STAND. COM. REP. NO. 349________

                                 Honolulu, Hawaii
                                                   , 1999

                                 RE: H.B. No. 677
                                     H.D. 1




Honorable Calvin K.Y. Say
Speaker, House of Representatives
Twentieth State Legislature
Regular Session of 1999
State of Hawaii

Sir:

     Your Committees on Energy and Environmental Protection,
Ocean Recreation and Marine Resources, and Higher Education, to
which was referred H.B. No. 677 entitled: 

     "A BILL FOR AN ACT RELATING TO AN OCEAN FLOATING, ALL-
     NATURAL CLEAN ENERGY POWER STATION,"

beg leave to report as follows:

     The purpose of this bill is to continue to support renewable
energy efforts by appropriating funds to study the feasibility of
constructing and operating an ocean floating, all-natural clean
energy power station.

     In 1997, the Legislature appropriated $50,000 for the Hawaii
Natural Energy Institute (HNEI) to develop a strategic plan to
design and build a sustainable resource floating platform through
sponsorship of a workshop known as the International Ocean
Alliance Summit.  Conferees agreed on the need to produce a first
phase engineering analysis report.  This document will be used to
obtain international cost matching for the design and
construction of an appropriate marine facility.

     Two individuals testified in support of this measure.  The
Department of Business, Economic Development, and Tourism
supported the intent of this bill but deferred to the University
of Hawaii (UH) with respect to the appropriation.  Makai Ocean
Engineering, Inc. and UH's HNEI and Environmental Center
commented on the bill.  


 
 
                                 STAND. COM. REP. NO. 349________
                                 Page 2

 
     Your Committees have amended this bill by:

     (1)  Reducing the appropriation to $1 for continued
          discussion; and

     (2)  Requiring a progress report from UH prior to the
          Regular Session of 2000.

     Your Committees respectfully request the Committee on
Finance to determine the appropriate expending agency for this
project.

     Finally, it is your Committees' intent to support efforts to
recognize the contributions of the late Dennis Toyomura in
spearheading this worthwhile undertaking by dedicating the power
station in his name.

     As affirmed by the records of votes of the members of your
Committees on Energy and Environmental Protection, Ocean
Recreation and Marine Resources, and Higher Education that are
attached to this report, your Committees are in accord with the
intent and purpose of H.B. No. 677, as amended herein, and
recommend that it pass Second Reading in the form attached hereto
as H.B. No. 677, H.D. 1, and be referred to the Committee on
Finance.

                                   Respectfully submitted on
                                   behalf of the members of the
                                   Committees on Energy and
                                   Environmental Protection and
                                   Ocean Recreation and Marine
                                   Resources and Higher
                                   Education,

                                   
                                   
                                   
                                   
                                   ______________________________
                                   HERMINA M. MORITA, Chair
                                   
                                   
                                   
                                   
______________________________     ______________________________
DAVID MORIHARA, Chair              ROY M. TAKUMI, Chair