Honorable Robert Bunda

President of the Senate

Twenty-First State Legislature

Regular Session of 2001

State of Hawaii

Sir:

Your Committee on Agriculture, to which was referred H.B. No. 1556 entitled:

begs leave to report as follows:

The purpose of this measure is to increase the loan ceiling amounts for both farm ownership and improvement loans, and farm operating loans from $400,000 to $800,000.

Your Committee received testimony in favor of this measure from the Department of Agriculture, Pineapple Growers Association of Hawaii, Meadow Gold Dairies, and Island Dairy.

Your Committee finds that start-up and existing farming operations rely substantially on the Department of Agriculture's loan program. An increase in the loan amounts is necessary to reflect the increased costs of farming.

Your Committee has amended this measure by replacing its contents with the Senate version, S.B. No. 1400, S.D. 1, which increases the loan ceiling to $600,000.

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 H.B. No. 1556, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 1556, S.D. 1, and be referred to the Committee on Ways and Means.