Transfers the disposition of some public lands within an agricultural district from the department of land and natural resources to the department of agriculture. (SD1)

A BILL FOR AN ACT

SECTION 1. The Hawaii Revised Statutes is amended by adding a new chapter to title II, to be appropriately designated and to read as follows:

§   -1 Legislative findings. The legislature finds that article XI, section 10, of the state constitution mandates that "public lands shall be used for the development of farm . . . ownership on as widespread a basis as possible. . . ."

Therefore, certain public lands classified for agricultural use by the department of land and natural resources shall be transferred to the department of agriculture, with the approval of the boards of land and natural resources and agriculture, in a manner consistent with article XI, section 10, of the state constitution.

The purpose of this Act is to ensure the long-term productive utilization of other public lands and facilities classified for agricultural use under the jurisdiction of the department of agriculture.

§   -2 Definitions. For the purposes of this chapter:

"Other agricultural lands" means public lands and related facilities leased or available for lease by the department of land and natural resources for the purpose of agricultural activities.

"Agricultural activities" means the care and production of livestock, livestock products, poultry, or poultry products, or apiary, horticultural, or floricultural products, or the planting, cultivating, and harvesting of crops or trees.

§   -3 Transfer and management of other agricultural lands and related facilities to the department of agriculture. (a) Upon mutual agreement and approval of the boards of agriculture and land and natural resources, the department of agriculture may accept the transfer of and manage certain qualifying other agricultural lands. The department of agriculture shall administer a program under rules adopted by the board of agriculture pursuant to chapter 91. This program and its rules shall be separate and distinct from the agricultural park program and its rules. An agricultural park lease is not the same and shall not be selected or managed as other agricultural lands.

(b) Notwithstanding any other law to the contrary, rules to qualify other agricultural lands for transfer shall be adopted by the board of agriculture pursuant to chapter 91, and shall include the following conditions pertaining to encumbered other agricultural lands:

The transfer of other agricultural lands shall be done in a manner to be determined by the board of agriculture and may include more than one parcel, provided these parcels are geographically adjacent to one another.

(c) A program to manage the transferred other agricultural lands shall be developed by the department of agriculture and be governed by rules to be adopted by the board of agriculture, pursuant to chapter 91.

(d) Upon mutual agreement and approval by the boards of agriculture and land and natural resources, certain assets, including position counts, related to the management of existing encumbered and unencumbered other agricultural lands and related facilities shall be transferred to the department of agriculture upon request. Funding for personnel related to the management of the transferred encumbered and unencumbered other agricultural lands by the department of land and natural resources shall not be considered for transfer to the department of agriculture.

§   -4 Establishment of other agricultural lands special fund. There is created in the state treasury a special fund to be designated as the other agricultural lands special fund. The proceeds in the fund shall be used for purposes to be approved by the board of agriculture. All revenues received by the department of agriculture from transferred other agricultural lands shall be deposited into the special fund.

§   -5 Conversion of qualified and encumbered other agricultural lands. The department of agriculture shall establish criteria and rules pursuant to chapter 91 and subject to approval by the board of agriculture to convert qualified and encumbered other agricultural lands to department of agriculture leases or other forms of encumbrance.

§   -6 Extension of other agricultural lands encumbered by permit and transferred to and managed by the department of agriculture. Notwithstanding chapter 171, the board of agriculture shall establish criteria and rules to allow the cancellation, renegotiation, and extension of transferred encumbrances by the department of agriculture.

§   -7 Rules. The board of agriculture shall adopt rules pursuant to chapter 91 to effectuate the purposes of this chapter."

SECTION 2. The boards of agriculture and land and natural resources shall jointly report to the legislature, not later than twenty days prior to the convening of the 2004 regular session, on its efforts to effectuate the transfers authorized under this Act.

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