STAND. COM. REP. NO. 722-00

                                 Honolulu, Hawaii
                                                   , 2000

                                 RE: H.B. No. 2901
                                     H.D. 2




Honorable Calvin K.Y. Say
Speaker, House of Representatives
Twentieth State Legislature
Regular Session of 2000
State of Hawaii

Sir:

     Your Committee on Finance, to which was referred H.B. No.
2901, H.D. 1, entitled: 

     "A BILL FOR AN ACT RELATING TO THE NEW ECONOMY,"

begs leave to report as follows:

     The purpose of this bill is to encourage the continued
growth and development of high technology businesses and
associate industries in Hawaii by implementing various strategies
relating to consolidation planning, tax credits, venture capital,
educational programs, work force development, university research
and training, and marketing and electronics commerce.

     The Department of Labor and Industrial Relations and the
Hawaii Technology Trade Association testified in support of this
bill.   The Department of Business, Economic Development, and
Tourism and the High Technology Development Corporation supported
the intent of this measure.  The Department of Taxation, the Tax
Foundation of Hawaii, and the Board of Trustees of the Employees'
Retirement System commented on the bill. 

     Your Committee has amended this bill by:

     (1)  Deleting the appropriation amounts for the purpose of
          continued discussion; and

     (2)  Making technical, nonsubstantive amendments to correct
          technical drafting errors.
 

 
 
                                 STAND. COM. REP. NO. 722-00
                                 Page 2

 
     As affirmed by the record of votes of the members of your
Committee on Finance that is attached to this report, your
Committee is in accord with the intent and purpose of H.B. No.
2901, H.D. 1, as amended herein, and recommends that it pass
Third Reading in the form attached hereto as H.B. No. 2901, H.D.
2.

                                   Respectfully submitted on
                                   behalf of the members of the
                                   Committee on Finance,



                                   ______________________________
                                   DWIGHT Y. TAKAMINE, Chair