STAND. COM. REP. NO. 59

Honolulu, Hawaii

, 2023

RE: H.B. No. 963

H.D. 1

Honorable Scott K. Saiki

Speaker, House of Representatives

Thirty-Second State Legislature

Regular Session of 2023

State of Hawaii

Sir:

Your Committee on Higher Education & Technology, to which was referred H.B. No. 963 entitled:

"A BILL FOR AN ACT RELATING TO BROADBAND,"

begs leave to report as follows:

The purpose of this measure is to:

(1) Appropriate general funds needed to provide non-federal matching funds for various federal broadband grant programs, including $33,000,000 in matching funds for the Broadband Equity, Access, and Deployment program;

(2) Appropriate $95,000,000 in fiscal year 2023-2024 from funds the State received from the Infrastructure Investment and Jobs Act; and

(3) Make unspecified general fund appropriations for the 2023-2025 fiscal biennium to provide additional matching funds for federal broadband-related programs.

Your Committee received testimony in support of this measure from the Office of the Lieutenant Governor; Department of Budget and Finance; Department of Business, Economic Development, and Tourism; University of Hawai‘i System; State Council on Developmental Disabilities; Hawai‘i Primary Care Association; Chamber of Commerce Hawaii; Hawaiian Telcom; and one individual.

Your Committee finds that the coronavirus disease 2019 pandemic revealed that reliable high-speed internet access is not only important for remote learning and remote work, but also critical for telehealth services and commerce. Several federal programs provide significant amounts of funding to states to improve broadband access. Some of these programs, including the Broadband Equity, Access, and Deployment program, require matching funds. Currently, the State must show a twenty-five percent match for the Broadband Equity, Access, and Deployment program, which amounts to matching funds of $33,000,000.

Your Committee further finds that, according to the Department of Budget and Finance, the State is likely to be awarded additional Broadband Equity, Access, and Deployment program funding and will need to demonstrate that additional matching funds are available. This measure includes the known required state match of $33,000,000; $95,000,000 in federal funds; and blank appropriations for the 2023-2025 fiscal biennium for additional matching funds that may be required to access the federal funds.

Your Committee has amended this measure by:

(1) Changing the effective date to June 30, 3000, to encourage further discussion; and

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

Should your Committee on Consumer Protection & Commerce decide to hear this measure, your Committee requests that it consider blanking out the appropriation amounts and inserting the requested amounts into its committee report for consideration by your Committee on Finance.

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. 963, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 963, H.D. 1, and be referred to your Committee on Consumer Protection & Commerce.

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

____________________________

AMY A. PERRUSO, Chair