Proposed Ancient Hawaiian Kanehili Cultural Area,
Kalaeloa Race Track Drag Strip,
Hawaii Racetrack Dragstrip History
August 28, 2019 Kapolei Makakilo Board #34 Agenda:
2. Board Discussion: Regarding the viability of a racetrack at
Kalaeloa property identified in the City Council Resolution 18-265,
which was formerly mentioned in City Council Resolution 98-258.
2. Board Discussion: Regarding the viability of a racetrack at
Kalaeloa property identified in the City Council Resolution 18-265,
which was formerly mentioned in City Council Resolution 98-258.
Some are proposing a race track drag strip at former WW-II MCAS Ewa Field
which is also the location of many iwi kupuna burials, the ancient Hawaiian trails
(Malden mapped 1825) and identified location of the Ewa Leina a ka uhane
spirit leaping place. This was area was designated as both a National Register
WW-II battlefield site as well as a National Register ancient Hawaiian heritage
wahi pana cultural historic district.
This area has a great deal of historic, cultural and environmental issues that
these promoters have little understanding of. This also includes safety, insurance,
noise studies, public funds, viable, ethical and enforceable management, etc.
It is very important to know the real history of race tracks and drag strips
and why all of the previous Oahu race tracks drag strips closed or failed for financial
and environmental reasons, among others.
Hawaii Drag Strip Race Track History – Oahu
Kahuku Point Airfield (Oahu) Years of Operation: 1954-1964
Drag races took place on a runway of the WWII airfield at the very northern-most tip of
Oahu. There were three old WWII airfields in close proximity to each other on the
northern part of the island. The Kahuku Point Army Airfield at the very tip had the most
facilities of the three with two paved runways and a taxiway paralleling the northern runway.
Racing at Kahuku effectively ended when Hawaii Raceway Park opened. A hotel, golf
course, and wildlife refuge occupy the site of the old WW-II airfield today. At least one
racing death was recorded there in 1958.
Oahu. There were three old WWII airfields in close proximity to each other on the
northern part of the island. The Kahuku Point Army Airfield at the very tip had the most
facilities of the three with two paved runways and a taxiway paralleling the northern runway.
Racing at Kahuku effectively ended when Hawaii Raceway Park opened. A hotel, golf
course, and wildlife refuge occupy the site of the old WW-II airfield today. At least one
racing death was recorded there in 1958.
Hawaii Raceway Park (Honolulu) Years of Operation: 1964-2006
The race track drag strip was built out in a then remote old Ewa sugar cane field area far
from Oahu homes, unlike today. HRP became a racing complex comprising a dirt oval track,
road course, and sand drag strip. Wealthy car racer Jimmy Pflueger, HRP track owner and
developer, was the motivating force behind its construction at the Campbell Industrial Park.
$225,000 was spent on its construction. In 1973, the track briefly closed when the promoters
failed to keep up with their lease rent. This was just the first of an on-again, off-again history
of racing at the track. After their lease with the James Campbell Estate ran out, the drag strip
had to close.
from Oahu homes, unlike today. HRP became a racing complex comprising a dirt oval track,
road course, and sand drag strip. Wealthy car racer Jimmy Pflueger, HRP track owner and
developer, was the motivating force behind its construction at the Campbell Industrial Park.
$225,000 was spent on its construction. In 1973, the track briefly closed when the promoters
failed to keep up with their lease rent. This was just the first of an on-again, off-again history
of racing at the track. After their lease with the James Campbell Estate ran out, the drag strip
had to close.
Land disputes plagued noted car dealership founder
https://www.staradvertiser.com/2017/09/26/hawaii-news/land-disputes-
plagued-noted-car-dealership-founder/
plagued-noted-car-dealership-founder/
James “Jimmy” Pflueger, a maverick Hawaii businessman who pushed limits to often thrilling
and sometimes disastrous outcomes, has died. Pflueger developed and built Hawaii Raceway
Park, in the 1960s near Barbers Point. His land management practices on Kauai contributed
to environmental destruction and death. His company, Pacific 808 Properties LP, pleaded
guilty to 7 counts of manslaughter and will pay a fine of $50,000 to the state for each person
killed for a total of $350,000.
and sometimes disastrous outcomes, has died. Pflueger developed and built Hawaii Raceway
Park, in the 1960s near Barbers Point. His land management practices on Kauai contributed
to environmental destruction and death. His company, Pacific 808 Properties LP, pleaded
guilty to 7 counts of manslaughter and will pay a fine of $50,000 to the state for each person
killed for a total of $350,000.
Car Dealer Alan Pflueger Sentenced to 15 Months in Federal Prison for Tax Fraud
The U.S. Attorney said an estimated $14 million in proceeds “were sent to a bank account
located in Switzerland” and that James Pflueger failed to disclose the existence of the foreign
bank account to the IRS. Alan Pflueger’s racing talents and fearless attitude are reminiscent
of his father, James Henry Pflueger, 87, also once was a successful racecar driver.
located in Switzerland” and that James Pflueger failed to disclose the existence of the foreign
bank account to the IRS. Alan Pflueger’s racing talents and fearless attitude are reminiscent
of his father, James Henry Pflueger, 87, also once was a successful racecar driver.
Waihee Race Track Land Deal Gets Busted By Feds – (Much more about this and the major
Hawaii Motor Sports deal further down as reported by Hawaii’s Investigative reporters
10-15 years ago.)
10-15 years ago.)
$31 Million Purchase Price Only the Start Of State Expenses for Oahu Sugar Land
In 1991, Campbell Estate agreed sell to the state its Campbell Raceway Park, a feedlot, and
about 1,100 acres of sugar lands farmed by O`ahu Sugar Company.
about 1,100 acres of sugar lands farmed by O`ahu Sugar Company.
Acquisition of the raceway and feedlot turned out to be a bust when it surfaced that
Waihe`e had illegally used airport funds to purchase the two properties. Waihe`e was
further suspected of having bought the raceway in the first place not as a relocation site
for businesses displaced by the Honolulu airport’s expansion, but rather as a favor to
raceway operator and friend Thomas Enomoto. Waihe`e himself frequently took to the
track. To resolve the problem, the state then went through a long, highly publicized land
exchange with Campbell and was forced to restore to the airport fund the $65 million it
illegally took. The outcome of this process was the state’s acquisition of about 200 acres
mauka of H-1, future site of the West O`ahu campus of the University of Hawai`i.
Waihe`e had illegally used airport funds to purchase the two properties. Waihe`e was
further suspected of having bought the raceway in the first place not as a relocation site
for businesses displaced by the Honolulu airport’s expansion, but rather as a favor to
raceway operator and friend Thomas Enomoto. Waihe`e himself frequently took to the
track. To resolve the problem, the state then went through a long, highly publicized land
exchange with Campbell and was forced to restore to the airport fund the $65 million it
illegally took. The outcome of this process was the state’s acquisition of about 200 acres
mauka of H-1, future site of the West O`ahu campus of the University of Hawai`i.
The 1,100-acre ag parcel, called the Golden Triangle property for its high productivity,
escaped media scrutiny then because it had been purchased legally with funds appropriated
by the Legislature. For it, the state paid $31,700,000 – nearly $30,000 an acre — and agreed
to accept the property “as is.”
escaped media scrutiny then because it had been purchased legally with funds appropriated
by the Legislature. For it, the state paid $31,700,000 – nearly $30,000 an acre — and agreed
to accept the property “as is.”
Although many racers and entrepreneurs have banded together to build drag strips, it’s
much more difficult that it appears. Stories of tracks being closed all around the United
States greatly outnumber stories of brand new drag racing facilities. Most raceways in
decline.
much more difficult that it appears. Stories of tracks being closed all around the United
States greatly outnumber stories of brand new drag racing facilities. Most raceways in
decline.
MORE HRP SCHEMES: Land swap may yield new raceway, homes
Under the agreement, Hawai'i Motorsports Center Limited Partners would purchase 180
acres of agricultural land along Kunia Road across from the Royal Kunia subdivision, and
exchange it for a 140-acre Hawaiian Home Lands parcel at the former Barbers Point Naval
Air Station to build a new raceway park. Mike Oakland of Hawai'i Motorsports Center LP,
president of the general partnership that owns the existing Hawai'i Raceway Park, confirmed
that the tentative deal would allow his organization to build a new race facility next to the
state Kalaeloa Airport. The renamed Hawai'i Motorsports Center would be more than twice
the size of the racing venue at Campbell Industrial Park. (Later known as DHHL Parcel 9,
today a major car storage area for Pasha Hawaii.) http://the.honoluluadvertiser.com/
article/2003/Jan/04/ln/ln02a.html
acres of agricultural land along Kunia Road across from the Royal Kunia subdivision, and
exchange it for a 140-acre Hawaiian Home Lands parcel at the former Barbers Point Naval
Air Station to build a new raceway park. Mike Oakland of Hawai'i Motorsports Center LP,
president of the general partnership that owns the existing Hawai'i Raceway Park, confirmed
that the tentative deal would allow his organization to build a new race facility next to the
state Kalaeloa Airport. The renamed Hawai'i Motorsports Center would be more than twice
the size of the racing venue at Campbell Industrial Park. (Later known as DHHL Parcel 9,
today a major car storage area for Pasha Hawaii.) http://the.honoluluadvertiser.com/
article/2003/Jan/04/ln/ln02a.html
This scheme never happened because DHHL didn’t want the all of the liabilities of
racetracks.
racetracks.
Other Hawaii Raceway Park Background History:
After HRP closed various smaller scale events have been held- sports car events at Aloha
Stadium and Kualoa Ranch, both of which offer distance from homes. The UH Manoa has
also held some dragster events at Aloha stadium. See photos further down.
Stadium and Kualoa Ranch, both of which offer distance from homes. The UH Manoa has
also held some dragster events at Aloha stadium. See photos further down.
Kalaeloa Raceway Park 2010-2014
Several incidents of fan misconduct resulted in a brawl and property damage…
VIDEO: Hawaii AG Serves DHHL Eviction Notice on H1 Freeway From that point,
the driver from the lead vehicle exited his vehicle and drew his firearm forcing Mr. Grace
to submit to their demands and accept the paperwork at gunpoint. Although not visible
in the video, a second gun was also drawn by one of the other agents during the serving.
the driver from the lead vehicle exited his vehicle and drew his firearm forcing Mr. Grace
to submit to their demands and accept the paperwork at gunpoint. Although not visible
in the video, a second gun was also drawn by one of the other agents during the serving.
Abercombie blamed for not helping racing electioneering pal Jr. Grace
Chances of Honolulu race track dwindle - ACCUSATIONS ARE FLYING
A number of accusations have flown in recent weeks between the Souzas and the Graces. "The
Souzas' racetrack plan is more realistic because what Mr. Grace is proposing in his layout would
cover over a pond and archaeological sites," Vallarano said. One of the issues is the dumping by
Grace and other trucking companies of more than 1,800 truckloads of dirt on the Kalaeloa property
from an Ewa Villages public housing construction site. (Also see: Former city housing official Kahapea
sentenced to 10 years in prison after pleading no contest to six counts of theft and money laundering.)
http://the.honoluluadvertiser.com/article/2001/Jul/31/br/br04p.html
Souzas' racetrack plan is more realistic because what Mr. Grace is proposing in his layout would
cover over a pond and archaeological sites," Vallarano said. One of the issues is the dumping by
Grace and other trucking companies of more than 1,800 truckloads of dirt on the Kalaeloa property
from an Ewa Villages public housing construction site. (Also see: Former city housing official Kahapea
sentenced to 10 years in prison after pleading no contest to six counts of theft and money laundering.)
http://the.honoluluadvertiser.com/article/2001/Jul/31/br/br04p.html
In early March, DHHL officials wrote a letter to Save O'ahu's Race Tracks asking that the dumping
and stockpiling of dirt be stopped, citing an anonymous complaint. The letter said DHHL needed
a soils analysis report and that Save O'ahu's Race Tracks should obtain grading and stockpiling
permits from the city.
and stockpiling of dirt be stopped, citing an anonymous complaint. The letter said DHHL needed
a soils analysis report and that Save O'ahu's Race Tracks should obtain grading and stockpiling
permits from the city.
Both the Souzas and Grace agree that dirt is needed for the racetrack. But the Souzas feel Grace
and the other truckers are taking advantage of the situation and have put too much dirt on the
property. Grace said he and the truckers did nothing wrong. "The dirt was given to us and it was free;
we didn't have to go buy the dirt," he said. (Also see: Ancient Hawaiian site in Kalaeloa threatened
and the other truckers are taking advantage of the situation and have put too much dirt on the
property. Grace said he and the truckers did nothing wrong. "The dirt was given to us and it was free;
we didn't have to go buy the dirt," he said. (Also see: Ancient Hawaiian site in Kalaeloa threatened
https://www.staradvertiser.com/2019/01/30/hawaii-news/ancient-hawaiian-site-in-kalaeloa-threatened/
An estimated 2,259 cubic yards of construction debris including dirt, concrete, iron bars, car parts and
asbestos pipe — enough to fill about 100 to 150 dump trucks — was illegally deposited on the property
soon after Kalaeloa Heritage Park opened eight years ago- 2010. KHP is located directly across Coral
Sea Rd from Kalaeloa Raceway Park… City and State agencies began fines for illegal dumping, later
found to have asbestos and removal mitigation costs piled up to hundreds of thousands. Kalaeloa
Heritage Park currently lost their HCDA lease according to published HCDA Kalaeloa meeting
minutes but still have right of entry for site maintenance.
An estimated 2,259 cubic yards of construction debris including dirt, concrete, iron bars, car parts and
asbestos pipe — enough to fill about 100 to 150 dump trucks — was illegally deposited on the property
soon after Kalaeloa Heritage Park opened eight years ago- 2010. KHP is located directly across Coral
Sea Rd from Kalaeloa Raceway Park… City and State agencies began fines for illegal dumping, later
found to have asbestos and removal mitigation costs piled up to hundreds of thousands. Kalaeloa
Heritage Park currently lost their HCDA lease according to published HCDA Kalaeloa meeting
minutes but still have right of entry for site maintenance.
Over 550 drag race drivers who died while racing have been identified and
researched: https://dragstripdeaths.webs.com/
researched: https://dragstripdeaths.webs.com/
Hawaii Raceway Park
Years of Operation: 1964-2006
The Hilo, Maui and Kauai race track-drag strips are ALL
located in areas miles away from large homes tracts.
Hawaii Raceway Park was originally in a remote area of West Oahu which at the time had relatively few nearby homes.
HRP today In various stages of redevelopment as part of the Campbell Industrial Park.
See further down the various proposed replacements for the Hawaii Raceway Park. None were
successful and the window of opportunity for either of the main two sites – DHHL Parcel 9 or the DLNR
Hawaii Feedlot (purchased specifically as a HRP replacement with State Airport funds (later found to be
illegal) have since been assigned other leases. The Hawaii Feed Lot is going to Dept. of Agriculture.
successful and the window of opportunity for either of the main two sites – DHHL Parcel 9 or the DLNR
Hawaii Feedlot (purchased specifically as a HRP replacement with State Airport funds (later found to be
illegal) have since been assigned other leases. The Hawaii Feed Lot is going to Dept. of Agriculture.
Kalaeloa Raceway Park 2010-2014
An example of the type of noise expected from racing dragster events
https://www.youtube.com/watch?v=sZRmqstSUQU
An example of the type of noise expected from racing dragster events
https://www.youtube.com/watch?v=sZRmqstSUQU
The noise was heard for many miles in all directions of the Ewa Kapolei communities
There was apparently a lack of registered noise complaints however a great deal of pressure was put
on Dept. of Hawaiian Home Lands (DHHL) to close down the racetrack site due to many City and State
violations and unpaid fines. Also many newer developments starting expanding nearby around 2014
which included DHHL Ka Makana Alii mall, DHHL Kanehili homes, Haseko Hoakalei and the new Gentry
Coral Ridge-Sea Bridge- all very near the 220 acre Cobian racetrack dragstrip scheme. Other homes
include GrayStar (former Orion Navy housing), DHHL Kaupe’a and Varona and Ewa Villages.
on Dept. of Hawaiian Home Lands (DHHL) to close down the racetrack site due to many City and State
violations and unpaid fines. Also many newer developments starting expanding nearby around 2014
which included DHHL Ka Makana Alii mall, DHHL Kanehili homes, Haseko Hoakalei and the new Gentry
Coral Ridge-Sea Bridge- all very near the 220 acre Cobian racetrack dragstrip scheme. Other homes
include GrayStar (former Orion Navy housing), DHHL Kaupe’a and Varona and Ewa Villages.
The Cobian racetrack testimony stated that the Kalaeloa Raceway was just “seconds away,” but in fact
it was over a mile away, not very close at all compared to the proposed City park parcel very close to
many homes nearby.
it was over a mile away, not very close at all compared to the proposed City park parcel very close to
many homes nearby.
Aloha Stadium
Kualoa Ranch has hosted sports car rally events. Some dragster events have also been held out in
Nanakuli, as seen on some social media sites. The fact is there are many other sites available other than
in the center of Ewa-Kapolei communities. These race events pop up and disappear quickly.
Nanakuli, as seen on some social media sites. The fact is there are many other sites available other than
in the center of Ewa-Kapolei communities. These race events pop up and disappear quickly.
Kahuku Ranch - not a drag strip or race way
The Neighbor Island Race Track Drag Strips all have
different histories not directly applicable to Oahu
The Hilo, Maui and Kauai race track-drag strips are all
located in areas miles away from large homes tracts.
Hilo dragstrip - Pana‘ewa Drag Strip: 1978-present
Hilo dragstrip opened in 1978, also called the Pana‘ewa Drag Strip and is now operated by the County of
Hawaiʻi. It was closed for renovations that cost $5.2 million. The budget axed the night time lighting
deemed too expensive. It is located several miles south, away from Hilo communities in the Pana’ewa
rain forest area.
Hawaiʻi. It was closed for renovations that cost $5.2 million. The budget axed the night time lighting
deemed too expensive. It is located several miles south, away from Hilo communities in the Pana’ewa
rain forest area.
Also Related: Kona Drag Strip Years of Operation: 1971-77 (not shown)
Races were held at the Kona airport (called Kailua Airport Park), which had been used as an airport until
1970 when the new airport was built. It served as an interim racing venue while the Hilo Drag Strip was
being planned and built, but closed when the track surface deteriorated around 1977. However even after
the Hilo strip opened, interest was expressed to reopen the Kona strip. Race car drivers in west Hawaii
were reluctant to tow their cars to Hilo. County officials rejected the proposal in 1978 as being too costly.
The area became Old Kona Airport State Recreation Area- for surfing, spear fishing, swimming, with picnic
areas and a jogging path. The community preferred this use over loud noise.
1970 when the new airport was built. It served as an interim racing venue while the Hilo Drag Strip was
being planned and built, but closed when the track surface deteriorated around 1977. However even after
the Hilo strip opened, interest was expressed to reopen the Kona strip. Race car drivers in west Hawaii
were reluctant to tow their cars to Hilo. County officials rejected the proposal in 1978 as being too costly.
The area became Old Kona Airport State Recreation Area- for surfing, spear fishing, swimming, with picnic
areas and a jogging path. The community preferred this use over loud noise.
The
old 3,800-foot-long runway now serves as an access road and large
parking lot
A new Kona Motorsports Park was proposed in 2015. However there was community
opposition. A $20,000 sound study was done which basically bankrupted the local Hawaii Racing
Association. An Environmental Impact Statement (EIS) would have cost at least $500,000. In 2017
the primary promoter Paul Maddox, passed away. Since then there has not been any
noted progress on the scheme.
KAUAI The Garden Isle
Mana Raceway/Kauai Drag Strip/Kauai Raceway Park Years of Operation: 1971 – present
Drag races began in 1971 and was first called Mana Raceway. Located just northwest of Kekaha, It still runs
quarter-mile races today, called Kauai Raceway Park and is located far away from most inhabited areas on
the far western coast of Kauai in a rural farmland area.
quarter-mile races today, called Kauai Raceway Park and is located far away from most inhabited areas on
the far western coast of Kauai in a rural farmland area.
MAUI
Maui Raceway Park Years of Operation: 1963-present
A quarter-mile drag strip located at the old Puunene WW-II Navy Airfield north of Kihei out in the middle
of old sugarcane fields. Racer Kenneth Souza was killed on July 27, 1969, when his car overturned. As
Maui and the Kihei area expands and develops this racing site faces an uncertain future.
of old sugarcane fields. Racer Kenneth Souza was killed on July 27, 1969, when his car overturned. As
Maui and the Kihei area expands and develops this racing site faces an uncertain future.
West Oahu Race Track Drag Strip Schemes
These locations all have big issues and complications
Sites schemed for race tracks. The State DLNR Feed Lot by the Ewa Coast was the best situated to
minimize noise and located in a major industrial area with car mechanics and repair shops. It was
purchased by Gov. Waihee specifically as a replacement for Hawaii Raceway Park
minimize noise and located in a major industrial area with car mechanics and repair shops. It was
purchased by Gov. Waihee specifically as a replacement for Hawaii Raceway Park
The State DLNR Feed Lot - Hawaii Motorsports Center scheme
“State raids airport-system funds,” Honolulu Star-Bulletin, December 1993.
After exhausting funds authorized by the Legislature for the purchase of land in Ewa from Campbell Estate,
state officials raided highly restricted airport funds for another $65 million to complete the 1991 purchase
of Hawaii Raceway Park and the Hawaii Meat Co. feedlot.
state officials raided highly restricted airport funds for another $65 million to complete the 1991 purchase
of Hawaii Raceway Park and the Hawaii Meat Co. feedlot.
Audit tells state: Repay $76 million in fund flap
“Raceway Park got a nonbid contract to use state land. Developer Thomas Enomoto is linked to the
operation, which also enjoys a city tax break.,” Honolulu Star-Bulletin, June 1993. State records show that
the escrow agreement and lease were signed on behalf of Hawaii Motorsports Center by Enomoto. The
Star-Bulletin reported earlier that Enomoto and a group of several individuals and 16 companies have
contributed more than $260,000 to political campaigns since 1987.
operation, which also enjoys a city tax break.,” Honolulu Star-Bulletin, June 1993. State records show that
the escrow agreement and lease were signed on behalf of Hawaii Motorsports Center by Enomoto. The
Star-Bulletin reported earlier that Enomoto and a group of several individuals and 16 companies have
contributed more than $260,000 to political campaigns since 1987.
Ansaldo’s (HART RAIL) local manager has long political track record
Thomas T. Enomoto, with at least 16 associated businesses and seven individuals, gave more than $260,000
to political candidates and committees since 1987.
to political candidates and committees since 1987.
The fast lane – Check Out All Of The Fingerprints on the Racetrack schemes:
Many political observers traced the race track deal to then-Gov. John Waihee's personal enthusiasm for
racing fast cars. Waihee reportedly required members of his cabinet and other insiders to join in the
ritual of high speed driving.
racing fast cars. Waihee reportedly required members of his cabinet and other insiders to join in the
ritual of high speed driving.
“Suit claims deal helped Waihee pal. The Kapolei land sale was structured to help Tom Enomoto, the
documents suggest,” Honolulu Star-Bulletin, May 1995.
documents suggest,” Honolulu Star-Bulletin, May 1995.
The state’s plan, not made public at the time but conveyed to Enomoto and others, was to later move the
racetrack to the nearby ocean-front site of the former Hawaii Meat Co. feedlot, where Enomoto’s company
planned a new, privately owned racing facility, the documents say.
racetrack to the nearby ocean-front site of the former Hawaii Meat Co. feedlot, where Enomoto’s company
planned a new, privately owned racing facility, the documents say.
The State purchased DLNR Feed lot land actually had enough room for a 4000 foot drag strip and some
various car and motorcycle tracks. It was also located in a large industrial area with wide access roads
and many car repair shops and warehouses. However the land was tied up for years by a proposed
solar farm project that never happened and now the Hawaii Department of Agriculture is taking control
of to become a cattle feedlot slaughter house (again.)
various car and motorcycle tracks. It was also located in a large industrial area with wide access roads
and many car repair shops and warehouses. However the land was tied up for years by a proposed
solar farm project that never happened and now the Hawaii Department of Agriculture is taking control
of to become a cattle feedlot slaughter house (again.)
The Parcel 9 Race Track Drag Strip Scheme
Parcel 9, ABOVE, transferred by the Navy to DHHL as part of the BRAC land disbursement.
DHHL has preferred to lease the parcel for storage, primarily to Pasha Hawaii to store military
cars inside climate controlled structures. DHHL apparently believes racetracks are not reliable
income for Hawaiian Homelands beneficiaries and risks injury lawsuits, etc.
DHHL has preferred to lease the parcel for storage, primarily to Pasha Hawaii to store military
cars inside climate controlled structures. DHHL apparently believes racetracks are not reliable
income for Hawaiian Homelands beneficiaries and risks injury lawsuits, etc.
HCR 100 made a pitch to the Hawaii State legislature in 2012 to back a race track
scheme on Parcel 9: “WHEREAS, a motorsport center supporting all types of racing
including but not limited to dirt track and drag racing would be
ideal on the island of Oahu; now, therefore,”
None of the other raceway schemers like Kalaeloa Raceway Park Jr. Grace wanted to participate,
however he had his own bigger plans as revealed in 2015, HB 1329
however he had his own bigger plans as revealed in 2015, HB 1329
Paradise Ohana Raceway Motorsports $660 Million Scheme of 2015, HB 1329
PARADISE OHANA MOTOR SPORTS CENTERS
Hawaii Not For Profit Corporations (registered just days earlier)
Major Race Track Drag Strip “Non-Profit” on National Register
WW-II Ewa Field HB 1329
WW-II Ewa Field HB 1329
Details on Hawaii Legislators Insider $660 Million Raceway Deal:
Now Grace is at the Legislature seeking $660M in loans from the State via six bills introduced by
Senator Maile Shimabukuro and House Speaker Joe Souki.
Senator Maile Shimabukuro and House Speaker Joe Souki.
Forcing George Grace III to the shoulder of the H-1 freeway, State Attorney General agents last July served
an Hawaiian Homelands eviction notice throwing Grace off the land lease for his Kalaeloa Raceway Park.
DHHL said Grace owed $40,000 in delinquent rent and utility bills. Another $240,000 was owed Honolulu
County for "several grading and stockpiling violations dating to 2012.
an Hawaiian Homelands eviction notice throwing Grace off the land lease for his Kalaeloa Raceway Park.
DHHL said Grace owed $40,000 in delinquent rent and utility bills. Another $240,000 was owed Honolulu
County for "several grading and stockpiling violations dating to 2012.
SB1277 and HB1331 authorize issuance of $360M in State Special Purpose Revenue Bonds to fund
nine newly-registered health-related non-profits each of which boast George Grace III as a Director,
according to DCCA BREG filings.
nine newly-registered health-related non-profits each of which boast George Grace III as a Director,
according to DCCA BREG filings.
HB-1329 Passed without 48-hour hearing notice – Only ONE HOUR NOTICE:
http://www.hawaiifreepress.com/ArticlesMain/tabid/56/ID/14781/Sunshine-Bills-Slip-Through-During-
Total-Solar-Eclipse.aspx The legislature allowed only 48 minutes notice for general public to testify.
Total-Solar-Eclipse.aspx The legislature allowed only 48 minutes notice for general public to testify.
Breakdown: $660M Special Purpose Revenue Bonds
SB1277 / HB1331 $360M for various health-related so-called 'non-profits' tied to GGIII
(HB1331 not moving. SB1277 passed HTH, passed second reading as amended SD1, next stop WAM)
$20,000,000 for the purpose of assisting Paradise Ohana Adolescent Center, Inc.
$50,000,000 for the purpose of assisting Paradise Ohana Community Health & Wellness Center, Inc.
$50,000,000 for the purpose of assisting Paradise Ohana Health Education & Research Center, Inc.
$50,000,000 for the purpose of assisting Paradise Ohana Heart and Vascular Center, Inc.
$50,000,000 for the purpose of assisting Paradise Ohana Oncology Center, Inc.
$20,000,000 for the purpose of assisting Paradise Ohana Saging Center, Inc.
$50,000,000 for the purpose of assisting Paradise Ohana Sports Medicine & Research Center, Inc.
$50,000,000 for the purpose of assisting Paradise Ohana Community Health & Wellness Center, Inc.
$20,000,000 for the purpose of assisting Paradise Ohana Women's Center, Inc.
SB1276 /HB1330 $200M for entertainment non-profits tied to GGIII
Raceway measure rolls on to Senate
The House passes a bill that would fund a speedway through state revenue bonds
By Andrew Gomes March 23, 2015 (This story no longer found on StarAd website)
Several nonprofit companies involving former racetrack operator George Grace III would be able
to use state revenue bond authority to sell $100 million in bonds to investors for a motor sports
complex under a bill that has cleared the state House.
to use state revenue bond authority to sell $100 million in bonds to investors for a motor sports
complex under a bill that has cleared the state House.
The state Department of the Attorney General said the racing-related facilities proposed in the
bill don't appear to qualify as industrial enterprises eligible for Hawaii special-purpose revenue
bonds.
bill don't appear to qualify as industrial enterprises eligible for Hawaii special-purpose revenue
bonds.
Oahu car-racing enthusiasts have picked up some traction on a drive to finance a new motor sports
raceway on the island after the demise of two track facilities in the past eight years.
raceway on the island after the demise of two track facilities in the past eight years.
House Bill 1329 now awaits consideration from two Senate committees.
Establishing a raceway has been a goal endorsed by local political leaders as well as racing enthusiasts
since Hawaii Raceway Park closed in 2006 after 44 years at Campbell Industrial Park.
since Hawaii Raceway Park closed in 2006 after 44 years at Campbell Industrial Park.
Grace subsequently got a new track running in Kalaeloa in 2010 but was forced to shut it down last year
after disputes over a state land lease and city fines that remain unpaid.
after disputes over a state land lease and city fines that remain unpaid.
Project supporters say organized and insured facilities provide a safe venue that reduces illegal racing while
also generating jobs and tax revenue.
also generating jobs and tax revenue.
"Our motor sports community is in a very dire situation," Michael Kitchens, Hawaii Raceway Park's former
operator, said in written testimony on the bill. "Currently, there are no viable alternatives for the majority
of racing activities that have existed since the early 1960s."
operator, said in written testimony on the bill. "Currently, there are no viable alternatives for the majority
of racing activities that have existed since the early 1960s."
The new initiative, however, faces major obstacles.
For one, the state Department of the Attorney General said the racing-related facilities proposed in the bill
don't appear to qualify as industrial enterprises eligible for Hawaii special-purpose revenue bonds.
don't appear to qualify as industrial enterprises eligible for Hawaii special-purpose revenue bonds.
Of the $100 million in bonds proposed, $35 million would be for a motor sports center for racing, $30
million would be for an education facility, $20 million would be for a manufacturing facility and $15 million
would be for a training facility. Each piece of the project is proposed under nonprofit entities with the root
name Paradise Ohana.
million would be for an education facility, $20 million would be for a manufacturing facility and $15 million
would be for a training facility. Each piece of the project is proposed under nonprofit entities with the root
name Paradise Ohana.
The attorney general said only the manufacturing facility may qualify, though the bill doesn't specify what
manufacturing would take place.
manufacturing would take place.
In response, attorneys from local law firm Alston Hunt Floyd and Ing, representing the Grace companies,
contend that revenue bonds can be for any general business activity under a broadly construed definition
of "industrial" or "industry."
contend that revenue bonds can be for any general business activity under a broadly construed definition
of "industrial" or "industry."
Special-purpose revenue bond financing is something that private entities can seek through the state if
their projects have a public benefit and are within a few allowed industries that include agriculture, health
care and nonprofit schools. The state does not incur a financial obligation for the bonds.
their projects have a public benefit and are within a few allowed industries that include agriculture, health
care and nonprofit schools. The state does not incur a financial obligation for the bonds.
Private projects that have tapped such financing include a system to air-condition downtown buildings
using cold seawater, a cacao processing facility, and electric power generation plants based on wave energy
and solid-waste gasification.
using cold seawater, a cacao processing facility, and electric power generation plants based on wave energy
and solid-waste gasification.
Another obstacle to the raceway project is finding a site for the complex, envisioned to include a drag strip,
road racing course, off-road course, dirt oval and motorcycle track.
road racing course, off-road course, dirt oval and motorcycle track.
The bill refers to the project only as generally on a portion of 400 acres in West Oahu.
Rodney Sato, a local attorney working with Grace, said various sites in West and Central Oahu have been
studied, though efforts to secure a feasible site have not yet begun.
studied, though efforts to secure a feasible site have not yet begun.
Dhevhan Keith Marcelino, also affiliated with the Grace nonprofits, included an image of proposed
raceway facilities on a few hundred acres in Kalaeloa that includes land controlled by Hunt Cos., the
Federal Aviation Administration and the Navy, which intends to give its portion to the city.
raceway facilities on a few hundred acres in Kalaeloa that includes land controlled by Hunt Cos., the
Federal Aviation Administration and the Navy, which intends to give its portion to the city.
Sato said the image was prepared to show how much land the tracks and buildings might occupy, and that
there are no plans to use the Kalaeloa site.
there are no plans to use the Kalaeloa site.
The most immediate obstacle is getting the bond bill approved.
Few people not affiliated with Paradise Ohana or Grace have testified on the bill.
The bill was among several rushed into a crucial vote earlier this month.
On March 5 public notice on the bill's hearing before the House Finance Committee was given less than an
hour, rather than the required 48 hours, before the hearing began.
hour, rather than the required 48 hours, before the hearing began.
Paradise Ohana representatives tout that racing is the fastest-growing spectator sport in the country and
will create jobs, generate taxes and promote education and training. It also could increase tourism in
Hawaii, some contend.
will create jobs, generate taxes and promote education and training. It also could increase tourism in
Hawaii, some contend.
"We would see more people vacationing on Oahu, particularly during winter, where the mainland is mostly
too cold to race," Harry Hansen wrote in written testimony.
too cold to race," Harry Hansen wrote in written testimony.
Grace, in written testimony, gave examples of estimated annual economic impacts from mainland motor
sports facilities that include $200 million at Las Vegas Motor Speedway and $727 million at Indianapolis
Motor Speedway.
sports facilities that include $200 million at Las Vegas Motor Speedway and $727 million at Indianapolis
Motor Speedway.
Persuading Hawaii lawmakers to help finance a local speedway has been difficult in the past. In 2005 and
2006, proponents of a raceway failed to persuade the Legislature to provide $50 million in state tax credits
for such a facility.
2006, proponents of a raceway failed to persuade the Legislature to provide $50 million in state tax credits
for such a facility.
The bond bill is at the midpoint of this year's legislative session, but the measure did not pass the House
cleanly. The House Finance Committee removed all dollar amounts for the bonds and changed the bill's
effective date to July 1, 2030. That guarantees that the bill, which was passed by the full House March 10,
will have to be decided in a joint House-Senate conference committee if the Senate passes the bill.
cleanly. The House Finance Committee removed all dollar amounts for the bonds and changed the bill's
effective date to July 1, 2030. That guarantees that the bill, which was passed by the full House March 10,
will have to be decided in a joint House-Senate conference committee if the Senate passes the bill.
There is some question as to whether Grace's former troubles with the city and state Department of
Hawaiian Home Lands might negatively influence the bond bill.
Hawaiian Home Lands might negatively influence the bond bill.
Grace established Kalaeloa Raceway Park in 2010 through Save Oahu's Race Tracks LLC on 38 acres of DHHL
land in an attempt to replace the 69-acre Hawaii Raceway Park. But the operation, which included a dirt
drag strip and oval track, was evicted after DHHL claimed that Grace was about $40,000 behind on utility
and rent payments and had engaged in unauthorized construction and mining.
land in an attempt to replace the 69-acre Hawaii Raceway Park. But the operation, which included a dirt
drag strip and oval track, was evicted after DHHL claimed that Grace was about $40,000 behind on utility
and rent payments and had engaged in unauthorized construction and mining.
Grace argued that DHHL did not properly inform him of lease regulations and unfairly refused to resolve
the issues after he had invested about $300,000 improving the site.
the issues after he had invested about $300,000 improving the site.
Part of the trouble, according to Grace, was that officials with DHHL, which is exempt from certain county
regulations, incorrectly told him he didn't need city permits to grub the land and stockpile dirt.
regulations, incorrectly told him he didn't need city permits to grub the land and stockpile dirt.
The city issued citations to Save Oahu's Race Tracks for those activities. Though Grace corrected three
violations, he accrued $340,000 in fines that remain unpaid. A fourth, unresolved violation continues to
earn Save Oahu's Race Tracks a penalty of $1,000 a day and was up to about $335,000 as of last week.
violations, he accrued $340,000 in fines that remain unpaid. A fourth, unresolved violation continues to
earn Save Oahu's Race Tracks a penalty of $1,000 a day and was up to about $335,000 as of last week.
Grace sued DHHL but lost and was evicted from the site, which is adjacent to the site identified in
Marcelino's testimony.
Marcelino's testimony.
Despite his difficulties with DHHL and the city, Grace has garnered support from some government
officials, including state Sen. Maile Shimabukuro and City Council Chairman Ernie Martin, partly due to
the community value of a raceway. Shimabukuro and Martin wrote letters of support for Grace during
his dispute with DHHL.
officials, including state Sen. Maile Shimabukuro and City Council Chairman Ernie Martin, partly due to
the community value of a raceway. Shimabukuro and Martin wrote letters of support for Grace during
his dispute with DHHL.
Shimabukuro introduced a bill in the Senate mirrored on HB 1329, which was introduced by House Speaker
Joseph Souki. The Senate bill was not heard, allowing the House bill to be the vehicle to decide whether
Paradise Ohana can float the requested bonds.
Joseph Souki. The Senate bill was not heard, allowing the House bill to be the vehicle to decide whether
Paradise Ohana can float the requested bonds.
"We are very thankful to state Sen. Maile Shimabukuro and House Speaker Joseph Souki for introducing
these bills in the Senate and the House," Grace said in written testimony. "Hawaii needs a motor sports
center."
Post script: Souki was forced to resign in 2018 after admitting that he sexually harassed numerous
women while serving at his State Capitol office. This was one of several disciplinary actions taken against
Souki by the Hawaii State Ethics Commission. Multiple women, including former Department of
Human Services Director Rachael Wong, filed complaints against him.
these bills in the Senate and the House," Grace said in written testimony. "Hawaii needs a motor sports
center."
Maui Race Track Drag Strip Funder and
House Bill 1329 Introducer Joe Souki Forced To Resign 2018
Post script: Souki was forced to resign in 2018 after admitting that he sexually harassed numerous
women while serving at his State Capitol office. This was one of several disciplinary actions taken against
Souki by the Hawaii State Ethics Commission. Multiple women, including former Department of
Human Services Director Rachael Wong, filed complaints against him.
**************************************************************************
Cobian Proposed MCAS Ewa Field
Drag Strip Race Track -City Kalaeloa Park parcel
Most currently there is some drag racing
and other forms of racing in Waianae Valley
"These vehicles will do a 3-4 second run from point A to point B, it is full throttle then off the throttle," said long time racer Jimmy Souza.
Souza and other racers got together to build a dirt drag strip in Waianae. It is not very big, but it is all racers currently have on Oahu.
Cobian Proposed MCAS Ewa Field
Drag Strip Race Track -City Kalaeloa Park parcel
National Register MCAS Ewa - WW-II US Marine Corps airfield
Ewa - Kapolei homes, golf course, shopping mall all nearby
and other forms of racing in Waianae Valley
"word of mouth" says it is by the Waianae valley
rubbish dump on a farm lot"
"Without a public drag strip on Oahu for years, drivers are taking
their
passion for racing private. There's a new place to race, but
organizers
had to resort to "dirty" tricks to build a track."
"These vehicles will do a 3-4 second run from point A to point B, it is full throttle then off the throttle," said long time racer Jimmy Souza.
Souza and other racers got together to build a dirt drag strip in Waianae. It is not very big, but it is all racers currently have on Oahu.
"We have been working on having a permanent race track facility, but it is hard...very, very hard," added Souza.
The Navy no longer keeps ammunition at Lualualei and has offered it to the Army which doesn't want it. So all of this land will have to be disposed of through a federal process, possibly under the GSA or Navy BRAC process. The City of Honolulu could possibly get a piece of it throught the National Park Service Lands to Parks program when the land is disposed of by the Navy.
The topography is generally level and the elevation ranges from 10 to 100 feet above mean sea level. The land is on a thin layer of alluvial and coastal sediments and reef deposits overlying consolidated limestone, therefore not well suited for farming but once used for sugar cane growing before WW-II.
So all that is left is the private land transformed into a little race track.
What is the difference between the regular quarter mile drag strip and this one?
"Just as loud, not quite as fast," stated Souza.
Drivers ONLY have 200 feet from the start to the finish line. Then just a little more than that to stop.
They don't reach the top speeds of other dragsters, but dirt racing still comes with danger.
They don't reach the top speeds of other dragsters, but dirt racing still comes with danger.
"One
of my biggest challenges is keeping these guys safe. Because the
liability is so high, I want to make sure these guy are strapped in
their vehicles and they are put together well. Everything is welded,
tightened, there is nothing hanging.
That is one of the biggest challenges," said Souza.
One of the last remaining remote areas on Oahu is
Navy Lualualei Ammunition Depot
That is one of the biggest challenges," said Souza.
One of the last remaining remote areas on Oahu is
Navy Lualualei Ammunition Depot
Lualualei
Navy Ammunition Depot, built before WW-II is one of the last remaining
vast areas away from many homes and has miles and miles of straight
roadways in the middle of nowhere.
Naval Magazine Lualualei, occupies 8,105 acres of the Waianae valley
The Navy no longer keeps ammunition at Lualualei and has offered it to the Army which doesn't want it. So all of this land will have to be disposed of through a federal process, possibly under the GSA or Navy BRAC process. The City of Honolulu could possibly get a piece of it throught the National Park Service Lands to Parks program when the land is disposed of by the Navy.
Other
areas could likely go to Department of Hawaiian Homelands (DHHL) but
they most certainly could not plan to use the miles and miles of empty
ammunition bunkers and roadways in the remote areas for Hawaiian home
lots.
It
would most likely become an industrial area with other areas suitable
for homes or farm lots. Home tract investment would be in the many
millions as there is no infrastructure to support homes.
The
nearest urban area is the town of Maili, which lies approximately 1
mile west of the station. The towns of Waianae and Nanakuli are also
located nearby.
The Navy VLF antenna farm occupies
another approximately 1,700 acres which they would likely keep.
The topography is generally level and the elevation ranges from 10 to 100 feet above mean sea level. The land is on a thin layer of alluvial and coastal sediments and reef deposits overlying consolidated limestone, therefore not well suited for farming but once used for sugar cane growing before WW-II.
Civilian land use today near this Navy facility is largely rural small farmlot areas.
The Nanakuli and/or Waianae boards would have to support an area being used
for a possible City of Honolulu raceway after noise studies and a likely
Environmental Impact Statement (EIS).
for a possible City of Honolulu raceway after noise studies and a likely
Environmental Impact Statement (EIS).
