STAND. COM. REP. NO. 1152

                                 Honolulu, Hawaii
                                                   , 1999

                                 RE: S.B. No. 1072
                                     S.D. 1
                                     H.D. 1




Honorable Calvin K.Y. Say
Speaker, House of Representatives
Twentieth State Legislature
Regular Session of 1999
State of Hawaii

Sir:

     Your Committee on Economic Development and Business
Concerns, to which was referred S.B. No. 1072, S.D. 1, entitled: 

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

begs leave to report as follows:

     The purpose of this bill is to provide a continued source of
financing to businesses under the Hawaii Capital Loan Program
(Program) by extending the business loan guarantee and the
neighbor island preferential business loan interest rate under
the Program.

     Testimony in support of this bill was submitted by the
Department of Business, Economic Development, and Tourism.

     Your Committee notes that this bill is similar in general
purpose and intent to H.B. No. 1020, H.D. 2, which was passed out
of House of Representatives after public hearings in this
Committee and the Committee on Finance.

     Your Committee has amended this bill by deleting its
substance and inserting language similar to H.B. No. 1020, H.D.
2.  Among other things, as amended, this measure sets forth
section 210-6, Hawaii Revised Statutes (HRS), in its entirety to
prevent its ultimate repeal and reenactment as required in Act
311, Session Laws of Hawaii (SLH) 1996; Act 104, SLH 1998; and
Act 118, SLH 1998.

 
 
                                 STAND. COM. REP. NO. 1152
                                 Page 2

 

     As amended and set forth in this measure, section 210-6,
HRS, includes all of the amendments to the section made to date
since Act 311, SLH 1996, to conform the form and substance of the
section as intended by your Committee to survive upon enactment.

     As affirmed by the record of votes of the members of your
Committee on Economic Development and Business Concerns that is
attached to this report, your Committee is in accord with the
intent and purpose of S.B. No. 1072, S.D. 1, as amended herein,
and recommends that it pass Second Reading in the form attached
hereto as S.B. No. 1072, S.D. 1, H.D. 1, and be referred to the
Committee on Finance.

                                   Respectfully submitted on
                                   behalf of the members of the
                                   Committee on Economic
                                   Development and Business
                                   Concerns,



                                   ______________________________
                                   ROBERT N. HERKES, Chair