STAND. COM. REP. NO.  1071-14

Honolulu, Hawaii

                , 2014

RE:   S.B. No. 2397

      S.D. 2

Honorable Joseph M. Souki

Speaker, House of Representatives

Twenty-Seventh State Legislature

Regular Session of 2014

State of Hawaii

Sir:

     Your Committees on Economic Development & Business and Agriculture, to which was referred S.B. No. 2397, S.D. 2, entitled:

"A BILL FOR AN ACT RELATING TO ECONOMIC DEVELOPMENT,"

beg leave to report as follows:

The purpose of this measure is to encourage agricultural innovation and support businesses in the agriculture industry by:

     (1)  Establishing an agricultural technology park on specific parcels of land;

     (2)  Including the development of the agricultural technology park under the duties of the High Technology Development Corporation, and requiring the park to be administered by the Board of Directors of the High Technology Development Corporation; and

     (3)  Appropriating an unspecified amount for the establishment of the agricultural technology park.

The Department of Agriculture, Agribusiness Development Corporation, Wahiawa Community & Business Association, Sugarland Growers, Inc., Hawaii Farm Bureau, and several concerned individuals testified in support of this bill.  The High Technology Development Corporation testified in support of the intent of this measure.  Two concerned individuals testified in opposition to this bill.  The Hawaii Housing Finance and Development Corporation provided comments.

     Technological innovations and the application of these innovations have greatly assisted farmers with various tasks over the years.  More recent applications have been used by the agricultural industry, as well as farmers, as tools to monitor irrigation systems, mapping, grazing, pest management, harvest, weather, and fertilizer applications, all in real-time.  These sophisticated technologies also have additional benefits in material cost, labor, and fuel savings, as the farmer can refer to electronic files rather than driving out to a specific field.  Moreover, as the federal government moves forward with the FDA Food Safety Modernization Act, technological applications will be needed to assist farmers in tracking which crops were planted in which fields, soil types, and irrigation control.

     The development of an agricultural technology park will provide the setting for bridging the agricultural and technology gap and encourage agricultural innovation and support businesses in the agriculture industry.  In addition, while agricultural businesses and the agricultural industry as a whole will experience direct benefits from the development of an agricultural technology park, the park may also provide Hawaii with a means of meeting its food sustainability goals.

     However, your Committees note that, according to the High Technology Development Corporation, the Corporation already has statutory authority to develop technology parks.  Nevertheless, the Corporation still requires the financial resources provided in this measure to develop the agricultural technology park.  Accordingly, your Committees find that this measure deserves further consideration.

     As affirmed by the records of votes of the members of your Committees on Economic Development & Business and Agriculture that are attached to this report, your Committees are in accord with the intent and purpose of S.B. No. 2397, S.D. 2, and recommend that it pass Second Reading and be referred to the Committee on Finance.

Respectfully submitted on behalf of the members of the Committees on Economic Development & Business and Agriculture,

____________________________ JESSICA WOOLEY, Chair

____________________________ CLIFT TSUJI, Chair