Oshiro, Sandra S.

Tanji, Edwin

English

ScholarSpace at University of Hawai'i at Manoa

r Dispute over Kaiaka Rock Hotel settled the state, county and developers of both the hotel and the Kaluakoi Resort have worked out a way to "relieve the long-standing Molokai water shortage. " -----~ By Sandra S. Oshiro and Edwin Tanji Adrerti,~, Slaff \\'rilrr• An agreement h as been reached between developers of th e Kaiaka Rock Hotel and a group opposing the project to settle a dispute that had made enemies of neighbors on the Friendly Isle. Terms of the agreement clear the way for the 375-room project on Molokai to move ahead, while resolving differences over water resources and other concern s with the development, said state and county officials. Waihee said the "landmark agreement " also calls for restoration and preservation of a heiau on the hotel site, ·establishment of a resort indus -try training program for Molokai residents and development of 63 employee homes al Maunaloa Town by 1989. Hui Alaloa's challenge of the hotel project brought protests fr~m other Molokai residents who said the group jeopardized the ir jobs with Kaluakoi Resort and Shera ton Molokai Hotel. A group of pro-hotel re sidents flew to Oahu in January to urge Gov. George Ariyoshi and Wai-hcc to use their influence in bringing the contro-versy to an end. r- -------- -.;;,;_ __ __ ____ __, I I I';' . Lt. Gov . John W aihee and Maui Mayor Hann i-bal Tavares , asked to help mediate the dispute earlier this year, jointly announced the agree-ment in separa te press conferences yesterday. \Vaihcc sa id th e signed pact will resolve all of the concerns rai sed by the Molokai group, Hui Alaloa. It was the group's challenge of a shore-line management permit issued by the Maui Plann ing Commiss ion that had brought ,~he Announcement of the agreement was greeted with enthusia sm by supporters of the hotel and the members of Hui Alaloa who contested it. I I I I project lo .a halt . , The agr~emen t calls for Hui Al_aloa to drop its challenge. In return. the group was assured that .Joyce Kainoa , speaking for the residents who intervened in the hotel project, said the agree-ment a ssures Hoolehua farmers that the count y and Kaluakoi .Resort will gc. t off the ~('olokai . ~A Advertiser newsmap See Agreement on Pa~e A-4 q,j,si'ot'.1 ---- -- ~.!.... I I 1 1 ~ ,4 _. - .;..·!. ..,..._. .. ' ' ... - - ,,,141~ f·-Ag reeme~( reiJ_cHed on Kaiaka Rock Hotel plan$ . . . from page A-3 irrigation system. The. use of the agricul-tural water system to transport water across tJoolehua for the res ort was a key issue in the dispute . The folks contesting the hotel were rocusing particularly on the count y's com• mitmcnt to "coordmatc " futu re constr uc·-tion of a new water line to Kaluakoi ·on the we st end of ~lolokai where the hotel will be buil l. . , . · ' Waihee said th e agreement cali~ for construction of the line within seven years. Kaluakol musl put up a surety bond of aho ut SI million that can hr "r n!IC'd" h\' ·Maui County to construct the line. The total cost of the project ha sn't been work-ed out yet. according to Waihec . · The stale and county will also drill a ·new well near the existing Kaluakoi Well 17 in Centr a l Molokai. Tha l will free Kaluakoi of a requirem ent that it build a backup well a nd tran sfers it s funding com-mitment to th e tran smission line. 'Tm ver y hnppy. obviously." said St c -flhen Th omas. tlw pnr tncr in Kaiaka As-sociates wh o has been leading th e devel-opment effort sinc e it wns first ann ounce d in C'arly Hl83. Thoma s said he will mo\ c ahe ad in a r-ranging financi ng , expected to go higher than original cslimates of $75 million to S85 million. Knlaka Associates also will be movinl? to :ic-quirl' huildin'? J)l'rmlt~. with Thomas saying he hoped to have ! a groundbreaking at the 22-acre site in nine to 12 months . ~ Phil Boydston, vice president . or tbe troubled West Molokai resort, said the agreement "is very encouraging." With the agreement to withdraw the appeal, the hot el developers can "move to the next st t:!p," and enhance the Kaluakoi Resort' s hopes for pulling out of the financial dol • dr ums. After the Sherat on i\lolokai ll otc l and two condominium projects \Vere built near-ly 10 yea rs ago. there was no significa nt constru c tion al Kaluakoi. r After years of no new construction an d contmuing deficits , Kaluakoi ordered cut -bncks on operation s in January that in -cludPd lavoff.;: c,f Knlunkoi personnel. 

Dispute over Kaiaka Rock Hotel settled

http://scholarspace.manoa.hawaii.edu/bitstream/10125/78034/1/DOC2033.pdf

Dispute over Kaiaka Rock Hotel settled

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