Posted on: Thursday, October 25, 2001
Island Voices
Coastline construction shouldn't get a break
By David Kimo Frankel
Big Island resident
No question about it. Hawai'i's economy is hurting. But in our rush to rev the economic engines, let's not just let the bulldozers loose.
One bill being considered by the Legislature would give a tax credit for new residential construction.
Not a bad idea. Except that it includes construction in the special management area — near the coastline. By including construction near the beach, it not only subsidizes development in the wrong area, but it also benefits those who need assistance least.
Consider the Hokulia development, financed largely by Arizona developer Lyle Anderson. Circuit Court Judge Ronald Ibara found that the Hokulia development illegally dumped massive amounts of sediment and dirt into the class AA waters near Kealakekua Bay.
According to the state Department of Land and Natural Resources, corals were covered with up to three inches of mud, killing them. Judge Ibara also found that the developer illegally removed Hawaiian burials and destroyed a historic trail. Do these folks deserve a tax break? People buying and building there in the next few months would benefit from Gov. Ben Cayetano's bill.
Or take the development near stunning Donkey Beach on Kaua'i. Although litigation pushed the development farther mauka from the beach than the developer wanted, the million-dollar lots are a hot item. Glossy ads show the "rare ocean-front estate homesites." Never mind that Colorado developers Michelle and Justin Hughes assured county officials that their project would be an agricultural subdivision. Do we want to encourage construction in this "300-acre coastal preserve"? Do these folks need a tax break?
Two years ago, Maui County tried to buy beachfront land at beautiful, undeveloped Palauea Beach. But it could not afford to buy more than two of the lots. Now, should we give a tax break to the very people who wouldn't sell to the county at a reasonable price? Do we want to encourage development in an area that Maui residents wanted preserved?
And does anyone really believe that Andy Anderson needs help getting the beach lots fronting Velzyland developed?
Cayetano's tax credit bill will, in effect, subsidize development that does not need our support.
Development near our coastline does not need a tax credit.
