STAND. COM. REP. NO. 3102

Honolulu, Hawaii

RE: S.B. No. 3181

S.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Thirty-First State Legislature

Regular Session of 2022

State of Hawaii

Sir:

Your Committee on Ways and Means, to which was referred S.B. No. 3181 entitled:

"A BILL FOR AN ACT RELATING TO AGRICULTURE,"

begs leave to report as follows:

The purpose and intent of this measure is to reimburse certain agricultural producers for costs incurred in transporting agricultural commodities.

More specifically, this measure:

(1) Establishes a local agriculture transportation cost reimbursement incentive program to reimburse eligible agricultural producers for a portion of each producer's costs to transport agricultural commodities;

(2) Establishes eligibility requirements for agricultural producers to participate in the program;

(3) Establishes a cap on the total reimbursement payments that may be disbursed; and

(4) Appropriates moneys for the Department of Agriculture to fund and administer the program.

Your Committee received written comments in support of this measure from the Department of Agriculture, Hawaii Cattlemen's Council, Hawaii Farm Bureau, Hawaii Food Industry Association, Ulupono Initiative, and one individual.

Your Committee received written comments in opposition to this measure from one individual.

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

Your Committee finds that this measure will help to mitigate the increasingly burdensome expense of interisland transportation that is borne by neighbor island agricultural producers.

Your Committee has amended this measure by changing the effective date to July 1, 2050, to facilitate further discussion on the measure.

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. 3181, as amended herein, and recommends that it pass Third Reading in the form attached hereto as S.B. No. 3181, 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