STAND. COM. REP. NO. 880

Honolulu, Hawaii

RE:    S.B. No. 1059

       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 S.B. No. 1059 entitled:

"A BILL FOR AN ACT RELATING TO SMALL BUSINESS,"

begs leave to report as follows:

     The purpose and intent of this measure is to assist small businesses in the State in obtaining state contracts by creating an initiative that is dedicated to supporting small businesses.

     Your Committee received written comments in support of this measure from the State Procurement Office, Small Business Regulatory Review Board, State Office of Veterans Services, Chamber of Commerce Hawaii, Native Hawaiian Chamber of Commerce, AMEL Technologies, Inc., Pelatron Center for Economic Development, Native Hawaiian Organizations Association, RMA Sales, and one individual.

     Your Committee finds that small businesses are a critical sector of the State's economy.  The Legislature has in the past attempted to establish positions and programs to assist the State's small businesses, but these efforts were unsustainable.  Your Committee finds that one reason previous efforts have failed to generate positive change is a lack of accurate information about the support that small businesses need, specifically in the case of applying for and obtaining state contracts.

Accordingly, your Committee believes that establishing and funding an initiative that incrementally identifies, quantifies, and addresses the needs of small businesses in the State will provide the foundation necessary for a long-term small business assistance strategy in the State. 

     Your Committee has amended this measure by:

(1)  Changing the appropriated sums of $330,000 for small business assistance staff and $375,000 to contract with a small business to provide services as the State's small business office to unspecified amounts;

(2)  Changing the full-time equivalent position count to an unspecified number; and

(3)  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 S.B. No. 1059, as amended herein, and recommends that it pass Third Reading in the form attached hereto as S.B. No. 1059, S.D. 1.

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

________________________________

JILL N. TOKUDA, Chair