SB3084

SECTION 1. The legislature finds that to be successful in the twenty-first century global economy, Hawaii must position itself as a leader in the development, transfer, and commercialization of technology. Significant progress has been made through programs supported by federal and state initiatives, such as programs administered by the Hawaii technology development corporation, Hawaii strategic development corporation, and Hawaii technology development venture, but more is required to move Hawaii's technology industry to achieve local technology commercialization. Innovation in science and technology fields will not only enable the State to succeed in the global marketplace, but will also support the State's sustainable economic development goals to include a viable and vibrant technology and manufacturing labor force.

The purpose of this Act is to establish the Hawaii innovation and technology authority to create coherent policy, prioritize investments, and promote efficient use of the State's resources to institute and grow Hawaii's innovation and technology industry, which will promote a more diverse economy that offers high quality knowledge-based jobs. Specifically, the authority will be tasked with the development of policy and allocation of resources to enable and support start-ups, sustain existing companies, and attract companies to relocate or establish offices in Hawaii.

SECTION 2. Chapter 201, Hawaii Revised Statutes, is amended by adding a new part to be appropriately designated and to read as follows:

"PART . HAWAII INNOVATION AND TECHNOLOGY AUTHORITY

§201- Definitions. As used in this part, unless the context requires otherwise:

"Authority" means the Hawaii innovation and technology authority.

"Board" means the board of directors of the Hawaii innovation and technology authority.

"Department" means the department of business, economic development, and tourism.

§201- Hawaii innovation and technology authority; board; president and chief executive officer. (a) There is established the Hawaii innovation and technology authority, which shall be a body corporate and a public instrumentality of the State, for the purposes of implementing this part. The authority shall be placed within the department of business, economic development, and tourism, for administrative purposes only.

(b) The authority shall be headed by a policy-making board of directors that shall consist of members; provided that:

(1) The members shall be appointed by the governor as provided in section 26-34; provided that each member shall hold office until the member's successor is appointed and confirmed by the senate;

(2) The members shall include at least one representative each from the city and county of Honolulu and the counties of Hawaii, Kauai, and Maui;

(3) Three members shall be appointed by the governor from a list of three nominees submitted by the president of the senate, and three members shall be appointed by the governor from a list of three nominees submitted by the speaker of the house of representatives;

(4) All members shall have knowledge, experience, and expertise in the area of technology, innovation, information systems, computer science, aerospace, agriculture, tourism, environmental science, or sustainability; and

(5) The governor shall make appointments to ensure the fulfillment of all requirements of paragraphs (2) and (4); provided that upon the occurrence of a vacancy subject to paragraph (3), the governor shall notify the president of the senate and the speaker of the house of representatives of any unfulfilled requirements pursuant to paragraphs (2) and (4), and the president of the senate or the speaker of the house of representatives, as appropriate, shall submit nominees who fulfill those requirements.

(d) members shall constitute a quorum, and a minimum of affirmative votes shall be necessary for all actions by the authority. The members shall serve without compensation but shall be reimbursed for expenses, including travel expenses, necessary for the performance of their duties.

(e) The board shall appoint one person to serve as president and chief executive officer, who shall oversee staff of the authority. The compensation package, including salary, of the president and chief executive officer shall not exceed , and the compensation package shall not include private sector moneys or other contributions. The board shall set the president and chief executive officer's duties, responsibilities, holidays, vacations, leaves, hours of work, and working conditions. The board may grant other benefits as it deems necessary."

SECTION 3. There is appropriated out of the general revenues of the State of Hawaii the sum of $15,000,000 or so much thereof as may be necessary for fiscal year 2018-2019 for operating costs of the Hawaii innovation and technology authority.

The sum appropriated shall be expended by the department of business, economic development, and tourism for the purposes of this Act.

SECTION 4. This Act shall take effect on July 1, 2018.

INTRODUCED BY:	_____________________________

THE SENATE	S.B. NO.	3084
TWENTY-NINTH LEGISLATURE, 2018
STATE OF HAWAII