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The Honolulu Advertiser

Posted on: Monday, August 16, 2004

Housing project manager lost bid for state job

 •  Fire safety lax at high-rise

By Jim Dooley
Advertiser Staff Writer

Federal officials blocked a state effort to hire Kuhio Park Terrace manager Robert Faleafine as manager of Hawai'i's 16,000 public housing units, citing the broken fire protection system as one reason for the veto.

Former Hawai'i state senator Michael Liu, now national head of the Public and Indian Housing Office in the U.S. Department of Housing and Urban Development, turned down Faleafine's employment in an April 23 letter to Stephanie Aveiro, executive director of the Housing and Community Development Corporation of Hawai'i.

Aveiro needed Liu's permission to hire Faleafine as chief of the housing corporation's Property Management and Maintenance Branch because federal officials have previously cited the state agency for management and financial irregularities, including violations of conflict-of-interest regulations.

The main reason Liu gave for disapproving the hiring of Faleafine was that it would violate federal conflict-of-interest provisions.

Faleafine is now an employee of a private company, Urban Real Estate, which manages 17 public housing projects for the housing corporation. Faleafine's brother, Lui Faleafine, is an official of Urban Real Estate and two of Lui Faleafine's daughters are also employed there.

Placing Robert Faleafine in the job of management and maintenance chief would put him in a conflict-of-interest because he would be required to oversee the activities of his brother and nieces, Liu said.

The Hawai'i Ethics Commission said in a February letter to Aveiro that the state ethics code "would not prohibit Mr. Faleafine from taking discretionary action affecting Urban (Real Estate)," because state conflict-of-interest definitions "don't include a state employee's siblings, nephews or niece," according to Liu.

But Liu went on to say that federal conflict-of-interest provisions that govern the activities of housing corporation employees "use considerably broader definitions of prohibited financial interest held by an employee's relatives," Liu said.

Liu also cited the disabled fire protection system at Kuhio Park Terrace as a reason for nixing Faleafine's employment.

"It is apparent that this condition has existed for some time," Liu wrote. "As the on-site property manager, Mr. Faleafine is directly responsible for the condition of the property."

Liu questioned whether Faleafine "is able to lead the other property managers ... during this critical period of rebuilding HCDCH's capacity."

Robert and Lui Faleafine said Urban Real Estate has notified the housing corporation about maintenance and safety problems at Kuhio Park Terrace and the company doesn't have the authority or money to fix the problems.

Both men said Robert Faleafine would have taken a pay cut if he moved to the state job.

"I wanted to give something back to the community," Robert Faleafine said.

As for Liu's questioning his leadership abilities, Faleafine said, "I'm a veteran of the Gulf War. I was awarded a Bronze Star. For him to question my leadership, that really hurts."

Reach Jim Dooley at jdooley@honoluluadvertiser.com or 535-2447.