THE SENATE S.B. NO. 1641 THIRTY-THIRD LEGISLATURE, 2025 S.D. 2 STATE OF HAWAII H.D. 1 A BILL FOR AN ACT RELATING TO THE STATE OF HAWAII FILM COMMISSION. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
THE SENATE S.B. NO. 1641
THIRTY-THIRD LEGISLATURE, 2025 S.D. 2
STATE OF HAWAII H.D. 1
THE SENATE
S.B. NO.
1641
THIRTY-THIRD LEGISLATURE, 2025
S.D. 2
STATE OF HAWAII
H.D. 1
A BILL FOR AN ACT
RELATING TO THE STATE OF HAWAII FILM COMMISSION.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
SECTION 1. Chapter 201, Hawaii Revised Statutes, is amended by adding seven new sections to part IX to be appropriately designated and to read as follows: "§201-A Hawaii film authority; established; purpose. (a) There is established a Hawaii film authority within the department for administrative purposes only. (b) The purpose of the authority shall be to promote and develop the film industries in the State, with a focus on creating jobs, fostering economic development, supporting local cultural productions, and enhancing the State's global competitiveness in the film industries. §201-B Hawaii film authority; powers; duties. (a) The authority shall: (1) Develop and promote infrastructure to support film production; (2) Invest in and manage film studios and production facilities; (3) Collaborate with educational institutions to develop workforce training programs; (4) Partner with local and international film companies to increase production opportunities; and (5) Serve as an assistant producer and invest in local film productions to generate revenues for the State. (b) The authority may: (1) Enter into partnerships to develop film production facilities; (2) Invest in film projects and receive returns from the investments; and (3) Serve as a co-producer or assistant producer in film projects that promote local culture and industry growth. (c) The authority may adopt rules pursuant to chapter 91 to effectuate the purposes of this part except in relation to section 201-115. §201-C Development and support of cultural productions. The authority shall prioritize the development and support of facilities that expand local and cultural film productions. The authority may partner with cultural organizations and provide grants to promote indigenous storytelling. §201-D Hawaii film authority; annual report. The authority shall submit a report of its findings and recommendations, including any proposed legislation, to the legislature no later than twenty days prior to the convening of each regular session, detailing: (1) Progress on strategic objectives; (2) Workforce initiatives, including the development and implementation of the five-year strategic plan required pursuant to section 201-E(b)(1); (3) Tax incentive impacts; and (4) Revenue generated by film production. §201-E Hawaii film authority board; established; responsibilities; composition. (a) There is established within the authority the Hawaii film authority board. (b) The board shall: (1) Develop a five-year film strategic plan integrating workforce development business incentives and infrastructure expansion; (2) Provide policy recommendations on improving tax incentives and diversifying the State's film production industry; (3) Establish partnerships with local and global film industries; (4) Serve as the coordinating agency among state, county, and private entities to streamline the film permitting and production processes; and (5) Foster indigenous storytelling initiatives in collaboration with the State's creative communities. (c) The board shall consist of the following members, subject to section 78-4 as applicable: (1) The director of business, economic development, and tourism, or the director's designee, who shall serve as: (A) Chairperson of the board; and (B) An ex officio, voting member; (2) The chief executive officer of the office of Hawaiian affairs, or the chief executive officer's designee, who shall serve as an ex officio, voting member; provided that the designee shall have expertise in Hawaiian culture; (3) The chairperson of the board of land and natural resources, or the chairperson's designee, who shall serve as an ex officio, nonvoting member; provided that the designee shall have expertise in permitting; (4) One member from the department of education, nominated by the superintendent of education to promote the interests of the film industry's workforce and appointed by the governor pursuant to section 26-34; (5) One member from the university of Hawaii, nominated by the president of the university of Hawaii to promote the interests of the film industry's workforce and appointed by the governor pursuant to section 26-34; (6) One member from a county film office, who shall serve a term of two years in the following order by county: (A) Hawaii; (B) Maui; (C) Oahu; and (D) Kauai; (7) One member nominated by the president of the senate and appointed by the governor pursuant to section 26-34, who shall serve as a nonvoting member; (8) One member nominated by the speaker of the house of representatives and appointed by the governor pursuant to section 26-34, who shall serve as a nonvoting member; (9) Two members representing labor unions that represent members from the film industry, who shall serve a term of two years, appointed by the governor pursuant to section 26-34 from a list of nominees; provided that each labor union in the State that represents members of the film industry shall submit one individual for the list of nominees; and (10) Two members from the film production industry appointed by the governor pursuant to section 26-34 from a list of nominees; provided that the Motion Picture Association, the Hawaii International Film Festival, and each Hawaii-based non-profit film organization shall each submit one individual for the list of nominees; provided that no individual appointed as a member pursuant to paragraphs (6) to (10) shall serve consecutive terms as a member of the board. (d) The chairperson shall select a vice chairperson from among the members. The chairperson may select other leadership positions from among the members as the chairperson deems necessary, including but not limited to treasurer and secretary. §201-F Hawaii film authority; executive director; duties. (a) The board shall appoint an executive director, who shall be exempt from chapter 76, to oversee daily operations of the authority and report to the board. (b) The executive director may hire other administrative personnel necessary to assist in the performance of the authority's duties. (c) The executive director shall: (1) Develop and implement the strategic plan pursuant to section 201-E(b)(1); and (2) Prepare an annual budget and allocate resources to achieve strategic objectives, including coordinating marketing and promotional activities to position the State as a premier filming destination. §201-G Film industry development special fund. (a) There is established in the state treasury the film industry development special fund into which shall be deposited: (1) Appropriations by the legislature; (2) Donations and contributions made by private individuals or organizations for deposit into the film fund; (3) Grants provided by governmental agencies or any other source; (4) All revenues, fees, and charges from the processing of the motion picture, digital media, and film production income tax credit pursuant to section 235-17; and (5) All revenues, fees, and income received by the department from its management of public facilities that support film production and workforce development, excluding the Hawaii film studio. (b) The film fund shall be used by the department for: (1) Film production incentives and development, including programs providing financial support and seed capital for film productions that contribute to the local economy and global visibility of Hawaii; (2) Workforce development, including initiatives that expand the skills and capabilities of Hawaii's resident workforce in film production, digital media, and related technical fields; (3) Industry promotion and marketing, including efforts to attract film production, investment, and business opportunities in Hawaii; and (4) Infrastructure and facility support, including repair, maintenance, and related costs for state-managed public facilities that directly support film industry workforce and business development." SECTION 2. Section 201-111, Hawaii Revised Statutes, is amended to read as follows: "§201-111 Definitions. As used in this part[:], unless the context otherwise requires: "Authority" means the Hawaii film authority. "Board" means the Hawaii film authority board. "Creative industries" means those sectors that comprise Hawaii's creative economy, including [media,] arts, culture, music, design, fashion, publishing, animation, interactive, and emerging [media] industries; provided that "creative industries" shall not include film. "Creative industries fund" means the Hawaii creative industries development special fund. "Department" means the department of business, economic development, and tourism. ["Fund" means the Hawaii film and creative industries development special fund. "Media" means film,] "Film" includes motion pictures, television, interactive, over-the-top television productions, virtual reality, augmented reality and other forms of emerging media, multi-player videogame publishing, and other digitally-developed content for theatrical or digital distribution via streaming, mobile, and broadcast media. "Film fund" means the film industry development special fund." SECTION 3. Section 201-113, Hawaii Revised Statutes, is amended to read as follows: "§201-113 Hawaii [film and] creative industries development special fund. (a) There is established in the state treasury the Hawaii [film and] creative industries development special fund into which shall be deposited: (1) Appropriations by the legislature; (2) Donations and contributions made by private individuals or organizations for deposit into the creative industries fund; (3) Grants provided by governmental agencies or any other source; and [(4) Effective January 2, 2023, all revenues, fees, and charges from the processing of the motion picture, digital media, and film production income tax credit pursuant to section 235-17; and (5)] (4) Effective July 1, 2022, all existing and future revenues, fees, and income received by the department from its management of public facilities that support [media and entertainment workforce and business development, with the exception of the Hawaii film studio.] creative industries. (b) The creative industries fund shall be used by the department to provide for: (1) A program to provide seed capital for [film, media, electronic sports, and] creative industries intellectual property development projects for export, as determined by the department; (2) Programs that expand the skills of the State's resident workforce in the [film, media, and] creative industries; (3) Marketing programs that attract business opportunities in the [film, media, and] creative industries in the State; [and] (4) Repair, maintenance, and related costs of the department's management of public facilities that support [media and entertainment] the creative industries workforce and business development[.]; and (5) The support and development of facilities and other initiatives to grow the State's creative industries." SECTION 4. Section 235-17, Hawaii Revised Statutes, is amended by substituting the term "film industry development special fund", or similar term, wherever the term "Hawaii film and creative industries development special fund", or similar term, appears, as the context requires. SECTION 5. There is appropriated out of the general revenues of the State of Hawaii the sum of $ or so much thereof as may be necessary for fiscal year 2025-2026 for deposit into the film industry development special fund. SECTION 6. There is appropriated out of the film industry development special fund the sum of $ or so much thereof as may be necessary for fiscal year 2025-2026 and the same sum or so much thereof as may be necessary for fiscal year 2026-2027 for the establishment and operation of the Hawaii film authority, including the establishment of: (1) One full-time equivalent (1.0 FTE) executive director of the Hawaii film authority position, who shall be exempt from chapter 76, Hawaii Revised Statutes; and (2) Two full-time equivalent (2.0 FTE) administrative positions to support the Hawaii film authority, who shall be exempt from chapter 76, Hawaii Revised Statutes. The sums appropriated shall be expended by the department of business, economic development, and tourism for the purposes of this Act. SECTION 7. All rights, powers, functions, and duties of the Hawaii film office are transferred to the Hawaii film authority. All employees who occupy civil service positions and whose functions are transferred to the Hawaii film authority by this Act shall retain their civil service status, whether permanent or temporary. Employees shall be transferred without loss of salary, seniority (except as prescribed by applicable collective bargaining agreements), retention points, prior service credit, any vacation and sick leave credits previously earned, and other rights, benefits, and privileges, in accordance with state personnel laws and this Act; provided that the employees possess the minimum qualifications and public employment requirements for the class or position to which transferred or appointed, as applicable; provided further that subsequent changes in status may be made pursuant to applicable civil service and compensation laws. Any employee who, prior to this Act, is exempt from civil service and is transferred as a consequence of this Act may retain the employee's exempt status, but shall not be appointed to a civil service position as a consequence of this Act. An exempt employee who is transferred by this Act shall not suffer any loss of prior service credit, vacation or sick leave credits previously earned, or other employee benefits or privileges as a consequence of this Act; provided that the employees possess legal and public employment requirements for the position to which transferred or appointed, as applicable; provided further that subsequent changes in status may be made pursuant to applicable employment and compensation laws. The director of business, economic development, and tourism may prescribe the duties and qualifications of these employees and fix their salaries without regard to chapter 76, Hawaii Revised Statutes. SECTION 8. All appropriations, records, equipment, machines, files, supplies, contracts, books, papers, documents, maps, and other personal property heretofore made, used, acquired, or held by the Hawaii film office relating to the functions transferred to the Hawaii film authority shall be transferred with the functions to which they relate. SECTION 9. In codifying the new sections added by section 1 of this Act, the revisor of statutes shall substitute appropriate section numbers for the letters used in designating the new sections in this Act. SECTION 10. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored. SECTION 11. This Act shall take effect on July 1, 3000.
SECTION 1. Chapter 201, Hawaii Revised Statutes, is amended by adding seven new sections to part IX to be appropriately designated and to read as follows:
"§201-A Hawaii film authority; established; purpose. (a) There is established a Hawaii film authority within the department for administrative purposes only.
(b) The purpose of the authority shall be to promote and develop the film industries in the State, with a focus on creating jobs, fostering economic development, supporting local cultural productions, and enhancing the State's global competitiveness in the film industries.
§201-B Hawaii film authority; powers; duties. (a) The authority shall:
(1) Develop and promote infrastructure to support film production;
(2) Invest in and manage film studios and production facilities;
(3) Collaborate with educational institutions to develop workforce training programs;
(4) Partner with local and international film companies to increase production opportunities; and
(5) Serve as an assistant producer and invest in local film productions to generate revenues for the State.
(b) The authority may:
(1) Enter into partnerships to develop film production facilities;
(2) Invest in film projects and receive returns from the investments; and
(3) Serve as a co-producer or assistant producer in film projects that promote local culture and industry growth.
(c) The authority may adopt rules pursuant to chapter 91 to effectuate the purposes of this part except in relation to section 201-115.
§201-C Development and support of cultural productions. The authority shall prioritize the development and support of facilities that expand local and cultural film productions. The authority may partner with cultural organizations and provide grants to promote indigenous storytelling.
§201-D Hawaii film authority; annual report. The authority shall submit a report of its findings and recommendations, including any proposed legislation, to the legislature no later than twenty days prior to the convening of each regular session, detailing:
(1) Progress on strategic objectives;
(2) Workforce initiatives, including the development and implementation of the five-year strategic plan required pursuant to section 201-E(b)(1);
(3) Tax incentive impacts; and
(4) Revenue generated by film production.
§201-E Hawaii film authority board; established; responsibilities; composition. (a) There is established within the authority the Hawaii film authority board.
(b) The board shall:
(1) Develop a five-year film strategic plan integrating workforce development business incentives and infrastructure expansion;
(2) Provide policy recommendations on improving tax incentives and diversifying the State's film production industry;
(3) Establish partnerships with local and global film industries;
(4) Serve as the coordinating agency among state, county, and private entities to streamline the film permitting and production processes; and
(5) Foster indigenous storytelling initiatives in collaboration with the State's creative communities.
(c) The board shall consist of the following members, subject to section 78-4 as applicable:
(1) The director of business, economic development, and tourism, or the director's designee, who shall serve as:
(A) Chairperson of the board; and
(B) An ex officio, voting member;
(2) The chief executive officer of the office of Hawaiian affairs, or the chief executive officer's designee, who shall serve as an ex officio, voting member; provided that the designee shall have expertise in Hawaiian culture;
(3) The chairperson of the board of land and natural resources, or the chairperson's designee, who shall serve as an ex officio, nonvoting member; provided that the designee shall have expertise in permitting;
(4) One member from the department of education, nominated by the superintendent of education to promote the interests of the film industry's workforce and appointed by the governor pursuant to section 26-34;
(5) One member from the university of Hawaii, nominated by the president of the university of Hawaii to promote the interests of the film industry's workforce and appointed by the governor pursuant to section 26-34;
(6) One member from a county film office, who shall serve a term of two years in the following order by county:
(A) Hawaii;
(B) Maui;
(C) Oahu; and
(D) Kauai;
(7) One member nominated by the president of the senate and appointed by the governor pursuant to section 26-34, who shall serve as a nonvoting member;
(8) One member nominated by the speaker of the house of representatives and appointed by the governor pursuant to section 26-34, who shall serve as a nonvoting member;
(9) Two members representing labor unions that represent members from the film industry, who shall serve a term of two years, appointed by the governor pursuant to section 26-34 from a list of nominees; provided that each labor union in the State that represents members of the film industry shall submit one individual for the list of nominees; and
(10) Two members from the film production industry appointed by the governor pursuant to section 26-34 from a list of nominees; provided that the Motion Picture Association, the Hawaii International Film Festival, and each Hawaii-based non-profit film organization shall each submit one individual for the list of nominees;
provided that no individual appointed as a member pursuant to paragraphs (6) to (10) shall serve consecutive terms as a member of the board.
(d) The chairperson shall select a vice chairperson from among the members. The chairperson may select other leadership positions from among the members as the chairperson deems necessary, including but not limited to treasurer and secretary.
§201-F Hawaii film authority; executive director; duties. (a) The board shall appoint an executive director, who shall be exempt from chapter 76, to oversee daily operations of the authority and report to the board.
(b) The executive director may hire other administrative personnel necessary to assist in the performance of the authority's duties.
(c) The executive director shall:
(1) Develop and implement the strategic plan pursuant to section 201-E(b)(1); and
(2) Prepare an annual budget and allocate resources to achieve strategic objectives, including coordinating marketing and promotional activities to position the State as a premier filming destination.
§201-G Film industry development special fund. (a) There is established in the state treasury the film industry development special fund into which shall be deposited:
(1) Appropriations by the legislature;
(2) Donations and contributions made by private individuals or organizations for deposit into the film fund;
(3) Grants provided by governmental agencies or any other source;
(4) All revenues, fees, and charges from the processing of the motion picture, digital media, and film production income tax credit pursuant to section 235-17; and
(5) All revenues, fees, and income received by the department from its management of public facilities that support film production and workforce development, excluding the Hawaii film studio.
(b) The film fund shall be used by the department for:
(1) Film production incentives and development, including programs providing financial support and seed capital for film productions that contribute to the local economy and global visibility of Hawaii;
(2) Workforce development, including initiatives that expand the skills and capabilities of Hawaii's resident workforce in film production, digital media, and related technical fields;
(3) Industry promotion and marketing, including efforts to attract film production, investment, and business opportunities in Hawaii; and
(4) Infrastructure and facility support, including repair, maintenance, and related costs for state-managed public facilities that directly support film industry workforce and business development."
SECTION 2. Section 201-111, Hawaii Revised Statutes, is amended to read as follows:
"§201-111 Definitions. As used in this part[:], unless the context otherwise requires:
"Authority" means the Hawaii film authority.
"Board" means the Hawaii film authority board.
"Creative industries" means those sectors that comprise Hawaii's creative economy, including [media,] arts, culture, music, design, fashion, publishing, animation, interactive, and emerging [media] industries; provided that "creative industries" shall not include film.
"Creative industries fund" means the Hawaii creative industries development special fund.
"Department" means the department of business, economic development, and tourism.
["Fund" means the Hawaii film and creative industries development special fund.
"Media" means film,]
"Film" includes motion pictures, television, interactive, over-the-top television productions, virtual reality, augmented reality and other forms of emerging media, multi-player videogame publishing, and other digitally-developed content for theatrical or digital distribution via streaming, mobile, and broadcast media.
"Film fund" means the film industry development special fund."
SECTION 3. Section 201-113, Hawaii Revised Statutes, is amended to read as follows:
"§201-113 Hawaii [film and] creative industries development special fund. (a) There is established in the state treasury the Hawaii [film and] creative industries development special fund into which shall be deposited:
(1) Appropriations by the legislature;
(2) Donations and contributions made by private individuals or organizations for deposit into the creative industries fund;
(3) Grants provided by governmental agencies or any other source; and
[(4) Effective January 2, 2023, all revenues, fees, and charges from the processing of the motion picture, digital media, and film production income tax credit pursuant to section 235-17; and
(5)] (4) Effective July 1, 2022, all existing and future revenues, fees, and income received by the department from its management of public facilities that support [media and entertainment workforce and business development, with the exception of the Hawaii film studio.] creative industries.
(b) The creative industries fund shall be used by the department to provide for:
(1) A program to provide seed capital for [film, media, electronic sports, and] creative industries intellectual property development projects for export, as determined by the department;
(2) Programs that expand the skills of the State's resident workforce in the [film, media, and] creative industries;
(3) Marketing programs that attract business opportunities in the [film, media, and] creative industries in the State; [and]
(4) Repair, maintenance, and related costs of the department's management of public facilities that support [media and entertainment] the creative industries workforce and business development[.]; and
(5) The support and development of facilities and other initiatives to grow the State's creative industries."
SECTION 4. Section 235-17, Hawaii Revised Statutes, is amended by substituting the term "film industry development special fund", or similar term, wherever the term "Hawaii film and creative industries development special fund", or similar term, appears, as the context requires.
SECTION 5. There is appropriated out of the general revenues of the State of Hawaii the sum of $ or so much thereof as may be necessary for fiscal year 2025-2026 for deposit into the film industry development special fund.
SECTION 6. There is appropriated out of the film industry development special fund the sum of $ or so much thereof as may be necessary for fiscal year 2025-2026 and the same sum or so much thereof as may be necessary for fiscal year 2026-2027 for the establishment and operation of the Hawaii film authority, including the establishment of:
(1) One full-time equivalent (1.0 FTE) executive director of the Hawaii film authority position, who shall be exempt from chapter 76, Hawaii Revised Statutes; and
(2) Two full-time equivalent (2.0 FTE) administrative positions to support the Hawaii film authority, who shall be exempt from chapter 76, Hawaii Revised Statutes.
The sums appropriated shall be expended by the department of business, economic development, and tourism for the purposes of this Act.
SECTION 7. All rights, powers, functions, and duties of the Hawaii film office are transferred to the Hawaii film authority.
All employees who occupy civil service positions and whose functions are transferred to the Hawaii film authority by this Act shall retain their civil service status, whether permanent or temporary. Employees shall be transferred without loss of salary, seniority (except as prescribed by applicable collective bargaining agreements), retention points, prior service credit, any vacation and sick leave credits previously earned, and other rights, benefits, and privileges, in accordance with state personnel laws and this Act; provided that the employees possess the minimum qualifications and public employment requirements for the class or position to which transferred or appointed, as applicable; provided further that subsequent changes in status may be made pursuant to applicable civil service and compensation laws.
Any employee who, prior to this Act, is exempt from civil service and is transferred as a consequence of this Act may retain the employee's exempt status, but shall not be appointed to a civil service position as a consequence of this Act. An exempt employee who is transferred by this Act shall not suffer any loss of prior service credit, vacation or sick leave credits previously earned, or other employee benefits or privileges as a consequence of this Act; provided that the employees possess legal and public employment requirements for the position to which transferred or appointed, as applicable; provided further that subsequent changes in status may be made pursuant to applicable employment and compensation laws. The director of business, economic development, and tourism may prescribe the duties and qualifications of these employees and fix their salaries without regard to chapter 76, Hawaii Revised Statutes.
SECTION 8. All appropriations, records, equipment, machines, files, supplies, contracts, books, papers, documents, maps, and other personal property heretofore made, used, acquired, or held by the Hawaii film office relating to the functions transferred to the Hawaii film authority shall be transferred with the functions to which they relate.
SECTION 9. In codifying the new sections added by section 1 of this Act, the revisor of statutes shall substitute appropriate section numbers for the letters used in designating the new sections in this Act.
SECTION 10. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.
SECTION 11. This Act shall take effect on July 1, 3000.
Report Title: DBEDT; Hawaii Film Authority; Hawaii Film Authority Board; Hawaii Film and Creative Industries Development Special Fund; Workforce Development; Film; Media; Reports; Positions; Appropriations Description: Establishes the Hawaii Film Authority within the Department of Business, Economic Development, and Tourism and transfers the rights, powers, functions, and duties of the Hawaii Film Office to the Authority. Establishes the Hawaii Film Authority Board within the Hawaii Film Authority. Establishes the Film Industry and Development Special Fund. Renames the Hawaii Film and Creative Industries Development Special Fund the Hawaii Creative Industries Development Special Fund and excludes media and film from the definition of creative industries. Allows the Creative Industries Development Special Fund to be used for the support and development of facilities and other initiatives to grow the State's creative industries. Requires annual reports to the Legislature. Appropriates funds. Effective 7/1/3000. (HD1) The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.
Report Title:
DBEDT; Hawaii Film Authority; Hawaii Film Authority Board; Hawaii Film and Creative Industries Development Special Fund; Workforce Development; Film; Media; Reports; Positions; Appropriations
Description:
Establishes the Hawaii Film Authority within the Department of Business, Economic Development, and Tourism and transfers the rights, powers, functions, and duties of the Hawaii Film Office to the Authority. Establishes the Hawaii Film Authority Board within the Hawaii Film Authority. Establishes the Film Industry and Development Special Fund. Renames the Hawaii Film and Creative Industries Development Special Fund the Hawaii Creative Industries Development Special Fund and excludes media and film from the definition of creative industries. Allows the Creative Industries Development Special Fund to be used for the support and development of facilities and other initiatives to grow the State's creative industries. Requires annual reports to the Legislature. Appropriates funds. Effective 7/1/3000. (HD1)
The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.