STAND. COM. REP. NO. 190

Honolulu, Hawaii

, 2025

RE: H.B. No. 1291

H.D. 1

Honorable Nadine K. Nakamura

Speaker, House of Representatives

Thirty-Third State Legislature

Regular Session of 2025

State of Hawaii

Madame:

Your Committee on Agriculture & Food Systems, to which was referred H.B. No. 1291 entitled:

"A BILL FOR AN ACT RELATING TO AGRICULTURE,"

begs leave to report as follows:

The purpose of this measure is to:

(1) Extend the offense of false labeling of Hawaii-grown coffee to include roasted coffee; and

(2) Impose a mandatory $10,000 fine for each separate offense of false-labeling of Hawaii-grown roasted coffee.

Your Committee received testimony in support of this measure from the Department of Agriculture; Synergistic Hawaii Agriculture Council; Hawai‘i Farm Bureau; Hawai‘i Farmers Union; Kona Coffee Farmers Association; and three individuals.

Your Committee finds that Hawaii-grown coffee is one of the State's most valuable and well-known agricultural products, contributing significantly to the economy through direct sales, employment, land preservation, and tourism. However, the industry faces an ongoing threat from coffee counterfeiting, where cheaper, lower-quality coffee is falsely labeled as originating from Hawaii. While existing laws regulate the labeling of green coffee, a loophole allows misleading claims on roasted coffee products, which are more commonly purchased by consumers. This measure addresses that gap by extending labeling requirements to roasted coffee, ensuring that only authentic Hawaii-grown coffee can be marketed as such. By imposing stricter penalties and enhancing oversight, this measure protects local farmers and preserves the integrity of Hawaii's coffee industry.

Your Committee has amended this measure by:

(1) Clarifying the definition of "roasted coffee";

(2) Clarifying that each act of false labeling of Hawaii-grown coffee shall constitute a distinct and separate offense;

(3) Adding a savings clause;

(4) Changing the effective date to July 1, 3000, to encourage further discussion; and

(5) 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 Agriculture & Food Systems that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 1291, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 1291, H.D. 1, and be referred to your Committee on Consumer Protection & Commerce.

Respectfully submitted on behalf of the members of the Committee on Agriculture & Food Systems,

____________________________

KIRSTIN KAHALOA, Chair