STAND. COM. REP. NO.  563

Honolulu, Hawaii

                , 2011

RE:   H.B. No. 290

      H.D. 1

Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-Sixth State Legislature

Regular Session of 2011

State of Hawaii

Sir:

     Your Committee on Judiciary, to which was referred H.B. No. 290, H.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO AGRICULTURE,"

begs leave to report as follows:

     The purpose of this bill is to improve the operations of the Department of Agriculture (DOA) by:

     (1)  Establishing the Agriculture Inspection and Certification Special Fund (Special Fund) to pay for:

          (A)  Licensure of commission merchants, dealers, brokers, agents, processors, and retail merchants;

          (B)  Administration, operation, and enforcement of laws relating to farm produce, feed, and grades and standards; and

          (C)  Inspection, certification, weighing, or grading of agricultural commodities;

     (2)  Specifying that certain fees, charges, expenses, or penalties collected under the regulatory operations of DOA shall be transmitted to the Special Fund;

     (3)  Requiring DOA to adopt new or amend existing rules to impose or increase fees collected under the regulatory operations of DOA to pay for the regulatory operations and costs relating to central services and departmental administrative expense assessments;

     (4)  Allowing DOA to enter into cooperative agreements with other public or private entities for:

          (A)  Travel and other expenses for inspectors to perform certain required certification and audit services; and

          (B)  An internet food safety promotional and reporting system; and

     (5)  Making appropriations in an unspecified amount for the DOA's Agriculture Inspection and Certification Program.

     The Hawaii Farm Bureau Federation and Hawaii Crop Improvement Association testified in support of this bill.  DOA, the Department of Budget and Finance, and a concerned individual provided comments.

     As affirmed by the record of votes of the members of your Committee on Judiciary that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 290, H.D. 1, and recommends that it be referred to the Committee on Finance.

Respectfully submitted on behalf of the members of the Committee on Judiciary,

____________________________

GILBERT KEITH-AGARAN, Chair