STAND. COM. REP. NO.  1112

Honolulu, Hawaii

                , 2007

RE:   H.B. No. 1670

      H.D. 2

Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-Fourth State Legislature

Regular Session of 2007

State of Hawaii

Sir:

Your Committee on Finance, to which was referred H.B. No. 1670, H.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO THE INGENUITY CHARTER,"

begs leave to report as follows:

The purpose of this bill is to facilitate the development of intellectual property in Hawaii by establishing the Ingenuity Company chartered by the State to acquire, invest in, license, use, and sell intellectual property for the benefit of inventors, labor unions, and public educators, and to enforce intellectual property rights of inventors.

The American Federation of Television and Radio Artists, Professional Inventors Alliance, Vivalog Technologies, Hawaii State AFL-CIO, UNITE HERE! Local 5 Hawaii, and several concerned individuals testified in support of this bill.  ILWU Local 142 and a concerned individual supported the intent of this measure.  The Department of Budget and Finance opposed this measure.  The Department of Education and the Business Registration Division of the Department of Commerce and Consumer Affairs offered comments.

Your Committee has amended this measure by:

(1)  Deleting the provisions requiring labor union members and investor members to be managed by the Ingenuity Company; and

(2)  Making technical, nonsubstantive amendments for style, clarity, and consistency.

As affirmed by the record of votes of the members of your Committee on Finance that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 1670, H.D. 1, as amended herein, and recommends that it pass Third Reading in the form attached hereto as H.B. No. 1670, H.D. 2.

Respectfully submitted on behalf of the members of the Committee on Finance,

____________________________

MARCUS R. OSHIRO, Chair