STAND. COM. REP. NO. 1070

                                   Honolulu, Hawaii
                                                     , 1999

                                   RE:  H.B. No. 1020
                                        H.D. 2
                                        S.D. 1




Honorable Norman Mizuguchi
President of the Senate
Twentieth State Legislature
Regular Session of 1999
State of Hawaii

Sir:

     Your Committee on Economic Development, to which was
referred H.B. No. 1020, H.D. 2, entitled: 

     "A BILL FOR AN ACT RELATING TO THE HAWAII CAPITAL LOAN
     PROGRAM,"

begs leave to report as follows:
     
     The purpose of this measure is to amend Act 311, Session
Laws of Hawaii (SLH) 1996, Act 104, SLH 1998, and Act 118, SLH
1998, to provide appropriate effective dates for the
implementation of the business loan guarantee program and an
extension of the effective date for the neighbor island
preferential business loan interest rate. 

     Your Committee received testimony in support of this measure
from the Department of Business, Economic Development, and
Tourism.

     Your Committee finds that this measure will continue
critical business loan programs that would have been terminated
on July 30, 2000.  Your Committee has amended this measure to
make technical, nonsubstantive amendments.

     As affirmed by the record of votes of the members of your
Committee on Economic Development that is attached to this
report, your Committee is in accord with the intent and purpose
of H.B. No. 1020, H.D. 2, as amended herein, and recommends that
it pass Second Reading in the form attached hereto as H.B.

 
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                                   STAND. COM. REP. NO. 1070
                                   Page 2


No. 1020, H.D. 2, S.D. 1, and be referred to the Committee on
Ways and Means.

                                   Respectfully submitted on
                                   behalf of the members of the
                                   Committee on Economic
                                   Development,



                                   ______________________________
                                   LORRAINE R. INOUYE, Chair

 
a                                                     HB1020 SD1