STAND. COM. REP. NO. 489

Honolulu, Hawaii

, 2021

RE: H.B. No. 1280

H.D. 2

Honorable Scott K. Saiki

Speaker, House of Representatives

Thirty-First State Legislature

Regular Session of 2021

State of Hawaii

Sir:

Your Committee on Higher Education & Technology, to which was referred H.B. No. 1280, H.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO THE NATURAL ENERGY LABORATORY OF HAWAII AUTHORITY,"

begs leave to report as follows:

The purpose of this measure is to transfer operational authority over the Makai Research Pier located at the southeast corner of Oahu, from the University of Hawaii to the Natural Energy Laboratory of Hawaii Authority, and authorize general obligation bonds and appropriate funds to repair and upgrade Makai Research Pier.

Your Committee received testimony in support of this measure from the Department of Land and Natural Resources; University of Hawai‘i System; and Makai Ocean Engineering, Inc. Your Committee received testimony in opposition to this measure from the Natural Energy Laboratory of Hawaii Authority.

Your Committee finds that the Makai Research Pier is a unique research platform for understanding the ocean's composition. This measure will allow the Makai Research Pier to remain operational and further use of the pier as part of an accelerator/incubator with a focus on ocean technology, which is recognized as having the potential to boost economic growth, employment, and innovation in the State.

Your Committee recognizes that the development of the Makai Research Pier to allow for the expansion of operations for ocean technology and other growing sectors will affect existing tenants at the pier. Should this measure be enacted into law, it is your Committee's intent that the Natural Energy Laboratory of Hawaii Authority enter into mutually agreeable negotiations with current tenants at the Makai Research Pier.

Your Committee has amended this measure by:

(1) Removing the requirement that the terms of any tenant leases of the Makai Research Pier in effect on the effective date of this measure remain in full force and effect; and

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

Should your Committee on Finance hear this measure, your Committee respectfully requests that it consider a general obligation bond fund authorization and appropriation of $5,000,000 for fiscal year 2021-2022 to repair and upgrade the Makai Research Pier.

As affirmed by the record of votes of the members of your Committee on Higher Education & Technology that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 1280, H.D. 1, as amended herein, and recommends that it be referred to your Committee on Finance in the form attached hereto as H.B. No. 1280, H.D. 2.

Respectfully submitted on behalf of the members of the Committee on Higher Education & Technology,

____________________________

GREGG TAKAYAMA, Chair