By JOHN BURNETT Hawaii Tribune-Herald
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Hawaii County still anticipates construction to restore lava-ravaged Pohoiki Road in lower Puna will begin before the end of June.

A condemnation lawsuit filed by the county against a landowner with a piece of property the county needs to proceed — as well as a counterclaim by the landowner — appears to be close to a settlement.

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“We are currently engaging in settlement negotiations with the landowner, and we are optimistic that we can reach a mutually satisfactory resolution,” Tom Callis, a spokesman for Mayor Kimo Alameda, wrote in an email.

Hilo Circuit Judge Henry Nakamoto granted a motion by Kapoho Land and Development Co. Ltd. to set aside an order dismissing its counterclaim against the county.

KLDC refused a county offer of $24,000 for 0.94 acres of land, part of two parcels totaling about 660 acres adjacent to the road, which was overrun by lava from the 2018 lower East Rift Zone eruption of Kilauea that also overran Highways 132 and 137 in lower Puna.

In addition, a hearing on a motion by KLDC in the condemnation suit to vacate an Aug. 15 order putting the county in possession of the property has been rescheduled for June 4 by agreement of the parties, according to the Judiciary website.

A. Lono Lyman, KLDC manager and a former county planning director, declined to comment.

However, a declaration by Lindsay McAneely, legal counsel representing KLDC, said in a March 6 court filing in the landowner’s counterclaim that “settlement negotiations have continued and remain ongoing, with exchange of information, offers, additional conferences with (Hilo Circuit Judge Peter Kubota) and meetings between counsel and between party representatives.”

The contract for restoration and realignment of 4.5 miles of Pohoiki Road was awarded to Nan Inc. The project includes replacements of waterlines along both Highway 137 and Pohoiki Road.

Combined, the road and waterline restoration projects have an estimated price tag of about $50 million, with 75% funded by the Federal Emergency Management Agency and state recovery funds covering the 25% local match.

According to the county’s Kilauea Eruption Recovery web page, the Highway 137 project, which is ongoing, and the Pohoiki Road reconstruction, which is expected to be complete in the fourth quarter of 2026, “signify a major milestone in lower Puna’s recovery, helping to rebuild vital infrastructure and strengthen community resilience for the future.”

Email John Burnett at jburnett@hawaiitribune-herald.com.