Bill > SB158

This bill establishes a state-owned bank implementation board within the Department of Commerce and Consumer Affairs to explore the potential creation of a public financial institution in Hawaii. The board will consist of representatives from various state departments, academic institutions, and community organizations, who will conduct a comprehensive study on the feasibility, costs, and benefits of establishing a state-owned bank. The board's investigation will include examining existing models like the Bank of North Dakota, analyzing potential economic impacts, exploring capitalization options, and assessing the bank's potential effects on existing financial institutions. Members will serve without compensation but will be reimbursed for expenses, and they are tasked with reviewing multiple aspects of public banking, including capital requirements, operating costs, and potential revenue streams. The implementation board is required to submit a detailed report with findings and recommendations to the legislature by December 2026, and the board will officially cease to exist on June 30, 2027. The bill is motivated by Hawaii's economic challenges, including income inequality and limited access to affordable capital, and seeks to explore how a public bank could help address these issues by providing targeted financial support for infrastructure, small businesses, housing, and education.

Business and Industry

https://www.capitol.hawaii.gov/session/measure_indiv.aspx?billtype=SB&billnumber=158&year=2026