STAND. COM. REP. NO. 2873

Honolulu, Hawaii

RE: S.B. No. 2522

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 Ways and Means, to which was referred S.B. No. 2522 entitled:

"A BILL FOR AN ACT RELATING TO AGRICULTURE,"

begs leave to report as follows:

The purpose and intent of this measure is to authorize the State to invest in existing or new agriculture businesses.

Specifically, this measure establishes the Agriculture Accelerator Program to be administered by the Agribusiness Development Corporation to invest, in exchange for equity, in businesses that engage in farming, aquaculture, or ranching activities.

Your Committee received written comments in support of this measure from the Department of Agriculture, Agribusiness Development Corporation, Hawaii Cattlemen's Council, and Hawaii Farm Bureau Federation.

Your Committee received written comments on this measure from the Department of Budget and Finance.

Your Committee finds that this measure will assist agriculture businesses in obtaining funds to purchase necessary equipment and make improvements to produce more food at lower costs.

Your Committee has amended this measure by:

(1) Clarifying that the Agribusiness Development Corporation may invest the funds subject to the approval of the Board of Agriculture; and

(2) Making technical nonsubstantive amendments for the purposes of clarity, consistency, and style.

As affirmed by the record of votes of the members of your Committee on Ways and Means that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 2522, as amended herein, and recommends that it pass Third Reading in the form attached hereto as S.B. No. 2522, S.D. 1.

Respectfully submitted on behalf of the members of the Committee on Ways and Means,

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DONOVAN M. DELA CRUZ, Chair