Honorable Robert Bunda

President of the Senate

Twenty-Third State Legislature

Regular Session of 2006

State of Hawaii

Sir:

Your Committee on Business and Economic Development, to which was referred H.C.R. No. 205 entitled:

begs leave to report as follows:

The purpose of this measure is to request that the Auditor review the proposed plans and the existing and anticipated appropriation requests from the Stadium Authority and the Governor for the repair, renovation, refurbishment, or replacement of Aloha Stadium.

Your Committee received comments from the Department of Accounting and General Services, the Stadium Authority, and the promoter of the Hawaiian Telcom Great Aloha Run.

Aloha Stadium was built in 1975 and was designed to accommodate an array of sports and entertainment events by moving the stands into different configurations. In mid-February 2006, the news media reported that Aloha Stadium is in need of repairs and renovation work amounting to $129,000,000. The Stadium renovation proposal includes adding ten thousand more seats and thirty-two luxury suites, permanently locking the Stadium in a football configuration, and repairing the rusting Stadium steel structure for safety. In addition to the Stadium Special Fund, the Governor has requested an additional $25,000,000 in general obligation funds to be added to the 2007 Executive Supplemental Budget for the first year of the four-year repair and replacement Stadium program.

Your Committee finds that the proposal to use general obligation funds to finance the repairs and renovation of the Stadium places an obligation on the Legislature to conduct a thorough review of any and all Stadium repair, renovation, refurbishment, or replacement proposals. It is appropriate for the Auditor to assist the Legislature in reviewing proposals to permanently lock the Stadium into a football configuration as well as expand the Stadium facility, and perform a financial and budgetary review of all proposals to finance the repairs, improvements, renovation, expansion, and replacement of the Stadium facility.

Your Committee recognizes the concerns that the Department of Accounting and General Services and the Stadium Authority have regarding the delay an Auditor's review may have on the proposed plans for the Stadium repairs and renovation project. The Stadium presently has many safety issues that need repair or replacement and your Committee understands that these are paramount issues that need be undertaken immediately. If the additional funding is granted, your Committee believes that an Auditor's review is still appropriate, but the Stadium safety repair and replacement project should still proceed as planned.

As affirmed by the record of votes of the members of your Committee on Business and Economic Development that is attached to this report, your Committee concurs with the intent and purpose of H.C.R. No. 205, and recommends its adoption.