Report Title:

HTDC; Dual Use Technology Supplemental Grant Fund; Appropriation

 

Description:

Creates dual use technology supplemental grant fund under high technology development corporation.  Appropriates $10,000,000 into the fund.  Appropriates $10,000,000 from the fund for the award of grants by the high technology development corporation.

 


HOUSE OF REPRESENTATIVES

H.B. NO.

1966

TWENTY-FOURTH LEGISLATURE, 2007

 

STATE OF HAWAII

 

 

 

 

 

 

A BILL FOR AN ACT


 

 

relating to high technology.

 

 

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

 


     SECTION 1.  The legislature finds that dual use technology companies in Hawaii are vital to a diversified economy in Hawaii.  Dual use refers to technologies that can be used for both peaceful and military aims.  Dual use small businesses in Hawaii seek to advance innovative concepts and new approaches to technology while fully leveraging existing facilities and military funding.  Poised at the earliest stages of product development, small business dual use companies need public financial support to move their concepts to the next level on the road to commercial success.  Supplemental funding from the State would accelerate vital technology development and commercialization, sustain company infrastructure development, and foster additional employment opportunities for talented scientists and engineers in Hawaii while reducing the risk of failure or the need to move these promising companies to the mainland.

     The purpose of this Act is to provide State financial support to dual use small business companies in Hawaii by establishing a dual use technology supplemental grant fund to be administered by the high technology development corporation.

     SECTION 2.  Chapter 206M, Hawaii Revised Statutes, is amended by adding a new section to be appropriately designated and to read as follows:

     "§206M-     Dual use technology supplemental grant fund; established; rules; report.  (a)  There is established the dual use technology supplemental grant fund within the high technology development corporation.  Moneys in the fund shall be used to award grants to dual use technology companies doing business in the State.  The purposes of the grants are to:

     (1)  Provide accelerated economic development in the fields of science and engineering of defense-related dual use technology by providing supplemental funding to successful research and development projects by dual use technology companies;

     (2)  Provide capital to sustain high-growth new venture company infrastructure development to assist the dual use technology company toward commercial success;

     (3)  Promote high quality, high-income job opportunities for Hawaii's residents and graduates of Hawaii's educational institutions;

     (4)  Reverse the brain drain of Hawaii's students and workers by allowing talented scientists and engineers to remain or return to Hawaii; and

     (5)  Keep high technology companies in Hawaii by limiting the need to seek out-of-state venture capital that dilutes local ownership.

     (b)  The board of the high technology development corporation shall adopt rules in accordance with chapter 91 to implement procedures, including eligibility, application, monitoring, and evaluation for the grant awards under subsection (a).

     (c)  The corporation shall include in its annual reports to the legislature pursuant to section 206M‑3.5, a written report on the deposits, expenditures, annual beginning and ending balances, and any other data that the corporation believes are relevant."

     SECTION 3.  There is appropriated out of the general revenues of the State of Hawaii the sum of $10,000,000 for fiscal year 2007-2008, for deposit into the dual use technology supplemental grant fund under section 206M‑   , Hawaii Revised Statutes.

     SECTION 4.  There is appropriated out of the dual use technology supplemental grant fund the sum of $10,000,000, or so much thereof as may be necessary for fiscal year 2007-2008, for the award of grants under section 206M‑   , Hawaii Revised Statutes.

     The sum appropriated shall be expended by the high technology development corporation for the purposes of this Act.

     SECTION 5.  New statutory material is underscored.

     SECTION 6.  This Act shall take effect upon its approval, except that sections 3 and 4 shall take effect on July 1, 2007.

 

INTRODUCED BY:

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