STAND. COM. REP. NO.  918-14

Honolulu, Hawaii

                , 2014

RE:   S.B. No. 2399

      S.D. 2

      H.D. 1

Honorable Joseph M. Souki

Speaker, House of Representatives

Twenty-Seventh State Legislature

Regular Session of 2014

State of Hawaii

Sir:

     Your Committee on Economic Development & Business, to which was referred S.B. No. 2399, S.D. 2, entitled:

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

begs leave to report as follows:

The purpose of this measure is to improve the health status and meet the growing demand for health care resources of Hawaii's elderly population while stimulating economic growth through innovation in long term care services and products by establishing a geriatric research and technology park to be administered by the Board of Directors of the High Technology Development Corporation.

The Wahiawa Community and Business Association and two concerned individuals testified in support of this measure.  The Executive Office on Aging testified in support of the intent of this bill.  The Hawaii Housing Finance and Development Corporation and High Technology Development Corporation provided comments.

Hawaii's population is aging.  Since 2000, Hawaii's elderly population, those aged sixty-five and older, grew slightly faster than the national growth rate.  Since statehood, Hawaii's proportion of elderly to total population has increased three-fold, from roughly five percent in 1960 to fifteen percent in 2012.  During this same period, the elderly segment of the nation's population only increased from nine percent to fourteen percent.

With age being the single most important factor in creating the need and demand for health care resources, research and development of long term care products and services is becoming a critical market sector.  This provides Hawaii with the opportunity to promote economic growth in the area of long-term care supports and services.  The establishment of a geriatric research and technology park will meet the growing need and demand for health care resources for the State's elderly residents while also stimulating and promoting economic growth through innovation in long term care services and products.

     While your Committee notes that several Tax Map Key numbers were included in this measure to designate the geographic area that would encompass the geriatric research and technology park, no testimony was received from the landowners of the designated parcels about whether this measure would affect them and to what extent.  Upon further investigation, it was discovered that there was some confusion as to the specific area of central Oahu included in the designated parcels.  Your Committee further notes that the Tax Map Key numbers may have been placed in the measure to specify the land proposed for development in order to avoid any issues that surfaced during discussions last year regarding the Public Land Development Corporation.

     Accordingly, your Committee has amended this measure by deleting references to certain Tax Map Key numbers specifying the parcels that would encompass the development of the geriatric research and technology park.

     Should the Committee on Human Services consider holding a hearing on this measure, your Committee respectfully requests that the Committee on Human Services further examine the issue of designating specific parcels of land for the geriatric research and technology park and consider including descriptions of the property, in addition to Tax Map Key numbers, to provide a better understanding of where these parcels are located and who currently owns these parcels.

     As affirmed by the record of votes of the members of your Committee on Economic Development & Business that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 2399, S.D. 2, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 2399, S.D. 2, H.D. 1, and be referred to the Committee on Human Services.

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

____________________________

CLIFT TSUJI, Chair