STAND. COM. REP. NO. 1713

                                   Honolulu, Hawaii
                                                     , 1999

                                   RE:  S.R. No. 88
                                        




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

Sir:

     Your Committee on Ways and Means, to which was referred S.R.
No. 88 entitled:

     "SENATE RESOLUTION REQUESTING THE CONVENING OF A MEETING TO
     CONSIDER MEANS TO ATTRACT CARBON INVESTMENTS TO MITIGATE
     GLOBAL WARMING THROUGH SUSTAINABLE FORESTRY IN HAWAII,"

begs leave to report as follows:

     The purpose of this Resolution is to request the Hawaii
Forestry and Communities Executive Council and the Department of
Health to convene a meeting to discuss means to attract carbon
investments to the State to contribute to the mitigation of
global warming.

     Your Committee finds that carbon offset forestry projects
are comprised of newly planted forests and conservation forests
that serve to reduce the overall net emissions of greenhouse
gases into the atmosphere by absorbing carbon dioxide from the
atmosphere and storing the carbon dioxide as wood.

     Your Committee further finds that the market for these
projects are in the formative stage and accordingly presents an
attractive investment opportunity to the State given the State's
forest sector.  Capitalizing upon this opportunity requires as a
threshold matter a coordinated discussion among interested
parties to secure a foundation and lay the infrastructure for the
incipient industry.

 
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                                   STAND. COM. REP. NO. 1713
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     As affirmed by the record of votes of the members of your
Committee on Ways and Means that is attached to this report, your
Committee concurs with the intent and purpose of S.R. No. 88, and
recommends its adoption.

                                 Respectfully submitted on behalf
                                 of the members of the Committee
                                 on Ways and Means,



                                 ________________________________
                                 CAROL FUKUNAGA, Co-Chair



                                 ________________________________
                                 ANDREW LEVIN, Co-Chair

 
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