STAND. COM. REP. NO. 480

                                 Honolulu, Hawaii
                                                   , 1999

                                 RE: H.B. No. 1212
                                     




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

Sir:

     Your Committee on Transportation, to which was referred H.B.
No. 1212 entitled: 

     "A BILL FOR AN ACT MAKING AN APPROPRIATION FOR HONOLULU
     HARBOR, OAHU,"

begs leave to report as follows:

     The purpose of this bill is to address the needs of the
cruise ship industry, which has experienced a large growth in
Hawaii, and to increase Hawaii's share of the global cruise tour
market.

     Your Committee finds that the cruise ship industry
contributed over $200,000,000 to Hawaii's economy last year with
an area that can accommodate only two ships.  By constructing a
cruise ship passenger terminal at Pier 2 in Honolulu Harbor,
which would then allow a total of five ships to berth, Hawaii's
economy would receive a tremendous boost with an estimated
$1,000,000,000 in-take per year by the year 2004.

     This bill proposes to make an appropriation out of the
revenues of the Harbor Special Fund for the planning, design, and
construction of a cruise ship passenger terminal at Pier 2 at
Honolulu Harbor.

     Testimonies in support of this bill were received from the
Department of Transportation, the Hawaii Community Development
Authority, and the Chamber of Commerce of Hawaii.  Matson
Navigation Company, Inc. submitted testimony in support of the
intent of the bill.

 
                                 STAND. COM. REP. NO. 480
                                 Page 2

 
     As affirmed by the record of votes of the members of your
Committee on Transportation that is attached to this report, your
Committee is in accord with the intent and purpose of H.B. No.
1212 and recommends that it pass Second Reading and be referred
to the Committee on Finance.

                                   Respectfully submitted on
                                   behalf of the members of the
                                   Committee on Transportation,



                                   ______________________________
                                   KENNETH T. HIRAKI, Chair