STAND. COM. REP. NO.  36

 

Honolulu, Hawaii

                , 2015

 

RE:   H.B. No. 771

      H.D. 1

 

 

 

 

Honorable Joseph M. Souki

Speaker, House of Representatives

Twenty-Eighth State Legislature

Regular Session of 2015

State of Hawaii

 

Sir:

 

     Your Committee on Economic Development & Business, to which was referred H.B. No. 771 entitled:

 

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

 

begs leave to report as follows:

 

     The purpose of this measure is to assist small business owners in Hawaii by providing an alternative means of financing the establishment or expansion of a small business.  Specifically, this bill:

 

     (1)  Reenacts the Hawaii Capital Loan Revolving Fund (Fund);

 

     (2)  Appropriates $2,000,000 into the Fund; and

 

     (3)  Appropriates $100,000 for the establishment of one full-time equivalent permanent program manager position within the Department of Business, Economic Development, and Tourism to administer the Fund.

 

     The Chamber of Commerce of Hawaii testified in support of this bill.  The Department of Business, Economic Development, and Tourism testified in support of the intent of this measure.

 

     Small businesses often encounter difficulties in obtaining business loans through a commercial bank.  This lack of capital is one of the top barriers individuals face in attempting to start a small business or attempting to expand their existing business.  Your Committee finds that the reestablishment of the Fund may provide, as a last resort, an alternative means of financing the establishment or expansion of a small business in Hawaii.

 

     Your Committee has amended this measure by changing the amounts of the appropriations to unspecified amounts.

 

     Should the Committee on Finance deliberate this measure further, your Committee respectfully requests that it consider appropriating $2,000,000 into the Fund and $100,000 for the permanent program manager position to administer the Fund.

 

     As affirmed by the record of votes of the members of your Committee on Economic Development & Business that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 771, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 771, H.D. 1, and be referred to the Committee on Finance.

 

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

 

 

 

 

____________________________

DEREK S.K. KAWAKAMI, Chair