STAND. COM. REP. NO. 2466

Honolulu, Hawaii

RE:    S.B. No. 2375

       S.D. 2

Honorable Shan S. Tsutsui

President of the Senate

Twenty-Sixth State Legislature

Regular Session of 2012

State of Hawaii

Sir:

     Your Committee on Water, Land, and Housing, to which was referred S.B. No. 2375, S.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO AGRICULTURAL-BASED COMMERCIAL OPERATIONS,"

begs leave to report as follows:

     The purpose and intent of this measure is to allow agricultural-based commercial operations in agricultural districts and to include agricultural-based commercial operations under the definition of "farming operation" in chapter 165, Hawaii Revised Statutes, the Hawaii Right to Farm Act.

     Your Committee received testimony in support of this measure from the Department of Agriculture, Hawaii Farm Bureau Federation, Kamehameha Schools, and Kahuku Farms.  Your Committee received testimony in opposition to this measure from the City and County of Honolulu Department of Planning and Permitting.

     Your Committee finds that existing laws do not permit agricultural-based commercial operations in agricultural districts.  This restriction increases permitting requirements, limits farmers' economic opportunities, and places farmers at a disadvantage with neighboring landowners.  By allowing agricultural-based commercial operations in agricultural districts, this measure will improve and diversify farmers' economic opportunities.

     Your Committee has amended this measure by:

     (1)  Specifying that the allowed agricultural-based commercial operations be producer-operated;

     (2)  Including the sale of logo items related to a producer's agricultural operations and other food items as an agricultural-based commercial operation;

     (3)  Including the preparation and sale of certain food by producer-operated retail food establishments as an agricultural-based commercial operation; and

     (4)  Making technical, nonsubstantive amendments for the purposes of clarity and consistency.

     As affirmed by the record of votes of the members of your Committee on Water, Land, and Housing that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 2375, S.D. 1, as amended herein, and recommends that it pass Third Reading in the form attached hereto as S.B. No. 2375, S.D. 2.

Respectfully submitted on behalf of the members of the Committee on Water, Land, and Housing,

____________________________

DONOVAN M. DELA CRUZ, Chair