Email Peter Sur at psur@hawaiitribune-herald.com.
By PETER SUR
Tribune-Herald staff writer
State legislators are dissatisfied with the condition of the Naniloa Volcanoes Resort, the Castle Hilo Hawaiian Hotel and other properties in Hilo’s resort district, and they want to do something about it.
With the support of 18 other members of the House of Representatives, Hilo Rep. Jerry Chang introduced a bill that would strip the Department of Land and Natural Resources of its authority to manage its Banyan Drive properties.
House Bill 2366 would establish a 13-member East Hawaii Community Development District Board and force the DLNR to relinquish ownership of its Banyan Drive parcels. The leases that the state executed would remain in effect.
“There is an area in East Hawaii that is in need of renewal, renovation or improvement to enhance the economic and social value of the area to the state,” the bill’s preamble states.
“There has been little incentive for the lessees of the properties in the area to make major investments in improvements to their infrastructure, resulting in the deterioration of the area’s infrastructure and facilities.”
“Last year, we passed the Public Lands Development Corporation bill, which pretty much gives the authority for this new commission to do partnerships with public lands and private developers,” Chang said.
The board would appoint an executive director, prepare a community development plan and be responsible for improvements, repairs and construction for areas within its jurisdiction.
Chang feels that public-private partnerships can create revenue for both the state and the county. But he’s also hoping to send a message to the state that the current situation is unacceptable.
“This is just a vehicle to spark some interest,” he said. “Every time you do a bill like this, the DLNR gets defensive and feels that we’re kind of stepping on their boundaries.”
At the bill’s hearing, scheduled for next Monday, Chang hopes to send a message that lawmakers are concerned “and improvements need to be made to that beautiful part of Hilo.”
Chang is hopeful that Ken Fujiyama, who operates the Naniloa Volcanoes Resort, is doing the best he can with the funds that he has. “He’s got the lease. He’s abiding by the lease, and he’s making improvements.”
Email Peter Sur at psur@hawaiitribune-herald.com.