REPORT TITLE:
Approp.; Pest treatment


DESCRIPTION:
Authorizes the issuance of GO bonds, and appropriates $2.5
million for the construction of a multi-purpose post harvest
facility in Hilo.

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
                                                        
THE SENATE                              S.B. NO.           786
TWENTIETH LEGISLATURE, 1999                                
STATE OF HAWAII                                            
                                                             
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                   A  BILL  FOR  AN  ACT

AUTHORIZING THE ISSUANCE OF GENERAL OBLIGATION BONDS AND MAKING
   AN APPROPRIATION FOR A POST HARVEST FACILITY IN HILO.
 


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

 1      SECTION 1.  The economic base for the island of Hawaii has
 
 2 traditionally been agriculture.  With the disappearance of sugar
 
 3 as a major economic force and primary agricultural commodity,
 
 4 production has shifted to small-scale and medium-scale
 
 5 diversified agricultural enterprises.  Expanding production in
 
 6 specific crops such as papaya, avocado, coffee, and exotic
 
 7 tropical fruits; developing processing facilities for specialty
 
 8 products; providing informational market networks to encourage
 
 9 import substitution; and constructing producer-operated post
 
10 harvest treatment facilities to allow development of sustainable
 
11 export markets will collectively provide the economic stimulus
 
12 needed for the Big Island.  With consumer demand increasing for
 
13 more naturally produced foods, the need to encourage sustainable
 
14 production methods is paramount to developing successful market
 
15 strategies.
 
16      Currently, many fruit producers on the Big Island do not
 
17 have access to post-harvest facilities that allow then to pass
 
18 the USDA/APHIS quarantine for export, while allowing them to
 

 
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                                     S.B. NO.           786
                                                        
                                                        

 
 1 maintain control of the marketing of their fruit.  No post
 
 2 harvest or fruit disinfestation facility already constructed or
 
 3 under development anywhere in the State provides services for
 
 4 farmers marketing certified organic produce.  The certified
 
 5 organic industry is one of the fastest growing sectors of U.S.
 
 6 agriculture, with a growth rate of twenty per cent or greater for
 
 7 each year since 1990.  At the national level, the value of the
 
 8 organic food industry in terns of gross sales reached $3.5
 
 9 billion in 1996.  The growth of Hawaii's organic industry
 
10 parallels the national growth, and in 1996 there was an estimated
 
11 $7 million in organic food sales contributing to the State's
 
12 gross domestic product.
 
13      The legislature finds that the construction of a multi-
 
14 commodity, multi-technology post harvest facility that can be
 
15 used by certified organic producers will promote the growth of
 
16 Hawaii's organic industry.  The facility construction and
 
17 operating practices will comply with organic standards, and be
 
18 certified as a post harvest facility.  These operating practices
 
19 will not prohibit the same facility from being used to treat
 
20 conventionally grown crops and crops grown as non-residual or
 
21 unsprayed.  Thus, this post harvest facility will be able to
 
22 support many different types of agricultural commodities.
 
23      The purpose of this Act is to authorize the issuance of
 

 
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                                     S.B. NO.           786
                                                        
                                                        

 
 1 general obligation bonds, and appropriate funds for the
 
 2 construction of a post harvest facility in Hilo.
 
 3      SECTION 2.  The director of finance is authorized to issue
 
 4 general obligation bonds in the sum of $2,500,000, or so much
 
 5 thereof as may be necessary, and the same sum, or so much thereof
 
 6 as may be necessary, is appropriated for fiscal year 1999-2000,
 
 7 for the construction of multi-commodity, multi-technology post
 
 8 harvest facility in Hilo.
 
 9      SECTION 3.  The appropriation made for the capital
 
10 improvement project authorized in this Act shall not lapse at the
 
11 end of the fiscal biennium for which the appropriation is made;
 
12 provided that all appropriations which are unemcumbered as of
 
13 June 30, 2002, shall lapse as of that date.
 
14      SECTION 4.  The sum appropriated shall be expended by the
 
15 department of accounting and general services for the purposes of
 
16 this Act.
 
17      SECTION 5.  This Act shall take effect on July 1, 1999.
 
18 
 
19                              INTRODUCED BY:______________________
 
20