STAND. COM. REP. NO. 906-18

Honolulu, Hawaii

, 2018

RE: H.B. No. 1986

H.D. 2

Honorable Scott K. Saiki

Speaker, House of Representatives

Twenty-Ninth State Legislature

Regular Session of 2018

State of Hawaii

Sir:

Your Committee on Finance, to which was referred H.B. No. 1986, H.D. 2, entitled:

"A BILL FOR AN ACT RELATING TO THE ENVIRONMENT,"

begs leave to report as follows:

The purpose of this measure is to establish a Carbon Credit Revenue Program under the Department of Business, Economic Development and Tourism that administers revenues realized from the sale of carbon credits in any established carbon registry and invests those proceeds in projects that improve the State's water infrastructure or mitigate threats to water sustainability due to climate change or provide other benefits consistent with the State's sustainability goals and policies.

The Sierra Club of Hawaii, Oahu County Committee on Legislative Priorities of the Democratic Party of Hawaii, and several concerned individuals supported this measure. The Department of Business, Economic Development and Tourism and a few concerned individuals opposed this measure. The Department of Land and Natural Resources, Office of Planning, The Nature Conservancy of Hawai‘i, Ulupono Initiative, and a few concerned individuals provided comments.

As affirmed by the record of votes of the members of your Committee on Finance that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 1986, H.D. 2, and recommends that it pass Third Reading.

Respectfully submitted on behalf of the members of the Committee on Finance,

____________________________

SYLVIA LUKE, Chair