STAND. COM. REP. NO. 1052

Honolulu, Hawaii

RE:    H.B. No. 973

       H.D. 1

       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 Economic Development, Tourism, and Technology, to which was referred H.B. No. 973, H.D. 1, entitled:

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

begs leave to report as follows:

     The purpose and intent of this measure is to support technology based research and development in the State by establishing a research and technology grant program within the High Technology Development Corporation.

     Your Committee received testimony in support of this measure from the High Technology Development Corporation; Chamber of Commerce Hawaii; Hawaii Farm Bureau; Navatek; Makai Ocean Engineering, Inc.; and six individuals.  Your Committee received comments on this measure from the State of Hawaii Procurement Office.

     Your Committee finds that innovation in the areas of science, technology, engineering, and mathematics is the key for Hawaii to strengthen its global competitiveness across all business, education, and social sectors of the world we live in.  Your Committee further finds that a research and technology grant program will stimulate innovation in the State and the growth of jobs in science, technology, engineering, and mathematics and will also help sustain the resiliency of Hawaii's economy.

     Your Committee has amended this measure by:

     (1)  Changing the grant amount from fifty percent to twenty-five percent of costs incurred;

     (2)  Clarifying that monies used to pay for the cost of administering, operating, and marketing the grant program, as determined by the Chief Executive Officer of the Corporation, shall be made in accordance with chapters 103D and 103F, Hawaii Revised Statutes; and

     (3)  Making technical, nonsubstantive amendments for the purposes of clarity and consistency.

     As affirmed by the record of votes of the members of your Committee on Economic Development, Tourism, and Technology that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 973, H.D. 1, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 973, H.D. 1, S.D. 1, and be referred to your Committee on Ways and Means.

Respectfully submitted on behalf of the members of the Committee on Economic Development, Tourism, and Technology,

________________________________

GLENN WAKAI, Chair