STAND. COM. REP. NO. 1883

Honolulu, Hawaii

RE: H.C.R. No. 156

Honorable Ronald D. Kouchi

President of the Senate

Thirty-Third State Legislature

Regular Session of 2025

State of Hawaii

Sir:

Your Committee on Economic Development and Tourism, to which was referred H.C.R. No. 156 entitled:

"HOUSE CONCURRENT RESOLUTION REQUESTING THE HAWAII TECHNOLOGY DEVELOPMENT CORPORATION TO INCREASE ITS FOCUS ON ADVANCED MANUFACTURING AND CYBERSECURITY TO BUILD A STRONGER, DIVERSIFIED ECONOMY, CREATE HIGH-WAGE JOB OPPORTUNITIES, AND POSITION HAWAII AS A LEADER IN INNOVATION AND NATIONAL SECURITY IN THE PACIFIC,"

begs leave to report as follows:

The purpose and intent of this measure is to request the Hawaii Technology Development Corporation to increase its focus on advanced manufacturing and cybersecurity to build a stronger, diversified economy, create high-wage job opportunities, and position Hawaii as a leader in innovation and national security in the Pacific.

Your Committee received testimony in support of this measure from the Department of Business, Economic Development, and Tourism; Hawaiʻi Technology Development Corporation; and Hawaii Military Affairs Council.

Your Committee finds that it is critical for the State to transition from its over-reliance on tourism and imported products by investing in local industries that promote economic resilience, job creation, and long-term sustainability. Your Committee further finds that incorporating advanced manufacturing that utilizes various innovative technologies into the production process for local manufacturers will enhance efficiency, improve product quality, reduce manufacturing costs, and help promote sustainable production practices, leading to reduction in the State's reliance on imported products. By requesting the Hawaii Technology Development Corporation, which supports small- and medium—sized local manufacturers in improving productivity and infusing innovation into their production processes, to increase its focus on advanced manufacturing and cybersecurity, this measure will serve as a catalyst for strengthening and diversifying the State's industrial base, securing high-wage employment, and positioning the State as a leader in cybersecurity and advanced manufacturing.

As affirmed by the record of votes of the members of your Committee on Economic Development and Tourism that is attached to this report, your Committee concurs with the intent and purpose of H.C.R. No. 156, and recommends its adoption.

Respectfully submitted on behalf of the members of the Committee on Economic Development and Tourism,

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LYNN DECOITE, Chair