STAND. COM. REP. NO. 1397-00

                                 Honolulu, Hawaii
                                                   , 2000

                                 RE: S.B. No. 2745
                                     S.D. 1
                                     H.D. 2




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

Sir:

     Your Committee on Finance, to which was referred S.B. No.
2745, S.D. 1, H.D. 1, entitled: 

     "A BILL FOR AN ACT RELATING TO AQUACULTURE,"

begs leave to report as follows:

     The purpose of this bill is to support the aquaculture
industry by:

     (1)  Authorizing the Department of Agriculture (DOA) to
          establish and assess fees:

          (a)  For aquatic animal and plant diagnostic services;
               and

          (b)  Any items or expert services purchased from DOA
               relating to aquaculture planning, disease
               management, and the marketing of seafood products;

     (2)  Establishing the Aquaculture Development Special Fund
          (Special Fund) to:

          (a)  Implement the aquatic disease management programs
               and related activities; and 

          (b)  Support research and development programs and
               activities relating to the expansion of the State
               aquaculture industry;

 
 
                                 STAND. COM. REP. NO. 1397-00
                                 Page 2

 
          and

     (3)  Appropriating funds out of the Special Fund to carry
          out the purposes for which it was created.

     The DOA and the Hawaii Aquaculture Association testified in
support of this bill.  Aquatic Farms Ltd. offered comments on
this bill.

     Your Committee has amended this bill by changing the amount
appropriated to $30,000.  Other technical, nonsubstantive
amendments were made for style and clarity.

     As affirmed by the record of votes of the members of your
Committee on Finance that is attached to this report, your
Committee is in accord with the intent and purpose of S.B. No.
2745, S.D. 1, H.D. 1, as amended herein, and recommends that it
pass Third Reading in the form attached hereto as S.B. No. 2745,
S.D. 1, H.D. 2.

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



                                   ______________________________
                                   DWIGHT Y. TAKAMINE, Chair