STAND. COM. REP. NO. 124

                                   Honolulu, Hawaii
                                                     , 1999

                                   RE:  S.B. No. 222
                                        




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

Sir:

     Your Committee on Economic Development, to which was
referred S.B. No. 222 entitled: 

     "A BILL FOR AN ACT MAKING AN APPROPRIATION FOR THE HAWAII
     AGRICULTURE RESEARCH CENTER,"

begs leave to report as follows:

     The purpose of this measure is to appropriate funds for the
biennium for agricultural research and development by the Hawaii
Agriculture Research Center (HARC).

     Your Committee received testimony in support of this measure
from the Department of Agriculture, the University's College of
Tropical Agriculture and Human Resources, the Hawaii Agriculture
Research Center, the Hawaii Farm Bureau, Gay & Robinson, Inc.,
Hawaiian Commercial & Sugar Company, Oils of Aloha, and the
Pineapple Growers Association of Hawaii.

     Your Committee finds that with the current availability of
agricultural lands, the need for research on agriculture
commodities that can replace sugar and pineapple is critical.
HARC has been in the forefront on applied agricultural research,
helping to provide new opportunities for agribusiness.

     Your Committee further finds that the rapid growth of the
diversified agriculture industry presents additional problems and
opportunities.  At present, cooperative research projects between
HARC and the University are under way in coffee, taro, onion,
pineapple, papaya, and sugarcane.

 
a                                                     SB222
                                   STAND. COM. REP. NO. 124
                                   Page 2


     Your Committee notes that this measure also requires
matching funds, based on the dollar value of the industry
conducting the research.  Your Committee is in support of the
work done by HARC, in concert with other public and private
sector research agencies, in these important agricultural
commodities.

     As affirmed by the record of votes of the members of your
Committee on Economic Development that is attached to this
report, your Committee is in accord with the intent and purpose
of S.B. No. 222 and recommends that it pass Second Reading and be
referred to the Committee on Ways and Means.

                                   Respectfully submitted on
                                   behalf of the members of the
                                   Committee on Economic
                                   Development,



                                   ______________________________
                                   LORRAINE R. INOUYE, Chair

 
a                                                     SB222