STAND. COM. REP. NO. 2008

Honolulu, Hawaii

RE:    S.B. No. 2015

Honorable Colleen Hanabusa

President of the Senate

Twenty-Fourth State Legislature

Regular Session of 2008

State of Hawaii

Madam:

     Your Committee on Intergovernmental and Military Affairs, to which was referred S.B. No. 2015 entitled:

"A BILL FOR AN ACT MAKING AN APPROPRIATION FOR THE PACIFIC AVIATION MUSEUM PEARL HARBOR,"

begs leave to report as follows:

     The purpose of this Act is to appropriate moneys to the Pacific Aviation Museum at Pearl Harbor for phase 2 of the museum's development.

     Your Committee received testimony in support of this measure from the Department of Defense; Office of Veterans' Services; The Chamber of Commerce of Hawaii; the Pacific Aviation Museum; Veterans of Maui County; Air Force Association; Fleet Street Graphics; Kauai Veterans Museum; Kaimana Aviation; and eleven individuals.

     The Pacific Aviation Museum at Pearl Harbor, established in 1999, is a not-for-profit organization that is exempt from Internal Revenue Code 501(c)(3) for tax purposes.  The museum is currently contributing to the State's economy with the first of four phases.  The museum's purpose is to develop a portion of Ford Island into a nationally recognized museum that will preserve aviation history, provide education to the young and old alike, and honor the patriotism, valor, and sacrifice made by aviators and their support personnel in the defense of freedom in the Pacific.  When completed, the new museum will include exhibits reflecting World War II, the Korean War, the Vietnam conflict, the Cold War, and current American air power.  Phase I, which opened on December 7, 2006, features diorama exhibits of the early events of World War II, period and reproduction aircraft, an aviation education center, a flight simulation center, a theater, a museum store, a food service area, and the museum's offices.

     Additional state funds are necessary to provide the foundation for phase 2 of the museum to be housed in hangar 79 on Ford Island.  Phase 2 development will include plans, design, and construction to improve and restore hangar 79, which comprises eighty-five thousand square feet.  Phase 2 exhibits will encompass the remaining campaigns of World War II together with an introduction to the Korean War and the Vietnam conflict.  The current cost to complete phase 2 is estimated to be $33,000,000.  The legislature has appropriated to date, $1,000,000 for phase 2 - $500,000 in each of fiscal years 2006-2007 and 2007-2008.  During the first quarter of 2008, the museum plans to open a California office to launch a national campaign to fund the balance of phase 2.  The State's ongoing support is extremely important in demonstrating to potential mainland funding sources the State's strong backing of the expanded museum.  It is essential that the State appropriate the crucial funds to preserve aviation history and honor those who fought for our freedom.

     Your Committee believes that Hawaii deserves to be the home of a world class museum depicting its proud military heritage and serving as a documentary repository and learning medium for future generations.

     As affirmed by the record of votes of the members of your Committee on Intergovernmental and Military Affairs that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 2015 and recommends that it pass Second Reading and be referred to the Committee on Ways and Means.

Respectfully submitted on behalf of the members of the Committee on Intergovernmental and Military Affairs,

____________________________

LORRAINE R. INOUYE, Chair