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Finance committee closes files on two change-order reports after staff Q&A on large amendments

2679704 · March 18, 2025
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Summary

Committee closed files on two finance communications reporting contract change orders and received staff follow-up commitments on a large Tingley Development amendment and a no-cost extension for a Vibrant Hawaii navigator contract funded by ARPA.

The Hawaii County Council Committee on Finance on March 18 voted to close the files on two communications (24.5 and 24.6) that reported change orders authorized in January. Committee members requested additional details on a large amendment tied to Tingley Development and received confirmation that a contract extension for Vibrant Hawaii is a no-cost ARPA-funded extension of an existing social-service navigator program.

The communications were presented as reports from Finance Director Diane Nakagawa pursuant to section 2-12.3 of the Hawaii County Code. For Communication 24.5 the committee recorded the file as closed; the clerk announced seven members in favor and noted that Council members Galimba and Kirkowitz were excused. For Communication 24.6 the committee also closed the file; the clerk announced seven members in favor.

Council members asked for detail about a reported amendment to a Tingley Development contract related to the Kukui Ola access road. One council member noted the cumulative change orders made the contract amount far higher than the original figure, saying the percent over the original contract appeared "extreme," citing an approximately 3,400% increase. Finance Director Nakagawa said the contract predates her administration and that the original contract date was in 2020; she said staff would "go ahead and work with OECD and provide some background for you." Nakagawa said she did not recall the specifics at the hearing and would provide a detailed breakdown of cumulative change orders and contract totals.

Committee members also asked about a contract with Vibrant Hawaii. Housing Administrator Keha Acosta described the program as an existing social-service navigator model and told the committee, "This is an existing program. This is not part of the housing homeless fund. This is a different fund federal fund. I believe it was under COVID." Acosta said the change order represented a no-cost extension and that the contract had the ability to extend one year. Acosta confirmed the funding source as ARPA.

The committee closed both files after the Q&A and staff committed to follow up with background on the Tingley Development change orders and confirmation of funding and contract terms for the Vibrant Hawaii extension. The motions to close file were recorded as carried and the committee took no further action on either communication beyond closing the files.