HI HR107

Urges the Department of Business, Economic Development and Tourism (DBEDT) to establish a Business Rescue and Survival Division to assist struggling businesses like Love's Bakery from closure.

Love's Bakery, a 170-year-old locally-owned business founded in 1851, announced closure on March 1, 2021, resulting in 231 employee layoffs and loss of the dominant commercial bakery in Hawaii serving 1,800 customer accounts.

Identifies COVID-19 pandemic impacts including loss of over 20% revenue in 2020, inability to qualify for second-round Paycheck Protection Program loans, and supply chain delays from mainland suppliers as primary causes of the bakery's financial crisis.

Encourages DBEDT to form a coalition with bankers, Small Business Administration, Minority Business Development Agency, UH Pacific Business Development Center, and local business consultants to create a rapid-response strike force for small business outreach.

Cites Hawaii Chamber of Commerce surveys indicating up to 40% of Hawaii businesses may not reopen after COVID-19 restrictions are lifted, emphasizing the urgent need for early intervention to prevent further closures and job losses.