Wednesday…UH faculty arbitration underway, update on Galbraith Estate land in Wahiawa

The arbitration hearing on the University of Hawaii faculty union’s complaint that the state has failed to recognize the “evergreen clause” in its most recent contract was scheduled to begin yesterday, and run for a day or two.

The provision in question says that the contract will continue until a new contract is negotiated and ratified by the faculty.

If the arbitrator, former Associate Justice Mario Ramil, upholds the union’s interpretation of the “evergreen clause”, it will mean that the contract’s retrenchment clause would apply to any layoffs, and the faculty would pay health premiums no higher than the best contract terms offered to any other union.

UHPA has asked for an expedited decision and expects it within a week.

In a brief story last week, Advertiser reporter Rick Daysog provided an update on sale of the 2000-acre Galbraith Estate property just outside of Wahiawa. Daysog reports that Cedar Grove Hawaii LLC, controlled by trash king Clyde Kaneshiro, recently bought a 148-acre parcel.

But there’s more to the story.

The area purchased by Cedar Grove is adjacent to the city’s Wahiawa refuse transfer center located where Kamananui Road meets Wilikina Drive.

But for at least the second time in two years, a tentative deal by Bank of Hawaii, trustee for the Galbraith Estate, to sell the remaining 1,700+ acres of Galbraith land has fallen through.

In March, the land was under contract to an undisclosed buyer in a deal expected to close in September. But the deal fell through when the buyer backed out. A couple of years ago, the bank accepted an offer from a Canadian developer with interests on Maui, but that deal fell through when financing could not be obtained.

The latest deal was disclosed in grant applications and supporting documents submitted earlier this year by the Trust for Public Lands.

If the Galbraith sale had gone through, the Trust hoped to buy 511 acres surrounding the Kukaniloko Birthstones State Monument from the new buyer to protect that area, and in a separate deal to buy a conservation/agricultural easement that would protect the remainder of the acreage from development in perpetuity.

To fund the deal, TPL has gotten commitments from the U.S. Army, and is seeking additional funds through partnerships with the State, the Office of Hawaiian Affairs, and the City of Honolulu’s Clean Water and Natural Lands Commission.

In its grant application, TPL said it had successfully negotiated with the prospective buyer and had reached its own tentative agreement.

TPL valued the two deals at an estimated $12 million.

TPL’s grant applications did not name the prospective landowner, but other documents identify the mystery buyer as Crestview Farms LLC.

Crestview Farms is controlled by Yun Ching Divers and Loren C. Divers, according to state business registration records. The Divers were co-founders of Waialua Coffee.

After establishing the conservation/agricultural easement, the Trust planned to transfer its interest in the property to the North Shore Community Land Trust, which would “monitor the property regularly to verify compliance with the easement’s restrictions,” according to the group’s grant application for the project.

The collapse of the Crestview Farms sale has left the Trust for Public Lands trying to put together their own deal for the area around Kukaniloko. The group has been involved in discussions with OHA and the Army, and did get approval for up to $2 million from the Clean Water and Natural Lands Commission.

Daysog’s story also mentions the sale of a separate 150 acres of Galbraith land to Sustainable Hawaii LLC, controlled by attorney Howard Green, who also owns North Shore Marketplace in Haleiwa.

What Green apparently purchased is the Galbraith Estate’s interest in the land under Wahiawa’s Lake Wilson.

The Galbraith property is all zoned for agricultural use and portions are considered among the best agricultural land remaining on Oahu. The bank has been criticized by some observers for creating false expectations among Galbraith beneficiaries that the land can be sold at prices reflecting possible future development rather than at prices suitable for agricultural investment.


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