STAND. COM. REP. NO. 450

Honolulu, Hawaii

RE: S.B. No. 1657

S.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Thirty-Third State Legislature

Regular Session of 2025

State of Hawaii

Sir:

Your Committee on Economic Development and Tourism, to which was referred S.B. No. 1657 entitled:

"A BILL FOR AN ACT RELATING TO THE AGRIBUSINESS DEVELOPMENT CORPORATION,"

begs leave to report as follows:

The purpose and intent of this measure is to:

(1) Authorize the Agribusiness Development Corporation (ADC) to acquire by condemnation any real property or interest in real property, including real property already devoted to public use, for the purposes of chapter 163D, Hawaii Revised Statutes;

(2) Require ADC to make a determination that the property is necessary for the ADC's immediate or future use; and

(3) Prohibit real property acquired by condemnation from being subsequently transferred or taken for any other public use without the consent of ADC.

Your Committee received testimony in support of this measure from the Agribusiness Development Corporation.

Your Committee received comments on this measure from the Department of Land and Natural Resources.

Your Committee finds that land and water are critical components for the agriculture and food production industries to achieve self-sufficiency in the State. Allowing ADC to obtain real property, including but not limited to vacant farmland, irrigation infrastructure, and facilities related to agricultural productivity, will enable ADC to better assist local farmers. Therefore, this measure will help the State achieve its food resiliency goals by fostering agricultural development and supporting food production industry.

Accordingly, your Committee has amended this measure by:

(1) Inserting an effective date of July 1, 2050, to encourage further discussion; and

(2) Making a technical, nonsubstantive amendment for the purposes of clarity and consistency.

As affirmed by the record of votes of the members of your Committee on Economic Development and Tourism that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 1657, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 1657, S.D. 1, and be referred to your Committee on Judiciary.

Respectfully submitted on behalf of the members of the Committee on Economic Development and Tourism,

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LYNN DECOITE, Chair