SB2389.DOC

SECTION 1. In 1978, voters approved article XI, section 3, of the Hawaii Constitution, which sets out the framework for state policies to promote agriculture and the conservation of productive agricultural lands in the State. Article XI, section 3, provides that:

The State shall conserve and protect agricultural lands, promote diversified agriculture, increase agricultural self-sufficiency and assure the availability of agriculturally suitable lands. The legislature shall provide standards and criteria to accomplish the foregoing.

Lands identified by the State as important agricultural lands needed to fulfill the purposes above shall not be reclassified by the State or rezoned by its political subdivisions without meeting the standards and criteria established by the legislature and approved by a two-thirds vote of the body responsible for the reclassification or rezoning action.

To further implement the intent and purpose of article XI, section 3, of the Hawaii Constitution, Act 183, Session Laws of Hawaii 2005, established standards, criteria, and mechanisms to identify important agricultural lands and required adoption of incentives and permitting procedures to promote agriculture. Act 183 also recognized that while the supply of lands suitable for agriculture is critical, the long-term viability of agriculture also depends on other factors, including:

(1) Commodity prices;

(2) Availability of water for irrigation;

(3) Agricultural research and outreach;

(4) Application of production technologies;

(5) Marketing; and

(6) Availability and cost of transportation services.

Act 233, Session Laws of Hawaii 2008, met the requirements of Act 183 by providing incentives and protections to establish and sustain viable agricultural operations on important agricultural lands. Act 233 also provided for the designation of important agricultural lands on public lands.

However, the various counties have yet to identify and map potential important agricultural lands within their jurisdictions. These maps, which are to be transmitted to the land use commission, are necessary for the land use commission to identify and designate important agricultural lands. Moreover, it is uncertain when the counties will complete the mapping process. Therefore, it is necessary for both the State and the counties to monitor large, contiguous parcels of land that are viable for agricultural production until the counties provide to the land use commission the maps required to proceed with the important agricultural lands identification process.

The purpose of this Act is to:

(1) Prior to approval of subdivisions and condominium projects on any parcel of agricultural land consisting of twenty-five or more acres, require the determination of the number of parcels twenty-five acres or more that are on the same island where the subdivision or condominium project is located and that meet one or more of the criteria for designation as important agricultural lands, as defined by law;

(2) Require county council and county planning commission approval of subdivisions of any parcel of agricultural land consisting of twenty-five or more acres;

(3) Require county council and county planning commission approval of applications for condominium projects on any parcel of agricultural land consisting of twenty-five or more acres; and

(4) Appropriate funds for the various counties to identify and map potential important agricultural lands within their jurisdictions.

It is the legislature's intent that the public hearing process utilized by the counties in approving subdivisions pursuant to section 2 of this Act be identical to the public hearing process utilized by the counties in reviewing applications for condominium projects pursuant to section 3 of this Act. This consistency will ensure that approving authorities in all means of dividing ownership of large agricultural parcels are mindful of the total inventory of large, contiguous parcels of land that are viable for agricultural production.

SECTION 2. Chapter 484, Hawaii Revised Statutes, is amended by adding a new section to be appropriately designated and to read as follows:

"§484- County final subdivision approval for subdivision of twenty-five or more acres of agricultural land. (a) The appropriate county council and county planning commission shall review and approve any subdivision of agricultural land consisting of twenty-five or more acres prior to the county issuing final subdivision approval pursuant to section 484-8.6.

(b) Prior to receiving approval under subsection (a), the subdivider shall submit, to the appropriate county council and county planning commission, a determination of the number of parcels of agricultural land consisting of twenty-five or more acres that are on the island where the land sought to be subdivided is located.

(c) In reviewing subdivisions subject to this section, the appropriate county council and county planning commission shall consider:

(1) Whether the land would be eligible for designation as important agricultural lands under part III of chapter 205; and

(2) The number of parcels of agricultural land consisting of twenty-five or more acres that are on the island where the land sought to be subdivided is located and meet one or more criteria for designation as important agricultural lands.

The county council or planning commission may reject the subdivision without prejudice based upon their considerations under paragraphs (1) and (2).

(d) This section shall not apply to land located on an island for which the appropriate county has submitted important agricultural lands maps to the commission pursuant to section 205-47."

SECTION 3. Chapter 514B, Hawaii Revised Statutes, is amended by adding a new section to part IV to be appropriately designated and to read as follows:

"§514B- Registration of a project on agricultural land consisting of twenty-five or more acres; additional requirements for approval. (a) Any application for registration of a project on a parcel of agricultural land consisting of twenty-five or more acres shall include a determination of the number of parcels of agricultural land consisting of twenty-five or more acres that are on the island where the project is to be located and meet one or more criteria for designation as important agricultural lands.

(b) Prior to issuing an effective date for a project subject to this section, the commission shall transmit the application for registration to the appropriate county council and county planning commission for review and approval. In reviewing the application for registration, the appropriate county council and county planning commission shall consider:

(1) Whether the land on which the project is to be located would be eligible for designation as important agricultural lands under part III of chapter 205; and

(2) The number of parcels of agricultural land consisting of twenty-five or more acres that are on the island where the project is to be located and meet one or more criteria for designation as important agricultural lands.

(c) Upon review pursuant to subsection (b), the appropriate county council and county planning commission shall transmit the application for registration back to the commission with recommendations for further action. The commission may reject the application for registration without prejudice based upon the recommendations made by the appropriate county council and county planning commission.

(d) This section shall not apply to land located on an island for which the appropriate county has submitted important agricultural lands maps to the commission pursuant to section 205-47."

SECTION 4. There is appropriated out of the general revenues of the State of Hawaii the sum of $ or so much thereof as may be necessary for fiscal year 2014-2015 for the various counties to identify and map potential important agricultural lands within their jurisdictions.

The sum appropriated shall be allotted to the various counties by the department of agriculture and expended by the various counties for the purposes of this Act.

SECTION 5. New statutory material is underscored.

SECTION 6. This Act shall take effect on July 1, 2014.

INTRODUCED BY:	_____________________________

THE SENATE	S.B. NO.	2389
TWENTY-SEVENTH LEGISLATURE, 2014
STATE OF HAWAII