STAND. COM. REP. NO. 717

Honolulu, Hawaii

, 2001

RE: S.B. No. 369

S.D. 3

 

 

Honorable Robert Bunda

President of the Senate

Twenty-First State Legislature

Regular Session of 2001

State of Hawaii

Sir:

Your Committee on Ways and Means, to which was referred S.B. No. 369, S.D. 2, entitled:

"A BILL FOR AN ACT RELATING TO AGRICULTURE,"

begs leave to report as follows:

The purpose of this measure is to allow an income tax credit for the planning, design, construction, improvement, altering, or repair of large irrigation or drainage systems. The credit shall only be allowed for investments over $200,000.

Your Committee finds that the recent exodus of Hawaii's large agriculture companies has created opportunities for growth in the diversified agriculture industry. The infrastructure left behind by those large companies can be utilized to support and foster new agricultural enterprises. However, additional investment in infrastructure is necessary to fully realize the potential of diversified agriculture in the State. The tax credit provided by this measure will serve as an incentive for further investment in agriculture infrastructure.

Your Committee has amended this measure by replacing with blanks the amount of the tax credit and the threshold to receive the credit in order to further discussion on the specific figures.

As affirmed by the record of votes of the members of your Committee on Ways and Means that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 369, S.D. 2, as amended herein, and recommends that it pass Third Reading in the form attached hereto as S.B. No. 369, S.D. 3.

Respectfully submitted on behalf of the members of the Committee on Ways and Means,

____________________________

BRIAN T. TANIGUCHI, Chair