Honorable Robert Bunda

President of the Senate

Twenty-Third State Legislature

Regular Session of 2006

State of Hawaii

Sir:

Your Committees on Business and Economic Development and Media, Arts, Science, and Technology, to which was referred H.B. No. 2925, H.D. 1, entitled:

beg leave to report as follows:

The purpose of this measure is to appropriate funds to the Community-Based Economic Development Program to financially assist the planning and implementation of community-based economic development (CBED) projects.

Your Committees received testimony in support of this measure from the Department of Business, Economic Development, and Tourism, the Hawaii Alliance for Community-Based Economic Development (HACBED), and the Kona Pacific Farmers Cooperative.

The CBED Program plays an important role in assisting communities to achieve their goals and visions in economic development. Since its inception, CBED's Technical and Financial Assistance Program has committed more than $3,800,000 to more than one hundred sixty community-based organizations statewide. Moreover, the CBED Program has been an instrumental partner in assisting community-based institutions to plan and implement economic initiatives that create jobs. Last year, CBED grantees created or retained over one hundred seventy-three jobs.

Your Committees find that despite the state economy's unprecedented growth, there are still economic segments in the State that sorely needs programs like the CBED Program. Local communities and six hundred workers will be severely affected by the closure of the Del Monte operations, and the recent heavy rains and flooding have been catastrophic to local residents and farming communities. An appropriation of funds to provide grants under CBED's Technical and Financial Assistance Program will allow the CBED Program to continue to fund community-based projects that create jobs, establish or expand new ventures, and allow communities to become more empowered.

Your Committees have amended this measure by changing the effective date from July 1, 2020 to becoming effective upon its approval.

As affirmed by the records of votes of the members of your Committees on Business and Economic Development and Media, Arts, Science, and Technology that are attached to this report, your Committees are in accord with the intent and purpose of H.B. No. 2925, H.D. 1, as amended herein, and recommend that it pass Second Reading in the form attached hereto as H.B. No. 2925, H.D. 1, S.D. 1, and be referred to the Committee on Ways and Means.