STAND. COM. REP. NO. 1608

Honolulu, Hawaii

, 2019

RE: S.B. No. 989

S.D. 2

H.D. 1

Honorable Scott K. Saiki

Speaker, House of Representatives

Thirtieth State Legislature

Regular Session of 2019

State of Hawaii

Sir:

Your Committee on Economic Development & Business, to which was referred S.B. No. 989, S.D. 2, entitled:

"A BILL FOR AN ACT RELATING TO THE DEPARTMENT OF BUSINESS, ECONOMIC DEVELOPMENT, AND TOURISM,"

begs leave to report as follows:

The purpose of this measure is to appropriate funds for operating expenses of the Department of Business, Economic Development, and Tourism (DBEDT).

For the purposes of a public hearing on this measure, your Committee circulated a Proposed S.B. No. 989, S.D. 2, H.D. 1 (Proposed Draft), and notified the public that it would be accepting testimony on the Proposed Draft, which among other things:

(1) Renames the Creative Industries Division of the Department of Business, Economic Development, and Tourism as the Office of Creative Film and Media Industries Hawaii and provides that the Hawaii Film Office and Arts and Culture Development Branch shall be agencies of the Office;

(2) Transfers Hawaii Film Office employees to the Office without any consequence to employment benefits or status;

(3) Renames the Hawaii Television and Film Development Special Fund as the Creative Film and Media Development Special Fund and expands the funding sources and amends the allowable uses of the Fund;

(4) Establishes positions and appropriates funds for staffing within the Office;

(5) Appropriates funds for operations and programs of the Department of Business, Economic Development, and Tourism; and

(6) Establishes and appropriates funds for a State of Hawaii Office of the Business Development and Support Division in Guangzhou, Guangdong, China.

The Economic Development Alliance of Hawaii submitted testimony in support of this measure as it was received by your Committee. A concerned individual testified in support of the Proposed Draft. DBEDT and Oahu Economic Development Board commented on the Proposed Draft.

Your Committee considered the merits of both S.B. No. 989, S.D. 2, as received by your Committee, and the Proposed Draft, and upon careful consideration, adopted the Proposed Draft in its entirety.

As affirmed by the record of votes of the members of your Committee on Economic Development & Business that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 989, S.D. 2, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 989, S.D. 2, H.D. 1, and be referred to your Committee on Finance.

Respectfully submitted on behalf of the members of the Committee on Economic Development & Business,

____________________________

ANGUS L.K. McKELVEY, Chair