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 S.B. No. 2392 entitled:

begs leave to report as follows:

The purpose of this measure is to authorize the High Technology Development Corporation to issue special purpose revenue bonds on behalf of Electricore, Inc., a high technology industrial enterprise.

Testimony in support of the measure was received by Electricore, Inc. Offering comments on the measure was the Department of Budget and Finance.

Your Committee finds that the issuance of special purpose revenue bonds to assist Electricore, Inc., a Hawaii based corporation, will help diversify and expand Hawaii's economy in the field of high technology. Electricore, Inc. is a consortium of science, commercial, and military partners that concentrates its research efforts in the fields of emerging technologies and operational concepts. Specifically, Electricore, Inc. has developed unmanned vehicle systems and unmanned aerial vehicles that have potential application in a diverse array of fields including defense and homeland security as well as science and commercial applications.

Your Committee has amended the measure by making technical, non-substantive changes.

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 S.B. No. 2392, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 2392, S.D. 1, and be referred to the Committee on Ways and Means.