STAND. COM. REP. NO. 395

                                   Honolulu, Hawaii
                                                     , 1999

                                   RE:  S.B. No. 35
                                        




Honorable Norman Mizuguchi
President of the Senate
Twentieth State Legislature
Regular Session of 1999
State of Hawaii

Sir:

     Your Committee on Water, Land, and Hawaiian Affairs, to
which was referred S.B. No. 35 entitled: 

     "A BILL FOR AN ACT MAKING AN APPROPRIATION TO MATCH FEDERAL
     FUNDS FOR THE HAWAII FORESTRY AND COMMUNITIES INITIATIVE,"

begs leave to report as follows:

     The purpose of this measure is to appropriate funds to match
federal funds for the Hawaii Forestry and Communities Initiative.

     Testimony in support of the measure was received from the
Departments of Land and Natural Resources, Agriculture, Hawaiian
Home Lands, and Labor and Industrial Relations, the University of
Hawaii's College of Tropical Agriculture and Human Resources, the
Hawaii Agriculture Research Center, the Nature Conservancy of
Hawaii, the Hawaii Farm Bureau, the Big Island Farm Bureau, the
Hawaii Society of American Foresters, the Hawaii Forest Industry
Association, and two concerned private citizens.

     Your Committee finds that according to the Department of
Land and Natural Resources, Hawaii's forest industry is a
productive, value adding industry that generates net revenues of
$29,000,000, and employs over eight hundred people.  Through the
Hawaii Forestry and Communities Initiative program, the State has
the opportunity to assist the private sector in expanding the
forest industry, not only by leasing state land for such
activities, but also with job training and helping with
inventory, marketing, and research.


 
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                                   STAND. COM. REP. NO. 395
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     Your Committee believes that supporting the Hawaii Forestry
and Communities Initiative will play an important role in
bringing focus and direction to the State's forest industry.

     As affirmed by the record of votes of the members of your
Committee on Water, Land, and Hawaiian Affairs that is attached
to this report, your Committee is in accord with the intent and
purpose of S.B. No. 35 and recommends that it pass Second Reading
and be referred to the Committee on Ways and Means.

                                   Respectfully submitted on
                                   behalf of the members of the
                                   Committee on Water, Land, and
                                   Hawaiian Affairs,



                                   ______________________________
                                   COLLEEN HANABUSA, Chair

 
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