STAND. COM. REP. NO. 2734

                                   Honolulu, Hawaii
                                                     , 2000

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




Honorable Norman Mizuguchi
President of the Senate
Twentieth State Legislature
Regular Session of 2000
State of Hawaii

Sir:

     Your Committee on Ways and Means, to which was referred S.B.
No. 2164, S.D. 1, 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 with the labeling of organically produced
agricultural products, the accreditation of certifying agents,
and the enforcement of these labeling and accreditation
requirements.

     Specifically, this bill:

     (1)  Prohibits an agricultural product from being labeled
          "organically produced" or "certified organic", or being
          claimed to be "organic", unless the product:

          (A)  Has been produced by a person who is certified by
               an accredited certifying agent; and

          (B)  Is labeled with the logo, mark, or other indicia
               of the person's certifying agent;

     (2)  Requires a certifying agent who certifies a person
          whose organically produced agricultural products are

 
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          sold in the State or shipped from the State for sale
          elsewhere, to be accredited by the Department of
          Agriculture;

     (3)  Requires a certifying agent seeking accreditation by
          the Department of Agriculture to submit all logos,
          marks, and other indicia that will be used to identify
          organically produced agricultural products that are
          produced by a person who is certified by the agent;

     (4)  Requires a person who is accredited by the Department
          of Agriculture as a certifying agent to meet the
          accreditation requirements of the U.S. Secretary of
          Agriculture when these requirements are established;

     (5)  Prohibits a person from referring to accreditation,
          compliance with any laws or rules relating to
          organically produced agricultural products, or to any
          agency or employee of the State in any manner that
          suggests that the State licenses, approves, or
          regulates the person's operations; and

     (6)  Allows the Department of Agriculture to fine a person
          who violates any laws or rules relating to organically
          produced agricultural products, not more than $1,000
          for each separate offense; and considers any action
          taken to impose or collect this penalty a civil action.

     Your Committee has amended this bill by:

     (1)  Changing its effective date to July 1, 2010, to allow
          for further discussion among the various organic
          farmers, their organizations, and the Department of
          Agriculture;

     (2)  Designating the new sections with alphabets to promote
          clarity should the need for cross-referencing arise;

     (3)  Directing the revisor of statutes to substitute
          appropriate section numbers; and

     (4)  Making technical nonsubstantive changes for purposes of
          clarity, consistency, and style.

     As affirmed by the record of votes of the members of your
Committee on Ways and Means that is attached to this report, your
Committee is in accord with the intent and purpose of S.B. No.

 
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2164, S.D. 1, as amended herein, and recommends that it pass
Third Reading in the form attached hereto as S.B. No. 2164, S.D.
2.

                                 Respectfully submitted on behalf
                                 of the members of the Committee
                                 on Ways and Means,



                                 ________________________________
                                 CAROL FUKUNAGA, Co-Chair



                                 ________________________________
                                 ANDREW LEVIN, Co-Chair

 
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