STAND. COM. REP. NO. 2525

Honolulu, Hawaii

RE: S.B. No. 2562

S.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Thirtieth State Legislature

Regular Session of 2020

State of Hawaii

Sir:

Your Committees on Energy, Economic Development, and Tourism and Higher Education, to which was referred S.B. No. 2562 entitled:

"A BILL FOR AN ACT RELATING TO THE PACIFIC INTERNATIONAL SPACE CENTER FOR EXPLORATION SYSTEMS,"

beg leave to report as follows:

The purpose and intent of this measure is to:

(1) Establish the Pacific International Space Center for Exploration Systems as a separate line item within the Department of Business, Economic Development, and Tourism and place the Pacific International Space Center for Explorations System within the Department of Business, Economic Development, and Tourism for administrative purposes;

(2) Amend the composition of the board of directors of the Pacific International Space Center for Exploration Systems;

(3) Create six positions within the Pacific International Space Center for Exploration Systems;

(4) Transfer the rights, powers, functions, and duties of the Pacific International Space Center for Exploration Systems to the Department of Business, Economic Development, and Tourism; and

(5) Appropriate funds.

Your Committees received testimony in support of this measure from the National Aeronautics and Space Administration Solar System Exploration Research Virtual Institute; Oceanit Laboratories, Inc; Center for Space Resources at the Colorado School of Mines; and six individuals. Your Committees received comments on this measure from the Department of Business, Economic Development, and Tourism and Pacific International Space Center for Exploration Systems.

Your Committees find that Hawaii plays an important role in the development of the aerospace industry, given Hawaii's location and resident expertise in a broad range of aerospace-related technologies. The Pacific International Space Center for Exploration Systems (PISCES) is currently administratively attached to the Office of Aerospace Development within the Department of Business, Economic Development, and Tourism. Your Committees further find that PISCES is entering a transition period in which it will need to make modifications to move from the Research Corporation of the University of Hawaii's contract-based operations to the Department of Business, Economic Development, and Tourism. This measure will make the necessary adjustments and modifications that will make the transition to the Department of Business, Economic Development, and Tourism possible and allow the program to continue to operate.

Your Committees have amended this measure by:

(1) Authorizing the Executive Director of PISCES, instead of the Director of Business, Economic Development, and Tourism, to prescribe the duties and qualifications and fix the salaries of employees that are to be transferred; and

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

As affirmed by the records of votes of the members of your Committees on Energy, Economic Development, and Tourism and Higher Education that are attached to this report, your Committees are in accord with the intent and purpose of S.B. No. 2562, as amended herein, and recommend that it pass Second Reading in the form attached hereto as S.B. No. 2562, S.D. 1, and be referred to your Committee on Ways and Means.

Respectfully submitted on behalf of the members of the Committees on Energy, Economic Development, and Tourism and Higher Education,

________________________________ DONNA MERCADO KIM, Chair

________________________________ GLENN WAKAI, Chair