STAND. COM. REP. NO. 3141

Honolulu, Hawaii

RE: H.B. No. 1959

H.D. 1

S.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Thirty-Second State Legislature

Regular Session of 2024

State of Hawaii

Sir:

Your Committee on Energy, Economic Development, and Tourism, to which was referred H.B. No. 1959, H.D. 1, entitled:

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

begs leave to report as follows:

The purpose and intent of this measure is to make an appropriation to establish a position within the Hawaii Technology Development Corporation to assist the Corporation's aerospace coordinator.

Your Committee received testimony in support of this measure from the Hawaii Technology Development Corporation and Chamber of Commerce Hawaii.

Your Committee finds that the aerospace field has played a pivotal role in expanding and diversifying the national economy by forging new inroads to scientific discovery, advancing national engineering and manufacturing expertise, pioneering innovations in communications and computer technologies, enhancing surveillance, and enabling a better understanding of weather systems and climate change. Your Committee further finds that additional support of the aerospace industry in the State will enable future development and innovation in science and technology.

Your Committee has heard the concerns raised in testimony regarding the ambiguity as to the functions of the position established in this measure and how the establishment of this position will support the Hawaii Technology Development Corporation (HTDC). Your Committee notes that the companion to this measure, S.B No. 2081, S.D. 2 (Regular Session of 2024), which was previously passed by the Senate, also relates to promoting the growth and diversification of the State's aerospace and aeronautics industries through the HTDC. Your Committee finds that the language in S.B No. 2081, S.D. 2, is preferable because it comprehensively establishes the Aerospace and Aeronautics Development Program to provide a focal point within the state government to facilitate dialogue and coordination among the State's public, private, and academic sectors, and between state-based entities and public and private overseas organizations, to promote and grow Hawaii's aerospace and aeronautics industries.

Accordingly, your Committee has amended this measure by deleting its contents and inserting the contents of S.B No. 2081, S.D. 2, a measure that:

(1) Establishes the Aerospace and Aeronautics Development Program within the Department of Business, Economic Development, and Tourism; and

(2) Inserts an effective date of January 1, 2060.

As affirmed by the record of votes of the members of your Committee on Energy, Economic Development, and Tourism that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 1959, H.D. 1, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 1959, H.D. 1, S.D. 1, and be referred to your Committee on Ways and Means.

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

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LYNN DECOITE, Chair