STAND. COM. REP. NO. 3306

Honolulu, Hawaii

RE: S.B. No. 3090

S.D. 2

Honorable Ronald D. Kouchi

President of the Senate

Thirtieth State Legislature

Regular Session of 2020

State of Hawaii

Sir:

Your Committee on Ways and Means, to which was referred S.B. No. 3090, S.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO AGRICULTURE,"

begs leave to report as follows:

The purpose and intent of this measure is to promote agricultural production in the State.

Specifically, this measure establishes an agricultural production tax credit.

Your Committee received written comments in support of this measure from the Department of Agriculture, Hawaii Food Industry Association, Hawaii Ulu Producers Cooperative, Hawaii Farm Bureau, Ulupono Initiative, and Kalona Brand Company.

Your Committee received written comments on this measure from the Department of Taxation and Tax Foundation of Hawaii.

Your Committee finds that one of the barriers to increasing agricultural production in the State is the lack of access to capital. Your Committee further finds that increasing agricultural production through an agricultural production tax credit will increase economic activity and create new jobs.

Your Committee has amended this measure by:

(1) Changing the effective date to July 1, 2050, to facilitate further discussion on the measure; and

(2) Making technical nonsubstantive changes for purposes of clarity 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. 3090, S.D. 1, as amended herein, and recommends that it pass Third Reading in the form attached hereto as S.B. No. 3090, S.D. 2.

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

________________________________

DONOVAN M. DELA CRUZ, Chair