STAND. COM. REP. NO.  954

Honolulu, Hawaii

                , 2015

RE:   S.B. No. 887

      S.D. 2

      H.D. 1

Honorable Joseph M. Souki

Speaker, House of Representatives

Twenty-Eighth State Legislature

Regular Session of 2015

State of Hawaii

Sir:

     Your Committee on Economic Development & Business, to which was referred S.B. No. 887, S.D. 2, entitled:

"A BILL FOR AN ACT RELATING TO HIGH TECHNOLOGY,"

begs leave to report as follows:

The purpose of this measure is to increase economic development in Hawaii by improving Hawaii's high speed broadband infrastructure.  Specifically, this measure:

     (1)  Amends the definition of "industrial park" under chapter 206M, Hawaii Revised Statutes, relating to the High Technology Development Corporation (HTDC), to include broadband cable landing and connectivity infrastructure facility development, thus allowing HTDC to develop such facilities;

     (2)  Requires the Board of Directors of HTDC to establish advisory subcommittees when developing an industrial park with a broadband cable landing and connectivity infrastructure facility; and

     (3)  Requires the Board of Directors of HTDC to submit a report to the Legislature and the Governor in 2016 on the formation of the advisory subcommittees and their plans to develop industrial parks in conjunction with broadband cable landing and connectivity infrastructure facilities.

The United States Pacific Command, Enterprise Honolulu, HTDC, and Pacific-Asia Institute for Resilience and Sustainability testified in support of this measure.  The Chamber of Commerce of Hawaii supported the intent of this measure.

     Industrial parks and broadband cable landing sites developed through public private partnerships can be an effective way to advance the State's broadband infrastructure and bring stakeholders together to position Hawaii as a world leader in innovation.  This would have a positive impact on Hawaii's economy, not only in the establishment of technological research and development businesses, but also through the creation of high wage jobs.

     Your Committee finds that prioritizing broadband infrastructure and increasing broadband capacity is critical to businesses and the growth of Hawaii's economy.  Increased broadband capacity is also crucial to providing more secure, reliable, and resilient internet and data connectivity to Hawaii, which can lead to a higher quality of life for all of Hawaii's residents.

     Your Committee has amended this measure by changing its effective date to February 19, 2025, to encourage further discussion.

     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. 887, S.D. 2, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 887, S.D. 2, H.D. 1, and be referred to the Committee on Finance.

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

____________________________

DEREK S.K. KAWAKAMI, Chair