RELATING TO MARINE AFFAIRS.

SB2907

THE SENATE

S.B. NO.

2907

THIRTY-THIRD LEGISLATURE, 2026

STATE OF HAWAII

A BILL FOR AN ACT

Relating
to MARINE affairs
.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

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SECTION 1.
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The legislature finds that the ocean economy--commonly
referred to as the blue economy--represents one of the fastest-growing economic
opportunities globally.
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The blue economy
is the sustainable use of ocean and aquatic resources for economic growth,
improved livelihoods, and job creation while preserving the health of oceanic
and aquatic ecosystems.
�
This includes a
broad set of industries, including but not limited to marine construction, ship
and boat building, marine transportation, energy, tourism and recreation,
fisheries and other fishery-related businesses, aquaculture, marine
biotechnology, ocean and coastal management, and conservation.
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The annual economic output of the blue
economy is projected to double to an estimated $3 trillion by 2030.

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The
legislature further finds that Hawaii is already a national leader in the blue
economy.
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As the United States' largest
island state located in the Pacific, Hawaii's blue economy is substantial and
growing, with the number of marine businesses in the State having increased by
twenty-three per cent within the past decade.
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This strength builds on the legacy, wisdom, and cultural ties that
Native Hawaiians have cultivated with the ocean for centuries.

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However,
to remain competitive with other coastal states in the United States and with
other countries internationally, the State must act to modernize its approach
and capitalize on its technology, infrastructure, and manufacturing
advancements.
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These assets include
marine biotechnology; autonomous maritime navigation; cybersecurity; shipping,
ports, and harbors; and ocean data observation systems.

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The
legislature also finds that ocean clusters serve as engines of growth for more
than fifty ocean industry development initiatives around the world.
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Successful examples exist in Norway, Iceland,
Singapore, San Diego, and Washington, where ocean clusters have catalyzed job
creation, investment, innovation, and cross-sector collaboration.

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Therefore,
the legislature finds that designating and prioritizing Hawaii as an ocean
cluster will further promote and expand the State's blue economy by leveraging
existing strengths while supporting innovation, emerging opportunities, and
diversified economic growth.
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The Hawaii
ocean cluster would encompass a broad range of blue economy activities,
supported by technology, innovation, and Native Hawaiian knowledge as essential
cross-cutting priorities.

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Accordingly,
the purpose of this Act is to:

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(1)
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Declare that the State is an ocean cluster;

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(2)
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Establish the office of marine affairs;

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(3)
�
E
stablish and fund the marine affairs
coordinator position; and

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(4)
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Transfer the personnel and functions of
the governor's advisory committee on marine affairs to the office of marine
affairs.

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SECTION
2.
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Chapter 206M, Hawaii Revised
Statutes, is amended by adding a new part to be appropriately designated and to
read as follows:

"
Part
.
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Marine affairs

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�206M-A
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Declaration of intent.
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The legislature declares it to be the purpose
of this part to recognize and promote the State as an ocean cluster, a globally
unique hub for ocean- and aquatic-centered culture, stewardship, economic
opportunity, and innovation.
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The legislature
recognizes that the State's status as the United States' largest island state,
strategic location in the Pacific Ocean, and history of Native Hawaiian
knowledge in ocean navigation, regenerative marine resource management and
ecosystem monitoring, and coastal resilience, uniquely position the State to
lead the Pacific region in ocean- and aquatic-based industry development.
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The legislature further declares that actions
taken under this part shall recognize the State's legacy within the blue
economy while positioning the State as a global center of excellence for ocean-
and aquatic-related activities.
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It is
the intent of the legislature that the State's development as an ocean cluster
benefits communities across the State through innovation that promotes cultural
heritage and economic opportunity.
�

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�206M-B
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Definitions.
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For the purposes of this part:

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"Blue economy" means industrial and economic activities that

sustainably use ocean- and aquatic-related resources for economic growth,
improved livelihoods, and job creation while preserving the health of oceanic
and aquatic ecosystems.
�
"Blue
economy" includes but is not limited to industries such as marine
construction, ship and boat building, marine transportation, energy, tourism
and recreation, fisheries and fishery-related businesses, aquaculture, marine
biotechnology, ocean and coastal management, and conservation.

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"Coordinator" means the marine affairs coordinator.

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"Office" means the office of marine affairs.

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"Task force" means the marine affairs task force.

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�206M-C
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Office of marine affairs; marine affairs task force; establishment.
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(a)
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There is established

the office of marine affairs within the development
corporation for administrative purposes only.
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The purpose of the office shall be to facilitate the development of
marine affairs-related industries in the State.
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Its duties shall include but not be limited to:

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(1)
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Developing and implementing a statewide
marine affairs strategy that prioritizes the sustainable use, conservation, and
stewardship of marine resources and encompasses:

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(A)
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Research and education;

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(B)
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Ecosystem management;

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(C)
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Coastal resilience;

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(D)
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Fisheries and ocean-based food systems;

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(E)
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Marine tourism and recreation;

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(F)
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Conservation and stewardship; and

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(G)
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Marine transportation and logistics
;

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(2)
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Conducting comprehensive reviews of the
state of marine policy in the State at regular intervals;

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(3)
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Identifying key challenges and opportunities
for the State in marine affairs;

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(4)
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Collaborating with and supporting other public
entities working to develop the State's marine industries;

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(5)
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Promoting and developing technology-enabled
marine industries within the blue economy by:

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(A)
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Developing and implementing a statewide
ocean technology and innovation development strategy that complements the
statewide marine affairs strategy developed pursuant to paragraph (1);

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(B)
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Conducting regular blue economy value
chain assessments, including but not limited to maritime, aquaculture, coastal
resilience, and ocean observation data to determine constraints, capital
requirements, workforce gaps, and commercialization pathways;

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(C)
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Identifying, evaluating, and proposing
solutions to regulatory, capital, workforce, infrastructure, and permitting
barriers to the growth and competitiveness of technology-enabled ocean
industries in the State;

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(D)
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Establishing a blue economy project and
investment readiness program to facilitate the conversion of ocean innovation
concepts into investable and deployable projects;

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(E)
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Pursuing public, private, and federal
funding to support ocean innovation and commercialization and the development
of a robust ocean technology ecosystem;

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(F)
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Developing advanced technologies to
support marine industries, including but not limited to:

��������������
(i)
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Autonomous maritime navigation;

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(ii)
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Digital and physical modernization of
ocean and coastal infrastructure;

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(iii)
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Electrification of ports and harbors;

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(iv)
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Marine biotechnology;

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(v)
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Ocean and coastal monitoring and
observation systems; and

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(vi)
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Regenerative technology innovations;
and

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(G)
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Recommending
legislation and policies to strengthen the State's competitiveness in the blue
economy and ocean technologies sectors;

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(6)
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Serving as the State's coordinating entity for
technological advancement and economic development in the blue economy; and

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(7)
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Developing actionable recommendations
for the governor and legislature to reinvigorate the State's marine affairs
development strategy.

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(b)
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The governing body of the
office shall consist of a marine affairs task force consisting of the following
members:

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(1)
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The chairperson of the board of land
and natural resources or the chairperson's designee;

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(2)
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The chairperson of the board of
agriculture and biosecurity or the chairperson's designee;

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(3)
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The deputy director of the harbors
division of the department of transportation or the deputy director's designee;

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(4)
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The executive director of the natural
energy laboratory of Hawaii authority or the executive director's designee;

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(5)
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The chief executive officer of the
Hawaii technology development corporation or the chief executive officer's
designee;

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(6)
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The executive director of the
agribusiness development corporation or the executive director's designee;

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(7)
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The chief energy officer of the Hawaii
state energy office or the chief energy officer's designee;

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(8)
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The chief executive officer of the
office of Hawaiian affairs or the chief executive officer's designee;

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(9)
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Two representatives from the university
of Hawaii system, including:

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(A)
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The dean of the school of ocean and earth
science and technology or the dean's designee; and

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(B)
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The vice president of research and innovation
or the vice president's designee; and

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(10)
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Three representatives of the business
sector with experience in the marine affairs field, including ocean shipping,
ocean engineering, marine science and technology, consulting and public
affairs, and marine research.

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(c)
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Members shall be appointed in accordance with
section 26-34.
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The terms of the members
shall be for four years.
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The task force
shall select one of its members to serve as chair.
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No member of the task force shall receive any
compensation for task force services, but shall be allowed necessary expenses
for travel, board, and lodging incurred in the performance of task force
duties.
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�206M-D
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Marine affairs coordinator; appointment;
duties.

�
(a)
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The
office of marine affairs established pursuant to section 206M-C(a) shall
appoint a marine affairs coordinator
for
the
proper
administration, enforcement, and facilitation of this part
.
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The appointment shall be made without regard
to chapter 76; provided that the coordinator shall be eligible for
participation in state employee benefit plans.
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Notwithstanding section 76-16(b)(17), this exemption from chapter 76
shall not expire.
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The salary of the
coordinator shall be set by the office.

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(b)
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The marine affairs coordinator shall:

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(1)
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Develop plans for future projects that
align with the office's marine affairs strategy and statewide ocean technology
and innovation development strategy, including objectives and criteria to measure
the accomplishment of objectives; develop and implement programs through which
the objectives are to be attained; and determine financial requirements for the
total and optimum development of the State's marine resources based on the
goals and needs of the State;

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(2)
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Conduct systematic analyses of existing
and proposed marine programs, evaluate the analyses conducted by state
agencies, and recommend to the office, governor, and legislature programs that
represent the most effective allocation of resources for the development of the
marine environment;

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(3)
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Assist those departments having
interests in marine affairs, including by assisting state agencies to develop
and analyze plans for future economic development projects relating to marine
resources or technologies; coordinate activities that involve the
responsibilities of multiple state agencies; and insure the timely and
effective implementation of all authorized marine projects and programs;

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(4)
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Coordinate the dissemination of
information to the federal government, other state governments, governments of
nations with interests in the Pacific basin, private and public organizations
involved in marine science and technology, and commercial enterprises of the office's
activities and the State's leadership potential as the center for marine
affairs;

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(5)
�
Coordinate the State's involvement in
national and international efforts to investigate, develop, and utilize the
marine resources of the Pacific basin;

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(6)
�
Develop programs to continuously
encourage private and public marine exploration and research projects that will
result in the development of improved technological capabilities in the State;

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(7)
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Formulate specific program and project
proposals to solicit increased investment by the federal government and other
sources to develop the State's marine resources and technologies and coordinate
the preparation and submission of program and project proposals of state
agencies;

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(8)
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Serve as consultant on behalf of the office
to the governor, state agencies, and private industry on matters relating to
the preservation and enhancement of the quality of the State's marine
environment;

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(9)
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Perform other services as may be
required by the office, governor, or legislature;

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(10)
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Contract for services when required for
the implementation of this part; and

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(11)
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Prepare and submit an annual report to
the governor and legislature on the implementation of this part and all matters
related to marine affairs, including the office's findings, recommendations, and
any proposed legislation."

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SECTION

3
.
�
Section 201-13,
Hawaii Revised Statutes, is repealed.

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["
�201-13
�
Powers and duties of the department of
business, economic development, and tourism in marine affairs.
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The department of business, economic
development, and tourism shall:

����
(1)
�
Assist state agencies in developing
and analyzing plans, including objectives, criteria to measure the
accomplishment of objectives, programs through which the objectives are to be
attained, and financial requirements for the total and optimum development of
Hawaii's marine resources based on the needs and goals of the State;

����
(2)
�
Develop and analyze plans for future
economic development projects, including objectives and criteria to measure the
accomplishment of objectives; develop and implement programs through which the
objectives are to be attained; and determine financial requirements for the
total and optimum development of Hawaii's marine resources based on the needs
and goals of the State;

����
(3)
�
Assist those departments having
interests in marine affairs, coordinate those activities which involve the
responsibilities of multiple state agencies, and encourage the timely and
effective implementation of all authorized marine projects and programs;

����
(4)
�
Coordinate the dissemination of
information to the federal government, other state governments, governments of
nations with interests in the Pacific basin, private and public organizations
involved in marine science and technology, and commercial enterprises of
Hawaii's leadership potential as the center for marine affairs;

����
(5)
�
Coordinate the State's involvement
in national and international efforts to investigate, develop and utilize the
marine resources of the Pacific basin;

����
(6)
�
Develop programs to continuously
encourage private and public marine exploration and research projects which
will result in the development of improved technological capabilities in
Hawaii; and

����
(7)
�
Formulate and assist state agencies
in formulating specific program and project proposals to solicit increased
investment by the federal government and other sources to develop Hawaii's
marine resources.
"]

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SECTION
4.
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The governor's advisory committee on
marine affairs established by executive order is redesignated as the office of marine
affairs established by section 206M-C, Hawaii Revised Statutes, and shall
assume the functions prescribed by section 206M-C, Hawaii Revised Statutes.

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The
members presently serving on the governor's advisory committee on marine
affairs shall continue to serve; provided that subsequent appointments to the office
of marine affairs shall conform with the requirements of section 206M-C, Hawaii
Revised Statutes.
�
The chairperson of the
board of land and natural resources, chairperson of the board of agriculture
and biosecurity, deputy director of the harbors division of the department of
transportation, executive director of the natural energy laboratory of Hawaii
authority, chief executive officer of the Hawaii technology development
corporation, executive director of the agribusiness development corporation, chief
energy officer of the Hawaii state energy office, chief executive officer of
the office of Hawaiian affairs, and representatives of the university of Hawaii
system shall begin their service upon the effective date of this Act.

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All
officers and employees whose functions relate to the governor's advisory
committee on marine affairs shall continue to serve but shall upon and after
the effective date of this Act be considered employees of the office of marine
affairs.
�
The status of the employees
shall not be affected by this Act, except for the redesignation of the
committee.

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SECTION
5.
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All rights, powers, functions, and
duties of the governor's advisory committee on marine affairs are transferred
to the Hawaii technology development corporation.

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All
officers and employees whose functions are transferred by this Act shall be
transferred with their functions and shall continue to perform their regular
duties upon their transfer, subject to the state personnel laws and this Act.

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No
officer or employee of the State having tenure shall suffer any loss of salary,
seniority, prior service credit, vacation, sick leave, or other employee
benefit or privilege as a consequence of this Act, and such officer or employee
may be transferred or appointed to a civil service position without the
necessity of examination; provided that the officer or employee possesses the
minimum qualifications for the position to which transferred or appointed; and
provided that subsequent changes in status may be made pursuant to applicable
civil service and compensation laws.

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An
officer or employee of the State who does not have tenure and who may be
transferred or appointed to a civil service position as a consequence of this Act
shall become a civil service employee without the loss of salary, seniority,
prior service credit, vacation, sick leave, or other employee benefits or
privileges and without the necessity of examination; provided that such officer
or employee possesses the minimum qualifications for the position to which
transferred or appointed.

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If
an office or position held by an officer or employee having tenure is
abolished, the officer or employee shall not thereby be separated from public
employment, but shall remain in the employment of the State with the same pay
and classification and shall be transferred to some other office or position
for which the officer or employee is eligible under the personnel laws of the
State as determined by the head of the department or the governor.

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SECTION
6.
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All appropriations, records,
equipment, machines, files, supplies, contracts, books, papers, documents,
maps, and other personal property heretofore made, used, acquired, or held by
the governor's advisory committee on marine affairs relating to the functions
transferred to the office of marine affairs shall be transferred with the
functions to which they relate.

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SECTION
7.
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There is appropriated out of the
general revenues of the State of Hawaii the sum of $150,000 or so much thereof
as may be necessary for fiscal year 2026-2027 to fund one full-time equivalent
(1.0 FTE) marine affairs coordinator position within the Hawaii technology
development corporation to support the office of marine affairs.

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The
sum appropriated shall be expended by the Hawaii technology development
corporation for the purposes of this part.

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SECTION
8.
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In codifying the new sections added
by section 2 and referenced in section 4 of this Act, the revisor of
statutes shall substitute appropriate section numbers for the letters used in
designating the new sections in this Act.

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SECTION
9.
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Statutory material to be repealed is
bracketed and stricken.
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SECTION 10.
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This Act shall take effect on July 1, 2026.

INTRODUCED BY:

_____________________________

Report Title:

HTDC;
Ocean Cluster; Office of Marine Affairs; Marine Affairs Task Force; Marine
Affairs Coordinator; Reports; Transfer; Appropriation

Description:

Declares
that the State is an ocean cluster.
�
Establishes
the Office of Marine Affairs under the Hawaii Technology Development
Corporation for administrative purposes only.
�

Establishes the Marine Affairs Coordinator position.
�
Requires the Marine Affairs Coordinator to
submit annual reports to the Governor and Legislature.
�
Transfers the employees and functions of the
Governor's Advisory Committee on Marine Affairs to the Office of Marine
Affairs.
�
Appropriates funds for one
full-time equivalent (1.0 FTE) Marine Affairs Coordinator position.

The summary description
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not legislation or evidence of legislative intent.