STAND. COM. REP. NO. 469

 

Honolulu, Hawaii

                  

 

RE:    S.B. No. 1297

 

 

 

Honorable Ronald D. Kouchi

President of the Senate

Thirty-First State Legislature

Regular Session of 2021

State of Hawaii

 

Sir:

 

     Your Committee on Agriculture and Environment, to which was referred S.B. No. 1297 entitled:

 

"A BILL FOR AN ACT RELATING TO THE ISSUANCE OF SPECIAL PURPOSE REVENUE BONDS TO ASSIST MAUIGROWN COFFEE, INC,"

 

begs leave to report as follows:

 

     The purpose and intent of this measure is to extend the authorization to issue special purpose revenue bonds to assist MauiGrown Coffee, Inc., with the operation and expansion of its farm and mill.

 

     Your Committee received testimony in support of this measure from MauiGrown Coffee, Inc.; Maui Chamber of Commerce; and Hawaii Coffee Association.

 

     Your Committee finds that Act 116, Session Laws of Hawaii 2017 (Act 116), authorized the issuance of special purpose revenue bonds to assist MauiGrown Coffee, Inc., a Hawaii corporation, with the expansion of its coffee farm and mill in Puukolii, Maui.  The authorization to issue special purpose revenue bonds is set to lapse on June 30, 2022.  At the time of its passage, Act 116 was the only special purpose revenue bond funding vehicle designated for agriculture.  Additionally, Act 116 is awaiting review through the Finance Administration Division so that the company may be appointed a bond counsel and move further to banking institutions.  Your Committee further finds that this process includes securing numerous commitments and agreements that are put forth in a working business plan.  Prior commitments secured during the passage of Act 116 need to be revised as each vendor entity that provided bids is reevaluating their own business structure.  Therefore, this measure is necessary to ensure MauiGrown Coffee, Inc.'s expanded operations.

 

     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 S.B. No. 1297 and recommends that it pass Second Reading 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