STAND. COM. REP. NO. 503

                                 Honolulu, Hawaii
                                                   , 1999

                                 RE: H.B. No. 1360
                                     




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 H.B. No. 1360 entitled: 

     "A BILL FOR AN ACT RELATING TO INVESTMENT ATTRACTION,"

begs leave to report as follows:

     The purpose of this bill is to establish an income tax
credit for the construction and renovation of qualified
commercial facilities. 

     Testimony in support of this bill was submitted by Hawaiian
Dredging Construction Company, Hilton Hawaiian Village, Louis
Vuitton Hawaii, Retail Merchants of Hawaii, the Painting and
Decorating Contractors Association of Hawaii, the Painting
Industry of Hawaii Labor Management Cooperation Fund, and the
Queen Emma Foundation.

     General comments regarding tax reform were provided by the
Department of Taxation, the AIA Hawaii State Council, the Chamber
of Commerce of Hawaii, the Hawaii Business Roundtable, the League
of Women Voters of Hawaii, the National Federation of Independent
Business Hawaii, the Small Business Economic Revival Force, the
Tax Foundation of Hawaii, and three individuals.

     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 H.B. No. 1360 and recommends that it pass
Second Reading and be referred to the Committee on Finance.

 
 
                                 STAND. COM. REP. NO. 503
                                 Page 2

 

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



                                   ______________________________
                                   ROBERT N. HERKES, Chair