STAND. COM. REP. NO. 3068

Honolulu, Hawaii

RE:    H.B. No. 748

       H.D. 2

Honorable Donna Mercado Kim

President of the Senate

Twenty-Seventh State Legislature

Regular Session of 2014

State of Hawaii

Madam:

     Your Committees on Agriculture and Judiciary and Labor, to which was referred H.B. No. 748, H.D. 2, entitled:

"A BILL FOR AN ACT PROPOSING AN AMENDMENT TO THE HAWAII CONSTITUTION TO AUTHORIZE THE ISSUANCE OF SPECIAL PURPOSE REVENUE BONDS TO ASSIST AGRICULTURAL ENTERPRISES,"

beg leave to report as follows:

     The purpose and intent of this measure is to propose an amendment to the Hawaii State Constitution to authorize the State to issue special purpose revenue bonds and use the proceeds from the bonds to assist agricultural enterprises.

     Your Committees received testimony in support of this measure from the Land Use Research Foundation of Hawaii; Hawaii Cattlemen's Council, Inc.; Kohala Center; Alexander & Baldwin, Inc.; Local Food Coalition; Hawaii Green Growth; Hawaii Farm Bureau Federation; and Chamber of Commerce Hawaii.  Your Committees received comments on this measure from the Department of Budget and Finance, Department of Agriculture, and one individual.

     Your Committees find that it is vital to the State's agricultural economy and food security that farmers are able to make capital investments and improvements to agricultural facilities and infrastructure.  This measure provides an important source of private financing to farmers for such improvements and will stimulate and increase agricultural development without affecting the State's budget.  This measure complements H.B. No. 737, H.D. 2, S.D. 1 (Regular Session of 2013), which authorizes the Department of Budget and Finance to issue special purpose revenue bonds to assist agricultural enterprises in the State.

     As affirmed by the records of votes of the members of your Committees on Agriculture and Judiciary and Labor that are attached to this report, your Committees are in accord with the intent and purpose of H.B. No. 748, H.D. 2, and recommend that it pass Second Reading and be referred to the Committee on Ways and Means.

Respectfully submitted on behalf of the members of the Committees on Agriculture and Judiciary and Labor,

____________________________ CLAYTON HEE, Chair

____________________________ CLARENCE K. NISHIHARA, Chair