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Thursday, January 13, 2000



Housing agency board
ousts executive director

By Richard Borreca
Star-Bulletin

Tapa

Donald K.W. Lau, first executive director of the state's combined housing agency, has been released after the state Housing and Community Development Corp. board terminated his contract.

Lau, who four years ago was chairman of the housing agency board, did not return telephone calls from the Star-Bulletin.

He was removed from the $78,000-a-year post Friday at a housing agency board meeting.

The agency was a new one in state government. It was set up at the urging of Gov. Ben Cayetano's administration to combine the Hawaii Housing Authority, the Housing Finance Development Corp. and the Rental Trust Fund Compensation Commission. It is responsible for the housing needs of low-income families, singles, seniors and persons with disabilities. It also provides affordable housing and mortgage help to low- and moderate-income families.

"We felt strongly that Don didn't perform satisfactorily in implementing our plans," Ron Lim, housing agency board member and Cayetano's special assistant for housing, said yesterday.

Lim said Lau, who was a vice president of Bank of America and had worked for First Federal Savings and Loan, tried to accomplish the goals set by the board but "it may have been too much for him to handle."

Tenants with the Kalihi Valley Homes, public housing project, testified in support of Lau on Friday, said Sister Rose Anthony, treasurer of the Kalihi Valley Homes Residents Association.

"He allowed us to be involved with the planning," she said.

"Previously to this, the residents had no say. We were a people of no voice," she added.

State Rep. Dennis Arakaki, House Housing Committee chairman, said Lau faced "a daunting task" because he was responsible for consolidating two large programs. "I thought he was doing well, especially with the public housing side."

Lim, however, said the housing board has had quarterly evaluations of Lau's performance and talked with him about goals he was to meet.

"As executive director he needed to grasp the whole organization," Lim said.



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