CONFERENCE COMMITTEE REPORT NO. 76

                            Honolulu, Hawaii
                                            , 1999

                            RE:   H.B. No. 32
                                  H.D. 2
                                  S.D. 2
                                  C.D. 1




Honorable Calvin K.Y. Say
Speaker, House of Representatives
Twentieth State Legislature
Regular Session of 1999
State of Hawaii

Honorable Norman Mizuguchi
President of the Senate
Twentieth State Legislature
Regular Session of 1999
State of Hawaii

Sir:

     Your Committee on Conference on the disagreeing vote of the
House of Representatives to the amendments proposed by the Senate
in H.B. No. 32, H.D. 2, S.D. 2, entitled:

    "A BILL FOR AN ACT RELATING TO AGRICULTURE,"

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 bill is to allow privately-funded
industrial hemp research to be conducted in Hawaii only when the
Department of Public Safety (DPS), Narcotics Enforcement
Division, issues a controlled substance registration, and the
United States (U.S.) Department of Justice, Drug Enforcement
Administration (DEA), issues a federally-controlled substance
registration for research on the agronomic potential of
industrial hemp.

     Your Committee on Conference finds that representatives of
the law enforcement community assert that under existing law,
persons may legally possess and cultivate hemp with the permits

 
 
                            CONFERENCE COMMITTEE REPORT NO. 76
                            Page 2



required under this measure.  Your Committee on Conference,
therefore, believes that this measure is necessary to codify this
interpretation of the law and give further assurances to
legitimate investors in hemp research that they will not be
prosecuted.  Your Committee on Conference further believes that
the establishment of an affirmative defense, which requires
defendants to prove that they are not engaged in criminal
activity, shifts the burden of proof to the defendant to show
that they have the required permits to engage in hemp research.

     Your Committee on Conference has amended this bill by:

     (1) Changing the definition of "industrial hemp" and
         "cannabis" to mean the schedule I substance marijuana as
         defined in section 329-1, Hawaii Revised Statutes;

     (2) Authorizing, rather than requiring, DPS, in cooperation
         with the DEA to monitor all phases of the industrial
         hemp research;

     (3) Providing an affirmative defense for the possession or
         cultivation of marijuana under section 712-1247,
         712-1248, 712-1249, 712-1249.4, or 712-1249.5 that the
         defendant was conducting industrial hemp research, had
         valid controlled substance registrations from DPS and
         the DEA to conduct the research, and has fully complied
         with all the conditions of the controlled substance
         registrations;

     (4) Providing that the affirmative defense provision in the
         bill shall not be an affirmative defense to a charge of
         distribution of marijuana;

     (5) Deleting the provision that all agronomic data derived
         from hemp research and maintained by a government agency
         be exempt from disclosure pursuant to the Uniform
         Information Practices Act, when the data is proprietary
         in nature and disclosure of it would frustrate a
         legitimate government or law enforcement function;

     (6) Changing the effective date of the bill to take effect
         upon its approval and to be repealed on June 30, 2002;
         and

     (7) Making technical, nonsubstantive amendments for clarity
         and style.

     Your Committee on Conference is in accord with the intent
and purpose of H.B. No. 32, 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. 32, H.D. 2, S.D. 2, C.D. 1.

 
                            CONFERENCE COMMITTEE REPORT NO. 76
                            Page 3




                                   Respectfully submitted,

MANAGERS ON THE PART OF THE        MANAGERS ON THE PART OF THE
           SENATE                              HOUSE
                                   
                                   
                                   
______________________________     ______________________________
LORRAINE R. INOUYE, Co-Chair       FELIPE P. ABINSAY, JR., Co-
                                   Chair
                                   
                                   
                                   
______________________________     ______________________________
MATTHEW M. MATSUNAGA, Co-Chair     PAUL T. OSHIRO, Co-Chair
                                   
                                   
                                   
______________________________     ______________________________
AVERY CHUMBLEY, Co-Chair           NESTOR R. GARCIA, Co-Chair
                                   
                                   
                                   
______________________________     ______________________________
SAM SLOM, Member                   CYNTHIA THIELEN, Member