STAND. COM. REP. NO.  71

Honolulu, Hawaii

                , 2017

RE:   H.B. No. 1479

      H.D. 1

Honorable Joseph M. Souki

Speaker, House of Representatives

Twenty-Ninth State Legislature

Regular Session of 2017

State of Hawaii

Sir:

     Your Committees on Economic Development & Business and Tourism, to which was referred H.B. No. 1479 entitled:

"A BILL FOR AN ACT RELATING TO THE HILO COMMUNITY ECONOMIC DISTRICT,"

beg leave to report as follows:

The purpose of this measure is to establish the Hilo Community Economic District (District) in East Hawaii and place it under the jurisdiction of the Hawaii Community Development Authority to facilitate efficient and effective improvement and economic opportunity in the area.

The Pana‘ewa Hawaiian Home Lands Community Association, Kanoelehua Industrial Area Association, Hawaii Planing Mill, Ltd., Japanese Chamber of Commerce and Industry of Hawaii, Hawaii Laborers-Employers Cooperation and Education Trust, Hawai‘i Island Realtors, Hawaii Operating Engineers Industry Stabilization Fund, Chika Nakano Repair Shop, and many concerned individuals supported this measure.  The Office of Hawaiian Affairs, Department of Hawaiian Home Lands, Hawaii Community Development Authority, Department of Land and Natural Resources, and the Office of the Mayor of the County of Hawaii provided comments.

     Your Committees have amended this measure by:

     (1)  Prohibiting the Hawaii Community Development Authority from leasing lands in the District that are covered by the Hawaii Homes Commission Act, 1920, or under the control, management, or ownership of the Department of Hawaiian Home Lands;

     (2)  Providing for the recognition of the Office of Hawaiian Affairs' pro rata portion of the public land trust;

     (3)  Appropriating an unspecified amount to the Authority to establish the District;

     (4)  Making technical, nonsubstantive amendments for clarity, consistency, and style; and

     (5)  Changing its effective date to July 1, 2038, to encourage further discussion.

     Should the Committee on Finance deliberate this measure further, your Committees on Economic Development & Business and Tourism respectfully request that it consider appropriating $1,100,000 for the purpose of establishing the District.

     As affirmed by the records of votes of the members of your Committees on Economic Development & Business and Tourism that are attached to this report, your Committees are in accord with the intent and purpose of H.B. No. 1479, as amended herein, and recommend that it pass Second Reading in the form attached hereto as H.B. No. 1479, H.D. 1, and be referred to your Committee on Water & Land.

Respectfully submitted on behalf of the members of the Committees on Economic Development & Business and Tourism,

____________________________ RICHARD H.K. ONISHI, Chair

____________________________ MARK M. NAKASHIMA, Chair