Relating To The Hawaii Technology Development Corporation.
Summary
SB1330 amends several provisions governing the Hawaii Technology Development Corporation’s grant programs. First, it increases the maximum grant available to businesses applying for federal Small Business Innovation Research (SBIR) and Small Business Technology Transfer (STTR) assistance from $3,000 to $6,000. These grants help Hawaii businesses pursue or secure federal innovation awards, including Phase I, II, and certain Phase III awards, with the bill preserving the existing percentage-based support tied to federal award amounts.
The bill also revises the Manufacturing Development Program. It clarifies that grant funds may be used not only for purchasing equipment, employee training, energy-efficiency improvements, and planning a new facility, but also for purchasing renewable energy technology systems, including photovoltaic systems, to reduce manufacturing energy costs. It further specifies that training on both new and existing manufacturing equipment is eligible. In addition, the bill bars a taxpayer from claiming the renewable energy tax credit for any system purchased in whole or in part with a manufacturing development grant, preventing a double benefit.
Impact
SB1330 would directly amend sections 206M-15, 206M-15.1, and 235-12.5 of the Hawaii Revised Statutes. Its practical effect is to expand and clarify state grant eligibility for small businesses and manufacturers, increase the application-assistance cap for SBIR/STTR applicants, and add renewable energy systems as an eligible manufacturing grant expense while coordinating the grant program with the state renewable energy tax credit law. The bill would affect Hawaii businesses seeking innovation funding, manufacturers investing in equipment or energy-cost reductions, and taxpayers claiming renewable energy credits.
Sentiment
The bill appears generally supportive of business development, innovation, manufacturing modernization, and clean energy adoption. The stated purpose and report description frame it as a technical and programmatic update that increases assistance for small businesses and manufacturers while clarifying eligible uses of grant funds. No committee transcripts or recorded votes were provided, so there is no documented opposition or support beyond the bill’s text and description.
Contention
The main policy issue is the interaction between grant funding and the renewable energy tax credit. The bill explicitly denies the credit for systems purchased with manufacturing development grants, which suggests concern about duplicative public subsidies. Another possible point of discussion is the increase in grant caps and the expansion of eligible expenses, which could raise questions about program cost, fund availability, and whether the Hawaii Technology Development Corporation has sufficient resources to meet demand. No specific objections or named opponents are available in the provided materials.
Relating to a prohibition on governmental contracts with companies of foreign adversaries for certain information and communications technology; authorizing a civil penalty; creating a criminal offense.