Notice of Finding of No Significant Impact and Notice of Intent to Request Release of Funds for Pālamanui
Department of Hawaiian Home Lands
91-5420 Kapolei Parkway, Kapolei, HI 96707
(808) 620-9500
These notices shall satisfy two separate but related procedural requirements for activities to be undertaken by the Department of Hawaiian Home Lands (DHHL).
REQUEST FOR RELEASE OF FUNDS
On or about at least one day after the end of the comment period the Department of Hawaiian Home Lands (DHHL) will submit a request to the HUD for the release of Native Hawaiian Housing Block Grant funds under Title VIII-Housing Assistance for Native Hawaiians of the Native American Housing Assistance and Self Determination Act (NAHASDA), to undertake a project known as DHHL Pālamanui, for the purpose of providing people of native Hawaiian ancestry with safe, secure, and affordable housing in Kona on the island of Hawaiʻi. The project is estimated to cost approximately $119,931,204 of which $22,750,000 will be from HUD funding sources.
The DHHL Pālamanui Housing Development Project is located on 18.0-acres within a 105.33 acre development within Tax Map Key (3) 7-2-005:001. This project area is split into two portions, an 18.0-acre residential area, and an 87.33-acre of off-site infrastructure. The Project is located off the Queen Kaʻahumanu Highway, mauka of the Kona International Airport and in the ahupuaʻa of Kau, moku of Kona, and mokupuni of Hawaiʻi.
The project includes the acquisition of the 18.0-acre residential area; the subdivision of lots, soft costs, leasing, and maintenance of those developments within residential area as well as the construction of infrastructure. The residential area includes the construction and development of a maximum of 40 single family units, 26 kūpuna housing units, 64 multi-family rentals, two community buildings and associated infrastructure. The construction of associated infrastructure, includes but is not limited to water, wastewater, communication, and energy transmission. Drainage, grubbing, grading, and trenching will be completed as necessary for house construction and to ensure adequate drainage of lots within the residential area. The project may provide services such as downpayment and closing cost assistance, mortgage, utilities and insurance payments, rental and utility assistance and housing counseling for beneficiaries residing within the project.
The project’s 87.33-acre off-site infrastructure area includes the construction and development of a wastewater treatment plant (WWTP) and other infrastructure intended to serve the DHHL development per an agreement with Nan and DHHL. The WWTP and other infrastructure developed within the off-site infrastructure area will support the development of the residential area, but will not acquired by DHHL.
FINDING OF NO SIGNIFICANT IMPACT
The DHHL has determined that the project will have no significant impact on the human environment. Therefore, an Environmental Impact Statement under the National Environmental Policy Act of 1969 (NEPA) is not required. Additional project information is contained in the Environmental Review Record (ERR) and will be posted on the HUD Exchange website. The ERR may be downloaded online at URL Link https://cpd.hud.gov/cpd-public/environmental-reviews or upon request a hard copy may be examined or copied by contacting Breana Kauai, who may be reached at (808)730-0182 between 8:00 AM and 2:00 PM Monday thru Friday.
PUBLIC COMMENTS
Any individual, group, or agency may submit written comments on the ERR to the Department of Hawaiian Home Lands, Office of the Chairperson, Attn: Malia Cox via their consultant G70 at [email protected] or to the DHHL by mail at 91-5420 Kapolei Parkway, Kapolei, HI 96707 attn: Malia Cox. Reference the project by name: DHHL Pālamanui. All comments received by November 2, 2026, will be considered by the DHHL prior to authorizing submission of a request for release of funds.
ENVIRONMENTAL CERTIFICATION
The DHHL certifies to HUD that Kali Watson in his capacity as Chairperson, consents to accept the jurisdiction of the Federal Courts if an action is brought to enforce responsibilities in relation to the environmental review process and that these responsibilities have been satisfied. HUD’s approval of the certification satisfies its responsibilities under NEPA and related laws and authorities and allows the DHHL to use Program funds.
OBJECTIONS TO RELEASE OF FUNDS
HUD will accept objections to its release of fund and the DHHL’s certification for a period of fifteen days following the anticipated submission date or its actual receipt of the request (whichever is later) only if they are on one of the following bases: (a) the certification was not executed by the Certifying Officer of the DHHL (b) the DHHL has omitted a step or failed to make a decision or finding required by HUD regulations at 24 CFR part 58; (c) the grant recipient or other participants in the development process have committed funds, incurred costs or undertaken activities not authorized by 24 CFR Part 58 before approval of a release of funds by HUD; or (d) another Federal agency acting pursuant to 40 CFR Part 1504 has submitted a written finding that the project is unsatisfactory from the standpoint of environmental quality. Objections must be prepared and submitted in accordance with the required procedures (24 CFR Part 58, Sec. 58.76) and shall be addressed to the HUD Honolulu Field Office at 1003 Bishop Street, Suite 2100, Honolulu, HI 96813. Potential objectors should contact HUD to verify the actual last day of the objection period.
Katie L. Lambert, Acting Chairperson, Hawaiian Homes Commission
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