Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-First State Legislature

Regular Session of 2001

State of Hawaii

Sir:

Your Committees on Water and Land Use and Economic Development and Business Concerns, to which was referred H.B. No. 1149 entitled:

beg leave to report as follows:

The purpose of this bill is to encourage the development of high technology endeavors to enhance job growth and creation, and to expand economic development opportunities in the State. This bill authorizes the issuance of special purpose revenue bonds (SPRBs) to assist Science and Technology International (STI) in financing the costs related to its relocation to, and construction of, a new facility in Kakaako.

The Hawaii Community Development Authority and STI testified in support of this bill. The High Technology Development Corporation supported the intent of this measure, and the Department of Budget and Finance (B&F) offered comments.

STI is a homegrown company that is involved in light manufacturing and research. A pioneer in hyperspectral imagery, STI manufactures optical imaging instruments that can be used to detect submarines, screen for cancer cells, and characterize environmental problems, oil spills, and so forth.

Since STI has tripled in size within the last 18 months, it needs to relocate from its present office space in the downtown area. This measure will assist STI in its expansion plans to Kakaako and possibly to Eleele on Kauai.

Your Committees have amended this bill by:

The $50,000,000 represents the current best estimate that is subject to change.

As affirmed by the records of votes of the members of your Committees on Water and Land Use and Economic Development and Business Concerns that are attached to this report, your Committees are in accord with the intent and purpose of H.B. No. 1149, as amended herein, and recommend that it pass Second Reading in the form attached hereto as H.B. No. 1149, H.D. 1, and be referred to the Committee on Finance.