Report Title:

Agriculture; Value-Added Products

 

Description:

Appropriates funds, matched dollar-for-dollar by federal funds, in cash, or by in-kind donations by the private sector, for the planning, repair, and modification of agricultural facilities at the former Del Monte operation on Oahu and at Maui Community College.  Amends the definition of "agricultural commodity".   Effective July 1, 2020.  (SD1)

 


HOUSE OF REPRESENTATIVES

H.B. NO.

242

TWENTY-FIFTH LEGISLATURE, 2009

H.D. 1

STATE OF HAWAII

S.D. 1

 

 

 

 

 

A BILL FOR AN ACT


 

 

RELATING TO AGRICULTURE.

 

 

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

 


     SECTION 1.  The legislature finds that agriculture plays a vital role in Hawaii's efforts to become more self-sustainable.  Agriculture not only contributes to the State's economy by providing employment opportunities, products for export, and a stage for tourism, but also performs a public service by helping to perpetuate a rural lifestyle for Hawaii's residents who in turn provide stewardship for Hawaii's lands and water.

     With the demise of the majority of the plantations that once controlled vast acres of pineapple and sugar cane fields, there is a need to promote the diversification of Hawaii's agriculture industry.  Hawaii must also diversify its economic base beyond tourism.  A revived and revitalized agriculture industry promises not only to achieve this objective, but will also sustain and stabilize Hawaii's food supply and protect the open space and lifestyle that both residents and visitors value.

     Currently, Hawaii's agriculture and value-added product industry contributes $2,400,000,000 to the State's economy and employs more than thirty-eight thousand people.  During the past twenty years, the value of diversified agriculture in Hawaii has more than doubled, reaching a record $370,900,000 in farm-level revenues in 2002.

     The agriculture industry should continue to explore new opportunities as prime agricultural land becomes available.  At present, about one hundred thousand acres of former sugar cane and pineapple land--prime agricultural land--lie fallow.  Recent estimates suggest that if all this land was put to productive use through successful agricultural ventures, an additional $1,700,000,000 to $4,400,000,000 could be infused into the State's economy.

     To take advantage of these opportunities, and to provide the necessary support for the overall transition of Hawaii's agriculture industry from plantation agriculture to diversified agriculture, more resources must be directed towards expanding the revenue base of farmers and ranchers to ensure their long term viability.

     In the 2008 regular session, the legislature recognized this need and requested a study entitled, "The Feasibility of Constructing a Multipurpose, Multi-user Processing Facility on the Land in the Ewa, Central Oahu Area Being Offered to the Hawaii Agriculture Research Center, for the Production of Value-added Products that Make Use of Locally Grown Agricultural Products."

     The study identified the modifications needed on the former Del Monte facility to serve farmers and ranchers to increase value-added production from locally grown agricultural products.  Additionally, the former culinary arts facility at the Maui community college campus is available for similar use with upgrades to its design.  Other sites on Kauai and the island of Hawaii are also being considered.

     The legislature finds that there are culinary arts programs at various community colleges across the state that can provide expertise and collaborative opportunities to further the success of facilities dedicated to value-added agricultural products.

     The purpose of this Act is to appropriate funds, matched dollar-for-dollar by federal funds, in cash, or by in-kind donations by the private sector, for the planning, repair, and modification of agricultural facilities at the former Del Monte operation on Oahu and at Maui Community College.

     SECTION 2.  Section 147-1, Hawaii Revised Statutes, is amended by amending the definition of "agricultural commodity" to read as follows:

     "Agricultural commodity" means fresh fruits and fresh vegetables of every kind and character, whether or not frozen or packed in ice, whether produced in the State or imported, nuts, and coffee, whether cherry or parchment, or green beans, which have been produced in the State, [and] raw unprocessed honey, whether produced in the State or imported[.], and live animals of the bovine, equine, swine, sheep, or goat species, or the carcass or meat of those species, whether produced in the State or imported."

     SECTION 3.  The director of finance is authorized to issue general obligation bonds in the sum of $           or so much thereof as may be necessary for fiscal year 2009-2010 and the same sum or so much thereof as may be necessary is appropriated for fiscal year 2010-2011 for the planning, repair, and modification of the Del Monte and Maui community college facilities to further the value-added agricultural industry pursuant to this Act; provided that no funds shall be made available under this Act unless matched dollar-for-dollar in federal funds, in cash, or by in-kind donations by the private sector.

     The sums appropriated shall be expended by the department of agriculture for the purposes of this Act.

     SECTION 4.  Statutory material to be repealed is bracketed and stricken.  New statutory material is underscored.

     SECTION 5.  This Act shall take effect on July 1, 2020.