SB2723 HD1

PART I

SECTION 1. The legislature finds that the GoFarm Hawaii program is critical to growing, creating, and commercializing local farms that are capable of meeting Hawaii's food sustainability goals. Currently, approximately eighty-five per cent of the State's food is imported. This leaves the State vulnerable to shipping disruptions and natural disasters. The Hawaii emergency management agency estimates that, in the event of port closures, food supplies would be exhausted in five to seven days.

The food import industry also represents billions of dollars each year that are leaving the State's economy. In 2014, local consumers spent approximately $4,100,000,000 on food. Approximately eighty-five per cent, or $3,500,000,000, of this was spent on imported foods. In contrast, only twelve per cent of farms in the State make more than $50,000 annually, and only seven per cent reach more than $100,000 in annual sales.

The GoFarm Hawaii program was developed by the University of Hawaii college of tropical agriculture and human resources to assist local farmers in growing and commercializing their production. In 2019, the program provided business consulting, training, and technical assistance to more than three hundred seventy-five existing and aspiring farmers. GoFarm Hawaii also helped more than sixty farmers apply for loans, leases, and grants and to develop business plans and value-added products.

GoFarm Hawaii has also established beginning farmer training programs to assist new commercial farmers: two programs on the island of Oahu and one each on the islands of Maui, Kauai, and Hawaii. The certificate-based program includes education and mentoring in agricultural production and business. In the last three years, more than one hundred thirty students have graduated from the beginning farmer training program. Of these, almost fifty per cent started new farm businesses and fourteen per cent found employment with existing operations in the agricultural industry. The courses have been highly successful, and the demand for enrollment often exceeds availability. In 2019, seventy-two aspiring farmers applied for twenty-four Oahu-based openings.

The legislature further finds that funding for the GoFarm Hawaii program comes exclusively from government and private grants. To manage the program at existing levels, operating costs for fiscal year 2020-2021 are estimated at $1,400,000, with $400,000 of that amount anticipated to be received from private grants.

Accordingly, the purpose of this part is to:

(1) Appropriate funds for the GoFarm Hawaii program to provide business consulting, technical assistance, and beginning farmer training on at least four islands; and

(2) Require the GoFarm Hawaii program to provide the chairperson of the board of agriculture with reports on the program's annual goals, outputs, and outcomes.

SECTION 2. There is appropriated out of the general revenues of the State of Hawaii the sum of $ or so much thereof as may be necessary for fiscal year 2020-2021 for the GoFarm Hawaii program to provide business consulting, technical assistance, and beginning farmer training on at least four islands.

The sum appropriated shall be expended by the University of Hawaii for the purposes of this part.

SECTION 3. The GoFarm Hawaii program shall provide the chairperson of the board of agriculture with:

(1) An annual report no later than of the program's goals for the chairperson's review; and

(2) A semi-annual report no later than outlining the program's outputs and outcomes.

PART II

SECTION 4. The legislature acknowledges that new and aspiring farmers face a myriad of challenges, including acquiring adequate production and business knowledge and skills and accessing the tools necessary to evaluate their resources and develop feasible farming and business plans. However, the State lacks qualified farming method teachers and funding for beginning farmer training. Further, although the United States Department of Agriculture provides funding for beginning farmers, this funding is limited and unreliable.

The legislature believes that the future of the State's farming industry, food supply, and agriculture is reliant upon increasing and diversifying the number of new farmers in the State; introducing regenerative farming methods into the State; enhancing the long-term viability of farm businesses; utilizing and building upon existing beginning farmer training methods; providing opportunities for potential farmers who are socially or financially disadvantaged; and increasing support for beginning farmers who already own or manage a farm, and have farmed for five years or less.

Accordingly, the purpose of this part is to establish the beginning farmer training program to be administered by the University of Hawaii West Oahu sustainable community food systems program.

SECTION 5. Chapter 141, Hawaii Revised Statutes, is amended by adding a new section to part I to be appropriately designated and to read as follows:

"§141- Beginning farmer training program; established. (a) There is established the beginning farmer training program to be administered by the University of Hawaii West Oahu sustainable community food systems program in conjunction with qualified farmer training providers.

(b) The University of Hawaii shall:

(1) Collaborate and consult with, and provide funding, information, and educational resources to, qualified farmer training providers;

(2) Implement strategies to increase the number of new farmers in the State, with a focus on recruiting low-income persons, disabled persons, and military veterans;

(3) Assist qualified farmer training providers seeking federal and county funding to expand their training offerings;

(4) Evaluate the effectiveness of the beginning farmer training program;

(5) Subject to the availability of funding, distribute funding to as many training programs as is practical to achieve the purpose of the beginning farmer training program; and

(6) Retain records of all activities and costs related to the implementation of the beginning farmer training program.

(1) Qualifies for Hawaii resident tuition or provides proof that the beginning farmer has been farming for no more than five years;

(2) Maintains satisfactory academic progress; and

(3) Demonstrates an interest in pursuing a career in the State's agricultural industry.

(d) Subject to the availability of funding, the University of Hawaii may enter into contracts with qualified farmer training providers on a first come, first served basis to effectuate the purpose of this section; provided that:

(1) No contract shall be more than $100,000 per year per provider;

(2) The term of any contract shall be no longer than one year; and

(3) No qualified farmer training provider may receive more than $300,000 in aggregate for services procured pursuant to this section during any five-year period.

(e) Training services procured pursuant to subsection (d) may include the following topics:

(1) The proper methods of:

(A) Planting, tending, cultivating, and harvesting various types of crops; and

(B) Raising livestock or poultry;

(2) Soil health;

(3) Agricultural business operations, including workforce issues, regulatory compliance, and general operations; and

(4) An industry analysis of the agricultural industry and related markets.

(f) A qualified farmer training provider providing services pursuant to this section shall make available for inspection and examination by the University of Hawaii during regular business hours all related training materials, sites, and facilities.

(g) The University of Hawaii West Oahu sustainable community food systems program shall submit a report to the legislature no later than twenty days prior to the convening of each regular session. The report shall include at a minimum:

(1) The number of beginning farmers enrolled in the beginning farmer training program during the preceding year;

(2) A description of each qualified farming training provider;

(3) An assessment of the ability of program participants to complete project objectives and work tasks; and

(4) An evaluation of the results achieved by the program, to be written, to the extent possible, in measurable and quantifiable terms.

(h) As used in this section:

"Beginning farmer" means a person who has been farming for no more than five years and is eighteen years of age or older.

"Qualified farmer training provider" means a nonprofit organization with more than two years of experience offering farmer training programs and that is engaged in the growth, cultivation, or raising of crops, livestock, poultry, poultry products, or dairy products; provided that this term shall not include facilities primarily engaged in processing agricultural products."

SECTION 6. There is appropriated out of the general revenues of the State of Hawaii the sum of $2,000,000 or so much thereof as may be necessary for fiscal year 2020-2021 to establish and implement the beginning farmer training program, including payment of administration costs, staff salaries, and expenses for contracting with outside entities.

The sum appropriated shall be expended by the University of Hawaii for the purposes of this part.

PART III

SECTION 7. New statutory material is underscored.

SECTION 8. This Act shall take effect on July 1, 2150; provided that section 5 of this Act shall be repealed on June 30, 2025.

THE SENATE	S.B. NO.	2723
THIRTIETH LEGISLATURE, 2020		S.D. 1
STATE OF HAWAII		H.D. 1