Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Housing topic
No spam. Unsubscribe anytime.
Committee forwards nearly $2 million in federal HOME‑ARP funds for Kukini/Kuaikine Heights affordable housing
Summary
The Finance Committee forwarded a resolution and companion budget bill to accept and appropriate $1,977,568 of federal HOME‑ARP funds for the Kukini/Kuaikine Heights affordable housing project in Kailua‑Kona, covering project subsidy and administrative costs for a 100‑unit, 20‑year affordability project.
The Hawaii County Committee on Finance voted 8–0 on May 20 to forward Resolution 182‑25 and Bill 55 to the full council with favorable recommendations, accepting $1,977,568 of federally derived HOME American Rescue Plan (HOME‑ARP) funds via the Hawaii Housing Finance and Development Corporation and appropriating those funds for the Kukini/Kuaikine Heights affordable housing project in Kailua‑Kona.
The funds are intended to subsidize a planned 100‑unit rental development. Committee discussion identified the county share as $1,977,568; staff said the appropriation will be split between project subsidies (listed in the bill as $1,817,225) and administration ($160,343). Officials said the development will target households at or below 60 percent of area median income and that a 20‑year affordability agreement will be recorded; developers and staff said additional capital stack sources will be used for the project.
Why it matters: Committee members described the funding as an important subsidy to move a planned 100‑unit affordable rental project toward construction on the Kona side of the island. Members asked about the income targeting and the length of affordability; staff confirmed the 20‑year affordability term and noted potential options to extend affordability after that period.
What the committee heard: Housing Administrator (Costa) and other housing officials told the committee the HOME‑ARP allocation is part of previously awarded federal HOME funds distributed on a three‑year cycle from the State HHFDC. Staff said the funds must be appropriated by September and described the project as breaking ground this year pending approvals and permitting.
Committee action and next steps: Councilmember Kirkowitz moved and Councilmember Galimba seconded forwarding Resolution 182‑25 to council; the committee recorded an 8–0 favorable vote with Councilmember Kimball excused. A companion motion forwarded Bill 55 to appropriate the HOME‑ARP grant dollars into the county operating budget and project accounts; that motion also passed 8–0. Staff said the developer would open a wait list near lease‑up and that the project will be restricted to households at 60% AMI and below under the proposed affordability agreement.
Looking ahead: Staff said the total HOME project budget and the broader capital stack include multiple funding sources; the committee asked staff to follow up on long‑term affordability options and to report back about the project schedule.
