STAND. COM. REP. NO. 1547

Honolulu, Hawaii

RE:    H.B. No. 775

       H.D. 2

Honorable Ronald D. Kouchi

President of the Senate

Twenty-Ninth State Legislature

Regular Session of 2017

State of Hawaii

Sir:

     Your Committee on Commerce, Consumer Protection, and Health, to which was referred H.B. No. 775, H.D. 2, entitled:

"A BILL FOR AN ACT RELATING TO AGRICULTURE,"

begs leave to report as follows:

     The purpose and intent of this measure is to:

     (1)  Repeal the requirements that the Department of Agriculture (Department) grant permission prior to the removal of eggs from any dock or landing and certify that eggs contained in a shipment are properly marked;

     (2)  Require importation and other documents to be furnished to the Department before imported eggs are offered for sale; and

     (3)  Provide that a violation of section 147-75, Hawaii Revised Statutes, relating to required notice of grade and size and designation of origin of imported eggs, shall be considered an unfair method of competition and unfair or deceptive act or practice for which a person may bring an action.

     Your Committee received testimony in support of this measure from the Department of Agriculture.

     Your Committee finds that to ensure quality, condition, and proper designation of origin, eggs imported into the State from the mainland United States are USDA certified, which requires distributors and mainland egg suppliers to submit the appropriate paperwork and certificates to the Department for all incoming mainland eggs.  However, requiring the Department to issue certificates before these eggs can be removed from any dock or landing is redundant and a misallocation of limited Department resources.  Your Committee notes that this measure does not affect the Department's authority and ability to enforce laws and rules prohibiting mislabeled or unmarked imported eggs.  Rather, this measure enables the Department to better utilize staff resources to monitor the egg industry and strengthens enforcement capabilities against persons who mislabel imported eggs.

     As affirmed by the record of votes of the members of your Committee on Commerce, Consumer Protection, and Health that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 775, H.D. 2, and recommends that it pass Third Reading.

Respectfully submitted on behalf of the members of the Committee on Commerce, Consumer Protection, and Health,

________________________________

ROSALYN H. BAKER, Chair