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The Honolulu Advertiser

Posted on: Friday, February 7, 2003

Wal-Mart to split cost of traffic work

By Catherine E. Toth
Advertiser Central O'ahu Writer

After criticism from residents because Wal-Mart was not required to pay for traffic improvements in the area of its planned Manana store, the giant retailer said it is committed to paying its share — estimated at up to $750,000 — to improve traffic flow in the heavily congested area.

"It's not that we're willing to pay for it, we expect to pay for it," said Jon-Eric Greene, senior vice president at Colliers Monroe Friedlander Inc., which represents Wal-Mart in Hawai'i. "We've always expected to pay for it. We never had the assumption at Manana that the city would pay for all the off-site traffic improvements."

But residents are wary of Wal-Mart's promise, saying both the company and the city haven't kept them well-informed.

"It's been real difficult for us to find out what's happening," said Al Fukushima, chairman of the Pearl City Neighborhood Board. "Wal-Mart doesn't want to release any information. ... The public doesn't know what's going on."

Bill Clark, chairman of the 'Aiea Neighborhood Board, said: "This is the first I've heard about it."

A tentative city agreement with Wal-Mart does not require the retailer to pay for traffic improvements along Kamehameha Highway and the arteries leading to its 140,000-square-foot store. This has prompted criticism from area residents and officials.

But the retailer has agreed to pitch in for traffic improvements in five areas identified by the city and Wal-Mart as problem sites:

• Putting in new signals at the intersection of Kuala, Pepei and Makolu streets.

• Improving signaling and striping at the intersection of Kuala Street and Waimano Home Road.

• Modifying signals and striping at the intersection of Waimano Home Road and Kamehameha Highway.

• Improving right-turn access and modifying signals at the Acacia Road and Kuala Street intersection.

• Adding another right-turn lane onto Acacia Road from Kamehameha Highway.

Wal-Mart estimates the cost to improve the five areas at between $1.2 million and $1.5 million. The company likely will split the cost with the city.

"Right now we're trying to finalize the site plans, the off-site improvements, the negotiation about who's taking responsibility for what," Greene said.

He added that some of the suggested traffic improvements were projects the city was planning to complete before Wal-Mart showed interest in the Manana property. Those projects, Greene said, are ones for which the city should be responsible.

"We're not trying to make the city pay for everything," Greene said. "We're just asking the city to take responsibility."

Negotiations between Wal-Mart and the city should be completed within 30 days, Greene said.

Wal-Mart will present its plans to the Pearl City Neighborhood Board on Feb. 27.

City Council member Romy Cachola ('Aliamanu, Airport, Kalihi), who helped broker the deal between the city and Wal-Mart, confirmed that the parties are negotiating the details concerning traffic improvements.

"There are movements," Cachola said. "Wal-Mart is negotiating in good faith and they're trying to come up with ways to help, not only themselves, but the city. That's what's good for us."

The deal with Wal-Mart is part of a settlement with landowner Kamehameha Schools to give the city title to property near Sandy Beach on the Ka Iwi coast. Should Wal-Mart decide not to develop the 20 acres in Manana, the city may have to pay an estimated $200 million to complete the land exchange with Kamehameha Schools.

But Pearl City and 'Aiea residents have their own concerns.

With the new Wal-Mart store, "people will come from all parts of the island because the attraction is there," Fukushima said. "People would rather come to Pearl City than to Kunia or Mililani. ... But no one is taking a look at how people would get there."

While some may travel along the heavily congested Kamehameha Highway to the new store at the corner of Acacia Road and Kuala Street, 'ewa-bound shoppers will likely take H-1, get off at Moanalua Road and drive along Kuala Street.

"But no one's talking about improvements to (Moanalua Road)," Fukushima said.

Greene said Wal-Mart has been reviewing traffic studies done by the city, looking for ways to improve traffic flow not only to its store but through the community as well.

"It's important for us to get this done in a timely manner," Greene said. "It's important to the community. We're not trying to ignore the issue, we're trying to accelerate it."

Should the deal be completed, Wal-Mart may start construction on the store and roadways in late summer.

Though Wal-Mart is close to wrapping up negotiations with the city, "it's not a done deal," Cachola said. "We're working for what is best for the city and taxpayers. We can't afford to drop the ball on this one."

Reach Catherine E. Toth at 535-8103 or ctoth@honoluluadvertiser.com.