STAND. COM. REP. NO. 2951

Honolulu, Hawaii

RE: H.B. No. 2426

H.D. 1

S.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Twenty-Ninth State Legislature

Regular Session of 2018

State of Hawaii

Sir:

Your Committee on Agriculture and Environment, to which was referred H.B. No. 2426, H.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO THE AGRIBUSINESS DEVELOPMENT CORPORATION,"

begs leave to report as follows:

The purpose and intent of this measure is to authorize the Director of Finance to issue general obligation bonds and appropriate funds for the acquisition of certain farm lands in West Kauai by the Agribusiness Development Corporation.

Your Committee received testimony in support of this measure from the Department of Agriculture; Agribusiness Development Corporation; Hawai‘i Farm Bureau; Hawaii Cattlemen's Council, Inc.; and O‘ahu County Committee on Legislative Priorities of the Democratic Party of Hawai‘i.

Your Committee finds that the Agribusiness Development Corporation is tasked with the priority of transitioning Hawaii's agriculture industry from an industry dominated by sugar and pineapple to one based on a greater diversity of crops. Due to the rapid downsizing and closure of agricultural companies in the State, there are large tracts of land currently available for agricultural economic growth. This measure provides a means by which the Agribusiness Development Corporation can acquire certain large tracts of former agricultural land located in Hawaii for agricultural development.

Your Committee has amended this measure by:

(1) Reinserting an authorized general obligation bond and appropriation amount of $6,000,000; and

(2) Changing the effective date to July 1, 2018.

As affirmed by the record of votes of the members of your Committee on Agriculture and Environment that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 2426, H.D. 1, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 2426, H.D. 1, S.D. 1, and be referred to your Committee on Ways and Means.

Respectfully submitted on behalf of the members of the Committee on Agriculture and Environment,

________________________________

MIKE GABBARD, Chair