CONFERENCE COMMITTEE REP. NO. 102-16

 

Honolulu, Hawaii

                 , 2016

 

RE:    H.B. No. 1689

       H.D. 2

       S.D. 2

       C.D. 1

 

 

 

Honorable Joseph M. Souki

Speaker, House of Representatives

Twenty-Eighth State Legislature

Regular Session of 2016

State of Hawaii

 

Honorable Ronald D. Kouchi

President of the Senate

Twenty-Eighth State Legislature

Regular Session of 2016

State of Hawaii

 

Sirs:

 

     Your Committee on Conference on the disagreeing vote of the House of Representatives to the amendments proposed by the Senate in H.B. No. 1689, H.D. 2, S.D. 2, entitled:

 

"A BILL FOR AN ACT RELATING TO TAXATION,"

 

having met, and after full and free discussion, has agreed to recommend and does recommend to the respective Houses the final passage of this bill in an amended form.

 

     The purpose of this measure is to foster greater energy security for Hawaii.

 

     Specifically, this measure:

 

     (1)  Amends the existing ethanol facility income tax credit to include facilities that produce other renewable fuels;

 

     (2)  Clarifies that one gallon of renewable fuels shall be equal to 76,330 British thermal units; and

 

     (3)  Provides that a renewable fuels production facility must be in production on or before January 1, 2020, to qualify for the tax credit.

 

     Your Committee on Conference finds that providing additional support to Hawaii's agriculture industry could help to reduce reliance on agricultural imports and to foster job growth in the State.  Your Committee on Conference believes that reducing the burden on the emerging number of small farmers seeking costly, but necessary, certifications and inspections will help to promote the production of locally-grown food.

 

     Your Committee on Conference has amended this measure by deleting its contents and inserting provisions to establish a temporary, nonrefundable organic foods production income tax credit to offset the costs incurred by qualified taxpayers in obtaining organic certification and producing organically produced agricultural products.

 

     As affirmed by the record of votes of the managers of your Committee on Conference that is attached to this report, your Committee on Conference is in accord with the intent and purpose of H.B. No. 1689, H.D. 2, S.D. 2, as amended herein, and recommends that it pass Final Reading in the form attached hereto as H.B. No. 1689, H.D. 2, S.D. 2, C.D. 1.

 

Respectfully submitted on behalf of the managers:

 

ON THE PART OF THE SENATE

 

ON THE PART OF THE HOUSE

 

____________________________

LORRAINE R. INOUYE, Chair

 

____________________________

CHRIS LEE, Co-Chair

____________________________

JILL N. TOKUDA, Co-Chair

 

____________________________

SYLVIA LUKE, Co-Chair