STAND. COM. REP. NO. 1289

Honolulu, Hawaii

RE:    H.B. No. 628

       S.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Twenty-Ninth State Legislature

Regular Session of 2017

State of Hawaii

Sir:

     Your Committee on Ways and Means, to which was referred H.B. No. 628 entitled:

"A BILL FOR AN ACT RELATING TO STATEWIDE INFRASTRUCTURE CAPACITY BUILDING CONSTRUCTION FINANCING,"

begs leave to report as follows:

     The purpose and intent of this measure is to establish and fund the infrastructure capacity construction loan revolving fund, which will provide loans to counties, state agencies, or private developers for infrastructure improvements.

     Your Committee received testimony in support of this measure from the Department of Land and Natural Resources; the City and County of Honolulu Board of Water Supply; the Chamber of Commerce Hawaii; the American Council of Engineering Companies, Hawaii; and the Maui Chamber of Commerce.

     Your Committee received comments on this measure from the Department of Budget and Finance and the Department of Accounting and General Services.

     Your Committee finds that investment in the development and improvement of roads, sewers, drainage, communications, internet technology, schools, ports, and hospitals is important to both economic development and the overall quality of life.  Failure to invest in such infrastructure may lead to a failure to sustain and develop the State's social and economic well-being.

     Your Committee notes that, as this measure moves into conference, the proponents of the measure should specify the necessary dollar amounts to implement the measure's purpose or indicate whether a transfer of excess funds from the dwelling unit revolving fund of the Hawaii Housing Finance and Development Corporation is acceptable as seed capital for the revolving fund established under this measure.

     Your Committee has amended this measure by changing the effective date to July 1, 2050, to facilitate further discussion on the measure.

     As affirmed by the record of votes of the members of your Committee on Ways and Means that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 628, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 628, S.D. 1, and be placed on the calendar for Third Reading.

Respectfully submitted on behalf of the members of the Committee on Ways and Means,

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JILL N. TOKUDA, Chair