MAY 2 9 2019 SUZANNE D. CASE CIIADU'ERSON DAVIDY.IGE HOARD OF LAND AND NATIJRAL R[SOURC' ES GOVERNOR OF HA WAIi roMMISSION ON WATI:R RESOlJRCC MANAGEM[NT )',, ROBERT K. MASUDA ·,.- , FIRST DEPtm' .. •~; M. KALEO 1\-tANUEL ,j, ..;.J i:I "(j I DEPlITY DIRH'TOR , WArnt AQUATIC RESOURCES __ ___.J J ~ BOATING AND OCEAN RECRl:ATION COMMISSJO:~~~C=~t?~AGEMENT JUN 08 2019 CONSERVATION AND COASTAL LANDS CONSERVATION AND RF.SOURCES ENFORCEMENT STATE OF HAWAII ENGINEERING FORESTRY AND WlllJLIFt: DEPARTMENT OF LAND AND NATURAL RESOURCES IIL~TORIC PRESERVATION KAIIOOLAWE ISLAND RESERVE COMMISSKJN LANIJ OFFICE OF CONSERVATION AND COASTAL LANDS STATE PARKS POST OFFICE Box 621 HONOL LU, HAWAll 96809 ref:OCCL:MC CDUA HA-3843 Scott Glenn, Director Office of Environmental Quality Control Department of Health, State of Hawai'i 235 S. Beretania Street, Room 702 Honolulu, Hawai'i 96813 Dear Mr. Glenn, With this letter, the Office of Conservation Lands (OCCL) hereby transmits the draft environmental assessment and anticipated finding of no significant impact (DEA-AFONSI) for the proposed Blue Fields off-shore macroalgae demonstration project in submerged waters 1.5 nautical miles SSE of Kaiwi Point, North Kana, Hawai'i County. Please publish this in the next available edition of the Environmental Notice. Enclosed is a completed OEQC Publication Form and a hard copy of the draft Environmental Assessm.ent. We are also emailing to your office a digital copy of the OEQC publication form, in word format, and a digital copy of the draft Environmental Assessment, in a searchable pdf format. If there are any questions, please contact Michael Cain at 587- , Administrator 0 ice of Conservation and Coastal Lands enclosures: OEQC Publication Form, Draft EA via email: Notice of determination OEQC Publication Form (word file) Draft EA (searchable pdf) Office of Environmental Quality Control February 2016 Revision APPLICANT PUBLICATION FORM Project Name: Blue Fields Project Short Name: ____Off-shore macroalgae demonstration project HRS §343-5 Trigger(s): (1) Propose the use of state or county lands or the use of state or county funds; (2) Propose any use . within any land classified as a conservation district 1 1 [ lsland(s): Hawai'i Judicial District(s): North Kona TMK(s): Off-shore; 1.5 nautical miles SSE of Kaiwi Point, North Kona, Hawai'i County I- Permit(s)/Approval(s): Conservation District Use Permit (C DUP) (CDUA HA-3843) Approving Agency: Office of Conservation and Coastal Lands 1 Contact Name, Email, Michael Cain, michael.cain@hawaii. gov; 808-587-0048; 1151 Punchbowl Room 131, Honolulu HI Telephone, Address - 96813 Applicant: Kampachi Farms LLC and Makai Oce an Engineering Contact Name, Email, Dennis Peters, Aquaculture Permitti ng Coordinator, [email protected]; 850-240-3414; 73-970 Telephone, Address Makako Bay Drive, Hale lako Room 202, Kailua-Kona, HI 96740 -I Consultant: n.a . Status (select one) Submittal Requirements _ x_ DEA-AFNSI Submit 1) the approving agency notice of determination/transmittal letter on agency letterhead, 2) this completed OEQC publication form as a Word file, 3) a hard copy of the DEA, and 4) a searchable PDF of the DEA; a 30-day comment period follows from the date of publication in the Notice. FEA-FONSI Submit 1) the approving agency notice of determination/transmittal letter on agency letterhead, 2) this completed OEQC publication form as a Word file, 3) a hard copy of the FEA, and 4) a searchable PDF of the FEA; no comment period follows from publication in the Notice. FEA-EISPN Submit 1) the approving agency notice of determination/transmittal letter on agency letterhead, 2) this completed OEQC publication form as a Word file, 3) a hard copy of the FEA, and 4) a searchable PDF of the FEA; a 30-day comment period follows from the date of publication in the Notice. Act 172-12 EISPN Submit 1) the approving agency notice of determination letter on agency letterhead and 2) this ("Direct to EIS") completed OEQC publication form as a Word file; no EA is required and a 30-day comment period follows from the date of publication in the Notice. DEIS Submit 1) a transmittal letter to the OEQC and to the approving agency, 2) this completed OEQC publication form as a Word file, 3) a hard copy of the DEIS, 4) a searchable PDF of the DEIS, and 5) a searchable PDF of the distribution list; a 45-day comment period follows from the date of publication in the Notice. FEIS Submit 1) a transmittal letter to the OEQC and to the approving agency, 2) this completed OEQC publication form as a Word file, 3) a hard copy of the FEIS, 4) a searchable PDF of the FEIS, and 5) a searchable PDF of the distribution list; no comment period follows from publication in the Notice. _ FEIS Acceptance The approving agency simultaneously transmits to both the OEQC and the applicant a letter of its Determination determination of acceptance or nonacceptance (pursuant to Section 11-200-23, HAR) of the FEIS; no comment period ensues upon publication in the Notice. __ FEIS Statutory The approving agency simultaneously transmits to both the OEQC and the applicant a notice that it Acceptance did not make a timely determination on the acceptance or nonacceptance of the applicant's FEIS under Section 343 -5(c), HRS, and therefore the applicant's FEIS is deemed accepted as a matter of law. __ Supplemental EIS The approving agency simultaneously transmits its notice to both the applicant and the OEQC that it Determination has reviewed (pursuant to Section 11-200-27, HAR) the previously accepted FEIS and determines that a supplemental EIS is or is not required; no EA is required and no comment period ensues upon publication in the Notice. Page 1 of 2 Office of Environmental Quality Control Applicant Publication Form February 2016 Revision Withdrawal Identify the specific document(s) to withdraw and explain in the project summary section. Other Contact the OEQC if your action is not one of the above items. Project Summary The applicant proposes to grow four native species of algae on a submersible growth platform: Graci/aria parvispora (limu manuea, or ogo), Caulerpa Jentillifera ("sea grapes"), Sargassum echinocarpum (limu kala), and Asparagopsis taxiformis (limu kohu). The array will measure ten meters by forty meters. The growth platform will consist of a series of thirty-meter long algal lines which will be suspended between solid pipes. This platform will be suspended ten meters below the water surface. The array will be moored to the bottom in approximately 120-meter water depth using either concrete blocks or embedment anchors. A 700-meter long pipe will extend beyond the eastern mooring anchor to the 300-meter water depth. A pump will be installed at the terminal end. This system is designed to provide deep sea water to the array. The project will be serviced by a vessel which will run out of Honokohau harbor. The mooring and anchor will cover 0.36 hectares. As the array is designed to swing 360 degrees around the mooring, the total project area will encompass 28.2 hectares. The project is intended to last for two years. The applicant predicts that a total of 12.5 tons of algae will be harvested during three harvests. Page 2 of 2 DRAFT ENVIRONMENTAL ASSESSMENT FOR AN OFFSHORE NATIVE HAWAIIAN MACROALGAE DEMONSTRATION PROJECT OFF KAIWI POINT, KONA, HAWAIʻI PREPARED FOR: Land Division, Department of Land and Natural Resources PREPARED BY: Kampachi Farms P.O. Box 4239, Kailua-Kona, HI, 96745 March 5, 2019 Environmental Assessment for an Offshore Native Hawaiian Macroalgae Project TABLE OF CONTENTS EXECUTIVE SUMMARY................................................................................................................................. VII 1. CONSULTATIONS AND STATUS OF PERMITS .......................................................................................... 1 1.1 PERMITS AND APPROVALS ...................................................................................................................... 1 1.1.1 Federal ................................................................................................................................................... 1 U.S. Department of the Army Permit ..................................................................................................................................... 1 NOAA National Marine Fisheries Service ............................................................................................................................. 1 1.1.2 State ....................................................................................................................................................... 1 Conservation District Use Application ................................................................................................................................... 1 DOH Water Quality Certification........................................................................................................................................... 1 Special Management Areas and Shoreline Setback ............................................................................................................... 1 Aquaculture License ............................................................................................................................................................... 2 1.2 AGENCIES, CITIZEN GROUPS AND INDIVIDUALS CONSULTED ........................................................ 2 1.2.1 Meetings and Community Consultations ................................................................................................