HI SCR142

Urges the Governor and United States Foreign-Trade Zones Board to develop and establish a Foreign Trade Zone licensed to the Office of Hawaiian Affairs at certain Kakaako Makai parcels conveyed to OHA under Act 15, Session Laws of Hawaii 2012.

Identifies Foreign Trade Zones as an economic development opportunity to generate revenue and increase the value of native Hawaiian trusts through international trade and commerce activities.

Highlights Foreign Trade Zone benefits including deferral of customs duties on foreign merchandise, tariff optimization for manufacturers, avoidance of import quota restrictions, and reduced security and insurance costs.

Notes Foreign Trade Zone advantages such as drawback refunds of up to 99 percent on duties paid for exported components, avoidance of bonded warehouse limitations, and exemption from state and local ad valorem taxes until goods enter U.S. customs territory.

Directs transmission of certified copies to the Governor, Chair of OHA Board of Trustees, Chair of U.S. Foreign-Trade Zones Board, and each county mayor.