STAND. COM. REP. NO. 1275-26

Honolulu, Hawaii

, 2026

RE: S.B. No. 2908

S.D. 1

H.D. 1

Honorable Nadine K. Nakamura

Speaker, House of Representatives

Thirty-Third State Legislature

Regular Session of 2026

State of Hawaii

Madame:

Your Committee on Economic Development & Technology, to which was referred S.B. No. 2908, S.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO PERMITTING,"

begs leave to report as follows:

The purpose of this measure is to:

(1) Require the Department of Business, Economic Development, and Tourism to develop a statewide permitting intake platform; and

(2) Appropriate funds for the development of the platform, subject to a matching funds requirement from the counties.

Your Committee received testimony in support of this measure from the Office of Hawaiian Affairs; Retail Merchants of Hawaiʻi; Hawaii Food Industry Association; Holomua Collaborative; Chamber of Commerce Hawaii; Maui Chamber of Commerce; and one individual. Your Committee received testimony in opposition to this measure from the American Institute of Architects, Hawaiʻi State Council. Your Committee received comments on this measure from the Office of Planning and Sustainable Development.

Your Committee finds that the Simplifying Permitting for Enhanced Economic Development (SPEED) Task Force was established pursuant to Act 133, Session Laws of Hawaii 2025, to identify actions taken, challenges encountered, and legislative measures needed to facilitate, expedite, and coordinate state and intergovernmental permitting processes. Your Committee further finds that in the SPEED Task Force's December 2025 Final Report, it identified incomplete and incorrect submissions, misrouted applications, and poor-quality plans as a major source of delay in the permitting process. The SPEED Task Force recommended the development of a digital system or intake portal that could be used to prevent the submission of incomplete applications and standardize data across jurisdictions.

Your Committee further finds that the companion to this measure, H.B. No. 1968, H.D. 1 (Regular Session of 2026), was previously passed by your Committee.

Your Committee has amended this measure by deleting its contents and inserting the contents of H.B. No. 1968, H.D. 1, a measure that:

(1) Requires and appropriates funds for the Department of Business, Economic Development, and Tourism, in collaboration with a county selected by the Department, to develop an artificial intelligence-assisted pre-compliance intake pilot platform, subject to a matching funds requirement for the county; and

(2) Requires the Department of Business, Economic Development, and Tourism to develop a policy or metric to measure the success of the pilot platform.

Your Committee respectfully requests your Committee on Finance, should it deliberate on this measure, to consider an appropriation amount of $25,000 for the artificial intelligence-assisted pre-compliance intake pilot platform, with $25,000 in matching funds.

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. 2908, S.D. 1, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 2908, S.D. 1, H.D. 1, and be referred to your Committee on Water & Land.

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

____________________________

GREGGOR ILAGAN, Chair