Honorable Robert Bunda

President of the Senate

Twenty-First State Legislature

Regular Session of 2001

State of Hawaii

Sir:

Your Committee on Economic Development and Technology, to which was referred S.B. No. 542 entitled:

begs leave to report as follows:

The purpose of this measure is to issue general obligation (GO) bonds and to make an appropriation for the Hawaii community-based economic development revolving fund (fund).

Your Committee received testimony in support of this measure from the Department of Business, Economic Development and Tourism (DBEDT).

The fund is used by DBEDT to make loans and grants for community-based economic development that results in community-based enterprises and other economic development activities designed and implemented by a community.

Your Committee finds that the Hawaii community-based economic development loan and grant program has a proven record in assisting distressed rural areas. The GO bonds are for providing literacy training services, with audio and visual enhancement components, on the Internet. The appropriation is to increase funding for the program.

Your Committee has amended this measure by blanking out all appropriations, deferring the amounts to the Committee on Ways and Means.

As affirmed by the record of votes of the members of your Committee on Economic Development and Technology that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 542, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 542, S.D. 1, and be referred to the Committee on Ways and Means.