Bill Text: HI SB770 | 2011 | Regular Session | Introduced

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Bill Title: Construction Task Force (2010); Tax Credit; Enterprise Zones; Eligible Business Activity

Spectrum: Partisan Bill (Democrat 4-0)

Status: (Introduced - Dead) 2011-02-02 - (S) The committee(s) on EDT recommend(s) that the measure be HELD. The votes in EDT were as follows: 5 Aye(s): Senator(s) Fukunaga, Wakai, Baker, Solomon, Slom; Aye(s) with reservations: none ; 0 No(es): none; and 0 Excused: none. [SB770 Detail]

Download: Hawaii-2011-SB770-Introduced.html

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THE SENATE	S.B. NO.	770
TWENTY-SIXTH LEGISLATURE, 2011
STATE OF HAWAII

A BILL FOR AN ACT

 

 

relating to ENTERPRISE ZONES.

 

 

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

 

     SECTION 1.  Senate Concurrent Resolution No. 132, S.D. 1 (2009), established a task force to determine the economic contributions of the construction industry in Hawaii and to develop a series of proposals for state actions to preserve and create new jobs in the local construction industry.  This Act implements one of the task force's proposals in conjunction with the Abercrombie administration's support for state actions to create new jobs in Hawaii's construction industry.

     In addition, in 2010, the senate committee on economic development and technology and the house committee on economic revitalization, business, and military affairs convened an informal small business discussion group to address the most critical issues facing the small business sectors within Hawaii's economy.  Representatives from the Chamber of Commerce of Hawaii, construction and trades industries, community nonprofits, the agricultural sector, food and restaurant industries, retailing, the science and technology sector, the commercial transportation industry, and interested stakeholders developed a package of bills that address the most pressing problems facing Hawaii's small business community.

     The purpose of this Act is to support the findings of the small business working group and the recommendations proposed by the construction industry task force to broaden the scope of the State's existing enterprise zones law so that it will further encourage private sector investment to begin projects that will lead to the construction, development, or rehabilitation of new or existing buildings or structures in those designated enterprise zones.

     SECTION 2.  Section 209E-2, Hawaii Revised Statutes, is amended as follows:

     1.  By adding two new definitions to read:

     ""Historic property" means a building or structure that is:

     (1)  Over fifty years old; and

     (2)  Listed on the national register of historic places or the Hawaii register of historic places.

     "Multi-family dwelling" means any building or structure for sale, lease, or rent that provides shelter for more than two dwellings."

     2.  By amending the definition of "eligible business activity" to read:

     ""Eligible business activity" means the:

     (1)  Manufacture of tangible personal property, the wholesale sale of tangible personal property as described in section 237-4, or a service business as defined in this section;

     (2)  Production of agricultural products where the business is a producer as defined in section 237-5, or the processing of agricultural products, all or some of which were grown within an enterprise zone;

     (3)  Research, development, sale, or production of all types of genetically-engineered medical, agricultural, or maritime biotechnology products; [or]

     (4)  Production of electric power from wind energy for sale primarily to a public utility company for resale to the public[.]; or

     (5)  Construction or remodeling costs associated with the development or rehabilitation of:

         (A)  A new or existing health care facility, as defined in section 323D-2;

         (B)  Historic property;

         (C)  A new or existing single family residence; or

         (D)  A multi-family dwelling."

     SECTION 3.  Section 209E-4, Hawaii Revised Statutes, is amended by amending subsection (b) to read as follows:

     "(b)  The governor, upon the recommendation of the director, shall approve the designation of up to [six] twelve areas in each county as enterprise zones for a period of twenty years.  Any such area shall be located in one United States census tract or two or more contiguous United States census tracts in accordance with the most recent decennial United States Census.  The census tract or tracts within which each enterprise zone is located also shall meet at least one of the following criteria:

     (1)  Twenty-five per cent or more of the population have incomes below eighty per cent of the median family income of the county; or

     (2)  The unemployment rate is 1.5 times the state average."

     SECTION 4.  Statutory material to be repealed is bracketed and stricken.  New statutory material is underscored.

     SECTION 5.  This Act shall take effect upon its approval.

 

INTRODUCED BY:	_____________________________

 

 

Report Title:

Construction Task Force (2010); Tax Credit; Enterprise Zones; Eligible Business Activity

 

Description:

Amends the definition of an eligible business activity under the State enterprise zones law and increases the number of areas in each county that may be designated as an enterprise zone.

 

 

 

The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.