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State agency puts squeeze
on Kakaako small businesses

The Hawaii Community Development Authority, an independent state agency, has a vision for Kakaako. However, the HCDA members' vision doesn't include the small businesses in the area. The project, called ID-11, involves widening Queen Street to four lanes of traffic, adding 8-foot sidewalks and planting trees in the sidewalks. To accomplish this, HCDA is assessing business and property owners approximately 30 percent of the $15.6 million estimated cost. Another part of the plan is to condemn private property frontage to accommodate the above-city-standard sidewalk widths.

HCDA said it would cap the assessment amount. The final dollar amount of the project grew from $6.5 million to the current $15.6 million. Where it might end is unknown. Further, the affected property owners can expect to see future bills as adjacent unrelated streets develop. They also can expect to see greater real property tax assessments once the project is complete. The condemnation of private property forces customers to seek alternative and street parking.

As Cliff Garcia of Tropical Lamp and Shade said, "No one's going to buy a lamp from me and carry it three blocks away to a metered parking stall." The condemnation also prevents small, 5,000-square-foot parcels access to receive merchandise from vendors.

The resident businesses want improvements done but not at the expense of business. The Kakaako Business and Landowners Association, a nonprofit organization, was formed to support these business owners and work with HCDA to plan their community. However, after numerous attempts to meet with HCDA, their quest to sit at the planning table was denied.

Small business is being squeezed. Unfortunately, to fulfill HCDA's vision to bring large condo developments and box retailers, small businesses and landowners need to move.

"I depend on my land to survive," said Garcia. "The state wants to take my land; on top of that, it also wants to charge me. Government always urges people to become involved. In Kakaako's case this government is telling me to bug off."

Government and its relationship to its citizens should be like a marriage, with both working together for the betterment of each other. It's understandable why Kakaako business residents are angered when they are shut out of the process. Dan Dinell, HCDA's executive director, said, "Our vision of Kakaako is to make it the most desirable and sustainable place in Hawaii to work, learn and play."

Dinell has his vision. Unfortunately, he has not approached the people who work, learn or play there and who already live in the area.

The states Small Business Regulatory Board wrote Gov. Lingle warning the construction of ID-11 would devastate the area's small businesses. Lingle decided not to listen. Lynn Wood, the board's chairwoman, continued, "Any small business owner knows that such impacts will result in one giant step toward bankruptcy. The board is most concerned that the property then will be picked up at distressed prices by the neighborhood large property owner. Is this the intent of HCDA?"

Yet Lingle signed the approval to proceed with the ID-11 construction project. The Kakaako Business and Landowners Association expressed its disappointment with the governor's decision to turn her back on small business.

As 2006 approaches, Lingle seeks another term. Her commitments to her promises are brought into question. The governor seems to have taken an anti-small business position. The Kakaako businesses targeted provide for hundreds of families, vendors and customers. Long-term taxpaying members are at risk of losing jobs. With more luxury condos casting their shadows over Kakaako, small businesses are banding together. Small business represents more than 85 percent of the state's economy. Together it is a large voice. Lingle has the power to postpone ID-11.

Allow Kakaako residents to participate in its community development. Supporters are encouraged to write the governor. Letters can be sent to Honorable Gov. Linda Lingle, Executive Chambers, State Capitol, Honolulu, HI 96813.

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