STAND. COM. REP. NO.  444

Honolulu, Hawaii

                , 2011

RE:   H.B. No. 702

      H.D. 1

Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-Sixth State Legislature

Regular Session of 2011

State of Hawaii

Sir:

     Your Committee on Economic Revitalization & Business, to which was referred H.B. No. 702 entitled:

"A BILL FOR AN ACT RELATING TO BUSINESS,"

begs leave to report as follows:

     The purpose of this bill is to alleviate the financial strain experienced by Hawaii small businesses that meet certain criteria, including being domiciled in Hawaii, owned and operated by Hawaii residents, and employing Hawaii residents, by establishing the Small Business Hardship Loan Program and Small Business Hardship Revolving Fund to make direct one-time loans.

     The Department of Business, Economic Development, and Tourism, and The Chamber of Commerce of Hawaii testified in support of the measure.  The Department of Budget and Finance testified in opposition to the bill.

     Your Committee has amended this bill by:

     (1)  Changing its effective date to July 1, 2112, to promote further discussion; and

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

     As affirmed by the record of votes of the members of your Committee on Economic Revitalization & Business that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 702, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 702, H.D. 1, and be referred to the Committee on Finance.

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

____________________________

ANGUS L.K. MCKELVEY, Chair