A bill that would create a business improvement district to revitalize downtown Hilo has been resurrected.
At Tuesday’s meeting of the Hawaii County Council’s Finance Committee, Hilo Councilman Aaron Chung introduced Bill 230, a recreation of a bill he introduced in 2020 that would have allowed member businesses in a downtown Hilo Business Improvement District to finance upgrades to the area’s infrastructure and other services.
That 2020 bill was shelved for two years during the COVID-19 pandemic, but Chung said at an October meeting for downtown Hilo property owners that the bill would be reintroduced this year.
While Bill 230 has been largely unchanged from the 2020 bill, former county managing director Roy Takemoto — who Chung credited for the creation of the 2020 bill — said at Tuesday’s meeting that the boundaries of the district proposed within the 2020 bill could be amended.
That bill, and the current Bill 230, suggest that the BID would encompass the area between Ponahawai Street, Wailuku Drive, Kapiolani Street and the Hilo Bayfront. But Takemoto said the BID also could include other sections along Kilauea Avenue that might be subject to their own fee schedules.
A draft plan included with the bill suggests the BID’s first year budget would be $91,500, generated through assessments on member businesses at a rate of $500 per parcel. Of that $91,500, $50,000 would be spent on developing a parking plan, another $28,500 would be spent on street cleaning and maintenance, and the remainder would be spent on operational expenses.
Chung said the point of the BID would be to improve conditions in the downtown area by increasing maintenance of infrastructure, installing better landscaping and pedestrian pathways, improving transportation services, and marketing special events within the district.
“It’s not our intent to replace the county’s services in the district, but to augment them,” Chung said, adding that the proposal is entirely opt-in and will not be forced upon all businesses that fall within the district boundaries.
The BID would be governed by a District Board consisting of 17 members, 15 of which would be voting members, and 13 of those would be fee simple owners within the district.
The remaining two voting members would be the mayor or mayor’s representative and the council member representing Council District 2. Chung currently holds that seat but is termed-out in December.
The nonvoting members would be the directors of the departments of Public Works and Finance or their representatives.
All council members at the committee meeting were supportive of the bill, with Kohala Councilman Tim Richards noting that downtown Hilo has been in need of revitalization for some time.
The committee voted unanimously to forward the bill to the full council with a favorable recommendation.
Email Michael Brestovansky at mbrestovansky@hawaiitribune-herald.com.
