$25.5M for ADA compliance: County Council advances bond float

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Rocks and other obstacles can make accessing facilities at Laaloa Bay Beach Park, also known as Magic Sands and Disappearing Sands Beach Park, difficult Wednesday afternoon. Required improvements at 10 county parks will likely continue, with a $25.5 million bond issue forwarded Wednesday by the County Council on an 8-0 vote. (Chelsea Jensen/West Hawaii Today)
It was a busy Wednesday at Laaloa Bay Beach Park, also known as Magic Sands and Disappearing Sands Beach Park. Required improvements at 10 county parks will likely continue, with a $25.5 million bond issue forwarded Wednesday by the County Council on an 8-0 vote. (Chelsea Jensen/West Hawaii Today)
Visitors to Laaloa Bay Beach Park, also known as Magic Sands and Disappearing Sands Beach Park, use a sand trail to leave the site Wednesday afternoon. Required improvements at 10 county parks will likely continue, with a $25.5 million bond issue forwarded Wednesday by the County Council on an 8-0 vote. (Chelsea Jensen/West Hawaii Today)
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Required improvements at 10 county parks will likely continue, with a $25.5 million bond issue forwarded Wednesday by the County Council on an 8-0 vote.

The measure, Bill 48, will pay for improvements required by the Americans with Disabilities Act at Papaaloa Park, Paauilo Park, Kolekole Gulch Park, Disappearing Sands Beach Park (also known as Magic Sands and Laaloa), Richardson Ocean Park, NAS Swimming Pool, Pahala Swimming Pool, Kahuku Park, Milolii Beach Park and South Hilo Base Yard.

The bill has one more vote before the council later this month before being sent to Mayor Mitch Roth, who requested the bond issue.

The county agreed to make the ADA improvements in a 1998 settlement agreement after being sued by a Big Island resident.

“We’re on the home stretch and these are the ones that need to be completed by the end of next year,” said Parks and Recreation Director Maurice Messina.

Messina said the county has addressed approximately 70 specific sites on county property since 2009.

Hamakua Councilwoman Heather Kimball recused herself from the vote because her husband, an architect, has links to projects at two of the parks.

The bill is being fast-tracked so the county can report its progress to federal Magistrate Judge Rom Trader at an Aug. 25 status conference. At the most recent status conference on May 6, the county reported the award of two contracts, with construction to begin shortly on the NAS swimming pool and Kahuku Park. In addition, a public meeting was scheduled to solicit community feedback on the Milolii Beach Park project.

The projects are costly and may require more than the $25.5 million to complete, Messina said.

In addition, said Finance Director Deanna Sako, there may be another measure coming soon to pay for needed sewer improvements on the island. The administration is trying to find alternative funding first, she said.

“We are working on a larger proposal to bring forward to council,” Sako said.

The Government Finance Officers Association recommends a ceiling of no more than 15% of expenditures go toward repaying general obligation bond debt.

Questioned by Kohala Councilman Tim Richards about how close the county is to that borrowing limit, Sako said bonds issued so far are about 10% of expenditures. Authorization of the latest bonds, which are backed by the full faith and credit of the taxpayer, would take it up 13.1%.

But the ceiling is a recommendation, not a requirement, she said. Many factors go into a county’s bond rating, which affects how attractive the bond float is to investors and ultimately, the interest rate the county has to pay.

“We’re trying hard to keep it under 15% but that’s not a firm rule,” Sako said.”We have to look at COVID and what our island has been through and how we want to stimulate the economy.”