STAND. COM. REP. NO. 3448

Honolulu, Hawaii

RE:    H.B. No. 2395

       H.D. 1

       S.D. 2

Honorable Colleen Hanabusa

President of the Senate

Twenty-Fourth State Legislature

Regular Session of 2008

State of Hawaii

Madam:

     Your Committee on Ways and Means, to which was referred H.B. No. 2395, H.D. 1, S.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO ECONOMIC DEVELOPMENT,"

begs leave to report as follows:

     The purpose of this measure is to establish the Hawaii Innovation Development Corporation to promote the development and exploitation of innovations and inventions that have direct economic benefits for Hawaii.

     The Professional Inventors Alliance and one individual submitted testimony in support of this measure.  The Department of Budget and Finance submitted testimony in opposition to this measure.  The Department of Business, Economic Development, and Tourism and the Office of Information Practices submitted comments.

     Your Committee finds that this measure will help encourage and support innovations and inventions by and for the economic benefit of the people of Hawaii.

     Upon further consideration, your Committee has amended this measure by:

     (1)  Clarifying that the Board of Directors of the Hawaii Innovation Development Corporation is subject to the provisions of chapter 92, Hawaii Revised Statutes;

     (2)  Deleting the language in proposed section    ‑4, Hawaii Revised Statutes, regarding discretionary executive meetings to support the intent that proprietary information be confidential;

     (3)  Clarifying in proposed section    ‑8, Hawaii Revised Statutes, that any document or data made or received by any member or employee of the Hawaii Innovation Development Corporation is confidential to the extent that the document or data consists of trade secrets or other proprietary information;

     (4)  Defining "proprietary information" to include information that could be protected as intellectual property, such as by copyright or patent;

     (5)  Inserting the contents of S.B. No. 2480, S.D. 2, as part II of the bill, to:

          (A)  Establish the science, technology, and education special fund;

          (B)  Amend Act 111, Session Laws of Hawaii 2007, to redirect deposit of the fiscal year 2008-2009 appropriation into the science, technology, and education special fund;

          (C)  Amend Acts 111 and 271, Session Laws of Hawaii 2007, by appropriating additional funds in fiscal year 2008-2009 for the support and expansion of existing STEM-related programs such as robotics, research experiences for teachers, and project EAST programs; and

          (D)  Appropriate funds from the federal temporary assistance for needy families program funds and from general funds for STEM programs and K-12 creative media education programs; and

     (6)  Making technical, nonsubstantive changes for the purposes of clarity, consistency, and style.

     As affirmed by the record of votes of the members of your Committee on Ways and Means that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 2395, H.D. 1, S.D. 1, as amended herein, and recommends that it pass Third Reading in the form attached hereto as H.B. No. 2395, H.D. 1, S.D. 2.

Respectfully submitted on behalf of the members of the Committee on Ways and Means,

____________________________

ROSALYN H. BAKER, Chair