STAND. COM. REP. NO. 915-00

                                 Honolulu, Hawaii
                                                   , 2000

                                 RE: S.B. No. 2003
                                     S.D. 1
                                     H.D. 1




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

Sir:

     Your Committee on Economic Development and Business
Concerns, to which was referred S.B. No. 2003, S.D. 1, entitled: 

     "A BILL FOR AN ACT MAKING AN APPROPRIATION TO MATCH FEDERAL
     FUNDS FOR THE ESTABLISHMENT OF MANUFACTURING EXTENSION
     PROGRAMS,"

begs leave to report as follows:

     The purpose of this bill is to appropriate funds to match
federal funds for the establishment of manufacturing extension
programs.

     The Department of Business, Economic Development, and
Tourism (DBEDT), Hawaii Manufacturing Extension Partnership,
Hawaii Technology Trade Association, Volcano Winery, CRT
Consulting, and First Commercial Kitchen submitted testimony in
support of this measure.

     Your Committee notes that this bill is similar to H.B. No.
1969, H.D. 2, which passed the House of Representatives earlier
this session after public hearings before this Committee and the
Committee on Finance.

     Your Committee has made amendments to conform this bill to
H.B. No. 1969, H.D. 2, by:

     (1)  Inserting the amount of $1 for the appropriation; and


 
 
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     (2)  Providing that the appropriation shall be contingent on
          matching federal funds, rather than contingent on
          matching federal funds secured by DBEDT; and

     (3)  Making technical, nonsubstantive amendments for clarity
          and style.

     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. 2003, S.D. 1, as amended herein,
and recommends that it pass Second Reading in the form attached
hereto as S.B. No. 2003, 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