Honorable Robert Bunda

President of the Senate

Twenty-Second State Legislature

Regular Session of 2004

State of Hawaii

Sir:

Your Committee on Science, Arts, and Technology, to which was referred H.B. No. 1756, H.D. 2, entitled:

begs leave to report as follows:

The purpose of this measure is to assist Electricore, Inc., a high technology company, in the planning, design, construction, and operation of facilities for the development and production of unmanned vehicle systems, unmanned aerial vehicles, and communication systems.

This measure also authorizes the High Technology Development Corporation to issue up to $30,000,000 in special purpose revenue bonds for Electricore.

Testimony in support of this measure was received from the High Technology Development Corporation and Aerovironment Hawaii, Inc./Electricore, Inc.

Your Committee finds that this measure would assist an emerging high technology company, based in Hawaii, in the development of cutting edge technologies associated with unmanned systems. These technologies have potential use in defense, homeland security, science, and commercial applications. The emergence and increased use of these technologies will help stimulate much needed economic investment in high technology companies based in Hawaii.

As affirmed by the record of votes of the members of your Committee on Science, Arts, and Technology that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 1756, H.D. 2, and recommends that it pass Second Reading and be referred to the Committee on Ways and Means.