HB2085 SD2

SECTION 1. The agribusiness development corporation is the State's primary agency with respect to assisting and supporting our agricultural businesses. Section 163D-1, Hawaii Revised Statutes, describes the purpose of the corporation as conceived by the legislature. It reads, in part:

"Constantly evolving economies require an aggressive and dynamic leadership for the promotion and development of agricultural enterprises, and centralized leadership to coordinate industry development, provide industry-wide services, provide marketing assistance, and facilitate investments and coventures in viable enterprises.

The purpose of this chapter is to create a vehicle and process to make optimal use of agricultural assets for the economic, environmental, and social benefit of the people of Hawaii. This chapter establishes a public corporation to administer an aggressive and dynamic agribusiness development program. The corporation shall coordinate and administer programs to assist agricultural enterprises to facilitate the transition of agricultural infrastructure from plantation operations into other agricultural enterprises, to carry on the marketing analysis to direct agricultural industry evolution, and to provide the leadership for the development, financing, improvement, or enhancement of agricultural enterprises."

The purpose of this Act is to improve the effectiveness and leadership of the agribusiness development corporation by expanding the fields of which members of the board of the agribusiness development corporation are required to possess knowledge, experience, and expertise to include retail, wholesale, and distribution involving agricultural products, packaging and processing of agricultural products, transportation and shipping of agricultural products, or venture capital involving agricultural businesses. It is further the purpose of this Act to require the agribusiness development corporation to develop a five-year strategic plan to be presented to the legislature prior to the 2009 regular session.

SECTION 2. Section 163D-3, Hawaii Revised Statutes, is amended by amending subsection (b) to read as follows:

"(b) The board of directors of the corporation shall consist of eleven voting members, of whom eight shall be appointed by the governor. The terms of these eight members shall be four years; provided that, commencing on July 1, 2005, the governor shall reduce the terms of those initially appointed so as to provide, as nearly as can be, for the expiration of an equal number of terms at intervals of one year. The eight members shall be selected on the basis of their knowledge, experience, and proven expertise in small and large businesses within the agricultural industry, agricultural economics, banking, real estate, finance, promotion, marketing, [~~and~~] management[.], retail, wholesale, and distribution involving agricultural products, packaging and processing of agricultural products, transportation and shipping of agricultural products, or venture capital involving agricultural businesses. Of these eight members, one shall be from the city and county of Honolulu, one shall be from the county of Hawaii, one shall be from the county of Maui, one shall be from the county of Kauai, and four shall be appointed at-large. The director of business, economic development, and tourism; the chairperson of the board of agriculture; and the chairperson of the board of land and natural resources, or their designated representatives, shall be ex-officio, voting members of the board. All members shall continue in office until their respective successors have been appointed and qualified. The board shall annually elect its chairperson from among its members; provided that the chairperson shall not be an ex-officio member."

SECTION 3. The agribusiness development corporation shall complete a five year strategic plan which shall include the expansion of its operations from water and land projects to include those issues identified in section 163D-1, Hawaii Revised Statutes. The strategic plan shall include, but not be limited to, identification and discussion of personnel and funding needs, new project areas such as marketing and agricultural enterprise development, proposed benchmarks and time lines for implementation, and recommendations for changes to the composition of the agribusiness development corporation board to better achieve the goals set forth in the strategic plan.

The strategic plan shall be submitted to the legislature by no later than twenty days prior to the convening of 2009 regular session.

SECTION 4. All acts passed prior to or during this regular session of 2008, whether enacted before or after passage of this Act, shall be interpreted to conform to this Act, unless the acts specifically provide that this Act is being amended. Insofar as this Act is inconsistent with any other law, this Act shall control.

SECTION 5. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.

SECTION 6. This Act shall take effect upon its approval; provided that the amendment to section 163D-3(b), Hawaii Revised Statutes, requiring members of the board of directors of the agribusiness development corporation to have certain specified knowledge, experience, and expertise, shall be effective upon the next appointment and subsequent appointments until the composition of the board complies with this Act.

HOUSE OF REPRESENTATIVES	H.B. NO.	2085
TWENTY-FOURTH LEGISLATURE, 2008		H.D. 1
STATE OF HAWAII		S.D. 2