Honorable Robert Bunda

President of the Senate

Twenty-Third State Legislature

Regular Session of 2005

State of Hawaii

Sir:

Your Committees on Media, Arts, Science, and Technology and Business and Economic Development, to which was referred S.B. No. 1792 entitled:

beg leave to report as follows:

The purpose of this measure is to appropriate funds to establish an international business and technology incubator program in Hawaii.

Testimony in support of this measure was submitted by the High Technology Development Corporation and one individual.

Your Committees find that the international business and technology incubator program will attract and assist foreign technology companies seeking to establish a presence in the United States by providing a one-stop service center with business formation services, merchant banking, and expert assistance throughout the public offering cycle. The incubator program also will attract corporations from China, Japan, Korea, Singapore, and other Asia Pacific nations that already are established and profitable.

Your Committees find that because the incubator is operated by an agency of the Hawaii State government, it will be more attractive to companies in China and Japan, which are accustomed to working almost exclusively with and among government entities. Hawaii also offers the advantages of location, time zone, a multi-lingual population, and quality of life that make it an attractive alternative to other locations in the United States.

As affirmed by the records of votes of the members of your Committees on Media, Arts, Science, and Technology and Business and Economic Development that are attached to this report, your Committees are in accord with the intent and purpose of S.B. No. 1792 and recommend that it pass Second Reading and be referred to the Committee on Ways and Means.