STAND. COM. REP. NO. 887-00

                                 Honolulu, Hawaii
                                                   , 2000

                                 RE: S.B. No. 2164
                                     S.D. 2
                                     H.D. 1




Honorable Calvin K.Y. Say
Speaker, House of Representatives
Twentieth State Legislature
Regular Session of 2000
State of Hawaii

Sir:

     Your Committee on Agriculture, to which was referred S.B.
No. 2164, S.D. 2, entitled: 

     "A BILL FOR AN ACT RELATING TO THE ORGANIC AGRICULTURE
     INDUSTRY,"

begs leave to report as follows:

     The purpose of this bill is to assist the organic
agriculture industry by:

     (1)  Defining standards for organically produced
          agricultural products;

     (2)  Establishing requirements for the accreditation of
          certifying agents;

     (3)  Establishing requirements for labeling and registration
          of organically produced agricultural products; and

     (4)  Establishing other necessary requirements and
          administrative penalties for violations.

     The Hawaii Organic Farmers Association testified in support
of this bill, with proposed amendments to the bill.  The
Department of Agriculture (DOA) testified in support of the
intent of this bill and submitted proposed amendments to the
bill.  The Hawaii Bio-Organic Growers Hui and an individual
testified in opposition to the measure.

 
 
                                 STAND. COM. REP. NO. 887-00
                                 Page 2

 
     Upon consideration, your Committee has amended this bill by:

      (1) Clarifying the definitions of:  "certifying agent",
          "certified organic", and "small farmer";

      (2) Adding the definitions of "board", "claimed organic",
          and "producer";

      (3) Stipulating that DOA repeal its rules relating to
          standards for organically produced agricultural
          products when federal standards for organically
          produced agricultural products are adopted by the
          United States Department of Agriculture;

      (4) Authorizing DOA to adopt rules establishing
          requirements for registration and recognition of
          certifying agents, rather than requirements for
          accreditation and registration of certifying agents;

      (5) Deleting the requirement that in adopting rules, DOA
          take into account the best interest of the consumer,
          producer, and the public;

      (6) Establishing provisions for the registration and
          recognition of certifying agents, rather than the
          accreditation of certifying agents;

      (7) Stipulating the no agricultural product may be labeled
          "organically produced", "certified organic", or claimed
          in any other manner to be organic, unless the product
          has been produced by a producer certified by a
          certifying agent registered with or recognized by DOA,
          rather than produced by a person certified by a
          certifying agent accredited by DOA;

      (8) Specifying that a registered small farmer may use the
          term "claimed organic" on the farmer's organically
          produced agricultural products;

      (9) Deleting the prohibition of the use of the terms
          "pesticide free", "residue free", or other like terms;

     (10) Clarifying procedures to recover administrative
          penalties;

     (11) Changing the effective date to take effect upon its
          approval; and


 
                                 STAND. COM. REP. NO. 887-00
                                 Page 3

 
     (12) Making other technical, nonsubstantive amendments for
          clarity, consistency, and style.

     As affirmed by the record of votes of the members of your
Committee on Agriculture that is attached to this report, your
Committee is in accord with the intent and purpose of S.B. No.
2164, S.D. 2, as amended herein, and recommends that it pass
Second Reading in the form attached hereto as S.B. No. 2164, S.D.
2, H.D. 1, and be referred to the Committee on Judiciary and
Hawaiian Affairs.

                                   Respectfully submitted on
                                   behalf of the members of the
                                   Committee on Agriculture,



                                   ______________________________
                                   FELIPE P. ABINSAY, JR., Chair