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Anonymous donor
helps Habitat repay
loan to Kauai

The county had sued over a
failed plan for low-income housing


By Anthony Sommer
tsommer@starbulletin.com

LIHUE >> Habitat for Humanity Kauai has found an anonymous donor who will pay Kauai County almost $1 million that the charity borrowed in 1997 for a subdivision it never was able to build.

Mayor Maryanne Kusaka's office announced late yesterday the county has agreed to a three-week continuance of a hearing on the lawsuit scheduled for Thursday. The action appears likely to be dismissed if the money is paid.

The county also has agreed to withdraw a claim in the lawsuit seeking $117,600 in late fees.

Habitat for Humanity could not be reached for comment. The Kauai chapter currently has no executive director.

Habitat for Humanity International is based in Americus, Ga., and is one of the world's best-known charities, largely due to former President Jimmy Carter publicizing its work to build homes for poor people.

The Kauai chapter borrowed the $980,000, all of it unused federal disaster funding being held by Kauai County, to buy 24 acres of undeveloped subdivision land in Eleele from Alexander & Baldwin Inc.

The plan to build 125 homes for the poor never materialized because Habitat for Humanity was unable to find funding for the infrastructure -- such as streets and sewer lines -- required of developers.

When Habitat repeatedly failed to respond to requests from the county to either repay the loan or give it title to the land, the county sued in Kauai Circuit Court.

County housing officials said earlier that if the loan is repaid, the money will go to other projects to provide low-income housing.



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