The Department of Business, Economic Development and Tourism told the House Committee on Finance it is aligning new planning capacity, workforce partnerships and capital projects to push Hawaii toward a more diversified, export‑oriented economy.
Deputy Director Dane Wicker and DBEDT leaders outlined a multi‑pillared plan that pairs workforce development, regulatory streamlining, capital formation and climate‑resilient infrastructure. The department emphasized targeted growth sectors — technology and advanced manufacturing, creative industries (film, fashion and music), agribusiness and food‑product innovation, and health and wellness — and said it will use a cradle‑to‑career, employer‑driven approach to develop pipelines from high school CTE through community college and university pathways.
Why it matters: DBEDT framed diversification as necessary to reduce Hawaii’s long‑term reliance on tourism, address persistent high costs for doing business, and keep residents employed locally. Officials said they are coordinating land‑use, housing and energy mandates with economic development planning to reduce conflicts over scarce land and infrastructure.
Major budget and project items described
- Planning staff: DBEDT requested three permanent positions and one temporary position in the Office of Planning for statewide planning and to support phase‑two implementation of prior land‑use studies.
- Workforce specialists: DBEDT sought continued workforce development staff in the Creative Industries Division and a $1.45 million request under business development to support a health‑care workforce training program in its second year.
- Value‑added product development: DBEDT highlighted the new Central Oahu value‑added product development center and asked for $350,000 in planning funds to replicate the model on Kauai and Hawaii (Palamanui) with the University of Hawaii Community Design Center.
- Central Oahu food hub and regional kitchen alignment: DBEDT described a 40‑acre site plan in Central Oahu that would colocate processing, a high‑pressure processing unit (for shelf life extension), cold storage and DOE regional kitchens to support farm‑to‑school procurement and disaster resiliency. The agency requested site planning funds and land acquisitions for rural replications (Kohala/Havi) and work to secure irrigation upgrades on ADC lands.
- Small‑animal processing facility: DBEDT requested $4.0 million for planning and land acquisition for a small‑animal slaughterhouse to support local meat production and meet expanded procurement goals.
- Geothermal exploration: DBEDT said the legislature originally appropriated $6 million for geothermal activity; the governor’s reduction to $3 million will fund a first‑phase community engagement and exploration package on Hawaii Island.
- Creative Lab Innovation Center: DBEDT proposed exploring an acquisition near Kalaeloa film studios as a commercial production and makerspace for fashion, jewelry and music industry firms.
Implementation and partnerships
DBEDT said it is coordinating with the University of Hawaii system, Department of Education, Agribusiness Development Corporation, Hawaii Technology Development Corporation and county partners on workforce pathways and site selection. The department also pointed to federal and private partners — including Department of Defense training and federal funding streams for broadband and geothermal exploration — as essential to scaling projects.
Ending note: DBEDT asked the committee to support positions for statewide planning and to fund the planning studies and small capital asks that would seed neighbor‑island product innovation centers and food systems infrastructure; specifics and timelines will depend on appropriation and follow‑up design work.