Appropriates $5 million to provide financial assistance to agricultural/aquaculture enterprises on Kauai by depositing the funds into the agricultural loan revolving fund and the aquaculture loan revolving fund and earmarking the funds for this purpose.

A BILL FOR AN ACT

SECTION 1. The legislature finds that the curtailment of the sugar industry on Kauai will negatively affect the economy of the island. Past experience with sugar cane company shutdowns has shown that the closures have come at great cost, both financially and socially, to the persons directly impacted and to the State in general. The closure on Kauai has resulted in the loss of hundreds of jobs, with additional losses that may come in other sectors of the economy as a result of reduced spending.

The legislature further finds that a financial stimulus is required to assist businesses on Kauai to replace the sugar industry as an employer and economic force. A method of providing this stimulus is to provide assistance to start-up companies or expand existing agricultural/aquaculture enterprises.

The purpose of this Act is to appropriate the sum of $5 million in fiscal year 2001-2002 to provide financial assistance to agricultural/aquaculture enterprises on Kauai by depositing the funds into the agriculture loan revolving fund and the aquaculture loan revolving fund and earmarking the funds for this purpose.

SECTION 2. There is appropriated out of the general revenues of the State of Hawaii the sum of $4,000,000, or so much thereof as may be necessary for fiscal year 2001-2002, to be deposited in the aquaculture loan revolving fund established under section 219-4, Hawaii Revised Statutes, for the purpose of providing financial assistance to aquaculture enterprises on Kauai.

SECTION 3. There is appropriated out of the general revenues of the State of Hawaii the sum of $1,000,000, or so much thereof as may be necessary for fiscal year 2001-2002, to be deposited in the agriculture loan revolving fund established under section 155-14, Hawaii Revised Statutes, for the purpose of providing financial assistance to agricultural enterprises on Kauai.

SECTION 4. In addition to any loan authorized under chapter 155 or 219, Hawaii Revised Statutes, the department of agriculture may make loans in the aggregate total amount of $5,000,000 from the agriculture loan revolving fund or the aquaculture loan revolving fund to carry out the purposes of this Act. The board of agriculture is authorized to waive any provision of chapter 155 or 219, Hawaii Revised Statutes, as deemed necessary to effectuate this Act with the exception of the following conditions:

SECTION 5. The sums appropriated shall be expended by the department of agriculture for the purposes of this Act.

SECTION 6. This Act shall take effect on July 1, 2001, and the authority provided to the board of agriculture to issue loans pursuant to the conditions provided under this Act shall be repealed on July 31, 2003.