezoning, describing the project as "infilling" within an established residential community completely surrounded by single-family homes.
- Stated that the applicant has a proven track record, citing a 2019 development in the immediate area that successfully created 27 lots.
- Noted that the applicant is actively exploring both on-site and off-site rental opportunities to satisfy the required three affordable housing credits and that they agree to the proposed conditions of approval.
- Highlighted that over 90% of similar lots in the area sold to local and Hawaiian residents in the past six years.
Discussion Items
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Infrastructure and Road Connectivity (Councilmember Kagiwada, Director Darrell):
- Councilmember Kagiwada expressed confusion regarding the "non-conformance" of Ahi Street, noting a break in the road. Director Darrell clarified that the dedication of this portion for county improvement was a condition of a separate prior rezoning and that the applicant will dedicate the portion only when the Department of Public Works requests it. Kagiwanda expressed overall support for the building but noted the current lack of connectivity.
- Discussion confirmed that access for the existing southern home site would be changed from private Ahi Street to the public Kikaha Street.
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Fair Share Contributions and ADU Density (Councilmember Connie Kleinfelder, Director Darrell):
- Director Darrell explained this is the first application utilizing the removal of the prohibition on accessory dwelling units (ADUs), allowing up to three ADUs per lot. Consequently, a new "fair share" payment condition was added to address regional impacts.
- Clarification of Position/Stats: Stated that the fair share contribution is $17,921.82 per lot/ADU. Councilmember Kleinfelder sought clarification on whether the fee applies per parcel or per ADU; Director Darrell confirmed that each ADU triggers a separate fair share contribution, adjusted annually by the Honolulu Consumer Price Index (HCPI).
- Director Darrell noted this fee is paid for the 13 new lots prior to final subdivision, and additional fees trigger when building permits for ADUs are sought.
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Affordable Housing and Utilities (Councilmember Inaba, Director Darrell):
- Councilmember Inaba asked how the applicant intends to meet the affordable housing requirement. The applicant stated they are exploring off-site rental opportunities to earn the necessary three credits.
- Councilmember Inaba expressed concern regarding wastewater constraints; Director Darrell confirmed 13 lots lack municipal wastewater, limiting them to DOH-mandated five-bedroom maximums per septic system, with no nearby sewer availability identified.
- A discussion was initiated regarding whether fair share fees should be waived for units required to meet affordable housing guidelines, which previously applied to projects proposing 50% affordable housing, but did not cover the required 20%.
Key Outcomes
- Vote on Bill 111: The motion to adopt Bill 111 (amending City Code Section 25-8-33 to change zone from Agricultural 3-Acre to Single Family Residential 10,000 Sq Ft) was approved with 8 Ayes and 0 Opposed (Councilmember Kirkwitz was initially excused, then joined; Councilmembers O'Nishi and Kleinfelder joined during the meeting).
- Action: Bill 111 is forwarded to the full Hawaii County Council with a favorable recommendation.
- Conditions Approved: The rezoning includes conditions regarding the dedication of Ahi Street for future county improvement by the Department of Public Works, and a new fair share contribution fee structure of $17,921.82 per new lot/ADU.
- Next Steps: The Director promised to investigate the proximity of sewer systems for future council discussion.
Meeting Transcript
Good afternoon, everyone, and welcome to the 17th session on the Committee on Legislative Approvals and Acquisitions. We are located here today in the West Hawaii Civic Chambers in Kona in the room with us today. We have Councilmember Kagiwada, Councilmember Houstis, Council Member Inaba, Councilmember Viegas, and Council Member Kalimba. At this time, Councilmember Kane Kleinfelder, O'Nishi, and Kirkwitz are excused. Mr. Clerk, do we have any testimony today on our one agenda item? We do not have any oral testimony for your committee. Chair Kimball. Great. Would you please read in Bill 111? Oh, Matt's not here to talk about what a great number that is. We can talk about it later. Bill 111, amend section 25-8-33, City of Hilo Zone Map, Article 8, chapter 25 of the Hawaii County Code 1983, 2016 edition as amended by changing the district classification from agricultural three acres to single family residential 10,000 square feet at Waikia South Hila Hawaii by tax map key two for 080014. Applicant Mylani Development LOC Area 4.4669 acres the one we're planning commission forwards. A favorable recommendation for this requested change of zone, which allowed applicants to buy the property into 14 house lots and a road line. Properties located at 1077 Ah Street, introduced by Councilmember Kimball by request and communication 638.1 transmits from planning director Jeffrey Darrell, dated September, excuse me, December 3, 2023, a PowerPoint presentation for Bill 111. Chair motion to adopt Bill 111 and send to the full council with favorable recommendation. Motion by Councilmember Kagiwada, seconded by Councilmember Kalimba to approve Bill 111 and forward to council with a favorable recommendation. With that, I will invite the planning department, Director Darrow, to provide the presentation on this agenda item. Director Darrell. Aloha. Thank you, Chair and Vice Chair and members of the Hawaii County Council, Jeff Darrow with the planning department. Hopefully you can see the presentation. Are you folks able to see it? Yes, we are. Okay, great. So our applicant is Mailani Development LLC. They're requesting a change of zone. The area of this application is within the South Hilo District, more specifically in the White Care, Waicare area. The applicant is requesting a change of zone from agricultural three acre to single family residential 10,000 square feet for 4.469 acres of land. They propose the development of a 14-lot single family residential subdivision with lots ranging in size from a maximum 10,000 square feet to just over 21,400 square feet and one road lot built to county dedicated standards with curb gutter and sidewalks. One of the proposed lots will accommodate an existing single family dwelling currently situated on the property. The remainder of the proposed lots will be sold in finished graded form, ready for new landowners to build a home. Subdivision approval is anticipated within seven years from the effective date of the zoning change. The cost of the improvements is estimated to be approximately 1.5 million dollars. The different colors represent the different types of county zoning that we have in the area. Just for reference, the yellow represents single family residential 10,000 square feet. The light blue represents agricultural three acres. The mustard color represents residential 15,000 square feet. And the light green color represents agricultural one acre. The subject property is outlined in red and is surrounded with by residential zoning. This is the state land use boundary map, which shows the entire area situated within the state land use urban district. This is our general plan land use pattern allocation guide map. It identifies the area for low density urban uses. And this is the applicant's proposed subdivision plan again, showing uh 14 lots ranging in size from 10,000 square feet to 21,400 square feet along with a roadlock. These are two aerial photographs identifying the subject property. As you can see, it's surrounded by residential uses. And these are site photos. The one in the upper left is uh from Ahi Street. Uh it is showing the existing residents on the subject property on the left.
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