STAND. COM. REP. NO. 2584

Honolulu, Hawaii

RE: S.B. No. 3011

S.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Thirty-First State Legislature

Regular Session of 2022

State of Hawaii

Sir:

Your Committees on Agriculture and Environment and Water and Land, to which was referred S.B. No. 3011 entitled:

"A BILL FOR AN ACT RELATING TO AGRICULTURAL LEASES,"

beg leave to report as follows:

The purpose and intent of this measure is to update certain state leasing statutes to maximize the benefit of agricultural lands to the State and help the State achieve its economic and food production goals.

Your Committees received testimony in support of this measure from the University of Hawai‘i System. Your Committees received testimony in opposition to this measure from the Department of Agriculture, Agricultural Resource Management Division of the Department of Agriculture, and Hawai‘i Farm Bureau. Your Committees received comments on this measure from the Department of the Attorney General; one member of the Waimanalo Neighborhood Board; and Hawaii Cattlemen's Council, Inc.

Your Committees find that state agricultural lands are a key resource that can be used to meet the State's goals for economic diversification and food self-sufficiency. The State offers leases of these lands to farmers at below market rates to promote agricultural production. However, some agricultural lands are tied to long-term leases that are not productive. This measure updates state leasing statutes to ensure the continued productivity of farming operations on state agricultural lands.

Your Committees have amended this measure by inserting an effective date of January 1, 2050, to encourage further discussion.

As affirmed by the records of votes of the members of your Committees on Agriculture and Environment and Water and Land that are attached to this report, your Committees are in accord with the intent and purpose of S.B. No. 3011, as amended herein, and recommend that it pass Second Reading in the form attached hereto as S.B. No. 3011, S.D. 1, and be referred to your Committee on Ways and Means.

Respectfully submitted on behalf of the members of the Committees on Agriculture and Environment and Water and Land,

________________________________ LORRAINE R. INOUYE, Chair

________________________________ MIKE GABBARD, Chair