STAND. COM. REP. NO. 1291

Honolulu, Hawaii

RE:    H.B. No. 426

       H.D. 1

       S.D. 1

Honorable Colleen Hanabusa

President of the Senate

Twenty-Fifth State Legislature

Regular Session of 2009

State of Hawaii

Madam:

     Your Committee on Ways and Means, to which was referred H.B. No. 426, H.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO THE ISSUANCE OF SPECIAL PURPOSE REVENUE BONDS TO ASSIST SEAWATER AIR CONDITIONING PROJECTS ON OAHU,"

begs leave to report as follows:

     The purpose of this measure is to authorize the issuance of up to $30,000,000 in special purpose revenue bonds for Honolulu Seawater Air Conditioning, LLC.

     Your Committee finds that this measure will promote the development of renewable energy and efficient energy systems in Hawaii by assisting Honolulu Seawater Air Conditioning, LCC, in the design and construction of an economically feasible seawater air conditioning district cooling system in downtown Honolulu.

     Your Committee notes that House Bill No. 425, H.D. 1, extends the current authorization to issue special purpose revenue bonds to assist Honolulu Seawater Air Conditioning projects on Oahu to June 30, 2014.  Your Committee believes that extension of the bond authorization period by House Bill No. 425, H.D. 1, and the increase in the amount of special purpose revenue bonds that may be issued, as authorized by this measure, should be combined into one measure for consistency and to avoid unnecessary confusion.

     Accordingly, your Committee has amended this measure by increasing the special purpose revenue bond authorization amount to $77,000,000.

     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. 426, H.D. 1, as amended herein, and recommends that it pass Third Reading in the form attached hereto as H.B. No. 426, H.D. 1, S.D. 1.

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

____________________________

DONNA MERCADO KIM, Chair