Honorable Robert Bunda

President of the Senate

Twenty-Third State Legislature

Regular Session of 2006

State of Hawaii

Sir:

Your Committee on Water, Land, and Agriculture, to which was referred S.B. No. 2478 entitled:

begs leave to report as follows:

The purpose of this measure is to appropriate funds for the Hawaii Farm Bureau Federation to conduct agricultural research and market development.

Testimony in support of this measure was submitted by the Department of Agriculture, the College of Tropical Agriculture and Human Resources at the University of Hawaii at Manoa, the Hawaii Farm Bureau Federation, the Maui County Farm Bureau, C&H Farms, Pioneer Hi-Bred International, Inc., the Hawaii Agriculture Research Center, Alexander & Baldwin, Inc., the Kauai County Farm Bureau, Kaupo Ranch, Ltd., and forty-five individuals.

Your Committee finds that, although the agriculture industry plays a significant role in Hawaii's economy by providing a stage for tourism, employment opportunities for residents, and products for export, the demise of plantations has left the industry lagging. Your Committee further finds that the absence of pineapple and sugar plantations has resulted in thousands of acres lying fallow, while recent studies indicate that the land could be utilized for agricultural ventures to add an additional $1.7 to $4.4 billion to the State's economy.

Your Committee believes that a diversified agriculture industry within the State is necessary to maximize the opportunities available for prime agricultural farmlands, to strengthen and improve the agriculture industry, to revitalize the economy, and to expand employment opportunities for our residents. Creating a more diversified agriculture industry requires the joint and concerted efforts of key organizations and entities throughout the State, as well as financial support from the State, to conduct agricultural research and market development. Your Committee determines that the Hawaii Farm Bureau Federation represents the interests of the agriculture industry in Hawaii and is an appropriate entity to oversee the research and market development necessary for improving Hawaii's agriculture industry.

As affirmed by the record of votes of the members of your Committee on Water, Land, and Agriculture that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 2478 and recommends that it pass Second Reading and be referred to the Committee on Ways and Means.