HAWAI‘I INNOVATION INITIATIVE BILLS MOVE FORWARD

For Immediate Release:  February 15, 2007

HONOLULU – Governor Linda Lingle today said she is encouraged by the broad support the public and the Legislature have given to the Administration’s Hawai‘i Innovation Initiative as the four major bills that encompass this important initiative met a key legislative deadline. 

All bills introduced this legislative session have until Friday, Feb. 16 to meet the first internal deadline in the legislative process called the First Lateral, when they must move to their final referral committee. 

The four components of the Innovation Initiative – Innovation in the Economy, Innovation in Education, Innovation in Workforce Development and Linking Hawai‘i to the Global Economy – have passed out of key committees with amendments.  In some cases, language from the Administration’s bills were taken directly and inserted into other related bills, which have also advanced. 

The four Innovation bills, most of which were referred to two or three different committees, are currently before their appropriate money committees – the Senate Committee on Ways and Means or the House Committee on Finance. 

The Hawai‘i Innovation Initiative bills, which are designed to help raise the standard of living for everyone in Hawai‘i, while decreasing over reliance on land development as the foundation of the state’s economy, received overwhelming support from the community and favorable response from lawmakers during committee hearings.  Governor Lingle personally testified on each of the measures before multiple committees to outline how each ties together and will help shift Hawai‘i’s economic future to one based on developing the state’s human resources and innovation capacity. 

“I appreciate the various Senate and House committees holding hearings on the four Hawai‘i Innovation Initiative bills and providing the public an opportunity to participate in the dialogue on how we as a community can work together to increase the innovation capacity of our residents, invigorate our economy and raise the standard of living for all of our people,” said Governor Lingle.  “I am encouraged by the public’s strong response to the Hawai‘i Innovation Initiative, as evidenced by the positive support in the written testimony and the number and diversity of people who are taking the time to testify in favor of these important measures.”

The Innovation Economy (SB1365 and HB1279)

The Senate Economic Development and Taxation Committee approved SB1365 (Relating to the Innovation Economy) with amendments.  Portions of this bill were inserted into other bills.  The House companion bill (HB1279) was approved with amendments by the House Committees on Economic Development and Business Concerns, Higher Education and Labor and Public Employment.

SB1365 and HB1279 would:

Create the infrastructure and environment in Hawai‘i that encourages the creation of ideas that can be converted to products and services that can be sold in the global market in order to diversify the state’s economy. 

Create a professionally managed investment fund to invest in promising companies in Hawai‘i.  The bill proposes to have the Employees Retirement System (ERS) allocate $100 million for Hawai‘i-related venture capital investments. These investments would be made meeting all of the ERS existing criteria, return targets and standards of prudence.

Support a private-sector-led life sciences and biotech research facility and technology incubator and innovation center in Kaka‘ako.

Establish a digital media center to provide a cohesive and integrated site for developing Hawai‘i’s digital media infrastructure for film and television productions, special effects and interactive game development.

Create a Music Enterprise Learning Experience (MELE) to develop the business and technical production skills required by Hawai‘i’s musical artists to accelerate the growth of Hawai‘i’s music industry worldwide.

Innovation in Education (SB1354 and HB1268)

The Innovation in Education bill (SB1354) was approved with amendments by the Senate Committees on Education and Economic Development and Taxation.  Portions of this bill were placed in other bills.  The House Committees on Education, Higher Education and Economic Development and Business Concerns passed the companion bill (HB1268) with amendments. 

SB1354 and HB1268 would:

Significantly increase the numbers of Hawai‘i secondary school graduates with world-class analytical and problem solving skills developed through science, technology, engineering and math (STEM) education, beginning in middle school and continuing through college.

Provide scholarship incentives for families to make STEM education and career choices; provide opportunities for teachers for additional STEM training.

Significantly increase Hawai‘i secondary school graduates with STEM competencies ready to enter the workforce or to go on to post-secondary education.

Innovation in Workforce Development (SB1366 and HB1280)

The Senate Committee on Economic Development and Taxation passed SB1366 (Relating to Innovation in Workforce Development) with amendments.  On the House side, HB1280 was passed with amendments by the House Committees on Labor and Public Employment and Economic Development and Business Concerns.  Portions of this bill were placed into other bills.

SB1366 and HB1280 would:

Create lifelong learning and skill-building opportunities for workers through the establishment of “Lifelong Learning Accounts” that would enable employees to set aside pre-tax monies, matched by employers, for participation in training programs.

Deploy a Rapid Response Training program to enable quick turnaround of training programs tailored to market-driven skill sets. 

Recruit former residents to return to Hawai‘i for job opportunities utilizing the “Kama‘aina Come Home” program.

Significantly expand and standardize business internship and mentorship programs for secondary school students.

Merge workforce development programs currently under the Department of Labor and Industrial Relations into the Department of Business, Economic Development and Tourism.

Linking Hawai‘i to the Global Economy (SB1367 and HB1281)

The Senate Committees on Transportation and International Affairs and Economic Development and Taxation passed SB1367 (Relating to the Office of International Affairs) with amendments.  On the House side, the Committee on International Affairs inserted the entire language from HB1281 into another bill HB1547 (Relating to the Office of International Affairs) and passed the measure with amendments.

SB1367 and HB1281 would:

Elevate the role of the Office of International Affairs (OIA) to include the facilitation, statewide coordination, and promotion of educational relationships and exchanges with other countries through collaboration with existing international programs and organizations.  The OIA was created by the Legislature two years ago.

Clarify the OIA’s position as the central point of accountability in the state’s international affairs.  

Expand the responsibilities of the OIA to include international education as well as promoting Hawai‘i’s role in international sports. 

Focus on enhancing Hawai‘i’s leadership role in the Asia-Pacific region, including the state’s ability to attract major international conferences and regional headquarters of multi-national businesses and international organizations.

Facilitate international educational links programs such as school excursions and study abroad, with special focus on Hawai‘i’s sister-states.  The OIA would also focus on teacher exchange programs for teachers from Hawai‘i and abroad.

Provide funding to allow the Office of International Affairs to fulfill its mandate to strengthen Hawai‘i’s relations and leadership role in the global environment.

“We appreciate the House and Senate committees advancing the four Hawai‘i Innovation Initiative bills through the legislative process,” said the Governor.  “As we move forward, we encourage the Legislature to pass all elements of the Hawai‘i Innovation Initiative.  Together, these measures are designed to build the foundation to create a higher standard of living, while preserving the things that make Hawai‘i special.”

####
For more information, contact:
Ted Liu
Director, DBEDT
Phone: (808) 586-2355

Lenny Klompus
Senior Advisor – Communications
Phone: (808) 586-7708

Russell Pang