Hawaii-2014-SB2624-Amended

THE SENATE	S.B. NO.	2624
TWENTY-SEVENTH LEGISLATURE, 2014		S.D. 1
STATE OF HAWAII

A BILL FOR AN ACT

RELATING TO THE HAWAII HIGH IMPACT CENTER FOR COMMERCIALIZATION.

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

SECTION 1. The legislature finds that to be successful in the twenty-first century global economy, the State must be a leader in science, technology development, technology transfer, and commercialization. Innovation in these fields will enable the State to succeed in the global marketplace and support the State's sustainable economic development goals. In recent years, the State has made significant progress through programs supported by federal and state initiatives, but more growth is necessary to advance the technology industry in order to support local manufacturing and technology commercialization.

The purpose of this Act is to build on the State's successful science and technology industries and establish the Hawaii high impact center for commercialization, a program to support the State's small businesses in the fields of dual-use technology, innovative agriculture development, molecular manufacturing, humanitarian assistance, and disaster management and response.

SECTION 2. Chapter 304A, Hawaii Revised Statutes, is amended by adding a new section to be appropriately designated and to read as follows:

"§304A- Hawaii high impact center for commercialization. (a) There is established the Hawaii high impact center for commercialization, to be placed in the University of Hawaii's office of the vice president for research and innovation for administrative purposes; provided that the center may incorporate as an independent nonprofit corporation to further its objectives. The purposes of the center shall be to:

(1) Support the State's small businesses in the fields of dual-use technology, innovative agriculture development, molecular manufacturing, humanitarian assistance, and disaster management and response;

(2) Develop, implement, and operate a comprehensive technology transfer and commercialization system to support the State's technology industry;

(3) Include a manufacturing readiness program which shall enable the State's science and technology sector to prepare for manufacturing, sales, and services;

(4) Provide capital to support accelerated commercialization activities in the fields of dual-use technology, innovative agriculture development, molecular manufacturing, humanitarian assistance, and disaster management and response;

(5) Provide capital to sustain high-potential business infrastructure development to assist enterprises toward commercial success;

(6) Promote high-quality, high-income job opportunities for the State's residents and graduates of the State's educational institutions;

(7) Provide livable-wage jobs to encourage talented scientists and engineers to return home to the State; and

(8) Keep high technology companies in the State by limiting the need to seek out-of-state venture capital, which dilutes local ownership.

(b) If the center incorporates, to receive state funds, the center shall:

(1) Be licensed or accredited in accordance with federal, state, or county laws, rules, or ordinances to conduct the activities or provide the services for which the funds are appropriated;

(2) Comply with all applicable federal and state laws prohibiting discrimination against any person on the basis of race, color, national origin, religion, creed, sex, age, sexual orientation, disability, or other protected class;

(3) Agree not to use state funds for entertainment or lobbying activities;

(4) Be incorporated pursuant to chapter 414D;

(5) Be designated by the Internal Revenue Service as a tax-exempt organization;

(6) Maintain bylaws or policies that describe the manner in which the activities or services shall be conducted or provided, for which a grant or subsidy is awarded; and

(7) Include only members on the governing board of directors who have no material conflict of interest and who shall serve without compensation.

(c) The center shall seek, receive, and accept from public and private sources located in or out of the United States, the following: grants, gifts, devises, bequests, or any other money or property, real, personal or mixed, tangible or intangible, absolutely or in trust, to be used in carrying out the purposes of the center."

SECTION 3. New statutory material is underscored.

SECTION 4. This Act shall take effect upon its approval.