NOTICE OF PUBLIC HEARING
COUNTY OF KAUAI

The Board of Water Supply of the County of Kauai (“Board”) will hold a public hearing and receive public testimony and comments from all interested persons regarding the following item:

PROPOSED AMENDMENTS TO THE RULES AND REGULATIONS OF THE BOARD OF WATER SUPPLY, COUNTY OF KAUAI, STATE HAWAII

The Department of Water is recommending the deletion of Part 4, Section VII (detailing the Facilities Reserve Charge) and the creation of a new Part 5 to be added to the Board of Water’s Rules and Regulations. This new Part 5 will deal solely with Facilities Reserve Charges. Below is a summary of the proposed changes.

PART 5 – FACILITIES RESERVE CHARGE

a. Modification of Facilities Reserve Charge (FRC)
The proposed rule modifies the charges that apply to all new developments and subdivisions requiring water supply, and to existing developments requiring new or additional water supply from the DOW. The proposed FRC for the typical residential 5/8-inch water meter is increased by approximately 300%, from $4,600 to $14,115. For larger meters, from
¾-inch to 8-inch, the fee increase declines progressively from 48% to 24%. The proposed FRC for single family, multi-family and resort is also modified based on Hawai’i’s Water System Standards.

b. Establishment of Time Period to Install Water Meter
The proposed rule change also applies to applicants who have paid the FRC fee prior to the enactment of these new rules, but have not yet installed their water meter. The new rule would allow these “prior applicants” to install their meter within three (3) years following the enactment of the new rules, at no additional FRC charge. If a prior applicant’s water meter is not installed after three (3) years, the prior applicant will be required to pay the difference between the FRC they paid and the FRC in effect at the time their meter is installed.

c. Modification of FRC Offset
Another proposed change modifies the percentage of FRC offsets that are applicable for specific source, storage or off-site transmission facilities constructed by developers. The proposed rule change modifies the FRC offset percentages up to 22% where water source improvements are constructed, up to 41% where water storage improvements are constructed, and up to 37% where off-site transmission facilities are constructed.

d. Establishment of Total FRC Offsets
The proposed rule change also allows an applicant who is required to provide 100% of the source or storage or off-site transmission facilities, to receive the total FRC offset for the entire FRC liability amount per category of source or storage or offsite transmission improvements.

e. Establishment of Grant Funds Offset
The proposed rule change allows an applicant to use a project’s Grant Funds to offset the project’s FRC liability associated with development. Grant Fund offsets can only apply to the identified grant beneficiaries.

f. The proposed rule change deletes Part 4, Section VII in its entirety and applicable portions of Part 4, Section VII relating to the FRC have been included in Part 5.

g. Also included in the proposed rule change are requirements mandated by Hawaii Revised Statute §46-141 to §46-148.

The Public hearing will be held at the following location, date and time given below:

TUESDAY, NOVEMBER 10, 2015
5:00 P.M.
COUNCIL CHAMBERS
HISTORIC COUNTY BUILDING
4396 Rice Street, Suite 201
Lihu’e, Kaua’i, Hawai’i 96766

The proposed rule will be available to view on the Kaua’i Department of Water’s website, www.kauaiwater.org. A copy of the proposed rule will be mailed to any interested person who requests a copy and pays the required fees for the copy and the postage. The rule proposed to be repealed may also be reviewed in person from Monday through Friday, 8 am to 4:15 p.m. at the Kaua’i Department of Water, 4398 Pua Loke Street Lihu’e, Kaua’i, Hawai’i 96766. Requests may be made by calling the Water Manager’s Office at (808) 245-5406, or by submitting facsimile requests to (808) 246-8628. Requests may also be made up to and including the date of the public hearing.

All interested persons may submit data, views, arguments, or other testimony orally or in writing, or both, concerning the proposed rule amendments. Data, views, arguments, or other testimony may be submitted any time up to and including the date of the public hearing, or at the public hearing itself. Data, views, arguments, or testimony may be submitted by e-mail to eineumiller@kauaiwater.org, by facsimile to (808) 246-8628 or by U.S. mail to the Water Manager’s Office, whose address is Kauai Department of Water, 4398 Pua Loke Street, Lihue, Kauai, Hawaii 96766.

Special Accommodations for persons with disabilities are available upon request five (5) days prior to the meeting date. Please call the Department of Water, County of Kauai, at 245-5406 or drop by at 4398 Pua Loke Street, Lihue, Kauai. Our mailing address is PO Box 1706, Lihue, HI 96766.

BY ORDER OF THE BOARD: Sherman Shiraishi, 2015 Chairperson

(Published in The Garden Island & Department of Water’s Website at www.kauaiwater.org on October 9, 2015 & November 10, 2015)
(TGI804364 10/9, 11/10/15)~