STAND. COM. REP. NO.  950-16


Honolulu, Hawaii

                , 2016


RE:   H.B. No. 2486

      H.D. 3




Honorable Joseph M. Souki

Speaker, House of Representatives

Twenty-Eighth State Legislature

Regular Session of 2016

State of Hawaii




     Your Committee on Finance, to which was referred H.B. No. 2486, H.D. 2, entitled:




begs leave to report as follows:


     The purpose of this measure is to stimulate economic development and job growth on the western end of the Island of Oahu by establishing the Kapolei Jobs Initiative Program that offers an income tax credit as a tax incentive to increase the number of businesses willing to establish or relocate themselves in the Kapolei region.


     The Land Use Research Foundation of Hawaii; Pat Lee & Associates, LLC; Hawaii Laborers-Employers Cooperation and Education Trust; Pacific Resource Partnership; James Campbell Company LLC; Palehua Townhouse Association; and numerous individuals testified in support of this measure.  The Department of Taxation; Department of Labor and Industrial Relations; Department of Business, Economic Development, and Tourism; Tax Foundation of Hawaii; Hawaii Operating Engineers Industry Stabilization Fund; Chamber of Commerce Hawaii; Avalon Group; Chuck E. Cheese's Pizza; Kapolei Chamber of Commerce; Hawaii Carpenters Apprenticeship and Training Fund; and four individuals provided comments.

     Your Committee has amended this measure by:


     (1)  Changing various percentages to unspecified amounts;


     (2)  Changing its effective date to February 19, 2030, to facilitate further discussion; and


     (3)  Making technical, nonsubstantive amendments for clarity, consistency, and style.


     As affirmed by the record of votes of the members of your Committee on Finance that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 2486, H.D. 2, as amended herein, and recommends that it pass Third Reading in the form attached hereto as H.B. No. 2486, H.D. 3.


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