HI HB1449

Establishes the impact loan fund for Hawaii (HI-impact loan program) within the Hawaii Strategic Development Corporation to support Hawaii-based small businesses in specified technology fields including dual-use, tourism-technology, agriculture-technology, ocean recreational-technology, finance-technology, building and construction-technology, life science-technology, biomedical engineering-technology, and aerospace-technology, excluding energy generation technology.

Provides loans in the form of convertible notes bearing 8% interest to for-profit businesses with fewer than 16 full-time employees that are pre-revenue or have received less than $500,000 in equity investments, with a maximum first investment amount to be specified.

Requires loan applicants to secure a customer contract equal to at least 10% of the loan amount, provide a 1-to-2 private fund match, and submit business plans, budgets, and progress reports.

Creates the HI-impact special fund in the state treasury, funded by loan repayments, legislative appropriations, fees, and interest, with no more than 15% of moneys expended for administration.

Appropriates funds from general revenues for fiscal years 2017-2018 and 2018-2019 into the HI-impact special fund; takes effect July 1, 2038.