STAND. COM. REP. NO. 1344

Honolulu, Hawaii

, 2025

RE: S.B. No. 989

S.D. 1

H.D. 1

Honorable Nadine K. Nakamura

Speaker, House of Representatives

Thirty-Third State Legislature

Regular Session of 2025

State of Hawaii

Madame:

Your Committee on Economic Development & Technology, to which was referred S.B. No. 989, S.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO ECONOMIC DEVELOPMENT,"

begs leave to report as follows:

The purpose of this measure is to:

(1) Appropriate funds to the Hawaii Technology Development Corporation to assist small businesses with technology enablement; and

(2) Require the Hawaii Technology Development Corporation to submit a report to the Legislature on the status of assisting technology enablement for small businesses related to the tourism sector.

Your Committee received testimony in support of this measure from the Hawaii Technology Development Corporation; Hawaii Food Industry Association; Maui Chamber of Commerce; Hawaiʻi Farm Bureau; Nalu Scientific, LLC; Chamber of Commerce Hawaii; SSFM International; KOʻOLAU Distillery; Ai.Fish; Ten Tomorrow; Blue Startups, LLC; Referentia Systems; and one individual.

Your Committee finds that the Hawaii Technology Development Corporation is well-positioned to provide small businesses with access to modern digital tools and technology, helping businesses reduce costs and remain competitive. Your Committee recognizes that small businesses in the State also need support navigating certain permitting processes, which can be cumbersome and can subject businesses to lengthy waiting periods.

Accordingly, your Committee has amended this measure by:

(1) Requiring the Hawaii Technology Development Corporation to also use the appropriated funds to develop project management software to simplify the facilitated application process for small businesses;

(2) Changing the effective date to July 1, 3000, to encourage further discussion; and

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

Your Committee respectfully requests your Committee on Finance, should it deliberate on this measure, to consider an appropriation amount of $600,000.

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

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

____________________________

GREGGOR ILAGAN, Chair