STAND. COM. REP. NO.  111

Honolulu, Hawaii

                , 2009

RE:   H.B. No. 1428

      H.D. 1

Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-Fifth State Legislature

Regular Session of 2009

State of Hawaii

Sir:

     Your Committee on Economic Revitalization, Business, & Military Affairs, to which was referred H.B. No. 1428 entitled:

"A BILL FOR AN ACT RELATING TO SMALL BUSINESS,"

begs leave to report as follows:

     The purpose of this bill is to increase support for small businesses under Chapter 201M, Hawaii Revised Statutes (the Small Business Regulatory Flexibility Act), by among other things:

(1)  Codifying the Small Business Bill of Rights within the chapter;

(2)  Giving the Small Business Regulatory Review Board (Board) the authority to determine whether a proposed rule affects small business;

(3)  Increasing Board membership from 11 to 13 members and removing the one-year limit on the chair's term; and

(4)  Allowing small businesses to file a petition with an agency to amend or repeal a rule when a rule is obsolete or more burdensome than other agency rules.

     The Department of Business, Economic Development, and Tourism, Board, Chamber of Commerce of Hawaii, Hawaii Business League, and a concerned individual submitted testimony in support of this bill.

     Your Committee finds that this bill will improve the Board's continuity and efficiency, help to educate small businesses concerning their rights, and increase the voice of small business in the rule making and rule revision process.

     To encourage further discussion of this measure, your Committee has changed its effective date to July 1, 2112.

     As affirmed by the record of votes of the members of your Committee on Economic Revitalization, Business, & Military Affairs that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 1428, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 1428, H.D. 1, and be referred to the Committees on Consumer Protection & Commerce and Judiciary.

Respectfully submitted on behalf of the members of the Committee on Economic Revitalization, Business, & Military Affairs,

____________________________

ANGUS L.K. MCKELVEY, Chair