STAND. COM. REP. NO.  1507

Honolulu, Hawaii

                , 2007

RE:   S.B. No. 1922

      S.D. 2

      H.D. 1

Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-Fourth State Legislature

Regular Session of 2007

State of Hawaii

Sir:

     Your Committees on Economic Development & Business Concerns and Tourism & Culture, to which was referred S.B. No. 1922, S.D. 2, entitled:

"A BILL FOR AN ACT RELATING TO CREATIVE MEDIA,"

beg leave to report as follows:

The purpose of this bill is to support the growth of the creative media industry in Hawaii by appropriating general funds to:

     (1)  The University of Hawaii (UH) to plan, design and construct a permanent facility for the UH Academy for Creative Media's (Academy) film production, animation, critical studies, and video game design programs, and authorizing the Academy to use Act 221 tax credits in this endeavor;

     (2)  The Department of Business, Economic Development, and Tourism (DBEDT) and UH-Honolulu Community College (HCC) to lease, operate, and maintain a state-of-the-art digital media incubator facility for film and television production and interactive game development to be used by industry, government, and academic entities; and

(3)  HCC to lease, operate, and maintain a music and entertainment business training center at HCC that will house the Music and Enterprise Learning Experience Program established to develop the technical and business skills required by Hawaii's music artists and music industry.

     HCC, High Technology Development Corporation, COJODA Productions LLC, Aloha Agency, JUNIROA PRODUCTIONS INC., Global Brain, Inc., Hawaii Academy of Recording Arts, and numerous concerned individuals supported this bill.  Governor Linda Lingle supported this bill in part.  DBEDT, Department of Taxation, UH at Manoa, and a concerned individual supported the intent of the measure.

     Your Committees find that the funds provided by this bill will directly support the creative media sector of Hawaii's economy, as well as Hawaii's educational institutions and people.

     Your Committees have amended this bill by:

     (1)  Removing all references to tax credits;

     (2)  Changing its effective date to July 1, 2034, to encourage further discussion of the measure; and

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

     As affirmed by the records of votes of the members of your Committees on Economic Development & Business Concerns and Tourism & Culture that are attached to this report, your Committees are in accord with the intent and purpose of S.B. No. 1922, S.D. 2, as amended herein, and recommend that it be referred to the Committee on Finance in the form attached hereto as S.B. No. 1922, S.D. 2, H.D. 1.

Respectfully submitted on behalf of the members of the Committees on Economic Development & Business Concerns and Tourism & Culture,

____________________________ RYAN I. YAMANE, Chair

____________________________ KYLE T. YAMASHITA, Chair