Assists the organic agriculture industry by: (1) enforcing the use of organic labeling as required under the federal organic rule; (2) establishing requirements for recognition of certifying agents; and (3) establishing other necessary requirements and administrative penalties for violations.

A BILL FOR AN ACT

SECTION 1. Chapter 147, Hawaii Revised Statutes, is amended by adding a new part to be appropriately designated and to read as follows:

§147-A Definitions. As used in this part:

"Act" means the Organic Foods Production Act of 1990, as amended (7 U.S.C. 6501 et seq.).

"Agricultural product" means any agricultural commodity or product, whether raw or processed, including any commodity or product derived from livestock that is marketed in the State for human or livestock consumption.

"Board" means the board of agriculture.

"Certification" or "certified" refers to a determination made by a certifying agent that a production or handling operation is in compliance with the Act and the Federal Organic Rule, which is documented by a certificate of organic operation.

"Certifying agent" means any entity accredited by the Secretary as a certifying agent for the purpose of certifying a production or handline operation as a certified production or handling operation.

"Department" means the state department of agriculture.

"Federal organic rule" means 7 CFR Part 205, (Docket Number: TMD—00--02--FR), RIN: 0581-AA4O of the National Organic Program.

"Livestock" means any cattle, sheep, goat, swine, poultry, or equine animals used for food or in the production of food, fiber, feed, or other agricultural-based consumer products; wild or domesticated game; or other nonplant life, except that "livestock" shall not include aquatic animals or bees for the production of food, fiber, feed, or other agricultural—based consumer products.

"Organic" is a labeling term that refers to an agricultural product produced in accordance with the Act and the federal organic rule.

"Person" means an individual, partnership, corporation, association, cooperative, or other entity.

"Processing" means cooking, baking, curing, heating, drying, mixing, grinding, churning, separating, extracting, slaughtering, cutting, fermenting, distilling, eviscerating, preserving, dehydrating, freezing, chilling, or otherwise manufacturing and includes the packaging, canning, jarring, or otherwise enclosing food in a container.

"Producer" means a person who engages in the business of growing or producing food, fiber, feed, and other agricultural-based consumer products.

"Secretary" means the Secretary of Agriculture or a representative to whom authority has been delegated to act in the Secretary’s stead.

"Small farmer" means any entity that qualifies for an exemption to the Federal Organic Rule under §205.101(a)(1).

§147—B Recognition of certifying agents. (a) Any certifying agent who certifies producers of agricultural products organically produced in the State shall be accredited by the Secretary as required under the federal organic rule.

(b) No certifying agent shall refer to recognition under this part, compliance with the requirements of this part, rules adopted under this part, or to any agency or employee of the State in any manner that suggests that the State licenses, approves, or regulates the activities of the certifying agent in certifying producers of organically produced agricultural products.

§147-C Labeling of organically produced agricultural products. (a) 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 recognized by the department and is labeled with the logo, mark, or other indicia of that certifying agent.

(b) Subsection (a) shall not apply to small farmers.

§147—D Administrative penalties. Any person who violates this part or any rule adopted under this part shall be fined not more than $1,000 for each separate offense. Each day or instance of violation shall constitute a separate offense.

§147—E Rules. The department may adopt rules pursuant to chapter 91 to effectuate this part and to enforce laws for labeling of organic agricultural products under the Federal Organic Rule."

SECTION 2. In codifying the new part added by section 1 of this Act, the revisor of statutes shall substitute appropriate section numbers for the letters used in designating the new sections in this Act.

SECTION 3. This Act shall take effect upon its approval.