STAND. COM. REP. NO. 729

Honolulu, Hawaii

RE:    S.B. No. 1308

       S.D. 1

Honorable Colleen Hanabusa

President of the Senate

Twenty-Fourth State Legislature

Regular Session of 2007

State of Hawaii

Madam:

     Your Committee on Ways and Means, to which was referred S.B. No. 1308 entitled:

"A BILL FOR AN ACT RELATING TO LOANS FOR AGRICULTURAL AND AQUACULTURE PURPOSES,"

begs leave to report as follows:

     The purpose of this measure is to combine the aquaculture loan revolving fund into the agricultural loan revolving fund, create an aquaculture loan for new aquaculturists, increase loan limits for existing aquaculture loans, and expand eligibility for aquaculture loans.

     Your Committee received comments in support of this measure from the Office of Hawaiian Affairs and the Hawaii Aquaculture Association.  The Board of Agriculture submitted comments.

     Your Committee finds that this measure will create parity between the aquaculture loan program and the agriculture loan program and provide increased administrative efficiency and flexibility to both programs.

     Your Committee has amended this measure by:

     (1)  Adding clarifying language regarding the types of "private lenders" from whom aquaculturists are unable to procure loans and thus qualifying themselves for loans from the state Department of Agriculture; and

     (2)  Making technical nonsubstantive amendments for the purposes of clarity and style.

     As affirmed by the record of votes of the members of your Committee on Ways and Means that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 1308, as amended herein, and recommends that it pass Third Reading in the form attached hereto as S.B. No. 1308, S.D. 1.

Respectfully submitted on behalf of the members of the Committee on Ways and Means,

____________________________

ROSALYN H. BAKER, Chair